The Ministry of Justice published on Friday, 9 December, for public consultation the draft law on the implementation of international restrictive measures against persons involved in offences against fundamental human rights, democracy and the rule of law – the Magnitsky Law of Moldova.

“The present draft law has been prepared on the basis of a number of considerations which have become particularly important for the Moldovan authorities in recent times and which, as such, require a reaction and appropriate measures on their part,” the document’s information note states.

Thus, the Magnitsky law will regulate the way of implementation, at national level, of international restrictive measures, which are established by EU acts, by acts and decisions adopted by international organisations or by other states, as well as those established by Moldova on its own initiative and which were adopted with the specific aim of ensuring respect for fundamental human rights and freedoms, development and consolidation of democracy and the rule of law, sanctioning in this respect any natural or legal persons “who through culpable actions or inactions have violated them”.

According to the authors of the draft, the experience of other countries – USA, UK, Canada, Australia, Romania – was analysed when drafting it, as they have adopted domestic regulations “aimed at establishing a national instrument for imposing restrictive measures” on certain categories of natural and legal persons who are guilty of serious acts that violate the rights and freedoms of others, democracy and the rule of law.

Potential subjects of the international restrictive measures covered by this law may be natural or legal persons in the country and abroad who have committed acts of: genocide, torture, crimes against humanity, slavery, executions and assassinations, enforced disappearances of persons or arbitrary arrest or detention.

The law also covers persons who, in the exercise of an important public function at national and/or international level, or who, being members of the governing bodies of political parties, are responsible for or complicit in ordering, controlling or otherwise directing acts of corruption which can be qualified as acts of major corruption, when taking into account, inter alia, their impact, the amounts involved, the influence of the person involved or the position of the authority/complicity of the government of the foreign state concerned in the given acts.

The law also covers persons “about whom there are indications, official or public information, that they are part of, collaborate or have collaborated with foreign intelligence services carrying out hostile actions against Moldova”.

With regard to international restrictive measures that may be ordered in accordance with the provisions of the law, according to Article 4 of the draft, the following categories are concerned:

• measures targeting the field of entry and stay of foreigners on the territory of the country;
• measures concerning financial and property matters;
• measures in the commercial field;
• measures concerning aircraft;
• measures concerning maritime and river vessels.

At the same time, an inter-institutional supervisory council will be set up to ensure the implementation of the law. It will be chaired by the Prime Minister of Moldova and will include the heads of the main
authorities and public institutions with legal powers in related areas.

“The Audiovisual Council may decide to withdraw the broadcasting licence previously issued to a media service provider owned or controlled by a subject of restrictions. If the media service provider through its activity aims to promote the image and interests of a subject of restrictions, the Audiovisual Council shall compulsorily withdraw the broadcasting licence issued to this provider,” the draft law reads.

Prime Minister Natalia Gavrilița and Justice Minister Sergiu Litvinenco announced on Friday, December 9, at a press conference, the measures to be adopted by the Chisinau authorities to implement in Moldova the international sanctions imposed on Vladimir Plahotniuc and Ilan Shor, both investigated in the “bank fraud” case, having been sanctioned by the US and the UK.

The head of the cabinet says the UK sanctions imposed on Shor and Plahotniuc are a very clear signal that “those who robbed the country will end up where they belong – in prison”.

“(…) Today, on International Anti-Corruption Day, we received important news from London.Vladimir Plahotniuc and Ilan Shor, fugitives from Moldovan justice, have been sanctioned by the UK Government. Any assets held by the two in the UK or any of the UK’s overseas territories such as the British Virgin Islands or the Cayman Islands will be frozen (…). They will also be refused entry to the UK. This is another blow to the grouping for thievery and war with the support of our partners and a very clear signal – those who have looted the country will end up where they belong – in prison (…),” said the Prime Minister.

Minister of Justice Sergiu Litvinenco announced the drafting of the so-called Magnitsky Moldova Law, which provides, among other things, that the state will be able to take over the administration of the assets of the persons included in the sanctions list and their related persons.

“(…) I want to announce a legislative initiative of the Government. It is about the draft law transposing international sanctions into Moldovan law. Thus, the Ministry of Justice has drafted and, today, I believe, will be sent for public consultation – the so-called draft Magnitsky Moldova Law. It is a complex draft law which has been inspired both by US legislation and by states which have already transposed Magnitsky legislation into their own legislation. We are talking about Canada, Lithuania and the United Kingdom.

The main regulations of the draft law: First of all, the draft law contains provisions that will clarify in detail which natural and legal persons will be subject to sanctions transposed into our country’s legislation. This will include, first of all, persons who have not been directly included in the sanctions list but who have certain direct or indirect links with persons who have been directly included in the international sanctions list, but also persons who have not been included in the sanctions list but who have certain direct or indirect links with persons included in the sanctions list. Another block in the draft law concerns the way international sanctions are transposed into national law. One of these measures is that all those who will be included in the Magnitsky or similar sanctions list will have all their assets held in Moldova frozen.

This means that they will not be able to sell these assets, donate them or transfer them to other persons (…). The state will be able to take over the administration of the assets of the persons included in the sanctions list and their affiliates. At the same time, it will be forbidden to make any property available to these persons, as well as to provide any financial services to these persons. For example, opening a bank account, making money transfers, taking out loans.

As for the legal entities that will have links with the persons included in the list of sanctions, they will also be subject to specific sanctions that should make their activity considerably more difficult (…)”, Litvinenco said.

The UK government announced on Friday, 9 December 2022, a sanctions list targeting 30 corrupt political figures and human rights violators around the world.

The list includes the leader of the Shor Party, fugitive MP Ilan Shor, sentenced in 2017 to seven years and six months in prison for fraud and money laundering and put on international wanted list, as well as the former leader of the Democratic Party of Moldova (PDM), Vlad Plahontiuc, put on international wanted list and previously sanctioned by the US for corruption. Vladimir Plahotniuc and Ilan Shor are under investigation in the “bank fraud” case.

According to the British Embassy in Moldova, any assets held by Plahotniuc or Șor in the UK, or in any of the UK’s overseas territories such as the British Virgin Islands or the Cayman Islands, will be frozen. UK citizens will be banned from all economic transactions with any of the sanctioned persons refused entry to the UK.