The arrest of Eva Kaili, an MEP for the S&D group, is causing a major setback in the EU crypto regulations. It is no secret that the EU has been slow to implement a comprehensive crypto regulation, but the arrest of the Greek MEP has raised eyebrows. It is alleged that she was receiving payments and gifts from political influencers in exchange for bribery. This has led to the investigation of her actions, and could ultimately lead to her removal from the S&D group.
European Parliament removes Greek MEP Eva Kaili as vice president of the assembly
Eva Kaili, the socialist MEP, has been stripped of her role as vice president of the European Parliament, after she was charged with corruption and money laundering. MEPs voted to remove her after Belgian authorities announced a corruption investigation linked to suspected influence peddling at the assembly.
The bribery and corruption scandal has cast a shadow over the EU assembly. It is believed to involve members of the European Parliament, the World Cup hosts Qatar and a human rights campaign group. The alleged bribery has raised questions about the assembly's image, especially in Germany, which has warned the credibility of the EU27 is at stake.
European Parliament will not be able to speak about corruption in a credible manner
If you've been watching the evening news over the last few weeks, you've probably seen a lot of reports about European Parliament vice president Eva Kaili, who has been arrested in Belgium on charges of corruption. Kaili is of Greek nationality and was dismissed from her post as EU Vice President after being suspected of taking bribes from Qatar.
According to the European Commission, the allegations against Kaili "threaten the integrity of the European Union and its institutions." In addition, the European Parliament's president has pledged to launch an internal investigation into the scandal.
Kaili has been formally charged with money laundering and participation in a criminal organization. A partner of hers, Francesco Giorgi, was also arrested. The suspects are being monitored under electronic bracelets.
European Parliament could strip Kaili of her job as vice president
If the European Parliament wants to be a moral compass, it needs to keep a close eye on what goes on in its own halls. A scandal involving a Greek Socialist MEP has prompted the body to remove one of its vice presidents.
Kaili, who has been an MEP since 2014, was removed from her position after Belgian prosecutors alleged that she had accepted bribes from Qatar. The European Parliament is the only directly elected institution of the 27 EU members.
Belgium says it is investigating corruption involving World Cup host Qatar, and the bribery allegations against MEP Eva Kaili are a part of the investigation. Authorities have searched 19 private homes and confiscated hundreds of thousands of euros in cash.
Eurogroup suspends Kaili's membership in the S&D group
The European Parliament's Socialist and Democrats group has suspended the membership of Eva Kaili. The party invoked Article 21 of the Parliamentary Procedure Rules, which states that a senior member of Parliament can be removed if he or she has been involved in a criminal offense.
Belgian authorities have launched a large corruption investigation into the European Parliament. Prosecutors have accused four people of being bribed with huge sums of money to help Qatar's interests. The investigation was triggered four months ago.
The investigation has been assigned to a prosecutor from the Belgian Central Anti-Corruption Agency. This is the same prosecutor who is investigating another corruption scandal in the country.
Eurogroup investigates allegations of cash and gifts for political influence corruption
The Eurogroup has made its mark since its inception in 2005. It has helped shape the response of euro zone governments to the financial crisis. It has also helped foster the integration of the euro area economy. However, the Eurogroup is not without its share of scandals. In fact, four people have been charged in connection with a shady cash-for-favors scheme.
The euro group has also earned a spot as the home of the 500 billion euro ESM permanent fund. As a result, it is a ripe target for allegations of corruption and other shenanigans. And its role will only continue to expand in the coming years.
Eurogroup investigates allegations of bribery
European regulators are continuing to warn about the risks of crypto assets. Two top central bank officials in the EU have also criticized crypto assets. They said there is chaos in the crypto world, and that more regulation is needed.
A crypto asset regulatory framework is being examined by the European Parliament. The new rules are aimed at supporting innovation and financial stability while protecting investors. They will not be finalized until countries have agreed.
The EU wants to create a legal framework that will help prevent market manipulation, fraud, and financial crime. It will require businesses to demonstrate they are operating according to the law. It will also have the power to cancel permissions if they do not meet its requirements.
The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.