With the leader of the Socialist Party in his cell in Tepelenë TIRANA - Nano returns to Bënçë prison. The Albanian prime minister has undertaken a journey to gather the lost pieces of his life in a high-security prison, where he was held in isolation to serve his 12-year sentence. Accompanied by his wife, Rexhina, Prime Minister Fatos Nano visited the entire first floor of the Bënçë building. At its entrance is cell number 5, until a year ago the former refuge of Albania’s most important prisoner. And his first move was to sit on the bed, which he described as his principal tool of work throughout all four years of isolation. On page 3

“If he doesn’t come, we’ll bring him by force” Head of Customs: I had made an arrangement with the investigators A test of strength for the Government AGIM MERO Corruption has become the topic of the day in politics and among the wider public—in families, cafés, on buses and everywhere. Even football philosophers take corruption as far as the stadiums of France, where the World Cup is being held. Those in power and the opposition, rich and poor, talk about corruption. Will it be fought and will this scourge be cured? Long explanations can be given for all these questions and others like them, about the causes, reasons and factors that feed, fight or protect it, and yet, perhaps, one has put a finger on the wound, let alone managed to heal it. Because the corrupt seem TIRANA - “Bleta in handcuffs at the Prosecutor’s Office.” This is what they told you at the General Prosecutor’s Office, where they say this measure is based on the law. Bleta has not appeared at the Prosecutor’s Office, and he has an alibi for this. “I have an agreement with the prosecutors that they would postpone my appearance by a few days, since I had work that I could not leave,” the director of Customs told the Gazette. Later, Bleta was also awaited by numerous journalists who were asking why he was delaying, since this was the only way to get a statement from him, even just one word—apart from a NO COMMENT. The public is eagerly awaiting the latest news from the anti-smuggling front and is just as eagerly awaiting the spect... … political circles and the wider public—in the family, in cafés, on public transport and everywhere else. Even football fans carry the corruption debate as far as the stadiums in France, where the championship and poor, yesterday’s and today’s corrupt, ordinary and honest people—from the street sweeper to the President—all talk about corruption. Everyone talks about corruption, and everyone swears to clean things up and uphold honesty. This shows, indisputably, that corruption has become such a deeply festering wound that a considerable part of the public even considers it something one can get rich from. This uncertainty stems from the fact that when a phenomenon turns into a general psychosis that affects and encompasses every stratum of society, it is very difficult to fight and correct. Naturally, several questions arise. Who are the corrupt? Who is behind corruption, who feeds it and who protects it? When and how did corruption arise—is it an old wound or a new one? And most importantly, how will… All these questions and others like them could be answered with lengthy explanations of the causes, reasons and factors that fuel corruption, fight it or protect it, and yet perhaps you still would not have put your finger on the wound—much less be able to heal it. The corrupt seem to be everywhere and nowhere. Some say the fish has rotted from the head, and that corruption cannot be fought. Others say corruption comes from below, and that even those at the top cannot resist its temptations. Still others, to justify themselves as people in power and excuse their failures, and to gain political capital, call corruption a new plague belonging solely to this government, to this coalition. In various forms and ways, although not so openly or on such a rampant scale, corruption also existed under the dictatorial system, a system that was so centralized and tightly controlled. But it took on new, unimaginable proportions during the years of transition and democratic governance. Perhaps at first we all justified its manifestations as…

“Reforms in the Justice system and transparency in the administration are needed” MURDER OF THE SPECIALIST, CONTROVERSY ERUPTS WITH THE POLICE KASTRIOT ISLAMI Corruption, perceived by most Albanians for several years under pluralism as a widespread phenomenon, discussed intensively by the media and turned into a powerful element of political struggle, had remained a taboo subject for previous governments. The current Government is taking the initiative for the first time to identify and analyze the phenomenon of corruption and undertake a series of measures, on the premise that every negative phenomenon—whether chiefly inherited or otherwise—must be confronted from every perspective. Representatives of the World Bank and other organizations participating in the Forum expressed their satisfaction at finding the Albanian Government willing to pursue a more realistic analysis, without excluding personal subjectivity and what is connected with the absolute error of the results themselves. a) The greatest corruption—the pyramid schemes Corruption reached its peak with the dizzying rise of the pyramid-scheme system at the end of 1996, producing two basic features: its mass scale and the implication of the state’s own awareness. The state’s direct or indirect connection with most of the pyramid-firm managers, clearly demonstrated in actual electoral activities in various forms of participation, sponsorship or other means, initially created trust among the vast majority of creditors, who, immediately after the pyramid schemes collapsed, became stigmatized objects of blame. Table 1, based on ORT surveys in 1997, gives the results of polls relating to the question, “Who is responsible for the loss of your money in the pyramid schemes?” The fact that over 60 percent of people blame the previous government and around 15 percent blame the owners of pyramid firms shows that people perceived these schemes as large-scale operations organized or supported by the government, on a scale involving cooperation with their owners. As can be seen, in 1998 attempts were made and positive results achieved in identifying and managing the pyramid firms, but in most cases their consequences remain unknown and may take time to recover from. b) Corruption—a mainly inherited phenomenon The multi-faceted crisis of 1997 was the pot boiling over for various reasons. Table 2, presenting perceptions and results from ORT’s 1997 survey, shows what respondents considered responsible for the 1997 crisis. These can be divided into three categories: corruption, the collapse of the pyramid schemes and unemployment were considered the main cause by around 81–83 percent of respondents; lack of political understanding and ineffective governance ranked in the second group, at around 67–76 percent of respondents; and the existence of the mafia and lack of motivation to work—that is, the existence of an unmotivated administration—were considered causes in the third group. Since most of these causes take time to correct, it is evident that the inherited component of corruption will remain present. The only factor that has changed is governance, despite being strongly correlated with the other factors that… Continued on page 9 …tion, with the idea that every negative phenomenon—whether primarily inherited or only partly so—must be confronted from every angle. the Forum expressed their satisfaction at finding that, compared with many other countries, the Albanian Government had a positive attitude and the willingness to cooperate in defining measures to fight this phenomenon. The negative experience of addressing the scale of the problem, as one of the peaks of corruption in Albania, clearly showed the consequences of the Government’s irresponsibility in failing to act against a widespread phenomenon, while parts of the Government itself are involved in it or implicated in it. At the initiative of the Albanian Government and in cooperation with the World Bank, the Government Commission for the Development of Institutional Schemes in the Fight against Corruption was established by a decision of the Council of Ministers. II. Methodology and reliability of the results collected The material was described and prepared by the World Bank and carried out by the Albanian Center for Economic Research, based on contemporary methodologies and procedures developed with World Bank experts. The analysis also drew on statistical data collected by ORT, CEER-Wall Street Journal and Transparency International. All personnel involved in conducting the perception survey were trained on the specific issue. All the assessments collected mainly cover the period 1996–1997. Like any other methodology based on a perception survey, this one also has a margin of error in its analysis; however, this does not distort the relative assessment, which, as the material explains, is important and allows conclusions to be drawn. III. Analysis of the perceptions collected Using the material collected, I will attempt to carry out a… Funeral ceremony for the murdered specialist

We’re not coming back even though the West is against us Secretary General Bode: It was a radical decision TIRANA - The DP is defying even the US State Department. “The departure is final; there is no turning back,” Vili Minarolli, secretary for Public Relations at the Democratic Party, said yesterday. Despite the great concern that characterized the Democrats’ camp yesterday, there was no official indication that its position might change following the strong reaction from the International Community. “We are very clear that no one will support us in this action,” Minarolli said. [Portrait: Berisha] Berisha On page 2

Publishers speak Tense days in the Albanian press. The entry into the market of the daily “Shekulli”, which has decided to sell at a price below the cost of printing, has shaken the publishing world. The problem concerns not only the other newspapers, which are forced to sell at higher prices, but also the rules of competition and the market economy. On page 12

Funeral ceremony for the murdered specialist On page 4

DURRËS NEWSPAPER Municipality: Here’s how privatization works On page 8 VLORË NEWSPAPER “I have corrupt officials” On page 7 SHKODËR NEWSPAPER Weddings, this summer’s headache On page 6