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The Plots on Vodno case: Ex-Macedonian PM Nikola Gruevski guilty of money laundering and misappropriation of property

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  • North Macedonia

The Plots on Vodno case: Ex-Macedonian PM Nikola Gruevski guilty of money laundering and misappropriation of property

Case Date(s)
05/2021
Case Updated
12/2023

Case Summary

Phase

Enforcement

Offence

  • Abuse of functions
  • Embezzlement, misappropriation or other diversion of property by a public official
  • Illicit enrichment

Sector

  • Public administration and defense; compulsory social security
  • Construction

Institution

  • Ministry of Transport and Communications

Involved people

Allegedly involved people Nikola Gruevski Former prime minister of the Republic of North Macedonia
Nikola Gruevski
Politically exposed
Yes
  • Laundering of proceeds of crime
  • Concealment
  • Illicit enrichment
Allegedly involved people Sasho Mijalkov Former director of the administration for security and counterintelligence (UBK) and cousin of Nikola Gruevski
Sasho Mijalkov
Politically exposed
Yes
  • Laundering of proceeds of crime
Allegedly involved people Risto Novachevski Owner/manager of one of the companies in the case
Risto Novachevski
Politically exposed
No
  • Laundering of proceeds of crime
Allegedly involved people Jordan Kamchev Owner/manager of one of the companies in the case
Jordan Kamchev
Politically exposed
No
  • Laundering of proceeds of crime
Allegedly involved people Nenad Josifovikj Owner/manager of one of the companies in the case
Nenad Josifovikj
Politically exposed
No
  • Laundering of proceeds of crime
Allegedly involved people Ratka Kunovska-Kamcheva Owner/manager of one of the companies in the case
Ratka Kunovska-Kamcheva
Politically exposed
No
  • Laundering of proceeds of crime

The Plots on Vodno case is one of North Macedonia’s most significant corruption scandals, involving the illegal acquisition of land through money laundering and the misuse of political party funds. Former prime minister Nikola Gruevski, along with high-profile associates, orchestrated a scheme to funnel €1.3 million through offshore companies to secretly purchase prime real estate, leading to convictions, asset seizures and long-term legal consequences.

The Plots on Vodno case is a high-profile corruption and money laundering affair in North Macedonia, centring around former prime minister Nikola Gruevski and his associates. The case involves the illegal acquisition of land on Mount Vodno, Skopje, using misappropriated funds originally intended for political party financing

The investigation began in October 2020, led by the basic public prosecutor’s office for prosecuting organised crime and corruption. Prosecutors alleged that, between 2006 and 2012, Gruevski illegally obtained €1.3 million from VMRO-DPMNE party donations to purchase attractive location plots in Vodno. The indictment was formally filed in May 2021 with Gruevski charged along with several associates, including Sasho Mijalkov (former intelligence chief and Gruevski’s cousin), Jordan "Orce" Kamchev (businessman), Risto Novacevski (Gruevski’s best man), Nenad Josifovikj (businessman) and Ratka Kunovska-Kamcheva (Kamchev’s mother). The prosecution argued that these individuals played key roles in facilitating the transactions and concealing the real ownership of the land.

the trial commenced in July 2021 at the Basic Criminal Court in Skopje, presided over by Judge Ilija Trpkov and prosecuted by Lile Stefanova. Evidence presented during the trial demonstrated how Gruevski, with the help of then head of the secret police, Mijalkov and Nenad Josifovikj, used a Belize-based offshore company to establish a domestic firm, through which the plots of land were purchased. The court heard testimonies detailing how the funds were funnelled through multiple accounts to obscure their origins. During the legal proceedings, the court-imposed detention measures on some of the accused, including Sasho Mijalkov, who was briefly held in custody in December 2021 before his detention order was revoked by the court of appeal.

In April 2022, the basic criminal court in Skopje delivered its first-instance verdict. Nikola Gruevski was sentenced to seven years in prison for money laundering and illegal acquisition of property. Jordan Kamchev received a one-year prison sentence for his role in facilitating transactions. Risto Novacevski received five-year suspended sentence and Nenad Josifovikj a two-year suspended prison sentence, while Sasho Mijalkov was initially sentenced to one year and three months in prison, but his sentence was later overturned by the court of appeal. Ratka Kunovska-Kamcheva had her charges dropped due to the statute of limitations. Following an appeal, in March 2023, the court of appeal increased Gruevski’s sentence to nine years and upheld the confiscation of assets, including the Vodno land parcels. In December 2023, the supreme court of North Macedonia rejected Gruevski’s request for an extraordinary review, making the verdict final.

Although convicted in multiple cases, Nikola Gruevski never served his prison sentence. In November 2018, before the legal proceedings in this case had started, Gruevski fled North Macedonia and sought asylum in Hungary. He was aided by Hungarian diplomatic channels, reportedly travelling through Albania, Montenegro and Serbia before reaching Budapest according to the Organized Crime and Corruption Reporting Project (OCCRP). The Hungarian government granted him asylum, allowing him to evade imprisonment. Since his departure, Macedonian authorities have issued multiple international arrest warrants, but Hungary has refused to extradite him.

As part of the court ruling, state authorities moved to confiscate properties valued at €1.9 million, including plots on Vodno linked to Gruevski. However, the execution of these measures remains slow. The case had significant political and legal implications, reinforcing public distrust in state institutions and highlighting the ongoing struggle against high-level corruption in North Macedonia. It also affected North Macedonia’s EU accession process, as the European Commission emphasised the importance of judicial independence and anti-corruption efforts. The Plots on Vodno case remains one of the most consequential corruption scandals in North Macedonia’s recent history, underscoring the challenges in enforcing legal accountability at the highest levels of government.

Further details

JURISDICTION/COURT

Basic criminal court Skopje

LAWS (ALLEGEDLY) BREACHED

Criminal code, money laundering and other incomes from punishable offence, Article 273, para 1, illicit gain and concealment of property, Article 359, para 1

FINAL SANCTION OR MEASURE

In April 2022, the basic criminal court in Skopje sentenced Gruevski to 7 years in prison for money laundering and illegal acquisition and concealment of property. The court of appeal later increased this sentence to 9 years.

In a first-instance verdict, Sash Mijalkov received 1 year and 3 months in prison, which was changed to a suspended prison sentence by an appellate court.

Jordan Kamchev received a 1-year prison sentence;

Risto Novachevski received a 5-year suspended prison sentence;

Nenad Josifovikj received a 2-year suspended prison sentence;

Ratka Kamcheva was acquitted due to the expiration of statute of limitations.

UNCOVERING METHOD

Investigation

PROSECUTOR

Lile Stefanova

JUDGE

Ilija Trpkov

DEFENCE COUNSEL

Dimitar Dangov for Gruevski and Elenko Milanov for Kamcev

SOCIAL HARM ON SDGs

16 Peace, justice and strong institutions

The Plots on Vodno case caused direct financial harm of €1.3 million as Nikola Gruevski misused party donations to purchase land through money laundering. The confiscated Vodno plots are estimated at €5.8 million, while Gruevski’s confiscated apartments are worth €1.9 million. The case is part of a broader corruption pattern that has cost North Macedonia’s budget €244 million. It damaged public trust in government institutions, reinforcing perceptions of high-level corruption and impunity. The lengthy legal proceedings burdened the judicial system, delaying justice in other cases. Misuse of party funds exposed weaknesses in financial transparency and accountability. Social harm includes public disillusionment with anti-corruption efforts, reduced trust in political parties and growing scepticism about the judiciary’s fairness. Gruevski’s escape to Hungary fuelled the belief that powerful figures avoid justice. The case also affected North Macedonia’s EU integration as corruption remains a major concern for accession talks. Overall, it deepened cynicism, weakened governance and reinforced perceptions of selective justice, making it harder for the country to move forward with reforms.

Disclaimer

Every effort has been made to verify the accuracy of the information contained in this database. All information is believed to be correct as of 12/2023. Nevertheless, Transparency International cannot accept responsibility for the consequences of its use for other purposes or in other contexts.

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