Former Albanian Tax Director Ceno Klosi under investigation for corruption, fraud, and asset concealment

Former Tax Directorate head Ceno Klosi appeared before Albania’s Special Structure Against Corruption and Organized Crime (SPAK), where he faces investigation on four counts: corruption, abuse of office, fraud, and forgery. The probe began after formal complaints from the Democratic Party. SPAK has since undertaken in-depth investigations into Klosi’s financial dealings, hidden assets, and alleged misuse of public office.

Why is this important: Klosi is the latest high-profile figure to be investigated in a month that has seen a flurry of arrests and investigations by SPAK. It is also just the latest investigation to begin after complaints filed with SPAK by the Democratic Party that constantly accuses SPAK of being at the service of the government. 

Context: Klosi, who has served in multiple high-ranking roles in the public administration and government. In his various positions, he is alleged to have engaged in activities that resulted in substantial financial losses to the state. As of March, SPAK began examining four primary criminal charges against Klosi:

1. Corruption: Accusations include leveraging his position for financial gain, potentially benefiting his family and close associates.
2. Abuse of Office: Klosi is suspected of using his influence to sway decisions that favored specific businesses and family-linked interests, such as the ownership and operation of restaurants in Tirana.
3. Fraud and Forgery: SPAK claims that Klosi participated in deceptive business transactions and document forgery to conceal ownership and income sources, both in Albania and abroad.

According to News 24 the first complaint against Klosi, dated December 13, 2023, details allegations of “Passive Corruption of Public Officials,” “Abuse of Office,” “Document Forgery,” and “Fraud.” A second complaint brought similar accusations against Klosi, which SPAK has now merged into a single, comprehensive case.

What’s this about: One focus of SPAK’s investigation involves Klosi’s suspected role in aiding and promoting family businesses, including two popular high end venues in Tirana. Klosi allegedly used his office to advance these businesses, even hiring a close family associate as his personal advisor. This advisor is also the registered owner of a high-earning company reportedly generating up to 600,000 euros annually.

Further scrutiny has fallen on undeclared assets abroad. Klosi is linked to a luxury villa in London, registered under a UK-based company, in which he holds a 33% ownership stake. The property, a multi-million-euro residence with luxury features like a pool and expansive garden, is listed in a highly exclusive neighborhood. Yet, Klosi has not disclosed his ownership in the official asset declarations to the Albanian High Inspectorate for Declaration and Audit of Assets and Conflict of Interest (ILDKPKI).

Next steps: SPAK’s investigation into Klosi is likely to extend to other officials within the tax administration and beyond, as the government looks to enforce anti-corruption measures.