Romanian PM, Head Of State Meet At Presidential Palace For Talks

The prime minister met the head of state after a short Government meeting in the morning, which focused on issues concerning EU fund absorption.

People close to discussions said Basescu called on Boc and the ministers present at the meeting to set clear measures to improve European fund absorption. They did not talk about reshuffling the Government, said the sources.

Boc said Saturday EU fund absorption represents a criterion to be considered in a Cabinet reshuffle.On Thursday, he reproached the ministers for failing to keep their promises to improve European fund absorption and asked to have a report within one week.

In a Government meeting in June, President Traian Basescu asked the ministers to think whether they can still be members of the Cabinet after June 30, in case data on the first half of the year indicates poor EU fund absorption and low investments in the fields they manage.

The meeting between the two officials also took place amid allegations that Environment Minister Laszlo Borbely benefited from EUR20,000 worth of works on an apartment in exchange for his influence in awarding public contracts to a company based in Negresti Oas.

Kelemen Hunor, leader of the Democratic Union for Hungarians in Romania, part of the ruling coalition, said Borbely has the party's political support,and added he is confident the accusations brought against the minster will soon prove false.

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