UPDATE 2-EU chides Romania over graft, no sanctions proposed

(Updates with Romanian reaction, new quotes)

By Marcin Grajewski

BRUSSELS, July 23 (Reuters) - The European Union criticised Romania on Wednesday for dragging its feet in fighting corruption, especially at senior levels, but the Black Sea state escaped sanctions, unlike fellow newcomer Bulgaria.

The European Commission said in a progress report that Romania, which joined the EU in 2007, faced political and judicial obstruction of the fight against graft.

"Achievements are fragile. A broad based political consensus behind the reforms is lacking as is the unequivocal will across all political parties to root out high level corruption," the report said.

Romanian Prime Minister Calin Tariceanu said the report would motivate his government to do better.

"I assure European Commission representatives that we will accelerate measures ... We want every Romanian citizen to feel that justice is done correctly," he said.

In June, a Romanian parliamentary committee recommended rejecting a request to investigate bribery allegations against former Prime Minister Adrian Nastase. Several ex-ministers have yet to be brought to trial on other corruption charges.

Judges often used questionable excuses to delay anti-graft proceedings, the report said.

"We also see frequent delays caused by judges sending cases back to the prosecution for minor reasons," chief Commission spokesman Johannes Laitenberger told a news conference.

The EU took the rare step of monitoring judicial reform and the fight against corruption in Bulgaria and Romania after many politicians complained in 2006 that the Black Sea neighbours were not ready for membership.

POLITICAL INTERFERENCE

Some believe that allowing them to join removed an incentive for reforms. The EU is set to face similar problems with Western Balkan countries queuing to join the bloc.

"The situation in both countries has become worse rather than better since their accession to the EU, however there are distinctions between them," said Elmar Brok, a German Christian-Democrat in the European Parliament.

Laitenberger insisted the Commission stood by its judgment that both countries had been fit to join, and that enlargement had benefited both the newcomers and the Union as a whole.

In an apparent reference to conflicts between Romanian President Traian Basescu and the constitutional court, and between Basescu and the prime minister, he said the anti-corruption effort needed to be "depoliticised".

Basescu criticised the court for having ruled prosecutors need parliamentary approval to investigate current and former government ministers who are members of parliament.

That has effectively frozen investigations of top-level corruption allegations as prosecutors' requests are now mired in parliamentary proceedings.

The Commission decided against suspending any EU aid funds for Romania, a sanction taken against Bulgaria, where some officials are suspected of siphoning off the bloc's money.

It praised Romania for establishing an anti-fraud agency.

"Overall, the situation in Romania is a mixed picture. The fundamental elements of a functioning system are in place," said Laitenberger.

Romania's general prosecutor, Laura Codruta Kovesi, called the report extremely objective. "Whether we like it or not, it presents Romania's problems realistically," she said. (editing by Paul Taylor)