Romania's MPs send 'bad' signal against graft: PM

(BUCHAREST) - Romanian MPs on Friday refused to allow the arrest of a lawmaker accused of corruption, a move that will undermine the country's international credibility according to Prime Minister Victor Ponta.

The lower house, where Ponta's ruling coalition won a large majority in elections on December 9, rejected a request from the anti-graft prosecutor to arrest MP Ion Stan by 226 votes against and 145 for.

Stan is accused of influence-peddling for allegedly asking thousands of euros from a businessman promising in exchange to help him win contracts with public institutions.

The lower house's refusal to allow his detention "is a bad result for Romania's objectives in terms of fighting corruption and entering the Schengen" passport-free zone, Ponta said.

"It will damage Romania's credibility in relation to its international partners," he added.

Romania, which joined the EU in 2007, is closely monitored by the bloc as it clamps down on corruption.

The European Commission will publish a new report on the rule of law in Romania early next year.

Its conclusions will be crucial for Romania's bid to join the Schengen zone.