VZCZCXRO0741
PP RUEHIK
DE RUEHPS #0073/01 0411628
ZNR UUUUU ZZH
P 101628Z FEB 10
FM AMEMBASSY PRISTINA
TO RUEHC/SECSTATE WASHDC PRIORITY 9693
INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE
RUEHNO/USMISSION USNATO 1349
RUFOADA/JAC MOLESWORTH RAF MOLESWORTH UK
RUCNDT/USMISSION USUN NEW YORK 1887
RHFMIUU/AFSOUTH NAPLES IT
RHMFISS/CDR TF FALCON
RHEFDIA/DIA WASHDC
RUEKJCS/SECDEF WASHINGTON DC
RUEPGEA/CDR650THMIGP SHAPE BE
RHEHNSC/NSC WASHDC
RUEAWJA/DEPT OF JUSTICE WASHDC
RHMFIUU/DEPT OF HOMELAND SECURITY WASHINGTON DC
RUEHC/DEPT OF LABOR WASHDC
RUEATRS/DEPT OF TREASURY WASHDC
RUZEJAA/USNIC PRISTINA SR

UNCLAS SECTION 01 OF 02 PRISTINA 000073 
 
SIPDIS 
SENSITIVE 
 
DEPT FOR EUR/SCE 
 
REF: BELGRADE 00130 
 
E.O. 12958: N/A 
TAGS: PGOV PREL PHUM KIRF SR KV
SUBJECT: KOSOVO: SERBIAN ORTHODOX BISHOP ARTEMIJE'S FINANCES MAY 
RESULT IN HIS SUSPENSION 
 
PRISTINA 00000073  001.2 OF 002 
 
 
SENSITIVE BUT UNCLASSIFIED - PLEASE PROTECT ACCORDINGLY 
 
¶1. (SBU) SUMMARY:  A Serbian Orthodox Church committee sent by the 
Synod to audit the financial accounts of Bishop Artemije 
Radosavljevic's diocese has uncovered evidence of financial 
irregularities and fraud.  Bishop Artemije's assistant and adviser, 
Hieromonk Simeon Vilovski has reportedly fled to Greece.  The 
investigation may result in judicial proceedings against SOC members 
and Bishop Artemije's suspension from office.  Patriarch Irinej and 
the Synod reportedly support the investigation and action against 
Artemije.  Artemije has blamed the charges on a foreign government 
conspiracy and may attempt to lead hardline political and church 
groups into a schism by casting himself as Kosovo's savior.  This is 
unlikely to succeed.  Artemije's removal from office would most 
likely be a major positive step forward for the SOC in Kosovo.  We 
will urge the GOK to be ready to welcome more open SOC leaders in 
Kosovo when the time comes.  END SUMMARY. 
 
EVIDENCE OF FRAUD IN THE DIOCESE DISCOVERED 
------------------------------------------- 
 
¶2. (SBU) Gracanica Bishop Artemije Radosavljevic's tenure at the 
Gracanica Monastery may be in jeopardy due to allegations of 
financial irregularities.  Father Sava Janjic (protect), Hieromonk 
of Visoki Decani Serbian Orthodox Church (SOC) Monastery told us on 
February 10 that the Serbian Orthodox Synod in Belgrade has sent a 
church committee to audit the diocese's financial accounts at 
Gracanica Monastery.  According to Father Sava, the committee has 
discovered evidence of huge and obvious financial irregularities and 
fraud involving the misuse of donor money.  The main culprit appears 
to be Bishop Artemije's personal assistant Hieromonk Simeon 
Vilovski, Abbott of Banjska Monastery in Zvecan, northern Kosovo. 
Simeon left Kosovo for Greece suddenly in the late evening on 
February 8. 
 
THE SYNOD'S INVESTIGATION: INITIAL REPORTS 
------------------------------------------ 
 
¶3. (SBU) Artemije issued a media release on February 10 announcing 
the audit but mentioning nothing about allegations of impropriety. 
Father Sava, however, is receiving information directly from 
Diocesan Bishop Teodosije Sibalic, who is a part of the 
investigative committee in Gracanica.  (Note:  Teodosije is Visoki 
Decani's Abbott and a long-time foe of Artemije's, and it is an 
interesting sign of the political currents at play that he was 
chosen to be part of the investigation.  End Note)  According to 
Teodosije, the fraud involves transfers of donors' funds to Simeon's 
private bank accounts, as well as specific misuse of funds.  Sava 
said he expects the investigation to result in judicial proceedings 
against Simeon by the SOC and possibly criminal prosecution by the 
Serbian government.  Artemije, however, is also on the hook due to 
his statements that all financial management in Gracanica and in the 
diocese was carried out under his responsibility.  According to 
Sava, Artemije is denying all wrongdoing and is blaming the fraud on 
a "conspiracy by foreign embassies." 
 
NOT HEADING TOWARD A SCHISM; POSSIBILITY FOR REFORM 
--------------------------------------------- ------ 
 
¶4. (SBU) Sava told us he expects Artemije's allegations that foreign 
meddling is the source of the investigation to find support among 
hardliners in Serbian political and church life.  He believes it is 
likely Artemije may attempt to provoke a schism within the SOC by 
casting himself as the only bishop willing and able to defend Kosovo 
as a part of Serbia.  Patriarch Irinej and the Synod, however, are 
supporting the investigation, and Sava does not believe that 
hardliners will move against Irinej so quickly after his election 
and given his background as a bishop acceptable to all SOC factions 
(reftel).  The most likely outcome of the investigation, according 
to Sava, is that Artemije will face suspension from office.  While 
it is unclear what that might mean for Artemije, Sava is already 
 
PRISTINA 00000073  002.2 OF 002 
 
 
predicting an opportunity for real SOC reform in Kosovo. 
 
COMMENT 
------- 
 
¶5. (SBU) Bishop Artemije's story is a sad one.  He went from being 
one of our best and most open interlocutors to a man whose heart and 
mind seemed irrevocably closed to dialogue.  His suspension and 
removal from office, and replacement by a more open SOC bishop, 
would constitute a major positive step forward.  We know from 
experience that Teodosije and Sava are open to dialogue and contact 
with GOK officials and institutions.  They want to engage with the 
broader Kosovo Alabanian community.  Artemije's departure could open 
the door for direct contact between SOC clergy and GOK 
representatives and institutions.  We are especially struck by how 
quickly the new Patriarch and Synod moved after the former's 
installation.  This could provide the SOC with a platform to address 
a whole host of open issues in Kosovo, such as protection of SOC 
sites, cultural heritage preservation issues, and an eventual KFOR 
drawdown.  Although the alleged financial crimes appear to have been 
committed in Kosovo, we believe the GOK would leave decisions as to 
an appropriate judicial venue and prosecuting authority to the SOC. 
We will urge the GOK to be ready to welcome more open SOC leaders in 
Kosovo when the time comes. 
 
DELL