I have been curious about this subject. Ive heard that Orthodox priests in the eastern european region thought of werewolves and vampires as a form of demonic possession. Can anyone recommend some books on the subject of Vampirism, Vald the Impaler and their relation to the Orthodox Church?
Unfortunately, unless you read Romanian I can't really recommend anything on Vlad Tepes. All the histories of him I've found in the west have been uniformly awful. There may be something decent out there, but I've yet to find one that sticks to the facts rather than coming up with sensationalist Bram Stoker style rubbish. And they invariably get the origin of the name Dracul wrong. The number of times I've had to read through drivel stating something to the effect that Vlad Dracul (Vlad Tepes's grandfather - as I said before, they're often confused) was given the name because he was a member of some 'Order of the Dragon' is unbelievable.
If that explanation were true, then he'd have to have been called either Vlad Balaurul or Vlad Dragonul (though the last would be really unusual - almost nobody uses 'dragon'). Dracul, on the other hand, can only ever mean 'the devil' (-ul is the masculine definite article in Romanian). Vlad Dracul was actually given the name because he fought like a devil against the Turks. There is nothing remotely related to vampirism in the history or even the folklore surrounding either Vlad Dracul or Vlad Tepes. The only explanation I can come up with for the whole Dracula thing (that word isn't even possible in Romanian, by the way) is that he must have heard the story of the Hungarian Countess Bathory, who really did bathe in virgins' blood in an attempt to stay young - that was whilst Transylvania was occupied by the Hungarian Empire. As I said in my last post, the idea of vampires seems to be foreign to Romania.
Now (sorry about the rant, but this is a major bugbear of mine), to get to something that is genuinely Romanian - werewolves. You are right that they were considered demonic in Romania. There is a folk story of a monk at a monastery who had come under spiritual delusion and was able, through the power of the devil, to manifest his spirit as a wolf which roamed the countryside while he was meditating alone in his cell. If I remember correctly the monk was injured when the wolf was but then was healed and restored to the faith by his fellow monks. Romanian werewolf stories tend to be more like this than the usual Hollywood shape-changer type image. Whether or not there was any seed of fact that started off this story, I don't know, though it may be. Certainly, people take the idea of possession and the like very seriously in rural areas like Bucovina (where I used to work) and still will go or be taken to a priest to be exorcised - that's not something you see much of in the west!
Sorry I can't be more help. If you have any questions about Romanian history or folklore I'll do my best to help. If I don't know the answer, I should be able to find out, either by going to Romanian written sources or asking friends and relatives.