During a session held before the Appeals Chamber presided by Judge Nedzad Popovac in Sarajevo, Jelavic's lawyer, Dragan Barbaric appealed against the November 2005 verdict handed down by the trial chamber presided by British judge Malcolm Simmons, which found Jelavic guilty of white-collar crimes.
The lawyer presented his appeal in a 103-page deposition claiming that the trial chamber had made serious mistakes in the verdict and that his client should be acquitted.
On the other hand, the prosecution insisted on a longer jail sentence, arguing that harsher punishment would serve as a deterrent to others.
Jelavic, who failed to appear in court when the first-instance court announced the verdict in November 2005, has been on the run since then. He is believed to be hiding in Croatia, as he also holds a Croatian passport.
On Tuesday, Judge Popovac asked Barbaric whether he knew his client's whereabouts, but Barbaric said that he had no contact with the indictee.
Bosnia's authorities can officially ask Croatia to arrest Jelavic and send him to serve his term in a Croatian prison as soon as a final verdict is delivered.