"In my firm opinion, a gross mistake has been made with the sale of state-owned property and I believe that we have no right to sell it. I will advocate a ban on the sale of state-owned property and state-owned companies. Only concessions can be granted," Mesic told Croatian Radio on Friday.
"I believe that this model could have been applied to Liburnija (hotel company)," the president said.
He added that he was in favour of the strictest regulations in this field. "There can be no sale of property which is owned by a city, a county or the state, only concessions can be granted so that we can protect our future generations from ourselves," Mesic added.
The leadership of the northern coastal town of Opatija has announced talks with President Mesic about problems concerning the local hotel company Liburnija Riviera Hotel d.d. which occurred recently when the Croatian government decided to give 84.58 percent of company shares to two holdings which have sued the state over debts. The Ivo Sanader cabinet decided to pay the debt by giving the company's shares to the two holding funds, which were established during voucher privatisation. Thus the DOM holding and SN holding, which already hold some shares in the company, will now hold a 92.73 percent stock in the Opatija-based hotel company.
The local community, local authorities and several political parties have flayed this move insisting that the Sanader cabinet immediately withdraw its decision.
The local government in Opatija consists of representatives from a list of independent councillors led by Amir Muzur and from the Croatian Democratic Union (HDZ) and the Croatian Party of Pensioners (HSU).