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SABOR DESCRIBES REPORT OF NATIONAL AUDIT OFFICE ON PRIVATISATION AS DEVASTATING

ZAGREB, April 1 (Hina) - Clubs of parliamentary parties on Thursday described as devastating a report on previously privatised state-run companies which the National Audit Office compiled from June through November last year.
ZAGREB, April 1 (Hina) - Clubs of parliamentary parties on Thursday described as devastating a report on previously privatised state-run companies which the National Audit Office compiled from June through November last year.#L# According to the report, which covered 250 privatised companies, only one fifth had no irregularities. The National Audit Office found 500 cases of irregularities in 200 companies, some of which have the nature of criminal acts. As a result, 31 criminal charges have been pressed. A total of 30 companies went into receivership, and over half of those 250 failed to carry out development strategies. Zeljko Pecek of the Croatian Peasant Party (HSS) pointed the finger at tycoons accusing them of using the previous accumulation of capital, adding that they would never be held responsible for wrongdoing and plunder as they took care to avoid punishment. Damir Kajin of the Istrian Democratic Assembly (IDS) shared the same opinion. Kajin added that after receiving reports on irregularities in privatisation processes, courts ruled that privatisation had been carried out lawfully in the majority while in cases where there were irregularities the statute of limitations had begun. Jozo Rados of Libra proposed that Sabor should be given a report of the State Prosecutor's Office on proceedings launched for crimes in privatisation, along with reports of the the auditor-general. Mato Arlovic of the Social Democratic Party (SDP) believes that the report on audits made it clear that the Croatian economy had been impoverished and fragmentised, and that capital ended up in spending rather than production. Tonci Tadic of the Croatian Party of Rights (HSP) said it was unheard of that Croatia had not yet managed to compile a list of state-owned property, for which reason it could not establish the pace and methods of privatisation. He called on the national Privatisation Fund to cancel agreements on privatisation with owners who had not managed to carry out development strategies in their companies. Sime Prtenjaca of the Croatian Democratic Union (HDZ) said that being unaccustomed to private property, some in Croatia slammed in advance any form of private initiative and that "one of the greatest sins is to succeed". He went on to say that ownership transformation and privatisation had been carried out in difficult war-time conditions. (Hina) ms

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