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HFP SENDS GOVERNMENT DRAFT CONTRACT ON SALE OF SUNCANI HVAR

ZAGREB, Jan 29 (Hina) - The Croatian Privatisation Fund (HFP) on Wednesday forwarded to the government a draft contract on the sale of the Suncani Hvar chain of hotels to Slovenia's Terme Catez company, following talks between representatives of the HFP and Terme Catez, HFP officials said.
ZAGREB, Jan 29 (Hina) - The Croatian Privatisation Fund (HFP) on Wednesday forwarded to the government a draft contract on the sale of the Suncani Hvar chain of hotels to Slovenia's Terme Catez company, following talks between representatives of the HFP and Terme Catez, HFP officials said. #L# The officials could not comment on any details regarding the draft contract. The leaders of the ruling coalition will meet this afternoon to discuss the privatisation of Suncani Hvar and possibly the draft sale contract. Sources at the government said the contract had not been included in the agenda of tomorrow's government session. According to some reports, Prime Minister Ivica Racan first wants to see what his coalition partners, primarily Croatian Peasant Party (HSS) leader Zlatko Tomcic, think. The two most important coalition partners - the SDP and the HSS - have divided over the privatisation of the Hvar hotel company. Last week, the government decided to sell 62.3% of Suncani Hvar's shares to Terme Catez, which government members from the HSS opposed, demanding that the decision be annulled. At the beginning of this week the HSS Presidency formally requested the government to annul its decision and not accept any of the bids for the sale of the company as well as to repeat the process of its privatisation according to a model which the ruling coalition defined at a recent meeting. PM Racan said the draft contract could be discussed by government on Thursday, however, his close associates said today the government would not discuss it before Racan heard the views of his coalition partners, primarily the HSS. (hina) rml sb

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