SARAJEVO, March 5 (Hina) - An independent control of the business activities of the power supply company (Elektroprivreda) of the Croatian Community of Herceg-Bosna, requested by the Office of the High Representative for Bosnia last
November, showed there was bad management which resulted in great loses and paved the way for corruption and fraud estimated at millions of euros.
SARAJEVO, March 5 (Hina) - An independent control of the business
activities of the power supply company (Elektroprivreda) of the
Croatian Community of Herceg-Bosna, requested by the Office of the
High Representative for Bosnia last November, showed there was bad
management which resulted in great loses and paved the way for
corruption and fraud estimated at millions of euros. #L#
"In 2001 alone the company lost more than 50 million convertible
marks (approx. 25 million euros). This is the amount that citizens
of Herzegovina paid and did not receive anything for, said Donald
Hays, First Deputy High Representative for Bosnia.
Presenting a report on the Mostar-based company's business
activities, the US diplomat said the company collected money for
only 55 percent of produced power at the most, because there were
persons, institutions and companies which simply never paid the
bills.
Those cases involve persons or institutions connected with the
Croatian Democratic Union of Bosnia-Herzegovina (HDZ BH), Hays
said.
He said that the power supply company, like Herzegovacka Bank,
simply served as a cash desk for the financing of the HDZ BH and
people with strong political back-up.
He called on the Bosnian Federation government to take measures and
investigate the business activities of suspicious companies.
He also said this was the perfect time for the reform-oriented
forces in the HDZ BH to cooperate with the Federation's government
and help it cleanse the power supply company from corrupted staff.
(hina) it sb