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MOSTAR'S POWER SUPPLY COMPANY DIRECTOR RESIGNS

SARAJEVO, March 6 (Hina) - Director-general of the Herceg-Bosna Croat Community's power supply company, Matan Zaric, on Thursday tendered his resignation.
SARAJEVO, March 6 (Hina) - Director-general of the Herceg-Bosna Croat Community's power supply company, Matan Zaric, on Thursday tendered his resignation. #L# High Representative to Bosnia Paddy Ashdown told reporters in Sarajevo Thursday that he had received Zaric's resignation notification and had decided to accept it, although he actually deserved to be dismissed because of omissions in his work. An audit of the company's business established that the company had lost 50 million convertible marks (some 25 million euros) in 2001 alone, while the overall amount of unsettled debts to date has reached 170 million marks. Ashdown described the company's business operations as shameful and recalled that a report by independent auditors clearly indicated that Mostar's firm practically acted as a sort of treasury for the Croatian Democratic Union (HDZ) party. The report mentions several times the names of companies suspected to have served for the Bosnian party's money laundering, as well as the names of politicians who had directly received money from the Mostar-based power supply company, including the current Bosnian Presidency's Croat member, Dragan Covic. The audit established that the company had paid him 1,500 marks per month for consulting services, without any evidence to prove that he had ever done any concrete work for the company. Ashdown said he expected of Bosnian judicial authorities to take steps to establish criminal liability for the company's business and all discovered corruption scandals connected to murky business arrangements. (hina) lml sb

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