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MILOSEVIC DENIES YUGOSLAVIA FINANCED SELF-STYLED SERB STATES

THE HAGUE/ZAGREB, April 11 (Hina) - Former Yugoslav President Slobodan Milosevic, who is standing trial for war crimes at the U.N. criminal tribunal for the former Yugoslavia (ICTY) in The Hague, on Friday challenged evidence on Belgrade having financed self-styled Serb states in Croatia and Bosnia-Herzegovina, particularly their armies, and claimed the assistance was more of a civilian and developmental character, similar to the assistance of the International Monetary Fund.
THE HAGUE/ZAGREB, April 11 (Hina) - Former Yugoslav President Slobodan Milosevic, who is standing trial for war crimes at the U.N. criminal tribunal for the former Yugoslavia (ICTY) in The Hague, on Friday challenged evidence on Belgrade having financed self-styled Serb states in Croatia and Bosnia-Herzegovina, particularly their armies, and claimed the assistance was more of a civilian and developmental character, similar to the assistance of the International Monetary Fund. #L# A financial expert and expert witness, Morten Torkildsen, said in a report that Belgrade had fully financed the Serbs' armed rebellion and the establishment of Serb para-states in Croatia and Bosnia by printing money. Cross-examining the witness, Milosevic tried to prove that as Serbia's president he had had no influence whatsoever on decisions pertaining to the budget and finances of the Federal Republic of Yugoslavia. Torkildsen, however, referred to his report claiming the accused had indeed exerted influence on the allocation of funds. Torkildsen said a piece of evidence supporting his stand was the fact that up until last year Belgrade had paid the salaries of Bosnian Serb army officers. Milosevic said that the salaries of Bosnian and Croatian Serb soldiers were a form of "welfare" aimed to help alleviate poverty in the Serb regions. He also added that the largest part of the funds was intended for the school system, health, pensions, welfare and refugees. "Military needs were the least, although there were too much arms, particularly in Bosnia-Herzegovina," Milosevic said. Torkildsen, a Norwegian expert on finances and auditing, who works as a financial investigator for the ICTY's prosecution, said the documents showed that most funds had been used for military purposes. Milosevic then asked how Yugoslavia's help to Bosnian and Croatian Serb states differed from the help the IMF would give a country to maintain its stability, to which Torkildsen replied the IMF would not support the country's army. Six more witnesses are to testify next week in the Croatian part of the Milosevic trial about war crimes in Skabrnja, the Knin prison and Vocin. (hina) rml sb

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