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HDZ FOUNDATION TO GIVE STATE EUR 1.5 MLN DEPOSITED BY EMIGRANTS

ZAGREB, Nov 5 (Hina) - Croatia and a Croatian Democratic Union (HDZ) party foundation have agreed on the payment of more than 11 million kuna into the government budget which has been blocked in a bank account since mid-2002, the State Prosecutor's Office said on Wednesday.
ZAGREB, Nov 5 (Hina) - Croatia and a Croatian Democratic Union (HDZ) party foundation have agreed on the payment of more than 11 million kuna into the government budget which has been blocked in a bank account since mid-2002, the State Prosecutor's Office said on Wednesday. #L# In 1998, the sum of EUR1.5 million was transferred into the account of the HDZ's Zaklada Hrvatskog Drzavnog Zavjeta foundation from an Austrian bank in which Croatian emigrants had deposited money for the defence of Croatia. "The agreement on the unconditional transfer of EUR1.5 million from the Zaklada account into the government budget has been reached recently," Deputy Chief State Prosecutor Jadranko Jug told Hina. "I don't know if the transaction has been technically carried out, i.e. if the money from the Zaklada account has already been paid into the government budget." Upon discovering the secret account in Privredna Bank, the State Prosecutor's Office asked for the money, claiming it belonged to the government and not to the HDZ foundation. Last June, at the request of the State Prosecutor's Office, the Zagreb Municipal Court last June issued a temporary injunction on the disposal of the funds. Jug said the state would also ask, via the State Prosecutor's Office, the return of EUR40,000 in interest which he added Zaklada had spent for its own ends. The latter sum will be asked in a trial initiated after charges were pressed against former Zaklada manager Ivic Pasalic, and administrative board members Anto Beljo and Ivan Aralica. (hina) ha sb

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