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STATE AUDIT OFFICE SURPRISED BY GOVERNMENT'S CONCLUSIONS

ZAGREB, May 24 (Hina) - The State Audit Office is surprised by the government's conclusions on a report on the privatisation audit adopted on Thursday and believes that everything the government has demanded of it has already been done.
ZAGREB, May 24 (Hina) - The State Audit Office is surprised by the government's conclusions on a report on the privatisation audit adopted on Thursday and believes that everything the government has demanded of it has already been done. #L# The government has suggested that the Sabor not adopt the report but request that it be amended to include the names of those who committed violations in the privatisation process. The government also objects that the Audit Office did not press charges against the perpetrators with the State Prosecutor's Office. The Audit Office stresses that the report will be forwarded to the State Prosecutor once it has passed parliamentary procedure. The Office is not in charge of pressing criminal charges, it establishes facts and forwards them to the Sabor, after which they can be forwarded on to the relevant bodies, the Office's Public Relations Office head Biserka Coh Mikulec told Hina of Friday. Responding further to the government's objections, she said that each of the names of the companies involved and their ownership structure at the beginning of privatisation and at present were listed in individual company reports. The government has requested that the Audit Office establish who in the Agency for Restructuring, the Croatian Privatisation Fund, and ministries was responsible for irregularities in the privatisation process. The final report apparently does not name any of the heads of those bodies. However, the Audit Office's response is that it is well known who headed the agencies and when. The government has further suggested that the report is inconsistent, which the Audit Office rejects, explaining that the audit was conducted in 100 companies using uniform methodology. The Office did not wish to comment on speculations that the Chief State Auditor Sima Krasic was to resign following the government's criticism. The report should be discussed in the Sabor next week. The audit is to encompass a total of 1,982 companies and each company will be treated in the same fashion. The audit was to have been completed by year's end, but it appears this will not be achieved within the time set and the government has been considering extending the deadline. (hina) sp rml

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