CRIMINAL CHARGES PRESSED AGAINST RIJECKA BANK BOARD

RIJEKA, June 3 (Hina) - The Commission for Securities has filed a request for criminal charges to be pressed against Ivan Stokic, former president of the Rijecka Banka Board and two other board members for approving the purchase of Rijecka Banka treasury stocks in the period between October 9, 2001 and March 8, 2002, the chairman of the Commission, Ivo Sulenta, said on Monday. #L# In an investigation conducted by the commission it was established that Rijecka Bank gained stocks on behalf of its then majority owner, Bayerische Landensbank. This was in violation of the Company Act, Sulenta told Hina. In the period between October 3, 2001 and March 8, 2002 the Rijecka banka purchased a total of 55,373 of its own treasury stocks for an amount of $US1,629,032. All 25 transactions on behalf of the bank were conducted by the RIB Portfelj d.o.o. brokerage house, owned by the Rijecka banka. The majority of shares - 20,189 - were sold for a price of $US32.89, $US33.96 and $US34.22 on March 8 when the bank's chief dealer, Eduard Nodilo was arrested. Following his arrest and the disclosure that he and two other employees caused a loss of $US98 million for the bank, Rijecka banka shares drastically fell in price. (hina) sp sb