STATE PROSECUTOR REQUESTS BAN ON USE OF HDZ FOUNDATION'S MONEY

ZAGREB, June 5 (Hina) - The State Prosecutor's Office on Wednesday asked for the blockade of around one and a half million euros in the account of a Croatian Democratic Union's (HDZ) foundation until it is established whether the money belonged to the foundation or the state. The case refers to the funds which the Croatian Diaspora raised for the defence of the country during the war. #L# "The order for the distress of some three million German marks (around one and a half million euros) in the foundation's account in Privredna Banka (Commercial Bank) was handed over to the Zagreb municipal court this morning...," Croatian Chief State Prosecutor Mladen Bajic told Hina. The State Prosecutor's Office requested the municipal court to issue a temporary ban on the management of the money, which had been transferred, allegedly by order of the then Croatian President Franjo Tudjman, from a bank account in Villach, Austria to the account of the said foundation, which is headed by Ivic Pasalic. This temporary measure has been introduced until it is established whether the money belongs to the state or to the endowment, Bajic said. He confirmed that his office had begun a preliminary investigation into other accounts in foreign banks where the money collected for Croatia's defence was depositied. The State Prosecutor's Office has information on how many such accounts there are, their exact numbers, and in which banks they were opened, but we have no data on how much money there is in them, Bajic added. Investigating judge Kresimir Devcic told Hina he had received the request of the State Prosecutor's Office for the ban. (hina) sb ms