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HERZEGOVINA-NERETVA CANTON FACING BANKRUPTCY - FINANCE MINISTER

MOSTAR, July 10 (hina) - The Finance Minister of Herzegovina-Neretva Canton, Alija Tipura, said on Wednesday that over the last six months fictitious companies had committed tax evasion amounting to 35 million convertible marks (approx. EUR17.5 million) doing business transactions via Bijeljina's Nova Banka in Mostar. The minister said the canton was facing bankruptcy. According to Tipura, the turnover in the Nova Banka branch in Mostar from payments made by 130 fictitious companies amounted to 211 million convertible marks. "Under the existing laws, over 35 million marks of tax should have been paid on this amount," the minister said and added that tax could not be collected because the companies, registered in the Federation and the Serb entity, did not exist. Speaking at a session of the government of Herzegovina-Neretva Canton, Tipura accused the Federation government of adopting "disastrous"
MOSTAR, July 10 (hina) - The Finance Minister of Herzegovina- Neretva Canton, Alija Tipura, said on Wednesday that over the last six months fictitious companies had committed tax evasion amounting to 35 million convertible marks (approx. EUR17.5 million) doing business transactions via Bijeljina's Nova Banka in Mostar. The minister said the canton was facing bankruptcy. According to Tipura, the turnover in the Nova Banka branch in Mostar from payments made by 130 fictitious companies amounted to 211 million convertible marks. "Under the existing laws, over 35 million marks of tax should have been paid on this amount," the minister said and added that tax could not be collected because the companies, registered in the Federation and the Serb entity, did not exist. Speaking at a session of the government of Herzegovina-Neretva Canton, Tipura accused the Federation government of adopting "disastrous" regulations on the fiscal policy which enabled fictitious companies to launder money and evade tax. (hina) it

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