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HDZ OFFICIAL ACCUSES GOVT. OF STEALING HEALTH INSTITUTE FUNDS

ZAGREB, Sept 3 (Hina) - A vice-president of the Croatian Democratic Union (HDZ) and former health minister, Andrija Hebrang, has accused the incumbent authorities of "having stolen" close to six billion kuna (EUR0.810 billion) of health funds.
ZAGREB, Sept 3 (Hina) - A vice-president of the Croatian Democratic Union (HDZ) and former health minister, Andrija Hebrang, has accused the incumbent authorities of "having stolen" close to six billion kuna (EUR0.810 billion) of health funds. #L# Hebrang told a press conference on Tuesday the result of "the theft in the Croatian Health Insurance Institute (HZZO) is Health Minister Andro Vlahusic's decision to close down 15 hospital wards without consulting medical workers, reduce the number of hospital beds, cut the salaries of medical workers and lower hospital spending limits". Hebrang also claims that the money intended for the health system is being stolen and that senior posts are being allocated according to political suitability while workers are being threatened with dismissal. Since 2000 the HZZO has not been paid the 1.7 billion kuna (close to EUR230 million) which it had paid into the budget in the form of VAT, a loan in this amount was taken instead, but it is to be repaid not by the state but the HZZO, Hebrang said, adding that this was the first major fraud in the health system. The government reduced health contribution rates to relieve salaries in the economy from the tax burden, but over the past two years it has failed to compensate the HZZO for the difference amounting to three billion kuna (around EUR405 million), Hebrang said. Instead of paying the HZZO the accumulated budget debt of some three billion kuna, the government has agreed to the HZZO seeking a loan worth 820 million kuna (around EUR111 million), Hebrang said, adding that almost six billion kuna had been stolen from the health sector. The money, he claims, is used for the rehabilitation of the Rijecka Banka and the Viktor Lenac shipyard so that they could "be sold to SDP's tycoons and foreigners at a lower price". Commenting on fraud accusations against the head of the Vukovar hospital, Vesna Bosanac, Hebrang said Bosanac was being accused before the completion of the investigation and that she was entitled to the salaries she had received. (hina) rml sb

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