ZAGREB, Sept 12 (Hina) - The Croatian National Bank (HNB) expects that a report on a inspection conducted in Rijecka bank regarding foreign currency transactions or, rather, a reconstruction of the events in Rijecka Bank from 1998
until March 2002 will be completed by the end of the year.
ZAGREB, Sept 12 (Hina) - The Croatian National Bank (HNB) expects
that a report on a inspection conducted in Rijecka bank regarding
foreign currency transactions or, rather, a reconstruction of the
events in Rijecka Bank from 1998 until March 2002 will be completed
by the end of the year. #L#
The central bank has already wrapped up a reconstruction of
transactions for 1998, 1999 and half of 2000.
All disclosed facts confirm, the HNB said, the initial information
received - about the loss of 98 million US dollars, the way the loss
occurred, as well as the method used to cook the books.
The HNB once again on Thursday emphasises that they are not an
investigative body and that it is not their duty to compile an
indictment against any of the perpetrators in the Rijecka Bank
affair or to gather the evidence on the suspects.
Eduard Nodilo, the prime suspect in the scandal about Rijecka Bank
and the bank's former foreign exchange dealer, was released from
custody on Monday.
Nodilo is suspected of financial wrongdoing which caused the damage
of 100 million dollars to the bank. After six months in custody,
Nodilo was released as the Rijeka-based office of the State
Prosecutor failed to compile an indictment in that period.
Nodilo can now expect a possible indictment in freedom. County
State Prosecutor Drago Marincel said the chief reason for the
failure to issue an indictment within six months was the failure of
the Croatian National Bank (HNB) to ensure, during an investigating
process, enough material which would prove the wrongdoing in the
work of Rijecka Bank.
The HNB on Thursday said that a detailed analysis of what happened
in Rijecka Bank was being conducted for the sake of the banking
system, with a desire to completely ascertain what happened so as
not to leave the impression that something was being covered up or
that room would be left for something similar to occur again.
Governor Zeljko Rohatinski stated that the HNB did not have any
information relating to media headlines about an apparent
expansion of the investigation into those responsible in the HNB,
however, he fully supported any such investigation that might
determine what in fact happened and who was responsible.
The HNB confirmed that it was co-operating with the State
Prosecution, the Interior Ministry and with all those involved in
the investigative proceedings, stressing that the bank allowed
these relevant bodies to investigate evidence contained at the
bank. However, the HNB reiterated that their analysis was not part
of the judicial investigation.
The HNB announced that once a report was compiled it would be
presented to the public.
Mladen Mirko Tepus, an expert at HNB heading the inspection of
Rijecka Bank, told journalists that losses for 1998 and 1999
amounted to 23 million dollars. That leads to the conclusion that in
2000 and 2001 losses amounted to 75 million dollars. Now it needs to
be determined how much of this relates to the deposit amount and how
much to interest.
It is obvious that there was a great deal of irregularity in foreign
exchange transactions which need to be inspected. It is also true
that enormous overdrafts in trading were conducted, of which the
largest daily transaction amounted to 100 million euros.
(hina) sp ms