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PARLIAMENT DEBATES REPORT ON MANAGEMENT BUYOUT LOANS

ZAGREB, Oct 4 (Hina) - The chief objection MPs had to a Croatian National Bank (HNB) report on management buyout loans during Friday's debate was the absence of a list of beneficiaries. Some 27,000 such loans were approved between 1992 and 1994, in the total amount of some EUR211 million.
ZAGREB, Oct 4 (Hina) - The chief objection MPs had to a Croatian National Bank (HNB) report on management buyout loans during Friday's debate was the absence of a list of beneficiaries. Some 27,000 such loans were approved between 1992 and 1994, in the total amount of some EUR211 million. #L# Most MPs were dissatisfied with HNB governor Zeljko Rohatinski's claim that the central bank was in possession of the list of beneficiaries but could not provide it due to "bank secrecy". He said that all the data regarding said loans should be sought at the Croatian Privatisation Fund (HFP). Dario Vukic of the Croatian Democratic Union (HDZ) bench accused the central bank of not respecting parliament's conclusions and the public's interest to find out the names of those who damaged the state and the people through management buyout loans in privatisation. Milan Kovac of the Croatian Bloc bench advocated disclosing the earnings declarations of all who took part in the privatisation process, of responsible bank officials, the HFP, the former privatisation ministry and privatised companies' supervisory committees in order to shed light on who profited and how much. Also today, parliament debated a HNB report on the development and performance of bank supervision in the last decade. The report had been spurred by the Rijecka Bank case. It was announced the HNB would reveal all details regarding the crisis by the end of year. MPs objected that the report said nothing about the shortcomings of bank supervision in the last decade, when 33 banks went bankrupt. Rohatinski said the bank supervision enforced by the HNB had been set by general legal conditions. Parliament resumes the 25th session next Wednesday, when it should debate a HDZ motion for a confidence vote in the prime minister due to disputes with neighbouring Slovenia. (hina) ha sb

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