HIGH REPRESENTATIVE WARNS OF CONSEQUENCES OF TRADING WITH IRAQ

SARAJEVO, Oct 25 (Hina) - The High Representative to Bosnia- Herzegovina, Paddy Ashdown, on Friday warned Bosnian Serb authorities that they need to take seriously the affair that emerged from the illegal cooperation of the "Orao" aviation institute with Iraq and to undertake all measures so that circumstances surrounding the affair be explained in full and those responsible punished. #L# Upon his return from the United States where he spoke with the US administration about circumstances in Bosnia, Ashdown told journalists in Sarajevo that supplying Iraq with military equipment from a factory in Bijeljina had seriously threatened his attempts to ensure the continuation of international support for Bosnia-Herzegovina. It is unbelievable that someone in Bosnia had even tried to establish cooperation with a country like Iraq, Ashdown said. He confirmed that he was prepared to take measures at his disposal on the basis of the authority given to the high representatives, however he still expected authorities in the Serb entity to prove they were capable of explaining all the dimensions of that scandal which brought Bosnia to the verge of sanctions imposed by the UN Security Council. Ashdown announced one of the concrete measures that will certainly be taken and that is that in three weeks time a supervisory mechanism would be installed at the state level in Bosnia over the military industry which. This was not the case until now because these duties were exclusively assigned to the entities. The Supreme Defence Council of Republika Srpska is scheduled to meet on Monday in Banja Luka. The council consists of the highest entity politicians. The body will have to make some concrete decisions following pressure for the United States to punish those responsible for exporting military equipment to Iraq. UN State Secretary Colin Powell has already warned Republika Srpska Premier Mladen Ivanic that the shipment of military equipment to Iraq must be taken absolutely seriously because the scandal came across received the same treatment at the highest level in Washington. Authorities and government oriented media in Banja Luka nevertheless continued with their attempts to diminish the entire affair. The director of the "Orao" factory Milan Prica was removed from office on Thursday following a decision by Republika Srpska authorities. Authorities made their fist comments since the affair broke out on Friday. In a statement for Radio RS, Prica rejected any responsibility, claiming that "Orao" did not cooperate with Iraq nor with the Belgrade based "Jugoimport" believed to have been the mediator in the delivery of spare parts for Iraq's MiGs, that arrived from Bijeljina. Orao does not produce arms or military equipment, it does not have a contract with 'Jugoimport' nor did it export anything to Iraq or send its people there, Prica said confidently, claiming that the entire affair emerged because of some deeper reasons that need yet to be analysed. (hina) sp lml sb