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LINIC ANNOUNCES INVESTIGATIVE PROCEDURE AGAINST 'PETROKEMIJA' HEAD

ZAGREB, Jan 29 (Hina) - Croatia's Deputy Prime Minister Slavko Linic on Monday announced he would initiate investigative procedure against the director of the "Petrokemija" company, for his intention to sow unrest and uncertainty among employees with the country's largest plant for manufacturing artificial fertilisers. At a news conference in Zagreb, Slavko Linic described the Petrokemija management chairman's conduct, Josip Jagust, as unacceptable. According to the government's official, Jagust has in recent days forwarded a letter to a few addresses, in which he pinned the blame on the national oil company, INA, for discontinuing delivering gas to this factory in Kutina (east of Zagreb) as well as for a shortage of artificial fertilisers. In addition to this, Jagust has asked the Government to solve all the problems of Petrokemija. Linic told reporters that such a letter with "incorrect conten
ZAGREB, Jan 29 (Hina) - Croatia's Deputy Prime Minister Slavko Linic on Monday announced he would initiate investigative procedure against the director of the "Petrokemija" company, for his intention to sow unrest and uncertainty among employees with the country's largest plant for manufacturing artificial fertilisers. At a news conference in Zagreb, Slavko Linic described the Petrokemija management chairman's conduct, Josip Jagust, as unacceptable. According to the government's official, Jagust has in recent days forwarded a letter to a few addresses, in which he pinned the blame on the national oil company, INA, for discontinuing delivering gas to this factory in Kutina (east of Zagreb) as well as for a shortage of artificial fertilisers. In addition to this, Jagust has asked the Government to solve all the problems of Petrokemija. Linic told reporters that such a letter with "incorrect contents" disturbed the public. Deputy PM pinned accused the Kutina plant's management of failing to do its job, i.e.. run the company. "Those who are trying to transfer (responsibility for) the business policy from Petrokemija to the Government, I tell them we are not going to deal with anything like that. We care only for the inherited financial problems of Petrokemija, and not only for its but also for the problems of many other companies," Linic said. He added that the privatisation an rehabilitation of the Kutina- based Petrokemija was the subject matter which competent ministries had been discussing for six months. The government tackles the issues relating to the financial consolidation and in the mid-February the Ivica Racan Cabinet will consider issues of the debts not only of Petrokemija but also of other firms where the Government holds a majority's portion. Economy and Agriculture Minister, Goranko Fizulic and Bozidar Pankretic, have asserted that Petrokemija can ensure the necessary amount of fertilisers for this spring's sowing (it is 244,000 tonnes). Economy Minister Fizulic has said nobody brings Petrokemija's future into question and the company has for the first time been given a chance to define its prices on its own. Therefore, the Government has revoked tariffs on the imported artificial fertilisers. As regards the transporting features of the gas, the plant in Kutina will not be able to work this winter and next two winters. Under agreement, from 1 November to 31 March provisions supplied from INA to Petrokemija should be adjusted to INA's possibilities in winter conditions which lessen the capacity of the gas pipeline. Linic and INA Director Tomislav Dragicevic have several times reiterated that discontinuation of the gas supplies has been caused by winter conditions. However, this does not affect the profitability of the Kutina plant, Fizulic explained adding the national needs are between 650,000 and 700,000 tonnes of fertilisers, while Petrokemija's capacity is the output of 1.3 million tonnes per annum. (hina) sb ms

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