CRO. EMBASSY IN U.S. REACTS TO 'WASHINGTON POST' ARTICLE

WASHINGTON, July 1 (Hina) - The Croatian Embassy in the United States on Saturday reacted to allegations made in today's issue of the Washington Post daily on Croatia's debts to two U.S. law firms. Sources from the embassy said today they had not taken part in engaging Chicago-based lawyers' firm "Pedersen and Houpt" for legal representation before The Hague-based International Criminal Tribunal for the Former Yugoslavia. According to the embassy, they know nothing about a contract with the firm and could not comment on claims in the Washington Post that "Pedersen and Houpt" had sued the Croatian government claiming US$500,000 owed under a contract signed with Croatia's former authorities. In the same front page article, Washington Post states Croatia owes about US$150,000 to "Patton Boggs", lobbyists from Washington. "The existence of a debt to 'Patton Boggs' is not in question," Croatia's Ambassador to the U.S. Miomir Zuzul told Hina today. He pointed out however, that the amount of the debt was by one third smaller than the Washington Post allegation and that for Croatia, settling the debt was not in question. "Patton Boggs" has not sued to collect its claim, he said. For several months last year, this lobbying company was engaged in promoting Croatian interests with the U.S. Congress and other institutions, a common practice in the U.S. (hina) ha