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LINIC: INTERNAL AUDIT TO CHECK UNIONS' REPORTS ON FAILURES IN HZ

ZAGREB, Aug 23 (Hina) - A Croatian Deputy Prime Minister Slavko Linic, who is the Croatian Railways (HZ) Supervisory Board chairman, announced that the internal audit would be conducted to examine business transactions in the HZ, following reports made by unions. In case the internal audit finds out failures in the financial transactions or some criminal acts, the Management will propose measures and sanctions against responsible persons, Linic said after Wednesday's talks with representatives of railway workers' unions. Linic reminded that the unions often linked the safety and security issues on the railroads with failures and mistakes in the financial activities and crime. That's why an internal audit will try to analyse all unions' reports in a short period, he added. Today's meeting between Linic and unionists did not tackle the unions' demand for the replacement of the incumben
ZAGREB, Aug 23 (Hina) - A Croatian Deputy Prime Minister Slavko Linic, who is the Croatian Railways (HZ) Supervisory Board chairman, announced that the internal audit would be conducted to examine business transactions in the HZ, following reports made by unions. In case the internal audit finds out failures in the financial transactions or some criminal acts, the Management will propose measures and sanctions against responsible persons, Linic said after Wednesday's talks with representatives of railway workers' unions. Linic reminded that the unions often linked the safety and security issues on the railroads with failures and mistakes in the financial activities and crime. That's why an internal audit will try to analyse all unions' reports in a short period, he added. Today's meeting between Linic and unionists did not tackle the unions' demand for the replacement of the incumbent HZ Management. The Management's work will be considered at the coming session of the Supervisory Board and the Management, which will be held after the internal audit processes its findings, Linic announced. A leader of the engine drivers' union, Ivan Tolic, maintained that the internal audit would manage to launch some positive processes at the HZ. On the other hand, Tolic reiterated the lack of confidence in the current HZ Management. Present at Wednesday's meeting was Croatian Transport and Communications Minister, Alojz Tusek, who said that recent cases of derailment, owing to defects on the points, should not recur. "The equipment is old and partly out-dated but this does not mean that it is faulty," Minister Tusek claimed adding that the high- quality and proper maintenance of the equipment would compensate for the fact that those devices are old. A leader of the infrastructure workers' union, Darko Pavicic could not agree with the Transport Minister, and said the chief cause of recent accidents was the insufficient investment in railway lines and the accompanying equipment. The HZ badly needs a new workshop for manufacturing the points, as in the past 300 items of points were manufactured annually while today just a score are produced per annum, Pavicic warned. (hina) jn ms

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