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UPPER HOUSE APPROVES OF HT PRIVATISATION BILL

ZAGREB, June 8 (Hina) - A representative of the Croatian Government accepted an amendment referring to increasing a part of shares to be given to Homeland War veterans and employees during the privatisation of the Croatian Telecommunications (HT) at Tuesday's session of the Croatian National Parliament (Sabor) House of Counties, whereas the upper house approved of the bill on the privatisation of this company. Finance Minister Borislav Skegro accepted the proposal of the Croatian Homeland War Veterans Committee and the bench of the ruling Croatian Democratic Party (HDZ) under which veterans and HT employees should receive seven (7) percent of the company's share rather than previously suggested five (5) percent. Parts for these two groups are thus being increased by 40 percent in comparison to a former bill on the HT privatisation, and we consider this as significant improvement, said Ivan Marjanovic on behalf
ZAGREB, June 8 (Hina) - A representative of the Croatian Government accepted an amendment referring to increasing a part of shares to be given to Homeland War veterans and employees during the privatisation of the Croatian Telecommunications (HT) at Tuesday's session of the Croatian National Parliament (Sabor) House of Counties, whereas the upper house approved of the bill on the privatisation of this company. Finance Minister Borislav Skegro accepted the proposal of the Croatian Homeland War Veterans Committee and the bench of the ruling Croatian Democratic Party (HDZ) under which veterans and HT employees should receive seven (7) percent of the company's share rather than previously suggested five (5) percent. Parts for these two groups are thus being increased by 40 percent in comparison to a former bill on the HT privatisation, and we consider this as significant improvement, said Ivan Marjanovic on behalf of the HDZ bench. During the discussion opposition MPs insisted on a bigger increase in the percentage of shares to be sold to veterans and current and former workers of the public company, HT. The Social Democratic Party (SDP) proposed that 15 percent of shares be given for this purpose, and another 10 percent for other citizens who have been paying expensive telephone connections and investing in the company. The opposition resisted "hasty" adoption of the law on the privatisation of the Croatian Telecommunications. The Croatian Social and Liberal Party (HSLS) maintained that the Government was at the moment buying the social peace by selling of the HT. The Liberal Party, LS, held that former negative experiences in privatisation did not give the legitimacy to the Government to conduct the privatisation of the HT. According to opposition parliamentarians, this job should be done calmly with the maximum protection of national interests. Regarding a part of shares to be given to a strategic investor, MPs were almost unanimous in the warning that the law should provide for the maximum 25 percent of shares sold to the investor. They feared that the Government's current formulation saying that the strategic investor can buy at least 25 percent plus one share might create room for a considerably larger part to be sold to the investor. It is the protection of national and strategic interests to which the bill in the second reading is paying the full attention, Minister Skegro said. He added that the injection of fresh capital could not decrease the ownership part of the Republic of Croatia (i.e. 30 percent) nor could it endanger the State's property and decision-making rights. Without the agreement of the Croatian House of Representatives, no decision could be made on the change of the headquarters and name of the HT, its merger or the discontinuation of its work, he added. (hina) jn ms

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