ZAGREB, June 10 (Hina) - Members of Parliament of the Opposition at Thursday's session of the House of Representatives harshly criticised the motion for the privatisation of Croatian Telecommunications (HT) company. The Government's
motion, however, received support from the ruling Croatian Democratic Union (HDZ) party bench, which stressed that without being privatised, the HT would not be able to fight competition on the European market. In an extensive discussion, MPs warned the price at which HT shares would be sold to a strategic investor was unknown, they reiterated the stance that national and strategic interests should be protected, and in the process of privatisation, due consideration should be given to citizens who financed the modernisation of telecommunications by paying for expensive equipment. Nikola Obuljen of the HDZ saw reasons for HT's privatisation in the influx of foreign capital, which would signalise
ZAGREB, June 10 (Hina) - Members of Parliament of the Opposition at
Thursday's session of the House of Representatives harshly
criticised the motion for the privatisation of Croatian
Telecommunications (HT) company.
The Government's motion, however, received support from the ruling
Croatian Democratic Union (HDZ) party bench, which stressed that
without being privatised, the HT would not be able to fight
competition on the European market.
In an extensive discussion, MPs warned the price at which HT shares
would be sold to a strategic investor was unknown, they reiterated
the stance that national and strategic interests should be
protected, and in the process of privatisation, due consideration
should be given to citizens who financed the modernisation of
telecommunications by paying for expensive equipment.
Nikola Obuljen of the HDZ saw reasons for HT's privatisation in the
influx of foreign capital, which would signalise that it was safe to
invest into Croatia, and in a facilitated access to new
technology.
The HDZ party bench suggested a commission be established to
monitor the privatisation process, and that it comprise two MPs
from both houses of Parliament and a representative of HT
employees.
The Liberal Party (LS) bench holds the Government's motion would
disable competition in telecommunications in Croatia, with the
only difference being that by the year 2003, the monopolist could
become a company mostly owned by another country.
The LS party bench asked the Government to provide information
about the commission amount envisaged for its advisor for the sale
of the HT.
Damir Kajin of the Istrian Democratic Assembly (IDS) said the
Government must know who and at what price would buy HT shares, but
the MPs are not acquainted with not one important element of a
contract between the Government and the strategic investor.
Kajin is opposed to the HT privatisation being carried out by the
Government, which, he said, has made possible the creation of
tycoon empires which destroyed the national wealth.
Marinko Filipovic of the Croatian peasants' party (HSS) described
as absurd the fact that the Croatian Government had no long-term
economic programme and was only "extinguishing a fire" by selling
off Croatian state property and getting in debt abroad.
The HT will this year earn DM400 million of profit, and by selling 25
per cent of its shares, it will get approximately DM800 million,
which is a two-year profit from earnings, and Filipovic did not see
justification for such a sale or calculation.
As do most opposition parties, the HSS holds the state and citizens
of Croatia must have at least 51 per cent of HT's shares.
Opposition MPs said the insistence to privatise HT was an attempt to
"patch" holes in the budget.
Juraj Buzolic of the HDZ said a strategic investor was not
necessary.
Instead, he asked the Government to secure an appropriate amount of
shares for citizens who paid for telephone connections, and 15 per
cent of shares to be secured for company employees.
(hina) lml jn