PAYMENT OPERATIONS IN DINARS CEASE IN CRO DANUBE AREA ON TUESDAY

VUKOVAR, Sept 16 (Hina) - Payment operations in dinars ceased in the Croatian Danube river area on Tuesday in accordance to a decision of the UN Transitional Administration of the area (UNTAES). All dinar accounts were converted into accounts in kunas (the Croatian currency), said the director of the Vukovar-based office of the Payment Operations Bureau or ZAP. The director Josip Malkoc added that a growing number of Croatian goods, paid exclusively in kunas, was being delivered to the Danube area. Since May 19 when kuna was introduced into the Vukovar area, a total of money transactions in kunas has amounted to about 80 million kunas (approximately US$ 12.5 million) and it is increasing. Malkoc said that companies in the area did not give proceeds to the ZAP branch offices, although they have to do so, and neither did they pay salaries to employees through these offices. In this way they evaded paying taxes, Malkoc said and added that this problem must be solved immediately. (hina) jn mš 161720 MET sep 97