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Finance minister announces punishment of defaulters

RIJEKA, May 25 (Hina) - Finance Minister Slavko Linic said in Rijeka on Friday that as of next month, charges would be pressed against employers who did not pay salaries and that those in public companies who did not make payments to the private sector within 60 days would be punished.

The clear message of the government and the ministries is that the state sector must pay everything on time, Linic said at a session of the Social Democratic Party's Primorje-Gorski Kotar County branch.

He said the state budget was being kept in check. Revenues are not a problem and expenditures will not be exceeded.

Enough money has been provided for entrepreneurs and they can roll over their tax debt, he said, adding that the government would now be more rigid towards companies, notably state-owned ones.

The government has said that costs must be cut and reforms carried out in all areas as well as that this year's growth must be above zero and that investments must be launched, said Linic.

He said growth must be generated in the state sector by investing in the energy and rail infrastructure as well as in the water sector.

Money has been provided for all investments this year and the question is how quickly we can issue the papers and agree on everything for all investments this year, he added.

The minister announced that a bill on financial operations would be sent to parliament soon whereby the finance ministry would take on some bankruptcy proceedings. Bankruptcies will be administrative instead of court proceedings. Debtors or the biggest creditors will be able to initiate settlement proceedings for which the finance ministry will be in charge.

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