ARTICLE 11 COMMISSION THREATENS SANCTIONS OVER RETURN (PT. 1)

( Editorial: --> 2469 ) ZAGREB, May 8 (Hina) - The international community is ready to take stronger measures towards Croatia if the country fails to set up mechanisms for the return of Serb refugees and their property, the Article 11 Commission said in Zagreb Friday. Members of the Commission, established to supervise the implementation of the Erdut Agreement for the reintegration of eastern Croatia, today held talks with representatives of Croatia's main political parties. Held at the United States Embassy, the talks focused on a procedure for the return of refugees, including Serbs, which the Croatian Government recently passed, but which the international community considers unacceptable. We have informed political party representatives about our decision to postpone for an indefinite period the participation of the international community at a suggested conference on the reconstruction and development of Croatia, a statement the Commission issued after the talks said. We have pointed out that we are considering stronger measures, the Commission said. Today's talks were the latest addition to a series of recent international community pressures on Croatia aimed at making Croatia enable the return of Serb refugees, thus initiating a more consistent mass return of refugees to Bosnia-Herzegovina. National Trust Establishment Committee chairwoman Vesna Skare- Ozbolt confirmed after the talks that sanctions against Croatia were discussed. "There was talk about sanctions," she said. "There was a very uniform standpoint, all political parties agreed that there should be no sanctions." In its statement, the Article 11 Commission recalled that it had already expressed its disappointment with the fact that the Croatian Government "substantively and negatively" altered the return procedure previously drafted in consultations with representatives of the international community. We do not advocate an overnight mass return, but we believe it is urgent for the Croatian Government to set up mechanisms which will enable those who wish to do so to return to their homes and seek the return of their property, the Commission pointed out. In the statement, the Commission said that Foreign Minister Mate Granic had promised that the Government would adopt a "new improved procedure" which would oblige with the demands of the international community. (hina) ha as /mb 081600 MET may 98