ZAGREB, 16 June, 2021 - Zagreb Mayor Tomislav Tomašević said on Wednesday that the decision on new management and supervisory boards in the Zagreb Holding utility company was legally valid and in accordance with the law on local and regional government and the Companies' Act.

The Conflict of Interest Commission has launched a case against Tomašević, the commission's president Nataša Novaković said on Tuesday, who underscored that the case was opened due to a possible breach of Article 15 of the Conflict of Interest Act, after staff were appointed in Zagreb Holding contrary to normal practice. 

Tomašević noted that the decision has already been registered in the Commercial Court register.

"With reference to launching the procedure before the Conflict of Interest Commission for an alleged breach of procedure, we assessed that the situation in Zagreb Holding warranted immediate action and so we decided to adopt decisions according to valid laws and the usual practice. We need to underline an additional circumstance, that until the representative body is constituted, it cannot propose new members to management and supervisory boards," Tomašević said in a press release.

The mayor's office recalled the Conflict of Interest Commission's opinion in 2013 in which it notes that "in cases where collision between the provisions of Article 15, Par. 2 of the Conflict of Interest Act and the provisions of Article 48 of the Local and Regional Self-Government Act occur, the provisions of the law that enter into force later are applied - lex posterior derogat legi priori - hence the provisions of Article 48 of the Local and Regional Self-Government Act."

Based on that article, mayors and county prefects appoint and relieve representatives of local government in local companies in which the local government holds a stake or ownership shares.

After the signing of a coalition agreement between Tomašević's We Can! party and the Social Democratic Party (SDP), SDP leader Peđa Grbin said that the Conflict of Interest Commission had reacted to an article in the law that until yesterday it had called to be erased, considering that the 2012 law on local government regulated the issue of appointing members to management and supervisory boards in companies owned by local government in a different way.

"With due respect to the Commission and to the excellent work it does in numerous spheres, this isn't its duty but that of the legislator," said Grbin, who called on the government to send amendments to the laws to parliament as soon as possible.

"I expect the government to forward amendments to the law on local government or to the law on the conflict of interest as soon as possible so that this issue is absolutely clear and unambiguous and to define how management and supervisory boards in companies in local government are to be appointed," added Grbin.

He urged that the amendment be brought urgently as this same situation could occur in other cities around the country and that a broad consensus should be reached on this matter.

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ZAGREB, 16 June, 2021 - Croatia encourages the remaining EU countries who have not done so to recognise Kosovo's independence, Croatia's Foreign and European Affairs Minister Gordan Grlić Radman said on Wednesday, which is a move that Serbia certainly will not be pleased with as it does not recognise the sovereignty of its former southern province.

Kosovo declared its independence in 2008 and it has been recognised by about one hundred countries, including all EU member states with the exception of Cyprus, Greece, Romania, Spain and Slovakia.

"Croatia encourages the remaining five EU member states to recognise Kosovo because that would contribute to stabilising the region and Kosovo itself," Grlić Radman told reporters.

Today Grlić Radman is participating at the international GLOBSEC conference in Bratislava, convened to discuss also the situation in the western Balkans.

Croatia's foreign minister said that three things were key to the region's stability: respecting countries' territorial integrity, equal constitutional rights of Bosniaks, Serbs and Croats in Bosnia and Herzegovina, and the establishment of mutual trust after the 1990s wars.

"The territorial integrity of Balkan countries needs to be preserved and respected, hence without changing borders like we heard over the past few months in some much-vaunted non-papers that were heading in that direction," said Grlić Radman.

He believes that trust can be achieved through sincere talks, by resolving the issue of the war missing, processing war crimes and providing justice for the victims.

Speaking about BiH, he said the country is trapped between two political tendencies - centralism, or rather unitarism, and separatism.

"That undermines the foundations of a stable BiH and negatively reflects on the status of the Croat people in BiH," he underscored.

He reiterated Croatia's stance that the multi-ethnic BiH needs to reforms the election law to eliminate any form of discrimination and violation of equal rights.

Grlić Radman said that Croatia is a "sincere advocate" of BiH's Euro-Atlantic pathway and that at all international forums it keeps that country in the limelight because it is in its interest to have a stable, functioning and prosperous country in its neighbourhood.

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 ZAGREB, 16 June, 2021 - The GONG NGO said on Wednesday that the newly-elected Zagreb Mayor Tomislav Tomašević had betrayed his pre-election promises by appointing members of the Management Board of the Zagreb Holding utility conglomerate without competitions for the posts.

Appointments made without a competition are not the path citizens chose in the elections, wanting a change in the way Zagreb is run, although it is indisputable that the City and Zagreb Holding (ZGH) have huge debts and that it is necessary to act as soon as possible, GONG said in a press release.

The NGO thinks that Tomašević should have kept the promises and standards announced in the election programme if he really wants to change the model of governing Zagreb and after 20 years of Milan Bandić's rule stop the practice of non-transparent employment.

The new model of governing Zagreb, announced by the Možemo! platform, explicitly stated that members of the management board of Zagreb Holding (and other city companies) would be selected in a public procedure, with the obligatory publication of their programme. This has not been done so far, and public calls will only serve to select additional members of the ZGH management and supervisory boards, GONG said.

For years, GONG has been advocating obligatory public calls for the selection of management staff in public and city companies, with adherence to the principle of competence.

We think that there is a high risk of corruption in public companies which have large budgets and a large number of employees, GONG said.

Explaining on Tuesday why he resorted to the direct appointment in ZGH although in the run-up to the elections he and his party (We Can!) promised the appointment of executives and management members of the city-owned companies only through public calls, Tomašević said that the situation inherited from the previous local government forced them to react quickly and the direct appointment was the most responsible solution.

Commenting on ZGH's loss of HRK 305 million, Tomašević said that the current city administration had two options: to keep the incumbent management that obviously failed to put the situation under control or to dismiss them and leave ZGH without management several months for the duration of the selection procedure.

The mayor elaborated that the minimum number of members of the management and supervisory boards of ZGH were directly appointed and promised the advertisement of public calls for the remaining three members in the management board and the remaining members of the supervisory board.

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ZAGREB, 16 June, 2021 - A delegation of the Croatian Democratic Union (HDZ) on Wednesday laid wreaths on the grave of HDZ founder and first Croatian president Franjo Tuđman to mark the party's 32nd anniversary, with the party leader, PM Andrej Plenković, saying the HDZ was the strongest political party in Croatia even today.

At the start of day-long events commemorating the party's 32nd anniversary, HDZ officials, led by Plenković, paid their respects at Zagreb's Mirogoj cemetery to Franjo Tuđman, whom Plenković described as "a statesman, a visionary, the man who led Croatia to freedom, independence, with the plebiscite support of the Croatian people, and with the courage and bravery of Croatian defenders."

"Even today, 32 years later, the HDZ is the strongest political force in the Republic of Croatia, in Croatia in which we have achieved all basic national goals - freedom, democracy and the protection of human and minority rights, and have built institutions. Now in the fourth decade of our independence, the goal is the economy, demographic revitalisation, social inclusion, following key global processes and the fourth industrial revolution, but also the green transformation and the digital transformation," Plenković said in a statement to reporters.

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ZAGREB, 16 June, 2021 - President Zoran Milanović said on Tuesday at the forum "Human Rights in the Coronavirus Crisis" that encroaching on the intimate space of human freedoms required a decision of the parliament, which he would have let it make if he were prime minister during the crisis.

Milanović said at the forum at the Faculty of Law that "in this crisis, we are not talking about human rights but about fundamental human freedoms."

"My right to breathe, to sneeze, to walk, to move - that is my human freedom. In order to affect that deeply intimate space, it is necessary to have a decision of a representative body," Milanović said.

In his presentation, he referred to Articles 16 and 17 of the Constitution and said that the coronavirus situation had met the conditions for declaring a state of emergency.

"Article 17... refers to a state of emergency, imminent danger of war or a natural disaster. It doesn't matter if this virus, and a virus is a natural fact and attacks a living organism, originated as a fact of zoonosis or was released by the Chinese or escaped from the laboratory, it makes no difference. That is a serious matter. It puts lives in danger. If that doesn't meet the conditions (for declaring a state of emergency), nothing does," Milanović said.

He added that if the coronavirus crisis had happened during his term as prime minister, he would have let the parliament vote in the relevant decisions, which would result in greater public trust, instead of having a COVID-19 response team do it.

Everything we watched for a year and a half was surreal, he added. He praised the fact that the vaccine was produced so quickly, adding that everything else was wrong.

Ombudswoman: Citizens had numerous complaints

According to Ombudswoman Tena Šimonović Einwalter, during the pandemic citizens had questions and complaints related to passes, self-isolation, access to health care since family doctors were not available to them and their examinations were cancelled, and they also sent questions related to the right to work, that is, to work from home or work in the office.

In the past few months, the ombudswoman has been receiving questions about vaccination and in the past few weeks, about COVID passports.

She also said that the frequent changes in the anti-epidemic measures and vague recommendations had led to an increase in dissatisfaction and fear among citizens, which had further undermined trust in institutions.

The ombudswoman said that there were solutions and that her report for 2020 had been discussed in the parliament, and now she hoped that the recommendations would be implemented.

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ZAGREB, 15 June, 2021 - Zlata Đurđević, a candidate for the Supreme Court president, said on Tuesday that corporatism, denoting a closed professional group with privileges without any external oversight, was the main problem of the Croatian judiciary.

"It is important to achieve a balance between judicial autonomy and judicial responsibility for the sake of avoiding corporatism. That is not talked about in Croatia, and when someone speaks up about it, it is considered a taboo and an insult even though both GRECO and the Venice Commission have pointed to the problem of corporatism," Đurđević said at a panel discussion entitled "Judiciary and public: Ensuring responsible and transparent administration of justice".

Đurđević believes that the main cause of judicial corporatism is the fact that two-thirds of the State Judicial Council (DSV) members are judges, and that in appointing judges, external excellence criteria are disregarded while what is taken into account are the test and the job interview but not one's performance as an undergraduate, which is why other institutions have no influence on whether a judge is sufficiently competent.

State responsible for judges' work

"There is no public discussion about the candidates, voting is secret but the DSV president knows how DSV members have voted," she said, stressing that judges are government employees and the state is responsible for their work, materially and before international courts, since the government represents the state before the European Court of Human Rights.

Principle of publicity one of most important

The head of the Croatian Academy of Sciences and Arts (HAZU) Council for State Administration, Judiciary and Rule of Law, Jakša Barbić, stressed that the principle of publicity was one of the most important guarantees that judges and courts acted in line with their social role and functions.

"Trials must be public. It is not enough to administer justice, it is also important that everyone is aware and knows that it is administered, which is why all rulings should be made public and easily searchable," he said.

He noted that the actual state of court efficiency was determined, among other things, based on the number of accepted court rulings and that one should not base their opinion about the judiciary on cases that cause public disapproval.

Speakers at the panel and participants in the subsequent discussion were agreed that there is a tendency on the part of the judiciary to close itself off from the public and treat negatively any public criticism of the judiciary. It was also stressed that judicial officials brand criticism as populism, dismissing even well-intentioned warnings about rulings that are legally and socially deeply unacceptable.

This results, it was said, in antagonism between the judiciary and the public and a very low level of public trust in and respect for the judiciary.

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ZAGREB, 15 June, 2021 - President Zoran Milanović said on Tuesday that the reference to the Dayton agreement in NATO's communique adopted on Monday had been opposed by Germany, Italy and some other Western countries, and added that possible changes in Bosnia and Herzegovina must not happen without Croatia and Serbia.

Milanović made the statement in Slovakia, where he participated in the GLOBSEC 2021 Forum and met with Slovakian President Zuzana Čaputová and Polish President Andrzej Duda.

He discussed with them the NATO summit held in Brussels on Monday, at which Croatia, Milanović said, managed to have a reference to the Dayton peace agreement (General Framework Agreement for Peace in Bosnia and Herzegovina) incorporated in the summit's closing declaration only after insisting on it for six days.

"That should not have happened, that should have been resolved a week ago. Somebody is against it, has a problem with the Dayton agreement and wants to dismantle it," Milanović said, adding that at the same time those countries were criticising the Serb BiH Presidency member Milorad Dodik for violating the Dayton agreement.

"Something is not right about that way of thinking," he said.

Milanović noted that a number of countries - Germany, Italy and some other Western countries - had been opposed to mentioning the Dayton peace agreement in the communique.

"Western Europe - and I'm not talking about the leaders, definitely not about Angela Merkel, is acting foolishly, undermining one of the foundations of Bosnia and Herzegovina, which, regardless of how imperfect it may be, protects it against destabilisation," he said.

Criticism of German diplomacy

Milanović went on to say that talks on the communique had not been conducted by the German chancellor but by the German foreign ministry which, he said, was headed by a political camp different from Merkel's and one he felt close to, "namely by people who in their fantasy are prone to making silly experiments."

The current German foreign minister is Heiko Maas, a member of the Social Democrats who are part of the coalition government with Merkel's Christian Democratic Union (CDU).

Some Western European countries advocate a so-called civic model for Bosnia and Herzegovina to replace the concept of three constituent peoples envisaged by the Dayton peace agreement. Commenting on that on Monday, Milanović said that "it sounds very noble but is actually a hoax."

"They should do it back at home. Bosnia and Herzegovina is as it is, we share a long border and we will soon have to guard it for the Schengen area," he said.

Milanović stressed that plans for Bosnia and Herzegovina could not be made "under the radar" and that any changes in the neighbouring country had to involve Croatia and Serbia, co-signatories to the Dayton agreement, adding that he had explained this to his Slovakian and Polish counterparts.

"That is how things are done in diplomacy, as far as I can remember. I used to be a diplomat and I never caused a scandal. Then I entered politics and in politics you have to cause scandals to be heard," he said.

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ZAGREB, 15 June, 2021 - Prime Minister Andrej Plenković on Tuesday expressed satisfaction with the World Bank's support to Croatia's efforts to reconstruct the areas hit by the 2020 quakes, and with cooperation in projects aimed at facilitating the recovery of the private sector's exporters affected by the corona crisis. 

A press release issued by the government notes that the premier held a meeting with World Bank Vice President for Europe and Central Asia, Anna Bjerde, and a few other WB officials in Government House.

On that occasion, Plenković expressed satisfaction with the cooperation with the World Bank and the support that institution had provided to Croatia in the reconstruction since the earthquakes had struck Zagreb and Sisak-Moslavina County in March and December 2020.

He was quoted as saying that he was satisfied with the permanent cooperation in projects aimed at helping exporters in the private sector to recover from the consequences of the coronavirus pandemic.

The prime minister in particular thanked the World Bank for its support until now in preparing Croatia's 2021-2026 National Recovery and Resilience Plan. He underscored the importance of fostering further cooperation and the implementation of projects for Zagreb's reconstruction and revitalisation of the Banovina area in Sisak County, the press release said.

In June last year the World Bank approved two $500 million projects to provide urgent support to the government in an attempt to relieve the impact of the tremors that hit Croatia and of the lockdown caused by the COVID-19 pandemic.

The World Bank also provided technical support in preparing a Rapid Damage and Needs Assessment (RDNA 2020), which was an important document to mobilise €683.7 million from the EU Solidarity Fund. The World Bank also provided technical assistance in the RDNA for the earthquake-struck areas in Sisak-Moslavina County.

Bjerde was accompanied at the meeting by World Bank's Country Director for the European Union Gallina Andronova Vincelette, the World Bank's new country manager in Croatia Jehan Arulpragasam, and Special Assistant at World Bank Group Fanny Weiner.

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ZAGREB, 15 June, 2021 - The appointment of new members of the management and supervisory boards of the Zagreb Holding without a public call for the selection of applicants did not constitute a breach of the pre-election promise, the new Mayor of Zagreb, Tomislav Tomašević, said on Tuesday.

The multi-utility conglomerate Zagreb Holding's assembly on Monday relieved the supervisory and management boards of their duties, appointing Suzana Brenko Supervisory Board chair and Ratko Bajakić and Damir Topić its members. The provisional Zagreb Holding (ZGH) Management Board was appointed as well, with two new members, Nikola Vuković as Management Board chair and Ante Samodol as a member.

Tomašević said that the situation inherited from the previous local government forced them to react quickly and the direct appointment was the most responsible solution.

Commenting on ZGH's loss of HRK 305 million, Tomašević said that the current city administration had two options: to keep the incumbent management that obviously failed to put the situation under control or to dismiss them and leave the Holding without management several months for the duration of the public tender. 

Tomašević said that this was why he resorted to the direct appointment although in the run-up to the elections he and his party (We Can) promised the appointment of executives and management members of the city-owned companies only through public calls.

At a meeting held with Mayor Tomašević last Friday, the former ZGH management reported on the conglomerate's financial situation and losses incurred in 2020. An audited and consolidated report for 2020 shows that ZGH has for the first time in the last seven years incurred a loss of HRK 305 million, the mayor's office said on Monday.

Today, the mayor elaborated that the minimum number of members of the management and supervisory boards of ZGH were directly appointed and promised the advertisement of public calls for the remaining three members in the management board and the remaining members of the supervisory board.

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ZAGREB, 15 June, 2021 - The National Anti-Corruption Council on Tuesday interviewed the dismissed head of the radiology ward of Zagreb's Sisters of Charity Hospital, Dijana Zadravec, who presented her evidence of criminal activities used to siphon money from the hospital.

Zadravec, who has been on sick leave since May, told members of that parliamentary body that she learned yesterday from the media that acting hospital director Zoran Vatavuk had given her a warning before dismissal for harming the hospital's reputation, noting that the hospital's reputation was harmed by corruption and those who committed and covered it up.

Zadravec said that her fight against corruption started in 2016, when her persecution and harassment started as well.

She said that as the deputy hospital head she reported in 2016 the charging of fictitious overtime work which the then director Mario Zovak had covered up, adding that she had reported this to the prosecutorial authorities and the Health Ministry.

Zadravec said that in late 2020 she discovered a criminal network at the hospital, with public money being siphoned by doctors, which was why she reported them for abuse of office.

The doctor, who claims to have extensive documentation proving her allegations, says that offers to suppliers with whom the hospital did business without public tenders, since the last public tender was conducted in 2019, were signed by doctors Vladimir Kalousek and Branimir Čule, and that the offers exceeded HRK 30 million.

She also cited cases when less material was used for operations than the quantity ordered from suppliers.

Commenting on Zadravec's allegations, the State Secretary and chair of the Sisters of Charity Hospital Steering Board, Tomislav Dulibić, said that hospital documentation was being checked by inspectors from the health and finance ministries and the HZZO health insurance agency.

"According to preliminary information, no significant departures have been found, except for some minor irregularities. Eleven inspectors are working on this, invite them to testify," Dulibić told the Anti-Corruption Council.

He said that the decision to carry out the inspection at the hospital was made a couple of weeks ago, noting that the relevant proceedings were underway.

The chair of the Anti-Corruption Council, Nikola Grmoja, asked if anyone had responded to Zadravec's claims, to which Zadravec said that after she reported the false charging of overtime work, Health Ministry inspectors were called in and concluded that the matter should be investigated by the hospital director.

Allegations should be investigated as soon as possible 

After conducting the interviews today, the Anti-Corruption Council adopted a conclusion asking the ministries of health, finances and economy as well as the prosecutorial authorities and the USKOK anti-corruption office to determine facts related to the case as soon as possible.

Zadravec was told to submit copies of the reports she had sent to the competent authorities as well as the text message in which, she claims, Parliament Speaker Gordan Jandroković lobbied for Zovak's reappointment as the hospital head.

The Anti-Corruption Council will send the audio recording of today's hearing to the prosecutorial authorities, and it will ask the Health Ministry to submit all documents on inspections conducted at the hospital since 2016 or explain why no inspections were conducted.

The Council will also ask the government to secure additional conditions for the employment of financial investigators at courts in four big cities.

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