European Forum

Investigation of corruption probe into Croatia’s ruling HDZ expanded

Yesterday (27 Oct.) Prime Minister and president of the ruling Croatian Democratic Union (HDZ), Jadranka Kosor, confirmed at an extraordinary news conference that the ongoing investigation into alleged HDZ slush funds had been expanded to cover the party as a legal entity. Kosor said, however, that she did not intend to resign as PM and HDZ chief.

"That's out of the question. I will not answer questions about media reports, because journalists are not members of (the anti-corruption agency) USKOK or the Office of the Chief State Prosecutor. You are not investigators," Kosor told reporters when asked if she would resign for moral reasons as Prime Minister and HDZ chief. Kosor said the HDZ would come out of the proceedings as a strong party that had been the first to lead the country in the fight against corruption. “The successful fight against corruption was one of the reasons why we completed the EU entry talks,” she said, adding that many wanted that fact to be ignored. “We will not allow them to do it,” she added. Asked if she knew who had financed her presidential campaign in 2005 and with what funds, Kosor said that she would speak about it before relevant state agencies. She added that at the time she had believed and that she still believed that the campaign was "financed lawfully from HDZ accounts. 

Swoboda: No abuse of probe
Austrian Social Democrat MEP and Rapporteur for Croatia Hannes Swoboda said yesterday that the expansion of the probe must not be abused in the coming election campaign. Swoboda said Croatia must show and prove that probes were fair at a time when several members of the HDZ were under investigation. “Given that Croatia is about to hold a parliamentary election (4 Dec.), one never knows how Croatia's citizens will respond and decide at the polls or if and how they will consider the latest developments when deciding who to vote for,” said Swoboda. “Neither the government nor the opposition must use this investigation, and judicial bodies must act as in any other case and as if an election is not taking place soon,” he added. Swoboda said he expected the judiciary to question everyone who ran afoul of the law. 

The investigation
The Office for Suppression of Corruption and Organised Crime (USKOK) is conducting an investigation into the HDZ as a legal person for abuse in connection to the agency Fimi media, which was used to suck money out of state companies and ministries and into the pockets of HDZ leaders and party funds. So far the investigation has focused on 17 people, and in addition to the party itself, new suspects are its former spokesman Ratko Macek and former general secretary Ivan Jarnjak. Prime Minister Kosor is not on the list of suspects herself because the period under investigation is from 2005 to 2009. The financing of her presidential campaign in 2005 is under suspicion. This is the first time a party is under investigation in Croatia and the first time a ruling party is being investigated. Last year, former customs head and HDZ treasurer Mladen Barisic admitted that he gave one part of the money to former Prime Minister Ivo Sanader every month, and took the second part to accountant Branka Pavosevic at the HDZ, which she confirmed.

The European Commission said it did not comment on individual cases but that in the accession negotiations with Croatia, it had paid special attention to judicial reform and the clampdown on corruption, said a German news source. Croatia has made significant progress in those areas and the judicial framework and institutions do exist, and the Commission has recommended that Croatia to pursue that progress and that investigative and judicial bodies do their job in keeping with their mandate and by fully respecting the law, the source said.


Sources: Daily Tportal; EMG; Image: Flickr by Kancelaria Premiera