Former deputy prime minister and economy minister Damir Polancec, currently in custody because of his role in the Podravka fraud case, has not yet received an investigation order in connection with new allegations concerning his involvement in fraud in the state-owned power company HEP, nor has he been questioned by USKOK investigators, attorney for Polancec Anto Nobilo said on Monday, announcing he would call members of Prime Minister Jadranka Kosor's inner cabinet to testify about Polancec's role in the HEP case.
The attorney said that after Polancec learned about the latest allegations concerning his connection with HEP he told him that everything the media cited as reasons for the investigation had been discussed by the government's inner cabinet.
Nobilo told Hina he would ask that all those present at the government's inner cabinet meetings testify at the trial, adding however that he could not yet reveal the names of the state officials he would call to the witness stand.
"We believe this to be in the interest of the defence," Nobilo said, convinced that the state officials would testify.
"It should be in the interest of the state officials to participate in the investigation and reveal the truth, while ignoring the defence's request would create a bad image in the public," Nobilo said.
After the investigation into the Podravka case, the anti-corruption agency USKOK launched another probe into Polancec on the suspicion that he and former executives of HEP and the Sibenik-based light metal factory TLM, Ivan Mravak and Ivan Kostan respectively, had defrauded HEP of around HRK 600 million.
Most of the funds in question were defrauded because HEP sold electricity bought on foreign markets to TLM at prices three times below its purchase price. TLM later gave the electricity to the aluminum factory Aluminij in Mostar, in neighbouring Bosnia-Herzegovina.
Mravak and Kostan were remanded in custody for a month on Saturday on the suspicion that by abusing their powers they defrauded HEP of some HRK 600 million.
Along with Mravak and Kostan, also suspected of wrongdoing in this case is Polancec whom USKOK suspects of abusing his powers and causing harm to HEP, and of conspiracy.
Retired general Ivan Kapular and former HEP Management Board member Zdenko Jurcic are suspected of inciting abuse of powers in this case, but they have not been taken in for questioning yet and will defend themselves without being detained.
Kapular, who worked at HEP as a part-time security advisor, allegedly received from HEP 40,000 kuna for holiday expenses. As for Jurcic, it is believed that Mravak paid him more than 260,000 kuna for fictitious contracts.
