INA-MOL case

Competition agency head testifies at Sanader trial

24.02.2012 u 11:51

Bionic
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The trial of former Prime Minister Ivo Sanader, accused of receiving a bribe to enable the Hungarian oil company MOL to take over management rights in Croatia's INA, resumed on Friday with the testimony of the Croatian Competition Agency head, Olgica Spevec.

Spevec said that after examining the shareholders' agreement between MOL and the Croatian government, the agency objected to the fact that MOL had five members on the INA supervisory board, while the Croatian government had only three and employees only one member.

The agency then said that the MOL's dominant influence was also visible in the INA managing board on which MOL had six representatives, while the Croatian government had only three. MOL's prevailing influence was particularly visible when the two sides were unable to reach a consensus so the deciding vote was that of the management board president who is appointed by MOL, Spevec said.

The media reported earlier that Spevec told Croatian anti-corruption office USKOK that Sanader had pressured her to secure MOL a more favourable influence in INA.

In today's testimony however, Spevec only said that prior to the Competition Agency's decision on concentration Sanader had warned her that this deal "is important for Croatia, notably concerning the gas business which is expected to help Croatia rise to its feet."

The anti-corruption office USKOK has charged Sanader with taking a EUR 10 million bribe so that MOL could have the dominant position in INA, including the divestiture of its unprofitable gas business.

Sanader's lawyers are now expected to cross-examine the witness.