According to the HTV's prime time news, before the signing of the first annex to the shareholders' agreement on INA with the Croatian government in late January 2009, MOL management board chairman Zsolt Hernadi clearly stated in a document to the Board that with this annex, MOL was taking complete control of INA.

The media recently mentioned Hernadi as the person who bribed former Croatian Prime Minister Ivo Sanader with 10 million euros in exchange for giving MOL majority management rights in INA.

Last week, the Office for the Suppression of Corruption and Organised Crime (USKOK) confirmed that a new investigation had been launched into Sanader on suspicion of abuse of office and bribe-taking. According to unofficial information, he took 10 million euros in bribes from Hernadi, making it possible for him in return to take over management rights in INA. MOL dismissed the reports on the same day.

The HTV said tonight it was in possession of a MOL document showing that it was taking control of INA.

MOL is acquiring control over INA's operations and management bodies, the document, marked as confidential, reportedly says.

The HTV broadcast an explanation given before the agreement was signed in which then Deputy PM Damir Polancec said at a government session that "we, of course, continue to hold a 44 per cent stake and have a significant influence on the management" of INA.

Polancec said the supervisory board had nine members, five from MOL, three from the government and one representing employees; that the management board had six members, three from MOL and three from the government; and that the executive directors were appointed by the Board.

The HTV also showed then PM Sanader as saying that the government nominated and appointed the chairman of the supervisory board and the chief executive directors, while MOL nominated and appointed the chairman of the management board.

The HTV said, however, that Polancec and Sanader forgot to mention a key point, while Hernadi did not, and cited a letter from Hernadi saying that the INA management board passed decisions with a simple majority and that in case of a tie, the management board chairman had the decisive vote.

MOL does not hold the majority stake but does have management rights in INA, the HTV said.

"This is quite unusual and we hope the situation will change," said supervisory board chairman Davor Stern.

The Croatian government, which holds a 44.84 per cent stake in INA, gave its consent earlier this month for holding negotiations with MOL on a second annex to the shareholders' agreement on INA and appointed a delegation for the talks.

The aim of the negotiations, it was said at a government session, was to ensure a more effective accomplishment of the goals from the agreement, notably keeping and strengthening national energy stability. The agreement also needs to be modified for supporting investment in the property, it added.