"The case has both a political and a moral dimension because it is obvious that members of one and the same government, the former and the incumbent one, who overlap, are saying entirely opposed things about one and the same thing," Josipovic told reporters after opening a congress of students of schools of law and medicine.

"Someone is obviously not telling the truth here. It is absolutely important, for the credibility of both the politicians and democracy in Croatia, to establish who is telling the truth and who isn't, and who is failing to provide truthful information on important facts to the people who elected them," Josipovic said, adding that it was important to establish if the sale of INA was in accordance with Croatia's laws.

"Some aspects will be established by the (parliamentary) commission, some by the public and the media, and some probably by the judiciary, if the matter reaches court," he said.

He described Sanader's testimony before the parliamentary commission as interesting, noting that some issues remained open.

"There are certainly issues that remain to be discussed, and I believe that this is only the beginning of serious discussions," he said.

The president said that it was up to the commission to decide whether Prime Minister Jadranka Kosor should be summoned to testify about INA's privatisation.

Answering a reporter's question, he said that Kosor should state clearly what she knew and what she did not know about INA's privatisation since two witnesses told the parliamentary commission that she had information on it.