According to Nikolaus Vavrovsky, an attorney for Zagorec's company, the villa was bought by an Austrian real estate company.

Profil says that the new owner of the property has not been entered in land books yet. Zagorec financed the purchase of the property partly with a loan obtained from Hypo Group Alpe-Adria, and now the bank has collected its loan claims in the amount of EUR 800,000, the magazine says.

APA reported that Zagorec was looking for buyers for his other real estate in Vienna, including a former post office. He bought all of the properties with the help of a loan obtained from the Hypo bank, APA said.

The prosecutor's office in Klagenfurt has charged Zagorec in the Hypo bank case, and he has dismissed the charges.

APA recalled that in March 2009 Zagorec was sentenced to seven years in prison in Croatia. His Vienna attorney Elisabeth Rech believes that he is innocent.

The former assistant defence minister was sentenced to prison for taking USD 5 million in jewels from a Defence Ministry safe when leaving his post in 2000.

The Zagreb County Court, which was in charge of the trial, also ordered that Zagorec's property be confiscated in the value of the stolen jewels.

Zagorec was arrested in Vienna where he had been living since 2000, and after his arrest he was extradited to Croatia.