CROATIA: Croatians react as former Prime Minister Ivo Sanader is sentenced to ten years in prison for taking bribes from two foreign companies

Record ID: 496680

  • Title: CROATIA: Croatians react as former Prime Minister Ivo Sanader is sentenced to ten years in prison for taking bribes from two foreign companies
  • Date: 20th November 2012
  • Summary: ZAGREB, CROATIA (NOVEMBER 20, 2012) (REUTERS) PEOPLE WALKING IN FRONT OF ZAGREB COUNTY COURT GROUP OF PEOPLE WATCHING ANNOUNCEMENT OF VERDICT ON TELEVISION IN CAFE NEXT TO COURT SPLIT SCREEN SHOWING JUDGE EXPLAINING VERDICT AND FORMER CROATIAN PRIME MINISTER IVO SANADER LISTENING
  • Embargoed: 5th December 2012 12:00
  • Keywords:
  • Location: Croatia
  • Country: Croatia
  • Topics: Crime,Politics
  • Reuters ID: LVAA7ZAIEF8HALRJUKZ0BOSG8T41
  • Story Text: Former Croatian prime minister Ivo Sanader was sentenced to 10 years in prison on Tuesday (November 20) for taking bribes from two foreign companies, becoming the highest state official to be convicted of corruption in the future European Union member state.
    Croatia is due to join the EU in July 2013 and Sanader's conviction is likely to be seen as evidence it is cracking down on corruption. Its efforts to fight crime and graft are being carefully monitored before it formally joins the bloc.
    A Zagreb county court found Sanader, 59, guilty of agreeing in 2008 to accept a payment from Hungary's energy group MOL of 5 million euros in exchange for granting it full management rights over Croatia's oil concern INA.
    The ruling, against which Sanader is likely to appeal, sent MOL shares 2.6 percent down by 1045 GMT in Budapest, amid concerns that it might prompt Croatia to review MOL's shareholder agreement with INA.
    Judge Ivan Turudic also said Sanader had taken a fee from Austrian Hypo Alpe Adria Bank in 1995, when he was deputy foreign minister, that prosecutors had described as "war profiteering."
    Croatia's war of independence from Serbian-led federal Yugoslavia was winding down at the time.
    Sanader, who looked drawn and thoughtful in court, has strongly denied wrongdoing and dismissed the trial as politically motivated. He will be detained until the appeal.

    "You have damaged Croatia's reputation. Because you were a top state official, this verdict is a message to those engaged in politics that crime does not pay," Turudic said.
    As prime minister between 2004 and 2009, Sanader was the most powerful man in Croatia, known for smart suits and expensive watches, and his fall from grace coincides with Croatia's campaign to root out corruption.
    Sanader resigned in July 2009, unexpectedly and without explanation. Jadranka Kosor, his hand-picked successor, then launched an anti-graft drive that helped Zagreb complete European Union entry talks in June 2011.

    "We all think he deserved 10 years, he deserved even more and it is making us particularly happy that he will not be able to drink coffee in cafes at the Flower square as he has been doing during the trial, but will finally be taken to where he should have been during the whole trial," Zagreb resident Drazen Heroic said following the announcement of the verdict.

    "I am satisfied with the verdict, although he could have been given even a tougher sentence. Thank God Croatia's judiciary is finally doing its job," Zagreb resident Sanja Crljenak said.
    Sanader is on trial separately - together with his former conservative HDZ party, which is now in opposition - on charges of creating slush funds for the party by skimming off profits from state companies and by manipulating public tenders.
    Despite the market jitters over MOL's future in INA, Croatia's biggest utility engaged in exploration, drilling, refining and retail, analysts said there was no alarm yet.
    In a brief statement, MOL said it "continues to categorically reject" accusations made in the trial and vowed to work further to make INA more profitable and successful.
    MOL has slightly more than a 49 percent stake in INA and the Croatian government almost 45 percent. Relations over management rights have been strained for the past few years.
    voxpops
  • Copyright Holder: REUTERS
  • Copyright Notice: (c) Copyright Thomson Reuters 2015. Open For Restrictions - http://about.reuters.com/fulllegal.asp
  • Usage Terms/Restrictions: None
Register