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MILS: News from the FYROM, 97-04-09

Macedonian Information Liaison Service Directory - Previous Article - Next Article

From: "Macedonian Information Liaison Service" <mils@mils.spic.org.mk>


CONTENTS

  • [01] KOFI ANNAN SUGGESTED SUSPENDING OF `UNPREDEP' FORCES REDUCTION
  • [02] DEFENCE COOPERATION AGREEMENT WITH GERMANY SIGNED
  • [03] MACEDONIA THE HOST-COUNTRY APPEARED WITHOUT NAME
  • [04] GREEK TRADE AND ECONOMY ATTACH IN SKOPJE
  • [05] `TAT' BANKING SCANDAL: `50 MILLION DM LOANS'
  • [06] IMRO-DPMNE DISCONTENT WITH `TAT' INVESTIGATION
  • [07] SEVERAL HEALTH SECTOR OFFICIALS SUSPENDED
  • [08] MTV ON FINANCIAL MANIPULATIONS WITHIN THE MINISTRY OF THE INTERIOR
  • [09] A-1 TV: `PAYMENT FLOW HANDLED BY COMMERCIAL BANKS NEXT YEAR'
  • [10] POSITIVE BALANCE OF `MAKEDONIJA' INSURANCE COMPANY
  • [11] MACEDONIAN `AVIOIMPEKS' ON `BILD' BLACK LIST

    MILS SUPPLEMENT

  • [12] `Gas Pipeline Requiring Patience' (`Vecher' - 8th April 1997)

  • MILS NEWS

    Skopje, 09 April, 1997

    [01] KOFI ANNAN SUGGESTED SUSPENDING OF `UNPREDEP' FORCES REDUCTION

    Yesterday UN Secretary-General Kofi Annan proposed to the UN Security Council to suspend the planned reduction of UNPREDEP forces (from 1 050 to 750 troops) until the expiring of the present mandate on 31st May due to unrest in Albania. In his letter to the Chairperson of the Security Council Annan states that the most recent development of events in Albania and the disorder prevailing in this country, continue to indicate how extremely fragile regional stability in the Balkans remains to be. `Although there appears to be no direct threat of a spill- over into Macedonia, the crisis in Albania remains a source of substantial concern in Macedonia. In his letter sent last month Macedonian Foreign Secretary Ljubomir Frchkovski stresses the seriousness of the situation, requesting the suspension of the reduction in the UNPREDEP forces component', Anna emphasises in his recommendation to the UN Security Council. This body has already extended the UNPREDEP mandate until 31st May 1997 in November last year, at the time advising a gradual reduction of its troops by 30th April.

    [02] DEFENCE COOPERATION AGREEMENT WITH GERMANY SIGNED

    German Defence Secretary Volker Ruehe and his Macedonian counterpart Blagoj Handziski signed a Cooperation Agreement covering the Defence sector in Skopje yesterday.

    This embodies the implementation of the already established partnership and ratified paper on cooperation between the armed forces of both countries.

    Upon expressing his high opinion on Macedonia's achievements in the defence sector over the past five years (since obtaining its independence), the German Defence Secretary stated that this Agreement increased legal security and signalled the mutual desire to intensify cooperation. In the opinion of Minister Handzhiski the Agreement is being signed in an extremely significant time in terms of bilateral relations. The Macedonian Minister informed that talks had focused on the involvement of Macedonia in the `PFP' Programme so far, as well as on changes within the `Partnership Plus' Programme, on new institutions which are to deepen cooperation among member-states who are to remain in the Programme. Other discussed issues were the establishing of permanent peace and stability in the region, the expanding of NATO and its transformation, the future of UNPREDEP and the current political and security situation in the region. A high level of consensus had been achieved with respect to most of these issues.

    Media report that the German Defence Secretary had also been received by President Kiro Gligorov and PM Branko Crvenkovski in order to discuss regional conditions.

    Official cabinet sources claim that President Gligorov clarified the position of Macedonia and its endeavours to establish relations of good neighbourliness and friendship with all European. countries. Secretary Ruehe welcomed the efforts made by Macedonia to further its development, as well as its contribution to peace and stability in the region.

    [03] MACEDONIA THE HOST-COUNTRY APPEARED WITHOUT NAME

    Yesterday the third conference of the so-called `Royamount' Initiative on the process of stability and good neighbourliness in SE was brought to a close. The event was attended by app. 70 delegates of 30 countries, as well as by representatives of the EU, CEI, OSCE and the UN. It was held behind closed doors and chaired by Bas Teer Haar of the Dutch Foreign Office and by Jordan Panev (Ministerial Aide). Those two gave a briefing for the press after the closing of the conference on adopted conclusions. In addition to the aired commitments to good neighbourliness and stability, several projects on media cooperation in inter-regional bounds were adopted. As well as projects covering the sectors education, civil society, information exchange, the support of non-partisan organisations and economic cooperation as the most stable base for relations of good neighbourliness.

    Most of the questions posed by journalists revolved around Greek-Macedonian relations, as well as around the adopted Greek proposal that Macedonia as the host-country should not participate by its Constitutional name, but by the reference `host-country'. In reply to these questions Bas Teer Haar said that the `Royamount' Initiative on good neighbourliness and stability did not address such specific issues, as it did not represent a suitable forum for dialogue due to the participation of several countries. The closed character of this conference was justified by the argument that it is difficult to encourage sincere discussions, when these are open to the public.

    [04] GREEK TRADE AND ECONOMY ATTACH IN SKOPJE

    The Macedonian Radio reports that the Greek Foreign Office, the Greek Ministry of the Interior and the Ministries of National Economy and Finance have submitted a draft-presidential decree to the Greek State Council on opening an office of an Economy and Trade Attach‚ in Skopje. Concordant to this paper this office should facilitate Greek investments into Macedonia. Pro- governmental `Ta Nea' writes that by adding such an office to the Greek Liaison Mission in Skopje, Athens was undertaking a new step in fortifying diplomatic relations between both countries. Athens and Skopje embody strategic partners in developing stability and joint progress, and relations between both countries had entered a new stage - stated the leader of the Greek left-wing coalition Nicos Constandinopoulos upon assessing his second visit to Skopje. In an interview for pro- governmental `Eskoussia' he stated that the Interim Agreement was being implemented with respect to all practical issues and all parties in Skopje desired its complete implementation and functioning. In his opinion Skopje has the right to determine the Constitutional name for its institutions, but it had to be stressed that the name and its use raised a serious political dilemma in his country.

    Macedonian media also revealed yesterday, that Foreign Secretary Ljubomir Frchkovski had received an invitation by his Greek counterpart Theodoros Pangallos to attend the Thessalonica Conference on Stability, Security and Cooperation of SE European Countries, to be held this June.

    [05] `TAT' BANKING SCANDAL: `50 MILLION DM LOANS'

    This Tuesday NBM Governour Borko Stanoevski informed that the `TAT' balance sheets indicated a positive balance of 2 843 000 denars. This was encouraging in comparison to the 14 million in losses estimated at the beginning of investigations. In the opinion of Governour Stanoevski the latter should be completed by the start of next week. The gathered findings however will not be final, but subject to corrections via probable law suits and imminent additional controls.

    So far - Stanoevski stated - the bank had closed a total of 1 795 credits, worth 388 million denars and an additional 1 155 million denars in interest rates. This amounts to an overall sum of 1 billion 243 million denars.

    Of these 256 credit arrangements are contentious. Thus the assets of the `TAT' bank are reduced to around 50 million DM, of which close to 20 million DM could be transformed into liquid funds rather quickly. It is common knowledge that the liabilities of `TAT' i.e. the overall dues to clients have been assessed to 112 million DM so far. Of these 62 million fall of to deposited capital. The NBM Governour further informed that currently three restitution options are being considered: classical bankruptcy procedures outlined within the Bank and Savings Houses Act; the parallel implementation of this and the discrete Restitution Act - or the linking up of `TAT' to another bank and state intervention. He further added that due to the magnitude of the case the NBM could not implement the first approach immediately. The NBM would have to pass a joint decision with the Government, and all funds would have to be secured from real sources only.

    [06] IMRO-DPMNE DISCONTENT WITH `TAT' INVESTIGATION

    Yesterday the IMRO-DPMNE expressed its discontent with the activities of state authorities investigating the `TAT' banking scandal - i.e. the `directors, main protagonists and extras' of one of the largest cases of organised crime in the modern history of Macedonia. Party spokesperson Dragi Ivanovski stated that one inevitably got the impression that investigations conducted by state authorities only went up to a certain point - not crossing particular boundaries i.e. nepotistic circles in the highest Government circles. Ivanovski said that the IMRO- DPMNE demands the fulfillment of promises given to the Parliament, i.e. the publicising the names of around 40 functionaries of all Government levels who had been found in the secret lists of `TAT' owner Sonja Nikolovska - as well as the list of citizens who had been granted loans in favourable terms. The minimum outcome of these revelations should be early elections - Ivanovski stressed - adding that the IMRO-DPMNE expects an invitation by PM Crvenkovski to that purpose.

    The announced peaceful protest meeting remains an option according to Ivanovski, but the date depended on investigation outcomes and Easter holidays, so that it has not been set so far.

    [07] SEVERAL HEALTH SECTOR OFFICIALS SUSPENDED

    The Health Dept. Council - MTV reports - has suspended the Director of the Skopje Clinic Centre Pr. Dr. Miodrag Vrchakovski during yesterday's session. He is being substituted by Pr. Dr. Borche Petrovski. Another suspension entailed changes at the top of the Public Health Centre of Skopje, as it is now being headed by Mihail Levenski instead of Petko Chadikovski. Based on unofficial information MTV states that Health Minister Ilija Filipche has also suspended the Director of the National Transfusiology Institute and several Directors of medical centres throughout the country.

    The Information Secretariat of Macedonia informs that the Health Dept. Council also analysed current conditions in the health sector - registering objective omissions in several fields of the latter, which are leaving room for individual interpretations. The Council was unpleasantly surprised by the well-documented expose of certain phenomena. Thus presented material evidence served a basis for executed personnel changes.

    The Association of Pharmaceutical Suppliers revealed that it would forward a written memorandum to PM Branko Crvenkovski, requesting a meeting with the latter in order to familiarise him with current conditions with respect to this sector. Huge sums of money are being (mis-)spent in Macedonia to provide health care, which reflects itself in the inappropriate granting of tenders, the violating of provisions on placing public bids and the contribution of the central storage facility to price increases, to the establishing of power and monetary monopolies. These were the main objections brought forth by representatives of this Association, addressed to the Ministry of Health and the Health Insurance Fund. Its objectives are to consequently uphold legislation and correct business practice, to dissolve the central storage model, the outlining of equal working conditions and prices, as well as the speeding up of codification of this sector.

    The Association of Pharmaceutical Suppliers is being chaired by Dr. Slavko Panovski.

    [08] MTV ON FINANCIAL MANIPULATIONS WITHIN THE MINISTRY OF THE INTERIOR

    Yesterday MTV's main editorial during their prime time news broadcast focused on the recent suspending of the Ministerial Aide (in charge of finances) at the Ministry of the Interior Slavcho Sazdov. Stories on his financial manipulations in this Ministry appear to have gained in substance - MTV's commentary stated, upon quoting confidential Dept. sources. It seems that his `register of sins' is being crowned by the procuring of 10 APCs from Belorussia at the factual price of 70 000 dollars - which somehow grew into mind-boggling 226 000 DM per vehicle (!). This results in revenues of 1 300 000 DM, which remained on the account of a metal processing giant in the country. Another venture being ascribed to Sazdov is the purchasing of 200 `Golf' vehicles for the Ministry which gained him the `provision' of four vehicles (AUDIs and GOLFs).

    MTV informed that `big bucks' were also bagged during a contract granted to a Skopje-based company for the producing of passports and ID cards for the Ministry. This deal, and the decorating of the Ministry of the Interior with artifacts, involved a Skopje antique shop which had received 200 000 DM (half of the sum was forwarded to a Giro account, and the rest `in cash' to a `special' account of the Ministry).

    Such findings, as well as several `less gravitating crimes' were altogether denied by the former Ministerial Aide in an interview for MTV. In his opinion only the Ministry of the Interior can assess his professional performance. The mentioned Ministry, i.e. the ministerial cabinet, was not into `issuing report cards' however with respect to the Sazdov case.

    In the end MTV reminded that such large deals are eventually approved by the Minister himself, as well as that Sazdov had certain advantages during the `reign' of the previous minister of the law enforcement sector - due to `family ties'.

    [09] A-1 TV: `PAYMENT FLOW HANDLED BY COMMERCIAL BANKS NEXT YEAR'

    A rather important meeting between NBM Governour Borko Stanoevski and representatives of the largest Macedonian banks is to take place today - A- 1 TV reports. Talks are to focus on the modalities of handling the flow of payment (currently being regulated by the Payment Flow Institute) in the future in the country. Based on information broadcast by A-1 TV the proposal to be discussed makes provisions for the handling of major transactions on the domestic market to be conducted via the largest banks in the country as of the middle of this year. By the beginning of next year the entire payment flow should be handled via these banks.

    [10] POSITIVE BALANCE OF `MAKEDONIJA' INSURANCE COMPANY

    It has been revealed during the annual stockholders' meeting of the `Makedonija' insurance company that by the end of the year the firm had generated 51.5 million DM in capital. The company (otherwise the largest of its kind in Macedonia) had closed a total of 2 170 000 insurances in 1996, and paid the total of 3.3 billion dollars in restitution. By doing so the stockholding company had generated app. 250 million denars in revenues - which represents an increase by 9% in comparison to the previous year. The weekly `Puls' reports that revenues of this insurance company had improved by even 54%, and amounted to 3.44 million denars.

    [11] MACEDONIAN `AVIOIMPEKS' ON `BILD' BLACK LIST

    German popular daily `Bild' - as `Dnevnik' reports - has published a list of ten air lines in the world `renowned' for their insufficient flight security. This list includes Macedonian carrier `Avioimpeks' as well as `Croatia Airlines' (Croatia), `Armenia Air' (Belorussia), `Trans Air' (Russia), `Lithuania Air' (Lithuania), ...while the end of the list is being `garnished' by `Al Italia'. The `Bild' list also enumerates all deficiencies in terms of flight security between October 1996 and March 1997.

    MILS SUPPLEMENT

    [12] `Gas Pipeline Requiring Patience'

    (`Vecher' - 8th April 1997)

    The claim made by some energy supply experts that the gas pipeline project is unprofitable, is unjustified as it is not based on a thorough analysis of indicators relevant to this issue. This is the view of `GA-MA' Director General Mihajlo Kostovski in connection to the thoughts aired by the above mentioned these days. It simultaneously represents a response to the question why non- profitability is being mentioned now, when 60 million dollars have already been invested?

    In the opinion of Kostovski many analyses have been compiled over this past decade - particularly over the past two-three years. All these bear in mind the overall value of investments, the planned amount of gas to be used, the terms in which needed investment funds are provided, maintenance and distribution expenses. So far only the first segment of the system has been partially completed, for app. 48 million dollars. The remaining 12 million of the required and planned 60 million dollars are to be implemented to finish part of the line in Skopje, to ensure the connecting to the energy and heating facility `West' and to `Alumina' as the final stop - and to facilitate the link-up to industrial consumers in Kumanovo. These undertakings are to create a basis for the development of the infrastructure segment.

    Kostovski said that between five and seven years of operation were necessary to recover invested funds in the case of gas pipelines - depending, of course, on the consumption level upheld by either the industrial sector (where it is to substitute crude oil) or the commercial one (here it is to partially substitute oil in households, electricity or propane-butane gas and solid fuels).

    Feasibility studies have been compiled by three independent and separate international consulting firms: `Sofragas' from France, `Coviconsult' from Denmark and `Duffin - Klein' from England (with the Danish analysis serving as a reference). These analyses, however, did not encompass all advantages from an ecological point of view - in spite of the fact that additional tax is paid for fuel with a high pollution factor in other countries. Gas is not included in this category of fuels.

    Besides this the price rates for gas have already been set by the state: the industrial sector is to pay 145 dollars for 1 000 cubic meters, the central heating facilities - 160, households - 300 and commercial consumers - 320 dollars. Prices have been determined on grounds of planned price changes of rivalling energy sources on the global market, on the consumer structure and on all obligations of Macedonia towards international financial institutions.

    Thus all options emerging in the energy supply sector over a sensible period of time have been considered, as is the case with a fluctuating consumption level - conditioned by the seasons of the year.

    One weak link which may create difficulties is a low or insufficient consumption rate. Thus the tendency to increase the latter with respect to households and commercial users. This generates the differing cost of gas to be used by these categories and the industrial sector - as competitiveness is easily achieved with respect to electricity, propane- butane and oil in households. In terms of crude oil things look less assuring. It is important that these price rates currently compile a solid foundation for a correct choice, provided - Kostovski claims - global prices obtained via the principle of open competition are implemented in the future.

    Once, in a few years' time, the gas pipeline system will be past its `infancy diseases' one may consider the engagement of one's own funds in a long term. The same applies to its expansion into neighbouring states (above all SR Yugoslavia). One should certainly not underestimate the importance of secure supplies; of transportation not burdened by borders, traffic or weather conditions.

    Another benefit is the non-corrosive quality of the pipeline equipment (in comparison to that used to transport crude oil rich in sulfur), thus considerably prolonging its operability. All it takes until then, is a `wee bit of patience' in order to reach the level of more developed countries where systems of this kind have been used for decades.

    (end)

    mils news 09 April 1997


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