09/23/2005 OHR Sarajevo

High Representative Broadens Financial Investigation of SDS

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The High Representative, Paddy Ashdown, today sent a letter to BiH Presidency Member Borislav Paravac and RS Finance Minister Svetlana Cenic following up on earlier correspondence regarding the violation of the High Representative’s Decision of30 June 2004. This Decision blocked all SDS bank accounts and required any financial transaction by the SDS in excess of 150 KM to be conducted through a single authorised bank account. The SDS was placed under these financial restrictions after it was found to be linked to support networks for persons indicted for war crimes.

The High Representative reiterated that he expects Mr. Paravac to cooperate fully with Ms Cenic, who has been tasked with overseeing an investigation into the financial transactions of the SDS Doboj.

In his letter to Mr Paravac the High Representative asks the Presidency Member “to provide all information that is requested, in a timely manner in order that the investigations can be concluded on time, by the deadline of 3 October 2005.”

In his letter to the RS Finance Minister the High Representative ordered a broadening of the investigation to cover the SDS branch offices in Pale and Sokolac. These new investigations are to cover the period 1 July 2004 to 22 September 2005.  A full report on financial transactions at each of these branch offices must be given  to the OHR by 14 October 2005.

The High Representative may require further investigations into other SDS branches in due course, until such time that he can be assured that SDS branches are operating in full conformity with the law and in ways which do not allow the possibility of giving assistance to war criminals.

“As the RS Tax Administration falls under the RS Ministry of Finance, I consider you responsible for ensuring this Decision is implemented in full and on time,” the High representative concludes his letter to Ms Cenic.