SERBIA DAILY No18

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WESTERN BALKANS e-MEDIA GROUP

• N° 18 • Belgrade, May 20, 2016

New Government in June

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Serb Progressive Party (SNS) leader Aleksandar Vucic said on Thursday Serbia's new government will be formed at the beginning of June

he head of the current, caretaker cabinet made these comments after consultations with President Tomislav Nikolic, and revealed that "all but two" members of his new cabinet have been selected.

But Vucic did not wish to mention any names, nor answer when reporters asked about the parties that might make up a future ruling coalition.

"The government must be formed before the visit of the Chinese president.

Whether that will be three, seven or 15 days after the formation of parliamentary bodies I don't know - but within that framework," said Vucic.

Although the pre-election coalition around his Progressives (SNS) on April 24 won 131 seats in Serbia's 250-seat National Assembly - i.e., a simple majority - Vucic said it was "possible that someone will come to consultations with Nikolic and say they have a majority."

Speaking about the ministers in his next cabinet, Vucic said he "needs people who will fight" and hinted that some members of the current government who have not been "media favorites" might keep their jobs. He also indicated that "party affiliation will not decide on ministerial chairs."

According to Vucic, he and Nikolic dis-

Aleksandar Vulin, Minister of Labor: Employers had begun to recognize the benefits of employing persons with disabilities, as it is much better to accept incentives and employ a person with a disability instead of paying penalties for discrimination

Aleksandar Vucic and Tomislav Nikolic (Photo: Tanjug)

cussed this plan detailing the government work over the next four years, and "generally" reached agreement on the ten key points.

"The things I'd single out are economic development and regional stability," Vucic said.

It is not known when Nikolic will continue

Snezana Bogosavljevic-B Boskovic, Minister of Agriculture: In the first three months of this year the import of agricultural products decreased by 11 percent and the surplus in the field of agriculture is by 28.7 percent higher than in the same period last year

his consultations by meeting with other party leaders.

While speaking with reporters, Vucic also said he will have enough support in the Assembly to change the Constitution of Serbia, but added it was "more important to achieve a broader social consensus."

Tomislav Karadzic, Serbian Football Association President: Decision to accept Kosovo into UEFA is a political decision, not a football related proposal and this development would create turmoil and open Pandora's box throughout Europe

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Court Rules Radicals Won't be Extradited

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The Higher Court in Belgrade has decided that three officials of the Serb Radical Party (SRS) will not be extradited to the Hague Tribunal

erbia informed the Hague-based International Criminal Tribunal for the former Yugoslavia (ICTY) of a first-instance ruling by a Belgrade court stating that, under the Serbian law on cooperation with the tribunal, the conditions for extradition of three Serb Radical Party officials have not been met.

In a petition to the ICTY, Serbia's legal representative Sasa Obradovic said that the preliminary proceedings judge of the Department for War Crimes established that the prerequisites for the arrests and extradition of defendants Petar Jojic, Vjerica Radeta and Jovo Ostojic pursuant to an ICTY warrant of January 19, 2015, have not been met.

The first-instance ruling is not yet final and a second-instance ruling by a three-member chamber is expected next week, reads the document, seen

by Tanjug.

The preliminary proceedings judge found that none of the cumulative prerequisites envisioned by the Law crimes referred to in Articles 2, 3, 4 and 5 of the ICTY Statute (gravest war crimes, genocide and crimes against humanity) - have not been met. However, the court's final decision will be made by a three-member panel.

The Hague Prosecutor has charged the group with pressuring two prosecution witnesses into testifying in SRS leader Vojislav Seselj's favor, and offering them favors in return.

The Hague Tribunal in March acquitted Vojislav Seselj of all charges. He was accused of war crimes committed in Croatia, Bosnia-Herzegovina, and Serbia's northern Vojvodina province.

The Hague Prosecution said it would appeal the ruling.

Daily

Markers

BY EMIR SALIHOVIC EDITOR-IN-CHIEF

Thug of War Never Ends

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fter in both countries, Serbia as well as Croatia, came to power, or returned to political life, the representatives of old political parties that were the key players of the wars in 1990s, it seemed quite reasonable to assume that it will not be easy to build normal relations and develop communication without a decent share of provocations and diplomatic tensions.

In fact, betterment of relations between the two countries that happened during the mandates of social-democrats and democrats seems to deteriorate quickly, especially after the victory of HDZ in Croatia and rise of right wing sentiments there.

While Serbian nationalists, reformed or not, do not avoid any opportunity to blame Croatia for either 1940s war crimes, or those from 1990s, Croatian nationalists, reformed or not, do not miss an opportunity, whenever it arises, to blame Serbia for its past role in dissolution of Yugoslavia and its war crimes or policies.

Return of Seselj, quarrels about the jurisdiction regarding the prosecution of war crimes, or the latest refusal of Serbian court to extradite SRS members to The Hague - are all used as excuses to blame the opponent for things past, and to endanger the fragile bilateral relations.

There remains a hope that leaders of both countries will demonstrate more readiness to cooperate as they have destiny to share the same geographic region, and mutual understanding and cooperation, even from different political and ideological standpoints, is the only way to improve their overall social and economic situation.

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PINION

Who's Against the Second Foreign Language?

Such a proposal of the Institute for Advancement of Education to abolish teaching second foreign language in schools is understandable only if it is a strategic plan to permanently collapse state schools and open the doors only to private ones

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oward the end of the school year 2015/2016, as is the usual practice, the (un)professional circles are seriously rumoring about a partial, or complete abolition of the second foreign language in primary schools, on the proposal (what an absurd!) of the Institute for the Advancement of Education.

After the events of 2000, the Ministry of Education has finally started the practice that before making some important decisions they consult with other countries to exchange experiences and study in detail other people's programs. Such a practice this time apparently was missed. If it were not, you would know that in a country like the Netherlands pupils in schools, which cannot really be called elite schools, learn, for example, Dutch, English, German and French. Similar case is even in America.

It is precisely this attitude to learning foreign languages in many countries that resulted in attitude that speaking several foreign languages is no longer a phenomenon, a miracle or divine gift, but something that goes without saying.

Students quickly recognize polyglot teachers; primarily because they recognize the richness and breadth of spirit which travel, other cultures, exchange of opinions, books in foreign languages, watching the original versions of movies etc. brought him.

English language at many professional meetings is not called foreign language anymore, for quite some time now. Foreign languages are, above all, German, French and Russian. In our country, after enrollment in high school, a second foreign language continue to learn only the students of gymnasium and students of few vocational schools. This means that for majority of young people learning terminates after the initial course. Damage for students is enormous, and behavior of the country

BY SLADJANA INDJIC POLITIKA

arbitrary. Learning a second language in Serbia remains ars gratia artis - learning for learning's sake.

In 2009, those in the profession got the impression that some new winds are blowing. It was the year when the Business School in Belgrade returned a second foreign language to its curriculum. As obligatory subject, of course. It is natural to be an employee in a bank, insurance company or any government agency and to speak at least two foreign languages. No need to mention future customs officials at all.

Many who were qualified and involved in education rightly thought that the ministry is beginning to offset the decades-long failure in secondary vocational education in Serbia, and that is the introduction of a compulsory second foreign language in all secondary vocational schools: secretarial, economic, medical, dental, construction, architectural and others.

Some even with delight thought there will be put forward the issue of a third foreign language too.

To leave a teenager to make a decision on learning foreign languages is, to say the least, inappropriate, if we keep in mind that younger children tend toward inflection (spontaneous adaptation of speech apparatus), imitation and "blending, overflow and transformation" as the famous late 19th century Minister ObradoviĂŚ - Dositej - said.

"After a while that soft wax (read: student) will become as hard as steel, and it will take a lot of effort to melt it and shape it", spoke Dositej.

Abolition of foreign languages in schools can certainly make it more difficult, but will not thwart an army of young, educated and working people to go out of our beautiful country. On the contrary, such an indecent proposal of the Institute is understandable and justified only if it is a strategic plan of the state to permanently collapse state schools and swung open the door only to private ones. As the saying goes, the money does not smell (Pecunia non olet).

Publisher: WESTERN BALKANS e-MEDIA GROUP z POENTA d.o.o. Sarajevo, Augusta Brauna 3 z Editor - in - Chief: Emir Salihovic z Editors: VLASTIMIR MIJOVIC, AMRA ZIMIC, RASID KRUPALIJA, DANIJELA MRKIC, SANJA LJUBICIC z Director: Amra Zimic z Office Assistant: VERICA GRAOVAC, MUSTAFA BAHTANOVIC, DTP: Bekir Tvrtkovic z Marketing: KAROLINA MIHAJLOVIC z GSM: 00 381 61 2768568, 00 381 11 4086 992, serbiadaily@sbb.rs

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Serbia Accused of Not Cooperating with UN Court

Tomislav Karamarko

A Serbian court decision not to extradite three Serbian Radical Party members who are wanted for alleged witness intimidation to the Hague Tribunal has sparked accusations of non-cooperation from Croatia Croatian Vice Prime Minister Tomislav Karamarko accused Serbia of not cooperating with the International Criminal Tribunal for the Former Yugoslavia, ICTY, by refusing to extradite the three wanted members of the nationalist Serbian Radical Party.

Karamarko said Croatia had to extradite its generals Ante Gotovina, Mladen Markac and Ivan Cermak to the ICTY even though this caused "a pain in its heart".

"Serbia can't act in a way that violates EU standards," he said.

He warned that Serbia "shouldn't fail to resolve such issues" if it wants Croatia's backing during its EU accession process.

Croatia last month blocked Serbia from opening negotiations with Brussels on chapters 23 and 24 of the EU legislation it needs to adopt during its European accession process, citing concerns about Belgrade's record on war crimes.

The ICTY told BIRN meanwhile that it has received no information from the Belgrade authorities so far about the Serbian court's ruling that the three

Radical Party members - Vjerica Radeta, Jovo Ostojic and Petar Jojic cannot be arrested and transferred to The Hague for trial.

"The Republic of Serbia has not yet provided any official information to the chamber. The ICTY Trial Chamber will address any submission made by Serbia in relation to this matter," the ICTY said in a written statement to BIRN. Jojic, Radeta and Ostojic are accused of being in contempt of court for threatening witnesses at their leader Vojislav Seselj's trial at the International Criminal Tribunal for the Former Yugoslavia, ICTY. They are also accused of blackmailing protected witnesses and offering them bribes of 500 euros not to testify at Seselj's trial.

The Higher Court in Belgrade ruled on Wednesday that Serbia can only arrest people wanted by the ICTY who are charged with war crimes, genocide or crimes against humanity.

The president of Serbia's council for cooperation with the ICTY, Rasim Ljajic,

said that the Belgrade court ruling could be used against Serbia when a report on its cooperation with the Hague war crimes court is presented to the UN Security Council next month.

"We will see what the Tribunal's next step will be, whether they will continue to put pressure on Serbia [UN Security Council] using the UNSC and Brussels," said Ljajic.

Serbian Prime Minister Aleksandar Vucic responded to Karamarko's comments by saying that he would not be lectured on his country's internal affairs.

"I will not intervene in the internal matters of Croatia so I would kindly ask that if they have to deal with matters in Serbia, [they should] at least be accurate," said Vucic.

As well as accusing Belgrade of not cooperating fully with the ICTY, Zagreb wants Belgrade to change a law which gives Serbian courts the jurisdiction to prosecute war crimes committed anywhere in the former Yugoslavia during the 1990s wars, which it fears could be used to target Croats.

Report on Cooperation with ICTY Could be Negative The chief prosecutor of the International Criminal Tribunal for the former Yugoslavia (ICTY) could submit a negative report on the cooperation with Serbia over the non- extradition of three Serbian Radical Party (SRS) officials sought by the Tribunal. says Rasim Ljajic, the head of the council for cooperation with the ICTY. It will soon become known whether

Serbia will find itself under pressure over the matter, Ljajic told the B92.

"We will see what further steps the Tribunal will take and whether they will continue to exert pressure on the UN Security Council and Brussels, which is what the amount of pressure on Serbia will depend on," Ljajic said after the High Court in Belgrade ruled against the extradition of SRS officials Vjerica

Radeta, Petar Jojic and Jovo Ostojic to the ICTY, which wants to try them on charges of witness tampering in the case of SRS leader Vojislav Seselj.

Croatia's reaction could be crucial for Serbia's European integration, Ljajic said.

"I am afraid that this will be used for further lobbying against opening chapters 23 and 24 (in Serbia's EU accession talks)," Ljajic said.

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Seselj "Does not Expect" to be Invited to Government

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SRS party leader Vojislav Seselj said he does not expect to be invited to join Serbia's new government

eselj said that a coalition with Aleksandr Vucic's SNS at the republic (state) level was not possible due to policy differences between the two parties.

Seselj also told a news conference that President Tomislav Nikolic was yet to invite him to consultations regarding the new government. Asked what he intended to say to Nikolic once he has been invited, Seselj replied: "If the invitation arrives, we will decide whether to respond, and who will represent us."

When it comes to the government, Seselj said that "the prime minister knows his conditions": "If he renounces the EU and orients himself toward integrations with Russia, a coalition is not ruled out."

Seselj added that the Radicals were open to coalitions at other levels of government, "not only with the SNS, but with other parties as well."

Speaking about the 2017 presidential elections in Serbia, Seselj said that he, as his party's candidate, "has the greatest chance of winning" and that "only Vucic" would present a more difficult challenge -

Vojislav Seselj

but one he would nevertheless overcome and win. When a reporter insisted that he comments on the candidates known so far, Seselj said he considers Nikolic responsible for "corruption affairs." He added that he "cannot see who would vote for Boris Tadic," describing Serbia's former president, now leader of the SDS party, as being "worse than a black cat crossing the street in front of you."

Seselj also said he is demanding the resignations of the entire management of Serbia's state broadcaster RTS whose jury awarded 12 points to Ukraine's rep-

Vucic Meets Russian Ambassador

Ambassador Chepurin meets PM Vucic

Serbian Prime Minister Aleksandar Vucic received Russian Ambassador Alexander Chepurin to discuss the bilateral relations, economic cooperation and protection of sovereignty.

Prime Minister Vucic and Ambassador Chepurin described the political relations between the two countries as excellent, and underscored they would continue to cooperate to ensure the protection of Serbia's sovereignty,

the prime minister's press office said in a release.

Vucic and Chepurin also considered ways to improve the economic cooperation, with a special emphasis on Russian companies' assistance after the completion of the restructuring process for big state-owned enterprises such as chemicals maker MSK, fertilizer maker Azotara and petrochemicals maker Petrohemija, reads the release.

resentative during the recent Eurovision Song Contest.

The SRS leader added that he will demand a law on RTS to be one of the first pieces of legislation passed in Serbia's new National Assembly.

He said there was "a concentration of lowlifes and scum" in this broadcaster, and that they "need to be dispersed, like what was done at RTV." Seselj defended his choice of words by saying both television stations had obstructed his party during the election campaign.

Democrats "Close to Agreeing on Candidate" The Democratic Party (DS) is "very close to agreeing on having only one candidate for its president," party vice-president Goran Jesic has said.

And this candidate "won't be either (current leader) Bojan Pajtic, or Dragan Sutanovic," he told Belgradebased daily Blic.

The candidate will also "not be anyone who has held office in the executive branch of government over the past four to five years," he added.

But Jesic would not reveal the candidate's name. Asked whether it was the former ambassador to the U.S., Ivan Vujacic - whom he on several occasions mentioned in this context - Jesic said he "did not speak about him as the party's president."

"I said that someone like Vujacic should be a candidate, someone with his characteristics, not he himself," said Jesic.

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"Balkan Route" Still Open

Number of migrants is far less than in 2015, but those who come by various routes and ways show that the Balkan Route, though formally closed, is virtually open

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ados Djurovic, the Director of the Center for help to Asylum Seekers stated that in first four months this year 2.484 refugees from Near East sought asylum in Serbia, but the number of those who came and passed through Serbia he supposes is greater, reads Vecernje Novosti newspaper.

"Number of migrants this year is far less than in 2015, but those who come by various routes and ways, helped by smugglers, show that the Balkan Route, though formally closed, is virtually open", Djurovic said for Beta Agency.

He said that he supposes some 150 to 200 people enter Serbia through illegal channels and some 100 goes further out, some illegally, and some legally since Hungary accepts 60 asylum

demands a day.

"About 300 to 400 people are stuck in Serbia, and there are indications that with those who come, most often over Bulgarian but also Macedonian border, some 500 to 600 migrants are present here every day", Djurovic says.

He also said that beside migrants whom citizens mostly meet in parks by Belgrade Central Bus Station are quite a lot of those who are hiding in various objects nearby.

"Usually because of fear they avoid shelter centers and registration, but want to leave Serbia as soon as possible, but now we have seen that some of them decided to go to the Krnjaca Centre, which is very good", Djurovic said.

According to him, most often Serbia

receives people from Iraq, Syria, Afghanistan, Pakistan, Morocco and Algeria. Data from Commissariat for Refugees and Migrations says that at the moment, temporary centers in Serbia house 317 migrants from Near East states.

"Permanent shelters like Krnjaca have 266 people registered, and in temporary centers like Presevo or Principovac and Adasevac nearby Sid, there are all in all 51 persons in evidence", speaker of the Commissariat for Refugees and Migrations Ivan Miskovic said to Beta agency.

Number of registered migrants and overall number of those who just pass through Serbia, or hide for some time and then leave, is quite different, and Djurovic said that the fear of these people to register in centers explains it.

Could UK Kill Jeremic's Chances for Top UN Position?

Eastern Europe, including Serbia's Vuk Jeremic, may be losing its early claim on the United Nations' top job, after an initial crop of candidates from that part of the Continent failed to impress in the early stages of the year-long campaign, say diplomats and U.N. observers.

The region was widely seen as having an edge going into the race to succeed U.N. Secretary General Ban Kimoon next year, thanks in part to Russia's desire to see a part of Europe that has never held the post take a turn at the top of the 70-year-old institution.

In a significant shift, the United Kingdom's ambassador to the U.N., Matthew Rycroft, told a private lateApril meeting of EU ambassadors that if Eastern Europe governments are serious about securing the post for one of their own, they're going to have to nominate some new candidates, according to two diplomats from EU delegations who were in the room.

A spokesman from the U.K. mission to the U.N. in New York declined to comment about his private comments.

As one of the five veto-carrying mem-

bers of the Security Council, opposition from the U.K. could kill a candidate's chances of becoming Secretary General, so some diplomats were taken aback by the ambassador's frank assessment. "You could take it as a pretty strong marker that one of the P5 and an EU country would say that," one of the EU diplomats who was in the room said.

"There's a feeling among some Eastern Europeans that our group might lose this opportunity," said one senior Eastern European diplomat.

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Vucic Cuts Ribbon on Dr. Oetker's First Serbia Plant

Prime Minister Aleksandar Vucic took part in the opening ceremony for a new plant of Germany's Dr. Oetker, in Simanovci, northwest of Belgrade

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ucic cut the ribbon and said in his address that "cornerstones for factories are not a fairytale", voicing confidence that Serbia would succeed in attracting more German family businesses.

"Two years ago, when we laid a cornerstone for this factory, it seemed like a sweet fairytale, and I have heard from one journalist that we keep laying cornerstones and talking about a future, but it never comes," said Vucic, and added: "Today, we have the privilege to see one of the things that some good, diligent people managed to make in Serbia, with the help of German friends and investors."

The German group's first factory in Serbia is an investment of EUR 9.5 million

and will hire 192 people, with annual output of around 6,000 tons of mostly powdery products.

Currently 115 products are manufactured at the Serbian plant, mostly Dr. Oetker and C brands taken over from the Centroproizvod company, and sold in Serbia with Kosovo, Montenegro, Albania, and Macedonia.

The ceremony was also attended by Dr. Oetker representatives and German ambassador in Belgrade.

Dr. Oetker is a family-owned enterprise, manufacturing baking powders, baking mixes, dessert mixes, cereals, conserves, frozen pizza, frozen pizza snacks, yogurts, chilled desserts and other products.

Jobs for 26,565 People in April A total of 26,565 persons on Serbia's National Employment Service (NSZ) compulsory social insurance records obtained employment in April, Serbian Minister of Labor, Employment, Veteran and Social Policy Aleksandar Vulin said in Belgrade, adding that Serbia had around 143,000 people of working age who were receiving cash social assistance.

After opening a regional conference on employment of disadvantaged groups, Vulin pointed out that a total of 735,265 people with a NSZ record were out of work, a decrease in unemployment from the month before, but the most important thing was that jobs were

found for 26,565 persons with a compulsory social insurance record in April.

"These are positive trends. Far from satisfactory, of course, but I hope they will continue," said Vulin.

Vulin said that employers had begun to recognize the benefits of employing persons with disabilities, as it was much better and smarter to accept incentives and employ a person with a disability instead of paying penalties for failing to understand that persons with disabilities were workers just like any others, with the difference that the government provided special incentives and assistance for their employment.

Over 200 Bobruisk Tractors to be Assembled in Serbia Over 200 tractors of the Bobruisk Plant of Tractor Parts and Units will be assembled by a joint company in Serbia in 2016-2017, BelTA learnt from the company.

"The joint tractor assemble plant set up at the basis of BelarusAgropanonka in Serbia two years ago has been gradually strengthening its positions on the domestic market and sells Bobruisk machinery to the neighboring countries of the Balkan peninsula. Over 70 tractors have already been sold. In the nearest two years we plan to supply more than 200 tractor sets to Serbia," representatives of the company said.

According to their words, the interest in the Belarusian equipment is on the rise in Serbia. The participation of the Bobruisk plant in the 83rd international agricultural exhibitions in Serbia which is underway on 14-20 May testifies to the fact.

Traditionally the central stand at the exhibition is occupied by BelarusAgropanonka that presents tractors Belarus, including those made at the Bobruisk Plant of Tractor Parts and Units in Serbia and other countries of former Yugoslavia.

This year tractors Belarus-422 and Belarus-622 made at the joint company have been showcased at the expo. On the opening day of the exhibition the stand of BelarusAgropanonka was visited by Serbian President Tomislav Nikolic and his spouse, government representatives and Mayor of Novi Sad Milos Vucevic.

The stand with the Belarusian tractors has already been attended by more than 40,000 visitors, with 15 tractors being sold. Tractors Belarus921.3, Belarus-422 and Belarus-622 were most popular with visitors.

Bobruisk Plant of Tractor Parts and Units produces component parts for tractors Belarus. In 2007 the plant started making compact tractors of the Belarus-320 series. At present the company's manufacturing program includes 9 basic models of tractors with horse power from 30hp to 62hp.

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Law on Energy Use Key Task for Government

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The thermal energy sector is a reality for Serba as coal accounts for 99 percent of Serbia's fuel deposits

n amended or a new law on rational energy use will be one of the key tasks of the new government and the energy ministry to improve energy efficiency and contribute to saving energy, Serbia's Minister of Mining and Energy Aleksandar Antic said.

Use of coal is currently a reality for Serbia, since the country is getting 70 percent of its electric power from that fuel, Antic told a Belgrade conference on coal-fired power plants.

"Renewable energy sources should be maximized and the system of energy efficiency should be approached in a serious manner since Serbia is irresponsible about energy consumption and consumes larger amounts of energy compared to European standards," Antic said.

The thermal energy sector is a reality for Serba as coal accounts for 99 percent of Serbia's fuel deposits, he said.

"We have no alternative but to turn coal into energy, but our obligation is to do it responsibly and in line with standards.

World Bank Asks Serbia to Respect Deadlines What is most important to the World Bank (WB) is for the Serbian government to respect the deadline and remove the protection from creditors' claims against the remaining 10 enterprises in restructuring by May 31, World Bank Country Manager for Serbia Tony Verheijen said in Belgrade.

We believe that the deadline will not be changed, and that is the most important thing. The government should respect the deadline it set and lift the automatic stay in the case of 10 remaining enterprises, Verheijen told Tanjug.

He stated that the situation with these enterprises is complicated, but the authorities were obviously making

effort to solve the problem.

There is an effort to find a solution for the for RTB Bor, Galenika, Resavica, Petrohemija and others.

We know that the government is negotiating for at least three of the companies. Although we are not directly involved in solving this problem, we would like for a solution to be found to prevent these enterprises from falling into bankruptcy when creditors start collecting their claims, Verheijen said.

Ideally, he said, a solution would lead to privatization or at least to implementing a management agreement combined with a prepack plan (prepackaged plan of reorganization).

Gecic Law Advises on Sale of Zelezara Smederevo Assets Gecic Law firm has advised Zelezara Smederevo and the Government of Serbia on EU, regulatory, and corporate matters in connection with the EUR 46 million (USD 52 million) sale of Zelezara Smederevo assets through a public tender procedure to China's Hebei Iron and Steel Company (HBIS). As reported previously, BDK & Asociatii advised HBIS on the deal, working in association with China's JT&N Law Firm.

Speaking of the transaction, Bogdan Gecic - who led his firm's work on the deal - stated that "the investment and

revitalization of the steel mill will have a huge economic impact on Serbia in terms of exports and overall GDP." The Gecic firm reports that "Zelezara Smederevo is Serbia's leading producer of steel and is the second largest Serbian exporter and is currently responsible for nearly 1% of Serbia's GDP," and says that, "the company, which was formerly owned by US Steel, having been acquired through the privatization process, was sold back to the Government of Serbia in 2012, marking the exit of US Steel from the country."

While complying with directives, we are prepared to achieve the set goals, invest in environmental protection and encourage, and contribute to, consumption of energy from renewable sources," he said at the conference.

US Considers Investments in Serbia

American investors are considering prospects for investing in the Serbian economy, and believe that Serbia has the potential to be the region's hub, but note that everything depends on economic growth, U.S. Ambassador Kyle Scott said in Belgrade.

After a working meeting with members and partners of the National Alliance for Local Economic Development (NALED), the diplomat told reporters new American investments in Serbia could be expected in not so distant future.

In this context, Scott also underlined the need for a faster economic growth and better justice system.

President of NALED Managing Board Ana Brnabic pointed to the alliance's special relationship with the U.S. Embassy, as USAID had contributed to its founding.

Since May 9, NALED is hosting a delegation from Washington which is helping the alliance prepare a strategic framework for introducing the e-administration, due to be presented to the government in late June, Brnabic said.

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Ex-Security Chief Dodges Journalist Murder Trial

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Former state security official Franko Simatovic, who could reveal the secret service's role in the murder of journalist Slavko Curuvija, has repeatedly failed to appear as a witness at the trial

ranko Simatovic, alias Frenki, a former senior official at Serbian State Security, this week again failed to appear to testify in the trial of four State Security officers who are alleged to have been involved in 1999 murder of journalist and editor Slavko Curuvija, writes Marija Ristic for BIRN. The Serbian authorities have been trying for months to get Simatovic to appear in court to testify but have been thwarted by bizarre bureaucratic errors.

Although his address is known to the court because Simatovic is obliged to remain in Serbia at his permanent home and to report regularly to the authorities due to his ongoing war crime trial at the UN court in The Hague, the administration has twice failed to give him the court's invitation to attend hearings.

The first hearing in April was postponed because a postal worker didn't know which door in the building was his as it didn't have his name on it, so he left the invitation in the mail box and Simatovic never picked it up.

Similar reasons were given after another failed attempt to get Simatovic to court.

"The women who is taking care of his child opened the door and she couldn't take the court's invitation, nor did she know where he was," the judge in the Curuvija murder case said.

UN Assistance The prosecutor's office, which is responsible for getting witnesses to appear, said it will try to find a way to locate Simatovic with the assistance of the UN court.

The defence teams in the Curuvija trial have criticised the prosecution and the court administration, arguing that it is not "logical" that Simatovic cannot be traced and insisting that he is the key to the case and must be put on the stand.

The trial has now been ongoing for almost a year at the Higher Court in Belgrade with four former state security officials - Radomir Markovic, Milan Radonjic, Ratko Romic and Miroslav Kurak - accused of plotting the murder and killing the editor in April 1999.

Three of the suspects have pleaded not guilty, while Kurak is on the run.

Curuvija was shot in the back 17 times in front of the building where he lived in Belgrade - a murder that his family and

Franko Simatovic at the UN court in The Hague (Photo: BETA/AP)

former colleagues believe was motivated by his opposition stance.

The journalist was outspoken in criticising the regime of Yugoslav president Slobodan Milosevic, openly accusing him of war crimes and running an oppressive regime.

Curuvija had been monitored by state security for years as he was considered an enemy of the state.

The investigation into the case lasted for more than 15 years, but finally reached trial after a surprising twist when the former commander of one state security unit, Milorad Ulemek, alias Legija, decided to speak out about the role of his former colleagues in the murder.

According to Legija, who is now serving a sentence for the 2003 murder of Serbian Prime Minister Zoran Djindjic, Markovic with Radonjic plotted the Curuvija hit, Kurjak killed the journalist and Romic helped him.

Legija also said that he and some other members of the state security special unit were commissioned to carry out the Curuvija murder in late March 1999, but due to the war in Kosovo, they were mostly fighting at that time and couldn't travel to Belgrade to kill the journalist.

In his statement to the prosecutor in 2014, Legija said he flew to Belgrade by helicopter from Kosovo on March 29, 1999, and met the accused Markovic and Simatovic, who was assistant chief of State Security at the time, to give a briefing on the progress of the Kosovo fighting.

After leaving Simatovic's office, Legija and Markovic briefly spoke in a hallway

of the State Security building, where Markovic allegedly told Legija that he needed his unit to "remove one person who is endangering state security due to his enemy activity".

Markovic said that this should be done over the course of the following 10 days.

According to the prosecution, the target was Curuvija, who was killed on April 11, 1999.

Alleged Killer Escapes Legija also told the prosecutor that Markovic later told him that the murder had been committed by Kurjak.

According to Legija and other members of his unit, they were later ordered to kill Kurjak, but he managed to escape.

Witness Milovan Brkic, a Serbian journalist and editor, told investigators that he had "some information that the murder of Curuvija was organised by Franko Simatovic" with the knowledge of defendant Markovic.

Simatovic has denied the allegation.

Prosecutors managed to trace phone calls to and from the perpetrators on the day when Curuvija was murdered, and one of them was to Simatovic.

It remains unclear whether Simatovic will come and testify or not.

His invitation to attend a hearing has now been displayed on a board at the court, and according to Serbian law, if it remains there for eight days, he is considered to have been given official notice to appear.

If he doesn't, the court then has the option of getting the police to bring him in.

S e r b i a D a i l y, M a y 2 0 , 2 0 1 6

10

Personal Data Not Protected for Serbian Entrepreneurs

Serbia does not currently have any separate regulations in place in respect of protection of "personal data" pertaining to legal entities It does regulate the protection of natural persons' data, however, without any particular mention of entrepreneurs.

Although it is clear that the Data Protection Act does not apply to company data, the issue is more complex when it comes to entrepreneurs, as they are in essence natural persons performing business activities.

Unlike in some European jurisdictions, privacy of legal entities in the Republic of Serbia is not regulated by any separate legislation, except for the aspect of data secrecy in some specific sectors of business such as banking, and protection of information which could be qualified as a business secret. In principle a business secret is commercial information which if disposed of by third parties could bring them an economic benefit.

Clearly this does not refer to some usual corporate identification data such as address of seat, corporate ID number etc. On the other hand the data protection of natural persons is regulated under the provisions of the Data Protection Act ("the DP Act") and its bylaws.

Outside the Scope The Serbian DP Act regulates the protection of personal data defining personal data as "data relating to a natural person". From the general provisions, definitions and principles of the DP Act, it is clear that this act does not apply to the protection of pure company data, and thus such data falls outside the scope of application of the DP Act. Pursuant to the Companies Act, an entrepreneur is a natural person performing a business activity and possess-

By Milos Lakovic and Marija Zdravkovic CEE Legal Matters

ing business capacity. Thus, there is a difference between a "natural person" and "a natural person performing business activities - an entrepreneur".

Entrepreneurs can start their business activities only once they are registered with the Companies Registry, after which they will be assigned corporate identification and other data such as a corporate ID number, and a tax identification number (TIN) ("Company Data").

Apart from the abovementioned, data such as bank account numbers, swift codes etc, which typically relate only to business activities of entrepreneurs, also fall outside of the scope of the Data Protection Act. The Serbian DP Act does not explicitly regulate whether the data related to entrepreneurs enjoys protection under the rules of the DP Act. In addition, the Serbian Data Protection Authority ("DPA") has not issued any official opinion which would provide any clear guidelines in this respect. Therefore, the question of whether personal data relating to entrepreneurs falls under the provisions of the DP Act is rather more complex than it seems.

Pursuant to available legal opinions on the topic, the general interpretation existing in practice confirms that the data of entrepreneurs falls outside the scope of the DP Act, if such data is only correlated to an entrepreneur's business activity, and not to an entrepreneur's private life. Still there are certain marginal cases which need to be assessed on a case-by-case basis.

For instance, if an entrepreneur's private telephone number is also being processed by a data controller within for example business data records, such business data records could be considered to be personal data records at the same time, and therefore should be registered with the DPA in accordance with data protection rules.

Unique Standpoint Most company data in Serbia is publicly available information (such as business name, registered address, corporate ID no., TIN, bank account number) since such data is published at and in the online Serbian Business Registers Agency, and the registry of the National Bank of Serbia.

Pursuant to the DP Act, data which is available to every person and published in archives, official gazettes, and other publications or organisations, falls outside the scope of the DP Act. Thus, even if one would interpret the DP Act differently, and were to conclude that data of entrepreneurs is in fact personal data, still, based on the aforementioned provisions, such data should be excluded from application of the DP Act unless the interests of a natural person predominantly prevails.

Although there is a lack of official opinion and written guidelines regarding the DPA on this subject, the DPA recently reached the unique unofficial standpoint, which fully confirms our view on the issue at hand. Since data protection practice is still relatively undeveloped in Serbia, this area should be closely monitored as the DPA's practice will quite probably change in time.

S e r b i a D a i l y, M a y 2 0 , 2 0 1 6

11

Freeloaders Foil Transit Ticketing System

B

Upgraded technology and onboard controllers haven't made bus and tram passengers pay their way

elgrade's modern BusPlus publictransit ticketing scheme has received international recognition, but the system has failed to solve persistent problems with transit freeloaders.

People who ride public transit should purchase tickets and pay for their rides.

This commonsense dictum is an unspoken part of every city's unwritten social contract.

Yet in Belgrade, many passengers bypass payment and ride for free. The city has invested in solutions, but anyone riding a municipal bus or tram can see that most passengers do not use onboard scanning systems to make payment and validate their rides.

Belgrade introduced the BusPlus system of ticket and vehicle control - created by a consortium of private companies and implemented by a Serbian contractor called Apex - in February 2012.

BusPlus was intended to improve ticket selling and revenue, and to give transit managers real-time control over vehicles facing changing traffic conditions.

International Award The BusPlus system has given management stronger control over vehicles. The city has also increased the number of ticket-sales outlets from 26 to more than 2,000.

And in December 2015, Belgrade intro-

By Natalia Zaba BIRN

duced an application that allows passengers to purchase tickets with mobile phones. That app received top honors from the London-based Contactless & Mobile Awards in March 2016.

However, the issue of ticket sales and validation is still problematic. Many riders board without tickets or fail to validate their tickets during the ride. Dejan Trajkovic has been a Belgrade city bus driver for nine years. He says the new system hasn't helped increase ticket sales. "As far as I can see, people do not buy more or less tickets than before," he says.

Trajkovic observes that on his routes, about 60 per cent of passengers do not pay for rides.

"I can understand people who freeload," Trajkovic says. "If you imagine a typical Serbian family with an average salary, it's almost â‚Ź100 to buy monthly tickets. People would rather spend their money on food."

City officials are reluctant to say whether the BusPlus system has increased compliance or revenues.

Officials did not respond to BIRN's repeated calls for comment.

Transit rider Danijela Stojkovic, 47, admits that she freeloads constantly.

"I've received some fines from con-

Many commuters ride Belgrade's buses for free (Photo: BIRN)

trollers, and probably I have a big debt right now, but I literally don't have money to buy a ticket," she says, stepping off the bus, CV in hand, for a job interview.

Belgrade has addressed the freeloader issue by contracting private firm Apex to provide random onboard controllers who use electronic devices to ensure that passengers have paid. Apex says its agents file misdemeanor nonpayment reports against 500 to 700 freeloaders each day, with another 140 to 150 paying fines on-site. Apex's controllers can monitor compliance and collect fines, but they do not have legal standing to detain passengers or demand their ID cards when they refuse to pay.

Abused Controllers Controllers are also subject to abuse from passengers. Trajkovic observed a typical encounter on a recent shift.

Passengers shouted and swore at BusPlus controllers because they didn't want to show their ID or leave the bus despite failing to validate their tickets.

In some cases, the shouting leads to physical violence. Apex says violence against controllers has led to 125 emergency calls to police or ambulances since controllers began monitoring compliance in 2013. Apex says its 308 conductors monitor passenger compliance all over the city. The company says the problem with control lies not in the number of controllers but in the scope of their powers. Passengers know that even if a controller catches a passenger without a ticket, the passenger is not obliged to show an ID card so the controller can file a misdemeanor complaint. Only the police can demand the card, and the police are not always there to help.

Trajkovic thinks the solution is very simple.

"The easiest thing one can do is just to hire a person who would sell tickets inside the bus, during the ride."

Apex notes that this solution would require an agent on every single bus and tram - a huge procedural and economic commitment. And Apex says police assistance would still be necessary when passengers refuse to pay.

Meanwhile, Belgrade's award-winning transit system keeps rolling. Freeloaders and all.

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