Did the UAE state that the average price of a donated respirator is $42,000!?

SARAJEVO, (Patria) – The saga with the unblocking of donated equipment from the United Arab Emirates, which arrived at Sarajevo Airport on May 27, lasted for three months. The entire customs procedure was completed yesterday after individual prices of the donated equipment were submitted, confirmed Ratko Kovačević, spokesperson for the Indirect Taxation Authority of BiH (UIO BiH), for Patria.

This donation includes 40 respirators, 152,000 pairs of gloves, 150,000 N95 masks, 150,000 surgical masks, 150,000 disposable masks, 50,000 protective visors, 20,400 protective goggles, 25,000 protective suits, and 100,000 COVID-19 tests, with a total value of 2.5 million dollars.

The Indirect Taxation Authority of BiH requested the freight forwarders to submit data on the individual value of the donated equipment, as the customs procedure could not be completed without it.

It is still unclear why the Ministry of Foreign Affairs of BiH only submitted all the documentation received from the donor, including the declaration of donation and its total value, as well as certificates for the donated medical equipment, to the Coordination Body of BiH for Protection and Rescue on July 5, in order to complete the relevant administrative and customs procedures and the final distribution of the donated equipment, if the equipment arrived on May 27.

On July 25, 2020, the Ministry of Civil Affairs of BiH informed the Ministry of Foreign Affairs of BiH that the Indirect Taxation Authority of BiH requires the submission of individual values for each donated product, and that it will block the customs import procedures for the mentioned donation until these prices are obtained.

“The Ministry of Foreign Affairs of BiH informed the donor about the above through diplomatic channels and requested the submission of the required values. The Ministry of Foreign Affairs of BiH considers this an unusual request from the Indirect Taxation Authority of BiH, as it concerns a donation for which the donor has already provided the usual documentation, which was sufficient for the urgent completion of import customs procedures in most other countries to which the United Arab Emirates sent similar aid. This is especially true given that it is extremely needed medical equipment for our country,” stated the Ministry of Foreign Affairs of BiH in its response to Patria on August 13.

The Ministry of Foreign Affairs of BiH requested the data on the value from the donor on August 11. In the response received from the Ministry of Foreign Affairs of the United Arab Emirates, it was stated that the price of one respirator is between 15,000 and 70,000 dollars per respirator. They stated that the average price should be set at 42,000 dollars per respirator.

According to information available to Patria, the price of one respirator from this donation is far less than 42,000 dollars, and the mere fact that the stated price is between 15,000 and 70,000 dollars opens up room for doubt about the actual value.

These are identical respirators procured by the company Srebrena malina, for which 10.5 million KM was paid for 100 units. The Prosecutor's Office of BiH is investigating this procurement, and it is currently known that four individuals are suspected in connection with this procurement: the director of Srebrena malina, Fikret Hodžić, the director of the Federal Civil Protection Administration, Fahrudin Solak, the Federal Prime Minister, Fadil Novalić, and the director of the Agency for Medicines and Medical Devices of BiH, Aleksandar Zolak.