Public Enterprises in KS Owe 165 Million KM in Taxes Alone

SARAJEVO, (Patria) - The Government of Sarajevo Canton is holding an extraordinary session. The agenda includes only one item – irregularities in the operations of public enterprises, institutions, agencies, and other legal entities founded by the Canton of Sarajevo.

Prime Minister Edin Forto stated at the beginning of the session that less and less is being said in public about the fact that they found craters in public companies that will not be able to be filled for years.

“Based on tax debt alone, public enterprises owe 165 million marks, of which GRAS is the largest debtor with 130 million KM, but that is only the tax debt in the Federation, plus GRAS owes 32 million in VAT and two unpaid salaries,” said Forto, adding that Water and Sewerage owes 9 million, and the Faculty of Pharmacy 5.5 million in taxes.

“There is a lot of talk about patriotism. The ultimate act of patriotism is paying taxes. Whoever tells you they are a patriot but doesn't pay taxes – is lying to you. If you want to destroy the country, don't pay taxes. We need to ask ourselves what we are fighting for and what our goal is. Not paying taxes is treason,” he stated.

Adnan Šteta, Minister of Transport, stated that GRAS's debt exceeds its equity.

“We also have VAT debt, and it is the largest in BiH. GRAS employees have sued the company for 65 million KM, and GRAS has sued the canton for 120 million KM. We have taken a series of steps to remedy this debt and have not shied away from responsibility. We are close to signing agreements and starting the payment of the debt. We are undertaking a serious reconstruction of the company,” said Šteta, adding that he will ask investigative bodies to determine the responsibility of persons who were at the head of GRAS.

Lejla Brčić, Minister of Justice in the Sarajevo Canton, also spoke about the tax debt of TV Sarajevo of around 500,000 KM and that criminal charges have been filed against responsible persons. She also spoke about suspicious work contracts and the employment of 14 people despite the moratorium.

Amel Kovačević, Minister of Finance of KS, stated that the public sector in Sarajevo Canton needs a major reform and that the public sector must be capable of meeting the needs of citizens. He said that the Budget Inspectorate has made over 56 inspection findings for various categories, but that the Budget Inspectorate is significantly limited.

“In that process, a series of misdemeanor proceedings have been initiated and cases have been submitted to the KS Prosecutor's Office. According to our assessment, these are cases with serious implications, and we are asking the KS Prosecutor's Office to resolve these cases urgently,” said Kovačević.