Social massacre in Serbia
(Massacro sociale in Serbia)

1. US STEEL TO BUY SERBIA'S SARTID STEEL PLANT
(La "USA Acciaio" firma per l'acquisto delle acciaierie serbe "Sartid")

2. US AMBASSADOR: INTERNATIONAL COMMUNITY SUPPORTS SERBIA
(L'ambasciatore USA: noi appoggiamo la Serbia perche' reprime e
privatizza)

3. SERBIA: DETAINEES ALLEGE TORTURE
(Serbia: i detenuti denunciano di aver subito torture)

4. UNIONS OF SERBIA "DECLARE WAR" ON THE SERBIAN GOVERNMENT
(Federazione sindacale "dichiara guerra" al governo)

5. WORLD BANK OFFERS $80 MILLION TO PRIVATIZE SOCIALLY-OWNED FIRMS
(La Banca Mondiale offre 80 milioni di dollari per la privatizzazione
delle imprese a capitale sociale)

6. UNHCR CUTS AID TO BELGRADE; CASH CRISIS SHUTS SOUP KITCHENS;
SERBIA-MONTENEGRO HAS GRAVEST REFUGEE PROBLEM IN EUROPE
(Alto Commissariato ONU per i Rifugiati ed altri organismi "umanitari"
tagliano drasticamente i fondi alla Serbia, benche' il paese abbia la
situazione piu' drammatica d'Europa)


=== 1 ===


US Steel to buy Serbia's Sartid Steel Plant

So after the US imposed sanctions for ten years that limited market
access to steel produced by Sartid - Yugoslavia's largest steel
manufacturer - US Steel Corporation is now moving in to buy up the
remnants of the firm for virtually nothing.  US Steel - the largest
integrated steel manufacturer in the USA and a former member of the USX
consortium with Marathon Oil - promises to invest some 173-million in
the firm (including the $23-million "price-tag" for which they are
getting everything).  Considering that Sartid produces 2.5 million tons
of steel anually, and that 1 ton of steel fetches btwn 200 to 400 US$
on US markets (see table at the bottom of
http://www.manufacturing.net/pur/
index.asp?layout=articleWebzine&articleid=CA219922) , this means that
annual revenues (conservative estimate) will be some US$ 500-million
(i.e. 2.5 million tons X US$ 200).  This is assuming that the
2.5-million ton output is maximum capacity and that the firm cannot
produce more and that prices remain at the low end of the scale.  Thus
even if we cut these projected conservative revenues by a factor of
80%, the US Steel Corporation could still make back its initial
investment in 2 years or so.  There are other considerations that come
to mind:

1) The assumption being made in the press-release is that US Steel will
be seeking to build Sartid once it moves in.  But it's just as likely
that the promised $US 150-million investment in refurbishing Sartid
will never come and that US Steel will seek to sell the firms
components and make a quick profit (as was done with Russia)
contributing to the further de-industrialization of Eastern Europe. 
Another reason that this may be the prefered option for the execs at US
Steel is that this would avoid negotiations with labour over the new
ownership structure likely to be imposed on the firm.  I remember two
years ago hearing Soros talk about the "disapointment" that Russia had
become, and that his attention was now focused on the Balkans.  I'm
sure other investors have taken this as a sign to proceed with the
asset stripping of this region, in a similar fashion to that carried
out in the former Soviet Union (FSU).

2) Even if all this money is "invested" the press-release gives no
indication of how profits will be distributed.  But since it seems that
US Steel will assume full ownership of the firm, it can also be assumed
that all the profits will acrue to it.  Furthermore, the guarantee to
save jobs and install a communications center to "advertise" Serbia as
a center for investment (i.e. establishing a consulting firm to guide
other firms seeking to plunder Serbia) should be noted.  While the
later is a transparent ploy to make more money, the former is
completely lacking in any credibility and is simply designed to assuage
the fears of workers in the short-term and delay their general
mobilization against the new ownership.

(Kosta K. on ANTINATO@..., April 2nd, 2003)

---

US Steel to buy Serbia's Sartid steel plant for $23m, invest $150m

April 01, 2003

Belgrade, April 1, 2003 - US Steel, one of the world's largest steel
companies, announced on Tuesday that it will acquire Serbia's bankrupt
steel plant Sartid for $23 million, pledging to invest $150 million
over three years in the facilities and equipment and keep the
6,500-strong workforce, the Beta news agency reported.The deal, which
is to be finalised in the third quarter of 2003, was signed by US
Steel's general manager for the Balkans, Thomas Kelly, and Sartid's
bankruptcy manager, Branislav Ignjatovic. US Steel promised to invest
$150 million in upgrades to the plant's facilities as well as another
$5 million in the Smederevo municipality's development. The buyer also
vowed not to make any layoffs among Sartid's 6,500 workers. John
Goodish, U.S. steel's executive vice-president for international
activities, said the deal will be finalised when several countries
scrap measures limiting steel imports from Serbia and Montenegro.
Goodish added that US Steel intends to encourage the development of
Serbia and Montenegro by creating a $1.5 million information centre to
enlighten foreign investors on advantages of opening production plants
in Serbia and Montenegro. Smederevo-based steel concern Sartid is
Serbia and Montenegro's largest steel maker, with an annual production
capacity of 2.5 million tonnes. The company has been in the bankruptcy
procedure since November 2002 for its liabilities of $1.7 million.

http://www.serbia.sr.gov.yu/cgi-bin/printpage.cgi?filename=/news/2003-
04/01/328490.html

---

CONTRACT BETWEEN SARTID, US STEEL IS VERY IMPORTANT FOR SERBIA

BELGRADE, April 1 (Tanjug) - US Ambassador to Serbia and Montenegro
William Montgomery said that a contract, which US Steel and Sartid of
Smederevo had signed on Tuesday, was very important both for the
Serbian economy and the future of the Smederevo iron and steel works.
This agreement will help Sartid overcome problems in
operation and help the Serbian government solve its major problem,
Montgomery told reporters at Belgrade's Sava Centre. Asked about the
Serbian industries he regarded competitive on the world market,
Mongtomery said that this was the wood-processing industry and fruit
juice production.


=== 2 ===


US AMBASSADOR: INTERNATIONAL COMMUNITY SUPPORTS SERBIA

BELGRADE, April 1 (Tanjug) - US Ambassador to Serbia
and Montenegro William Montgomery said Tuesday that the
international community supports the Serbian government's fight
against organized crime, indicating that it will meet with a
resounding response in the world, improving in that way the image of
Serbia. Speaking to participants in the summit on competitiveness,
Montgomery said that the United States supports the Serbian
government in its efforts to stabilize the situation in the state
following the murder of Premier Zoran Djindjic.
He said October 5 (2000) was in their hearts. Serbia has succeeded to
make large strides since October 5 and Serbia will be lauded for its
efforts in the fight against organized crime, Montgomery said.
Montgomery said that Serbia has sufficient qualified human resources
to become a leader in the region, in which a free market will be
created with some 60 million consumers. However, he warned, that
potential does not mean capital and a lot of work still needs to be
done in that respect.
Serbia has strong companies that are competitive and the United States
will support that, Montgomery promised and added that Serbia has to
make a concept of competitiveness in order to attract investments and
encourage exports. The United States and the international community
support Serbia every step of the way and wish it success, Montgomery
said.


=== 3 ===


IWPR'S BALKAN CRISIS REPORT, No. 434,
INVESTIGATIVE REPORT, June 04, 2003

SERBIA: DETAINEES ALLEGE TORTURE

Testimony collected by IWPR suggests suspects detained in post-Djindjic
police action subjected to abuse.
By Dragana Nikolic-Solomon and Gordana Igric in London, and IWPR
contributors in Belgrade


In the wake of the police sweep which followed the assassination of
prime minister Zoran Djindjic, IWPR has gathered testimony which points
to the use of torture and other forms of mistreatment against detained
suspects.
The evidence indicates that ill-treatment of detainees was more
widespread than statements from the Serbian government and from the
United Nations and OSCE suggest.
An international expert on human rights in Belgrade who asked for his
name not to be used said that about 30 per cent of those arrested had
suffered some form of mistreatment.
Conducted during the state of emergency which was in force from March
12, the day Djindjic was killed, to April 22, the Serbian police's
Operation Sabre led to the arrest of at least 10,000 people.
The focus of the investigation is to find the assassins and to break-up
crime rings. Criminal charges have been laid against at least 3,400 of
them. On April 29, the authorities charged 45 people, most of them
members of the notorious Zemun gang, with plotting and carrying out
Djindjic's murder.
One thousand people remain in custody under controversial new rules
which have meant that suspects can be held for two months or longer
without access to lawyers and relatives, or being given a preliminary
hearing in court. The rest have been released.

ACCOUNTS OF TORTURE

The main forms of ill-treatment reported were severe beatings and
suffocation. Electric shocks were also reported. Some detainees were
pressured to sign confessions under torture. The reported abuses took
place at a number of sites.
Milan Vukovic, a restaurant owner in Belgrade, was arrested on March
13, the day after the state of emergency was imposed. Accused of
belonging to the group thought to have killed the prime minister, he
was detained for one month. He was released without charge.
Vukovic outlined the treatment he received from police at Makis,
headquarters of the special interior ministry unit in charge of
fighting organised crime, near Belgrade.
"A group of five or six masked policemen tied my hands to a chair that
was fixed to the floor, and put a plastic bag over my head," he told
IWPR. "After a short while I used up all the air. The bag stuck to my
face, and I started struggling for air. When it was obvious that I was
suffocating, they punctured the bag. They played this game twice."
"They demanded that I admit I was a drug dealer, a racketeer and a gun
runner, and that I had traded illegally in oil, cigarettes and foreign
currency. They did not beat me. But when I found myself in Belgrade's
central prison, I saw dozens of beaten-up people in the hallways and
corridors."
Vukovic is one of the few who are not afraid to talk about the torture
they were subjected to without withholding their real names.
One man who spoke to IWPR on condition of anonymity said he was
arrested and spent 30 days in custody before being released without
explanation.
Concerned about himself and his family, he was reluctant to speak at
first but in the end said that he had been beaten while in custody.
"They were not locals, they were from somewhere else, and they were
wearing balaclavas," he said.
A cluster of testimonies was gathered in regard to a group of people
from the town of Krusevac, all of whom were accused of being involved
in organised crime. Most are still in custody, so IWPR was able to talk
only to lawyers and relatives of those who had been allowed outside
contact. Some others have not had legal counsel since their arrest.
Sandra Petrovic's husband Goran and her brother Igor Gajic were
arrested in Krusevac on March 14. She told IWPR that both men
disappeared without trace and the family was unable to get in touch
with them for more than a month. She saw her husband on May 13, when he
was brought before an investigating judge.
"I hardly recognised him. He had difficulty walking and had lost seven
or eight kilograms," she told IWPR.
Her husband told her that the police had taken him to a forest after
putting a bag over his head with a slit in it for breathing and then
covered it with adhesive tape. They beat him, and he lost consciousness
twice.
Speaking on May 26, lawyer Dejan Jovanovic said that Goran Petrovic
told him the same story, and that he and other inmates said they had
been "beaten in a very brutal manner". The lawyer said they had
sustained "visible mental and physical consequences". He said Petrovic
had suffered a spine injury.
When Sandra Petrovic saw her brother Igor, he had lost over 10
kilograms.
She said he too had been taken to the forest after they had put a bag
on his head and covered it with adhesive tape. Her brother told her
they had poured water on him and gave him electric shocks with cables.
He had asked that the investigating judge enter this into his report.
According to Sandra, after the beating the two of them were taken to
the Krusevac police station, where statements were taken from both.
They were then transferred from Cuprija prison to Belgrade on
instructions from the special prosecutor for organised crime. They
disappeared without trace, until the family eventually found them with
the help of two lawyers.
Violeta Kojic, whose husband Vladan was also arrested in Krusevac on
March 14, told IWPR that her husband had been severely beaten and now
had difficulty walking. She said that his physical and mental condition
was poor, that he had tried slashing his wrists twice, and that he had
been taken to the Military Hospital in Belgrade.
Kojic's lawyer, Momir Vuckovic, backed up her story. "I have never seen
a man beaten up that badly in my entire life," he said in an interview
with IWPR on May 25. "There is not a single spot on his body without
haematomas."
He confirmed to IWPR that his client had attempted suicide, and that
Kojic told him, "I'd rather kill myself than let them kill me."
After his 60-day detention, Kojic and others were transferred to
Belgrade under orders from the special prosecutor dealing with
organised crime. Lawyers were not informed.
A third man, Slavoljub Markovic, arrested at the same time as Kojic and
Petrovic has been allowed to see his lawyer only once.
"My client no longer resembles the person I knew before his arrest. He
is mentally disturbed and has attempted suicide," the lawyer, who asked
not to be named, told IWPR on May 26.
"He told me they had been taken to a forest," Markovic's wife Emina
said.
"He had a bag over his head. That's where they beat them."
"I saw my husband last Friday at the investigating prison in Krusevac,"
she continued. "I hardly recognised him. He had lost 12 kilos and his
nose was broken. There are traces of blood on the clothes I brought
back from prison. His trouser knees were torn, probably from kneeling.
"My husband told me they had beaten him four times - twice since the
state of emergency was lifted. He says they tried to torture out an
admission of things he had not done in order to frame him."
At least Markovic saw his lawyer. The latter told IWPR of the case of
Zivorad Zivkovic, who has been in the Krusevac prison for three months
without access to legal counsel. After spending 30 days in custody, he
got another 60 days detention under the law passed by parliament in
April.
Cases of abuse were also reported among the 45 people charged with
complicity in the Djindjic murder. IWPR received information on two of
these from an international human rights expert. One of them concerns a
man from Belgrade who was sleeping in his apartment when the interior
ministry's Special Antiterrorist Unit, SAJ, came in.
Neither he nor two others who were there heard them break in. Police
woke him and "began to kick me and beat me with truncheons. That lasted
15 of 20 minutes. They did the same to the other two - one of them wet
his trousers because of the beating". The witness was then taken to a
police station, and was later charged.

OTHER FORMS OF ILL-TREATMENT

Other testimonies collected by IWPR concerned forms of abuse and
degrading treatment other than physical violence.
Sleep deprivation was reportedly applied to Svetlana Raznatovic, a
popular singer and widow of the paramilitary leader Zeljko "Arkan"
Raznatovic.
Better known by the stage name Ceca, she told international experts
that police kept her from sleeping for 35 hours by interrogating her in
shifts round the clock. Slobodan Pazin, formerly the senior policeman
handling violent crime cases in Belgrade, told the same source he was
deprived of sleep for at least 40 hours in the same manner. The two
were arrested
during Operation Sabre, and are still in detention.
A prominent Belgrade lawyer speaking on condition of anonymity told
IWPR that in his view the whole detention procedure amounted to
deliberate ill-treatment.
"Is it not torture when a man is thrown into a basement and left
without any contact with his family and the outside world for days?
People were not allowed to have a bath or change their underwear for 30
days," he said.
"Many of them were released after spending weeks in custody without
anyone asking them anything or questioning them during that time.
"The thing that they most often heard from the police as part of their
psychological torture was, 'You're criminals, and you have no rights at
all'."
He continued, "I have talked to a man who spent 22 days in the basement
of the police station in Zemun. They did not give him any food during
the first three days, and he had nothing to cover himself with while he
slept on a bench in a cell with broken windows. He was released from
custody without any hearing, and no charges were brought against him."

Many other people refused to talk to IWPR. In some of the cases on
which IWPR gathered information, the alleged victim was still in jail.
In these instances, statements were taken from lawyers and wives. Those
who had already been released were reluctant to speak out for fear that
they would be subject to re-arrest or other forms of victimisation.
Most of those who
did made anonymity a condition.
As well as collecting statements from witnesses, IWPR spoke to a number
of local and international experts working within Serbia's legal system
or involved in monitoring human rights abuses. Unlike the report
published by the OSCE and the United Nations High Commissioner for
Human Rights, UNHCHR, of which more below, these sources indicated that
the problems were widespread.

POLICE POWERS OF ARREST AND CUSTODY

The alleged abuses have taken place in the context of a large number of
arrests carried out under new rules that allow suspects to be held
incommunicado for up to two months. Such practices mean that detainees
have no means of redress in the crucial period before a criminal case
is formulated.
Most of the abuse was reported at this early stage. Once suspects are
charged and transferred from police detention to a prison, they may be
seen by a doctor who's required to document injuries.
In one case reported to IWPR, members of an international organisation
were shown such a document when they inquired about a particular
prisoner (whom they did not get to see). The document said the man had
a black eye and haematoma on the soles of his feet suggesting that he
had been beaten there.
Several sources in the judiciary, the legal profession and
international organisations told IWPR that the bulk of the physical
mistreatment took place during arrest or preliminary detention. These
sources allege that the SAJ was one of the worst offenders.
"Nearly everyone who fell into the SAJ's hands underwent torture," said
one of these sources.
The extended powers of detention granted to police came initially from
an emergency order which the then acting Serbian president Natasa Micic
signed when the state of emergency began. That gave police the right to
detain anyone considered to "endanger the security of other citizens of
the republic" and keep them in custody for 30 days. During that time
suspects have no right to see a lawyer, to appear before a judge, or to
contact their family
The order expired with the end of the state of emergency, but on April
11 Serbia's parliament amended the legislation on organised crime to
give the police even more draconian powers. Now they can hold suspects
incommunicado for up to 60 days, referring only to their superiors in
the interior ministry for approval. The investigating judge can also
order detention for a further 90 days in special cases.
In some cases, suspects were initially held under the
state-of-emergency order but have remained in detention under the new
law, so they may not see a lawyer for three months.
Human Rights Watch has said that holding suspects in prolonged
isolation is in breach of international standards. "The jurisprudence
of the European Court of Human Rights has established that even an
incommunicado detention significantly shorter than currently practised
in Serbia violates the European Convention of Human Rights," a May 10
statement from the organisation said.
Suspects are allowed access to lawyers only when they are brought
before an investigating judge. Those among the former to whom IWPR
spoke reported getting only limited access to the latter and some said
their clients were subsequently moved to different detention centres
without notification.
The authorities have pressured a number of lawyers to sign pledges to
keep case materials confidential.

Indications that major gangsters were behind the killing means there is
little sympathy for them in Serbia. This lack of interest is mirrored
abroad, where shock at the assassination, approval for the clampdown on
crime, and a desire to support a still fledgling democracy appear to
have downplayed concerns about the fate of those arrested.
But the United Nations' International Covenant on Civil and Political
Rights, which bans torture and "cruel, inhuman or degrading treatment",
draws no distinction between suspects who are eventually found guilty
and those who are innocent.
The Yugoslav criminal code which now applies in Serbia and Montenegro
does not explicitly prohibit torture. But Article 190 states that
"officials who, in the line of duty, use force, threats or other banned
means or method with the intention of extracting a confession or other
statement from an accused person, witness, source other person, are to
be punished with three months to five years imprisonment". And Article
191 stipulates
the same prison terms for officials who "cause someone serious physical
or mental suffering, threaten or insult someone, or behave in any other
way that demeans his or her human dignity".

OFFICIAL DENIAL

The Serbian authorities have steadfastly maintained that there have
been no significant breaches of human rights.
Rasim Ljajic, minister for human and minority rights for Serbia and
Montenegro, told IWPR that in some cases people had been beaten during
arrest - but that this was not on a massive scale, nor did it
constitute systematic violation of human rights.
He rejected allegations that torture had been used. Even though some
people had been beaten at the time of arrest, no one had been beaten
while in custody, he said.
In a reference to the OSCE-UNHCHR visit to a prison in April, Ljajic
said, "If we had been guilty, we wouldn't have allowed them to visit in
the first place."
Ljajic said his ministry had opened a hot line so that people could
call in to report human rights violations.
When IWPR called the Serbian interior ministry on June 3 after
receiving no reply to its faxed questions about the allegations,
spokesman Colonel Vladan Colic said, "International organisations who
have visited the detainees have given their assessment. The ministry
has nothing to add."
Although the first reports of mistreatment of detainees seeped out only
days after March 12, the authorities only responded to the claims
following an April 7 letter from the US-based Human Rights Watch to the
Serbian government urging it to stop keeping suspects in isolation.
Justice Minister Vladan Batic responded with a simple denial. "No
measures such as force, coercion or acts contrary to law were applied
against those in custody," he said.
The day after Human Rights Watch's letter was made public, Deputy Prime
|Minister Cedomir Jovanovic told journalists that there was "no cause
for concern" and that "the police, prosecutors and courts are working
in line with their authority".
To underline his assertion that Human Rights Watch's concerns were
unfounded, Jovanovic made a curious statement, "Over the past week
representatives of the OSCE, Council of Europe and EU have visited the
central prison in Belgrade and seen first hand to what degree human
rights
are protected there."
This claim turned out to be entirely untrue. At that time, no
representative of foreign organisations had been allowed to visit any
prison. At least one prominent organisation had in fact requested
permission to do so, but received no reply in the three weeks since the
state of emergency began.
"I was surprised that deputy prime minister Jovanovic had this
information. We checked and found out that no international
organisation had made any visits," said an official from the
organisation.
"Even two or three days after Jovanovic's statement, we received an
official statement saying they could not allow us to visit on the terms
we wanted," he said, adding that his organisation had free access to
Serbian prisons when Slobodan Milosevic was still in charge.

INTERNATIONAL TEAM VISITS JAILS

In the face of strong external pressure, the authorities had to relent.
On April 14 and 15, more than a month after the state of emergency was
imposed, representatives of UNHCHR, the OSCE mission in Belgrade and
the OSCE's for Democratic Institutions and Human Rights, ODIHR, visited
the central prison and the main police station in Belgrade. In a joint
report
on their preliminary findings, published on May 13, these organisations
reported two cases of possible torture and a number of other problems.
"During the visit the delegation heard allegations and saw indications
of torture and ill-treatment of at least two detainees. It was
impossible to fully check the truth of these allegations, but the
delegation believes it is important for detainees to be able to lodge
such complaints and expect their complaints to be taken into
consideration as soon as possible," the report said.
The team also said that "extended periods of detention coupled with
substandard conditions of detention for many detainees amounts to
degrading punishment or treatment".
Public statements made by the OSCE indicated a desire to limit
criticism of the Serbian government. On April 17, immediately following
the prison visit, the OSCE's head of mission in Serbia and Montenegro,
Maurizio Massari, told Serbian media that OSCE experts had not
registered a single "significant violation of rights" or "particularly
unfavourable" facts concerning the condition of prisoners. Massari did
not take part in the visit.
OSCE spokesperson Rory Keane told IWPR that that his organisation had
had unlimited access to detainees and that they had not received direct
individual complaints either during or after the state of emergency.

WAS REPORT WATERED DOWN?

The joint UNCHR-OSCE report was damning of the detention procedures,
but its evidence did not amount to systematic physical abuse. However,
one delegation member told IWPR that the report represented a
compromise reached by UNHCHR, OSCE and ODIHR, and that it had toned
down the real conditions that they had found.
"What we saw was really horrible. No one should be allowed to beat
you," the source said. "The conditions in solitary confinement were so
disastrous that they were torture in their own right. We were unable to
breathe in these rooms so that we talked to the detainees at another
location."
The same source confirmed findings of physical torture of detainees and
said that they could barely recognise some of the people.
"One of the detainees, with signs of physical ill-treatment that were
visible 20 days after his arrest, told the delegation that he had
looked like the 'elephant man' after the first beating," the source
said.

HUMAN RIGHTS WATCH DENIED ACCESS

Prison doors, however, were opened only to the OSCE and UN. The
non-government Humanitarian Law Centre and Helsinki Committee for Human
Rights in Serbia have not been allowed in. Nor has Human Rights Watch.
A May 14 statement from the latter organisation says, "After one month
of promising Human Rights Watch unhindered access to detainees, the
authorities now appear to have actually been doing their best to
prevent such a visit from taking place."
Bogdan Ivanisevic, a Human Rights Watch representative in Belgrade,
told IWPR that his organisation had not been allowed to enter the
central prison to talk to detainees, even though it had been given
permission to do so by the ministry of justice.
"It is conceivable that the Serbian government is preventing Human
Rights Watch from interviewing detainees, especially in light of a
(UNHCHR-OSCE) report which cites limited access to detainees and voices
serious criticism concerning poor prison conditions and the injuries
inflicted on detainees," said Ivanisevic.

POLICE IMPUNITY AND THE COURTS

Although it has admitted that isolated incidents of beatings took place
in the earliest stages of detention procedures, the government has
taken no action that IWPR is aware of to investigate the actions of its
regular and specialised police forces. According to Article 2 of the
Convention against Torture, signatory countries are obliged to " take
effective legislative, administrative, judicial or other measures to
prevent acts of
torture".
Defendants in future trials are likely to cite the use of torture, and
a number of cases may be overturned at first hearing or on appeal. That
will embarrass the government both in its efforts to stamp out
organised crime, and as it tries to convince the European institutions
that it is bringing its legal framework and practice into line with EU
standards ahead of accession.
"Many things have yet to come to light. Sooner or later, what happened
to those detained during the state of emergency will end up before the
court in Strasbourg. This country will be paying lots of compensation,"
said IWPR's source in the international team which visited Belgrade
prison.
One man arrested during Operation Sabre, Mihajlo Colovic, is already
planning to press charges against Dejan Joksimovic, chief of police in
the central Serbian town of Arandjelovac. Court records include
Colovic's statement that Joksimovic whipped him with a telephone cable,
punched him, kicked him and hit him with a baseball bat, in an attempt
to get him to make an acccusation against another man. Colovic told
IWPR that his eardrum was ruptured in the beating and he had to seek
medical attention.

Belgrade is also likely to face pressure to revise laws which give too
much power to the police.
"Because of the provision for 60 days' detention, our country may run
into trouble with the international institutions," said Professor
Momcilo Grubac, an authority on criminal law. "Since we are members of
the Council of Europe, any citizen subjected to this kind of thing can
turn to the court in Strasbourg."


Dragana Nikolic-Solomon is Assistant Editor and Gordana Igric is
Balkans Project Manager with IWPR in London.

IWPR's network of leading correspondents in the region provides
in-depth analysis on events and issues affecting the Balkans. The
reports are published online in English, Serbian and Albanian. They are
also available via e-mail. For syndication information, contact Anthony
Borden tony@...
Balkan Crisis Report is supported by the Department for International
Development, the European Commission, the Swedish International
Development and Cooperation Agency, The Netherlands Ministry for
Foreign Affairs, and other funders. IWPR also acknowledges general
support from the Ford Foundation.
For further details on this project, other information services and
media
programmes, visit IWPR's website: www.iwpr.net


=== 4 ===


ARTEL Geopolitika
http://www.artel.co.yu/en/izbor/jugoslavija/2003-06-14.html

THE FEDERATION OF INDEPENDENT UNIONS OF SERBIA
"DECLARES WAR" ON THE SERBIAN GOVERNMENT - UNTIL VICTORY!

Borivoje Uroševic
Belgrade - 5 June, 2003.

At a press conference, held on the 20th of May, 2003, the President of
the Sinidikata Srbije (Serbia's Unions) Milenko Smiljanic declared a
general protest of workers in Serbia with the following sentence: "We
can no longer sit by while those in power continue directing our lives
and for this reason we are moving into action."

The list of demands that the Union is directing towards the Government
and from which they will not back-down are the following:

* That the further laying-off and firing of workers cease completely;
* That a program that would secure the employment of a large number of
those currently unemployed be initiated immediately;
* That a real development strategy be adopted for Serbia, that social
programs be implemented and that a real social dialogue be started;
* That the privatization model be reformed so that those disposing of
dubious capital for the laundering of money be excluded;
* That the rights of the employed that stem from their work be
regulated exclusively by collective bargaining agreements;
* That all the debts that the State and various firms have towards
their workers be settled and that workers be allowed to complete their
work terms as originally planned;
* That all price hikes that are within the competences of the
Government and organs of local self-management be stopped.

In so far as the Government of Serbia doesn't achieve an appropriate
agreement in its dialogue with the Federation of Independent Unions of
Serbia and does not aprove these demands within 30 days, our Union will
demand the Governments resignation, that is to say its departure and
the holding of early parliamentary elections.

The scenario for the planned protests is such that work stoppages and
protests will be held in all major cities throughout Serbia on specific
dates, while a major convergence - that will gather the representatives
of all workers from Serbia and Belgrade - will be held on the 25 June
2003 in Belgrade.

Commentary by Borivoje Urosevic:

This action plan is well thought out, but I fear will be hard to
realize.  The Unions have waited too long to gather a "critical mass"
to hit the pavement and bring people out into the streets.  Industry no
longer works, workers have lost hope and self-respect and until hunger
and neediness don't reach every portion of Serbia's population, it is
hard to see how something can be achieved.  Only at this stage we will
no longer need unions to organize the workers.

The introduction of Martial Law in Serbia after the Premier's
assassination [backed by the US government], and the repression metted
out by authorities that resultant in over 10,000 illegal and long-term
detentions - so that about 40 of this number could be tried - has
created a climate of fear and mistrust among the general population. 
It would be hard to start something now, since those workers who still
have something left - even though this "something" is in reality a big
nothing - are afraid that they will even loose this; and they would,
therefore, rather avoid confrontations.

I don't wish to be a bearer of bad omens - I plan on attending the
protests and actions after all - but I'm afraid that we will only march
the way we did when this government passed its [regressive] Labour
Law.  Since then, everything in fact, has started going downhill. 

The vision of the leadership of Serbia's Unions and its president
Milenko Smiljanic for the future of the workers movement is the
recently founded "National Workers Consortium with the goal that during
the privatization process, by way of insider selling, we stop firms
from going into unwanted hands and that they not be purchased by
dubious capital.  It is expected that the Consortium will be comprised
of around 100,000 workers who will invest from 100 to 3000 euros
individually over the next 6 years, which will create a capital fund of
50 to 100 million euros."

In a situation in which the famillies of workers in Serbia "live"
off-of monthly salaries of around 100 euros, it is utopic to expect
them to save the projected sum of around 100 to 3000 euros.  Although
the idea has some merit [in terms of its ability to save a number of
enterprises], for now it's a long-shot.

The slogan for the protests is: "For the Defense of Labour and Industry
in Serbia"

In contradiction with the analysis of the Unions and the degrading
situation that confronts most famillies in Serbia, the official
decleration of the Bureau of Statistics talks about: UNKNOWN PRICE
HIKES IN MAY 2003.

"Prices are up some 0.5% from April and some 13,4% more in relation to
May 2002"  From this anouncement we see that the cost of living with
respect to April 2003 has increased by 0.4% and some 2,6% when compared
to the figures for December 2002.

We also learn that the largest change in prices was in the agricultural
sector (nutrition) beverages and industrial unprocessed goods.   The
statistic further indicates that the prices of industrially processed
goods in May, dropped about 0.2% in realtion to April and that this was
the result of lower prices for fresh meat and specific prepared meats,
milk and animal fat products.

What do the statistics fail to reveal, and what in fact happened!?! 
The bulk import of meat, meat products and milk "killed" the price of
domestic production in these sectors, the agricultural fund was
decimated, grain prices went up, drought means a bad harvest this
autumn and what can we expect for the future?  Without the agricultural
fund there will be no meat, no milk, no meat products...The
Agricultural Minister has resigned, but not because of poor policies in
the agregate (which were evident from the get-go) but due to the tragic
traffic accident in the middle of Belgrade, that involved his car.

The stats failed to show the drastic drop in energy prices, which made
the averages somewhat skewed as well.

What can we expect more from this Government of "experts"?

And for the end, instead of conclusions, which I leave to you who will
read this, I would like to say that I sincerely support the
demonstrations that we are initiating at the end of June.  Something
serious needs to happen for things to begin going in the right
direction.  Is this going to be the moment when this happens we will
soon find-out.


=== 5 ===


Da: Rick Rozoff
Data: Mer 11 Giu 2003 17:37:18 Europe/Rome
A: antinato@...
Oggetto: NATO's Victory: World Bank Offers $80 Million To Privatize
Socially-Owned Firms

http://www.seeurope.net/en/Story.php?StoryID=41065&LangID=1
Seerope.net - June 11, 2003

SERBIA AND MONTENEGRO: WB Approves USD 80 M Loan

The World Bank today approved an eighty million dollar
IDA credit for Serbia-Montenegro for the Private and
Financial Structural Adjustment Credit (PFSAC II) that
will provide financing for the Government of Serbia
with the aim of supporting regulatory, institutional,
and structural reforms in private and financial
sectors.
The overall objective of the PFSAC II is to help the
Government of Serbia improve the business environment,
strengthen the financial system, privatize and/or
liquidate majority state-owned banks, and privatize
and restructure socially-owned enterprises.
Reform of the business environment aims to improve
business entry through a better registration system;
facilitate efficient business operations through
reforming the Enterprise Law; build capacity for
regulatory reform and improve enterprises’ access to
finance; and reduce barriers to the efficient exit and
redeployment of non-productive assets, radio B92
reported.


=== 6 ===


UNHCR cuts aid to Belgrade
        
BELGRADE, June11 (B92) -The UN High Commission for Refugees has reduced
aid to Serbia-Montenegro by seven million dollars compared to last
year, UNHCR spokesman Andrej Mahecic said today.
Mahecic told media that the cut came at the recommendation of a working
group on humanitarian issues set up under the Dayton Agreement.
The UNHCR will this year set aside 22 million dollars for the problems
of refugees in Serbia-Montenegro.
Mahecic said that Serbia and Montenegro currently had 114,605 refugees
from Bosnia-Hercegovina and 216,000 refugees from Croatia.

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BALKAN CRISIS REPORT No. 438 - www.iwpr.net

SERBIA: CASH CRISIS SHUTS SOUP KITCHENS

A drop in international funding has left local authorities struggling
to provide free meals for needy Serbs.

By Marko Romcevic in Belgrade

A financial crisis has put thousands of Serbia's most vulnerable people
at risk of losing their only daily meal.
The withdrawal of international donors has left the cash-strapped
government struggling to fund nearly 80 soup kitchens used by
impoverished or sickly Serbs.
For much of the last decade, they would queue six days a week to
receive a portion of bread and a cooked meal. But at the beginning of
June, many kitchens were forced to close due to lack of money.
The free food programme has been running since 1992, when an anonymous
donor distributed 2,000 meals to the needy. Since then, the number
benefiting from the service had grown to 30,000, at cost of 21 euro per
person per month.
But in the last few months, international aid agencies have ended their
involvement in the programme, handing over responsibility to local
authorities.
The German Red Cross was the last major donor to pull out of the scheme
on March 31.
The government has promised to keep only 28 out of 78 soup kitchens
open - one in each municipality - until the end of December.
In Serbia's northern province of Vojvodina, the programme continues in
only two of 15 original outlets. Those in Pozarevac, Smederevska
palanka, Uzice, Cuprija, and Jagodina have been closed down. One in
Bujanovac, southern Serbia, which used to have one thousand visitors a
day, has also been shut.
In Belgrade, the capital's authorities have pledged to continue the
food scheme, financing it from the city assembly budget and providing
meals for nearly 7,000 people six days a week - a reduction of around
40 per cent.
One pensioner from the Palilula area of the capital, who did not want
to give his name, told IWPR, "My [monthly] pension is around 50 euro,
which is just enough for me to pay my regular bills [the average salary
in 150 euro], but leaves me hardly anything to buy food.
"I have been coming here for the past few years and I don't know what
will happen to those whose local kitchen has closed down. Even the one
day a week that the kitchens did not operate was a problem for people."
Dragica Kljajic, the Serbian Red Cross coordinator for food provision,
said local authorities are struggling to meet the cost of the soup
kitchens. "The programme is now almost fully dependent on the
municipal governments - and these bodies have to find ways to finance
it in the future," she said.
"At the moment, the budgets are irregular and we were left with no
choice but to close many kitchens. We hope that some donors will show
compassion and help us keep the programme running, because otherwise
there could be tragic consequences."
Damir Glavonjic of the Palilula municipal administration told IWPR that
the situation was now extremely serious. "There are 4,800 socially
handicapped people - those whose family income does not exceed 20 euro
per person [a month] - in our area alone," he said. "We don't think
it's right for international organisations to withdraw in these crucial
times of transition."
The Red Cross says more soup kitchens may be forced to close in the
near future. "This current state of affairs - where we are requesting
that local municipalities take charge cannot go on for much longer,"
said Kljajic.
"One possible solution would be for each donor to pick one municipality
and finance the programme in it."
In the capital, the Palilula pensioner shakes his head as he ponders
the current situation. "I am a native Belgrader and I can hardly
believe I have lived to see this," he told IWPR.
"But the people will help us to survive - a woman volunteering in the
kitchen gave me a euro yesterday."


Marko Romcevic is a journalism student at the University of Belgrade.

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Serbia-Montenegro has gravest refugee problem in Europe 

GENEVA, June 26 (Tanjug) - Geneva-based United Nations 
Serbia-Montenegro Mission representative Dusanka Divjak-Tomic said  on
Wednesday that Serbia-Montenegro has the most difficult problem  with
refugees and internally displaced persons of all European  countries. 
Speaking at a session of the UNHCR Permanent Committee in Geneva,  she
said the UNHCR has still not adequately dealt with the problem  of
refugees in former Yugoslavia, and in particular in Serbia and 
Montenegro. This is especially true for the very serious problem of 
internally displaced persons from Kosovo and Metohija province, 
Divjak-Tomic said. 
Divjak-Tomic said she hoped the United Nations High Commissioner  for
Refugees, in cooperation with the International Committee of the  Red
Cross (ICRC) and other international institutions, would devote  far
greater attention to this complex problem. In addition to about 
250,000 displaced persons from Kosovo and Metohija, whose prospects 
for returning home are vary poor, there are also 350,000 refugees  from
Croatia and Bosnia-Herzegovina in Serbia and Montenegro, she  said.  In
spite of international forces being present in Kosovo and  Metohija for
four years already, there are still no basic conditions  in the
province for the return of refugees - personal safety and  security,
and politically and ethnically motivated murders have  still not been
rooted out and their perpetrators will never be found  or punished, the
official said.