New Proposed Law Turns Investor's Wishes into Public Interests

By , 28 Oct 2018, 20:05 PM Business
Taking down business barriers or the Constitution of Montenegro: Buljarica Taking down business barriers or the Constitution of Montenegro: Buljarica Vijesti archive

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October 28, 2018 - Already on Tuesday on the agenda of the Assembly, amendments to the Law on Expropriation will be found that gives the Government abroad opportunity to declare something as of the public interest in order to seize the property, shorten the deadlines for the expropriation procedure, the owner of the property will be able to complain about the amount of compensation for confiscated property, but this does not delay the procedure of expropriation, and the one who takes away the land will be able to take possession of this property even before the validity of the expropriation decision.

Such amendments to the law were proposed by a group of deputies from DPS Predrag Sekulić, Marta Šćepanović, Željko Aprcović, Nikola Rakočević and Jovanka Laličić. The government gave a positive opinion on these proposals, and yesterday it was supported by the Committee on Economy, and it will be before the deputies on Tuesday.

Three years ago, the government tried to pass a similar law in the Assembly, and now almost the same text of the law proposes a group of its deputies, which avoids the organization of a public debate. After protests by several citizens' associations, the Ombudsman's opinions that the changes violated the constitutional rights of citizens, the negative criticism of EU representatives, as well as the approximation of the election, the amendments to the laws were withdrawn from the procedure.

The former prime minister at the time, Milo Djukanovic, supported such amendments to the law, stating that they will solve a large business barrier because landowners on the coast, he said, blackmailed the investors of development projects that prevented their start. According to these changes, the public interest would be the construction of hotels or villas and apartments for sale if the government so decides. One of the projects he said is of "public interest" is that the large land complex in Buljarica which should be given to the company CDC International Corporation (CDCIC) registered in the Cayman Islands. The author of the plan that allows Buljarica to build more than nine million square meters of business and residential buildings was RZUP, owned by Aco Djukanovic, and the legal representative of CDCIC was Ana Djukanovic, and their brother, then Prime Minister Milo Djukanovic, talked with the investor and proposed changes to the law. According to the proposed changes, the investor will be able to request from the Government to declare one's private property to be of a public interest so he could build tourist or residential facilities and he will get this land in a short term. The value of the compensation will be determined by the commission, whose costs are borne by the investor who asked for the expropriation. The owner has no right to negotiate about the price, and as soon as the investor pays the price proposed by the commission, he can take over the property. Three years ago, several associations and an informal group of citizens "Our Homes" launched a campaign against such a proposal. A member of this group, Bozidar Carmak, said yesterday to "Vijesti" that they were surprised that this law is being re-suggested, for which the Ombudsman said it violates the Constitution and the European Commission also declared against it.

"It is embarrassing to propose such a law without public debate, which roughly affects the right of private property and destroys the meaning of the modern state and its postulates. It is also sensitive when one's property is taken away for a real public interest, for the construction of schools, hospitals and infrastructure, and not when it is declared that it is a public interest the owner not to be able to build on its own land but someone else. At the same time, there is room to manipulate with the value of the property," said Carmak.

He said that they will try again to organize themselves in order to draw the attention of the domestic and European public to the detriment of such changes in the laws, a gross violation of the Constitution and property rights, which is one of the basic values on which the European Union is based.

Before the deputies are also the rent of Bjelasica by Uljaj and Bećirović

Yesterday, the Committee on Economy also gave its consent to the proposal of the decision to grant 272 thousand square meters of land at the future ski resort 1600 in Kolasin for 90 years for the construction of a tourist-residential settlement.

The only bidder for the lease of this attractive land is a consortium of companies Gener2 from Tirana, owned by an Albanian businessman Baskim Uljaj and "Ski resort Kolasin 1600" from Kolasin, in which 85% of the property is owned by the company Caldero Trading Limited from Cyprus, connected with Zoran Coco Bećirović. According to Vijesti, Uljaj is the majority boss in the consortium and he invests money, and "Ski Resort 1450", i.e. the Cyprus firm, is a minority on the basis of "idea and enabling of work".

The state budget will receive 10 cents per square meter of leased land from this business and 0.1 percent of the net profit of the investor. This is 27 thousand euros annually from the rent and a thousand euros from every million that the two businessmen earn.

The contract stipulates that the lessor will not pay taxes and other duties, which would appear after the conclusion of the contract. This means that if a new fee is imposed or an increase in the rate over the next 90 years, the lessors will not pay for it.

The leased location is on the slopes of Bjelasica, 12 kilometers from the center of Kolašin and 2.3 kilometers from the existing Kolašin 1450 ski resort. The planning document envisions the construction of a hotel, apartments, and villas with a total area of 74,000 square meters.

In the immediate vicinity of this site, the Government is building, with state-owned money, the ski resort Kolašin 1600 and the infrastructure to the future settlement.

Text by Goran Kapor, on October 27th 2018, read more at Vijesti

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