An investigating judge of the Zagreb County Court has opened an investigation, based on a report by the IGH company, into former Construction Minister Ivan Paladina and two former members of the IGH management on the suspicion that they defrauded IGH of €250,000, Hina has learned from court sources. N1 published this story first.

Court spokesman Kresimir Devcic confirmed today that the investigating judge granted IGH’s motion for the continuation of criminal prosecution after the prosecutorial authorities rejected its complaint against Paladina and former IGH management board members Oliver Kumric and Tomislav Djuric.

Devcic noted that Paladina, Kumric and Djuric have the right to appeal the non-final decision on the launching of the investigation and that they would be questioned if the decision became final.

According to media reports, the investigating judge had rejected the first motion by IGH to launch criminal proceedings against Paladina and the other two suspects, but a non-trial panel returned the motion to him for reconsideration following IGH’s appeal.

Media report that Paladina, as IGH management board president, and Kumric and Djuric, as management board members, are suspected of having defrauded IGH of some €250,000 by selling, below the market price, IGH’s properties in Zagreb. The real estate had been appraised back in 2012 and when they sold it in 2016, Paladina, Kumric and Djuric did not previously have its value appraised anew.

Under the decision on the launching of the investigation, the three also failed to notify IGH’s supervisory board about the sale of the real estate and seek its consent.