Most corruption cases reported to MANS referred to corruption in privatization, where obligations defined by social, investment and ecological plans were not fulfilled. At the same time privatization contracts were kept away from public and obligations of new owners regarding investments are frequently changed through secret annexes.
Violations of laws and privatization contracts are the most severe in northern part of Montenegro, which eventually lead to collapse of local economies.
MANS was providing workers with free legal assistance and managed to obtain privatization contracts and annexes for 12 companies.
We collected information on over 130 privatized companies from media, through FOI requests, by researching official registers of companies and of property. Further information we collected through direct contacts with trade unions at seven public debates organized in February 2010 that gathered about 500 participants from 40 companies.
In cases when MANS couldn’t obtain information from relevant institutions, we prepared set of FOI requests and mobilized workers and minority shareholders to submit them. In that process, over 150 citizens submitted nearly 500 requests for information.
On the basis of all collected information, we developed analyzes of privatization that is pointing out major trends in corruption and violation of the privatization contracts.
Based on analyses we submitted over 50 initiatives to Labor and Tax inspections which provided answers to nearly 30 initiatives and identified irregularities in 10 cases. We submitted nearly 80 initiatives to the State Prosecutor and Police which rejected 15 cases, in one case the criminal procedure was already initiated and in the rest of the cases they did not provide us with answers.
MANS provided extensive legal assistance in cases of extreme violations of privatization contracts to workers in “Bauxite mine”, “Iron factory” and “Techno steel”.
Over seventy miners of the privatized bauxite mining company “Rudnici Boksita” started strike in mine three kilometers under the ground, which lasted for 25 days. The strike began because the new owner violated privatization contract, concessions act and legislative regulating labor rights.
MANS collected and analyzed all available documents and provided workers with free legal aid in reporting violations of laws and contracts to responsible institutions and in approaching the National Parliament. We have also collected legislative from other countries regulating rights of miners and assisted them in communication with MPs and media. Workers requests were mainly fulfilled, and they aborted the strike, but the privatization and concession contract is still in force, despite of violations. MANS reported Minister of Economy to the prosecution, on the basis of documents showing that he was allowing new owners to violate privatization contract and abolishing them from prescribed fines.
In the case of the Iron factory, we have collected and analyzed all available documents, and discovered several hundreds of offshore companies registered at tax heaven destinations to be connected to privatization. Upon our initiative, the Parliament discussed this privatization and violations of the contracts and relevant legislative, while the prosecution and Anti-money Laundering Agency are currently investigating the case. However, new owners of the Iron factory initiated two court cases against MANS for slander.
Another case was related to workers of company “Techno steel” that were striking for months. We provided the workers with documents showing murky connections between current and previous owners and directors. After presentation of these facts, prosecution started investigating the case, and the strike was soon stopped.
Through cooperation in these cases, MANS established strategic partnership with Independent Trade Union, that would remain important partner in our future activities MANS supported “Aluminum Plant” and “Iron company” Union presidents that were unlawfully fired in previous years due to performing trade union activities. The representative of “Aluminum plant” was fired due to attendance of MANS round table on the role of the Parliament in privatization. After strong public pressure as well as of her co-workers she was returned to the company. The representative of the “Iron Company” Union was provided with our assistance in conducting case against Labor inspection decision in which they failed to protect his rights in an unlawful dismissal.
Due to debts of the new owner toward the State, the Government became again one of the shareholders of “Aluminum Plant” Podgorica – once the biggest Montenegrin company. However, the contract and annexes were kept secret and MANS conducted media campaign after which all relevant documents were published. Information gathered in this case we presented to the National Parliament’s Commission for Monitoring Privatization.
