Budva owes a total of 41,7 million euros. According to the audit of the final account for last year, the amount of unpaid obligations at the end of 2013 was that much, and compared to the previous year, the debt of the Municipality was reduced by 14,5 million euros.
The President of the Municipality, Lazar Radjenović, said that the debt that Budva has today arose, to the greatest extent, during the economic boom, as a consequence of the excessive desire for huge investments.
"Precisely in those years, harmonious planning was not done between income and expenditure on infrastructure. The Municipality has now reduced those obligations below 30 million euros, but the structure of those obligations is very favorable, because six million euros of the debt is directed to the state, from which it is possible to collect through the transfer of real estate that the Municipality has in the apartment complex 'Tre canne'. We are still waiting for the answer from the Ministry of Finance to accept such a way of reducing obligations", said Radjenović.
Komercijalna banka is still waiting the longest
The remaining 4,5 million euros, he added, is an internal debt that the Municipality has towards its companies.
Budva's credit obligations, according to the latest official report, amount to nine million euros.
The tail from the past grew in the name of unpaid capital projects, many of which are now on the table of the special prosecutor, according to the auditor "it is 16,6 million euros long".
"In the process of carrying out this audit, we could not be convinced of the accuracy of the reported data on obligations for capital expenditures of the Municipality in the amount of 16,6 million euros. In our opinion, the record of liabilities in the Municipality of Budva is unreliable, because during its testing, different data are obtained than those presented", the auditor states in the report.
When it comes to credit debt, debts are reduced to nine million euros, but liabilities for current expenses are 12 million.
These obligations also include a debt to the state of 6,6 million euros, in the name of taxes and contributions, which the Municipality of Budva intends to "set off" with the state, through business, apartment and garage spaces in the "Tre canne" building complex, which is a local the administration confiscated from the Podgorica company Fab live in the name of utility debt.
The item for culture catches the eye, where last year the Municipality paid 75 thousand euros for the series "Budva on foam from the sea".
In 2013 alone, the municipality paid as much as 14,5 million euros for debts from previous years.
Budva paid 655 euros, which is half of the debt, to the Metropolis of Montenegro and the Littoral, in the name of the court verdict, in the name of exempted land from 20 years ago for the construction of the city bypass.
The series "Budva on sea foam" received 75.000 euros
When it comes to transfers in institutions, the public and NGO sector, and individuals, the item for culture catches the eye, where the Municipality paid 75 thousand euros last year for the series "Budva on foam from the sea".
In total, according to the contract concluded in 2011 with the company MM production Montenegro, of the brothers Mima and Milan Karadžić, it is foreseen that the city will pay 150 thousand euros for that serial project.
The municipality also returned 1,9 million euros, in the name of the guarantees it gave for the loan for the construction of the desalination plant, as well as in the name of the loan for the "water city".
Budva has the largest loan debt to Komercijalna banka AD Budva, in the amount of 3,7 million euros, from almost six years ago, in the name of which it pledged the Mediterranean Sports Center, and there is also a loan that it repays from the Cypriot company "Numerico trade limited". for the never-built Water City on Topliš.
According to the report of the Secretariat for Property Protection, 199 lawsuits have been initiated against the Municipality of Budva for damages, which according to the claims amount to 20,2 million euros. "In addition, 124 disputes were initiated against the Municipality in order to determine ownership rights over immovable property, for which the amount of the dispute of 9,5 million was stated in certain claims, while the majority of those claims did not state the amount," the auditor points out in the report written after control of financial records in the Municipality of Budva.
40,6 million euros from the land
In eight years, 40,6 million euros were poured into the municipal coffers for the sale of "attractive property", mainly land complexes.
On the other hand, the auditor states that the debt of the Municipality for the Fund for the compensation of former owners has reached 2,5 million euros.
According to the Law on Restitution of Expropriated Property Rights and Compensation from the Sale of State Property, the municipality is obliged to pay ten percent into the Government Compensation Fund. According to the auditor's table, Budva did not do this for five years from 2008 to 2012.
It says that property worth 2006 million euros was sold in 10,3, and property worth 2007 million in 12,8.
During those two years, the Municipality duly paid a percentage to the Fund, and since then, despite millions of real estate sales, it did not do so until 2013.
Last year, despite the fact that she sold real estate for only 937.000, she paid 93.000 euros into the Government Fund instead of 140.
Bonus video:
