It is not yet known how much Mugoša's mistakes will cost the country

Proceedings are ongoing before the Court in Strasbourg regarding the amount of the compensation claim that Montenegro should pay to the company "Kips".
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Negotiations between the Government and KIPS were not successful: Valentina Pavličić, Photo: Savo Prelević, Savo Prelević
Negotiations between the Government and KIPS were not successful: Valentina Pavličić, Photo: Savo Prelević, Savo Prelević
Disclaimer: The translations are mostly done through AI translator and might not be 100% accurate.

Even after a little more than a year since the judgment of the European Court of Human Rights in Strasbourg, it is not known how much the state will pay to the owner of the construction company "Kips" Rist Drekalović in the name of lost profits, for which he asked to be awarded 30 million euros.

In June 2018, the European Court ruled that Montenegro violated the right to a fair trial, to property and to an effective legal remedy for the owner of "Kipsa", because the former mayor of Podgorica Miomir Mugoša stopped him from building a shopping center at the Old Airport in 2005.

The court accepted Drekalović's request to pay him 30 euros for non-material damages and XNUMX euros for court costs, while for compensation of XNUMX million euros for lost profit, he left the possibility for the government to come to an agreement with the owner of "Kipsa".

The representative of Montenegro before the European Court, Valentina Pavličić, said that the negotiations led by the authorized representatives of the state and the company "Kips" were not successful, and the final decision on just satisfaction will be made by the European Court of Human Rights in Strasbourg.

"Starting from the above, the European Court of Human Rights will finally decide on the just satisfaction of the first applicant, and in accordance with the points of view from the judgment "'Kips' DOO v. Montenegro", Pavličićeva said.

She pointed out that the procedure is still ongoing before the European Court, and that it cannot be declared until the decision of the Court in Strasbourg on this issue is made, because court rules do not allow it.

Pavličić said that the Government, after passing every judgment of the European Court of Human Rights against Montenegro, proceeded to execute them in accordance with its international legal obligations prescribed by the European Convention, "which was positively evaluated in the reports of the Committee of Ministers of the Council of Europe, which is responsible for the supervision of by executing the judgments of that Court".

"The case "'Kips' DOO and Drekalović v. Montenegro", i.e. its execution, is not an exception compared to other cases, which the Government showed by executing the judgment of June 26, 2018 within the deadlines set by the Court".

So far, in that case, as previously announced to the media, what was previously ordered by the Court in Strasbourg, i.e. 9.000 euros, has been paid.

The owner of "Kipsa" initiated proceedings before the European Court 13 years ago because the former mayor of Podgorica, Miomir Mugoša, stopped his construction of a large shopping center at the Old Airport in 2005.

In 1998, that construction company signed a contract with the Social Fund for construction land, business premises and roads in Podgorica, which acquired the right to use construction land of 11.443 square meters. The construction of a large shopping center and business premises was planned on that land.

The construction of that center was foreseen by the DUP in 2004, but that planning document was amended at the end of the same year, and the then mayor Miomir Mugoša in June 2015 prohibited further construction in that area.

The European Court found that the right to peaceful enjoyment of the property of the KIPS company and its founder, executive director and majority owner was violated by the state's refusal to issue a building permit for a building on their plot in Podgorica, which was outlined in the Detailed Urban Plan (DUP).

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