We cannot hide contracts that the municipality also has: The company rejects the allegations in the complaint and accuses the Budva administration

For more than two years, the municipal authorities have refused to act in accordance with the contract they signed for five years and to delete the mortgage from the cadastre, even though the court issued a temporary measure prohibiting settlement.

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Budva Municipality Building, Photo: Vuk Lajović
Budva Municipality Building, Photo: Vuk Lajović
Disclaimer: The translations are mostly done through AI translator and might not be 100% accurate.

The company "R invest" accused the Municipality of Budva of stating a series of gross untruths in the criminal complaint against the company and thereby causing them moral and material damage.

The Municipal Secretariat for Property Protection has filed a criminal complaint with the Special State Prosecutor's Office (SDT) against the construction company "R Invest", its executive director Radomir Pejović, former head of the municipal service for collecting fees for communal equipment of construction land Ninoslav Kaluđerović, and other unidentified persons due to, as they claim, suspicion that they committed abuse of official position and fraud, with elements of corruption, causing damage to the city of at least 73 thousand euros.

The company states that it is untrue that "R invest" concealed that the construction work on the street had not been carried out and that the installments were due.

"This is a notorious lie because "R invest" cannot "conceal" that the street was not built because it is a road located in the middle of Bečići, a public street, for whose works the Municipality must issue a building permit, to carry out expropriation as a mandatory prerequisite, because property-legal relations must be resolved, and the municipality certainly supervises when the investor carries out the works himself. In the part where they say that the company concealed that the installments were due, they showed the incompetence and negligence of their services, because each contract on compensation is signed on behalf of the municipality by the head of the service, the mayor and the party, so the official document-contract is in the possession of the municipality and the Utility Billing Service is tasked with monitoring the contracts and their implementation. How can "R invest" hide the installments from the contract and the contract that is in the possession of the municipality that monitors, controls and implements it," the company stated.

They also stated as untrue the claim that "R invest" made false claims at the trial on May 26, 2025 at the Basic Court in Kotor - that all obligations and installments under contract 1176/18 from 2018 had been paid and that there was no debt, but that everything had been settled in full.

"The only truth is that "R invest" is not a party to the lawsuit in question at all and that no one at that hearing stated anything similar. In that case - no. 31/25, the plaintiff is a natural person and is suing the municipality as a citizen because he is the owner of high-ranking municipal officials, secretaries Joko Popovic i Vlado Ivanovic, as well as the mayor Davor Rakanovic seized the object with a mortgage that the prosecutor and the municipality agreed on with an exact deadline that it would last exclusively until October 15, 2023. Therefore, for more than two years, persons from the municipality have not been willing to act in accordance with the contract they signed for five years, they do not want to and do not want to delete it from the cadastre, and the damage to the municipality is increasing every day. Moreover, for a long period of time, they have been trying, for an extended period of time, by abusing their official position to initiate a settlement, and this out of court, and after assessing the evidence, the Basic Court issued a temporary measure prohibiting the municipality from any settlement via mortgage, after which the municipality filed an objection and was rejected. After that, while the temporary measure is in effect, Secretary Vlado Ivanović, not caring about the final court decision, initiates a settlement on two occasions on September 26 and October 20, 2025," claim "R invest".

No less important deception of the public and the prosecution, as they state, is that they stated that the contract was sent for litigation and mortgage activation only in October 2024, when Kaludjerovic left the position of Head of the Utilities Service, because Rakanović was appointed as Head in May 2023.

The explanation states several times that the mortgage expired on 15. 10. 2023, while the Municipality of Budva, not caring about it, continues with the illegal settlement. We note that absolutely all requests that have been finally decided by the competent institutions and courts and that were initiated by the municipality have been rejected, which speaks volumes about the municipality's work and operations.

"R Invest" said that Rakanović, as mayor, had the contract and installments on the table and knew for half a year that the mortgage would expire in October 2023.

"We wonder why he didn't initiate the collection and activate the mortgage? He didn't initiate it because the agreement was in effect all along that "R invest" would equip the location itself and they were just waiting for Jok Popović's service to expropriate 25-30 m2 of land from the street, which was owned by individuals. So, the municipality concealed that the greatest responsibility lay with the current head of the utilities service, Rakanović, who sat idly by for half a year until the mortgage expired and waited for the mortgage to expire."

The company claims that in October 2024 it is embarking on an "illegal attack of extrajudicial settlement, all with a mortgage that has expired for more than a year and has no legal effect."

"All illegal activities to seize the property-building and attempt to sell it out of court by free negotiation began after the unsuccessful attempt of Vodovod Budva to charge the owner of the company, Radomir Pejović, a fictitious water bill in the amount of as much as 8.634,03 euros, which they also tried to plant on him through illegal actions, and at which Pejović presented evidence at a meeting at Vodovod that exposed Vodovod's bad intention to steal 8634,03 euros from a natural person. Vodovod carried out operations in the main shaft on two occasions with teams of five people (the standard team is two people), when no one was in the building, but they apparently forgot about the video surveillance system."

They claim that at the meeting they asked the managers of Vodovod how they planned to collect Radomir Pejović's water debt when they had registered all his meters, and the condition for registration was that he had no debt, "to which they replied that all of that was true, but that Vodovod had to sue Pejović, even though they would lose the case because that was the only way to justify such a large loss on the network."

"We objected and said that we did not want to be part of a fictitious lawsuit whose sole purpose was to justify someone's loss on the network, while exposing ourselves to unnecessary harassment and the costs of legal proceedings, and that in the event of a legal dispute, we would file criminal charges against several employees of the Water Company. After that, the Water Company realized the seriousness of the situation and to this day has not sued for that debt. The result of all this is the beginning of revanchism, where the Municipality, led by Popović, Rakanović and Ivanović, is embarking on a final showdown and demonstration of power and is initiating and activating the mortgage that expired on 15. 10. 2024 and is starting extrajudicial collection in an attempt to sell the entire building for the debt of the formally and legally legal entity of the company "R invest", which it has never sued since 2018, but their goal was solely to cause damage to the individual Radomir Pejović."

Precisely for this reason, as they state, Pejović files a lawsuit for the termination of the mortgage and the damage caused to him, and on June 23, 2025, the Basic Court issues a temporary measure: "The proposal for issuing a temporary measure is adopted, prohibiting the Municipality of Budva from initiating any settlement proceedings against the plaintiff Pejović Radomir through mortgage 1176/18 of October 2, 2018."

"The explanation states several times that the mortgage expired on 15. 10. 2023, while the Municipality of Budva, not caring about it, continues with the illegal settlement. We note that absolutely all requests in which a final decision was made by the competent institutions and courts and which were initiated by the municipality were rejected, which speaks volumes about the municipality's work and operations."

They called the mayor. Nikola Jovanović to take a position on the "obvious abuse of official position by their highest officials and trusted people and answer why they are not deleting the mortgage from the cadastre when as such it cannot have any further legal effect and only exists illegally in the real estate list and causes damage to the plaintiff, and ultimately to the municipality itself, which is only increasing".

The Municipality said that they stand by all the allegations in the criminal complaint and that they have provided evidence to the SDT.

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