Lubarda acquits Perović of tax evasion in first instance, prosecution announces appeal

Former Director of the Agency for the Prevention of Corruption (ASK), Jelena Perović, has been acquitted in the case of tax and contribution evasion during the sale of an 87-square-meter apartment in Cetinje, which she had previously obtained on favorable terms.

The first-instance verdict was announced today by Judge Dragana Lubarda of the Basic Court in Podgorica.

The explanation of the verdict handed down by Lubarda this morning states that, based on the evidence presented by the prosecution, Perović did sell the apartment she received, which was allocated to her by the decision of the Judicial Council that she could purchase the property (an apartment under construction) under favorable conditions.

"From the evidence that was presented, which are primarily expert opinions from the geodetic profession, expert opinions from the economic and financial profession, the court determined that during that period Jelena Perović only had the real estate that she had at her disposal and which she had the right to dispose of. According to the Tax Law, Perović was not obliged to pay this type of tax, given that she had resolved her housing issue in that way and did not have other real estate registered in her name that she would have had at her disposal during that period. This conclusion also stems from the position of the Tax Administration, which stated in the previous procedure, i.e. during the inspection, that she did not have any tax obligations," Lubarda explained.

The Basic State Prosecutor's Office (ODT) in Podgorica announced that it will appeal the verdict acquitting Perović for all legally prescribed reasons.

"The reasons given by the first instance court in the acquittal verdict were, in the opinion of this prosecution, incorrectly and incompletely established, especially the fact that the defendant allegedly did not have other real estate registered in her name, which she would have had at her disposal during that period, although the evidence presented at the main trial shows that during the disputed period she was the owner of a real estate-apartment, measuring 69 square meters in Podgorica, which she acquired by purchase," the Podgorica ODT said in a statement.

The case against Perović was handled by the ODT in Podgorica after the Basic Court issued a first-instance verdict in the summer of last year on the state's lawsuit that the former director of ASK was obliged to return more than 58.000 euros to the budget with interest, because she had obtained the apartment on favorable terms for less than 32.000 euros and sold it for 73.000 euros.

According to last year's verdict by judge Mirza Ademović, Perović did this without fulfilling the obligations she signed with the Cetinje Basic Court, which is, first and foremost, to remain in the judicial position for another five years.

During closing arguments last week, the lawyer for the former ASK director, Nikola Martinović, said that "in the evidentiary proceedings, the decision of the tax authority was implemented, which determined that Jelena Perović has no tax liability based on the conclusion of contract UZZ 305/2019."

Perović then repeated to Lubarda that she had not sold the apartment, but had "ceded the rights to purchase the apartment."

According to her, it was not about selling real estate.

"Therefore, the basic condition for making a decision on determining capital gains, or capital gains tax, has not been met. These allegations of the defense are confirmed by the minutes of the Tax Administration, Podgorica Branch Office, on inspection supervision No. 16/01-3-244/1-2023 of 28 June 6, in which it was determined that there is no obligation to pay capital gains tax. In this regard, I would like to point out that the inspection supervision was initiated ex officio, namely by the act of the Revenue and Customs Administration, Podgorica Branch Office, for determining and collecting tax liabilities No. 2023/16-01-2 of 82 March 29, in which it is stated 'based on our records, we have determined that you have not submitted an annual tax return on the income of natural persons...'. I would like to point out that the notary before whom the preliminary agreement in question was concluded submitted it to the tax authorities, who, on that basis, initiated the procedure for determining tax liabilities, as prescribed in Article 3 of the Tax Law. administration, with the conclusion that there is no tax liability," Perović claimed.