Patriotic theft - part 4 (VIDEO)

Since 2000, various political parties have been in power, including DOS, DSS, DS, parts of the local government in Kosovo was also held by SNS, SPS, and SRS, yet none of them have raised the issue of accountability for the misuse of funds belonging to the citizens of Serbia. While criminal proceedings are extremely rare, politicians who rotate in power are fully aware of the abuses. This is evidenced by debates in the Kosovo and Metohija Committee in the Serbian Parliament, where representatives of all parties participate and continually present data on numerous abuses. These result in millions of euros in losses to Serbia's budget, yet instead of prosecutorial interest, these accusations are typically countered with accusations of a lack of patriotism. The discussion then shifts to a division between "traitors" and "patriots," while the state budget continues to be spent unchecked, leaving those in need without any help.

"Patriotic" Theft – Episode Four

According to Insajder's investigation, there are numerous examples of abuses, resulting in Serbs without political connections and those not employed in Serbian state institutions receiving little to no assistance. The same applies to a project aimed at purchasing and allocating apartments to internally displaced persons in Kosovo. It was one of the Serbian government's projects: purchasing apartments from Albanians who owned properties north of the Ibar River.

Oliver Ivanović, State Secretary in the Ministry for Kosovo and Metohija (2008–2012): "The idea was to provide housing for Serbs who had come to Mitrovica from other municipalities and stayed there, as well as for young married couples with children who would be important for the northern region."

The project began in 2003 and continued until last year. It was intended to house internally displaced persons who had lost their homes in 1999 in areas now populated by the majority Albanian population. However, a portion of the project, whose mechanisms were kept hidden from the Serbian public, devolved into providing apartments—paid for by Serbian citizens through the budget—to those with well-paying jobs in northern Kosovo or political connections. The Kosovska Mitrovica District was responsible for purchasing the apartments, with funds coming from the Serbian budget through the Coordinating Center for Kosovo, which was led by Nebojša Čović at the time.

Nebojša Čović, President of the Coordinating Center for Kosovo and Metohija (2001–2005): "What was presented to the Coordinating Center, I think, was perfectly fine. As for the operational part of the job, you can check with the district chief, who handled it operationally and directly, not with me. I can only be responsible for the information and data I received. The information we received was completely accurate. Otherwise, in Kosovo and Metohija, there are always stories about this and that, taking money in one way or another, but we couldn’t prove that."

B92: "How are you not responsible?"

Čović: "Well, how could I be? Only if you want me to be responsible at all costs. But I didn’t handle that job operationally. That’s not my job."

B92: "Given that you manage the money of Serbian citizens..."

Čović: "Yes, but I did my job..."

B92: "Would you behave the same way if it was your own private money?"

Čović: "I acted very responsibly, believe me, in one of the most difficult jobs."

From March 2003 to August 2011, 134 properties were purchased to accommodate internally displaced persons, with a total expenditure of just over 14 million euros. This amount was spent, among other reasons, because intermediaries were introduced into the Serbian government’s business, which was financed through the Serbian budget by its citizens. These intermediaries received commissions based on each sales contract.

The intermediaries were essentially introduced into this government business by Dragan Kalaba, the then-head of the Kosovska Mitrovica District. In mid-2003, Kalaba signed three contracts—one with the private firm “Masters,” another with the private firm “Daki,” and a third with the then state-owned company “Komgrap Gradnja.” The contracts were standard, stating that they were signed for the purpose of “achieving strategic state and national interests in Kosovo and Metohija.”

The companies were hired to locate, purchase, and renovate properties using Serbian state funds, for which they would receive a percentage. Kalaba declined to talk to Insajder.

In 2003, Bojan Radovanović, the then-owner of "Masters," became the key figure in the purchase of properties in northern Kosovo. He was arrested in December of last year on suspicion of submitting fictitious documents to illegally obtain loans totaling five million euros from an Italian bank. The police filed charges against him for fraud, forgery, and unlawful gain. Radovanović has since been released from custody. He refused an interview with Insajder, but stated that he was the only witness to all the corruption related to the property purchases and that he voluntarily provided information to the prosecution. He claims he took this step due to daily threats he was receiving. Radovanović was the president of FK Novi Pazar, after previously handing Novi Pazar a spot in Serbia's premier football league as the president of FK BASK. In 2006, as president of BASK, he was under police investigation. Radovanović was also a board member of FK Partizan for several years. Today, he owns the company "BASK Prestige," which operates the Prestige Hotel in Belgrade.

B92: "Who selected Bojan Radovanović?"

Čović: "As I said, you have to ask the district head and local authorities."

B92: "But aren’t you somewhat responsible for them?"

Čović: "Yes, and I think they did a proper job with the first seven properties, and even afterward until everything was balanced."

The company "Masters," led by Bojan Radovanović at the time, signed a contract with the Kosovska Mitrovica District and purchased six houses in Kosovska Mitrovica in 2003 for the Serbian government, spending 74.3 million dinars, equivalent to 1.1 million euros at the time. The prices Radovanović negotiated ranged from 815 to 899 euros per square meter. During this period, Radovanović received a total of 1.15 million euros from the Serbian budget. So, through commissions alone, Radovanović earned 40,000 euros in just a few months. However, since Radovanović struggled to establish contact with local Albanians, he introduced another intermediary into the process—Idriz Šijak, an Albanian from northern Kosovska Mitrovica and owner of the company “Daki” at the time.

"Komgrap Gradnja," a state-owned company at the time, also signed a property purchase contract with the Kosovska Mitrovica District. Bojan Radovanović was a member of the board of "Komgrap Holding," which included this company. However, "Komgrap Gradnja" did not purchase any properties. Instead, they signed a contract with Idriz Šijak's company "Daki," allowing it to find properties on behalf of "Komgrap Gradnja." The company "Daki" was paid a commission from Komgrap's funds.

Čović: "Why private companies? Because 'Masters' was a company that had been working in Kosovo for a long time and had a good reputation—at least, that’s what we were told. As for the company 'Daki,' it was selected, and it was explained to us that it made sense for easier communication with the non-Serb population since the owner of that company was Idriz Šijak. The contracts were made. Belgrade didn’t interfere in the distribution or the criteria."

Idriz Šijak’s company, "Daki," was registered on June 11, 2003. Just a few days later, the company signed a contract with the Kosovska Mitrovica District, headed by Dragan Kalaba at the time. Šijak says he became a mediator in the state-run business for Serbia at the request of the owner of "Masters," Bojan Radovanović.

Idriz Šijak, owner of the company "Daki": "They suggested to me, ‘Listen Idriz, since you're Muslim, Albanian, it would be good if the company was registered in your name. Otherwise, the state of Serbia would be accused of thia and that...everything, I won’t even say what else.’ He told me that the Serbian government had appointed him to purchase houses on behalf of the Serbian state."

During this period, the property purchase process involved Idriz Šijak, as a Kosovar Albanian, finding properties owned by other Kosovar Albanians in northern Kosovska Mitrovica and negotiating their sale. After signing the sales contract, the Kosovska Mitrovica District would transfer the required sum to Šijak’s company, "Daki." The money would be withdrawn in cash and paid to the seller, after which the property would be renovated and allocated to Serbs. At the same time, Šijak would receive a commission.

Šijak: "When we started with these houses, Bojan told me, 'You’ll receive appropriate compensation for the work you do.' You know, at that time, the three percent he proposed to me for each property was a big deal for me, and naturally, I saw it as an opportunity to make good money."

While Nebojša Čović states that, according to the data he received, the average price per square meter in the state property purchase project was around 400 euros, the data uncovered by Insajder shows that the prices were much higher.

Čović: "What money are you talking about?"

B92: "900 euros per square meter for one house?"

Čović: "No, that’s not true."

B92: "Yes, it is."

Čović: "It’s not. The average price, I read it out to you, both net and gross."

B92: "The first house that Idriz Šijak bought cost 1.1 million euros."

Čović: "I don’t even know which house that is, to be honest."

B92: "The Lapova house on Kolašinska Street."

Čović: "Well, I don’t know. That’s not my job. I get a report, it’s processed by the professional services, they present it, and then it goes to the Coordinating Center meeting, which can be in full or narrow session. Everything else is not my job."

Just a few days after registering his company, Idriz Šijak bought the first property for the Serbian state—a house at 156 Kolašinska Street. This was the most expensive property purchased by the Kosovska Mitrovica District, costing almost 80 million dinars, which was more than 1.1 million euros at the time. The house, which still bears shrapnel marks, has 1,260 square meters, meaning the price per square meter was over 900 euros. Today, the Economics Faculty is located at this address.

B92: "Was this the first house you bought?"

Šijak: "Yes."

B92: "And it cost a million euros?"

Šijak: "Look, regarding the figure, whether it’s five million or 25 million, what do I care? What’s that to me? I only get three percent. I got half the money for that house, the other half I didn’t receive. The same goes for the Medical Faculty—I got half the money, but not the other half. That must be paid to me, no question."

B92: "But you say you protect Serbia’s interests?"

Šijak: "Yes."

B92: "But you don’t care how much money…?"

Šijak: "Listen, nobody from the Serbian state came to me and said, 'Hey, listen, you’re working for the Serbian state, for me.' Bojan came, I dealt with him. He said he was working for the Serbian state. I accepted that."

The company "Daki" signed preliminary contracts for the sale of 22 properties valued at around 3.3 million euros, with prices per square meter ranging from 437 to as high as 968 euros. However, Šijak claims that he did not control the bank account where the money was deposited. Yet, just 15 days after entering the business, Idriz Šijak signed a contract with himself for the sale of his own house at Rudarske Čete 93, a house burned down by Serbs during the war in Kosovska Mitrovica. Using Serbian state money, or more specifically, money from Serbian citizens, Šijak bought his own burned-down house for 173,215 euros, or 541 euros per square meter. Šijak claims that he sold the house to the Serbian state to set an example for other Albanians.

Šijak: "I could somehow convince Muslims, here and there, but Albanians, no. So, naturally, what was the first thing I could do? I sold my house to set an example for everyone else on how they should act. And I did it that way. It was the only way I could."

B92: "But you got a good price for it?"

Šijak: "How much?"

B92: "According to our calculations—541 euros per square meter."

Šijak: "My dear friend, before the war, I was getting 300,000 euros for my house. And I sold it for what I sold it. And be sure of this—in any scenario, I would never have sold it for less. That’s the minimum price I could have taken. I figured I’d make up the difference from the percentage I would earn."

Oliver Ivanović, State Secretary in the Ministry for Kosovo and Metohija (2008–2012):

B92: "Did you know that Mr. Idriz Šijak purchased his own apartment with these funds?"

Ivanović: "I didn’t know."

B92: "Has there ever been any investigation into what happened with the purchase of these apartments, as far as you know?"

Ivanović: "As far as I know, the relevant services were working on that issue."

B92: "But we haven’t seen any results from that?"

Ivanović: "Well, I haven’t either, but that doesn’t mean that someone in the Ministry hasn’t. I mean, personally, I haven’t. But that doesn’t necessarily mean anything. I’m saying, there could be a report in the Ministry, but I haven’t seen it."

Idriz Šijak now claims that he did not control the bank account where the money was deposited and that he received the money for the job in cash. He says that, as a result, some houses were never paid for, and he plans to sue the Serbian state over this. Šijak also states that this led to a conflict between him and Dragan Kalaba, the district head at the time.

Šijak: "I called, and he said to me, ‘What do I care, I bought that house, I paid you the money into your account.’ And I said, ‘You know what? Get lost, I won’t say where. Who did you pay the money to? If you paid it into the account, who controls that account? Who’s the owner of that account? What are you talking about? You didn’t pay the money. I know you didn’t pay the money.’"

B92: "Which house are we talking about?"

Šijak: "The house of Reshet Preševa. But it’s not just that one—there are another ten or twelve houses that haven’t been paid for."

B92: "We have here that this house was paid 6 million…?"

Šijak: "Yes, it was 'paid,' but the man didn’t receive a cent."

B92: "We have a record showing 6.8 million was paid from the Kosovska Mitrovica District’s account to your account."

Šijak: "Look, my friend, paper never refused ink... You understand?"

B92: "Did you receive that money?"

Šijak: "What?"

B92: "Did you receive that money?"

Šijak: "I’m telling you, the only time I saw money was when they brought it in those worn-out bags, euros, I didn’t see anything else. You understand?"

At the beginning of this year, the Higher Prosecutor's Office in Kraljevo filed charges against Idriz Šijak. The prosecution accuses him of abusing his official position in the purchase and sale of three apartments in Kosovska Mitrovica, unlawfully gaining 12 million dinars, which was approximately 174,000 euros at the time. 

Šijak is charged with having his company, "Daki," sign contracts with the Kosovska Mitrovica District in three cases where the property prices were inflated compared to what was actually paid to the Albanians from whom the apartments were bought. Forensic analysis showed that the company "Daki" billed the Kosovska Mitrovica District 7.2 million dinars for a house, while Šijak only paid the property owner half of that amount. For the other two apartments, the difference between the declared price and the actual payment was 5 million dinars for one, and 3.3 million dinars for the other. Šijak was questioned during the investigation but remained silent in his defense.

B92: "There is currently a case against Idriz Šijak in Kraljevo..."

Čović: "Yes, okay."

B92: "...regarding the purchase of apartments."

Čović: "I don’t know. I don’t have any information about that."

B92: "The indictment against Šijak shows that we paid far more for those apartments than they were actually worth."

Čović: "I’m reading you the official information that the Coordinating Center has."

B92: "Didn’t it seem strange to you that some properties went for up to 900 euros per square meter?"

Čović: "No."

B92: "It didn’t seem strange to you that some properties went for up to 900 euros per square meter?"

Čović: "No, because I read the data on the average price of the properties."

B92: "But that includes empty plots as well."

Čović: "No, listen, let’s not be unserious here. You’re pushing me into a mathematical area that wasn’t part of my job, as the Coordinating Center had its own professional services."

B92: "But this is the money of the citizens of Serbia."

Čović: "That’s right."

B92: "You allowed a house to be paid at 900 euros per square meter."

Čović: "I told you what the prices were, and that’s official and accurate data."

B92: "Yes, but..."

Čović: "You’re telling me to calculate empty plots. I don’t calculate plots. I calculate..."

B92: "But we have all the prices that were paid for each property. According to our calculations, the average price was 700 euros per square meter."

Čović: "I don’t know which property you’re talking about, believe me."

B92: "All the properties that were purchased during that period."

Čović: "I didn’t review every property, nor was it my job to review every property, given that..."

B92: "But all these properties were paid for with the money of the citizens of Serbia."

Čović: "That’s correct. And the citizens of Serbia also paid the professional services, which the Coordinating Center had, divided into seven sectors, to analyze and verify those things. The district head was also paid by the citizens of Serbia, as were the municipalities and the Land Development Fund."

B92: "And they were all under your control to some extent."

Čović: "...and the Land Development Fund in the Municipality of Mitrovica is also paid by the citizens of Serbia and is not under my control. You know what..."

B92: "You approve the money."

Čović: "It’s not under my control."

B92: "We spoke to everyone involved in the whole chain of the apartment purchase system, and they all told us that no one could do anything without your approval."

Čović: "I don’t know what anyone told you, but I know what my powers and responsibilities were. I never interfered in choosing houses, determining zones, or negotiating prices."

After months of searching for all the intermediaries involved, Insajder eventually found Idriz Šijak (out of Serbia), and the interview was recorded five months ago. Only a month ago, according to the court in Kraljevo, a warrant was issued for Idriz Šijak because he was unavailable to the court. While the prosecution in Kraljevo has filed an indictment accusing Šijak of receiving more funds from the Serbian state than the properties were worth, Šijak claims he did not control the bank account where the money was deposited. He asserts that he received cash for his work and that he intends to sue the state because some properties allegedly weren’t paid for.

Šijak: "What I agreed on, for example, if your house was priced at 100,000, that money had to be paid. Neither I, nor the Serbian state, nor Bojan, nor anyone else owes them a single cent. As for the price I agreed on, you understand, and what they signed."

B92: "But is that accurate?"

Šijak: "Look, it’s pointless for you to deal with me on this. I didn’t, I don’t know, I didn’t look at the contracts, I wasn’t interested in it, none of that interested me. Is it true or not? You have the authorities, the police, everything."

Šijak claims that a large part of the business was actually handled by Bojan Radovanović, the then-owner of the company "Masters." Insajder obtained a document from November 2003 showing that Idriz Šijak authorized Bojan Radovanović to negotiate and terminate deals on behalf of "Daki," both for property purchases and construction work.

Šijak: "Why hasn’t the Serbian state, the Ministry for Kosovo, and especially the police resolved this in nine years? Who was stopping them? Me? And another thing, I’ve been chasing this for nine years to get it resolved. It has to be resolved, either with you, those in charge, or any other way, but it has to end."

B92: "It’s hard to believe you were so naive."

Šijak: "No, it’s not about naivety. Look, it’s clear—crime occurs when someone takes something from someone’s pocket. Illegally. Something that’s not theirs. You get it? That someone who put his hand in someone else’s pocket, that is not me."

According to official documents, Serbian citizens, through the budget, paid almost four million euros to the company "Daki," owned by Idriz Šijak, during 2003 and 2004. A portion of the money was intended for property sellers—Kosovar Albanians, another part as commission for Idriz Šijak, and a third part for construction work to make the properties usable.

Nebojša Čović claims that, based on the information he received, everything was in order regarding the purchase of apartments and that he cannot be held responsible since the entire process was managed by the Kosovska Mitrovica District, led by Dragan Kalaba, who refused to speak with Insajder.

B92: "You can’t escape responsibility for managing the money of Serbian citizens?"

Čović: "I don’t feel any responsibility in that regard because I did my job within the scope of my duties and responsibilities. I believe the prices achieved were very good. But again, I repeat, it’s wrong to have this debate with me."

B92: "Bojan Radovanović told us that he consulted with you on everything?"

Čović: "He consulted with me? Only as much as all other contractors did, which is during meetings when we met with the people who were working on the project operationally. Nothing more or less."

Radenko Nedeljković, a DS official who was head of the police in Kosovska Mitrovica until 2004 and later the municipal coordinator for Kosovska Mitrovica, is now the head of the Kosovska Mitrovica District. He says it’s difficult to determine whether there were any abuses in the apartment purchases, if they occurred at all.

Radenko Nedeljković, Head of the Kosovska Mitrovica District: "Regarding the purchase, I must say, there was no established system or mechanisms for how this should be done. It was a matter of free agreement and the law of supply and demand."

With the removal of Nebojša Čović from the position of President of the Coordinating Center for Kosovo and Metohija and Dragan Kalaba as head of the Kosovska Mitrovica District, the business relationship with Bojan Radovanović's company "Masters," "Komgrap," and Idriz Šijak's company "Daki" ended. However, the property purchases didn’t stop. The working method remained the same, but when Sanda Rašković Ivić from the DSS took over the Coordinating Center, new intermediaries were introduced.

According to documents obtained by Insajder under the Freedom of Information Act, the intermediaries in this business then became Nebojša Minić, a DSS member, and Boban Savić, a lawyer from Kosovska Mitrovica. The contracts signed by Minić did not mention any commission, but the contracts signed by Savić, who is listed as the legal representative of the Kosovska Mitrovica District, stipulated a commission for him of 800 euros per purchased apartment. When contacted by Insajder, Savić briefly stated that he had no comment, asked not to be disturbed, and hung up. According to Milorad Todorović, a former high-ranking DSS official, the entire project was overseen by his then-party colleague, Marko Jakšić. Jakšić refused to speak to Insajder and declined to confirm, deny, or even comment on these claims.

Milorad Todorović: "He was the person who made decisions on everything that could be considered a strategic investment, like the purchase of Albanian apartments in Kosovska Mitrovica."

B92: "Was he the one coordinating the whole operation?"

Todorović: "Absolutely, absolutely. He was on the selection board. I had the opportunity to speak with him about it. He said it was a completely safe operation, that it was in Serbia’s national interest to buy these houses. He assured me that there was no issue with corruption, that many people were involved, and that it was impossible to make any deals or scams. Each of them had their own perspective, but they made decisions collectively."

During the time Sanda Rašković Ivić from the DSS led the Coordinating Center, new apartment purchase systems were introduced. Rašković Ivić also declined to speak with Insajder, as DSS stated that the party does not cooperate with B92. According to Insajder's investigation, during this period, certain institutions in northern Kosovo were also required to participate in the purchase process.

Todorović: In a conversation with the dean of one of the faculties, please do not insist on his name due to his request, I learned that he was under pressure to buy an apartment from the then district chief.

B92: And who was the district chief at the time?

Todorović: I think it was Momo Kasalović. The dean was pressured to buy an apartment from him, and he told me directly that Marko Jakšić was pressuring him. He asked me, in a friendly manner since we know each other, what I thought, and how he should proceed. I just told him to follow his conscience, because if something illegal was involved, he should avoid that risk, as I didn’t see any reason for him to get involved.

During the time when the DSS (Democratic Party of Serbia) was in power, the district chief was Momir Kasalović. According to Insider's investigation, his apartment was practically bought with Serbian citizens' money, purchased by the Faculty of Philosophy in Kosovska Mitrovica. Insider, through the Freedom of Information Act, requested data from the Faculty of Philosophy about the purchase of apartments. They provided two contracts—one for the purchase of Momir Kasalović's apartment and another for the purchase of Boban Savić's apartment, a lawyer hired by the state to buy apartments on its behalf for a commission of 800 euros. According to the contracts, the apartments were purchased at a price of 500 euros per square meter. The then, and now current dean, was Dragi Maliković. In a brief phone conversation, he said that he did not see anything questionable about the apartment purchase and did not think any laws were broken. He mentioned that the Faculty bought two apartments at a market price of 500 euros per square meter, but he didn’t know whose apartments they were. He also added that he didn’t want to be part of any political disputes and stated that B92 is an anti-Serbian institution. Although the apartments were purchased under the justification of providing housing for teaching staff, information from faculty members indicates that the apartments were not assigned to staff teaching in Kosovo.

Serbian citizens paid 14 million euros through the budget for the purchase of these apartments. However, according to Insider’s research, the properties were not always allocated to refugees but often to individuals connected to the political structures in northern Kosovo.

B92: Who were these apartments allocated to?

Dragiša Đoković, member of the Committee for Kosovo and Metohija in the Serbian Parliament (2008-2012): Well, the ones making the allocations had their own criteria. You know, there’s always suspicion that it could be based on family connections, party affiliations, or other such criteria, or maybe collegial relations, etc.

Insider, under the Freedom of Information Act, collected data from the Ministry for Kosovo and Metohija, the Republic Property Directorate, and the Kosovska Mitrovica District on almost all the purchased and allocated properties.

Most of the displaced Kosovo Serbs living in enclaves on Kosovo still reside in container settlements and collective centers. They claim they have been trying for years to obtain apartments from the Serbian Government's program that was meant for displaced persons.

Čović: The entire procedure for apartment allocation was handled by the municipality and district, and they had their own criteria for awarding apartments.

B92: Are you responsible for any of this?

Čović: Well, that's not my job.

B92: You are not responsible for any of this?

Čović: Why would I get involved in how they allocate apartments in the territory of Kosovo and Metohija?

B92: Because it’s the property of the Republic of Serbia, of all Serbian citizens.

Čović: Well, yes, but they are also officials of the Republic of Serbia.

B92: Under your jurisdiction.

Čović: To be honest, I never wanted to get involved.

B92: Why?

Čović: Because I would always come out of it badly. I can't possibly know the circumstances and the situation down there, so it was left to them. And as far as I know, while I was doing that job, I didn’t receive a single complaint about the allocation.

B92: You just told us that you didn’t want to get involved in your job.

Čović: Why would I get involved in how...

B92: You didn’t want to get involved in your own job?

Čović: No, no. That’s not my job. Apartment allocation is not my job. Understand that.

B92: I don’t understand how it isn’t?

Čović: It’s not the job of the president of the Coordination Center.

According to Insider’s investigation, one of the apartments that the state of Serbia purchased in northern Kosovo, through intermediaries paid by Serbian citizens, was given, for example, to Radoje Krečković, the director of the Serbian public company in Kosovo—Elektrokosmet. Interestingly, according to the property report that Radoje Krečković submitted to the Anti-Corruption Agency in December last year, his monthly net salary, while he was director of Elektrokosmet, amounted to 210,300 dinars. Krečković, in a statement to Insider, refused to confirm or deny whether he received an apartment from the state.

Saša Dedović, an employee of Elektrokosmet: My union, the union at the company where I have been working for 27 years, which is the Electric Distribution of Kosovska Mitrovica, received one or two apartments from the 28 buildings. We don’t know about the rest. And that one apartment went to the general director.

According to our research, an apartment was also given to Nikola Kabašić, the acting president of the court in Kosovska Mitrovica, a member of the Democratic Party. In a brief phone conversation, he confirmed that this was true.

An apartment from the Kosovska Mitrovica district was also given to Lazar Kostić. Kostić, who is a councilor in the municipal assembly of Kosovska Mitrovica, is a member of the New Serbia party, and during the elections, he was on the DSS list, as the two parties were in coalition. In a conversation with an Insider journalist, Kostić said that he received the apartment a year before being elected to the assembly.

One of the apartments that Serbian citizens paid for through the Serbian budget was also given to Nebojša Jović, president of the Serbian National Council of northern Kosovska Mitrovica. Nebojša Jović was on the electoral list of the DSS in the last local elections as a member of the SNV.

B92: And you are in one of the apartments purchased by the state?

Jović: I am in an apartment purchased by the state, yes, yes.

B92: From Albanians?

Jović: From an Albanian, but the apartment belonged to the municipality at that time.

Jović: It was allocated to me because we were living—my father, two children, my father and mother—in a 52 square meter apartment. It was allocated to personnel who were important in the town, who had a need for it. I requested it—it wasn’t a threat or anything—I just asked if they could help me by giving me an apartment, and it was granted.

B92: But the apartments were intended for internally displaced persons...

Jović: I know that 50% of the apartments were given to those who were not internally displaced. I don't know what their criteria were.

Through the program for purchasing apartments for internally displaced persons in Kosovo, Serbian citizens paid through the budget for an apartment that was allocated to Dražen Stojković, a former policeman and associate of Zvonko Veselinović. In 2003, Stojković was arrested with Veselinović for drug trafficking, and both confessed to the crime in police custody. Three years later, after two trials, they were acquitted by a final ruling of the District Court in Kraljevo.

Similarly, the budget of Serbia paid for an apartment that was later allocated to Dušan Mutavdžić, a leader of Partizan football supporters in Kosovo and Metohija. According to the daily newspaper Blic, Mutavdžić was linked to providing shelter to two members of the Partizan supporters group Alkatraz, after the murder of Ivan Perović and the wounding of Đorđe Stanojević, members of a rival Partizan supporters group in Belgrade. Mutavdžić also participated in the riots at the barricades and clashes with KFOR soldiers during last year's crisis in northern Kosovo, where he was wounded by a rubber bullet.

Radenko Nedeljković, chief of the Kosovska Mitrovica District: When it comes to this regulation, nowhere does it state that people who have been arrested should not receive apartments. I personally know this Stojković, he was a member of the ministry, I know he has a family here, that he is an internally displaced person and that he owns nothing in Peć.

Each change of government has been marked by promises to investigate abuses and start spending the budget rationally. Despite all these announcements, it has remained just that—at the starting point, with accusations and counter-accusations.

Ivanović: I am not responsible for that.

B92: How is it possible that you're not responsible?

Ivanović: Simply, I cannot initiate such actions on my own. It's clear how the ministry operates.

B92: So, it’s again a matter of political will?

Ivanović: That’s what you said.

One of the clearest examples of uncontrolled spending from the Serbian budget is the process of damage repair after the 2002 earthquake in Kosovsko Pomoravlje. The project was worth 16 million euros. Out of those 16 million, 11 million was paid directly from the budget, while the state-owned company “Binačka Morava,” which carried out the work, took out a loan of 5 million euros, with the obligation that the Coordination Center would repay the loan from budget funds in the coming years. However, according to Insider's investigation, there are no valid records of how this money was spent, as the funds were accounted for through what turned out to be false reports from the field, in which people signed that their houses were repaired, although the repairs have not been done to this day. Milorad Todorović, a former DSS official and former head of the Kosovo Pomoravlje District, confirmed the information we uncovered.

Milorad Todorović, former head of the Kosovo Pomoravlje District: The Serbian budget was shortchanged by 963 million dinars in comparison to what was done. The value of what was actually done will be hard to determine, simply because, I can now openly say, the documentation was deliberately hidden and concealed.

B92: But the citizens of Serbia paid 16 million euros?

Todorović: There's no dispute about that.

On April 24, 2002, an earthquake measuring over five on the Richter scale hit the region around Gnjilane in central Kosovo. At the time, about 30,000 Serbs lived in several villages in the region. According to media reports from that period, a UNMIK commission inspected the area and found about 3,000 damaged buildings in both the Serbian and Albanian communities. Serbia, on the other hand, formed its own commission, led by workers from the state-owned company "Binačka Morava." Their task was to reassess, in addition to UNMIK's evaluation, but only in the Serbian community.

Immediately after the earthquake, the commission found 1,254 damaged buildings. However, according to an analysis of official documentation, it turns out that the same commission went back a year later and found an additional 2,000 buildings, totaling over 3,000 damaged buildings in the Serbian community alone—more than UNMIK had recorded in both communities. According to Insider's investigation, this was a way to request and obtain more money from the Serbian budget.

Čović: When the commission began and submitted this report, there was a revolt on the ground. On October 7, 2002, complaints were submitted to the Coordination Center and the Government of the Republic of Serbia, stating that the first-instance commission had allegedly not visited a large number of villages. Simply put, the environment in which Serbs live down there is very bad. At that point, a second-instance commission was sent. This second commission also reviewed all the buildings and compiled priority lists. The district chief, coordinators, and local committees were involved in this second commission, and contracts were made for each building. Then the implementation started. If you expect me to say that I should have gotten involved in all of that, I didn’t, because whoever got involved, those unfortunate people down there would still be dissatisfied. The job was done very correctly with a large number of repaired buildings.

A significant portion of the funds, however, was not even used for repairing houses, since people whose homes were damaged had to sign reports stating that their houses were repaired, even though they weren’t. The Insider team visited Serbian enclaves around Gnjilane, where people have been left to live in houses with cracked walls, damaged foundations, and collapsed roofs since the earthquake because the repairs were never completed. They had to sign that their houses were repaired, although they were not, and Serbian citizens had allocated money through the budget specifically for that purpose.

Thanks to those signatures, stating that the houses were finished, the contractor, the company "Binačka Morava," and the Coordination Center reported to the Government of Serbia that the work had been completed and justified the funds that were spent.

Čović: I don't know about that.

B92: People on the ground testify to us that they signed statements that their houses were completed, even though that wasn’t the case.

Čović: Yes, I’ve heard about that problem, and an investigation was conducted regarding it. We did not receive such information. The investigation was conducted by the Vranje police on that issue, and we did not receive such information. And as for Serbs complaining about each other and talking like this or that...

B92: This is not just about complaining.

Čović: Yes, it is about complaining, because that’s the environment. If you visited that area, you could see the conditions in which they live.

B92: So, the Serbian mentality is to blame for this?

Čović: No, no one is to blame. I’m just saying that we didn’t establish what you are saying.

B92: We have recorded the people, we’ve filmed unfinished houses.

Čović: Well, fine, you filmed the people. So what, now I should believe what you filmed, and you shouldn’t believe what I’m telling you? That checks were carried out, that the Vranje police and the judiciary dealt with it, and nothing was done.

The money from the budget of the Republic of Serbia, through the Coordination Center, headed at the time by Nebojša Čović, went to the Kosovo Pomoravlje District, led by Ivica Zlatanović, who was a member of Čović's Democratic Alternative. 

Zlatanović was responsible for forwarding the money to the company "Binačka Morava." Despite a firm agreement, Zlatanović did not show up for a scheduled interview with Insajder. Milorad Todorović, who became the head of the Kosovo Pomoravlje District two years after the earthquake, stated that he did not find a single document related to the 16-million-euro project in the offices of his predecessor, Zlatanović.

Todorović claims that the former head of the legal department, Milovan Stajić, never provided the requested documentation because it contained all the evidence of embezzlement related to the money intended for the reconstruction and construction of houses damaged in the earthquake.

Todorović: I asked him, he looked at me silently, without a word, and said: "I can’t give that to you." I asked why, but he refused to answer. I asked if he knew what the consequences were, and he nodded. My last attempt to convince him was when I said: "If you think there is anything in those papers that implicates you, I will disappear for a while, please remove it and give me the rest." He repeated that he could not do that. We parted ways, and I told him I had to file a disciplinary complaint as I was his superior. After that, he transferred to the Kosovo institutions, was the director of a local community for a while, and today he is a teacher at a school. Interestingly, he was also on the Democratic Party’s list for local elections.

B92: All the documentation disappeared from the Kosovo Pomoravlje District, which was led by Ivica Zlatanović, a member of your party.

Čović: No, that's not true. The documentation handover with the new district chief was done. If Ivica Zlatanović removed the documentation, he should be held accountable for that. The handover of documents when district chiefs changed had to be carried out, and I believe it was another...

B92: Excuse me, we spoke with the new district chief.

Čović: The current one?

B92: Yes, Milorad Todorović.

Čović: Ah, Milorad Todorović. Now everything is clear to me.

B92: Then we spoke to the current district chief, who confirmed this to us.

Čović: Well, I don’t want to talk about Mr. Todorović, except to say they had very...

B92: We’re not talking about Mr. Todorović, we’re talking about the missing documentation.

Čović: Well, as far as I'm concerned, if that's true, Mr. Zlatanović should be held accountable. But I think it’s not true, to be honest.

B92: On what basis do you think it’s not true?

Čović: Based on the fact that we had those disputes and that they, together with the secretary of the Coordination Center, Todorović and Zlatanović, resolved the handover of the documentation.

Nebojša Čović claims that the Coordination Center took all the reports seriously and that the case was investigated by the Gnjilane Police Department, which had been relocated to Vranje. Čović says that the police report stated there were no irregularities. On the other hand, Milorad Todorović says he was not aware of any such investigation, which would have covered the entire project during that period.

B92: So, you are telling us that the people who told us they signed off that their houses were completed when they weren’t are all lying?

Čović: No, I’m not saying whether they are telling the truth or lying. Everything that came directly to me, I immediately ordered action to address any irregularities and correct them because I really believe that both the earthquake reconstruction project and the apartment and house purchases were handled properly.

Fourteen million euros from the Serbian budget were allocated for purchasing apartments for internally displaced persons in Kosovo. The project, worth 16 million euros, for the reconstruction of houses destroyed in the 2002 earthquake, saw the state invest 11 million euros from public funds and commit to repaying a 5-million-euro loan taken out by the state-owned company "Binačka Morava." However, as you have seen, some apartments purchased were later allocated to individuals with political connections. Similarly, the funds earmarked to help Serbs whose houses were damaged or destroyed in the earthquake were apparently not fully used for that purpose, as not all the houses were rebuilt. The money was spent, the work wasn’t completed, but no one has been held accountable for it.

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