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> The URL for this article is
> http://emperors-clothes.com/interviews/ivkovic1.htm
>
> Serbian Minister of Science Speaks out
> An Interview with Bane Ivkovic
>
> www.tenc.net
> [Emperor's Clothes]
>
> Bane Ivkovic is Serbian Minister of Science and Technology. He was
> forced from this position after the Oct. 5 coup d'etat.
>
> Mr. Ivkovic had been in charge of the highly successful program of
> rebuilding bridges, factories and homes destroyed by the NATO
> bombing.
>
> We interviewed Mr. Ivkovic at the end of October and again in early
> November. This is the first interview. The interviewer is Jared
> Israel, editor of www.tenc.net
>
> Interview with Bane Ivkovic
>
> Israel: I understand you were in charge of reconstruction after the
> bombing.
>
> Ivkovic: Yes. For four years I had been Serbian Minister of
> Construction and then starting in 1998 I was Minister for Science and
> Technology. During the bombing I organized a special group to help
> the 130,000 workers left jobless by NATO bombing their factories. We
> wanted to do more than just rebuild; we tried at the same time to
> restructure our economy, to increase the number of small and medium
> enterprises. We were able to set up 1050 such businesses. This
> created 33,000 new jobs.
>
> Israel: Private or public sector?
>
> Ivkovic: Mainly private. The Ministry developed relations between the
> [scientific and technical] Institutes and these displaced workers. We
> collected 2900 plans for small and medium businesses, programs to
> produce goods using Serbian resources instead of importing these
> products. To finance these new businesses, after the bombing we
> collected money by asking everyone with a job to give one or two
> day's pay and using this as well as money from the Serbian government
> we offered the displaced workers five year loans at excellent rates
> so they could set up their own production facilities.
>
> Israel: So these businesses were privately owned by groups of
> employees?
>
> Ivkovic: Yes. Up until then we had relatively few small and medium
> enterprises. We wanted to strengthen the small business sector,
> especially in the villages. It's our opinion that these small,
> profitable businesses are the way to stop the flow of young people to
> the towns.
>
> Israel: Just to get clear, these enterprises were privately owned by
> the people who worked there?
>
> Ivkovic: Yes.
>
> Israel: Not just by one man?
>
> Ivkovic: No no no by the people. Each unemployed worker could take a
> loan for himself, but several workers could get a collective loan and
> apply it to one business. 50 of them could get 50 times more money.
>
> Israel: So they could start something of some size.
>
> Ivkovic: Yes, but it would be their own. Their own factory. Their own
> enterprise.
>
> Israel: You know the Western propaganda says Yugoslavia was run so
> that a few people made a lot of money and everybody else got nothing.
>
> Ivkovic: It's not true. You must understand a couple of things here.
> First of all, there is private business in Serbia, and this is
> nothing new. After 1945 we had people who owned land in the villages,
> people who owned private enterprises. Not so much in the 1940s,
> 1950s, and 1960s. But in the 1970s and 1980s this became far more
> common. A lot of these people established their own small offices,
> markets, enterprises and factories and now I think 50% of our
> economic life is in the private sector and it's a very profitable
> private sector. These owners are people of varying political
> viewpoints.
>
> The second thing is, we have been under a United States imposed
> embargo for 8 years and during that embargo some people who had
> previously been criminals went into business exporting or importing
> goods which were under embargo, and they made a lot of money. Those
> people are not the socialist party. We are a party of over 500,000
> people, mainly ordinary working people. Of course whenever a party is
> in power it attracts some opportunists, some who are there for
> reasons other than principle; but those people have left us or are
> leaving us now and as for the ones who remain, what possible gain is
> there in it for them?
>
> Foreign investment
>
> Ivkovic: When I was Serbian Minister for Construction I proposed a
> Federal Law On Foreign investment. On the [Serbian] Republican level
> we have a concession law and a law for ownership transformation. But
> then came the embargo and we couldn't do as much as we wanted at that
> time.
>
> Israel: So you want foreign investment?
>
> Ivkovic: Yes, why not? In the past I was involved in negotiations
> with several very powerful groups of foreign investors about
> concessions in road construction and electric power production.
> Unfortunately everything that happened with Kosovo and Metohija put a
> halt to those negotiations. [Kosovo and Metohija is the Serbian name
> for what the West calls 'Kosovo.']
>
> Israel: I don't know if you read the piece that Chossudovsky and I
> wrote about the IMF and the World Bank and their harmful effects.
>
> Ivkovic: Yes.
>
> Israel: We argued that when the IMF and the World Bank enter a
> country it is subjected to piracy - you know, basically stripped.
>
> Ivkovic: It's a problem for me to express myself in English. The IMF
> and the World Bank have some special propositions which, how shall I
> say, cover a country with a very strong hand. This can put a country
> in a very bad position. I prefer that foreign investors come here
> with their own money. If we were covered by the World Bank we would
> be in chains.
>
> Israel: They're sharks.
>
> Ivkovic: Yes. That is true. That is true. You see Bulgaria and
> Romania are now in a worse position than Yugoslavia. We had sanctions
> and we were bombed yet we are in a better position than Bulgaria and
> Romania because they have been put into IMF chains and now, in
> addition to being worse off, they will also have to repay loans for
> the next 20 or 30 years. Repay with interest.
>
> [The interview continued with the addition of a translator.]
>
> Israel: Is it your opinion that the IMF and World Bank should be kept
> out of Yugoslavia?
>
> Ivkovic: Yes. We've been living through hard times. Eight years of
> sanctions plus last year's bombardment made our lives very harsh. The
> level of production in our country is 40% of 1990. We're certainly in
> a need of a fresh injection of money. To help this situation we
> passed a Federal law on foreign investments and a law covering
> ownership transformation. And on the Republican level, the Republic
> of Serbia passed a law on foreign concessions. There are some related
> laws regarding taxes and customs regulations. These laws are designed
> to allow foreign investments but at the same time to make sure the
> profit drawn from such investments are reinvested in the country.
>
> Israel: So it can't be taken out?
>
> Ivkovic: Right. We are by current law [i.e., laws passed before the
> October 5th coup] open to foreign investments. We have developed a
> very extensive and detailed plan for utilizing our resources such as
> energy, roads, highways, railways and waterways and also agricultural
> land for industrial-agricultural exploitation. We had all these plans
> in place but the sanctions and last year's bombing and destruction
> hindered our ability to go ahead.
>
> Speaking as a citizen, I am inclined to accept capital or investment
> coming from corporations rather than from the International Monetary
> Fund and World Bank. It is my opinion that both the IMF and the World
> Bank set up stringent rules that bring a country close to colonial
> status.
>
> Israel: Perhaps that's why they don't like you.
>
> Ivkovic: At this time in particular it would be extremely dangerous
> for these two banks to enter our country. But corporations and other
> financial groups would be more welcome. We and they both would
> benefit.
>
> We are still a very rich and resourceful country despite all our
> difficulties and ordeals. We have a huge amount of state and public
> assets that have not been privatized. In 1966 we sold Italian and
> Greek partners 49% of our telecommunications industry. That brought
> in one billion 750 million Deutschmark. About 800 million dollars.
>
> Israel: Isn't that a little low for half your telecommunications
> industry?
>
> Ivkovic: Well I would say we did better than the Hungarians who sold
> similar facilities for a much larger portion of ownership and got
> less.
>
> The electrical energy system and the ownership of electrical energy
> assets, meaning production and distribution, has not been privatized.
> For example consider the thermoelectric power plant called Kolubara.
> The state invested 500,000,000 dollars in this plant. It's run on
> coal. There is room for another three hundred million dollars
> investment, open to foreign capital as well.
>
> Israel: Would you keep the majority of ownership?
>
> Ivkovic: Look, Jared, this is an interesting deal. The investment
> would be OK if the foreign investors got 100% providing there was a
> time limit on foreign control. It could be five years; it could be
> ten years. It depends on the mutually accepted conditions. So the
> foreign investors could be given the biggest chunk providing their
> period of control was limited by mutual agreement.
>
> Regarding the oil industry, in our country, privatization hasn't
> touched it but it's a huge prospect for investments. The same goes
> for the exploitation of railroad traffic. Regarding the development
> of highway communications there is great potential for foreign
> investment considering our geostrategic and commercial position in
> the Balkans, as a connection to the Middle East.
>
> We developed a privatization law regarding large state run facilities
> like the machine facility in Trstenik which used to manufacture
> hydraulic equipment for Boeing. There are so many such valuable
> assets intact in Serbia, untouched by privatization, free for very
> lucrative investments. We had that all worked out before the
> sanctions and aerial destruction stopped further progress.
>
> We developed detailed plans that could apportion part of the profit
> from these foreign investments into pension and other social funds so
> it would be just. At the same time our plans involve reinvestment of
> profit within the country.
>
> Yugoslavia has a very rich pool, a highly educated working class and
> technical class, ready to get to work, to produce.
>
> Israel: If foreigners invest in Yugoslavia, and if in return they get
> a facility which previously was socially owned, doesn't the country
> become a colony?
>
> Ivkovic: We have legal restraints to prevent accepting conditions
> that would make us a colony. Foreign investors have to agree to abide
> by our laws as part of any deal.
>
> Our country has around 2 billion dollars frozen in foreign banks as a
> result of the sanctions imposed on us and we would like to get this
> returned with interest accrued. We expect the international community
> to show understanding for our plight and to relieve us from credit
> and debts to some extent and give us some priority in that regard.
>
> Israel: Are you saying you expect that or that in a just situation it
> would happen?
>
> Ivkovic: That has been our request. We would request these
> concessions but I'm personally pretty pessimistic about them doing
> it.
>
> Israel: When you say you're going to request these concessions, or
> when you say that you have these laws, you beg the question of the
> political situation, this semi-coup d'etat.
>
> Let me spell out my own view.
>
> I see President Kostunica as a fundamentally illegal figure who is
> and could only be in power because of international intrigue which
> created a subversive apparatus that committed crimes against people
> and property. People in government and business have been intimidated
> and forced to sign documents under pressure, turning state or private
> property over to what amounts to thugs and gangsters, and this has
> been glorified by the Western media which has suddenly discovered
> that it loves popular revolutions. In the present situation to give
> this interview is an act of heroism. Therefore you are not talking
> about carrying out these measures in the present tense. You are
> talking about what the legal government had planned. A plan you would
> like to return to. Is that correct?
>
> Ivkovic: Let us say that in the present circumstances of instability
> and turmoil foreign investors may not be much attracted to our
> country.
>
> Israel: Sharks will be attracted. Sharks like turmoil. It justifies
> an iron hand and you can steal a lot in the midst of confusion.
>
> .Ivkovic: In regard to what you say, the Bulgarian and Romanian
> examples are very educational for our future. I agree that the coup
> d'etat was well organized and conducted with the participation of
> certain parts of the so-called international community.
>
> Israel: Isn't 'international community' a great euphemism? The United
> States, Germany, Britain and a few hangers-on = the international
> community. In 'Der Spiegel' magazine they had this article which
> reported all of them boasting and competing over how much money they
> gave the 'Yugoslav democratic process.' Nothing like a well-financed
> democratic process. Of course the article said the U.S. government
> gave, but then it quoted the Germans saying, 'We gave too!' and then
> Norway piped in: "Us too, us too!" This was the Oct. 7 'Der Spiegel'.
> The article also said that Kostunica was actually picked to run for
> President by U.S. Secretary of State Albright and German Foreign
> Minister Fischer at a meeting, I believe it was in December.
>
> You know, Yugoslavia is a beautiful fish and all the sharks want a
> chunk. So even though it politically hurts their various proxies in
> DOS [the pro-Western parties that now control the Yugoslav
> government] and the civil society groups and the independent media,
> even though having these foreign powers boast that they funded these
> guys hurts them, the foreign powers have to boast because they all
> want to stake their claim.
>
> So the sharks say, "We did it!" and meanwhile their local quislings
> say "No no, we're independent! We resent your help!" And then the
> sharks say "Yes! You're right! You're independent! We don't even like
> you because you are extremely nationalistic!" You see?
>
> Ivkovic: [Laughs] I see everything. Each is striving each to get a
> head of the others. They made such a grave mistake. They boasted that
> they planned the details of this coup d'etat five or six months
> before it took place which means of course that the coup had nothing
> to do with the outcome of the Presidential elections.
>
> Factors Leading up to the Coup
>
> Ivkovic: Unfortunately, the proper authorities did not counter this
> vicious plan. We know that Mr. Montgomery, the US envoy in Budapest,
> provided an immense pool of money for the coup. Money flowed in like
> water. But these illegal activities were not properly dealt with.
>
> There are two more things I must say. The Socialist Party made some
> mistakes in the election campaign. Apart from that and the
> unprecedented external interference, the economic sanctions and the
> NATO bombardment had a big effect. They caused the standard of living
> to drop considerably and at the same time, because of the bombardment
> we had to apportion much of the budget, which otherwise would have
> gone for salaries for teachers, professors and other social
> employees, into rebuilding bridges, roads and infrastructure which
> the bombing destroyed, as well as building housing and setting up
> businesses. This created a lot of dissatisfaction. The diversion of
> resources, amidst harsh circumstances, was cunningly exploited by the
> DOS people leading up to and during the election, providing a social
> basis for carrying out the coup d'etat.
>
> Political Situation Since the Coup
>
> Ivkovic: The elections were Federal [Yugoslav] but the coup d'etat
> affected the Republican structure as well.
>
> Israel: How?
>
> Ivkovic: The opposition commandos forced their way into offices and
> production facilities or government facilities in a systematic way,
> kicked out the tenants or official employees and replaced them with
> their own. And the Interior Ministry authorities did not interfere..
>
> Israel: Is that terror still going on?
>
> Ivkovic: Because of all these circumstances we had to compromise our
> position and accept DOS as a part of the administration. They filled
> up some departments they'd never been in before. But we insisted that
> they agree to return all the kicked-out officials to their positions
> again, to restore the condition of legality and order we had before.
>
> Israel: Has that happened?
>
> Ivkovic: This is on the promise level now.
>
> Israel: Who made the promise and what did the Socialist Party give in
> exchange?
>
> Ivkovic: The agreement was signed by Kostunica for DOS, by the
> President of the Republic of Serbia, Milutinovic, from the Socialist
> Party and by the Serbian Renewal Party. The Socialists let DOS into
> Serbian government positions and in exchange DOS promised to restore
> order and return all those who had been kicked out to their
> positions.
>
> Israel: Have they been returned?
>
> Ivkovic: Well there have been no returns but they did stop some of
> the harassment. It's amazing how they persecute. They have developed
> an atmosphere of suspicion, spying, investigation. Everybody is
> suspicious, everyone is investigating everyone else. The most
> critical problem is the media outlets. It's much worse than what they
> claimed when the Socialist Party was in power. I think many
> journalists will be kicked out and left jobless.
>
> Effects on the Press
>
> In the past we could buy Politika and Politika Ekspres, two major
> Belgrade papers pulling to the Left. At the same time we could
> purchase Glas, which means Voice, and Blic, both on the Right, and we
> used to buy Novosti, 'Evening News' in the Center. So everybody had a
> chance to find the truth. Now journalists will be jobless because we
> have just one paper: all papers publish the same stories, written the
> same. You can switch 20 TV channels and you just see DOS.
>
> I watch only TV ANEM and listen to radio B2-92. It used to be the
> most fierce opposition voice; to be honest they are still in
> opposition; they are the only station I can go and talk on. Also the
> other radio, student radio, called INDEX.
>
> Israel: That's wacky. B2-92 is funded by the U.S.
>
> Ivkovic: That's right. But now they are the only outlet for the
> truth.
>
> Israel: Unbelievable.
>
> Ivkovic: On the TV station ANEM the journalists seem somewhat
> independent.
>
> Israel: But that was funded by the National Endowment for Democracy.
>
> Ivkovic: Yes yes yes. Jared, imagine what the other TV outlets are
> like when these two are considered the most open to different views.
>
> Israel: Sounds like the U.S.
>
> Ivkovic: [Laughs.]
>
> Jared: Here's my concern. In terms of this agreement that Milutinovic
> has signed, this DOS promise to restore law and order, I am afraid
> that DOS' masters, the US and Germany, want the job finished. The big
> problem the pro-U.S. and pro-German forces have is they didn't
> succeed in turning the army. Now they want to get into a position
> where they can take more extreme action.
>
> Ivkovic: Yes that's also my major concern: how the army will position
> itself. In our country an open market is the place where all the
> politics are loudly and openly expressed but now the market is silent
> - no whisper - people are very depressed - they move from one channel
> on the radio and TV to another and they see the same exact news
> presented in the same way and now it is dawning on them where they
> have arrived.
>
> We have agreed to elections for the Serbian Parliament, for December
> 23rd.
>
> Israel: Won't those elections take place in a situation where the
> parties opposed to Kostunica have no media?
>
> Ivkovic: That is quite correct. And these elections were initiated
> under heavy pressure. We have no media access. Holding these
> elections a year earlier than required was agreed to under pressure.
> Following the coup d'etat pressure was brought to bear on the
> Republican level regarding Parliament and the Serbian government.
>
> Israel: So all the anti-DOS parties, the Socialist Party, the
> nationalists, the Radical Party and others - all their media is gone?
>
> Ivkovic: They are allowed one hour a day. DOS seized all TV and radio
> outlets with armed units. There are only a few left untouched, a few
> newspapers, a few TV and radio stations in the interior.
>
> Israel: But they haven't seized control of the Army by force. Is that
> correct?
>
> Ivkovic: There have been no changes in the Army ranks so far.
>
> Israel: Aren't there laws in Yugoslavia that make it illegal for
> foreign agents like Djindjic to take money from foreign countries and
> distribute it to over-throw the government?
>
> Ivkovic: Of course. It's all punishable under the law.
>
> Israel: In other words since the so-called civil society groups like
> the Committee for Free and Fair Elections, the G-17 so called
> economists, the Women in Black, you know Vesna Pesic and the others,
> the Civic Union gang, this Mayor Ilic from Cacak - on the internet a
> researcher found news articles where he is described as meeting with
> U.S. Special Balkans Robert Gelbard seven times - when you have all
> these groups funded and organized and trained by the U.S. and Germany
> with massive foreign bribes, why were these foreign agents permitted
> to operate? Is there any country in the world where such people would
> not have been jailed?
>
> Ivkovic: Jared, I agree this is a very strange situation. Why some
> people in the Ministry of the Interior did not do the job, as
> required by the law, remains to be investigated.
>
> ***
>
> Further reading
>
> Concerning the terror directed against socialists and nationalists
> since the Oct. 5 coup, please see:
>
> * 'On the list, they had me marked as a nationalist' at
> http://emperors-clothes.com/interviews/onthelist.htm
> Interview conducted the day before the Oct. 5 coup.
>
> * 'These Djindjic people are brown shirts' at
> http://emperors-clothes.com/interviews/djindjic.htm
> An interview conducted after the Oct. 5 coup.
>
> * 'Reign of Terror in Serbia', at
> http://emperors-clothes.com/news/attack.htm
> Statement of Serbian Socialist Party on nationwide attack on their
> offices.
>
> For more on the general situation in Yugoslavia now, see:
>
> Concerning the U.S. creation of a subversive apparatus in Yugoslavia,
> see 'U.S. Arrogance and Yugoslav Elections' at
> http://emperors-clothes.com/engl.htm
>
> For more on what's been happening in Yugoslavia now, see:
>
> * 'Djindjic Calls for Complete Yugoslav Submission to U.S.' at
> http://emperors-clothes.com/news/submit.htm
> Discusses the consequences of turning Yugoslavia into a U.S.
> protectorate
>
> * 'The International Monetary Fund And The Yugoslav Elections' at
> http://emperors-clothes.com/analysis/1.htm
> On the G-17 group of economists and what they have planned for
> Yugoslavia.
>
> * 'Kostunica Coalition Drives Up Prices & Blames...Milosevic' at
> http://emperors-clothes.com/articles/chuss/triples.htm


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