"Drvo-export" company from Teslic, owned by Srdjan Kljecanin Rufi, bought over 56 dunums of land in Jahorina for 41,130,000 Bosnian marks (roughly €21 million) two days ago.

The idea to sell the land came from the “Jahorina” Olympic Center’s management which requested that the money from the sale be used to service obligations and loans, and the money will be paid into the Republika Srpska (RS) budget.

N1 asked the Office of the High Representative (OHR) if this sale was legal and if the entity could sell the property.

“The Law on the temporary prohibition of the disposal of state property expressly prohibits any sale or other form of disposal of state property assets and states that any act on the disposal of such property, which is found to be in conflict with this law, is null and void. Competent institutions in BiH are responsible for taking the necessary legal actions in order to protect state property. The Office of the High Representative has repeatedly warned potential investors and buyers of state property that is subject to the disposal ban on possible negative legal consequences. There is an urgent need to find an acceptable and sustainable solution to the issue of state property, that is, to adopt a comprehensive legal regulation in the BiH Parliamentary Assembly. The High Representative and the Steering Committee of the Peace Implementation Council remain committed to supporting the implementation of an inclusive political process to that end,” the OHR stated.

A case of transfer of property recently occurred in Bosnia’s other entity – the Federation (FBiH).

“The investor, the company Adriatic Metals BiH, is allowed to temporarily use the forest land, with an area of 72,415 square meters, for the purpose of exploiting the mineral raw materials of lead, zinc, barite and accompanying precious metals,” the Decision adopted by the FBiH Government at the end of December last year, stated.

With this decision, the FBiH Government changed the purpose of the forest land and allowed the British investor to change the purpose of the state land, to turn the third-class forest into an exploitation field.

Adriatic Metals will pay compensation in the amount of 232,000 marks to the account of the FBiH Government and the Zenica-Doboj Canton for the change of purpose of 72 dulums of forest land.

Reports claim the State Attorney's Office was excluded from this process with the permission of High Representative Christian Schmidt.