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Croatian ex-minister of development and EU funds arrested over public procurement fraud

Former government minister Gabrijela Zalac has been arrested on suspicion of fraud and misusing of European Union funds. Euractiv media network reports.

The European Public Prosecutor’s Office announced that Zalac is suspected of fraud related to the inflated prices of public procurement of information systems in 2017 and 2018.

The investigators also detained Tomislav Petrich, director of Croatia’s Central Finance and Contracting Agency (SAFU), and two businessmen.

The case concerns the design of a 2.6 million euros software which the Ministry of Regional Development and EU Funds, when Zalac was head of the ministry.

According to the investigation, the European Union and the Republic of Croatia suffered damage of 1.8 million euros.

Gabriela Zalac served as Minister for Regional Development and EU Funds between 2016 and 2019.