Business Corruption

Companies should note that the new Serbian Law on Environment Protection was adopted in September 2008. Its content follows the 'polluter pays' principle, which means that the polluter must pay for polluting the environment.

The police in Smederevo arrested a manager from US Steel Serbia, Bratislav Culafic, on corruption charges in 2007. Culafic was arrested at a petrol station where he was accepting a bribe from a representative of the company Mintek, based in New York. The police claim that, six months prior to his arrest, Culafic had been misusing his office to, among other bribes he solicited, demand a car, a laptop and EUR 10,000 from Mintek. Culafic facilitated the signing of a contract for the supplying of business technologies between US Steel and Mintek worth USD 3.5 million per year.

Frequency

EBRD & World Bank: BEEPS Serbia 2005:
- 13% of companies report that bribes are frequent in environmental inspections.