Herceg Novi – The agreement about settling the compensation for the arrangement of the city construction land of Hotel tourist complex Rt Mimoza (Cape mimosas), which includes licenses, communal taxes, etc is not valid – that was claimed at the last session of the local parliament by alderman of SDP Gojko Pejovic.
He reminded that the obligations of the investor, according to the agreement made concluded on May 5th 2004, were noted at the amount of 3, 22 millions of euros, and they were supposed to be paid until February 1st this year in 12 installments.
As so far they have only paid 37% of the debt, local administration, says Mayor Dejan Mandic has started a process of break up of the contract.
– We only have to establish everything with law, in order not to make any damage to the project – explains the first man of the town.
Mandic for all this time hasn’t used none of the 12 authorizations for charging which the agreement allowed to him. The agreement included the ban of further works until the installments are settled. But since nothing is being done we had nothing to stop. Against the former president of the municipality Djuro Cetkovic who signed the agreement, in Primary court in Herceg Novi a legal procedure is in process, because according to the opinion of the state prosecutor he has misused his official position and with signing of the agreement he has damaged the state, that is, the municipality with 4, 24 millions of euros. Cetkovic has made the agreement according to an old invalid decision, which means that that contract is not valid, claims alderman Pejovic. That is why, explains Pejovic, the current president of the Municipality Dejan Mandic has entered the zone of legal responsibility because he is casing the damage to the municipality, because he hasn’t placed charges for revealing of the invalidity of that agreement. According to everything, the faith of the hotel tourist complex RT Mimoza on Kobila is uncertain. The project exists, it has been well planned, shared by the owners nut no one is doing anything. More precisely, we are still standing still and that is probably because of the lack of money.
Investor, firm Cyvas general Trade Ltd. from Cyprus got 85% of the ownership, Morsko dobro 10%, and municipality of Herceg Novi got 5%. Morsko dobro and municipality have 15% as a deposit because they gave land for use, and the investor got the rest because they are providing the money for the construction of the complex. However in the register of the Business court which has been brought up-to-date in February this year, as the owner of RT Mimoza, beside Morsko dobro and Municipality appear also Mimoza complex limited from Tortola.
It is obvious that the investor is an off shore company so they can be hardly tracked or established who is the real owner.
Cyvas obviously recently included in the project in order to find the money Atlas group which was supposed to be one of the investors, but no one’s telling anything concerning that issue.
On 300.000 square meters of an attractive land, according to the project which is 170 millions worth which the investors will hardly take up, they have planned to build two hotels of high category with 500 rooms, 1.200 suites, trade – business center, casino, sports terrains, a marina, accompanying communal and traffic infrastructure. It was also predicted that the project would be carried out in two phases until the end of 2010.
According to the contract signed three years ago first phase wit which they have predicted the construction of a marina, a hotel with 200 rooms, and 400 suites was supposed to be finished until the end of the year.,
With the plan they have also predicted that the existing promenade along the sea will be extended from Igalo to Njivice and towards the new tourist lodgment, as well as to build the sewerage collector in that zone.
S.K. – Z.V.