Mobing u Crnoj Gori Annex 1: Profil Radoja Žugića, ViennEast Consulting GmbH, Beč, januar 2020. god. PROFILE: Central Bank of Montenegro (‘CBM’) Governor Radoje ZUGIC 1. EXECUTIVE SUMMARY • CBM Governor Radoje ZUGIC is a close ally of Milo DJUKANOVIC, who has alternated between the role of president or prime minister of Montenegro continuously since 1991, in effect capturing its institutions. • ZUGIC has variously served as Minister of Finance and CBM governor, as well as on the board of Prva Banka and generally serving the interests of the DJUKANOVIC family in the banking sector. • ZUGIC has considerable assets relative to his public sector salary. • ZUGIC was the subject of criminal charges relating to abuse of power in soliciting a state loan for Prva Banka in 2008, which was never repaid. The charges were dropped. • ZUGIC was the subject on an investigation into the CBM’s Interim management of the failed Atlas Bank between December 2018 and April 2019, as well as the illegal payment of funds to privileged clients of the bank in the same period. There is a link also to the 2019 collapse of Meinl Bank in Austria, whose license was revoked by the ECB. • ZUGIC has systematically failed to exercise adequate regulatory oversight of Montenegro’s banking sector, presiding over dubious acquisitions by anonymous offshore buyers; a proliferation of banking institutions in a sector deemed to be oversaturated and vulnerable to illicit activities; and a failure to implement IMF and World Bank recommendations on conducting AQR and regulatory reform, and strengthening banking and AML/CFT supervision. • The EU Delegation in Podgorica commissioned an investigation that found that ZUGIC may have enabled EUR 500 million in tax evasion while he was finance minister. • ZUGIC has systematically engaged in nepotism in the recruitment of relatives and close associates to senior positions in the CBM, as well as other systemic banks. • ZUGIC persuaded Parliament to dismiss CBM Deputy Governor Irena RADOVIC while she was out of the country. While RADOVIC has sued successfully in the lower courts for unfair dismissal, the Head of the Supreme Court has issued a retrospective ruling stipulating that the courts cannot overrule a decision of Parliament. • ZUGIC is in possession of a PhD that the Supreme Court of Montenegro deemed to have been awarded improperly by an institution owned by a bank over which he was supposed to have oversight. • A lawyer has alleged that ZUGIC solicited state institutions to engage in arbitrary discrimination for political reasons. This was the same lawyer who obtained evidence that Zugic held an invalid PhD from an institution not accredited for PHD studies. 2. REPUTATIONAL ISSUES 2.1 Political connections • ZUGIC is politically connected at the highest level. He is formerly an MP and executive board member of the Democratic Party of Socialists (‘DPS’), which has run Montenegro since 1989. In addition to serving as the governor of the CBM between 2010-2012 and again from 2016, ZUGIC acted as Minister of Finance between 2012-2016. ZUGIC is a close friend of President Milo DJUKANOVIC, whom he has known since high school.1 1 https://www.dan.co.me/?nivo=3&rubrika=Vijest%20dana&clanak=679485&datum=2019-01-16 192