A mistake of Albulen Hadziu's Ministry cost the state about 300 thousand euros

In April last year, the Ministry of Justice, led by Albulen Haxhiu, linked a contract to represent the state of Kosovo in three Arbirgage processes that have been opened by three companies.

Private “signature Squire Patton Boggs (US) LLP” won the three bills of this tender, even though three different firms could be won by the call. In that negotiated process, “Patton Boggs” committed to protect the interest of the Republic of Kosovo, against the Blerim Devolit indictment, “Lute Credit”, and the company “Contour”.

For these three jobs the Ministry of Justice negotiated with “Patton Boggs” and agreed to pay a total of 1 million and 575 thousand euros, writes Insander newspaper.

On the tender platform online, there's been a change in the job. In May 2021 the document “would be added Standard error correction formula in published” reports.

From the analysis of this tender, it appears that after the first negotiations were made and “Patton Boggs” would be selected to be repaid by contract of 1 million and 575 thousand euros, in that case no tax on Added Value (TVSH), of +18 %, was calculated.

File documents show that the Ministry of Justice would then communicate with the Kosovo Tax Administration (ATK). This institution had given them the green light that tax should also be collected from the firm “Patton Boggs”, but in this case, ministers led by Albulen Haxhiu in the public file do not appear to have asked the opinion of the institution called to interpret the Procuration Law.

The institution that interprets the Procure Law in Kosovo is the Public Procuration Regulatory Commission (KRPP).

Communications between the Ministry of Justice, Finance and ATK would be exchanged, including a six-page communication between them. Finally, the Ministry of Justice would change the Declaration on Accounting.

While the selection where the work was entrusted to “Patton Boggs”, in all three lines it had turned out to be 1 million and 575 thousand euros, when the Ministry of Justice, on May 24, 2021, released the “Compensatory Declaration for Financial Tools Ensponsibility”, the price changed for +18 %.

After this change, instead of 1m and 575 thousand euros, state budget services of the company “Patton Boggs” will cost 1 million and 854 thousand euros. Or, 270 thousand euros more.

The Ministry has responded to things already known, that the tender has been negotiated, that have been nine companies in the race.

The negotiating and assessment commission during its negotiation work with all international (Foreign) economic operators has negotiated bids without including T The VSH at the final price with the reason they are international (Foreign) companies and services are performed outside Kosovo, as well as not subject to VAT. All this to come up to a lower price that would be contracted according to the result of negotiation”, the Justice Ministry's responses to the Insander Journal said.

But in the public tender file, they still figure the price-building formats in the bid, in the version {Exel”. In this document, part of the tender file, completely large letter was written “CAMING FOR AXI VAT $”

“is negotiated with all bidders or 9 economic operators equally without including T The VSH, under equal conditions and the Commission has decided to select this company for arbitration in arbitration”, says the justice ministry's responses to Inseder.

Even though in response they say that VAT should be paid by “Patton Boggs” in the document ) Complete Declaration for Financial Tool Depositability” states that the price for each Ilot will change to a common financial value more money given from the 270 thousand-euro state budget.

“Squire Patton Boggs (US) LLP” according to public data available by the company itself is an international legal company with a total of 45 offices in 20 countries. It was formed in 2014 by multinational legal firms Squire Saunders with Washington D.C.-based Patton Boggs.

“Patton Boggs” is not an unknown name for Kosovo.

Even at the time of Hashim Thaci's government, the firm would be committed to lobby in America in favour of the Republic of Kosovo, a contract to be uncovered by “Foreign Agents Registration Act”, the American institution that records, among other things, lobbi activities on American soil from non-American entities.

From the Justice Ministry to protect the state from the Blerim Devolli “Patton Boggs” will be paid 678 thousand euros from 575 thousand euros as it was before the 18 %s changes. VAT.

After these amendments to the indictment of local Credit Credit” this private firm will be paid 619 000 euros from 525 thousand euros before the change until it protects the state against the “Contour” indictment will be paid 560 thousand euros from 475 thousand euros, prior to the change.