Pharmaceutical factory “Zdravlje”, from Leskovac, has been one of the most successful companies in the south of Serbia for many decades. During the eighties its growth contributed to the development of the economically poor municipalities (namely development of the Factory of plastic shots in Medvedja, Factory of the aluminum tubes in Lebane, Company for fruit, vegetable and dietetic soups in Bosilegrad).

Nowadays, however, the objections of the Association of the small shareholders from “Zdravlje” to the privatization process of this company were brought to the attention of the public.

By the end of ninetieths, for instance, the audit company “Deloitte and Touche”, and the Economic Institute (both connected with the subsequent Minister for the Privatization Mr. Vlahovic, during whose term the company “Zdravlje” was privatized) assessed the value of the company “Zdravlje” without taking into account the reappraised resources, moreover, the Court of Commerce in Leskovac registered the capital value of the company “Zdravlje” according to their assessment (94 million DM), eight moths later without taking into consideration that the company was solid in the meanwhile, whereas the value should have risen, which, furthermore, was also determined by the audit company “Ernst and Jang”.

Besides the discrepancies regarding the capital value of the company “Zdravlje”, the Agency organized a tender with only one bidder, the company “Faramco” from Iceland, with a million euros worth bid. The Agency pressured the company “Zdravlje” to stop the procedure for the change of the capital value registration and ‘’explained’’ to the employees that the best thing for them was to accept the offer from the company “Farmaco, because if the tender is to be annulled the company would be sold at an auction, without the obligatory social program.

Some workers formed a Steering Committee asking for the annulment of the tender. During the negotiations with the company “Farmacom”, the Agency raised a price at 3 and a half million euros and agreed to sell the shares of the company “Zdravlje” in three banks in Serbia (total value 12 and a half million euros), at the stock exchange and distribute the money to the workers. The Association of the small shareholders say today that this agreement, together with the obligation made by the company “Farmaco” not to dismiss any workers in the next three years, represented the crucial moment for the Management Board and the Assembly of the shareholders of the company “Zdravlje” to accept the result of the tender.

The bottom line is: the brokerage “Citadel, employed by Director of the company “Zdravlje”, sold the shares of the bank outside of the stock exchange for 2 757 million euros (criminal charges were brought with the Ministry of Internal Affairs in Leskovac). More than 800 workers left “Zdravlje” till now, allegedly by mutual agreement. According to the workers formerly employed in the company “Zdravlje”, in the town like Leskovac, i.e. economically dead, such an agreement would understand, a degradation in position for members of the Steering Committee by the new owner, with salary up to 50 % lower then before, or an “advice” that time flies quickly, and taking into account that your children also work in the company “Zdravlje, it is better to leave now and on free will, instead in few years, with your family included.

Ms Verica Barac, 
President of the Council