Croatia backing-out of border arbitration with Slovenia: PM

Croatian Prime Minister Zoran Milanovic said on Monday that Croatia will black out from the border arbitration with Slovenia following a lobbying scandal breaking out.

After meeting with heads of all parliamentary groups, Milanovic told media that all groups agreed Croatia cannot remain in the arbitration because Slovenia had violated the provisions of the contract signed by both sides.

Croatia would have to terminate the arbitration agreement immediately, he said, adding it would observe international law in dealing with the matter.

Milanovic said his government would ask for the support from the parliament.

Latest developments on the arbitration process represented "severe violations of the provisions of the contract" and that the "process itself has been contaminated," he said.

Croatian parliament would hold a special session on Wednesday to discuss the issue, according to the source from the parliament.

On Wednesday last week, Zagreb-based daily newspaper Vecernji list published transcripts and audio tapes revealing Slovenian representative on the arbitral tribunal Jernej Sekolec and Slovenian Foreign Ministry employee Simona Drenik had discussed lobbying other judges sitting on the tribunal to influence the outcome of the arbitration in Slovenia's favor.

Jernej Sekolec and Simona Drenik resigned on Thursday last week and the Slovenian government is obliged to appoint a new adjudicator in 15 days and if it fail to do so, the tribunal would appoint someone, according to the arbitration agreement.

Regarding disputes between the two countries on sea borders of Piran gulf, located on the Adriatic Sea, Slovenia claims at last 66 percent or more in the gulf, while Croatia claims 50 percent for itself.

In 2009, the two countries signed an arbitration agreement, agreeing to resolve their territorial dispute before the Permanent Court of Arbitration in The Hague.

Croatia and Slovenia started a case before the court in June 2014. Enditem