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23.08.2008 - Without clear evidence CzechRep should pay to Diag Human - Klener

Only an expert opinion by an independent international arbitrator might prevent the state from paying the high compensation CzechRep loses arbitration to Diag Human, is to pay 8.33 billion ...
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to Diag Human for having marred its lucrative deals with blood plasma, said Klener, former head of the Haematology and Blood Transfusion Institute and the first health minister after the 1989 collapse of the communist regime in then Czechoslovakia. According to the arbitration verdict, the Czech Republic must pay 8.33 billion crowns to Diag Human in compensation as of July 2007.

The Czech Republic news are represented by www.czech-republic-prague.com

Since then it has been increasing by another interest of about 1.3 million a day, so the final sum is now approaching nine billion crowns. The government this week decided to appeal the arbitration ruling. The Health Ministry should apply for reviewing the decision and it should also propose a new arbitrator for the state. Diag Human has also decided to appeal the arbitration verdict over the compensation level. "It would be possible to prevent the compensation payment if some unbiased arbitrator, some international body assessed the existing expert opinions. But as far as I know all of them have concluded in favour of Diag Human. This is why there is a risk for us of being obliged to pay 15 billion instead of nine billion in the case of further postponement," Klener said. "A quick decision is in the interest of the state as well as citizens," he stressed. The case was triggered by a letter that then health minister Martin Bojar wrote to the Danish company Novo Nordisk in 1992 after which the firm cut cooperation with Diag Human. Diag Human then demanded a high compensation from the state for having allegedly prevented its deals with blood plasma in the early 1990s. Then health minister Jan Strasky (Civic Democrats, ODS) decided to submit the case to the arbitration proceedings in 1996. In 1998 an arbitration panel recognised Diag Human's claim to compensation by the Czech Republic and a public apology. Since then the dispute has only been over the level of compensation. The government of Vladimir Spidla (Social Democrats, CSSD) paid 326.6 million crowns in compensation to Diag Human in 2002. The company then calculated new damage. "If the current Health Ministry has no cogent arguments, the decision to further postpone the case is not much reasonable," concluded Klener, who is running in the autumn Senate election as unaffiliated for the junior ruling Christian Democrats (KDU-CSL). Klener added that he did not expect to be able as a senator to influence the state procedure in the Diag Human case, but he supported a quick solution to the dispute. Klener also confirmed that blood plasma, which had been the subject to the 16-year-long dispute, is a highly demanded article in the health care market. ($1=16.456 crowns)

(Ceske Noviny)


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