Funds to Be Allocated to Rule of Law Activities

As you know, the High Representative issued a Decision on 28 October freezing
funds accrued by the SDS between January and September last year. The Decision
stated that if Radovan Karadzic was transferred to The Hague by 31 December 2005
and the SDS exercised its full influence to ensure that Republika Srpska is in
full compliance with Bosnia and Herzegovina’s international obligations to
cooperate with the ICTY, these funds would be disbursed to the SDS.

This transfer has not taken place. In consequence, this money will, over the
coming months, be re-allocated to the Budget of the BiH Institutions,
specifically to SIPA, the War Crimes Chamber of the Court of BiH and the BiH
Election Commission.

The purpose of this allocation is to help strengthen the Rule of Law in BiH,
an objective that has the wholehearted support of the vast majority of
citizens.