Bank account balance of the Capital City is a business secret

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Cities in the region provide the citizens with an online insight into their finances, Podgorica does not have to because it is protected by the Law on Free Access to Information

Capital City Podgorica refused to provide the Network for Affirmation of NGO Sector (MANS) with information on its bank account balance at the end of 2017, according to the Law on Free Access to Information, although the cities in the region publish these data on their website.

Thus, all data on the account balance for this year, and previous years as well, can be found on the official websites of the cities of Belgrade and Zagreb. However, authorities from Podgorica claim that “the requested information is not protected by the Capital City, instead, they are obliged to strictly abide the aforementioned laws and their valid provisions”. They point out that the information is a business secret, and “providing such information would constitute a violation of business secret also when it comes to the Article of the Law on the Protection of Unpublished Data, which stipulates that financial and business data, among other things, are considered unpublished data “.

Planned budget for 2017 was €57.3 million, and almost €60.7 for 2018. “The competent Ministry of Finance, in the procedure upon request, determined that it has the requested information, but that it is subject to the limitation prescribed by the Article 14 of the Law on Free Access to Information, which prescribes the conditions when the authorities may restrict access to information or part of the information, if this is in the interest of protection, among other things, of economic interests of publishing information related to business secret, as well as when it is a business secret,” the Capital City responded to “Vijesti”, reminding that the Administrative and the Supreme Court have previously resolved identical requests in favor of the Capital City.

MANS Media Coordinator, Snežana Bajčeta, finds that the restrictive provisions of the Law on Free Access to Information (FAI) have become an alibi for all institutions and bureaus not to allow insight into data of public importance.

“The only basis for refusing to provide information should exist in case of damage to a legitimate interest, which may be a business one, but only when there is no public interest in disclosing information. However, in the case of the Capital City, business interest is not only non-legitimate justification for denying free access to information, but such interest cannot exist having in mind it is a state authority,” Bajčeta stated.

The Capital City authorities remind that the Law on Banks prescribes, among other things, that the data on the deposit and turnover balance on individual accounts of legal and natural persons opened in banks are considered banking secret: “A banking secret is a business secret”. Bajčeta believes that state authorities must work exclusively in the public interest: “And this is the only interest that should be protected.”

She points out that when it comes to transparency of the state authorities, comparative law and practice clearly indicate that there is no interest that can deny the public the right to know about the work of those whose work they are financing.

“Therefore, not only that insight into the bank account of the Capital City cannot be limited, but the Capital City should voluntarily, in a proactive manner, present to citizens in what way the public money is spent, as Zagreb does, for example. On the other hand, in practice, interpretation of the mentioned segments of the Law on FAI has a negative impact on transparency. Thus, the existing legal solution should be amended urgently, because the shortcomings of this legal act allow the information of an undisputed public interest to be denied to the public, ” Bajčeta concluded.

Harm and public interest test not carried out

Bajčeta notes that even when there is a business or economic interest, in order to be declared a secret, it must previously be the subject to the harm and public interest test.

“Those are international standards.  However, harm and public interest test prescribed by the Law on FAI, according to international experts, is quite confusing, while the public interest test narrows down to a large extent what should be a broad presumption of openness to disclose requested information in the public interest. For the purpose of protecting economic interests, the Capital City denied information by declaring them secret, although the harm and public interest test was not carried out, “she added.

Tina Popović

Text was published in Independent Daily Vijesti on July 13, 2018

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