Transparency of media ownership in Croatia

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Transparency of media ownership refers to the public availability of accurate, comprehensive and up-to-date information about media ownership structures to make possible for media authority and the wider public to ascertain who effectively owns and controls the media. Between 2011 and 2012, following some concerns on opaque activities which accompanied the process of privatisation of the media in Croatia, the government initiated the reform of the law on transparency of media ownership with the aim to avoid the concealment of information on media ownership structure.

Contents

The Croatian law provides the disclosure of information that are sufficient to establish who formally holds shares in the media organisations operating in Croatia. However, in practice, some obstacles have been observed. [1] There are also some unclear aspects in the new legal framework which is the result of uncoordinated legal developments needed to complement the original Media Act with provisions to be applied to electronic media, which emerged several years later and that are now covered by a dedicated law, namely the Electronic Media Law. [2] In general terms, the information disclosed can be accessed by the public at large, but, as a matter of fact, this is quite uncommon. In Croatia, the public debate on media ownership transparency developed only recently, in connection with the amendments to the Media Act and Electronic Media Act. [3]

General overview

Transparency of media ownership refers to the public availability of accurate, comprehensive and up-to-date information about media ownership structures. It is an essential component of any democratic media system and its crucial for media pluralism and democracy. [4] A legal regime guaranteeing transparency of media ownership makes available all the information needed for finding out who effectively owns, controls and influences the media as well as media influence on political parties or state bodies. The importance of transparency of media ownership for any democratic and pluralist society has been broadly recognised by the European Parliament, the European Commission's High-Level Group on Media Freedom and Pluralism [5] and the Council of Europe.

To ensure that the public knows who effectively owns and influences the media, national legal frameworks should ensure the disclosure of at least the following basic information:

Importantly, to understand who really owns and controls a specific media outlet it is necessary to check who is beyond the official shareholdings and scrutinise indirect, controlling and beneficial ownership which refers on shares of a media company hold on behalf of another person. [6] To be meaningful and easily accessible by the citizens and national media authorities, this information should be updated, searchable, free and reusable. [7]

Background

In 2011, concerns about opaque media financial flows led to changes to the laws regulating media ownership transparency to make possible the identification of media owners beyond a company back to individuals. Indeed, the relevant laws have been updated to ensure better ownership transparency of media publishers, in particular to avoid the concealment of the real media ownership structure. [8] The process of privatisation of the print media in Croatia, which began in 2000, had been accompanied by corruption scandals and rumours of money laundering and the involvement of criminal groups in the sales of the biggest Croatian newspapers, i.e. Jutarnji list , Večerni List and Slobodna Dalmacija . [9] The names of the real owners of these media was hidden behind secret contracts and informal agreements involving politicians, police and other high-profile individuals. [10] Changes to the Media Act and the Electronic Media Act were very quick and passed with limited consultation by the Parliament in July 2011 for the Media Act and in June 2012 for the Electronic Media Act. [11]

Transparency of media ownership in Croatia is regulated by the Media Law (2011) and the Electronic Media Law (2012). These rules apply to all the media sectors, i.e. print, broadcast and online media which are required to regularly provide and update information on their shareholders. These laws contain provisions for disclosing ownership information to: the relevant media authorities, i.e. the Electronic Media Council in the case on online media (Electronic Media Act); to independent professional and business organisations such as the Croatian Chamber of Economy and other corporate and trade registers (Media Act); or directly to the public. [12] In general terms, the Croatian legal framework requires media to reveal enough information to make possible the identification of their owners, be it an individual or a company. This includes data on all shareholdings over 1%, disclosure of beneficial ownership and of people with indirect interests and control as well as a prohibition on "secret" ownership. [13] The information disclosed are provided directly to the public via the web and Official Gazette.

Upon request, the Croatian Chamber of Economy, which is responsible for collecting ownership data, must guarantee public access to the information submitted to it. This is in compliance with the recognised right of access to information under the Act on the Right to Access Information. [14]

The amendments have had little impact on the ownership structure of Croatian media, which remain questionable. This is because most of the privatisation, which in many cases was reported to be suspicious or controversial, were completed before the amended laws entered into force. [15]

Transparency of media ownership in practice

Despite the good provisions enshrined in the reformed legal framework which built upon existing obligations, the lack of consultation that led to the amendments to the Media Act and the Electronic Media Act resulted in a series of shortcomings especially with regard to monitoring and enforcement of the laws. For instance, in practice, media companies in Croatia do not always comply with their obligation to publish information on indirect ownership and the law doesn't foresee a mechanism for monitoring, checking compliance and apply sanctions. Indeed, the Media act does not provide for effective mechanism enabling the Croatian Chamber of Economy to check that the information received are updated and correct. Given the scarcity of resources assigned to it, the Chamber has to rely on the assistance of other authorities such as the Croatian Competition Agency and the Company Register. [16] Another critical point of the Croatian system regulating transparency of media ownership is that it does not guarantee the full disclosure of information on individuals holding shares of a media company. [17] Indeed, often the name of a company is not enough for providing information on the individuals behind it. For example, on the basis of the information provided under the law regulating transparency of media ownership the media companies Europa digital d.o.o., Slobodna Dalmacija, EPH Media and Gloria Groupa apparently don't have anything in common, but they are all subsidiary companies within the EPH group , owned by WAZ and the businessman Ninoslav Pavić. [18] Additionally, in practice, media outlets do not always disclose information on indirect ownership as required by the law. For example, the only shareholder listed for the media company Vecernji list d.d., which issues the daily paper Vecernji list is Styria Media International AG from Graz. Other relevant ownership information are not disclosed, for instance information regarding the important shareholders of Styra Media International AG or whether that company holds some shares for another person or a company. [19] Furthermore, the publication of data in the Official Gazette is not monitored and since there is not a special issue of the Official Gazette listing the updates occurred during the year the search is complex and time-consuming. [20]

In sum, despite the fact that the laws on transparency of media ownership are well defined, in practice is quite difficult to assess the actual ownership structures and reconstruct the networks of ownership and connected persons. [21] The problem is exacerbated by the fact that, according to the Croatian law, different agencies are in charge of collecting data on ownership – the Council for Electronic media is responsible for online media and the Croatian Chamber of Commerce for print media – without a unique centralised monitoring system working across print, radio, television and online media. [22]

In October 2014, the European Commission organised a consultative conference on transparency of media ownership and Croatia was mentioned as "a good practice" in this context. However, many panellists participating at the conference highlighted that it is important to insist on the improvement of the legal framework but that is not enough as, according to experts, it is more important to know who effectively controls the owners than who nominally owns the media. [23]

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<span class="mw-page-title-main">Mass media in Croatia</span> Mass media outlets in Croatia

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The mass media in Montenegro refers to mass media outlets based in Montenegro. Television, magazines, and newspapers are all operated by both state-owned and for-profit corporations which depend on advertising, subscription, and other sales-related revenues. The Constitution of Montenegro guarantees freedom of speech. As a country in transition, Montenegro's media system is under transformation.

Most Azerbaijanis receive their information from mainstream television, which is unswervingly pro-government and under strict government control. According to a 2012 report of the NGO "Institute for Reporters’ Freedom and Safety (IRFS)" Azerbaijani citizens are unable to access objective and reliable news on human rights issues relevant to Azerbaijan and the population is under-informed about matters of public interest.

<span class="mw-page-title-main">Media freedom in Serbia</span>

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<span class="mw-page-title-main">Transparency of media ownership in Europe</span>

Transparency of media ownership refers to the public availability of accurate, comprehensive and up-to-date information about media ownership structures. A legal regime guaranteeing transparency of media ownership makes possible for the public as well as for media authorities to find out who effectively owns, controls and influences the media as well as media influence on political parties or state bodies.

Transparency of media ownership refers to the public availability of accurate, comprehensive and up-to-date information about media ownership structures, to make it possible for media authorities and the wider public to ascertain who effectively owns and controls the media. In Romania, transparency of media ownership is addressed directly in the Constitution and is regulated by a media-specific law, namely the Audiovisual Law no. 504, and by national company law. As for constitutional provisions, even if Romania is among the few European countries that addresses the issue of media transparency directly in the Constitution, the focus is on transparency of financial sources and not on ownership. Nonetheless, despite the constitutional provisions on the right to impose an obligation on the media to make public their sources of finance, the Parliament has never enacted the applicable legislation. The Romanian media-specific law requiring the disclosure of media ownership information applies only to the broadcast sector and provides the disclosure to both a public authority, namely the National Audiovisual Council (CNA) and directly to the public. Finally, the national company law contains provisions regulating transparency of media ownership. It applies to all media which are registered companies and foresees the obligation to publish all the most relevant information on companies' ownership in the Trade Register Company. Overall, even though the Romanian legislation in the field of media ownership transparency is fully aligned with the European standards, in practice sufficient information to assess who effectively owns and ultimately controls the media is not always available.

Transparency of media ownership refers to the public availability of accurate, comprehensive and up-to-date information about media ownership structures to make possible for media authorities and the wider public to ascertain who effectively owns and controls the media. According to the expert Nelly Ognyanova, lack of transparency in media ownership is one of the major problem in the media system in Bulgaria. In Bulgaria there are specific provisions concerning print, electronic media and broadcast media. The relevant law, in particular the Law on Radio and Television and the Law on Mandatory Deposition of Press and Other Works, requires the submission of data identifying the actual owners of electronic and print media and online registers are available to the public. Also, a law imposing restrictions on offshore companies to acquire shares and assets in different fields including the media sector, entered into force in 2014. In addition, under Bulgarian law, media are obliged to provide information about ownership upon request in conformity with the provisions set forth in the Law on Access to Public Information. Despite the existence of these legal transparency obligations, there are several problems concerning, on one side the application of the rules, on the other, the requirements themselves, which are not enough effective in ensuring the disclosure of the actual owners. Also, legal requirements are constantly circumvented and sanctions usually not applied. Moreover, according to experts, the law should not be limited to obligations concerning the ownership, but expand its scope to examine the origin of funding of media outlets as well. Overall, despite recent legislative changes, some loopholes remain, allowing non-transparency as regards to media ownership and funding and making possible to circumvent the law and conceal who the true owners of the media are. According to expert Ognyanova, there are several ways of circumventing the legal requirements: one example is the case of Krasikir Gergov, a former agent of the Communist-era State Security services and owner of advertising agencies that, while acting in the guise of a “consultant”, actually had a share of the ownership and a contract allowing him to exercise control over the newsroom of a media outlet in Bulgaria. According to Professor Georgi Lozanov, a former member of the Council for Electronic Media, the introduction of the Access to Information Law could help in making more transparent the media sector, in particular media ownership and sources of funds which are largely opaque in Bulgaria. "There is no transparency of media capital whatsoever and one never knows what the real situation is [...]. The introduction of the Access to Information Act [...] represented an attempt at bringing the media to supply information about the sources and funds. Because, if you set up a media outlet and sell a product which is directly related to freedom of speech, it is normal to be able to track the business from the very beginning, thai is, to track the genealogy of the message in the business sense", remarked Professor Lozanov.

Access to public information and freedom of information (FOI) refer to the right to access information held by public bodies also known as "right to know". Access to public information is considered of fundamental importance for the effective functioning of democratic systems, as it enhances governments' and public officials' accountability, boosting people participation and allowing their informed participation into public life. The fundamental premise of the right to access public information is that the information held by governmental institutions is in principle public and may be concealed only on the basis of legitimate reasons which should be detailed in the law.

Access to public information and freedom of information (FOI) refer to the right to access information held by public bodies also known as "right to know". Access to public information is considered of fundamental importance for the effective functioning of democratic systems, as it enhances governments' and public officials' accountability, boosting people participation and allowing their informed participation into public life. The fundamental premise of the right to access public information is that the information held by governmental institutions is in principle public and may be concealed only on the basis of legitimate reasons which should be detailed in the law.

Access to public information and freedom of information (FOI) refer to the right to access information held by public bodies also known as "right to know". Access to public information is considered of fundamental importance for the effective functioning of democratic systems, as it enhances governments' and public officials' accountability, boosting people participation and allowing their informed participation into public life. The fundamental premise of the right to access public information is that the information held by governmental institutions is in principle public and may be concealed only on the basis of legitimate reasons which should be detailed in the law.


Access to public information and freedom of information (FOI) refer to the right of access to information held by public bodies also known as "right to know". Access to public information is considered of fundamental importance for the effective functioning of democratic systems, as it enhances governments' and public officials' accountability, boosting people participation and allowing their informed participation into public life. The fundamental premise of the right of access to public information is that the information held by governmental institutions is in principle public and may be concealed only on the basis of legitimate reasons which should be detailed in the law.

Access to public information and freedom of information (FOI) refer to the right of access to information held by public bodies also known as "right to know". Access to public information is considered of fundamental importance for the effective functioning of democratic systems, as it enhances governments' and public officials' accountability, boosting people participation and allowing their informed participation into public life. The fundamental premise of the right of access to public information is that the information held by governmental institutions is in principle public and may be concealed only on the basis of legitimate reasons which should be detailed in the law.

Access to public information and freedom of information (FOI) refer to the right of access to information held by public bodies also known as "right to know". Access to public information is considered of fundamental importance for the effective functioning of democratic systems, as it enhances governments' and public officials' accountability, boosting people participation and allowing their informed participation into public life. The fundamental premise of the right of access to public information is that the information held by governmental institutions is in principle public and may be concealed only on the basis of legitimate reasons which should be detailed in the law.

Access to public information and freedom of information (FOI) refer to the right of access to information held by public bodies also known as "right to know". Access to public information is considered of fundamental importance for the effective functioning of democratic systems, as it enhances governments' and public officials' accountability, boosting people participation and allowing their informed participation into public life. The fundamental premise of the right of access to public information is that the information held by governmental institutions is in principle public and may be concealed only on the basis of legitimate reasons which should be detailed in the law.

Access to public information and freedom of information (FOI) refer to the right of access to information held by public bodies also known as "right to know". Access to public information is considered of fundamental importance for the effective functioning of democratic systems, as it enhances governments' and public officials' accountability, boosting people participation and allowing their informed participation into public life. The fundamental premise of the right of access to public information is that the information held by governmental institutions is in principle public and may be concealed only on the basis of legitimate reasons which should be detailed in the law.

Transparency of media ownership is the public availability of accurate, comprehensive and up-to-date information about media ownership structures. A legal regime guaranteeing transparency of media ownership makes possible for the public as well as for media authorities to find out who effectively owns, controls and influences the media as well as media influence on political parties or state bodies. The disclosure of media ownership can be prescribed by generic regulation or by media-specific provision. Such measures may mandate the disclosure of information on media ownership structures to specific authorities or to the general public.

<span class="mw-page-title-main">Access Info Europe</span>

Access Info Europe is a Madrid-based group that campaigns for access to information in Europe.

References

  1. ↑ Access-Info Europe, Croatia TMO consultation, July 2013. Retrieved 19 September 2016
  2. ↑ Access-Info Europe, July 2013
  3. ↑ Access-Info Europe, July 2013
  4. ↑ Mark Thompson, Media Plurality Series: The Transparency of Media Ownership, 11 December 2013. Retrieved 31 August 2016
  5. ↑ Mark Thompson, 11 December 2013
  6. ↑ Access-Info Europe, 4 November 2013, Ten recommendations on transparency of media ownership, 4 November 2013. Retrieved 30 August 2016
  7. ↑ Access-Info Europe, 4 November 2013
  8. ↑ Access-Info Europe, July 2013
  9. ↑ Access Info-Europe, Country case study: Croatia, 2013. Retrieved 19 September 2016
  10. ↑ Access Info-Europe, 2013
  11. ↑ Access Info-Europe, 2013
  12. ↑ Access Info-Europe, 2013
  13. ↑ Access Info-Europe, 2013
  14. ↑ Access-Info Europe, 2013
  15. ↑ Access Info-Europe, 2013
  16. ↑ Access-Info Europe, July 2013
  17. ↑ Access Info-Europe, 2013
  18. ↑ Media integrity matters: reclaiming public service values in media and journalism / [editor Brankica Petković ; assistant editor Jovana Mihajlović Trbovc]. – 1st ed. – Ljubljana : Peace Institute, Institute for Contemporary Social and Political Studies, 2014. Retrieved 19 September 2016
  19. ↑ Access-Info Europe, July 2013
  20. ↑ Media integrity matters: reclaiming public service values in media and journalism / [editor Brankica Petković ; assistant editor Jovana Mihajlović Trbovc]. – 1st ed. – Ljubljana : Peace Institute, Institute for Contemporary Social and Political Studies, 2014. Retrieved 19 September 2016
  21. ↑ Media integrity matters: reclaiming public service values in media and journalism / [editor Brankica Petković ; assistant editor Jovana Mihajlović Trbovc]. – 1st ed. – Ljubljana : Peace Institute, Institute for Contemporary Social and Political Studies, 2014. Retrieved 19 September 2016
  22. ↑ Media Pluralism Monitor 2015, Croatia. Retrieved 19 September 2016
  23. ↑ IREX, Europe & Eurasia Sustainability Index 2015 – Croatia. Retrieved 19 September 2016

See also

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