Photograph: HINA/ Dario GRZELJ/ iš

The  Croatian Democratic Union 's (HDZ) Croatian Statehood Foundation has stated that the financing of the activities of this foundation is in accordance with laws and that also the funds received from the "Nova Pokoljenja" foundation was in compliance with rules and laws.

The statement about everything having being done in line with the law was made by the Croatian Statehood Foundation's Director General Srecko Prusina on Tuesday following an article in the Nacional weekly about the payment of 2.6 million kuna from the  "Nova Pokoljenja" foundation connected with a few companies believed to be set up by the Russian capital and businesswoman Oksana Dvinskykh, perceived as a close friend of Ana Saric Karamarko and her husband Tomislav Karamarko who was until recently the HDZ leader.

"All the financial operations of the (Croatian Statehood) Foundation in the period concerned were in accordance with laws and rules that govern the foundation's performance," reads the press release signed by Prusina.

"The Croatian Statehood Foundation was established in October 1995, and it commenced operating in April 1996. As such, we are the first political foundation of this type in Croatia. The Foundation’s Trustee is the Croatian Democratic Union, and the Trustee is represented by the Central Committee of the Croatian Democratic Union. The Croatian Statehood Foundation has its registered head office in Zagreb, and it is administered, based on the Trustee’s decision, by the Foundation Board and the Director General," according to the information about the foundation on its web site.

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