Yugoslavs discuss extradition law

Bulatovic could be a key figure in Kostunica securing an extradition deal

BELGRADE, Yugoslavia -- The Yugoslav Cabinet is set to meet to decide on a draft law which would allow war crime suspects such as Slobodan Milosevic to be extradited to The Hague.

Yugoslav President Vojislav Kostunica, who is keen to see the draft law passed, has predicted it will be adopted.

It would then go before parliament where it is not clear whether it will be voted through.

He needs the support of Montenegro's Socialist People's Party (SNP) if he is to get the draft law through the 178-member federal parliament.

The SNP is the junior partner in the coalition government and has opposed the idea of handing over suspects to the International War Crimes Tribunal, saying it is biased. Instead it wants to try Yugoslavs in its own courts.

ALSO Feud over Kosovo war crimes mounts

Failure to pass draft the law could undermine efforts to attract crucial foreign funds for an economy impoverished by a decade of wars and international sanctions under Milosevic's rule.

The Balkan country would like to raise more than $1 billion at an international donor conference set to take place on June 29, Reuters reported.

Yugoslavia's chances of being awarded the money rest on increased co-operation with The Hague.

The socialist party does not oppose "co-operation" with the tribunal, but refuses to hand-over Yugoslavs.

The U.N. tribunal indicted the former president Milosevic and four of his top aides in 1999 for alleged atrocities committed by Yugoslav forces against ethnic Albanians in Kosovo.

The U.N. court has demanded a swift hand over of Milosevic, ousted as Yugoslav leader last October and arrested in April for alleged abuse of power. The country's new rulers have so far refused the demand, saying they first want to try him at home.

Serbia's reformist DOS alliance, which ousted Milosevic last year, dominates the federal government but needs the support of the Montenegrin party to secure an absolute majority in parliament.

The SNP remained firm in its opposition to handing over war crimes suspects on Wednesday, giving no indication it was ready to compromise.

SNP party leader Predrag Bulatovic went against Kostunica's earlier confidence, by saying the party would stick to its opposition.

"We support co-operation with the international community and punishment for all war criminals," he said.

"But we want Yugoslavs to be tried for war crimes in our country."

A senior government official said the Serbian side had made a concession allowing the latest version of the draft law to state that each of the two republics would handle extraditions of indictees to the court in The Hague, and that he believed this could satisfy the SNP, Reuters said.

"Nobody can at this moment be certain how this political crisis will be ended," the official added.