The presidency of the ruling Croatian Democratic Union (HDZ) unanimously decided on Tuesday to suspend Damir Polancec from all party duties and to launch disciplinary proceedings against him, the party said in a press release.
The former economy and deputy prime minister was arrested at his home in Koprivnica earlier today as part of an expanded investigation into financial wrongdoing in the Podravka food company.
Before the presidency meeting, the HDZ leadership met at government headquarters for a briefing about Polancec's arrest.
Asked if the arrest was harmful to the party, HDZ vice president Darko Milinovic said, "Of course it is." Another HDZ vice president, Petar Cobankovic, said the arrest "certainly isn't benefiting the party."
Commenting on the arrest this morning, HDZ leader and Prime Minister Jadranka Kosor said state institutions must do their job regardless of the person involved and that the government fully supported them in that.
She said the State Prosecutor's Office, the anti-corruption office USKOK and the police must be independent in their work regardless of someone's name or political affiliation, but added that in doing so they must take into account that everyone was innocent until proven guilty.