The suspect is 50-year-old Boris Sorgo from Rovinj, a co-owner of a local real estate agency, who after the questioning was remanded in custody for 48 hours due to the risk of witness tampering.

Sorgo's arrest is the continuation of an extensive criminal investigation the police have been conducting in cooperation with the Pula County Prosecutor's Office based on a report Koncar filed through his attorney in October last year.

The former deputy minister of tourism, Vinka Cetinski, Romina Hrvatin of Rovinj, and a representative of the said real estate agency, Marin Sorgo, were remanded in 48-hour custody on Saturday evening on the suspicion of fraud in the purchase and sale of real estate on behalf of Kermas Ulaganja. They are suspected of defrauding the company of some 4 million euros. Two other persons, Zeljko Bilic and Gordan Dobrovic, were also arrested but were released after questioned by the investigating judge.

The arrested persons are suspected of having bought, on behalf of Kermas Ulaganja, stakes in companies that they previously founded at prices that significantly exceeded the real value of those stakes, as well as of stating in purchase contracts prices that were higher than the actual purchase prices. They kept for themselves the difference between the price stated in the contracts and the actual price.

Last October, Koncar pressed charges against Cetinski, his long-time associate and director of Kermas Ulaganja, for fraud and abuse of authority. He said that he had authorised her to buy land in Istria and that she defrauded him of 16.5 million euros.