The author of this paper utilizes periodicals, original archival sources, published documents and other relevant literature analyzes life of the Refugee settlement of Gaza in Karlovac in the period from 1993 to 1999, since the foundation of refugee settlement to house demolition in „Gaza“. The attack of the rebels of Serbian nationality assisted by JNA units on the Republic of Croatia and Bosnia and Hercegovina has resulted, among other things, with a large number of displaced persons and refugees on the teritory of the Republic of Croatia. At the end of 1992, about 650.000 displaced persons and refugees remained on the territory of Republic of Croatia. Due to the fact that a large number of refugees and displaced persons were inadequately accommodated and the desire of the German Government to keep as many refugees as possible on the territory of Republic of Croatia, on those days an agreement was reached with the German Government on the construction of the refugee settlements in Gaza Karlovac, Čepin near Osijek and Rokovci near Vinkovci in the amount of 50 million DEM, paid entirely by the German Government. The life of Gaza started on March 1st, 1993, with a maximum capacity of 2.500 people, and settled most of the displaced persons from the cities and municipalities from the territory of Karlovac County, of which the largest number came from Slunj. The specificity of the Refugee settlement of Gaza was a small distance from the separation line, and it was also directly affected several times. Unfortunately, three people were killed in the shelling of „Gaza“. The focus of the master thesis is on the organization and status of the Refugee settlement of Gaza, the analysis of the lives of displaced persons and their psychosocial status and the significance of Karlovac in the Croatian war of independence.