Athens News Agency: News in English (AM), 98-06-05

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From: The Athens News Agency at <http://www.ana.gr>

NEWS IN ENGLISH

Athens, Greece, 05/06/1998 (ANA)

MAIN HEADLINES

• Greece,Turkey agree to implement 1988 Papoulias-Yilmaz agreement
• Simitis meets with several leaders on sidelines of BSEC conference
• Joint Greek-US military exercise concluded
• G. Papandreou calls for Mediterranean 'nuclear-free zone'
• High-ranking Greece-Slovenia talks focus on Balkan security, Kosovo
• U.S. prosecution of Rashid not an issue for Athens
• Avramopoulos begins official visit to Skopje
• Court again declares Ionian strike illegal, unions in turmoil
• Weather
• Foreign exchange

NEWS IN DETAIL

NATO Secretary General Javier Solana yesterday announced that Greece and Turkey had agreed to fully implement accords signed in 1988 concerning rules of conduct related to military activities in the Aegean and, when pos sible, to supplement them.

"The Secretary General of NATO, Dr. Javier Solana, is pleased to be able to announce that in the course of his continuing talks with the Permanent Representatives of Greece and Turkey on Confidence-Building Measures both sides have informed him of their intention to implement fully the agreements reached in 1988 between the then Foreign Ministers Papoulias and Yilmaz (the Memorandum of Understanding signed on 27 May 1988 in Athens and the Guidelines for the Prevention of Accidents and Incidents on the H igh Seas and International Airspace, signed on 8 September 1988 in Istanbul)," the statement said.

"The two sides have also declared their willingness to continue their talks with the Secretary General in order to clarify where necessary and to strengthen and complement where possible the set of confidence- building measures which the 1988 agreements provide for and which constitute a framework of agreed rules of behaviour regarding national military activities in the high seas and the international airspace aimed at re ducing tension and avoiding dangerous incidents. In this context the Secretary General and the two countries intend to explore the opportunities for greater mutual information and coordination offered by the emerging NATO air command and control system (A CCS).

"In the 1988 Memorandum of Understanding both countries have recognised the obligation to respect the sovereignty and the territorial integrity of each other and their rights to use the high seas and international airspace of the Aegean. Today's statement is a manifestation of the political will of the two governments to continue to respect these principles and to carry out in good faith the range of confidence building measures that have been agreed as well as those that may further be agreed in the talks between the Secretary General and the two countries, and as such it constitutes an important interim result of these talks."

Simitis meets with several leaders on sidelines of BSEC conference

Prime Minister Costas Simitis held bilateral meetings in Yalta yesterday with Ukrainian President Leonid Kuchma, the Romanian prime minister, the presidents of Georgia and Azerbaijan, and the prime minister of Moldova, on the sidelines of the Black Sea Economic Cooperation pact (BSEC) summit.

The 11-nation group is comprised of Turkey, Russia, Ukraine, Greece, Albania, Bulgaria, Romania, Georgia, Azerbaijan, Armenia and Moldova.

Later in the evening, Mr. Simitis was due to meet with his Bulgarian counterpart, while today he is expected to meet new Russian Prime Minister Sergei Kiriyenko. A meeting with Turkish President Suleyman Demirel has not been anticipated, diplomatic sources said.

Meanwhile, replying to questions by the Turkish press during his flight to Simferopol, Crimea yesterday, Mr. Demirel said that no meeting has been scheduled between himself and Mr. Simitis.

The charter of BSEC countries will also be endorsed during the summit meeting today.

After the first day of sessions, Foreign Undersecretary Yiannos Kranidiotis made the following statement:

"Greece has an interest in the area. Firstly, because it has historical ties and traditional friendships with the peoples of the region. Secondly, because there is a strong economic and trade interest in this region of Europe - a region with tremendous prospects for development, especially in the energy sector."

Joint Greek-US military exercise concluded

The US embassy in Athens yesterday announced the conclusion of a joint Greek-US military exercise in the Volos region, central Greece.

According to the announcement, contingents from all three services of the Greek armed forces cooperated with US Navy and US Marine detachments as well as four US Sixth Fleet warships in this exercise, "Alexander the Great - '98", conducted between June 1-4.

In addition, National Defence General Staff Chief Lt. Gen. Manousos Paragioudakis and US ambassador to Athens Nicholas Burns observed the final stage of the exercise, which included an amphibious landing on the island of Skyros.

G. Papandreou calls for Mediterranean 'nuclear-free zone'

Alternate Foreign Minister George Papandreou yesterday called on 26 of his colleagues at a Euro-Mediterranean conference here to back a proposal for declaring the Mediterranean a "nuclear-free zone". Reports stated that the proposal receiv ed a positive response as did a proposal for the so-called "Olympic Truce", an idea also primarily promoted by Mr. Papandreou.

Furthermore, during the meeting it was confirmed that a September ministerial meeting on cultural issues will take place, with Mediterranean and European non-governmental organisations, in Delphi in October. The ministers also discussed the Middle East problem. Ministers declared their intent to meet again on Rhodes in September.

High-ranking Greece-Slovenia talks focus on Balkan security, Kosovo

National Defence Minister Akis Tsohatzopoulos said yesterday that NATO is now assuming the role of a very broad collective security organisation, which newly emerging Balkan states could join.

"The new character of NATO, which is no longer a military organisation but an institution of very broad influence aiming at collective security, provides the possibility to newly founded states in the region to join in," he said during a joint press conference at the presidential palace with his Slovenian counterpart Alojz Krapez and Foreign Minister Boris Frlec.

Earlier, Mr. Tsohatzopoulos held talks with the two ministers and Slovenia's president, Milan Kucan. The high-level meetings, the first between the two countries, were decribed as particularly substantive, creating favourable conditions for a climate of stability and peace at the two ends of the Balkans.

The talks also centred on the crisis in Kosovo, as both sides concurred on the need for respect of the right to autonomy for the ethnic Albanian majority, as well as to avoid any change of borders in the Balkans and to promote a dialogue leading to the ultimate resolution of the problem.

Slovenian officials expressed a positive view of the creation of a Balkan peacekeeping and crisis prevention force, as discussed in recent summits in Sofia and on Crete.

"It is especially significant for us to discuss such issues, because the current crisis points are here, in Bosnia Herzegovina, Kosovo, Cyprus and the Aegean, where Turkey's aggressive behaviour and its refusal to respect international law is leading to destabilisation," said Mr. Tsohatzopoulos.

He added that Slovenia's future participation in NATO could provide the conditions for security and peace for all countries in the region, stressing that Greece also fully backs its application to join the European Union.

"Slovenia is a country quickly forging ahead with a course of convergence with Europe," he said, adding that it was also necessary for Bulgaria and Romania to join the next wave of NATO enlargement.

In addition, initial agreement was forged to sign a bilateral defence cooperation pact that will include the holding of joint exercises, during Mr. Krapez's planned visit to Athens in the next few months.

Mr. Tsohatzopoulos later visited a military base and the Hellenic Navy frigate "Macedonia", which is participating in a NATO naval force in the Adriatic, as well as the Turkish frigate "Kara-Deniz", also part of the same force. The NATO commander heading the force later hosted a reception in the Greek minister's honour aboard the vessel.

U.S. prosecution of Rashid not an issue for Athens

The Greek government said yesterday that it was "not annoyed" about the arrest by U.S. authorities of Mohammad Rashid, a former PLO officer convicted in Greece of planting a bomb in 1982 on a U.S. airliner.

"The authorities of each country do what they must and we feel we have handled the issue responsibly here," Mr. Reppas said in reply to press questions.

Justice Department officials in Washington said on Wednesday that the U.S. had brought Rashid to Washington to stand trial for the bombing of a Pan American airliner over Hawaii in which a Japanese teenager was killed.

Rashid was tried on the same charges and sentenced to 18 years imprisonment by a Greek court in 1992 for premeditated murder.

In 1993 his sentence was reduced to 15 years, and a parole court shortly ruled that he could be freed after serving 8.5 years, but must be expelled immediately. His time in detention before his sentencing was calculated as part of his sentence. Rashid's release and deportation from Greece in 1996 drew the displeasure of the U.S., with then State Department spokesman Nicholas Burns (and present Ambassador to Athens) saying that Rashid "is a terrorist who deserves to be behind bars" and that it was "inexplicable to us why he would have been allowed to leave Greece before serving his just sentence...This is an incomprehensible move."

In Washington on Wednesday, Rashid pleaded not guilty at an initial court appearance to charges that carry a maximum sentence of life in prison. Rashid protested that he had already been tried on the charges he now faced in the United States.

Justice Department officials declined to give details of how or where Rashid, referred to by one official as "a fugitive terrorist," was captured. They said he had been flown to Washington on Wednesday morning.

Avramopoulos begins official visit to Skopje

Athens Mayor Dimitris Avramopoulos yesterday began a two-day officialvisit to Skopje, the capital of Former Yugoslav Republic of Macedonia (FYROM), at the invitation of the city's mayor Risto Penov.

Mr. Avramopoulos, who is accompanied by a group of Greek business people, will meet with the president of the neighbouring country Kiro Gligorov, Prime Minister Branko Crvenkovski as well as opposition party leaders.

Before his departure to Skopje, Mr. Avramopoulos stressed that the mission is within the framework of efforts for the better acquaintance and cooperation of the region's peoples.

He also noted that he briefed both Foreign Minister Theodoros Pangalos and main opposition New Democracy leader Costas Karamanlis on his scheduled visit.

Furthermore, he clarified that he would not discuss political or national issues, but rather focus on local self-government issues and possibilities for cooperation between local governments of the region.

Court again declares Ionian strike illegal, unions in turmoil

The General Confederation of Greek Workers (GSEE) yesterday backed the continuation at least until Wede nsday of a strike by Ionian Bank staff, despite a court ruling declaring the strike illegal.

The ruling by the Athens court of first instance applies to a walkout from June 1 to June 6, called by the Federation of Bank Employees' Unions (OTOE) to protest against Ionian Bank's privatisation. GSEE's board decided to back the strike by a nine to six majority, despite initial indications that it might refraim from taking a position on the issue.

According to union sources, the majority of PASOK-aligned trade unionists in GSEE argued that the umbrella group could not debate calling a fresh strike if no request was received from OTOE. Nevertheless, they were outvoted by an alliance of all opposi tion-party affilitated members.

News of the court ruling coincided with a fraught meeting of OTOE leaders over the brawl with the government, which has refused to reconsider privatising the bank.

Workers at Ionian have staged a rolling strike since May 11 in protest at the decision to sell a majority stake in the bank rather than merge it with state-owned Commercial Bank of Greece, its parent. Both banks are listed.

Under the latest court ruling, workers were ordered to halt the strike and barred from staging any further stoppages carrying the same demands. The court also slapped a one-million drachma fine on union leaders for each day the strike is prolonged.

Liable to the fine are the president of Ionian Bank's staff association, Yiannis Markakis, and its general secretary, Stavros Nikolaou.

Earlier yesterday OTOE voted to endorse a proposal by its president, Dimitris Kouselas, to continue its backing for the strike until Saturday while refraining from asking GSEE to call a new strike.

Ionian's union will now have to decide whether to continue a strike ruled illegal, or bow to the court's decision, weakening opposition to the privatisation attempt.

Rejected was a proposal by Ionian's union president, Yiannis Markakis, to call a three-day strike next week. The proposal was back-ed by trade unionists aligned to the Communist Party of Greece and Coalition of the Left.

As a result, Ionian union representatives stormed out of OTOE's meeting and staged an unofficial occupation of the union group's offices in protest an earlier refusal to ask GSEE to call a strike.

Last month, unions shrugged off a court ruling that declared an earlier stoppage illegal and made the two Ionian union leaders liable to fines of 400,000 drachmas for each day that stoppage continued.

On Tuesday, National Economy and Finance Minister Yiannos Papantoniou told unions that redundancies could be avoided after privatisation by incorporating the bank's existing labour regulations into any sale contract; but the sale itself would go ahead.

According to the government, no change to the law will be required to insert the regulations, which allows for massive severance pay, into the contract.

Ionian's workers have stayed off the job but union lawyers are studying the government's proposal, which came in the wake of an earlier offer of a two- year freeze on lay-offs.

The government hopes to set a deadline for bids for the sale of Ionian Bank in the middle of July with a call for expressions of interest due to be published late in June, sources said yesterday.

The proposal to sell Ionian first has to be endorsed at a meeting of Commercial Bank of Greece's shareholders on June 19.

The sources were speaking after a meeting of National Economy Minister Yiannos Papantoniou with deputy ministers, Ionian's management and a PASOK trade union official on a timescale for the bank's sale.

Likely to be used is a bidding process through the Athens Stock Exchange.

WEATHER

FOREIGN EXCHANGE

(L.G.)

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