Athens News Agency: News in English, 05-12-01

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

CONTENTS

[01] PM tells Paleokrassas he must present evidence or resign

[01] PM tells Paleokrassas he must present evidence or resign

Speaking to Paleokrassas shortly before 17:00 in the evening, Karamanlis said that if he had no evidence than he was obliged to offer his resignation, while he refused the Public Power Corporation (PPC) president's request for a meeting.

Paleokrassas, a former minister under past New Democracy governments, sent in his resignation shortly afterward.

Earlier in the day, Paleokrassas had been given the same ultimatum by Development Minister Dimitris Sioufas, who told him he had until 18:00 on Thursday to hand over evidence of alleged corruption among high-ranking members of the government to the public prosecutor's office.

Sioufas told reporters that he had informed Paleokrassas of the decision during their meeting on Thursday, a day after the PPC president said instances of collusion were still rampant at the large state-run utility, a heavily traded share on the Athens bourse.

"Mr. Paleokrassas has told me that his statement yesterday (Wednesday) did not refer to (current) government officials, and that all of his statements referred to the past, just as the government spokesman said on Monday," Sioufas added.

In leaving the development ministry, Paleokrassas merely noted that he has not tendered his resignation.

Paleokrassas, who has been outspoken in describing the situation at Greece's electricity monopoly, has been targeted for criticism by the opposition, some members of the ruling party and the press.

Asked on Thursday about the PPC president's comments of a day earlier, the government spokesman echoed a well-known phrase by the prime minister, namely, that whoever has evidence of corruption and collusion should submit it to the prosecutor.

"Therefore, since he (Paleokrassas) says these allegations deal with the present, I am certain that if he had something he would take recourse to the justice system," spokesman Theodoros Roussopoulos said.

Moreover, the spokesman rejected any notion, aired by a portion of the Athens press, that Paleokrassas has become embattled because he is expressing the state's interest in the domestic energy market, whereas certain ministers are promoting private sector interests.

Initially, the spokesman declined to answer a press question on whether the PPC president enjoys the prime minister's confidence.

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