Cyprus PIO: Turkish Press and Other Media, 01-09-10

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[A] NEWS ITEMS

[01] Denktas informed Annan that he is not going to New York.

[02] Denktas repeats that he does not accept the UN Secretary-General's invitation.

[03] The Turkish Cypriot leader addressed that First National People's Congress.

[04] National Turkish Organizations World Council has been established along the lines of NPM.

[05] Turkish Cypriots call on Turkish officials not to behave as if they were colonial governor-general

[06] Turkey to seek extra IMF money

[07] Denktas` advisor says that no step on the Cyprus problem would be right before the beginning of Turkey's EU accession talks

[08] Statements by Ismail Cem in Belgium

[09] Turkish officials in the occupied areas

[10] KTAMS called on Denktas to attend the negotiations in New York

[B] COMMENTS AND EDITORIALS

[11] �The British are selling the Greek Cypriot land in the north!�

[12] Cengiz Candar criticizes Denktas and Turkey for their stance on Cyprus

[A] NEWS ITEMS

U.N. Spokesman Manoel de Almeida e Silva said: ``We did receive confirmation from Mr Denktas that he cannot attend the meeting here. We regret this development. We hope this is not Mr Denktas/ final position. There is a lot of work that needs to be done and efforts must get back on track without delay and in earnest.``

The Spokesman said that the ``U.N. wants Denktas to attend the new and strengthened negotiation process that will start in New York next week.``

Greek Cypriot sources said that President Clerides would come to New York on September 11, Tuesday and stay here till Friday.

[02] Denktash repeats that he does not accept the UN Secretary-General's invitation.

During his address, Denktas said: �If the invitation to go to New York had been made in order to meet with Annan, I would have gone, and the UN Secretary- General knows this as well. The invitation, however, was made to shake hands with the Secretary-General and launch the negotiations�.

Alleging that it is the Greek Cypriots, who are writing down the principles of the negotiations, Denktas added: �According to them, there is a Cyprus Republic and government, sovereignty cannot be divided, the Turkish Cypriots are a minority, all the refugees will return, the guarantee of Turkey will be diluted, and an exchange of territory is out of question. In other words, this is an invitation to pre-1974. It is my duty not to accept this invitation�.

Claiming that the concerned circles think that the Cyprus issue can be resolved regardless of the approval of the Turkish Cypriots and going to New York, Denktas alleged that importance is attached to the Greek Cypriot side's desires. Recounting that the Turkish Cypriots are for years explaining on the negotiation table how a stronger partnership can be set up, Denktas reminded that all the documents include a new partnership and that the equality of both sides are written.

Denktas continued: �Despite all this, Special Envoy De Soto did not mention partnership because of the opposition of the Greek Cypriots�. Explaining that de Soto told him that mentioning partnership can put an end to the negotiations because it constitutes a bombshell, Denktas stressed: �It is meaningless to go to New York if partnership will not be discussed�.

Denktas concluded: �The Cyprus issue cannot be solved without our signature. The Turkish Cypriot is equal to the Greek Cypriot on Cyprus. There are 65 million Turks in Turkey who have a say in Cyprus as well�.

[03] The Turkish Cypriot leader addressed that First National People's Congress

Speaking on the Cyprus problem, Denktas said: �Look at what certain circles want us to do now. They want us to sit at the negotiating table to refrain from saying that our state and our people are sovereign. They want us to forget about the exchange of population we conducted. They want us to accept the return of all the Greek Cypriots and to recognize the destroyed partnership republic as the Greek Cypriot republic. They say they will give us rights but not equality and not equal sovereignty. They say they will dilute Turkey's guarantees, and bring a multinational force and multinational police force. They say the Turkish Cypriots will be equal before the law but will not have the separate right to elect their leaders. They are inviting us to negotiations in order to impose all these things on us�.

Denktas alleged that even though this conflict began in 1963, certain circles are trying to create the impression that the problem began in 1974. He added: �They want us to go to the negotiations surrounded by these lies. We realize that a document has been drawn up for the negotiations. They do not deny that anyway. I wanted to see this document because I do not want to go with eyes closed. We will not fall into a trap as we did on 8 November�.

Denktas charged that Turkey is being pressured and blackmailed, and stressed that the EU and the UN Security Council cannot solve the problem by means of old resolutions. He alleged that resolutions were drawn up without taking the realities of Cyprus into consideration and by ignoring the rights of the Turkish Cypriots. He said that he explained all this to the world but that the voice of the minority within the Turkish Cypriot community was being heard instead. Denktas said: �That minority is saying that the Turkish Cypriots have given up on Turkey, on Denktas, and on their cause. However, the silent majority is gathered here today, and it is making its powerful voice heard in the world�.

Denktas charged that President Clerides' sole aim is to join the EU under the title of the Cyprus Republic. He also said that the Greek Cypriot leader rejected the Set of Ideas on the grounds that it does not constitute a basis for the negotiations. Denktas said that the partnership was eliminated and therefore the negotiating table is empty. However, he noted, a plan drawn up by foreigners is sitting on one corner of the table. Denktas added: �I say that I must be shown that plan so that I can reach my conclusions. I say come let us prepare the ground for the negotiations, let us diagnose the disease, and let us see together what the Greek Cypriots want to do. I say let us discuss all this and you will reach your own conclusions. However, they make it look as if they do not understand what I am saying�.

Denktas said that he called on Clerides to hold direct negotiations, but that in his response, the Greek Cypriot leader described a direct meeting as an international masquerade. Now, Denktas, added, the Greek Cypriot leader wants to go to the negotiations because he knows his interests will be protected and his desires met.

Denktas stated that no agreement can be signed in Cyprus without the signature of the Turkish Cypriots, adding: �Accepting injustice is a dishonour. These people have never bowed their heads when it came to their honour, freedom, flag, or motherland. The Turkish Cypriots are an honourable people, and I am proud to represent them�.

Denktas further alleged that the NPM was born out of a need, and addressing himself to its members he called on them not to go after political aims, but instead to embrace the people, and to strive for unity and solidarity. Denktas denied that he is linked to this movement but said that he supports what he thinks is right. Everything must be for the prosperity and happiness of the Turkish Cypriots, he said.

After Denktas/ speech, six draft resolutions were submitted to the Congress and were adopted unanimously.

The first resolution expresses support for NPM's foundation declaration and the aims cited in the declaration. It then calls on the pseudo-assembly members, the pseudo-government, all the political and civilian organizations, the press, the institutions, unions, and Turkish Cypriots to support these aims and to strive to achieve them.

The second resolution approves the powers given to the First National People/s Congress Permanent Committee. The committee was assigned and authorized to work from now until the second congress and to prepare the technical work for the second congress.

The third resolution extends full support to the policies jointly pursued by the pseudostate and Turkey, and calls on all institutions, organizations, and political parties to unite around the national cause. The same resolution says that no concessions should be made from the Turkish Cypriots' equal sovereignty, rights and interests, from the motherland's effective and active guarantees, or from the �state�. It notes that if the Cyprus government is made a full member of the EU on behalf of the whole of Cyprus, all measures to be jointly taken by motherland Turkey will be supported in unity and solidarity. It stresses that full membership in the EU may only come after a solution based on equal sovereignty and simultaneously with Turkey.

The fourth resolution adopted by the National People/s Congress denounces the verbal attacks on Turkey and calls for �legislation� in this regard.

The fifth resolution calls on the �assembly� and the �government� to act in order to overcome the economic difficulties. It says the reports to be drawn up by experts to overcome the economic difficulties must be given to the authorized bodies.

After the resolutions were adopted, the representatives of the organizations affiliated with and supporting the NPM delivered speeches. They were Huseyin Macit Yusuf, chairman of the National Turkish Organizations World Council; Yakan Cumalioglu, leader of the Cyprus National Coordination Committee; Alptekin Aytekiner, occupied Trikomo representative of the NPM; Hasan Binatli from the National Teachers' Movement; Cemal Kilic, occupied Morphou representative of the NPM; Pervin Gursun, leader of the National Women's Movement; Tanju Mevzinoglu, chairman of the National Shopkeepers Movement; Bayram Ozer, chairman of the Malatya association; and Fatih Ozturk, chairman of the National Youth Movement.

The speakers stressed that they will never give up the independence of the pseudostate. The congress ended with a closing speech by NPM general coordinator Taner Etkin.

The resolution on the Cyprus issue adopted by the NPM congress is made up of eight articles. The resolution extends support for the statements issued by Denktas and the Turkish Foreign Ministry in connection with the resumption of the Cyprus talks. The resolution says that for a new process of negotiations to begin, new parameters must be set and the �embargoes� must be lifted. The resolution also says that an agreement can be signed if under that agreement, the Turkish Cypriot people's �sovereign equality� and Turkey's effective and active guarantees are maintained, and the issue of exchange of property is resolved by means of compensation. The resolution alleges that the efforts of Cyprus to join the EU unilaterally are dashing the hopes for a solution, and stresses that if Cyprus becomes an EU member, the division of the island will become permanent.

The resolution rejects the report approved by the European Parliament in connection with Cyprus/ application to the EU. The resolution says that Cyprus' membership in the EU should be placed on the agenda only after a solution is reached in Cyprus and that the membership should take place simultaneously with Turkey.

Finally, the resolution says that the pseudostate/s economy can develop by means of closer cooperation with Turkey, and calls on the �government� to work seriously to urgently solve the economic problems.

[04] National Turkish Organizations World Council has been established along the lines of NPM

The council officially announced its establishment on Friday by publicizing its founding declaration in a news conference. Huseyin Macit Yusuf, NPM Turkey representative, was elected president of the National Turkish Organizations World Council.

[05] Turkish Cypriots call on Turkish officials not to behave as if they were colonial governor-general

�With the economic situation worsening and with the Dr Dervis Eroglu government preparing to unveil yet another "economic austerity package," Turkish Cypriots have started complaining more loudly about the International Monetary Fund-like approaches of the Turkish Treasury in dealing with the `TRNC/ and in particular to what they describe "the alien naivete" of Turkey's economic tsar State Minister Kemal Dervis to the Cyprus problem.

"We have been getting more and more pressure from the Turkish Treasury and from Dervis to cut back on state expenses, social expenditures of the state, revamp the social security system, increase the retirement age and introduce a very tight austerity package, " a top Turkish Cypriot government official told the Turkish Daily News.

"But, if a country does not have its own currency, has no control over the exchange rate mechanism, has a negligible industry and therefore a negligible industrial output, has a very limited agricultural produce and relies on imports largely from Turkey, how will that state manage an austerity package? How will it do it, particularly if such measures ignite a wave of social unrest?" asked the official.

He further stressed that as northern Cyprus doesn't have its own currency and uses the embattled Turkish lira, how Ankara was expecting the northern Cyprus administration to pull down the annual inflation rate, which is hovering at around 100 percent, to lower levels unless Turkey manages to pull down high inflation at home, was questionable.

The key to a solution of the economic hardships in northern Cyprus, the top official said, was reviving the production sector and boosting the real economy in northern Cyprus.

"Rather than imposing new taxes in hope of attaining increased state revenues, production should be increased. Some 30 percent of the gross national produce (GNP) is collected in northern Cyprus as tax whereas it is only 18 percent in Turkey. An increase in direct and indirect tax levels will bring to a standstill the Turkish Cypriot production sector, which is already fighting for survival," the official said.

The top official and other junior Turkish Cypriot sources stressed that in talks with the Turkish government, the `TRNC/ delegations often feel exhausted seeing the Turkish Treasury officials acting very much like the way the IMF deals with Turkey. "We want state-to-state talks. We want talks between equals in conformity with international codes of conduct between sovereign states. Turkey is the sole country recognizing northern Cyprus and Turkey is the sole country extending credits, loans and grants to northern Cyprus, but that should not give the Turkish officials the right to dictate on Turkish Cypriots as if they were a colonial governor-general."

Disclosing that on the desk of Prime Minister Bulent Ecevit there was a government decree on investment incentives in northern Cyprus awaiting approval, the top official said that that decree, which would allocate some TL 100 trillion in investment incentives to northern Cyprus over a 3-year period, was a step taken in the right direction after the intense and uphill battle staged by State Minister Sukru Sina Gurel, who is in charge of Cypriot affairs, and Foreign Minister Ismail Cem against the opposition by Dervis.

The Turkish Cypriot sources complained that Dervis appeared to be in a state of "alien naivete" regarding the Cyprus issue and was talking as if he was an American or British diplomat, rather than a Turkish minister.

They said Dervis was opposing each and every penny allocated for northern Cyprus and was the mastermind of the economic austerity package, which will soon be unveiled by the Eroglu `government/, the Turkish Treasury imposed on Turkish Cypriots.

Turkish Cypriot `Prime Minister/ Eroglu declared this week that his Cabinet has almost completed work on the austerity package and would soon be disclosed to the public after the completion of consultations with Turkey on the issue.

The Eroglu `government/ is demanding from Ankara some TL 100 trillion in a budget assistance loan as the `TRNC budget/ has produced a TL 120 trillion deficit as a result of the depreciation of the TL exchange rate against the dollar since the November and February crises in Turkey.

Turkish Cypriot sources said that up until recent days Ankara was talking about extending some TL 95-100 trillion in aid to northern Cyprus, but all of a sudden decided to allocate only TL 52 trillion as Dervis said Ankara could not afford to extend more than that figure to northern Cyprus.

As a result of the insensitivity of Dervis to the Cyprus problem and the failure of Cem and Gurel to explain to him the importance of the Cyprus issue for the strategic interest of Turkey, the pseudo-government was forced to adopt the Treasury-imposed new economic program but are scared that once it starts to implement it there will be social unrest which would have a negative impact on the Turkish position on Cyprus.

Economic crisis brings an expensive price for the `TRNC/

The `TRNC/, not recognized by the world and under imposed embargoes, has endured tough times since the beginning of the 1990's as a result of the economic crisis, which has increased due to the crisis on foreign currency and the banking system.

Especially the currency crisis, which exploded in Turkey in February and resulted in the TL losing over 75 percent of its value against foreign currencies, brought an expensive bill to the `TRNC/. The economic crisis, which has increased slowly in the last ten years, saw the biggest damage because of the banking crisis, which resulted in the failure of seven private banks.

While the banking crisis, which affected half of the population directly and the rest indirectly, opened irreparable damage on society, the currency crisis increased economic problems.

It is difficult to gain the exact data regarding closed offices and unemployment figures showing the real dimension of the economic crisis, which has remained for the last two years.

Shaking figures

The number of appeals for court-bailiffs in the first six months of 2001 in the `TRNC/ is 4,934. This figure was recorded as 4,274 in the same period of the previous year.

According to the findings of the Social Security, which is another important indicator, 1,150 applied for unemployment benefits in the first four months of this year. The total figure from the previous year was 2,969.

Job applications increase; search for employees decrease

According to statistics from the `Department of Labour/, 1,451 applications were made in April for jobs, which shows a 70 percent increase from last year's figures.

The number of unregistered workers by March was 3,151, while the number of unregistered employers is 11.

Social security institutions lost income

Huseyin Demirsu, the head of the Pension Fund, said that the number of people who had withdrawn their savings as a result of unemployment due to the banking crisis increased in 2000.

Some 25,000 employees, who don't have the right of retirement, invested in the Pension Fund.

Some 2,000 of these are employed by the state, while the rest are working for State Enterprises, municipalities and the private sector. Demirsu, head of the Pension Fund, said that the money collected can be taken from the fund for six months because of unemployment and such reasons. The total payments within this framework amounted to around TL 15 trillion.

TL 2 trillion monthly deficiency

Sukru Kaptan, head of the `Social Insurance Department/, stated that the number of active insured employees was between 32,000 and 35,000. While the approximate monthly income of the Social Insurance Department is TL 2.3 trillion, the department had an income of TL 1. 9 trillion the previous year.

Stating that the monthly expenditure of the department is around TL 4.4 trillion, Kaptan said that the TL 2 trillion deficiency is being met by the state.

`Labour Department/ Chairman Mehmet Metcooglu, drew attention to the fact that the number of people seeking jobs had increased recently.

The rate of increase in job seeking was 70 percent, Metcooglu said. The closure of offices has increased as well.

The chairman of the department said that the laws protect the employees. The number of unregistered workers is 3,151, Metcooglu said.

Shopkeepers and small businesses are the part of society that has seen the most damaged because of the economic crisis. Most of the shopkeepers in the `TRNC/ had to close their businesses as a result of the economic crisis�.

[06] Turkey to seek extra IMF money

The request is for 2002 but hasn/t yet been forwarded to the IMF, a report by the Dow Jones Istanbul office said, without naming its sources.

It said Turkish officials have yet to decide on a final figure for the additional funding request, but sources estimated it between $10 billion to $15 billion.

Reciting analysts Dow Jones said Turkey was likely to call for the US government/s help to convince the IMF of the need for extra funding.

Analysts have been warning that next year will be more difficult for the Turkish economy, which is presently going through a sharp contraction as the government is unable to loosen its tight fiscal policy because of the state/s massive financing requirements.

Thousands of businesses have been closed since the first financial crisis in November last year, while the number of layoffs is estimated at above a million, the leader of Turkey/s largest labour union said yesterday. Business and labour circles have been pressuring the government to take measures to ease the woes of the manufacturing sector.

A slowing economy is surely expected to hit tax revenues next year, while the IMF assistance scheduled to be disbursed under the standby deal is insignificant, seen at some $1.1 billion at the current rates.

Meanwhile, international investors are shying away from Turkey along other emerging markets amid a lack of confidence due to repetitive crisis and in the face of a deteriorating global outlook. All this raises concerns over prospects for refinancing Turkey/s massive debt stock and meeting its budgetary needs.

`It's not possible to quickly reverse the current situation/, said yesterday Ercan Kumcu, columnist and a former central banker in daily HURRIYET. `Therefore we have to accept whatever happens in the next four to five months. More worrisome is the shape of policies that will be implemented in 2002.

Turkey muddled through this year on the back of a $14 billion funding from the International Monetary Fund and the World Bank. Considering the risk that international markets will not welcome Turkey in the near future, the funds Turkey will need next year will be at least equal to this year/s funding and will much likely reach $20 billion. Where are we going to get this money from?/ Kumcu demanded.�

[07] Denktas` advisor says that no step on the Cyprus problem would be right before the beginning of Turkey`s EU accession talks

In its main article, under the title �Cyprus, the EU and the bargaining�, the paper refers to an interview of Mr Olgun with the illegal �Bayrak� television. Mr Denktas` advisor noted that the Cyprus problem is used by Turkey as a �trump-card� for her EU accession course.

Commenting on the issue, �Yeniduzen� writes, among other things, the following: �...However, this trump-card was turned into anything but an advantage and Turkey came to a point of conflict not only with the EU, but also with America, the UN and the world public opinion. The political elite (of Turkey) became a hostage of something it considered as a trump- card!�.

[08] Statements by Ismail Cem in Belgium

Cem said that the issue of the European Security and Defence Identity (ESDI) formula, which was ``independent`` from NATO in regard to command but wanted to make use of all NATO infrastructure, had been discussed during his meeting with Louis Michel, the foreign minister of EU Term President Belgium.

``We have good intention regarding the ESDI issue. We are legally one hundred percent right. We want to join the ESDI but we don`t allow ourselves to be put into the position of a naive,`` he said.

Recalling that the issue had also been discussed at his meeting with British Foreign Secretary Jack Straw, Cem said that Turkey wanted harmony and expended efforts for a compromise.

Noting he had conveyed Turkey`s opinions about Cyprus during his meeting with Michel, Cem said that he had told Michel that Turkey felt uneasiness about approaches of particularly western press which showed Rauf Denktas as intransigent.

Stressing that the EU should not consider the Cyprus issue superficially, Cem said resumption of Cyprus talks without new factors and a new atmosphere would bring more damage than benefit.

Cem said that U.N. Secretary-General`s Special Envoy to Cyprus Alvaro de Soto`s announcing the date of a meeting before getting the approval of Denktas and putting forward a new factor contradicted the mission of good offices.

Cem said that Denktas had proposed to have a tete-a-tete meeting with President Glafcos Clerides, and that he had brought the issue to the agenda of the luncheon with the EU foreign ministers.

Foreign Minister Cem alleged that Cyprus/ EU membership would not bring any benefit to anybody, but this situation would damage the stability in Eastern Mediterranean and the region.

Alleging that Cyprus/ EU membership would not be beneficial to anybody without a common solution, Cem said that nobody should doubt that Turkey would show the necessary reaction to such a development.

Cem said that they had discussed cooperation in the Balkans during his meeting with his Bulgarian counterpart Solomon Possy. Meanwhile, Belgian Foreign Minister Louis Michel said that they had not discussed Turkey at the EU foreign ministers meeting early on Sunday as there had been no further development in relations with Ankara.

Michel said that the issue of Turkey would be taken up at the EU General Affairs Council meeting in Luxembourg on October 8.

[09] Turkish officials in the occupied areas

KIBRIS (10/9/01) reports that the Turkish Minister of Tourism Mustafa Tasar is arriving today at the occupied areas with a 60-member delegation, as a guest of the so-called Tourism and Environment Ministry. The Turkish delegation is consisting of representatives of Turkey's Travel Agencies Union (TTAU) and Turkish media.

The Turkish Minister, during his two-day visit will hold contacts with the Turkish Cypriot leader Rauf Denktas, the so-called Prime Minister Dervis Eroglu and "officials" of the occupation regime and the army.

[10] KTAMS called on Denktas to attend the negotiations in New York

In his written statement, inter alia, Mr Kurtel writes: "Denktas, who did not accept the invitation of the UN to go to New York with the excuse that no common ground was found, will be shown as the intransigent side to the world; and this is not for the interest of neither the Turkish Cypriots nor Turkey."

Finally, Kurtel stressed that there is no meaning in avoiding the negotiation table, because without negotiations it is not possible to have any results.

[B] COMMENTS AND EDITORIALS

[11] �The British are selling the Greek Cypriot land in the north!�

�Perhaps we the Cypriots cannot do it, but the foreigners can. They can do in our country what we cannot. They can earn here the money we cannot. We go to the Englishmen's country in order to earn our living whereas the Englishmen hasten to come to our country for this money. What a contradiction! isn't it?

Here is a company: `Levantine Property Company Ltd`. It was registered in our country on 21 August 2000. That is, it was registered last year. Its capital is 100 billion (Turkish) lira. All of its shareholders are Englishmen. What does this company do here? It deals with estate businesses. They have built 17 villas in Templos village in order to sell or hire them to tourists. ...The company both buys and sells land and builds houses.

We have known this British company first from a sign saying `building - plots for sale` which has been placed in a burned area in Myrtou village. As far as we are concerned, the fact that this sign was placed there right after the fire is meaningful and doubtful. As if someone burned the forest on purpose and put the building - plots on sale. We searched the event a little bit more. And this time other things too came to the surface.

Meanwhile, the British company made a statement to our paper. As it will be seen from the statement, the Englishmen bought this land in Myrtou on 29 May 2001. The fire broke out exactly four days after the selling transaction, on 2 June 2001. In the police report, it was mentioned that the fire started as a result of a cigarette thrown out from a car. All these do not seem very convincing and coincidental to us.

However, in this incident there are other much more serious elements which must be discussed: The building - plots which the Englishmen buy and sell belong to the Greek Cypriots. After 1974 this land was given to someone who paid its price. And this, whoever he is, sold it to the Englishmen. Now the Englishmen are trying to sell it to someone else. What intrigues are happening! Aren't they?

The British company says that this person bought the land on 10 March 1991. Until that date we do not know whether the land belonged to someone.

The picture, in a few words, is the following: The Englishmen are selling the Greek Cypriot land in Northern Cyprus! ... That is, the land, the owners of which are in Southern Cyprus. ...�.

[12] Cengiz Candar criticizes Denktas and Turkey for their stance on Cyprus

�Cyprus is a heavy barrier placed on Turkey/s EU course and it is very difficult to remove it� Candar stresses. He also criticizes Denktas/ stance and his refusal to accept the UN Secretary-General/s invitation to go to New York for talks and says that the excuse given by Denktas for rejecting the invitation is �simple� and nobody on the international arena will �believe� it.

He notes that until now Denktas never demonstrated a sincere willingness for a settlement of the Cyprus problem and the international community is aware of this.

He concludes by warning that with this wrong policy both the Turkish Cypriots and Turkey/s �European prospects� are being lost.

KV/SK

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