Athens News Agency: Daily News Bulletin in English, 02-01-15

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

CONTENTS

[01] Ecumenical Patriarch Vartholomeos concludes visit to Iran, stresses importance of dialogue between Islam and Christianity

[02] PM to brief President on US visit - Itinerary for the week

[03] Greek FM speaks of Greece's participation in battle against terrorism

[04] Simitis receives Archbishop of America Demetrios

[05] Gov't on latest Cyprus issue developments

[06] 'Terrorist list' affair sparks firestorm of criticism from gov't, opposition

[07] Poll: Greeks see financial woes, high joblessness in 2002

[08] Mayors of eurozone capitals meet in Paris

[09] Spanish FM to visit Athens next week

[10] KYSEA to meet Tuesday to select new Army and Air force chiefs

[11] ND collecting signatures for probe into illegal naturalizations

[12] ND leader accuses government of lacking coordination plan

[13] Flurry of meetings in bid to save National, Alpha Bank merger

[14] European Commission to ratify 2nd annual EU account

[15] Olympic Airways claims 62 pct domestic market share in 2001

[16] PM to launch new National Bank of Greece premises Jan 21

[17] Players abroad account for 22 pct of Athens stock holdings

[18] Greek stocks drop 1.97 percent on Monday

[19] Cooperation memorandum between ATHOC, Aegean ministry

[20] Minister announces doubling of athletes' Olympiad subsidy

[21] Annan envisages there will be about ten rounds of negotiations on Cyprus question

[22] President has preparatory meeting with top UN envoy

[23] Government briefs ambassadors on steps to combat money-laundering

[24] Defense Minister to visit Athens, China

[01] Ecumenical Patriarch Vartholomeos concludes visit to Iran, stresses importance of dialogue between Islam and Christianity

TEHRAN, 15/01/2002 (ANA - M. Papoutsaki)

The Patriarch was unable to meet with the spiritual leader of the Islamic revolution in the country, Ayatollah Ali Hoseini Khamenei due to the fact that he had to return to Istanbul.

However, he met with the Archbishop of the Armenians.

In a press conference he gave prior to his departure, the Ecumenical Patriarch addressed a message to the Iranian people, stressing the importance of the dialogue between Islam and Christianity with the purpose of consolidating peace in the modern world.

Vartholomeos said that certain people claim that in the future there would be a clash between civilizations and in particular between Islam and Christianity. This, he said, should be avoided, as it would be catastrophic for a great part of humanity, which would include Christians and Muslims.

Vartholomeos said that despite differences between Christians and Muslims concerning faith, "we have many common points and mutual interest to live in peace."

Vartholomeos� visit to Iran is the first-ever by an Ecumenical Patriarch - the �Primus inter pares� among Orthodox Patriarchs representing approximately 250 million Eastern Orthodox faithful around the world � and comes amidst a vigorous Patriarchate initiative to jumpstart an international dialogue among the world�s major monotheistic religions.

Iran is the second predominately Muslim nation, following Bahrain, to issue an official invitation to the Ecumenical Patriarch

[02] PM to brief President on US visit - Itinerary for the week

Athens, 15/01/2002 (ANA)

Earlier, the premier will chair a meeting of the Government Council for Foreign Affairs and Defense (KYSEA) to select the Army and Air force General Staffs chiefs.

After his meeting with the President, Simitis will chair a meeting on the 2004 budget, to be attended by national economy and finance minister Nikos Christodoulakis and deputy minister Christos Pachtas, culture minister Evangelos Venizelos and deputy sports minister Nasos Alevras, environment, town planning and public works minister Vasso Papandreou, and press and mass media deputy minister Telemachos Chytiris.

Shortly after noon, the premier will meet with ruling PASOK party secretary Costas Laliotis, while in the evening he will chair a meeting of the party's Executive Bureau to prepare for the upcoming PASOK Central Committee meeting.

On Wednesday morning the premier will attend an off-the-agenda debate in parliament on the Athens 2004 Olympic Games, while in the evening he will meet with national economy and finance minister Nikos Christodoulakis.

On Thursday the premier will chair a Cabinet meeting on foreign policy, to be address by foreign minister George Papandreou.

On Friday at noon, the PASOK Central Committee will begin a two-day meeting to discuss the municipal elections slated for October this year. The session will end at noon on Saturday.

FM briefs President Stephanopoulos on PM's U.S. visit: Foreign Minister George Papandreou visited President Kostis Stephanopoulos on Monday and briefed him on the results of Prime Minister Costas Simitis' visit to the United States last week, as well as on latest developments on the Cyprus issue and in the Balkans.

Papandreou made no statements after the 40-minute meeting, but briefly attended the reception given on Monday, as is the case every year, by President Stephanopoulos in honor of deans, academics and the judiciary.

Combatting terrorism high on gov't list of priorities: The issue of combatting terrorism is "high on the government's list of priorities", foreign ministry spokesman Panos Beglitis reiterated on Monday.

Beglitis declined any further comment, responding to press questions during a regular briefing, noting that the "operational aspect" of the issue was not within the jurisdiction of the foreign ministry.

Interministerial committee discusses PM's U.S. visit: The Interministerial Committee convened on Monday to examine Prime Minister Costas Simitis' visit to the United States last week and his talks with U.S. President George W. Bush and other U.S. government officials, as well as security measures for the 2004 Athens Olympic Games.

Simitis is due to meet the economy, public works and culture ministers on Tuesday on finalizing Olympic budget amounts, while an off-the-agenda debate on the Olympiad's preparation will be held in Parliament at party leader level on Wednesday.

Addressing the Committee, Simitis referred to his visit to the U.S. and conveyed President Bush's interest in the Olympic Games' preparation and shielding against the risks of terrorism.

At the same time, his interlocutors stressed their own effort to achieve the excellent and safe holding of the Winter Olympic Games in Salt Lake City, as well as the possibility to be provided for Greek experts and security officers to watch them and obtain additional know-how.

Simitis also said he invited President Bush to come to the Athens Olympiad and inaugurate the baseball games due to his fondness of the sport.

The Committee also discussed the upcoming visit by an international Olympic Committee (IOC) delegation to request information on the progress of certain projects.

[03] Greek FM speaks of Greece's participation in battle against terrorism

WASHINGTON, 15/01/2002 (ANA - T. Ellis)

The interview was given prior to the Greek Prime Minister's departure from the United States on Friday.

Papandreou described the meetings with the U.S. political leadership as very positive and bilateral relations as very good.

He observed that Greece and the U.S. are cooperating closely in the battle against terrorism and that Greece, as a member of the European Union and of the Eurozone, and the country which will assume the EU rotating presidency in the fist half of 2003, wishes for stability and democracy in southeastern Europe and the Mediterranean, and is working towards the further stabilization of the broader region.

Papandreou noted that premier Simitis had told U.S. President George Bush that terrorist centers wherever they are should be eradicated, as terrorism will reappear elsewhere.

On the activity of the "17 November" group, Papandreou said that Greece was cooperating with the agencies of the U.S, (FBI, CIA) of Britain (Scotland Yard) and of other countries so that this small group be eradicated and led to justice.

[04] Simitis receives Archbishop of America Demetrios

Athens, 15/01/2002 (ANA)

Greeting Demetrios, the Greek prime minister referred to his official visit to the United States last week, thanking the ecclesiastical leader for the preparations he made in relation to the visit.

"We believe a particularly friendly climate was evident ... from these upgraded relations Greece has, it becomes apparent that contacts aren't conducted on a spur of the moment, but are held on a permanent basis, especially that of the European Union, which is decisive for our course," Simitis said.

Demetrios, among others, escorted Simitis on his tour of "Ground Zero" in New York City last week, the spot where the World Trade Center towers stood prior to the dastardly Sept. 11 attack.

Demetrios had met earlier with Parliament President Apostolos Kaklamanis, who reiterated what he called the government's the political world's determination to stamp out terrorism.

Additionally, the Greek parliament president on Monday referred to the "tremendous efforts" undertaken in Greece by local authorities in cooperation with US and British services to find the terrorists.

Demetrios is also scheduled to meet with the US embassy's charges d' affaires Mike Cleverley.

Archbishop of America meets FM, opposition leader: Foreign Minister George Papandreou met with visiting Arch-bishop of America Dimitrios on Monday and, speaking to re-porters later, stressed his special presence in the spiritual world and the considerable support provided by the Church to the families of victims of the September 11 terrorist attacks.

Replying to questioners after the meeting and before the luncheon given for him by the foreign ministry, Dimitrios referred to the issue of terrorism, saying that the Church is in constant contact with the political world and the media in the United States.

Dimitrios said the fact that U.S. President George W. Bush than-ked the Greek prime minister publicly for Greece's solidarity for the New York tragedy was a considerable one.

On his part, Papandreou said the effort by Greek authorities to tackle terrorism has received a positive assessment in the U.S. and expressed confidence that the effort being made will produce results.

Archbishop Dimitrios also met main opposition New Democracy party leader Costas Karamanlis.

"It is a common conviction that terrorism should be erased from the human vocabulary. We must combat this scourge, which necessitates the coordination of action and determination," Karamanlis said later, adding that terrorism certainly cannot be combated with words but with specific acts and actions.

Archbishop Dimitrios reminded of the September 11 terrorist attacks and how the two men had been trapped, Karamanlis in Boston and the archbishop in the outskirts of New York.

Coalition leader meets Archbishop of America Dimitrios: Coalition of the Left and Progress (Synaspismos) leader Nikos Constantopoulos met on Monday evening with visiting Archbishop of America Dimitrios and discussed issues concerning the Greek-American community and Hellenism in general.

Constantopoulos wished of the Archbishop that he remain creative in his word and promote the interests of Hellenism throughout the world.

The Coalition leader said Archbishop Dimitrios was "a spiritual leader who has knowledge of the serious problems facing humanity and he wants through his role to also strengthen the presence of the church but also the presence of Hellenism."

[05] Gov't on latest Cyprus issue developments

Athens, 15/01/2002 (ANA)

A government spokesman added that the Cyprus problem was also discussed during Simitis' meetings with UN Secretary General Kofi Annan and the US secretaries of state and defense, Colin Powell and Donald Rumsfeld, respectively, as well as in his teleconference with US Vice-President Dick Cheney.

Spokesman Christos Protopapas noted that Greek-American talks "in no way was Cyprus EU accession course associated with efforts for a Cyprus solution."

Meanwhile, a foreign ministry spokesman on Monday said an exchange of views between Athens and Nicosia over the Clerides-Denktash talks on the island republic is on-going, adding that the humanitarian issues of the Greek Cypriots enclaved in the Turkish-occupied Karpass peninsula as well as the missing persons issue will be discussed in those talks.

[06] 'Terrorist list' affair sparks firestorm of criticism from gov't, opposition

Athens, 15/01/2002 (ANA)

Ex-intelligence cadre Nikos Gryllakis was thrust onto the national limelight for a second time in as many months on Sunday when the Athens paper "sto Karfi" ran an extensive front-page article reproducing what it claims is a lengthy late 1980s intelligence report listing, among others, 124 "suspect individuals" connected with ruling PASOK and its anti-junta predecessor, PAK.

The report claims that all the individuals named on the list allegedly trained at clandestine military camps throughout the Middle East and North Africa or were active in various covert operations.

"I never composed such a list, and all that was published is false," the retired general and one-time associate of former prime minister Constantine Mitsotakis said on Monday.

Gryllakis caused a mini-furor last month when he claimed in a television interview that US intelligence circles wanted, be-ginning in 1988, to help ND win the 1990 elections and that the Mitsotakis government (1990-93) was not undermined by then foreign minister Antonis Samaras in 1993 but by subsequent ND leader Miltiades Evert (1993-96).

His December statements - prior to the expected publication of his memoirs -- caused several high-ranking PASOK cadres, the government spokesman as well as PASOK secretary Costas Laliotis to point an accusing finger at ND's past, whereas Sun-day's newspaper article, on the other hand, generated scorn and anger from those same quarters. His former boss, Mitsotakis, had also sternly denied Gryllakis' accusations last month.

On Monday, nevertheless, Gryllakis warned that he'll seek legal protection against the "slanderous publication", as he called the "sto Karfi" front-page story.

Gov't reaction: The government on Sunday flatly dismissed the same-day front-page publication of a purported Greek intelligence report apparently listing various terrorists, including a handful of ruling PASOK party cadres.

The high-profile article included the names of individuals the report claims are tied to the notorious "November 17" urban terrorist group.

"We view these scenarios as both ridiculous and base," government spokesman Christos Protopapas said in a statement.

"We cannot waste time over this. Before us lie the country's problems. Our attention is exclusively focused on these," he added.

Prime Minister Costas Simitis, who returned to Athens on Saturday from an official trip to the United States, told reporters during the flight that in his six years as premier he has never encountered any such a list of terrorist suspects.

Reporters asked Simitis to comment on the story following leaks that it would be published the following day.

In Monday's reactions, Protopapas charged that the purpose behind the "terrorist list" is to implicate PASOK officials with terrorism.

Conversely, he said the story's publication is a positive development because "this squalid practice is condemned by the Greek people".

Deputy press minister Telemachos Chytiris questioned whether it was possible for those individuals that fought against the 1967-74 junta to be linked, one way or another, with terrorism.

New Democracy: On its part, main opposition New Democracy (ND) brushed off the attention-grabbing Sunday article as no more than "spy fiction".

"John Le Carre-type scenarios -- as New Democracy called them when they were being adopted by others, are not worthy of serious consideration," ND spokesman Theodoros Roussopoulos said in a statement.

"We are glad that even those who until recently accepted the assertions of diseased minds today reject them," Roussopoulos added.

He also charged the government with trying to divert public attention from the country's real problems.

Meanwhile, sources close to Constantine Mitsotakis emphasized that the former ND premier "neither knew of nor was he presented" with the findings of the alleged intelligence report.

Several other high-ranking main opposition New Democracy deputies on Monday also expressed their displeasure and criticism.

Mitsotakis' daughter and one-time ND minister Dora Bakoyianni, whose husband Pavlos was gunned down by "November 17" in 1989, emphasized that the nagging issue of terrorism is a serious affair for "someone to believe that they can disorientate or negate whatever serious efforts to combat it."

MP Mihalis Liapis, the first cousin of ND leader Costas Karamanlis, stressed that "scenarios, frame-ups and whispers have no value; arrests are of value and the people want action and not words".

Finally, ND Parliament spokesman Prokopis Pavlopoulos echoed those statements, adding that the issue of combating terrorism isn't achieved through "whispers, cries and leaks".

Synaspismos: "The lack of effectiveness against terrorism, which exists in other countries as well, is being systematically used to frame Greece; to restrict democratic guarantees as well as in an orchestrated effort to import a political crisis," a written announcement by the Coalition of the Left party (Synaspismos) read on Monday.

"Democracy and the country's future are also being undermined by the selective sifting through the past and 'spy-mongering', all within the framework of a two-party antagonism between PASOK and New Democracy cadres," the small Synaspismos party adds.

Finally, Democratic Social Movement (DHKKI) leader Dimitris Tsovolas termed the content of published report as nothing more than sordidness."

[07] Poll: Greeks see financial woes, high joblessness in 2002

Athens, 15/01/2002 (ANA)

Alone in their gloom last year, Greeks were joined for 2002 in a down-in-the-dumps turn of mind by the French, Portuguese and Irish in a survey conducted in 70 countries on the outlook for the new year.

Of Greeks polled, 46 percent expected financial problems this year; 36 percent foresaw the same level of difficulty as in 2001; and 13 percent predicted prosperity.

On unemployment, Greeks showed the highest rate of anxiety in the European Union with 32 percent of respondents expecting joblessness to rise sharply in 2002.

Greeks also were the most edgy in the EU about job security with 41 percent of respondents fearing they might lose their jobs this year.

The telephone survey was conducted in Greece by ICAP, a member of the Gallup International Association.

[08] Mayors of eurozone capitals meet in Paris

PARIS, 15/01/2002 (ANA - O. Tsipira)

Athens was applauded for its mayor's gesture to offer delegates an elegant case together with a replica of Europe's most ancient coin, an Athenian four-drachma coin dating back to the 5th century B.C.

The mayors discussed the immediate repercussions of the euro for day-to-day life, exchanged views and examined possibilities for direct economic relations and transactions between European capitals.

Another issue discussed was the new role of cities in Europe in the framework of globalization.

"We are referring to cities because 75 percent of the European Union's population lives in cities. Taking for granted the European perspective, which leads us in the long run to the weakening of the national state, it is apparent how more important the role of cities will be," Avramopoulos told reporters.

[09] Spanish FM to visit Athens next week

Athens, 15/01/2002 (ANA)

Pique, who arrives on January 23, will hold talks and exchange views with his Greek counterpart George Papandreou focusing on the developments in the EU, and the current Spanish EU presidency's priorities

Papandreou is expected to bring up the issue of completing the negotiations on the issue of a common European defense and security policy, which is slated to be discussed on January 28 at the first Council of EU Foreign Ministers meeting under the new Spanish EU presidency.

[10] KYSEA to meet Tuesday to select new Army and Air force chiefs

Athens, 15/01/2002 (ANA)

Ahead of the KYSEA meeting, Simitis on Monday held a preparatory consultation with national defense minister Yannos Papantoniou.

Speaking to reporters after the meeting, Papantoniou said he and the premier also discussed the results of Simitis' visit to the US last week.

He said it was ascertained that during the US visit "very significant steps" were made for "effective advancement" of Greece's national issues in 2002 and the following years.

[11] ND collecting signatures for probe into illegal naturalizations

Athens, 15/01/2002 (ANA)

The sources told ANA that the motion could possibly be tabled in the 300-member House as early as Monday afternoon if the required minimum of 60 signatures were collected.

The ND move comes on the heels of a report released by prosecutor Isidoros Dogiakos last month pointing to "responsibilities on the commission of offences" by the interior, foreign and public order ministries between 1996-2001, claiming they failed to "take measures and legislative action" to prevent uncontrolled naturalization of foreign nationals by the Greek state.

The issue has sparked claims from opposition parties and the media that illegal naturalizations affected the results of the last general elections in April 2000, by virtue of alleged votes cast by illegally naturalized individuals.

ND leader Costas Karamanlis has stated that ND was not disputing the election result, but was seeking to "avoid a repetition of the phenomena".

The sources cited top ND officials as saying that pressure would be exerted to "clear up" the electoral lists (lists of registered voters).

Among the government members to come under fire is Foreign Minister George Papandreou, the sources said, as ND has in the past charged that the ministry concealed internal reports on the matter.

Gov't reaction: In a later response, government spokesman Christos Protopapas charged that New Democracy has failed to realize that it lost the April 2000 election and is "seeking an alibi either for its leadership or its fanatic supporters".

"This is the only thing that this motion for a fact-finding committee serves," Protopapas said.

[12] ND leader accuses government of lacking coordination plan

Athens, 15/01/2002 (ANA)

Karamanlis said Prime Minister Costas Simitis is provoking daily with declarations of discord and intolerance, adding that "we shall not follow him and he is tragically alone on this course of political decadence."

He further said Simitis is grossly distorting the past and is dangerous for the country because he is attempting to cause dissension among the Greeks.

Karamanlis went on to say that the prime minister and his government are following this policy to cover up their responsibilities for the situation currently prevailing with the increase in unemployment, the downgrading of the quality of life, the widening of inequalities, the big crime at the stock exchange, the illegal granting of Greek nationality and the state's inability to respond in an elementary manner during emergencies, as was the case with unprecedented bad weather several days ago.

[13] Flurry of meetings in bid to save National, Alpha Bank merger

Athens, 15/01/2002 (ANA)

The meetings were expected to continue into Tuesday with Alpha's management likely to make statements later that day, the sources said.

Causing acrimony was the allocation of authority among senior executives and middle management of the two banks in the new unit to be formed from the merger, they said.

Alpha was due to hold a board meeting on Tuesday to try to take a final decision on whether or not the merger would go ahead, union sources at the bank said.

In a statement on Monday, Alpha's staff association charged that some managers at National were struggling to retain "cozy" positions in a move detrimental to efficiency.

On Sunday, workers at National said they may launch strike action if the managements of National and Alpha Bank backtracked on any pledges made in connection with the merger planned for this year.

National's staff association said in a statement that concern had arisen over the attitude of certain senior executives at Alpha towards operation of the new unit.

Both banks are blue chips on the Athens Stock Exchange.

[14] European Commission to ratify 2nd annual EU account

BRUSSELS, 15/01/2002 (ANA - M. Spinthourakis)

The "cons" related to Greece are the country's performances on unemployment and employment, the high public debt and technological lagging.

The relevant report will be presented at the Barcelona summit in March at the order of the Lisbon summit in the spring of 2000 and during which the "15" decided to hold a summit every spring to deal with the issues of growth and employment in the EU.

The general conclusion reached, according to reports, by the European Commission's services in the report on 2002 is that some steps of progress have been achieved by the "15", but considerable delays exist, related primarily to structural changes.

[15] Olympic Airways claims 62 pct domestic market share in 2001

Athens, 15/01/2002 (ANA)

The figure does not include flights of Olympic Aviation, a subsidiary, management said in a statement.

Capacity in 2001 was 57 percent against 55 percent a year earlier, the statement said.

Average revenue per passenger rose by 22 percent in 2001 against the previous year, with no increase in fares, it added.

[16] PM to launch new National Bank of Greece premises Jan 21

Athens, 15/01/2002 (ANA)

The newly constructed five-story building, located next to the bank's headquarters, will house key administrative divisions.

[17] Players abroad account for 22 pct of Athens stock holdings

Athens, 15/01/2002 (ANA)

Domestic investors hold 76.3 percent of the Athens bourse's capitalization, or 74.693 billion euros, of which 30.9 percent is taken by retail investors, 27.8 percent by legal entities, and 17 percent by institutionals, the authorities said in a statement.

Investors abroad hold 32.09 percent of stocks worth 16.653 billion euros on the FTSE-ASE/20 index for high capitalization stocks, with domestic players holding 67.88 percent, or 35.222 billion euros, the statement said.

The data for January 14 was compiled by the Central Share Depository.

[18] Greek stocks drop 1.97 percent on Monday

Athens, 15/01/2002 (ANA)

The general index ended 1.97 percent down at 2,523.85 points, with turnover a disappointing Dr 29.9 billion, or 87.9 million euros. All sector indices ended lower, with the Retail, Investment and Bank sectors recording the biggest percentage losses (3.26 percent, 3.14 percent and 2.88 percent, respectively).

The FTSE/ASE 20 index for blue chip and heavy traded stocks dropped 2.28 percent, the FTSE/ASE MID 40 index ended 2.41 percent lower and the FTSE/ASE SmallCap 80 index ended 2.41 percent lower.

Broadly, decliners led advancers by 303 to 25 with another 19 issues unchanged.

The most heavily traded shares were Alpha Bank, National Bank of Greece, Hellenic Telecommunications Organization, Sexform and Panafon.

Bond Market Close: Prices mixed in slim trade: Bond prices in the domestic secondary market on Monday finished mixed in light trade focusing on ten-year paper.

The Greek benchmark 10-year bond showed a yield of 5.15 percent, and the spread over German bunds was 36 basis points.

Turnover through the central bank's electronic system totalled 1.3 billion euros.

Buy orders accounted for around half of turnover.

Derivatives Market Close: Equity futures slump, tracking indices: Equity futures on the Athens Derivatives Exchange on Monday declined, tracking their underlying indices on the Athens bourse, traders said.

Changing hands were 7,774 contracts on turnover of 48.3 million euros.

The underlying FTSE/ASE-20 index for heavily traded stocks and blue chips shed 2.28 percent; and the underlying FTSE/ASE-40 for medium capitalization stocks lost 2.41 percent.

[19] Cooperation memorandum between ATHOC, Aegean ministry

Athens, 15/01/2002 (ANA)

[20] Minister announces doubling of athletes' Olympiad subsidy

Athens, 15/01/2002 (ANA)

"Subsidization for the Olympiad's preparation will reach 4.5 to 5 billion drachmas this year, from 2.6 billion drachmas in 2001," Venizelos said.

Venizelos said everything possible will be done to resolve any problem facing athletes, adding that the Interministerial Commit-tee has decided to create work groups to facilitate certain categories of athletes, such as soldiers or students.

[21] Annan envisages there will be about ten rounds of negotiations on Cyprus question

NICOSIA, 15/01/2002 (CNA/ANA)

Annan believes that efforts relating to the mission of his good offices in Cyprus would continue at least throughout 2002 and considers that de Soto will require the assistance of experts (one legal and three others) on substantive and technical issues for an aggregate period of 25 work-months.

A report by the Secretary-General relating to the proposed program budget for the biennium 2002-2003 said that "it is envisaged that there will be more intensive negotiations involving more and longer sessions. About 10 rounds of negotiations (one in New York, one in Geneva and eight in Cyprus) are envisaged."

The report comes after Cyprus President Glafcos Clerides and Turkish Cypriot leader Rauf Denktash announced in early December that they will start direct talks on January 16 with a view to find a comprehensive settlement. Alvaro de Soto arrived here Sunday for the talks.

"In order for the Special Adviser to adequately facilitate the intensive phase of the negotiations between the two Cypriot parties, it is anticipated that services of experts on substantive and technical issues will be required," the report said, and provides for the engagement of one legal adviser and three experts for an aggregate period of 25 work-months.

Annan's report refers to his letter to the President of the Security Council in December 2001 in which the Secretary-General drew the attention of the Council to the fact that "efforts relating to the mission of his good offices in Cyprus would continue at least throughout 2002."

The report is submitted in the context of actions taken by the Security Council in 2001 regarding good offices, preventive diplomacy and post conflict peace building missions, on the basis of requests from governments and/or recommendations of the Secretary-General.

The UN Advisory Committee on Administrative and Budgetary Questions recommends that an amount of 1,413,400 dollars be charged against the provision for special political missions requested under section 3, Political Affairs, of the proposed program budget for 2002-2003 for the Special Adviser on Cyprus for the period from 1 January to 1 December 2002, the Committee's eighth report said.

[22] President has preparatory meeting with top UN envoy

NICOSIA, 15/01/2002 (CNA/ANA)

The Cypriot president will probably have another meeting with de Soto Tuesday, after the latter was due to hold talks with Turkish Cypriot leader Rauf Denktash on Monday afternoon.

In brief remarks to the press after the 50-mimute long meeting at the Presidential Palace, government spokesman Michalis Papapetrou said the president and de Soto talked about preparatory matters for Wednesday's talks.

He said no time for Wednesday's meeting has been fixed yet because the UN official will probably see the two sides again on Tuesday.

Alvaro de Soto refrained from making any statement to the press but said he would probably see Clerides again Tuesday and on Monday afternoon he would be meeting Denktash.

[23] Government briefs ambassadors on steps to combat money-laundering

NICOSIA, 15/01/2002 (CNA/ANA)

Speaking after the briefing, held at the Foreign Ministry, Attorney General Alecos Markides said its aim was to elaborate on measures taken by Cyprus concerning this issue and the modalities of implementing them, adding that the squad dealing with the combating of money laundering is now also working on combating the financing of terrorism.

The briefing was held at the Ministry of Foreign Affairs and was attended by Foreign Minister Ioannis Kasoulides, the Attorney General, Government Spokesman Michalis Papapetrou, head of the Unit for Combating Money Laundering Eva Papakyriakou and representative of the Central Bank of Cyprus Michalis Stylianou.

After the briefing, the British High Commissioner to Cyprus said "it was a very useful presentation for which we are very grateful."

[24] Defense Minister to visit Athens, China

NICOSIA, 15/01/2002 (CNA/ANA)

From Athens Hasikos will fly to China, via London, following a formal invitation by China's Minister of Defense Chi Haotian.

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