Athens News Agency: Daily News Bulletin in English, 02-09-04

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

CONTENTS

[01] Simitis unveils third and last package of tax reform plan

[02] Eyewitness testimonies shed new light on ''N17'' case

[03] Premier calls for initiative & reforms, on PASOK party anniversary

[04] Culture minister meets Athens mayoral candidate Bakoyianni

[05] Skandalidis announces change of Civil Defense leadership, following flooding

[06] ND MPs table Parliament question over voter lists

[07] Alternate FM meets with US Cyprus special coordinator

[08] Europarliament president distinguishes Cyprus problem's role in EU-Turkish

[09] EU ministers afloat? Greek presidency mulls first shipboard council

[10] Greek consumers massively participate in boycott day

[11] Civil servants warn of widespread strike actions over pay rises

[12] Gov�t defends price increases by public sector enterprises

[13] Main opposition leader meets GSEBE trade group

[14] World Bank VP briefed on Athens' Balkan Reconstruction Plan

[15] New Athens airport's eateries rated among world's best

[16] Greek stocks resist pressures, end slightly higher

[17] Migrant-laden boat sinks in SW Greece ;2 dead, others missing

[18] 'Woman in the Shadow and the Light' exhibition opens in Athens

[19] UN-led peace talks continue in Nicosia

[20] Vassiliou says Europe not ready to set dates for Turkey

[21] Turkish Cypriots to emigrate due to Turkey's plans

[22] Germany expects Cyprus to become full EU member soon

[01] Simitis unveils third and last package of tax reform plan

Athens, 04/09/2002 (ANA)

Speaking to reporters, after a cabinet meeting to discuss the tax reform plan, Mr. Simitis said that the reform was aiming mainly on reducing business costs and supporting Greek families' purchasing power "the right way to promote economic convergence with other European economies and to help the country's economic prospects."

The Greek premier noted that the government was following the road of tax reforms with consistency and perseverance "to maintain high growth rates and to deal with turbulences in the global economy."

Mr. Simitis reminded that a first phase of a tax reform plan referred to simplifying procedures for small- and medium-sized enterprises, the second phase referred to heritage taxes and the third was aiming to simplify and modernize the tax system to become more friendly to citizens.

The new package envisages raising the tax-free income for wage earners and pensioners to 10,000 euros, to 12,000 euros for families with two children and to 20,000 euros for families with three children or more.

Mr. Simitis said the tax reform would benefit wage earners and pensioners, low incomes, while it was also reducing obligatory taxation for all citizens and promoted tax justice.

The prime minister said that measures to reduce tax burdens on SMEs were taken because "small- and medium-sized enterprises were the backbone of our society and economy."

He stressed that the total cost of the tax reform plan would total 1.4 billion euros, around 1.0 percent of the country's gross domestic product.

Opposition criticizes gov't tax overhaul: The main opposition New Democracy party said on Tuesday that the third and final round of government tax measures announced earlier in the day represented minor changes, and not reform, as required.

''The impasse in which government policy finds itself means that the prime minister's announcements were restricted to minor tax relief that in no way changes the nature of the taxation system,'' ND's economic affairs spokesman, George Alogoskoufis, said in a statement.

''The tax system remains ineffectual and unfair. With no effective policy to restrain wasteful spending in the public sector, the tax revolution the country needs cannot be implemented,'' Alogoskoufis said.

In a separate statement, the leader of the Coalition of the Left and Progress, Nikos Constantopoulos, described the government's tax measures as ''paltry'' and ''piecemeal.''

''A timid increase in tax-exempt income is negated by abolition of key tax relief with a social angle. The country needs major reform that will make the system fairer and simpler, also drastically restricting rampant tax evasion and the black economy,'' Constantopoulos said.

''More socially vulnerable people in society are demanding this,'' he added.

Finally, the Communist Party of Greece (KKE) said that the new government measures brought no fundamental improvement to family income; and a higher tax-exempt ceiling was cancelled out by a wave of sharp consumer price hikes, which began in April.

[02] Eyewitness testimonies shed new light on ''N17'' case

Athens, 04/09/2002 (ANA)

Car mechanic Evangelos Nikolinakis in his testimony to the police authorities, as well as well as eyewitness Vincent Vincentzakis said that after the explosion, in addition to Savvas Xiros who got injured at the incident, they saw two more men that looked suspicious to them.

�At the sound of the explosion I ran out the (nearby) St. Spyridon Church to see what happened and I saw a man bleeding on the sidewalk. I walked back to the church and from there I saw a person in police uniform standing next to the injured man, strangely without a uniform hat. In about one minute I observed a tall man in suit, regular hair and wearing a medium beard walking toward the church gate; it seemed to me that the two men communicated with their eyes. The tall man was about 58 or 60 years old with a regular physic, while the one in the police uniform was medium height, bald and looked around 50 years old�, the eyewitness told police.

On a related note, a tenant at the building on Damareos Street in Pangrati, Athens, where �N17� kept an apartment as a �hideout�, told police that a few days before the Piraeus explosion she had seen Savvas Xiros exiting the main entrance of the building in the company of a tall blond man, around 40-45 years of age.

Curiously enough, the manager of the building on Patmos Street in Athens, where the ultra leftist group kept a second �hideout�, had also told police that one week prior to the Piraeus explosion she had heard a very loud noise and a flash coming from the direction of the terrorists� �hideout� and again neighbors had seen a blond man exiting her building immediately after that.

So far, 15 suspects indicted on charges related to the �N17� terrorist group are held in maximum-security cells at the Korydallos prison, Greece�s largest penitentiary, located in a working-class Piraeus suburb.

A stepped-up nation-wide manhunt for Dimitris Koufodinas, identified by police�s anti-terrorism squad as a top �N17� lieutenant and prolific assassin still continues.

Civil suit filed by family of victim in 'N17' case: Yet another family of a "November 17" victim filed a civil suit against the suspects in police custody on Tuesday, declaring their intention to special examining magistrate Leonidas Zervobeakas, an appeals court justice assigned to handle the 'N17' case.

They are the relatives of Sotiris Stamoulis, driver to senior police officer Pantelis Petrou, who was killed with Petrou by 'N17' in January 1980.

Earlier on, Zervobeakas examined former New Democracy MP Lefteris Papadimitriou regarding the attack on him by 'N17' in 1992. Papadimitriou said he had asked the magistrate for a face-to-face interrogation with Savvas Xiros and Vassilis Tzortzatos, who allegedly carried out the attempt against his life with Dimitris Koufodinas. He said he would also ask for a re-enactment of the crime and additional statements from eyewitnesses.

The former MP reiterated that he had given the magistrate a full description of the woman that accidentally or deliberately helped the terrorists shoot him by preventing his escape with her car.

Finally, he said he believed that five people had taken part in the operation against him.

Zervobeakas also received a visit from the lawyer representing 'N17' suspect Patroklos Tselentis on Tuesday, who said he would ask for access to two bank accounts belonging to his client in order to cover the financial needs of the family.

[03] Premier calls for initiative & reforms, on PASOK party anniversary

Athens, 04/09/2002 (ANA)

Prime Minister Costas Simitis speaking to his inner cabinet meeting said that founded by Andreas Papandreou, PASOK brought about political change in Greece, lent a new role to the country and for that matter the anniversary was a significant day, pointing to a need for initiative, reforms and struggle toward a prospect of peace and prosperity.

Furthermore, the prime minister in a message said that in the 21st century, to prevent evolving into a traditional and static political force, PASOK should daily confront the future providing positive responses to contemporary problems and challenges.

�Today, on our movement�s 28th anniversary, we are advancing steadily on that course, with a contemporary vision and perspective, renewing our commitments to the Greek people for progress, development and the creation of an open, modern and democratic society with cohesion, solidarity, justice and humanity�, the message said.

[04] Culture minister meets Athens mayoral candidate Bakoyianni

Athens, 04/09/2002 (ANA)

In statements after the meeting, Venizelos stressed that the central Athens municipality and other local authorities would have a key role in preparations for the Olympics.

''The way the city functions, the participation of the public, volunteerism, the climate and the atmosphere will all be very important, they will be an element giving added value to the Olympics,'' he said.

Bakoyianni pointed out that Athens, as host-city, would receive millions of visitors during the Games and be the center of attention worldwide for four billion people.

''Cooperation between the Athens municipality and the government must be continual. The problems in managing the city are great but, when they spotlights are turned off on the day after the Games, Athenian citizens must have reaped significant benefits from the whole Olympic Games process,'' she stressed.

She said this was the main goal of the ''Athens Tomorrow'' combination, which had presented specific proposals regarding sports, culture and overall management of the city in the meeting with Venizelos.

[05] Skandalidis announces change of Civil Defense leadership, following flooding

Athens, 04/09/2002 (ANA)

After a meeting of relevant ministers, Skandalidis appointed former police chief Yiannis Georgakopoulos to the vacant position.

Following the announcement of the change, Skandalidis said blamed the Civil Defense General Secretariat for lowering its guard at about 6 p.m. this evening, as the weather service did not predict heavy rains and extreme weather phenomena.

He also said that authorities will work through the night to confront the problems caused to citizens, by the storm and the subsequent flood.

[06] ND MPs table Parliament question over voter lists

Athens, 04/09/2002 (ANA)

�Most municipalities, especially the larger ones, requested information from the last general census (2001) in order to register and list citizens with their addresses; (they requested) from both the interior ministry and the National Statistical Service (ESYE), although no answer was ever given,� the tabled question states.

Municipal and prefectural elections are scheduled around the country in October.

The main opposition MPs also charged that more than 50 percent of municipalities listed their citizens in wrong election precincts due to the fact they used the address at the time citizens were first recorded on town registers.

Finally, in terms of individuals listed on two or more voting rolls that aren�t identified by the interior ministry, ND�s deputies warned that they would be able to vote in any municipality they want by signing a simple affidavit.

On Monday, following a meeting of a bipartisan committee, Interior Minister Costas Skandalidis said the final number of eligible voters stands at 9,856.453 � a number just less than the 11-million population Greece recorded during a 2001 census, but one that includes tens of thousands of eligible expatriate Greeks and their offspring.

A figure of 9.2 million of eligible voters was given for the previous voter lists.

Skandalidis also said there were 66,000 double entries, which have been detected and noted on voter rolls.

Municipalities, prefectures and first instance courts will begin receiving the updated voters� lists next Monday, whereas they will be displayed over the Internet beginning on Tuesday.

Voters will also be able to find out their specific voting precinct by dialing 1464 after Sept. 23.

[07] Alternate FM meets with US Cyprus special coordinator

Athens, 04/09/2002 (ANA)

Speaking to reporters after the meeting, the U.S. official said that the meeting was the most significant so far and pointed to the close cooperation between Washington and Athens, emphasizing that the solution of the Cyprus issue was now more urgent than ever before.

Never before now did we have such an opportunity for the solution of the Cyprus problem, Weston said.

The alternate foreign minister told reporters that this was the final phase of Cyprus course toward EU accession. �Nothing can stop the EU accession course of the Cyprus Republic, he said, adding that Cyprus was one of the states meeting the political criteria, with its infrastructures in full harmony with the European model.

On a related note, main opposition New Democracy (ND) leader Costas Karamanlis also met with Weston to discuss the prospects for a solution to the Cyprus problem in view of the upcoming meeting between UN General Secretary Kofi Annan, Cypriot President Glafcos Clerides and Turkish Cypriot community leader Rauf Denktash in Paris on Friday. The two men also discussed developments in the Eastern Mediterranean and the EU accession of Cyprus.

According to a ND release, Karamanlis reiterated to the U.S. official his party�s fixed position for a solution on the Cyprus problem based on UN resolutions and the acquis communautaire. The ND leader furthermore conveyed his party�s conviction that Cyprus can and should join the EU, by decision of the EU Summit Meeting, next December in Copenhagen.

[08] Europarliament president distinguishes Cyprus problem's role in EU-Turkish

STRASBOURG 04/09/2002 (ANA � O. Tsipira)

Speaking at a joint press conference with Turkish Foreign Minister Sina Gurel, Cox said that within the �parallel� of the two issues he distinguished a �very significant dimension� that the Cyprus issue could play, with regard to the climate and the context in the progress of the EU-Turkish relations.

Cox refused to make any commitments regarding the date for negotiations for Turkey�s EU accession. He understood Turkey�s desire, he said, adding that the resolutions of the European Commission detailed report, which he said would be publicized on 16 October, would be the next decisive step.

He said that a thorough and in-depth evaluation of the report would be conducted in order to make a comprehensive assessment of Turkey�s progress towards accession.

The president of the European Parliament also said that he hoped the upcoming Paris meeting between UN Secretary General Koffi Annan, Cypriot President Glafcos Clerides and Turkish-Cypriot community leader Rauf Denktash would give a new push toward a jointly accepted solution.

Finally, Cox said that he believed it impossible to discuss the issue of Turkey�s �negotiations date� at the extraordinary Summit Meeting on 24-25 October in Brussels.

�The European Council has an agenda that cannot influence the European Parliament�, Cox said.

Cox said that it was his view that the �negotiations date� issue should be discussed at the summit meeting in Copenhagen.

[09] EU ministers afloat? Greek presidency mulls first shipboard council

Athens, 04/09/2002 (ANA)

If all goes as planned, EU ministers responsible for maritime transport will tussle with policy in a suitably inspiring setting, spending three days on board a cruise ship that will include stops at some of the most beautiful and popular Aegean islands, such as Patmos with its historic monastery or stunning Santorini.

Prior to making its decision, the merchant marine ministry thoroughly examined security issues, sources said. The decision was also reached in close cooperation with the Greek foreign ministry and the Council's General Secretariat.

At present, the main focus of the Greek presidency for shipping is maritime safety and maritime security against terrorism and other illegal acts.

[10] Greek consumers massively participate in boycott day

Athens, 04/09/2002 (ANA)

INKA's first estimates showed that consumers in Athens in the rest of the country reduced their shopping by as much as 80 percent.

According to the consumer group's estimates, consumers' abstention from shopping in food, supermarkets and groceries stores reached 70 percent, while turnover in the wholesale sector totalled 80 percent.

Under the boycott plan, Greek consumers were asked to cut-off electricity and hang-off telephones for a period of 10 minutes at 22.00 local time, to protest against increased prices by public sector and utility enterprises.

[11] Civil servants warn of widespread strike actions over pay rises

Athens, 04/09/2002 (ANA)

ADEDY's chairman, K.Papaspyros, told reporters that civil servants would begin their mobilizations this weekend in Thessaloniki demanding higher pay raises for next year and an additional pay for this year due to a higher inflation rate in the country.

Mr. Papaspyros expressed his worry that workers were facing a new round of extended austerity and accused the government of backtracking over its pledges in the tax and incomes policies.

''We have enough flexibility in the labor market,'' Christos Polyzogoulos, GSEE's chairman, told reporters after a meeting with Economy and Finance Minister Nikos Christodoulakis.

Polyzogopoulos urged for increased pay rises to pensioners and noted that the trade union would resist a wave of price increases in the country.

GSEE's chairman said he supported consumers' boycott noting it was strengthening workers' reflects.

[12] Gov�t defends price increases by public sector enterprises

Athens, 04/09/2002 (ANA)

Speaking reporters, Mr. Protopapas said that Economy and Finance Minister Nikos Christodoulakis told a cabinet meeting that less than half of a total of 19 public sector enterprises have increased their prices this year.

Mr. Christodoulakis said that Public Power Corporation raised its prices by 3.85 percent, Hellenic Post increased their prices by 9.9 percent, national television channel ERT's prices were unchanged along with mass transport, while Athens Water raised its prices by 12.5 percent, Piraeus Port Organization announced an 1.0 percent rise, Olympic Airways raised its prices by 7.5 percent and Hellenic Telecommunications Organization gradual reduced its prices by 15 percent this year.

The government spokesman said that these changes have been recorded in the last four years and that their final impact on inflation was minimal.

He said that a 10 percent increase in traffic duties this year were decided after a five-year freeze.

Protopapas said that the government supported Mr. Christodoulakis' analysis that price increases were the result of market practices and the "responsibility for this development lies with all citizens."

[13] Main opposition leader meets GSEBE trade group

Athens, 04/09/2002 (ANA)

ND spokesman Theodoros Roussopoulos accused the government of playing it both ways, with ministers coming out in support of Tuesday's consumer boycott even though the government had been the first to raise prices through public utilities.

According to Roussopoulos, this governmental support was a crass propaganda ploy that sought to dupe the public, while he pointed to the 10 per cent rise in road tax rates that would be passed by the government later in the day in Parliament.

He stressed the need for a change in economic policy that would bring true convergence with other EU countries.

Another high-ranking member of the main opposition, George Alogoskoufis, described Tuesday's boycott by consumers as absolutely justified but noted that the main culprit behind the high prices was government policy. It was therefore hypocritical for the representatives of this policy to identify with the consumer movement, he added.

GSEBE president Dimitris Petsos noted that small businesses were not those that determined prices but large ones, and that his meeting with Karamanlis had focused on the sector's problems.

[14] World Bank VP briefed on Athens' Balkan Reconstruction Plan

Athens, 04/09/2002 (ANA)

�We requested such cooperation as well as the Bank�s know-how on issues that deal with the monitoring and evaluation of development programs. Additionally, we also decided to keep in constant contact (with the World Bank) over Greece�s programs in the Middle East, as well as for support programs for SMEs,� Loverdos told reporters afterwards.

[15] New Athens airport's eateries rated among world's best

Athens, 04/09/2002 (ANA)

IATA�s report, compiled between April 2001 and March 2002, surveyed the quality and variety of foods, prices, access, cleanliness, the general decor of restaurants as well as customers� satisfaction in arriving at its ratings.

The report gave the Eleftherios Venizelos International Airport, which opened in March 2001, similar high marks during the third trimester of 2001.

The news came on the heels of the recent opening of an �Olive Tree� outlet at the Athens airport offering traditional Grecian and Mediterranean cuisine.

[16] Greek stocks resist pressures, end slightly higher

Athens, 04/09/2002 (ANA)

Traders said that the Greek bourse managed to resist pressures from declining prices in international markets.

The general index ended 0.24 percent higher at 2,104.62 points, after losing more than 1.0 percent of its value in intra-day transactions.

Turnover was a low 69.2 million euros.

The Construction, Retail and Wholesale sectors scored the biggest percentage gains of the day (1.59 percent, 1.18 percent and 1.07 percent, respectively), while the Insurance, Food-Beverage and Telecommunications sectors suffered the heaviest losses (1.20 percent, 1.08 percent and 0.79 percent).

The FTSE/ASE 20 index of blue chip and heavy traded stocks rose 0.39 percent, the FTSE/ASE MID 40 index ended 0.71 percent higher and the FTSE/ASE SmallCap 80 index ended 0.38 percent up.

Broadly, advancers led decliners by 165 to 142 with another 46 issues unchanged.

The most heavily traded stocks in value were Hellenic Telecommunications Organization, Football Pools Organization, Balafas, Public Power Corporation, and Coca-Cola HBC.

Derivatives Market Close: Turnover at 112.5 mln euros Tuesday.

Equity Index Futures: