Athens News Agency: Daily News Bulletin in English, 04-01-27

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

CONTENTS

[01] FM Papandreou says Cyprus negotiations must begin and be based on Annan plan

[02] U.S. State Department says Annan-Erdogan meeting 'encouraging'

[03] Deputy FM Magriotis to visit Moscow for talks with Russian counterpart Razov

[04] PM backs Papandreou handling of Pachtas affair, Porto Carras amendment

[05] FM terms 'imperative' decision to exclude '10' from PASOK's election tickets

[06] Election victory margin increasing for ND, poll shows

[07] Cabinet to convene Feb. 5 to call for dissolution of parl't

[08] Main opposition to abstain from parliamentary committees up to elections

[09] Communist party leader announces state and Athens election tickets

[10] ND leader addresses mothers, proposes measures for women's relief

[11] Son of ex-PASOK minister vies for office with ND

[12] Greek inflation slowed to 3.1 percent in December, yr/yr

[13] SEB reports on official visit to Lebanon

[14] Greek investment funds' average return 18.67 pct in 2003

[15] Greek stocks drop 2.03 pct on Monday

[16] Rogge again expresses confidence in 2004 Games' success

[17] Bulgarian municipality and Greek prefecture applying cross-border cooperation

[18] Cyprus asks UN for official information on Erdogan's stance

[19] Papadopoulos and Juncker discuss Cyprus question

[01] FM Papandreou says Cyprus negotiations must begin and be based on Annan plan

BRUSSELS 27/01/2004 (ANA/Y. Zitouniati)

''Let's begin negotiations and let's see what blanks have to be filled in,'' Papandreou said in a press conference after briefing his counterparts at the Council of Foreign Ministers on latest developments on the Cyprus issue, during his last presence here on Monday in this capacity.

Papandreou said promoting a solution to the Cyprus issue in 2004 is an issue of political will and underlined ''the need for us to honor the policy of the UN and have a workable and viable solution.''

The foreign minister also said the Turkish Cypriot side must not be denied of benefits offered to it by the implementation of the acquis communautaire, particularly when Turkey itself is aiming at its rapprochement with Europe and noted that if it had not been for the European Union a solution would be much more difficult.

Papandreou disagreed with the Turkish proposal on the replacement on the UN secretary general's special envoy Alvaro de Soto, saying valuable time will be lost until somebody else would be briefed, who would be aware of the issue, as was the case with de Soto.

In his farewell press conference as foreign minister, Papandreou made a brief account of his five-year tenure as member of the General Affairs Council, expressing his conviction that with his colleagues ''an open relation was created, one which was human and of mutual confidence, a relation of criticism and even of confrontation, but always with respect and sincerity.''

He added that these five years were difficult both for the EU and Greece in the EU with tensions in negotiating, disagreements and convergences and decisions of historic significance which promoted common targets and changed the image of Europe.

''I believe that my country also had a decisive contribution to this course of the EU. We are proud of the decision taken in Helsinki which led to the accession of Cyprus and the strengthening of euro-Turkish relations. We are proud to have contributed to a new EU policy on the Balkans and the region of the southeastern Mediterranean, to the promotion and completion of enlargement, the development of relations with the Middle East, the Arab world, Russia, the shaping of equal relations with the US, the consolidation of a common EU position on the crisis in Iraq and the promotion of collective European targets through the exercising of the Greek presidency in the first half of 2003,'' the foreign minister said.

Papandreou thanked European Commission President Romano Prodi and commissioners, the EU's representative for security policy Javier Solana and all who worked with him during this period, stressing that his considerable experience acquired will be valuable in his new duties.

''The EU is a big political school and I feel stronger in knowledge and experience today. However, I also feel stronger as a result of the friendships I have made and of your love and support,'' Papandreou said, bidding farewell to reporters with a cocktail.

Cyprus dominates talks between Greek foreign minister and EU's Prodi: Emerging from a meeting with European Commission President Romano Prodi here on Monday, Greek Foreign Minister George Papandreou said their talks had been dominated by the Cyprus problem and the efforts for its solution before Cyprus officially joins the European Union in May.

Papandreou met with Prodi on the sidelines of an EU General Affairs Council in Brussels, in what is probably his last trip to Brussels as Greece's foreign minister.

As sole candidate for the leadership of ruling PASOK, Papandreou stands to take over as PASOK president after a party vote on February 8 and possibly the next Greek government, if PASOK wins the general elections on March 7.

Papandreou praised his cooperation with Prodi over the past years, saying that he remained a ''good friend''.

With respect to the Cyprus issue, the minister said there was intense activity and that many attempts for a solution will be made in the coming months.

On the other hand, Papandreou said that Turkish and Turkish-Cypriot positions on the issue were still unclear.

Stressing that there was a framework for solving the Cyprus problem, the peace plan proposed by United Nations Secretary-General Kofi Annan, on which much effort had been expended over the past months, Papandreou called on the Turkish side had to clarify whether Ankara accepted the Annan plan and if its positions for solving the Cyprus problem were compatible with the body of EU laws and regulations.

[02] U.S. State Department says Annan-Erdogan meeting 'encouraging'

WASHINGTON 27/01/2004 (ANA/T. Ellis)

A written announcement issued by State Department spokesman Richard Boucher states: �We are pleased that United Nations Secretary-General Kofi Annan is encouraged by the positive meeting regarding Cyprus that he held January 24, in Davos, Switzerland, with Turkish Prime Minister Erdogan, in which Prime Minister Erdogan expressed Turkey's strong desire to see Cyprus negotiations resume in order to reach a settlement by May 1.

''We note that Secretary-General Annan indicated his Good Offices Mission is ready for new talks if the parties to the Cyprus issue demonstrate the political will to conclude an agreement, including the holding of referenda, by May 1.

''Following this encouraging meeting between the UN Secretary-General and the Turkish Prime Minister, the other parties should demonstrate to the Secretary-General the necessary political will as soon as possible, so that a settlement may be reached in time for a reunited Cyprus by May 1.''

[03] Deputy FM Magriotis to visit Moscow for talks with Russian counterpart Razov

Athens, 27/01/2004 (ANA)

During his contacts in the Russian capital, the Greek deputy foreign minister will discuss the form of the ''Bilateral Action Program'', a program proposed by the Greek side and accepted by the Russian side.

The program aims at further strengthening bilateral relations between the two countries in the political, economic and cultural sectors.

[04] PM backs Papandreou handling of Pachtas affair, Porto Carras amendment

Athens, 27/01/2004 (ANA)

He also underlined that the premier fully agreed with the way that George Papandreou, the sole candidate to succeed him as PASOK president, had handled the affair.

Protopapas said Papandreou's decision to drop the MPs that signed the amendment from PASOK's tickets had a political, symbolic meaning: ''It showed that we follow a policy with principles and values, it showed the vision of the new era,'' he said.

He also underlined that Finance Minister Nikos Christodoulakis had immediately made it clear that the government intended to cancel the offending amendment, which was passed in Parliament last Wednesday.

According to the spokesman, one of the key concerns raised by the affair was the procedure by which the amendment had been tabled, which gave rise to serious doubts in society.

He noted that serious mistakes had been made, such as the fact that former deputy minister Christos Pachtas, who resigned on Friday, had failed to inform his superior Christodoulakis that he intended to table the amendment in question.

Protopapas also pointed out that a previous version of the same amendment had been signed by three main opposition New Democracy MPs, one of whom had not yet withdrawn her support, and that ND had failed to protest against the amendment or to request a roll-call vote when it was passed in Parliament on Wednesday.

Meanwhile, the nine MPs who were penalized for signing the amendment were called to appear before a three-member PASOK committee and present their views on the affair, starting with MP for Achaia Alekos Chrysanthakopoulos on Monday afternoon.

The committee will give each MP a separate audience, while it has been empowered to convey the MPs views to party organs, without any recommendations concerning the case.

One of the MPs involved, George Kirkos, on Monday filed a suit with the Thessaloniki public prosecutor over the affair, claiming that his signature on the amendment in question had been forged.

The MP has asked for immediate hand-writing analysis of his alleged signature and an emergency investigation to find those responsible, expressing his faith that PASOK's leadership would ensure that justice was done.

Others of those involved, such as Kavala deputy Nikos Stratilatis and Pachtas himself, have defended their decision to back the amendment, describing it as a piece of developmental legislation that promoted investments.

Several high-ranking government ministers have publicly backed Papandreou's decision in this affair, however, describing it as a political decision that responded to society's demand for radical changes to the system.

Pachtas resigned as deputy finance minister last Friday, two days after the amendment he had tabled was passed in a vote on Wednesday.

The amendment was strongly opposed by the finance minister, as well as Environment, Town Planning and Public Works Minister Vasso Papandreou.

Papandreou announced that all the MPs that signed the amendment would be dropped from PASOK election tickets on Saturday.

The controversial amendment would have allowed the consortium that owns the Porto Carras complex, which is headed by the construction firm Techniki Olympiaki owned by Kostas Steggos, to proceed with the development of areas within the Porto Carras estate to build a series of bungalows for rent or sale.

According to Pachtas, the amendment seeks to cut through confusion and bureaucratic delays caused by conflicting legislation that prevented the investment from going ahead, while its opponents say it opens the way for major development on land classified as forest.

[05] FM terms 'imperative' decision to exclude '10' from PASOK's election tickets

BRUSSELS 27/01/2004 (ANA/G. Zitouniati)

Asked by reporters here if he intended to meet with those excluded, Papandreou said he already had the opportunity to speak ''on a human level'' with one of the deputies, noting that the decision taken ''is not of a personal nature.''

Papandreou said ''we are not evaluating the deputies, but now a new prospect is opening, a new hope, a new vision and our decision was imperative.''

Papandreou was in Brussels to attend an EU General Affairs Council meeting and bid farewell to his European counterparts.

PASOK secretary on response to Porto Carras amendment: PASOK Central Committee Secretary Mihalis Chrysohoidis on Monday said the party's response to the 'Porto Carras' amendment tabled by resigned deputy minister Christos Pachtas had been a "political decision" which in itself represented a comprehensive and uniform stance on the handling of such issues.

He stressed that PASOK was constantly engaged in the battle to support transparency and had an obligation to adopt a bold and decisive position, as it had done in this case.

Chrysohoidis said that the decision to drop the nine MPs that signed the offending amendment from PASOK's election tickets was not a form of disciplinary action, did not assign personal blame and was in no way devalued the overall career of the specific MPs, who had a long career and whom the electorate had rewarded with their vote.

The party secretary spoke of a "political mistakes and mistaken choices" in the entire process that brought the specific amendment before the parliamentary assembly, which had created confusion, strong concern and unacceptable doubts about PASOK's positions on the crucial issue of transparency and parliamentary procedure.

Personal bitterness aside, Chrysohoidis added, the political realities for PASOK at a time when it was progressing toward election victory on March 7 were the responsibility of all.

"We can spare no one in PASOK and the unified democratic faction. The message from society is that we must change in order to win. And we are doing this with clear-cut actions and moves, at a time when [main opposition] New Democracy maintains a guilty silence, takes no position and ignores its own members' participation in the same affair," Chrysohoidis said.

[06] Election victory margin increasing for ND, poll shows

Athens, 27/01/2004 (ANA)

In an opinion poll carried out by phone over the weekend, in the midst of the issue's revelation, the question of which party will win the election gives an enlarged lead by 10.4 percentage units for the main opposition New Democracy party, in comparison with an opinion poll carried out just before the Pachtas issue broke out.

A telephone opinion poll carried out with 800 respondents and completed on January 26 gives PASOK 27.3 percent and ND 46.4 on the question of which party respondents think will win the election.

The first poll completed on January 23, and conducted with the ballot box method, gave PASOK 37.7 percent and ND 46.3 again on the question of which party is expected to win.

It is noteworthy, however, that the percentages of voters lost by PASOK moved to the ''don't know, won't say'' sector.

Respondents in the telephone opinion poll believe by 48.8 percent that the amendment was proof of vested interests, 20 a bad moment, while 6.8 believe it will help the region's development.

Assessments made by citizens show by 46 percent that the amendment issue will harm PASOK at the elections, 18.6 that it will be of help and 10.7 that it will have no impact.

What is also noteworthy, however, is that 54.8 percent of respondents agree with the decision taken by Foreign Minister and PASOK leadership candidate George Papandreou to remove the party's deputies from election tickets, while 23.3 disagree and 5.9 neither agree nor disagree.

In addition, 44.6 percent believe that ND should also remove its three deputies who were involved in the first amendment, which was not ratified, while 28.9 disagree and 26.5 gave no opinion.

[07] Cabinet to convene Feb. 5 to call for dissolution of parl't

Athens, 27/01/2004 (ANA)

Simitis made the statement in the presence of reporters before a meeting with the President.

Simitis also told Stephanopoulos that, from his talks in Athens last week with Cyprus president Tassos Papadopoulos and recent statements by Turkish premier Tayyip Erdogan, it was apparent that there was ''mobility'' on the Cyprus problem, and therefore it was necessary to have a government with a ''fresh mandate'' to handle the Cyprus issue.

After the meeting, Simitis told reporters he had briefed the President on domestic and external developments.

In addressing the reporters, the premier referred exclusively to the Cyprus issue, noting that the latest statement by the Turkish premier on the Cyprus problem had been "exceptionally vague".

He stressed that "a substantive change of policy" was necessary on Turkey's part "so as to render possible the achievement of a just and viable solution that will be within the framework of the (relevant) UN resolutions".

Such a solution, Simitis added, "must ensure the participation of the Cyprus government in the EU, so as to fully exercise all its functions unhindered".

[08] Main opposition to abstain from parliamentary committees up to elections

Athens, 27/01/2004 (ANA)

Sioufas slammed the government for what he called ''mass production'' of legislation, noting that parliamentary committees were forced to be constantly in session to process the 17 bills that had been tabled in the past few days.

''These are facts that downgrade Parliament and the quality of legislation,'' he added.

[09] Communist party leader announces state and Athens election tickets

Athens, 27/01/2004 (ANA)

The state election ticket will be headed by actor Costas Kazakos, while the first Athens constituency includes party deputy Liana Kanelli and the second Athens constituency ticket is headed by Papariga herself and includes, among others, writer George Kakoulidis, deputy Orestis Kolozov, singer Vassilis Lekkas, deputy Antonis Skyllakos and actress Vasia Trifylli.

Papariga said KKE's election tickets include representatives of the working class, farmers, scientists and artists, adding that party organizations in each prefecture will publicize election tickets themselves since they were responsible for preparing them.

[10] ND leader addresses mothers, proposes measures for women's relief

Athens, 27/01/2004 (ANA)

Karamanlis proposed the establishment of an independent authority, running on the lines of an ombudsman, for the implementation of equality, the ratification of a family charter registering the consolidated rights of members of a family (such as in the case of women's and children's abuse) and the creation of a unified agency to tackle the country's demographic problem.

The ND leader further proposed the development of education infrastructures (organizing and extending all-day school and restructuring the educational content) and the establishment of a service to finance women's entrepreneurship.

Other measures Karamanlis proposed were the development of professional training programs for unemployed women, the implementation of measures, to support the working mother (such as tax incentives for businessmen hiring unemployed women and mothers and the development of programs to strengthen women's employment in rural areas (such as employment in rural tourism and small industries).

Karamanlis also proposed the taking of measures to support large families; his party has already announced that a family with three children will be considered a large family, and the implementation of equality in the granting of benefits as well.

[11] Son of ex-PASOK minister vies for office with ND

Athens, 27/01/2004 (ANA)

The younger Kouloumbis will vie for a Parliament seat in the second election district of Athens, the largest in the country.

�All of the healthy (political) forces must back ND in order to restore the values, morality and dignity in the public sector,� he said.

[12] Greek inflation slowed to 3.1 percent in December, yr/yr

Athens, 27/01/2004 (ANA)

NSS said that the country's harmonized consumer price index also recorded a 3.1 percent rise in December compared with the same month in 2002.

The Greek statistics agency delayed in publishing its data for the consumer price index for October and November because of a six-week long strike action by its staff.

[13] SEB reports on official visit to Lebanon

Athens, 27/01/2004 (ANA)

This was the conclusion of a series of meetings held between a delegation of Greek business with Lebanese business community during an official visit by President of the Republic, Mr Costis Stephanopoulos, to the country last week.

Representatives from the Greek Industries Union met with their Lebanese counterparts and discussed ways to promote bilateral business relations.

The two sides signed a memorandum of cooperation to offer on-line information to companies, to organized joint seminars and conferences, to facilitate businesses in finding partners and to organized sector delegations and trade fairs.

Greek and Lebanese companies also discussed investment opportunities in the near future from the reconstruction of Iraq.

Another advantage for Lebanon is an association agreement with the European Union, a legislation to protecting foreign investment, a modern banking system and a high-level of education and training in the country's executive workforce.

[14] Greek investment funds' average return 18.67 pct in 2003

Athens, 27/01/2004 (ANA)

A report by the Union of Institutional Investors, however, stressed that 2002 asset value - after excluding companies' assets absorbed by parent banks - was 1.18 billion euros, leaving the 2003 asset 19.72 percent higher over the year.

Seventeen out of the total 22 companies in the sector reported positive returns for the year, ranging from 3.21 percent to 29.40 percent. The general index of the Athens Stock Exchange rose 29.46 percent over the year.

The average weighed return of investment companies totalled 18.67 percent in 2003, reversing a -18 percent negative return in the previous year, the report said.

The average weighed discount price of the sector was -7.21 percent, after recording a -19.33 percent last year, while the sector's internal price and share prices rose over the year.

[15] Greek stocks drop 2.03 pct on Monday

Athens, 27/01/2004 (ANA)

The general index dropped 2.03 percent to end at 2,433.51 points, with turnover a low 184.5 million euros.

All sector indices ended lower with the Holding, IT and Textile sectors suffering the heaviest percentage losses of the day (4.25 percent, 4.17 percent and 4.15 percent, respectively).

The FTSE/ASE 20 index for blue chip and heavy traded stocks fell 2.06 percent, the FTSE/ASE MID 40 index plunged 3.27 percent and the FTSE/ASE SmallCap 80 index fell 2.60 percent.

Broadly, decliners led advancers by 294 to 37 with another 20 issues unchanged.

FOREIGN EXCHANGE

Closing rates of January 26 2004

Parities in euro

For. Exchange Buying Selling

US Dollar 1,267 1,238

[16] Rogge again expresses confidence in 2004 Games' success

Athens, 27/01/2004 (ANA)

Rogge referred in detail to various issues regarding the Games, including the doping controversy, security during the Olympics as well as his personal vision and ambitions.

He stressed that a myriad of projects underway in the greater Athens are transforming the Greek capital. �You have a new airport, the Attica roadway, the suburban rail, the new metro. Truly, changes have occurred before the Games even begin,� Rogge was quoted as saying.

Finally, the Belgian IOC president stressed that since the 1972 Munich Games security has been the top priority for the Lausanne-based organization.

[17] Bulgarian municipality and Greek prefecture applying cross-border cooperation

Athens, 27/01/2004 (ANA)

The project, aimed at improving the quality of the waters of the Ardas River and the protection of the environment, is part of the European PHARE program and has a total cost of 46,000 euros and a duration of 12 months.

Joint activities to be included in the program were examined during a meeting held at the Evros prefecture with the participation of Kirzali Mayor Hasan Azi, Evros prefect Nikos Zambounidis and relevant officials.

The program also includes the registering of sources polluting the Ardas River and of the present situation, as well as bilateral meetings aimed at the exchange of experiences, the establishment of an informatics network between agencies of the two regions and the issuing of informative material to sensitize inhabitants.

[18] Cyprus asks UN for official information on Erdogan's stance

NICOSIA 27/01/2004 (CNA/ANA)

President Papadopoulos said that the government of Cyprus is waiting for the official information by the UN as to what Erdogan has said and how the UN Secretary-General intends to act.

''We have some unofficial information from the UN but we are waiting for clarifications and an official statement. This becomes necessary because we heard several versions as to what Mr Erdogan has said,'' the Cyprus president said, in statements to the press after talks here with Prime Minister of Luxembourg Jean Claude Juncker.

Asked about the telephone conversation between US Secretary of State Colin Powell and Greek Foreign Minister George Papandreou, President Papadopoulos said that Powell was ''reassured by the Greek side that it has always showed flexibility regarding the Cyprus problem, and it will continue to do so.''

Powell had said that he talked with his Greek counterpart ''about the need for flexibility on the part of the Greek Cypriots' President Papadopoulos, in order to make sure that we can make every effort to try to solve the Cyprus problem before May 1st.''

President Papadopoulos reiterated the readiness of the Greek Cypriot side to proceed to negotiations on the basis of the Annan peace plan, to reach a settlement to the Cyprus issue, by May 1, when the island becomes a full EU member state.

''Powell was reassured by the Greek side that we have always shown flexibility and we will continue to do so. But he did not ask for anything specific. He noted that the window of opportunity to solve the Cyprus issue, should not be missed,'' President Papadopoulos said.

Cyprus has been divided since 1974, when Turkish troops invaded and occupied one third of the island's territory.

[19] Papadopoulos and Juncker discuss Cyprus question

NICOSIA 27/01/2004 (CNA/ANA)

Delegations from the two countries, headed by President Papadopoulos and Premier Juncker, here on a three-day official visit, held official talks at the Presidential Palace for over an hour.

''We had an interesting meeting, during which we discussed recent developments in the Cyprus issue, as well as bilateral issues of common interest,'' President Papadopoulos said in statements after the meeting.

Premier Juncker underlined the need for an immediate resumption of the peace talks on Cyprus, noting there is a willingness from both sides in Cyprus to reach a solution to the problem.

''All EU states believe that a solution to the Cyprus problem should be reached prior to May 1st, 2004,'' Juncker said.

Asked about EU's role in efforts to solve the Cyprus problem, Juncker stressed that the Union would not become a substitute for the UN in the Cyprus peace talks.

He added that when negotiations resume, the EU may have to answer to questions to clarify some issues, regarding the Union's function.

Juncker is accompanied by Deputy Prime Minister and Minister of Foreign Affairs and External Trade Lydie Polfer and other officials.

Speaking after a meeting with Cypriot House of Representatives President Demetris Christofias on Monday, Juncker said his country would like to see everyone ''make use of this unique opportunity which is being offered to settle in a definite way the Cyprus problem, having in mind the living conditions of those who were born in these days and who will grow up if a settlement is found in a better environment than those who have to give the final answer to this problem.''

Juncker added that ''my government as all the European governments do expect that a final settlement will be found before May 1st.''

Christofias expressed the readiness of the Greek Cypriot side to attend talks whenever UN Secretary-General Kofi Annan calls them in order to discuss the Annan plan for a settlement and reach a compromise before May 1, when Cyprus will officially become a full member of the EU.

Juncker also had a tour of the ceasefire line in Nicosia, escorted by the town's Mayor Michalis Zampellas and had the opportunity to witness the line that divides the capital.

Asked to comment on what he saw, Juncker said he wrote in the visitor's book only one sentence, which is that ''the dividing line must disappear.''

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