OMRI DAILY DIGEST
No. 185, 22 September 1995
SLOVAK POLITICAL UPDATE. On behalf of the entire opposition, Ludovit
Cernak of the Democratic Union read out in the parliament on 21
September an announcement to Prime Minister Vladimir Meciar informing
him that the Constitutional Court will be asked to review the recently
reapproved law on large-scale privatization, which cancels the second
wave of coupon privatization and introduces a highly controversial
program based on bonds. The education and cultural ministries were
sharply criticized by ethnic Hungarian deputies, and Party of the
Democratic Left Deputy Chairman Milan Ftacnik asked for the resignation
of Education Minister Eva Slavkovska. In other news, the Slovak Helsinki
Committee on 21 September criticized the government's demand that
President Michal Kovac resign. The opposition Christian Democratic
Movement said "the biggest offender of Slovakia is the Meciar
government," Sme reported. -- Sharon Fisher, OMRI, Inc.
SLOVAK FOREIGN MINISTER ON NATO. Juraj Schenk told reporters on 21
September that "the process of expanding NATO cannot happen without
Slovakia" since this would create "a certain geopolitical gap." When
asked if the recent criticism of Slovakia by U.S. Secretary of Defense
William Perry (see OMRI Daily Digest, 19 September 1995) might lead to a
change of opinion toward Slovakia's membership in the alliance, Schenk
said Perry's statements should not be "dramatized" because big
differences do not exist among Central European countries, Pravda
reported on 22 September. But speaking in Budapest on 21 September,
Perry noted that the Czech Republic, Hungary, and Poland were among the
top candidates for NATO membership but he did not mention Slovakia,
Reuters reported. -- Sharon Fisher, OMRI, Inc.
PERRY IN HUNGARY. The U.S. defense secretary also said in Budapest on 21
September that he was impressed by Hungary's progress in the five
criteria for admission to NATO: commitment to protecting democracy and
ensuring the rights of minorities, creating a market economy,
establishing a civilian control over the army, maintaining good
relations with neighboring states, and bringing the military up to NATO
standards. He supported Hungary's current stabilization program. During
his two-day visit, Perry met with President Arpad Goncz, Defense
Minister Gyorgy Keleti, and Foreign Minister Laszlo Kovacs. -- Zsofia
Szilagyi, OMRI, Inc.
HUNGARY EXTRADITES FORMER UKRAINIAN SECURITY CHIEF. Hungary has
extradited Victor Palivoda, a former Ukrainian security chief, to
Ukraine where he is wanted by Kiev for embezzling state funds, Hungarian
Radio said on 21 September. Palivoda, who was chief of personal security
for former Ukrainian President Leonid Kravchuk from 1992-1994, has been
charged with abuse of power, misuse of state funds, and involvement in
dubious arms deals. He was arrested in Budapest in July after Ukraine
appealed to Interpol. According to MTI, Palivoda continues to deny he is
guilty, arguing that his arrest was aimed at discrediting his former
boss. -- Zsofia Szilagyi, OMRI, Inc.
BULGARIA REPLACES AMBASSADORS. The Bulgarian government on 21 September
asked President Zhelyu Zhelev to issue decrees on replacing a number of
ambassadors, Bulgarian newspapers reported the following day. The
ambassadors to the UN, the Council of Europe, the Vatican, Belgium,
Switzerland, Portugal, Poland, Albania, and Hungary will be replaced. In
the case of UN ambassador Slavi Pashovski (see OMRI Daily Digest, 21
September 1995), Zhelev blamed the government for excluding the diplomat
from the Bulgarian delegation. 24 chasa cited Zhelev as saying that he
is the lawful ambassador and thus cannot be excluded from the
delegation. Pashovski said in an interview with Trud that his exclusion
changes the constitutional balance and deprives the president of his
right to represent Bulgaria through ambassadors selected by him. --
Stefan Krause, OMRI, Inc.
[As of 12:00 CET]
Compiled by Jan Cleave
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Friday, 22 September 1995
Volume 2, Issue 184
REGIONAL NEWS
-------------
**PIPELINE MAY REOPEN TO SARAJEVO**
Hungary said it could resume the supply of Russian natural gas
to the Bosnian capital Sarajevo as early as today, pending
United Nations approval. Hungary cut off the gas flow in the
pipeline leading to Sarajevo last month at the UN's request
after the Bosnian government said it hadn't received any gas
from the pipeline since May. The pipeline passes through
territory controlled by the Bosnian Serbs. They're thought to
have been diverting the the gas for their own use. But
Bosnia's U.N. representative has appealed to the U.N.
sanctions committee to allow the pipeline to be reopened as
soon as possible. Gyula Szelei, of the Hungarian foreign
ministry, said the Bosnian government has reached an agreement
with Belgrade and Bosnian Serbs over the resumption of gas
supplies.
**US DEFENSE SECRETARY WINDS UP HIS TOUR**
US Secretary of Defense William Perry wrapped up a two day
visit to Budapest yesterday by meeting with top Hungarian
officials, including Prime Minister Gyula Horn. Afterward,
Perry told reporters Washington will contribute a large number
of soldiers if NATO launches a peace keeping operation in the
former Yugoslavia. Perry stresses US forces will only go to
the former Yugoslavia if a peace agreement is signed. Perry
said NATO will finish plans for the possible peacekeeping
operation in one or two weeks. He said when the details are
known, the US will make a specific proposal for American
participation.
"We have told NATO that the United States will participate in a
leadership role, that is our contribution of forces will not
be token."
Perry said the NATO force will likely include several
divisions. There are reports Washington is tentatively
planning to provide 15 to 18,000 soldiers out of a total NATO
peacekeeping force of more than 50,000. --David Fink
BUSINESS NEWS
-------------
**HUNGARY TACKLES UNDER THE TABLE TRADE**
Hungary's government is proposing a complex package of measures
to force the country's sprawling black economy into legal
channels. The underground economy is estimated at 30 percent
of the country's gross domestic product. Hungary plans to
hit the black economy with 19 legal changes this year and
further measures after 1995. A government spokesman told a
news conference yesterday that tax evasion so far this year
adds up to almost $104 million. Authorities are also
investigating illegal financial activities and the crude oil
business where they suspected rampant tax evasion.
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