The government said yesterday that it was unable to "unilaterally" solve the problem of the country's shipyards when there was no private capital available for investment, after the Peratikos Group, owners of the Elefsina Shipyards and sole bidder for the Skaramangas Shipyards, said on Monday it was suspending its activities in Greece.
In letters to Prime Minister Andreas Papandreou, Industry Minister Costas Simitis, banks and workers, the group announced that it was closing the Elefsina Shipyards, which it bought in July 1992, and withdrawing its offer to buy the Skaramangas Shipyards.
The decision leaves approximately 2,100 shipyard workers out of a job. In its letter, the Group said that it was unable to pay wages already owing, which it promises to pay "as soon as possible".
A government interministerial committee was due to announce its decision on the Peratikos Group bid for the Skaramangas Shipyards the only one received in an international tender - in ten days time. Yesterday, however, a spokesman for the Group appeared to leave open the possibility of not shutting down the Elefsina Shipyards, but linked this eventuality with the government's decision on the Skaramangas Shipyards.
His comments served to strengthen claims by worker's representatives that the Group's announcement was an attempt to influence the government's decision on the Skaramangas Shipyards.
Explaining its reasons for shutting down the Elefsina Shipyards, the Group said that in 1992 it had been "misled" by banks as to the true value of the yards, resulting in a loss of approximately 7 billion drachmas. It accused the industry minister, Costas Simitis, of "indifference" and "a negative if not undermining stance towards the group".
At the time of the purchase, trade unionists and opposition deputies had described the sale of the Elefsina Shipyards to the Peratikos Group as scandalously advantageous for the group and warned that the sale would not secure the yard's future.
In the matter of the Skaramangas Shipyards, the group claimed that its offer to buy the biggest shipyard in the Eastern Mediterranean had not been "seriously considered".
Replying to the group's claims, Mr. Simitis said that the competent government committee had unanimously deemed the Peratikos bid for the Skaramangas shipyards to be "unsatisfactory".
"The main factor which led to the rejection (of the bid) was the insolvency of the Peratikos Group. During the few years that it operated the Elefsina Shipyard which it bought from the state, it accumulated debts amounting to billions of drachmas. It didn't even pay its (workers') social security contributions. The government has no intention of selling state property for a pittance to undertakings which do not fulfil their obligations.
"Privatisation does not mean acceptance of impunity. It does not mean subjugation to businessmen who blackmail the state. Privatisation means the transfer of initiative and responsibility to solvent private individuals who work not only in order to make a profit for themselves but also for the benefit of society as a whole," Mr. Simitis said.
Alternate Industry Minister Christos Rokofyllos said that the decision of the Peratikos Group illustrated the failure of the privatisation programme administered by the conservative New Democracy party, which was in government when it sold the Elefsina Shipyards to Peratikos.
"There were no serious guarantees concerning the continued operation of these undertakings," he said. Mr. Rokofyllos also expressed puzzlement at the decision of the Peratikos Group taken just ten days before the meeting of the competent inter ministerial body which was to decide the fate of the Skaramangas Shipyards "and no one knew what the outcome would have been".
Government spokesman Evangelos Venizelos said that the problem of shipyards was one which was difficult to solve all over Europe. "We are making efforts to confront the problem, bearing in mind of course the fact that the Elefsina Shipyards were given to the Peratikos Group in 1992 and it is clear that the problem is now even more difficult...," the spokesman said.
"The government is unable to unilaterally solve the problem, when there is no response from the interests of big capital, when there are no entrepreneurs and capital available for investment in this sector," he added.
George Kontakis, president of the Skaramangas Workers Union, characterised the move made by the group as "raw blackmail", noting that it came just ten days before the decision by the interministerial body on the future of the Skaramangas Shipyards.
Main opposition New Democracy (ND) party spokesman Vassilis Manginas said that "the non-existent government of PASOK once again appears to have been taken by surprise in yet another sector" and called on the government to negotiate and "seek appropriate solutions to prevent the closure of another productive unit in the country which will result in 2,000 workers being unemployed, instead of attributing responsibility elsewhere in order to excuse its latest failure".
A Political Spring party spokesman said the "crisis is a result of the lack of planning and policy in this sector" adding that "governments, over the past 15 years, are responsible for leaving the repeated mistakes they make to hit the shipyards as well as the employees".
Union representatives of the Elefsina workers said last night that they would recommend that the shipyards continue to operate under the control of the Commercial Bank.
Foreign Minister Karolos Papoulias said on Saturday that Russia could play an important role in resolving the crisis in former Yugoslavia as a member of the Contact Group, following talks in the Black Sea resort of Sochi with his Russian counterpart Andrei Kozyrev.
Speaking to reporters in Ioannina on his return from Sochi, Mr. Papoulias said that the co-operation between Greece and Russia, in combination with the good relations of both countries with Serbian President Slobodan Milosevic, could contribute to a diplomatic solution of the problem.
Mr. Papoulias reiterated the insistence of Athens and Moscow on a political and diplomatic solution to the crisis in former Yugoslavia and underlined the need to lift the embargo on Yugoslavia so that the possibilities of Mr. Milosevic contributing to a solution might be realised. The basis for a solution, Mr. Papoulias stressed, is the proposal of the Contact Group. He said that Sunday's talks between US President Bill Clinton's national security adviser Anthony Lake with Mr. Kozyrev in Sochi appeared to be within this framework.
Mr. Papoulias also underlined the importance of his meeting on August 26-27 in Ioannina with his Bulgarian and Romanian counterparts which will focus on their joint efforts for a solution to the crisis in former Yugoslavia as countries directly interested.
Replying to reporters' questions, Mr. Papoulias described as "positive" Mr. Clinton's veto of a bill passed by Congress that would force him to end American compliance with a UN-imposed arms embargo on Bosnia. The lifting of the arms embargo, Mr. Papoulias said, would "give rise to unpleasant situations which would be negative for the progress of peace".
Mr. Papoulias noted the important role which Greece can play in efforts to find a solution to the crisis in former Yugoslavia and stressed the importance of the Greek people's contribution to the alleviation of the suffering of the Krajina Serb refugees.
Welcoming Mr. Papoulias to the Black Sea resort town of Sochi, Mr. Kozyrev spoke of Greece's "balanced stance which contributes to the balanced approach of the European Union and NATO to the Yugoslav crisis".
Replying to a question from the ANA, Mr. Kozyrev said that "Greece speaks the language of reason", adding that "this is the political solution to the Yugoslav problem".
Describing the situation in former Yugoslavia as a "disease" for the Balkans, Mr. Kozyrev said that "there are no easy solutions". "On the contrary, difficult solutions are needed," he said, adding that Russian President Boris Yeltsin's initiative for a tripartite summit of the Bosnian, Serbian and Croatian leaders in Moscow was in this direction.
Mr. Papoulias said that Athens and Moscow were "setting out on a common basis".
Mr. Papoulias and Mr. Kozyrev had two hours of talks focusing on the continuation of efforts by Athens and Moscow to find a solution to the Yugoslav problem and the further promotion of bilateral relations.
"The effort of (European Union mediator) Karl Bildt and the Contact Group plan may be considered as being based on the co-operation of Greece and Russia in efforts for a cease-fire," Mr. Papoulias told the ANA.
Mr. Papoulias will have further talks with Mr. Kozyrev on former Yugoslavia when the Russian foreign minister visits Athens on September 8-9.
Mr. Papoulias also met and promised all possible support for representatives of the ethnic Greek community in Sochi which urged the strengthening of cultural and commercial relations between the ethnic Greeks of southern Russia and Greece.
In Ioannina, Mr. Papoulias said that the date of Albanian Foreign Minister Alfred Serreqi's visit to Greece had been finalised and that Greece's consistency in pursuing co-operation and friendship had found a response in Albania. As examples of the progress in relations between Athens and Tirana, Mr. Papoulias cited the results of the recent joint Greek-Albanian subcommittee meetings and the scheduled visits of President Kostis Stephanopoulos and Justice Minister Anastasios Peponis to Tirana.
Archbishop Iakovos, the Greek Orthodox Primate of North and South America, has accused the Vatican and Germany of waging "shameless propaganda" against the Serbs.
Iakovos told the press on Saturday that injustices suffered by the Serbian people were no lesser than the injustices suffered by others "The principles of justice are not only violated near the borders of America but also far away, in Serbia," he told reporters in Alexandroupolis, en route to his native island of Imvros.
Archbishop Iakovos said the "appalling propaganda" by Catholics and Germany attributed all the crimes and atrocities in former Yugoslavia to Serbia. He also criticised the European Union's policy towards Serbia.
The Orthodox primate called on US President Bill Clinton to intervene "more decisively in order to put an end to the tragedy" since, as he said, "we do not expect solutions from the European powers".
Yugoslavia's Foreign Minister Vladislav Jovanovic appealed to the international community on Saturday to make every possible effort to halt the Croatian advance in Krajina and prevent "the imposition of solutions with the force of arms".
In an interview with the ANA in Belgrade - his last before he was replaced yesterday as foreign minister by Belgrade's ambassador to Greece Milan Milutinovic Mr. Jovanovic said that "the international community has the capability and means to do this, providing there is readiness, and this depends mainly on the United States and Germany".
Replying to questions on the possible partition of Bosnia, Mr. Jovanovic said: "Every political solution which is supported by the three co-founding peoples of Bosnia is in the interests of Yugoslavia. What would not be in our interests is a solution which is against any of the three sides."
Mr. Jovanovic said that Belgrade had expected a stronger condemnation of the Croatian advance into Krajina. "We expected many countries to more strongly condemn the Croatian invasion of Krajina. Some countries did so and the way in which Great Britain reacted surprised us. But other countries, and indeed neighbouring countries such as Bulgaria and Romania, fell short," Mr. Jovanovic said.
The Yugoslav foreign minister said that he was not aware of Greece's response to the Croat advance but stressed that "there is always greater margin for a stronger condemnation and greater pressure on those powers which are behind Croatia".
Asked to comment on the US initiative for a resolution of the crisis, Mr. Jovanovic said that the plan should first be officially presented in order for assessments to be made. He did not rule out the possibility of Washington having no specific plan, saying that the US moves may be "tactical" in nature for the purpose of exerting "psychological pressure".
Asked about the possibility of Yugoslavia and the Former Yugoslav Republic of Macedonia establishing relations, Mr. Jovanovic said "I know of nothing specific". "But I think that the present leadership of 'Macedonia' is not willing to establish any type of relations with Yugoslavia, nor are there any such thoughts on our part. However, we realise that the Balkans cannot survive unless the Balkan countries have economic and other relations between themselves," he added.
Eastern Slavonia, the sole region controlled by the Croatian Serbs, will, according to many analysts, constitute the next phase of the crisis and, should fighting break out in this area, hostilities might spread to other regions in former Yugoslavia.
Mr. Jovanovic avoided any comment on such analyses but appealed to the international community to mobilise all forces to stop the Croatian invasion. Greece, which, with the support of regional countries, launched an initiative earlier this year to lift sanctions imposed on Yugoslavia, must support Moscow's proposal for a unilateral lifting of sanctions if the international community does not proceed quickly in this direction and these countries must align themselves with Russia's proposal for the full lifting of sanctions as soon as possible, Mr. Jovanovic said.
Replying to a questioner on whether Mr. Papoulias' visit to Russia would focus on co-ordinating the efforts of Greece and Russia to defuse the crisis, Mr. Jovanovic said: "It would be better for Mr. Papoulias to make a relevant statement before departing for Russia and then go there to determine common actions for the victory of peace and the lifting of sanctions because lifting sanctions constitutes the forerunner of a political solution." Mr. Jovanovic has been appointed to represent Yugoslavia at the United Nations.
National Defence Ministry sources on Monday denied press reports that Defence Minister Gerasimos Arsenis was to visit Bosnia in the immediate future. The same sources, however, did not rule out the possibility of Mr. Arsenis visiting Bosnia at some point in the future.
The main opposition leader Militades Evert has expressed his concern at the continuation of the war in former Yugoslavia "despite the fact the international community has tried repeatedly to find a peaceful solution," in letters sent to Serb President Slobodan Milosevic and Croatian President Franjo Tudjman on August 7 and released to the public on Sunday.
"The time has come for us to undertake, with the necessary resolve, peaceful initiatives to have an end put to this war," Mr. Evert said in his letter.
"This intervention of mine is aimed at contributing to finding a peaceful solution soon and I reaffirm my wish to assist in efforts in this direction." Mr. Evert proposed "a cease-fire agreement" as a first step and then "mutual recognition of the international borders of Bosnia-Herzegovina, Croatia and the Federation of Yugoslavia in the framework of a wider Balkan agreement" which "will convince all s ides that territorial claims no longer exist."
Mr. Evert reiterated his position that the UN Security Council should lift sanctions imposed on Serbia and that the Contact Group's peace plan remained the main proposal for a solution to the problem of Bosnia-Herzegovina.
Greece warned Monday the settling of Croatian Serb refugees in Kosovo could set off the Yugoslav conflict in new directions. "There are no indications that the (Bosnian) war will spread south, but the settlement of Serb refugees in Kosovo could create such conditions," National Defence Under-Secretary Nikos Kouris said after talks with visiting US Congressman Patrick Kennedy.
More than 90 per cent of Kosovo's two million inhabitants are ethnic Albanians. The province was stripped of its autonomous status by Serbian President Slobodan Milosevic in 1989. Tirana has accused Belgrade of trying to colonise Kosovo and called on the international community to pressure Belgrade to stem the flow of Serb refugees from Croatia. Belgrade agency Tanjug said preparations were underway in Kosovo for the relocation of as many as 16,000 Serbs.
The remaining 300 Greeks of the once bustling population of 10,000 on this Aegean island celebrated the feast day of the Virgin Mary with Ecumenical Patriarch Vartholomeos and Archbishop Iakovos of North and South America, both compatriots of Imvrios, with gusto yesterday.
About 300 Greek villagers packed the church in the village of Agridia to hear Patriarch Vartholomeos officiate at mass with the assistance of Archbishop Iakovos. The service was the culmination of three days of festivities commemorating the Virgin Mary, one of the most important celebrations on the Greek Orthodox calendar.
Both Patriarch Vartholomeos and Archbishop Iakovos are from the village of Ayioi Theodoroi and yesterday visited their homes, now derelict, and walked through the streets of the village with visible emotion.
The Imvriots gave both men an enthusiastic welcome at the port on Sunday but no official from the Turkish mainland, which has administered the island since it was ceded to Turkey under the terms of the Treaty of Lausanne in 1923, was present.
The sacred Aegean isle of Tinos was the focal point of celebrations in Greece yesterday marking the feast day of the Virgin Mary and Armed Forces Day.
President Kostis Stephanopoulos, National Defence Under-Secretary Manolis Beteniotis, representing the government, party representatives and regional officials attended mass on the island while thousands of people paid tribute to the holy icon of the Virgin Mary.
After the service, President Stephanopoulos tossed a wreath into the sea at the spot where the Greek destroyer "Elli" was torpedoed in 1940.
In a message on the occasion of Armed Forces' Day yesterday, President Kostis Stephanopoulos praised the work of the Armed Forces, saying it constituted a safeguard of the country's territorial integrity and dignity and defence of peace and the prosperity of the Greek people.
As a member of the European Union, with democracy firmly established and always respectful of the rules of international law and international, Greece was trying to be a factor of calm and stability in the face of the present world instability and particularly the explosive situation prevailing in the Balkans, the president said.
In a similar message, Prime Minister Andreas Papandreou said the country's defence and the prevention of any possible danger was the duty and responsibility of all Greek citizens.
He said the recent dramatic worsening of the situation in former Yugoslavia, the continuous threat from the east, the continuing international crime against the integrity of the Republic of Cyprus and the historic weight of instability in the wider region of the southern Balkans imposed "on our country, defensive readiness and vigilance to safeguard peace and stability in the entire region".
Mr. Papandreou said vigilance was based on the nation's unanimity, the common will of all the Greek political forces, the smooth functioning of institutions and the fighting fitness, ability, equipment and spirit of the Armed Forces.
In his message, Defence Minister Gerasimos Arsenis said Athens was committed to a diplomatic rather than military resolution of the Yugoslav crisis. He said Greece was closely observing developments in the former Yugoslavia and praised his ministry's ready response to thousands of Serb refugees fleeing the Krajina enclave in Croatia. Athens last week sent over 100 tonnes of humanitarian relief to Belgrade to distribute to Serb refugees fleeing into Bosnia after a Croatian offensive.
Main opposition New Democracy party leader Miltiades Evert said at a time when multiple dangers were encircling the country, the role of the Armed Forces was becoming more important. "Merit, efficiency and faith in duty are the basic principles which must govern our Armed Forces," he added.
Former prime minister Constantine Mitsotakis said the readiness and high level of fighting-fitness provided calm and security for the Greek people at a time of dramatic developments in the neighbourhood.
A message by the Political Spring party said the Armed Forces were the country's indefatigable guard and the guarantor of national interests. "Bent on their national mission, they are also present today to safeguard our national independence, particularly at a time when the danger of a flare-up in the Balkans is visible and the threats against our country are many," it added.
Coalition of the Left and Progress leader Nikos Constantopoulos referred to the problems in former Yugoslavia as well as to the need for the elaboration of national strategy in the Balkans, Europe and the Mediterranean. He also expressed his belief that Greece can undertake the political and diplomatic role aimed at stabilisation and peace in the region.
The US Senate has passed a resolution condemning ongoing Turkish provocations against the Ecumenical Patriarchate and the closure of the Halki Patriarchal School of Theology as a violation of international treaties to which Turkey is a signatory.
The lengthy resolution, approved by the Senate on August 11, enumerates established charges against the Turkish authorities and says it is in the best interests of the United States to prevent further incidents regarding the Ecumenical Patriarchate, the spiritual leader, it noted, of millions of US citizens.
It calls on the US government to use its influence with Ankara to ensure the proper protection for the Patriarchate and the reopening of the Halki School and on the president to report on an annual basis to the Congress regarding the status and progress of the concerns expressed.
The Senate also passed a special resolution marking the anti-Greek pogrom in Istanbul in September 1955, calling on the US President to proclaim September 6, 1955, a Day of Memory for the victims of the pogrom.
The leader of the main opposition New Democracy party, Miltiades Evert, met Monday with visiting US Congressman Patrick Kennedy.
ND sources said the meeting, hosted by Mr. Evert at his private residence in Pikermi, was attended by US ambassador to Athens Thomas Niles and a string of ND deputies, including former defence minister and deputy ND leader Ioannis Varvitsiotis.
Speaking to the press later, Mr. Varvitsiotis voiced concern over developments in the Yugoslav crisis, saying Greece was threatened by the recent situation. "So long as there is a fire blazing near your home you can't continue playing backgammon. We must take necessary measures," he said.
"The movement of (the refugee Krajina Serbs) population (to Kosovo) aims at changing the demographic composition (of the area) and I don't know where this could lead us," Mr. Varvitsiotis added. Mr. Kennedy made no statements.
US President Bill Clinton's adviser George Stephanopoulos said his forthcoming tour of Ankara, Nicosia and Athens was part of President Clinton's intensive efforts to remedy Greco-Turkish differences.
Speaking in an interview in Monday's edition of the Greek American community newspaper Proini, Mr. Stephanopoulos let it be understood that the US aimed at playing the same "catalytic" role it had undertaken to resolve differences between Greece and Albania.
Mr. Stephanopoulos expressed optimism that a solution to the question of the Former Yugoslav Republic of Macedonia (FYROM) was very close, saying that both FYROM and Greece were showing "political will" towards normalising their relations.
He stressed that President Clinton had kept all his promises to the US Greek community by contributing to efforts for the release of the five ethnic Greeks in Albania, pressing continuously for progress on the Cyprus issue and following a policy of not establishing full diplomatic relations with FYROM as long as Greece's interests are harmed.
The government reiterated yesterday that an investigation was being carried out into the circumstances surrounding the death of former Greek Moslem deputy Ahmed Sadiq in a road accident last month and that Ankara had no right to intervene in the matter.
"A preliminary investigation is being conducted as provided by Greek law and all modern European legislation and moreover under the direct supervision of a prosecutor," government spokesman Evangelos Venizelos said yesterday, in response to statements by Turkish Minister of State and government spokesman Yildirim Aktuna, who said that an investigation should be held to determine whether Mr. Sadiq's death was indeed accidental.
The spokesman underlined that Mr. Sadiq's relatives had every access to the case documents and were entitled to pursue any matter as civil plaintiffs. But Turkey, as a country, he added, has no particular legalisation to intervene in the matter, "which concerns the injury and death of Greek citizens who are Moslem by religion".
Mr. Sadiq was killed when his car ran into a tractor in northern Greece. His wife and children, who were in the car at the time, were injured in the crash.
Greece's Justice Minister Anastasios Peponis, at the head of a ministerial delegation, began talks with his Albanian counterpart at the Albanian Justice Ministry in Tirana yesterday. Mr. Peponis, who is on an official two-day visit, is expected to discuss problems regarding the execution of obligations resulting from the convention on reciprocal judicial assistance between the two countries.
The talks will also cover the issue of prisons, extradition and transfer of prisoners, information exchange and the extending of assistance in the field of legislation. Albania's Deputy Justice Minister Vladimir Kristo and Greece's ambassador to Tirana were also present at the talks.