Voice of America, 98-08-05

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From: The Voice of America <gopher://gopher.voa.gov>

CONTENTS

[01] ALBANIA CORRUPTION BY BARRY WOOD (WASHINGTON)

[02] CLINTON / GERMANY / KOSOVO (L) BY DEBORAH TATE (WHITE HOUSE)

[03] HUMANITARIAN CRISIS IN KOSOVO BY JUDITH LATHAM (WASHINGTON)

[04] KOSOVO GRAVES (L) BY ART CHIMES (ORAHOVAC)

[05] RUSSIA / KOSOVO (L ONLY) BY PETER HEINLEIN (MOSCOW)

[06] U-N RIGHTS (L-ONLY) BY LISA SCHLEIN (GENEVA)

[07] EURO STOCKS (S-ONLY) BY PAUL FRANCUCH (LONDON)

[08] N-Y ECON WRAP (S & L) BY BRECK ARDERY (NEW YORK)

[09] WEDNESDAY'S EDITORIALS BY GARY EDQUIST (WASHINGTON)

[01] ALBANIA CORRUPTION BY BARRY WOOD (WASHINGTON)

INTRO: THE WORLD BANK SAYS CORRUPTION IN ALBANIA IS WORSE THAN IT EXPECTED. THE INTERNATIONAL LENDER SCRUTINIZED EUROPE'S POOREST COUNTRY AS PART OF ITS EFFORT TO STEM CORRUPTION IN BORROWER COUNTRIES. V-O-A ECONOMICS CORRESPONDENT BARRY WOOD REPORTS ON THE STUDY OF THE SMALL BALKAN NATION.

TEXT: THE STUDY'S PRINCIPAL AUTHOR, ALBANIAN ECONOMIST ZEF PRECI, FOUND THE RESULTS WORSE THAN HE HAD EXPECTED. A SURVEY OF SOME 500 ALBANIAN ENTERPRISES CONDUCTED EARLIER THIS YEAR FOUND THAT BRIBERY AND THEFT ARE ALMOST NORMAL BUSINESS PRACTICES IN ALBANIA.

ONE HALF OF THE FIRMS SURVEYED ADMITTED TO PAYING BRIBES TO PUBLIC OFFICIALS. THREE QUARTERS OF CONSTRUCTION FIRMS SAID THEY BRIBED OFFICIALS TO OBTAIN BUILDING PERMITS, TAX FAVORS, OR PROCUREMENT CLEARANCE.

FOR THEIR PART, PUBLIC OFFICIALS CONCEDE THAT BRIBERY IS EXTREMELY PREVALENT AND THEFT IS THE MOST COMMON FORM OF CORRUPTION INSIDE GOVERNMENT. THEY SAID IT IS TYPICAL FOR MANY PUBLIC SERVANTS, PARTICULARLY CUSTOMS INSPECTORS, TO PURCHASE THEIR POSITIONS (THROUGH BRIBES).

AND THE CORRUPTION IS NOT LIMITED BUSINESS. HALF OF PRIVATE CITIZENS SURVEYED ADMITTED TO HAVING PAID BRIBES OVER THE PAST SIX YEARS. ONE THIRD OF CITIZENS WHO HAVE APPEARED IN COURT SAY THEY PAID A BRIBE TO RECEIVE FAVORABLE TREATMENT.

THE RESULTS OF THE SURVEY WERE DISCUSSED AT A RECENT (JUNE 30) WORLD BANK WORKSHOP IN TIRANA. MR. PRECI IS NOW EXPANDING HIS RESEARCH TO SURVEY ALBANIAN HOUSEHOLDS AND THE INFORMAL (UNDERGROUND) SECTOR OF THE ECONOMY.

THE WORLD BANK STUDY CONCLUDED THAT CORRUPTION IS WORSE IN COUNTRIES WITH THE WEAKEST INSTITUTIONS -- WHERE THE RULE OF LAW IS ABSENT OR HEAVILY ABUSED. AND CORRUPTION TAKES A HEAVY TOLL ON A NATION'S ECONOMY -- RESTRAINING ECONOMIC GROWTH DISCOURAGING INVESTMENT AND TRADE. THE STUDY SAYS OVERCOMING CORRUPTION IN THE ALBANIAN JUDICIAL SYSTEM SHOULD BE A TOP PRIORITY.

INTERNATIONAL DONORS SAY THE NEW ALBANIAN GOVERNMENT IS COOPERATING IN THE FIGHT AGAINST ENDEMIC CORRUPTION. ANALYSTS STRESS THAT IN A SOCIETY WHERE WAGES ARE VERY LOW (THE PRESIDENT LAST YEAR EARNED ONLY 300 DOLLARS PER MONTH) PUBLIC OFFICIALS ARE PARTICULARLY SUSCEPTIBLE TO BRIBES. IN ADDITION, ALBANIA EXPERIENCED A COLLAPSE OF PUBLIC ORDER FOLLOWING A FINANCIAL SCANDAL THAT SWEPT AWAY THE CENTER RIGHT GOVERNMENT IN EARLY 1997. MR. PRECI SAYS THAT FOR MANY ALBANIANS THEIR SUDDEN IMPOVERISHMENT FROM PYRAMID INVESTMENT DEALS DISCREDITED THE INSTITUTIONS OF A MARKET ECONOMY.

THE SURVEY SUGGESTS THAT ALBANIA IS AMONG THE MOST CORRUPT OF ALL COUNTRIES IN POST-COMMUNIST EUROPE. ONLY UKRAINE, AZERBAIJAN, GEORGIA AND ARMENIA ARE THOUGHT TO APPROACH THE LEVEL OF ALBANIAN CORRUPTION. (SIGNED)
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05-Aug-98 4:39 PM EDT (2039 UTC)
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Source: Voice of America

[02] CLINTON / GERMANY / KOSOVO (L) BY DEBORAH TATE (WHITE HOUSE)

INTRO: THE BLOODSHED IN KOSOVO WAS HIGH ON THE AGENDA AT A MEETING WEDNESDAY BETWEEN PRESIDENT CLINTON AND GERMANY'S SOCIAL DEMOCRATIC PARTY LEADER, GERHARD SCHROEDER -- WHO IS THE FRONTRUNNER IN THE RACE FOR CHANCELLOR NEXT MONTH. V-O-A'S DEBORAH TATE REPORTS FROM THE WHITE HOUSE.

TEXT: MR. SCHROEDER SAYS HE AND MR. CLINTON AGREED ON THE URGENT NEED FOR THE INTERNATIONAL COMMUNITY TO TAKE ACTION TO PUT AN END TO THE VIOLENCE IN KOSOVO, AND THAT ANY INTERNATIONAL INTERVENTION BE CARRIED OUT UNDER A U-N MANDATE.

WHILE NOTING THAT BOTH THE UNITED STATES AND GERMANY OPPOSE INDEPENDENCE FOR ETHNIC ALBANIANS IN KOSOVO, MR. SCHROEDER SAID HE AND THE PRESIDENT DID DISCUSS WHAT LEVEL OF AUTONOMY SHOULD ULTIMATELY BE GRANTED TO THEM. HE SPOKE THROUGH A TRANSLATOR.

INDEPENDENCE OF THE AREA CANNOT BE THE APPROPRIATE POLITICAL TARGET FOR SUCH AN INTERVENTION. THERE WAS DEBATE ABOUT THE QUESTION OF POTENTIAL SELF-DETERMINATION ON A LEVEL BELOW THE LEVEL OF INDEPENDENCE.

ON A SEPARATE ISSUE, MR. SCHROEDER SAYS HE USED THE MEETING WITH THE PRESIDENT TO DEFEND GERMANY'S HANDLING OF BOSNIAN REFUGEES -- SAYING NEWS ACCOUNTS OF WIDESPREAD FORCED DEPORTATIONS HAVE BEEN OVERBLOWN.

LET ME GIVE YOU SOME FACTS AND FIGURES THAT WERE GIVEN TO PRESIDENT (CLINTON) TO SHOW THAT GERMANY HAS TAKEN A CAREFUL AND SENSITIVE STANCE IN DEALING WITH THE RETURN OF BOSNIAN REFUGEES. IF YOU KEEP IN MIND THAT A TOTAL NUMBER OF 350-THOUSAND CAME TO THE FEDERAL REPUBLIC OF GERMANY, AND THEN CONSIDER THAT ONLY TWO-THOUSAND OUT OF THOSE 350-THOUSAND WERE RETURNED AS ENFORCED RETURNS, VERY OFTEN THOSE HAD CRIMINAL RECORDS. ONE-HUNDRED-FIFTY-THOUSAND BOSNIAN REFUGEES STAYING IN GERMANY FOR TRANISTIONAL PERIOD HAVE VOLUNTARILY RETURNED TO THEIR HOME TERRITORIES.

OTHER ISSUES DISCUSSED AT THE MEETING INCLUDED CYPRUS AND ASIA'S FINANCIAL CRISIS.

THE TWO MEN ALSO DISCUSSED THE ECONOMIC SITUATION IN GERMANY. MR. SCHROEDER'S IDEAS ABOUT TACKLING THE COUNTRY'S HIGH UNEMPLOYMENT RATE AND IMPROVING ITS STRAINED SOCIAL SYSTEMS HAVE COME UNDER CRITICISM FOR BEING TOO VAGUE. MR. CLINTON WANTED TO HEAR THE PROPOSALS FOR HIMSELF.

ACCORDING TO PUBLIC OPINION POLLS, MR. SCHROEDER'S SOCIAL DEMOCRATIC PARTY HAS A GOOD CHANCE OF DEFEATING CHANCELLOR HELMUT KOHL'S CHRISTIAN COALITION IN ELECTIONS SET FOR SEPTEMBER 27TH.

HIS VISIT TO WASHINGTON IS AIMED AT EXPANDING HIS LIMITED FOREIGN POLICY CREDENTIALS, AND TO ASSURE THE UNITED STATES THAT THE CLOSE RELATIONSHIP THE TWO COUNTRIES ENJOY WILL CONTINUE NO MATTER WHO WINS THE VOTE.

ALTHOUGH MR. CLINTON CONSIDERS CHANCELLOR KOHL TO BE ONE OF HIS CLOSEST ALLIES, HE WILL NOT BECOME INVOLVED IN THE CAMPAIGN, ACCORDING TO WHITE HOUSE SPOKESMAN P-J CROWLEY.

THE PRESIDENT REMAINS NEUTRAL ON THE UPCOMING GERMAN ELECTION.

GERMAN POLITICAL ANALYSTS SAY MR. SCHROEDER'S CAMPAIGN STRATEGY IS MODELED TO A GREAT EXTENT ON THAT USED BY MR. CLINTON IN HIS 1992 AND 1996 BIDS FOR THE PRESIDENCY. HE HAS EMPHASIZED ECONOMIC ISSUES, SUCCESSFULLY USED THE MEDIA TO GET HIS MESSAGE OUT, AND SOUGHT TO MOVE HIS PARTY MORE TO THE CENTER. (SIGNED)
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05-Aug-98 4:04 PM EDT (2004 UTC)
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Source: Voice of America

[03] HUMANITARIAN CRISIS IN KOSOVO BY JUDITH LATHAM (WASHINGTON)

INTRO: INTERNATIONAL EFFORTS HAVE INCREASED TO END THE FIGHTING IN THE SERBIAN PROVINCE OF KOSOVO, WHERE SERBIAN SECURITY FORCES HAVE BEEN ATTACKING ETHNIC ALBANIAN SEPARATISTS. BECAUSE OF THE FIGHTING, U-S ENVOY CHRISTOPHER HILL SAID [TUESDAY, 8/4/98] THE REGION IS ON THE VERGE OF A HUMANITARIAN NIGHTMARE. BUT, A NUMBER OF BALKAN ANALYSTS SAY THAT KOSOVO IS ALREADY IN THE MIDST

TEXT: FORMER STATE DEPARTMENT OFFICIAL JOHN FOX, WHO DIRECTS THE WASHINGTON OFFICE OF THE OPEN SOCIETY INSTITUTE, SAYS THE HUMANITARIAN SITUATION IN KOSOVO IS "DRAMATICALLY WORSENING."

TAPE: CUT ONE -- FOX (1:15) "IT'S A NIGHTMARE COME TRUE. THERE'S ARE TENS OF THOUSANDS OF NEW DISPLACED PERSONS -- REFUGEES -- IN THE LAST 24 HOURS, IN ADDITION TO THE SCORES OF THOUSANDS SINCE LAST WEEK. WE HAVE A RAPIDLY ESCALATING HUMANITARIAN DISASTER ON OUR HANDS, NOT JUST A PENDING CATASTROPHE. WE'VE GOT MORE PEOPLE UP IN THE MOUNTAINS. THE SERBIAN FORCES ARE HAVING A FIELD DAY. THEY HAVE UNDERSTOOD THERE TO BE A BRIGHT GREEN LIGHT FROM THE INTERNATIONAL COMMUNITY, STARTING WITH THE UNITED STATES, THAT NOTHING IS GOING TO BE DONE ON THIS, NOTHING IS BEING DONE. AND IT IS WOMEN, CHILDREN, THE ELDERLY WHO ARE, OF COURSE, THE OVERWHELMING VICTIMS IN THIS, AS IN BOSNIA. [OPT] AND MORE VILLAGES BEING BURNED TODAY. THE DRENICA REGION IS UNDER MAJOR ATTACK. THIS IS A FORCED POPULATION EXPULSION, JUST AS IN BOSNIA. AND IT IS CLOAKED UNDER AN ANTI-TERROR ACTION. BUT THE EVIDENCE IS OVERWHELMING ABOUT WHAT THIS IS. AND THE INTERNATIONAL COMMUNITY IS VERY SLOWLY OPENING ONE EYE TO WHAT IT HAS WROUGHT WITH ITS POLICY." [END OPT]

TEXT: MR. FOX SAYS THE ACCESS FOR HUMANITARIAN RELIEF THAT YUGOSLAV PRESIDENT SLOBODAN MILOSEVIC REPEATEDLY ASSURED TO AMBASSADOR HILL AND TO RUSSIAN PRESIDENT BORIS YELTSIN HAS BEEN BLOCKED. MR. FOX SAYS THERE ARE TWO MAJOR PROBLEMS. FIRST, MOST OF THOSE AREAS WHERE THE HUMANITARIAN NEED IS GREATEST HAVE BEEN CUT OFF.

TAPE: CUT TWO -- FOX (1:04) "THERE ARE WHOLE NEW AREAS UNDER ATTACK. THERE HAVE BEEN SELECTIVE PENETRATIONS OF THESE AREAS BY SOME HUMANITARIAN GROUPS. IT'S A DROP IN THE BUCKET COMPARED TO WHAT IS NEEDED. WE'VE NOW GOT WELL OVER 300,000 DISPLACED PERSONS INSIDE KOSOVO. YOU'VE GOT ANOTHER 600,000 OR 700,000 UNDER SIEGE OF ONE KIND OR ANOTHER, A FOOD BLOCKADE. ABOUT A MILLION PEOPLE, A MILLION CIVILIANS, IN SERIOUS TO DESPERATE NEED OF HUMANITARIAN ASSISTANCE, MEDICAL ASSISTANCE, FOOD, AND VERY LITTLE ASSISTANCE GOING INTO THEM. [OPT] THE TACTIC TODAY IS THAT THE SERBIAN FORCES WILL MAKE INCIDENTS AT CHECKPOINTS AND THEN CLAIM THAT IT'S TOO DANGEROUS FOR JOURNALISTS OR EVEN DIPLOMATS TO GO IN BEYOND CERTAIN LINES. MOST IMPORTANT, THE INTERNATIONAL COMMUNITY IS DOING NOTHING TO FORCE ACCESS. IT'S WORSE THAN BOSNIA IN FACT. IN BOSNIA AT A MINIMUM WE HAD A SUBSTANTIAL INTERNATIONAL HUMANITARIAN PRESENCE. WE AT LEAST HAD A 'FEED THE VICTIMS' POLICY. WE DON'T EVEN HAVE THAT HERE." [END OPT]

TEXT: THE SECOND PROBLEM, JOHN FOX SAYS, IS THAT THE INTERNATIONAL MACHINERY NEEDED TO FACE THE HUMANITARIAN CRISIS HAS NOT BEEN GEARED UP SUFFICIENTLY.

TAPE: CUT THREE -- FOX (0:32) "THE ASSISTANCE THAT IS IN KOSOVO RIGHT NOW IS ESSENTIALLY GEARED FOR THE PRE-FEBRUARY HUMANITARIAN NEEDS, IN OTHER WORDS, BEFORE THE WAR WAS LAUNCHED. SO, THE CAPACITY IN COUNTRY, THE INTERNATIONAL PRESENCE IS VERY, VERY LOW. I THINK THE NUMBER OF PEOPLE WHO ARE THERE ARE DOING AS GOOD A JOB AS THEY CAN. BUT AGAIN, THERE'S JUST NOT BEEN THE BEGINNING OF FACING THIS HUMANITARIAN CHALLENGE -- 15 PERCENT DISPLACED, AND OVER HALF THE POPULATION UNDER SIEGE OR BLOCKADE."

TEXT: JOHN FOX SAYS WHAT MAKES THE SITUATION WORSE IS THAT SERBIAN AUTHORITIES HAVE RENEWED THE FOOD BLOCKADE IN RECENT WEEKS.

TAPE: CUT FOUR -- FOX (0:30) "THEIR FORCES ARE BURNING FIELDS, CROPS, PREVENTING HARVESTING, BLOCKING CONVOYS. THERE HAVE BEEN SOME INSTANCES OF SEIZING HUMANITARIAN WAREHOUSE GOODS. IF THESE ATTACKS, SIEGES, AND ATTROCITIES, CLEANSING, FORCED DISPLACEMENTS STOPPED TODAY, WE WOULD STILL HAVE A HUMANITARIAN DISASTER ON OUR HANDS IN THE WEEKS AND MONTHS TO COME, BUT OF COURSE IT ISN'T STOPPING, IT'S CONTINUING WITH ABANDON."

TEXT: MR. FOX SAYS THE HUMANITARIAN CRISIS HAS INTENSIFIED IN THE PAST TWO WEEKS BECAUSE THERE HAS NOT BEEN A STRONG ENOUGH "LEAD FROM THE UNITED STATES" TO PUT PRESSURE ON SERBIA TO END ITS MILITARY OFFENSIVE IN KOSOVO.

TAPE: CUT FIVE -- FOX (0:53) "BUT, WE ALSO DON'T SEE A VERY STRONG LEAD FROM EUROPE ON THIS. EUROPE IS GOING TO HAVE TO PULL ITSELF TOGETHER ON THIS, BECAUSE EUROPE IS GOING TO GET THE REFUGEES. THERE ARE A LOT OF PEOPLE GETTING OUT, QUIETLY THROUGH MACEDONIA. TENS OF THOUSANDS HAVE COME THROUGH MACEDONIA. THERE ARE MANY WHO ARE STAYING, TRYING TO STAY. THE INTERNAL STABILITY THERE IS GETTING SHAKIER BY THE WEEK. THE U-S ONCE AGAIN HAS FAILED TO LEAD IN ANYTHING LIKE A SENSIBLE, TOUGH DIRECTION, FAILED TO HEED THE LESSONS THAT THIS ADMINISTRATION LEARNED AND FINALLY APPLIED IN BOSNIA, WHICH AMBASSADOR [RICHARD] HOLBROOKE AND OTHERS HAVE NOT CEASED REPEATING, ABOUT THE PAST, WHICH IS, THE U-S HAS TO LEAD, FORCE MUST BACK ANY EFFECTIVE DIPLOMACY, AND INTERVENTION HAS TO COME EARLY. ALL OF THESE LESSONS ARE BEING IGNORED AT THIS POINT."

TEXT: JAMES HOOPER, FORMER U-S DIPLOMAT AND DIRECTOR OF THE BALKAN ACTION COUNCIL IN WASHINGTON, D-C, SAYS THE WEST HAS FAILED TO GRASP THE MAGNITUDE OF KOSOVO'S HUMANITARIAN CRISIS.

TAPE: CUT SIX -- HOOPER (1:19) "KOSOVO IS FACING A HUMANITARIAN DISASTER THAT THE WEST HAS ONLY BARELY BEGUN TO COMPREHEND. FIFTEEN PERCENT OF KOSOVO'S POPULATION IS ON THE MOVE -- IN ROADS, IN TEMPORARY HOUSING, ELSEWHERE IN KOSOVO, IN ALBANIA, IN MACEDONIA, IN MONTENEGRO -- 300,000 PEOPLE WITH ANOTHER 600,000 OR 700,000 KOSOVARS FEARFUL THAT THEY WILL BE SHORTLY ON THE MOVE, NOT KNOWING WHERE THEY ARE GOING TO GET THEIR FOOD AND WHAT THEY NEED FOR THE WINTER. IT IS SOLELY A RESULT OF SERBIAN ETHNIC CLEANSING. VILLAGES ARE BEING RAZED. THEY DESTROY HOUSES, LIVESTOCK. THEY BURN ORCHARDS AND FIELDS. THEY PREVENT RELIEF AGENCIES FROM GETTING DESPERATELY NEEDED SUPPLIES TO PEOPLE IN NEED. THEY'VE ARRESTED RELIEF WORKERS FROM THE MOTHER THERESA SOCIETY. IT IS A HUMANITARIAN DISASTER, AND THE ONLY THING THAT WILL STOP THIS DISASTER FROM GROWING AND COMPOUNDING ITSELF IS A CREDIBLE USE OF FORCE BY THE UNITED STATES AND NATO AGAINST THE SERBIAN MILITARY THAT IS CONDUCTING THESE ATTACKS."

TEXT: FORMER U-S DIPLOMATS JAMES HOOPER AND JOHN FOX SAY THE WEST WILL ULTIMATELY BE FORCED TO ACT TO ALLEVIATE THE HUMANITARIAN CRISIS IN KOSOVO AND THE THREAT TO STABILITY IN THE BALKANS. DELAYING A DECISION, THEY ADD, WILL SERIOUSLY LIMIT WESTERN DIPLOMATIC OPTIONS IN THE REGION.
05-Aug-98 3:26 PM EDT (1926 UTC)
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Source: Voice of America

[04] KOSOVO GRAVES (L) BY ART CHIMES (ORAHOVAC)

INTRO: SERBIAN OFFICIALS IN YUGOSLAVIA'S EMBATTLED KOSOVO PROVINCE TODAY (WEDNESDAY) DENIED PRESS REPORTS OF HUNDREDS OF ETHNIC ALBANIANS BEING KILLED LAST MONTH AND BURIED IN A MASS GRAVE. V-O-A CORRESPONDENT ART CHIMES VISITED THE SCENE OF THE ALLEGED MASSACRE AND FILED THIS REPORT.

TEXT: AUTHORITIES ESCORTED JOURNALISTS TO A BURIAL SITE ON THE OUTSKIRTS OF ORAHOVAC, WITH THE STINKING REMAINS OF A FARM ANIMAL IN A DUSTY FIELD LITTERED WITH GARBAGE. WOODEN STICKS HELD CARDBOARD SIGNS WITH THE NAMES OF SOME OF THE DEAD.

POLICE SPOKESMAN BOZIDER FILIC SAID 40 PEOPLE ARE BURIED HERE -- FIGHTERS OF THE KOSOVO LIBERATION ARMY WHO HAD DIED IN THE BATTLE FOR ORAHOVAC TWO-AND-A-HALF WEEKS AGO. ONLY EIGHT OF THEM WERE IDENTIFIED.

COLONEL FILIC SAID THE BODIES WERE BURIED AS THEY WERE FOUND OVER THE LAST TWO WEEKS. HE ASSURED JOURNALISTS THERE ARE NO MORE BODIES.

BUT SOME LOCAL RESIDENTS ARE NOT SO SURE.

THE GERMAN NEWSPAPER "TAGESZEITUNG" QUOTES A GRAVEDIGGER AS SAYING 567 PEOPLE WERE BURIED IN A MASS GRAVE NEAR ORAHOVAC. AND 22-YEAR-OLD ETHNIC ALBANIAN KADRI DINA SAYS HE IS CONVINCED THERE IS A MASS GRAVE.

HE SAYS THE NUMBER OF BODIES IN THE NEWSPAPER REPORT SOUNDS RIGHT. PEOPLE IN TOWN HAVE BEEN TALKING, HE SAYS.

MR. DINA IS ONE OF A SMALL NUMBER OF RESIDENTS WHO HAVE RETURNED HOME AFTER FLEEING THE TOWN WHEN FIGHTING BROKE OUT.

DOZENS OF PEOPLE DIED WHEN THE REBELS TRIED TO TAKE ORAHOVAC. THE GUERRILLA OFFENSIVE TRIGGERED A SERB COUNTEROFFENSIVE WHICH IS CONTINUING, DESPITE ASSURANCES LAST WEEK BY YUGOSLAV PRESIDENT SLOBODAN MILOSEVIC THAT IT HAD ENDED.

IN NEARBY MALISEVO, JOURNALISTS SAW BUILDINGS ON FIRE, AND OTHERS STILL SMOLDERING. MALISEVO WAS, UNTIL RECENTLY, A GUERRILLA STRONGHOLD. BUT THE NOW-DESERTED TOWN HAS BEEN CONTROLLED BY SERBS FOR TWO WEEKS. ALBANIANS HAVE ACCUSED SERBS OF LOOTING AND SETTING FIRE TO THEIR PROPERTY. IT'S IMPOSSIBLE AT THE MOMENT TO INDEPENDENTLY VERIFY WHO SET THE FIRES IN MALISEVO. BUT THE LOCAL ALBANIAN POPULATION IS GONE, AND IT APPEARS THE ONLY PEOPLE IN TOWN ARE THE SERB POLICE.

OFFICIALS FROM PRESIDENT MILOSEVIC ON DOWN HAVE URGED ETHNIC ALBANIANS TO RETURN TO THEIR HOMES. LOCAL OFFICIALS HERE IN ORAHOVAC SAY WATER AND ELECTRICITY SERVICES ARE BEING RESTORED, BUT MANY HOUSES WERE DAMAGED OR DESTROYED, AND VIRTUALLY EVERY PLACE OF BUSINESS IS CLOSED.

TENS OF THOUSANDS OF ETHNIC ALBANIANS HAVE FLED THEIR HOMES IN THE WAKE OF THE LATEST FIGHTING, AND MANY ARE LIVING OUT IN THE OPEN, IN AREAS WHERE AID AGENCIES CAN NOT REACH THEM. (SIGNED)
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05-Aug-98 12:49 PM EDT (1649 UTC)
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Source: Voice of America

[05] RUSSIA / KOSOVO (L ONLY) BY PETER HEINLEIN (MOSCOW)

INTRO: RUSSIA HAS DISPATCHED A DIPLOMATIC MISSION TO YUGOSLAVIA TO HELP MEDIATE THE CRISIS IN KOSOVO. VOA'S PETER HEINLEIN REPORTS FROM MOSCOW THAT RUSSIA REMAINS FIRMLY OPPOSED TO MILITARY INTERVENTION TO END THE CONFLICT.

TEXT: RUSSIA'S DEPUTY FOREIGN MINISTER NIKOLAI AFANASYEVSKY FLEW TO BELGRADE WEDNESDAY FOR TALKS WITH YUGOSLAV AND SERBIAN LEADERS. HE IS ALSO SCHEDULED TO VISIT KOSOVO'S CAPITAL, PRISTINA, FOR TALKS WITH ETHNIC ALBANIAN REPRESENTATIVES.

DIPLOMATIC SOURCES IN MOSCOW SAY THE RUSSIAN MISSION IS SIMPLY TO SPELL OUT TO BOTH SIDES THAT THE FIGHTING MUST STOP.

RUSSIA HAS TRADITIONALLY SUPPORTED THE SERBS, AND STRONGLY OPPOSED ANY WESTERN MILITARY INTERVENTION. LESS THAN TWO MONTHS AGO, YUGOSLAV PRESIDENT SLOBODAN MILOSEVIC WAS WELCOMED AT THE KREMLIN FOR TALKS WITH RUSSIAN PRESIDENT BORIS YELTSIN. AT THE TIME, MR. MILOSEVIC PROMISED TO STOP HITTING CIVILIAN TARGETS IN KOSOVO AND TO LET REFUGEES GO HOME. BUT WITH THOSE PROMISES NOW IN TATTERS, AND WITH FRESH CALLS FOR AIR STRIKES AGAINST SERB SECURITY FORCES IN KOSOVO, DIPLOMATIC SOURCES SAY RUSSIA WILL TRY TO EXERT PRESSURE ON MR. MILOSEVIC TO BE MORE FORTHCOMING.

A FOREIGN MINISTRY OFFICIAL IN MOSCOW SAYS MR. AFANASYEVSKY WILL ALSO EMPHASIZE TO AUTHORITIES IN KOSOVO THAT INDEPENDENCE IS NOT A WORKABLE OPTION. THE OFFICIAL SAYS DESPITE TOUGH TALK IN SEVERAL NATO CAPITALS, THERE IS PRESENTLY LITTLE LIKELIHOOD OF AIR STRIKES AGAINST THE SERBS WITHOUT MOSCOW'S ACQUIESCENCE.

[06] U-N RIGHTS (L-ONLY) BY LISA SCHLEIN (GENEVA)

INTRO: THE UNITED NATION'S TOP HUMAN RIGHTS OFFICER, MARY ROBINSON, SAYS SHE IS APPALLED BY THE SITUATION IN THE SERBIAN PROVINCE OF KOSOVO AND CONSIDERS THE HUMAN RIGHTS SITUATION THERE TO BE A TOP PRIORITY. LISA SCHLEIN IN GENEVA REPORTS MS. ROBINSON ALSO HOPES TO STRENGTHEN THE U-N HUMAN RIGHTS PRESENCE IN TROUBLED CONGO-KINSHASA.

TEXT: U-N HUMAN RIGHTS CHIEF MARY ROBINSON SAYS SHE'S IN THE PROCESS OF WORKING OUT WAYS IN WHICH HER OFFICE CAN HELP THOSE MADE HOMELESS BY THE CONFLICT IN KOSOVO AND THOSE WHO ARE FOUND TO BE VICTIMS OF HUMAN RIGHTS ABUSE.

MS. ROBINSON SAYS SHE IS CLOSE TO CONCLUDING AN AGREEMENT WITH THE SERBIAN GOVERNMENT TO OPEN A HUMAN RIGHTS OFFICE IN THE KOSOVO CAPITAL, PRISTINA. IN THE MEANTIME, SHE NOTES U-N HUMAN RIGHTS OFFICERS ARE ALREADY CARRYING OUT A NUMBER OF IMPORTANT ACTIVITIES THERE. SHE SAYS THEY ARE REPORTING FAIRLY AND OBJECTIVELY ON THE HUMAN RIGHTS SITUATION IN KOSOVO.

THEY ALSO HAVE BEEN TRACKING MISSING PERSONS, WHICH IS A HUGE PROBLEM AND A VERY REAL HUMAN PROBLEM. THEY HAVE BEEN REPORTING ON THE ABDUCTION OF SERB CIVILIANS, AS WELL AS PROBLEMS FOR THE KOSOVAR -- THE ALBANIAN MAJORITY POPULATION. THEY HAVE BEEN REPORTING AND SEEKING FURTHER INFORMATION ON DEATHS IN DETENTION.

MS. ROBINSON ALSO SAYS SHE'S DEEPLY CONCERNED ABOUT RECENT DEVELOPMENTS IN CONGO-KINSHASA. ON SUNDAY, TROOPS IN THE EASTERN TOWNS OF GOMA AND BUKAVU REVOLTED AGAINST THE GOVERNMENT OF LAURENT KABILA. FIGHTING HAS SINCE SPREAD, AND SHOOTING HAS BEEN REPORTED IN THE CAPITAL, KINSHASA. THE U-N HAS A HUMAN RIGHTS OFFICE IN KINSHASA. MS. ROBINSON SAYS SHE HOPES TO ESTABLISH STRONGER LINKS WITH, WHAT SHE CALLS, THE VERY VIBRANT HUMAN RIGHTS COMMUNITY THERE.

SHE SAYS THE GROUPS OPERATE UNDER EXTREMELY DIFFICULT CIRCUMSTANCES.

... YOU HAVE SOME 50-MILLION PEOPLE WHO ARE NOT ONLY LIVING IN A SITUATION OF DESPERATE POVERTY AND LACK OF COHERENCE OF GOVERNMENT ADMINISTRATION. BUT, THE SITUATION IS LOOKING AS THOUGH IT IS WORSENING.

MARY ROBINSON SAYS HUMAN RIGHTS IS ALSO UNDER THREAT IN OTHER COUNTRIES IN THE REGION. SHE SAYS SHE REGRETS THAT THE RWANDAN GOVERNMENT TOLD U-N OBSERVERS TO LEAVE THE COUNTRY. BUT, SHE SAYS SHE'S HOPEFUL THAT THE GOVERNMENT WILL RECONSIDER ITS DECISION AND ALLOW THE HUMAN RIGHTS MONITORS BACK IN. (SIGNED)
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05-Aug-98 9:57 AM EDT (1357 UTC)
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Source: Voice of America

[07] EURO STOCKS (S-ONLY) BY PAUL FRANCUCH (LONDON)

INTRO: SHARE PRICES ON KEY WEST EUROPEAN EXCHANGES FELL SHARPLY (WEDNESDAY) IN REACTION TO THE 300-POINT PLUNGE ON WALL STREET THE DAY BEFORE. BUT SIGNS OF NEW YORK'S RECOVERY HELPED BOOST SOME EUROPEAN PRICES BEFORE TRADING SESSIONS ENDED. MORE FROM V-O-A'S PAUL FRANCUCH IN LONDON.

TEXT: THE EUROPEAN MARKETS OPENED WITH PRICES TAKING A STEEP PLUNGE -- THIS IN REACTION TO WALL STREET, AND CONTINUING CONCERNS OVER ASIAN MARKETS. FRANKFURT, LONDON, AND PARIS ALL CLOSED WITH SHARE PRICES OFF BY ALMOST TWO-PERCENT IN A DAY OF VOLATILE TRADING.

WHILE HIGHER MIDDAY PRICES ON WALL STREET HELPED CALM JITTERY NERVES OF EUROPEAN INVESTORS AND RAISE PRICES SOMEWHAT, MANY MARKET ANALYSTS EXPECT CONTINUED MARKET TURBULENCE IN THE DAYS TO COME.

BOTH THE BRITISH "FINANCIAL TIMES" 100 STOCK INDEX AND THE GERMAN "DAX" CLOSED OFF ABOUT 104-POINTS. THE PARIS "CAC 40" INDEX WAS DOWN ABOUT 71-AND-A-HALF POINTS.

IN EUROPEAN CURRENCY TRADING, THE U-S DOLLAR SHOWED LITTLE CHANGE AGAINST THE JAPANESE YEN, THE BRITISH POUND AND THE GERMAN MARK. (SIGNED)
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05-Aug-98 2:00 PM EDT (1800 UTC)
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Source: Voice of America

[08] N-Y ECON WRAP (S & L) BY BRECK ARDERY (NEW YORK)

INTRO: STOCK PRICES IN THE UNITED STATES WERE UP TODAY (WEDNESDAY) AFTER A DIZZYING SESSION WHICH FEATURED WIDE SWINGS IN MAJOR STOCK AVERAGES. VOA CORRESPONDENT BRECK ARDERY REPORTS FROM NEW YORK.

TEXT: THE DOW JONES INDUSTRIAL AVERAGE CLOSED AT 85 HUNDRED 46, UP 59 POINTS. THE STANDARD AND POOR'S 500 INDEX CLOSED AT ONE THOUSAND 81, UP NINE POINTS. VOLUME ON THE NEW YORK STOCK EXCHANGE WAS THE SECOND HIGHEST IN HISTORY AT 857 MILLION SHARES.

IT WAS A DAY OF FRUSTRATING ATTEMPTS TO RALLY. EVERY TIME STOCK PRICES BEGAN RISING SIGNIFICANTLY, SELLING PRESSURE KNOCKED THEM BACK DOWN AGAIN. THE INDUSTRIAL AVERAGE SWUNG BACK AND FORTH FROM 80 POINTS UP TO MORE THAN 120 POINTS DOWN. FINALLY, IN THE LAST 20 MINUTES OF TRADING, A RALLY TOOK HOLD WHICH LASTED UNTIL THE CLOSING BELL ON THE NEW YORK STOCK EXCHANGE.

TO SOME EXTENT, THE CURRENT STOCK MARKET SITUATION INVOLVES AN ARGUMENT BETWEEN TECHNICAL AND FUNDAMENTAL ANALYSTS. ON TUESDAY, INFLUENTIAL TECHNICAL ANALYST RALPH ACAMPORA SAID THE MARKET IS NOW ENTERING A REAL 'BEAR" OR DOWNWARD PHASE. MANY TECHNICAL THEORIES DO PREDICT A STEEP DOWNWARD CORRECTION IN STOCK PRICES.

BUT ANALYSTS WHO JUDGE STOCK PRICES BASED ON ECONOMIC FUNDAMENTALS SAY THIS SELL-OFF MAKES LITTLE SENSE, BECAUSE THE FUNDAMENTALS HAVE NOT CHANGED IN THE LAST FEW DAYS.

ALAN ACKERMAN OF THE FAHNESTOCK INVESTMENT COMPANY EXPECTS STOCK PRICES WILL SLOWLY RECOVER.

THE FUNDAMENTALS OF COMPANIES, THE U-S ECONOMY, INTEREST RATES AND INFLATION ARE REALLY ATTRACTIVE. MY FEELING IS THAT THIS MARKET MAY PULL OUT OF THIS DOWNTURN BUT IT IS GOING TO TAKE A BIT OF TIME.

THE U-S CENTRAL BANK SAYS THAT, ALTHOUGH THE U-S ECONOMY IS GENERALLY HEALTHY, THE FINANCIAL CRISIS IN ASIA IS DEFINITELY HURTING U-S EXPORTS. IN A REPORT (BEIGE BOOK), THE CENTRAL BANK ALSO SAID INFLATION WILL REMAIN LOW BECAUSE COMPETITIVE PRESSURES WILL PREVENT COMPANIES FROM RAISING PRICES.

GENERAL MOTORS CHAIRMAN JACK SMITH SAYS THE COMPANY WILL CLOSE PLANTS, CUT WORKERS AND ELIMINATE SOME MODELS IN AN EFFORT TO CUT COSTS. THE COMMENT COMES ON TOP OF G-M'S RECENT ANNOUNCEMENT THAT IT WILL SPIN-OFF ITS DELPHI PARTS DIVISION INTO AN INDEPENDENT COMPANY.

THOSE RECENT STRIKES AT G-M COST THE COMPANY A 38 PERCENT DOMESTIC SALES DROP IN JULY. A COMPANY SPOKESMAN CONCEDES IT MAY TAKE SEVERAL MONTHS FOR G-M TO REGAIN ITS SALES MOMENTUM.

THE ALLIED SIGNAL COMPANY HAS LAUNCHED AN ALMOST 10 BILLION DOLLAR HOSTILE TAKEOVER ATTEMPT AGAINST AMP, A LEADING PRODUCER OF ELECTRICAL CONNECTION EQUIPMENT. ANALYSTS SAY ALLIED'S EFFORTS MAY BE HAMPERED BY THE FACT THAT AMP IS BASED IN THE STATE OF PENNSYLVANIA WHICH PROVIDES COMPANIES WITH BROAD PROTECTION AGAINST UNWANTED TAKEOVERS.(SIGNED) NEB/NY/BA/LSF/PT
05-Aug-98 5:05 PM EDT (2105 UTC)
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Source: Voice of America

[09] WEDNESDAY'S EDITORIALS BY GARY EDQUIST (WASHINGTON)

INTRO: SOME OF THE EDITORIAL TOPICS IN AMERICAN NEWSPAPERS TODAY CONCERN MORE DIFFICULTIES WITH IRAQ; FIGHTING IN CONGO-KINSHASA; AND PRESIDENTIAL ISOLATION. NOW, HERE WITH A CLOSER LOOK, IS __________________ AND TODAY'S U-S EDITORIAL DIGEST.

TEXT: TALKS BETWEEN IRAQ'S DEPUTY PRIME MINISTER TARIQ AZIZ AND U-N CHIEF ARMS INSPECTOR RICHARD BUTLER HAVE COLLAPSED. IRAQ HAS DEMANDED THE U-N COMMISSION DECLARE IRAQ FREE OF ALL BANNED WEAPONS, SOMETHING HE IS NOT WILLING TO DO. "THE ORLANDO [FLORIDA] SENTINEL" ADVISES IN ITS LEAD EDITORIAL -- NO BACKING DOWN WITH IRAQ.

VOICE: IRAQ'S BELLIGERENCE CAN ONLY DISRUPT THE PROGRESS ALREADY MADE. IRAQ'S LEADERS APPEAR TO FORGET THAT THE UNITED NATIONS MUST DECIDE WHEN ENOUGH IS ENOUGH. THAT IS NOT IRAQ'S CALL. IRAQ HAS A SIMPLE AND SWEEPING OBLIGATION: FULL DISCLOSURE. /// OPT /// ... [IRAQI LEADER SADDAM] HUSSEIN'S PUSHING MATTERS TO THE BRINK MAY MEAN ANOTHER TUG-OF-WAR. BUT, AS EARLIER THIS YEAR, THE INTERNATIONAL COMMUNITY SHOULD EXERCISE A BIT OF PATIENCE AND A LOT OF DIPLOMACY. MR. HUSSEIN COOPERATES BEST WHEN MILITARY FORCE LOOMS ON THE HORIZON. IF IT COMES TO THAT, THE UNITED STATES AND ITS ALLIES SHOULD NOT BACK DOWN. /// END OPT ///

TEXT: "THE CHRISTIAN SCIENCE MONITOR" WRITES THAT -- PRESIDENT HUSSEIN WILL TRY ANOTHER SHOWDOWN TO END U-N SANCTIONS TO GET FULL OIL REVENUES FLOWING. THE "MONITOR" SUGGESTS THERE MAY BE ANOTHER REASON FOR THE CURRENT SITUATION.

VOICE: THERE IS SPECULATION THAT HE [PRESIDENT HUSSEIN] MAY SEE PRESIDENT CLINTON'S [MONICA] LEWINSKY PROBLEMS AS PROVIDING AN OPENING. THAT COULD BE ANOTHER MISCALCULATION BY THE OTHERWISE CLEVER LEADER WHO BLUNDERED DISASTROUSLY IN INVADING IRAQ, GASSING KURDISH SEPARATISTS, AND INVADING KUWAIT. HE MIGHT PROVIDE [PRESIDENT] CLINTON BOTH A CRISIS AND A VILLAIN TO DIVERT AMERICANS' ATTENTION FROM SCANDAL HEADLINES.

TEXT: U-S NEWSPAPERS CONTINUE TO FOLLOW DEVELOPMENTS IN THE ALLEGATIONS OF MISCONDUCT AGAINST THE PRESIDENT. MR. CLINTON REPEATEDLY HAS DENIED HAVING AN AFFAIR WITH FORMER WHITE HOUSE INTERN MONICA LEWINSKY AND TRYING TO COVER IT UP ILLEGALLY. "THE BOSTON [MASSACHUSETTS] GLOBE" WRITES ABOUT -- THE INCREASING ISOLATION OF THE MODERN PRESIDENCY.

VOICE: FOR LEGITIMATE REASONS, EVEN THE MOST OUTGOING PRESIDENT IS USUALLY BARRED FROM ORDINARY CONTACT WITH ORDINARY PEOPLE. /// OPT /// THIS CAN LEAD TO A BADLY SKEWED VIEW OF THE WORLD, AND HAS. ONE NEED LOOK BACK NO FARTHER THAN PRESIDENTS LYNDON JOHNSON AND RICHARD NIXON. /// END OPT /// TO INFLICT ON SUCH A TRAPPED PERSON A FEAR THAT EVERYONE AT HIS ELBOW MAY ONE DAY BE A WITNESS FOR THE PROSECUTION IS TO INVITE ONE DISASTROUS PRESIDENCY AFTER ANOTHER.

TEXT: REBEL TUTSI SOLDIERS ARE FIGHTING TO OVERTHROW CONGO-KINSHASA PRESIDENT LAURENT KABILA. /// OPT /// FIGHTING HAS BEEN REPORTED IN SEVERAL CITIES. THE KABILA GOVERNMENT HAS ACCUSED RWANDA OF BACKING THE CONGOLESE REBEL TROOPS AND HAS VOWED TO RETALIATE. /// END OPT /// "THE NEW YORK TIMES" WRITES FEW AFRICAN LEADERS HAVE SQUANDERED POLITICAL OPPORTUNITIES FASTER THAT CONGO'S PRESIDENT, LAURENT KABILA.

VOICE: LESS THAN 15-MONTHS AFTER SWEEPING THE CORRUPT DICTATORSHIP OF MOBUTU SESE SEKO FROM POWER, MR. KABILA FACES A SERIOUS MILITARY REVOLT. /// OPT ///... MR. KABILA'S PLIGHT IS MAINLY THE RESULT OF HIS OWN MISTAKES. ... MR. KABILA'S UNDISCIPLINED TROOPS NEVER SUCCEEDED IN PACIFYING THE EASTERN BORDER REGION. /// END OPT /// ... WITH THE NEW INSURGENCY ADVANCING RAPIDLY, MR. KABILA'S BEST HOPE FOR RALLYING SUPPORT LIES IN BROADENING AND DEMOCRATIZING HIS RULE. BUT HIS RECORD TO DATE PROVIDES NO BASIS FOR OPTIMISM.

TEXT: WITH THAT COMMENT, WE CONCLUDE THIS SAMPLING OF TODAY'S EDITORIALS FROM THE U-S PRESS.
NEB/GE/RAE
05-Aug-98 11:20 AM EDT (1520 UTC)
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Source: Voice of America

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