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CONFLICTS
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CO-CHAIRMEN WILL ADDRESS QUESTIONS TO OSKANIAN AND MAMEDIAROV IN LONDON
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Source: “Azg” newspaper (Armenia) [April 09, 2005]
Author: Tatul Hakobian
4 Main Issues of Kocharian-Aliev Meeting Are Clarified
On April 15, a meeting of OSCE Minsk Group co-chairmen with Foreign
Ministers of Armenia and Azerbaijan, held separately, will take place
in London. Based on the information “Azg” received from diplomatic
channels, the mediators will address several questions to Vartan
Oskanian and Elmar Mamedov for clarifying the positions of Baku and
Yerevan.
On April 5, Russian Co-chairman Yury Merzlakov stated that a package
of proposals will be presented to the parties in London. The
Co-chairman did not provide any other details, however, it should be
mentioned that the parties to the conflict will face the demand for
making concessions. Armenian diplomatic circles do not confirm
Merzlakov’s statement about presenting a package of proposals to the
conflicting sides.
Official Yerevan also does not confirm the statements of Baku about an
agreement reached for the meeting between Oskanian and Mamediarov in
London. The day before, Mamediarov and Azerbaijani Foreign Minister
Araz Azimov again confirmed the fact that the meeting will take place.
Press secretary of RA Foreign Ministry Hamlet Gasparian in the
conversation with “Azg” was uncertain about the question why
Azerbaijan constantly discusses the same point, which is not even
agreed upon. Moreover, one of OSCE Minsk Group co-chairmen Yury
Merzlakov also stated that separate meetings of the mediators with the
Foreign Ministers of both countries will be held in London.
Gasparian noted that it is useless argument and the Armenian side is
not willing to participate in such disputes.
According to the publications in the Azerbaijani press, deputy Foreign
Minister Araz Azimov stated that in the issue of Armenian-Azerbaijani
conflict settlement, there are “main elements” whose resolution is an
inalienable part of settlement process. As Azimov holds, “the main
elements” are eliminating the consequences of the conflict,
i.e. withdrawal of Armenian forces from the territories controlled by
Karabagh troops, restoration of infrastructures, return of the
refugees, creation of ties and settlement of political issues.
Azimov stated that Baku keeps insisting on the return of the 7
regions. On the other hand, Azerbaijan refers to the stage-by-stage
option as unacceptable, considering the problem of “simultaneous
liberation of the territories”. In other words, Baku is not against
Armenia’s gradual withdrawal from the security belt. As for the
concessions to be made by Azerbaijan to this effect, the Azerbaijani
press remains silent.
By the way, agenda issues are clarified for the regular meeting of the
Presidents of Armenia and Azerbaijan. Based on the information by
“Azg”, there are 4 of them and they are related to Karabagh status,
elimination of the conflict consequences: security belt, guarantees,
return of the refugees.
The venue for the regular meeting is already mentioned. It might be
Moscow or Warsaw. On May 8-9, events devoted to the 60-year
anniversary of victory over the fascism will be held in the Russian
capital. Unofficial CIS summit will also be held. On May 16-17,
Council of Europe summit will be held in Warsaw. Apparently, Kocharian
and Aliev will conduct negotiations in the capital of Poland.
}
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ECONOMY
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“COORDINATED POLICY” OR MAKING MONEY AT THE EXPENSE OF THE STATE. THIS
TIME IT WAS MADE AT TURKISH CREDIT
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Sour ce: “Kwiris Palitra” Weekly (Georgia) [April 10, 2005]
Author: Khatuna Paychadze
Tbilisi is still engaged in investigating the details about the
Turkish credit of 50 million dollars received 12 years ago. It was
another case of breaking passions over the decision by the government
commission “to write off” the debt amounting to 25 million dollars
from “Bread Products Corporation” joint stock company. The President
of the company was Anzor Burdjanadze 12 years back, father of the
Chairman of Georgian Parliament, Nino Burdjanadze. The Commission made
a decision to return the money to the Turkish side from Georgian state
budget. The opposition was quick to accuse the government in
patronizing the Burdjanadze family – the state gives millions to the
powerful clan as a “gift”. “Kwiris Palitra” newspaper attempted to
find out the real state of affairs and the attitude of Anzor
Burdjanadze to the Turkish credit of 25 million USD.
On February 12, 1993 an agreement was made between Turkish
“Export-CreditBank” and Georgian “Export-ImportBank” in accordance to
which the Turkish side allocated a 50 million dollar credit to Georgia
for three years. In accordance with the decision of the Georgian
government back then, the credit was distributed among the following
organizations: “Coca Cola” limited liability company, “Rustavcement”,
“Aragvi” joint stock company, “Geva” limited liability company,
Shulaver factory on wool processing and production, Ministry of Trade
and Material Resources, Ministry of Transport and Communication
(currently both Ministries are annulled or restructured and renamed),
“Bread Products Corporation” joint stock company.
In 1996, an agreement was made between Georgian Ministry of Finance
and “United Georgian Bank” (legal successor of “Export-ImportBank”),
imposing on the Ministry the obligation for covering the dept in
question.
This fact immediately provoked serious disagreement. A special state
commission was set up to exercise control over the process of
distributing and paying off the credit. It was then that the “Bread
Products Corporation”, headed by Anzor Burdjanadze came into
spotlight. The tastiest morsel of the Turkish credit (11 million
dollars) fell into the share of this organization. The corporation
failed to pay this money to Turkey and the debt remained a burden on
the “state”.
The Commission, set up in 1997 for control over the process of
distributing and paying off the credit, decided that since the bread
was sold at the price set by the government and the budget received
the necessary sums got from the sale, “Bread Products Corporation”
should be free of any obligations under the credit agreement. Despite
the fact that the Ministry of Finance agreed with this decision, on
March 10, 2003 it suddenly filed a suit against “Bread Products
Corporation” to the court of Tbilisi. The Ministry stated that the
corporation did not meet any of the obligations under the agreement,
and starting from November 1994 it has not invested a cent in the
budget. Consequently, by 2003 the debt of the corporation surpassed 25
million dollars. The Ministry of Finance demanded that the corporation
pay off the debt.
The Ministry of Finance lost the case in the court since it appeared
to have granted a letter of credit for 5 million USD with a
corresponding obligation at the Turkish bank. The proceedings, started
in times of Edward Shevarnadze, continued after “rose revolution” in
the Supreme Court. It is a paradox that after several sessions of the
court the Ministry of Finance practically ceased to participate in
further hearings. The representatives of the Ministry of Finance,
seemingly interested in winning the proceedings, ceased to attend the
court sessions.
In March 2004, then General Prosecutor Irakly Okruashvili showed
interest in this case and even made a speech on television. His
assistant, Valery Khaburdzania took up the baton in epistolary genre
with the same claim to the Ministry of Finance, Zurab Nogaideli. The
letter stated that the Ministry’s attitude is not adequate for the
Turkish credit situation.
The court proceedings between the Ministry of Finance and “Bread
Products Corporation” joint stock company ended up with the government
commission, headed by Prime-Minister Zurab Nogaideli, adopting a
decision for writing off the debt. Thus, 25 million dollars will be
returned to the Turkish side from the state budget. The opposition
grew furious, whereas father of the Chairman of Parliament, Anzor
Burdjanadze qualified the situation as outright provocation, “For each
accusation on Turkish credit I will apply to the court. First, when
the credit was taken, I was not the Director of the
corporation. Second, the corporation was the only one among the 8
organizations getting a credit not in the form of money. Within the
credit limits, the Turks imported 76 thousand tons of grain and 15
thousand tons of flour. Third, the corporation, as a state
organization, is liquidated since 1996. However, the debt being still
present, it remained in the “air”, ! therefore I turned to the
authorities with the request for writing off the debt… At present,
Burdjanadze family is “discussed”, attempts are made to “hit” Nino –
Speaker of Georgian Parliament”.
“Kwiris Palitra” newspaper turned to the President of National Bank of
Georgia, Roman Gotsiridze, Head of the Parliamentary Committee on
Financial and Budget Issues. He answered to the inquiry of the
newspaper, “Then, the government imposed a responsibility on the
corporation for supplying bread products to the population at a
symbolic price. Naturally, the corporation sustained
losses. Therefore, the damage should be compensated by the
government”. “Then why did the Ministry of Finance file a suit?” the
newspaper asks.
Expert on economic issues, former President of the National Bank,
Dzhavakhishvili holds that the reason is in “latent policy”. “The
Ministry of Finance would not be able to win the case against `Bread
Products Corporation’ joint stock company”. The point is that the
government issued a special decision according to which the
organizations under its jurisdiction, “Corporation” being among them,
were to sell the bread not at market price but symbolically. Thus, the
suits and claims of the Ministry of Finance are logically
groundless. The corporation was not allowed to sell the bread; it was
actually forced to distribute it freely. Where could it have taken the
money? It might have been a coordinated policy – money making. It is
difficult to determine the one responsible for drafting the government
decision; still I do remember Anzor Burdjanadze, invited at government
sessions, stating emotionally that the prices for bread ! cannot be
increased, since the country will be starving. Once I could not help
asking – What is he running:”Bread Products Corporation” or a Social
Security Fund? Burdjanadze was supposed to take professional interest
in getting income and not being an altruist. However, the real state
of affairs was different. The standardized (symbolic price) bread was
scarce and it was practically absent in the regions. The counters
displayed another type of bread next to the “standardized ” type – the
“commercial” one. Back then, there were no other large bread producers
besides the “Corporation”. Huge money was made. Everybody knew about
it but no one spoke out. That’s all about the credit we had from
Turkey”, Mr. Dzhavakhishvili stated to “Kwiris Palitra” newspaper.
}
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NEIGHBOURS
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ARMENIAN TURK EDITOR: ARMENIANS ARE POLITICAL MATERIAL FOR EUROPE
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Source: “Turkish Daily Newspaper” (Turkey) [April 12, 2005]
Author:
‘Merkel doesn’t aim at recognition of the genocide, she just wants to
prevent Turkey’s EU membership’
A proposal to the German Parliament by Germany’s conservative
opposition alleging that 1.5 million Armenians were killed by the
Ottoman Empire in 1915 is actually intended to prevent Turkey’s
accession to the European Union, Hrant Dink, editor in chief of the
bilingual Armenian-Turkish Agos weekly, has claimed.
Speaking in Frankfurt over the weekend at a meeting concerned with the
actual historic dimension of the Armenian issue, Dink argued that
Europe had played a significant role in the events of 1915, CNN-TURK
TV reported.
“Armenians, even today, are being exploited politically by Europe,”
Dink was quoted as saying by the station.
The Christian Democratic Union (CDU) and the Christian Social Union
(CSU) submitted the proposal urging the German government to push for
Turkey to “look without reservations at its role regarding the
Armenian people in the past, and, indeed, the present” and to
“champion the freedom of public opinion in Turkey, particularly that
concerning the massacre of Armenians.” CDU leader Angela Merkel is
known for her opposition to Turkey’s EU bid and once proposed a
“privileged partnership” for Turkey instead of full membership.
“Merkel doesn’t aim at recognition of the genocide, she just wants to
prevent Turkey’s EU membership,” Dink said. He went on to say that the
Turkish government is unafraid of pressure from the international
community concerning the allegations of Armenian genocide; however, it
is hesitant in front of its own people as the issue can only be
resolved via human consciousness.
The German opposition’s move came before April 24, the 90th
anniversary of the alleged genocide against Armenians at the hands of
the former Ottoman Empire. The Armenians have stepped up their
campaign for international recognition of the claims as the 90th
anniversary of the alleged genocide approaches.
Turkey denies the Armenian allegations, saying the death count is
inflated and that Armenians were killed or displaced along with many
others as the Ottoman Empire tried to quell civil unrest. }
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INT. STRUCTURES
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ARMENIA IS A HALT TO SOUTH CAUCASUS INTEGRATION IN NATO
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Source: “Zerkalo” newspaper (Azerbaijan) [April 11, 2005]
Author: J. Sumerinly, M. Mejidly
The experts are confident that simultaneous membership of Baku and
Yerevan in this military bloc is impossible
Armenia’s relations with NATO, as well as bilateral relations with
European countries and USA, will be further developed. However, this
development will not proceed at the expense of Armenia’s cooperation
within Organization for Collective Security Agreement and
Armenian-Russian relations. Secretary of National Defense Council of
RA President, Defense Minister Serj Sargsian stated about it at the
joint press conference with Lithuanian Defense Minister Gediminas
Kirkilas (“Regnum”).
Serj Sargsian gave a negative response to the question if development
of the military technical component in Armenia-NATO relations is
possible, “No, it is not, though our armament of Russian and Soviet
production might have some deficiencies, however, posing that question
in economic or political context would be a mistake”. On his behalf,
Lithuanian Defense Minister stated that Lithuania, as a NATO member,
was ensured not only security but also experienced considerable
economic growth. In his opinion, before accession to NATO Lithuania
had certain fears that the relations with Russia will get worse,
however the fears were not justified. On the contrary, Lithuania
solved all problems with Russia before joining NATO.
According to him, Lithuania activated cooperation with all South
Caucasus countries. To this purpose, an embassy will be opened in
Tbilisi for a military attaché to work there. “We have not come to
Armenia for telling her which structure to join – it is her own
decision. However, Lithuania on its behalf welcomes integration
processes”, Kirkilas stated. After the meeting, the parties signed an
open cooperation agreement.
As “Zerkalo” reports, in the coming days a visit of G. Kirkilas is
expected in Azerbaijan. Though press service of the Defense Ministry
does not provide adequate information, we have the information that
Lithuanian Minister’s visit will proceed along the plane of Azerbaijan
integration in NATO. In the course of the visit, meetings with
President Ilham Aliev, Defense Minister Safar Abiev and Foreign
Minister Elmar Mamediarov are expected.
As experts hold, NATO’s “conquest” of the South Caucasus will be put
to life in 2005. Thus, the scheme will be based on the experience of
Baltic countries. At present, the program of assisting the region will
involve, alongside the NATO old-timers – Great Britain, Germany and
Turkey – the Baltic states as well. As a reminder, starting from May
last year, the Baltic states were resolute to solve the problems of
South Caucasus countries and their integration in NATO. They are also
willing to help the South Caucasus countries in setting up border
services.
Based on the information we have, a special format is planned for each
country of the region to strengthen NATO positions in the Caucasus. In
case of successful implementation of IPAP plan by Azerbaijan and
Georgia, accession to MAP organization will be quite
facilitated. Besides, establishment of a “College of Regional Defense”
is planned in the South Caucasus. The experts think that the main
intention is setting up of radar stations and stationing of “AVAKS”
planes for defending the air corridor.
According to other experts, starting from 2005 NATO has developed its
relations with South Caucasus countries, using the experience of
cooperation with the Baltic states. “Armenia is a `halt’ to South
Caucasus integration in NATO”, military expert, colonel-lieutenant in
reserve Uzeyir Djafarov stated to “Zerkalo”. In his opinion, if
Armenia had friendly relations with the countries of the region and
was clever in choosing its strategic allies, all the three countries
of the South Caucasus would reach more tangible results on the way to
NATO integration. U. Djafarov also noted that Georgia is most active
in NATO integration for now. Thus, official Tbilisi is interested in
holding necessary reforms for reaching the stated objective.
“In this issue, it is difficult to draw a parallel between Georgia and
Azerbaijan, whereas Armenia’s cooperation with NATO is still at
initial stage. If the level of NATO integration is conditionally
placed in 100-point scale, Georgia may score all 100 points,
Azerbaijan – 40, Armenia – 20”, U. Djafarov holds. The expert also
mentioned the destructive role of Mountainous Karabagh conflict on the
way to NATO integration. “Azerbaijan and Armenia are accepted as
members in various international organizations by agreement, however
NATO integration is another matter. It is difficult to make any
predictions about Armenia’s accession to NATO. Armenia, using the
factor of Karabagh conflict, creates obstacles on the way of
Azerbaijan integration in NATO”, U. Djafarov stated.
“If not for the Karabagh conflict, Azerbaijan and Armenia would be
more developed. In this case, Azerbaijan would have no political
problems for becoming member of this structure, and Armenia would be
free from Russian `patronage’ and able to make its own decisions”,
U. Djafarov emphasized.
On his behalf, the President of Azerbaijan-NATO Partnership
Association, Sulheddin Akber stated about the necessity of changing
the regional geopolitical balance in favor of Azerbaijan. According to
S. Akber, at present the Caspian, Azerbaijan in particular, gradually
acquires strategic importance for USA and NATO in particular. He
accused the Azerbaijani authorities of incompetence in making the
right strategic choice.
“In 1997, Armenia signed military political alliance with Russia,
based on which it agreed to the stationing of Russian military bases
on its territory for 25 years. In this respect, Azerbaijan, for
changing the geo-strategic balance in the region at its advantage, had
to intensify relations with NATO and USA. Unfortunately, Azerbaijan is
on the wrong path”, S. Akber stated. According to the expert,
Azerbaijan should turn to NATO with the request for accession in this
structure. “This idea is also favored by US. In case of NATO
membership, we will get still larger international support. The
country, with some of its lands occupied, needs strong military
political support, and Azerbaijan, using NATO mechanisms, may
favorably strengthen its positions on international arena”, S. Akber
noted.
On his behalf, Director of the Center of Democratic Civil Control over
Azerbaijani Armed Forces, resigned major Alekber Mamedov stated that
Armenia’s intention for NATO and US cooperation may impede
Azerbaijan’s progress on international arena. “The NATO member
countries do not distinguish among the South Caucasus
countries. However, in the issue of cooperation with the West, the
South Caucasus countries are rivals. We should not lose our chance in
this struggle. Azerbaijani will in any case preserve its leadership in
the region”, A. Mamedov stated.
According to the expert, Armenia’s military cooperation with USA and
NATO may result in delay of Karabagh conflict settlement. “The point
is that as a result of this cooperation, Armenia will considerably
strengthen its positions in the opinion of the West. Besides, Armenia
will attract the attention of the international community, which means
improvement of the welfare of the Armenian people. If Armenia takes
this path, it will leave Georgia and Azerbaijan behind, therefore our
country should impede Armenia-US military cooperation of by all
means”, A. Mamedov emphasized. }