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GLOBAL NEWS Daily from GREECE Tuesday, 13 December 2005

PASOK Leader Speaks With Foreign Correspondents in Athens
Main opposition PASOK leader George Papandreou told foreign correspondents in Athens that his party's credibility will, in large, part, determine its election victory in any upcoming poll. Speaking at a Foreign Press Association of Greece luncheon, the former foreign minister said the current Karamanlis government's "untrustworthiness" is demonstrated by the fact that it has not fulfilled its pre-election promises since coming to government in March 2004, while charging that the government is also rudderless. In answer to several topical questions, he said a high-profile draft bill being forcefully promoted by the government to reform and restructure various state-run utilities is not a reform but only part of cursory measures. Additionally, he said the ND government's reforms so far have failed, while adding that the reform packages disrupt labour relations.

More Structural Changes in Economy Needed
The governor of the central bank, Nikos Garganas, said that more structural changes were needed in the economy. "Both the current government and its predecessor took major steps in this area, although this has not been enough," Garganas said in Thessaloniki, where the Bank of Greece's general council held a meeting, also hosting a luncheon for northern business representatives. "The unemployment rate remains unacceptably high despite the fact that the average rate of growth in the last six years is 4.0%. This shows that the problem is structural, that is to say linked to a lack of flexibility in the economy," he noted. Joblessness was running at an average 10% in the first half of 2005.

Labour Minister Meets With Supreme Court Deputy Prosecutor
Labour Minister Panos Panayiotopoulos has met with a Supreme Court deputy prosecutor in the wake of the resignation of the Workers' Housing Organisation (OEK) president over the weekend, following high-profile press reports detailing charges against the latter, Angelos Economopoulos, by the president of the one of the country's largest construction firms, Athens listed Mechaniki's Prodromos Emfietzoglou. In exiting the Supreme Court building in downtown Athens on Monday morning, Panayiotopoulos stressed that neither he nor the prime minister's office received a letter by Emfietzoglou criticising Economopoulos.

Rousopoulos Comments on Syntagma Square Blast
Government spokesman Thodoris Rousopoulos stated today that he will not go into rough estimates regarding the Syntagma Square explosion in Athens, adding that police has issued certain statements and investigation continues. It is an important case, stated Mr. Rousopoulos responding to questions by reporters and added that police intervention was timely. He clarified that in the warning call made to a newspaper the anonymous caller referred to the Ministry of Finance building on Karageorgi Servias Street, while the explosive device had been planted outside the Ministry of Economy building on Nikis Street.

Rousopoulos Called to Comment Cyprus Issue
Government spokesman Thodoris Rousopoulos was called to comment on the statement by Foreign Minister Petros Molyviatis that the course of the Annan Plan was, in a way, agreed in advance by the PASOK government. PASOK has fallen into a number of inconsistencies not only on the Cyprus issue, pointed out Mr. Rousopoulos, adding that everybody is being judged.

Mantouvalos, Emmanouilidis Testifies
Independent Parliamentarian Petros Mantouvalos and lawyer Nikos Emmanouilidis testified before appeals examiners for the implication to the extra-judicial network. After his testimony before Special Appeals Examiner Mr G. Sideris, Petros Mantouvalos, who is accused of legalising revenues from illegal activities and bribery, he was released. Exiting the examiner's office, Mr Mantouvalos said he submitted all evidence proving his innocence to Justice and voiced his satisfaction over the result of his testimony, stressing he is expecting "at least an apology from those who implicated me. They should have known better." He also repeated his implication in the case was the mere attempt of some people to smear his political career. Before entering the office, Mr Mantouvalos said his implication in the case is a "crime and exaggeration" and added, "The Parliament has been misled by inaccurate documents."

Papandreou Holds Meeting with ESIEA
This morning, George Papandreou held a meeting with the Presidency of ESIEA. As the Union's President, Panos Sobolos, noted he briefed the President of PASOK over issues concerning the law of civil liability, pensions, social security and other demands of the sector and invited all journalists to participate in the four-hour work stoppage, from 11am to 3pm, and the rally at Pedion tou Areos. Answering to a question concerning the "dissatisfaction" that Mr Papandreou has voiced at times – the way PASOK events are covered by the Mass Media – Mr Sobolos said the Mr Papandreou did not refer to such issues.