No. 114, 18 June 1992

BUSH, YELTSIN AGREE TO SLASH STRATEGIC ARSENALS. In an announcement
that went beyond what most observers expected, Presidents George
Bush and Boris Yeltsin agreed on 16 June to make deep cuts in
their countries' strategic nuclear weapons over the next decade.
According to news agency accounts, these cuts will be in two
stages: by the year 2000 each country would retain 3,800 - 4,250
nuclear warheads on strategic missiles, of which 1,000 could
be on land-based missiles. The Russians would be allowed to keep
roughly 600 warheads on so-called "heavy" missiles. These would
be banned in the second stage, which would run until 2003. The
total limit for this stage would be 3,000-3,500 missile warheads
for each country. Yeltsin and Bush are to sign an agreement on
17 June outlining these cuts, with the actual treaty to be completed
within three months. (Doug Clarke)

YELTSIN APPEALS FOR SUPPORT. After the two presidents concluded
the accord on nuclear weapons, the summit shifted to economics,
Western agencies reported on 16 June. Yeltsin asked Bush to "exert
moral influence" on the IMF so it does not impose overly rigid
conditions on Russia. Yeltsin's spokesman Vyacheslav Kostikov
said that Yeltsin told Bush that the Russian people are getting
tired over the fact that the reform has yet brought few results
and that there is danger of a "political landslide" that could
lead to "some other political forces taking power in Russia."
(Alexander Rahr)

ARMENIA THREATENS TO WITHDRAW FROM CIS. Armenian government officials
warned on 16 June that Armenia would withdraw from the CIS if
member states fail to provide military assistance under the terms
of the mutual defense pact signed in Tashkent in mid-May, The
Los Angeles Times reported on 17 June. The head of the Armenian
delegation to the CSCE preparatory peace talks in in Rome similarly
threatened to withdraw from the talks if participants do not
call for a ceasefire at the 17 June session. Meanwhile fierce
fighting continued in the Askeran raion of Nagorno-Karabakh and
around the town of Lachin, that commands the roadlink between
Armenia and Nagorno-Karabakh. In an interview published in the
Tehran Times on 16 June, Iran's ambassador to Azerbaijan stated
that Iran would not undertake another mediation attempt in the
Armenian-Azerbaijani conflict unless both sides withdrew from
the territory they have occupied over the past six weeks. He
denied rumors circulating in Baku that Iran had provided arms
to Armenia. (Liz Fuller)

SITUATION AROUND "OSTANKINO" TELEVISION. Pro-Communist demonstrators
continued their protest in front of the "Ostankino" TV center
in Moscow, the Russian media reported on 16 June. The centrist
opposition to Yeltsin's leadership (the Democratic Party of Russia
and the Christian Democratic Party) and the Democratic Russia
movement strongly condemned the Communist protest. The leader
of the Democratic Party of Russia, Nikolai Travkin, also criticized
the head of "Ostankino" TV, Egor Yakovlev, for giving in to the
Communists' demand to give them regular broadcasting time on
the first channel of Russian TV. Travkin complained that his
party represents a legal and constructive opposition to Yeltsin
yet is deprived of access to Russian TV. The government of Moscow
also criticized Yakovlev's agreement with the Communists. The
government instructed the militia to end the protest action.
(Vera Tolz)

GORBACHEV UNDER ATTACK. The Russian leadership is selectively
releasing documents to discredit the former Communist regime
and its leaders, including former President Mikhail Gorbachev.
According to Reuters on 16 June, Russian vice premier Mikhail
Poltoranin indicated that the documents will destroy any possibility
of Gorbachev making a political comeback. Gorbachev, who received
several honors during his private tour of Israel, joked during
his visit to Christian holy places in Jerusalem that he is the
"last socialist, paying homage to the first socialist, Jesus
Christ," ITAR-TASS reported on 16 June. (Alexander Rahr)

MEETING ON CORRUPTION AND CRIME. The fifth meeting of the permanent
inter-institutional consultancy board for protection of the interests
of individuals and society from organized crime and corruption
took place under the chairmanship of State Secretary Gennadii
Burbulis in the Kremlin, ITAR-TASS reported on 15 June. Interior
Minister Viktor Yarin stated that serious corruption has emerged
in the Russian banking system and urged the parliament to investigate
the Central Bank. Burbulis asserted that while the work of intelligence,
state security and militia structures has been coordinated, there
is still a lack of cooperation with the custom service, the tax
agency, and the State Committee for Antimonopolist Policy. (Alexander
Rahr)

UKRAINE SIGNS PARIS CHARTER. On 16 June, during his official
visit to Paris, Ukrainian president Leonid Kravchuk signed the
Paris Charter on human rights and democratic principles, making
Ukraine an official member of the CSCE, CIS and Western agencies
reported.(Bohdan Nahaylo)

UKRAINE AND FRANCE TO DEVELOP CLOSER RELATIONSHIP. On 16 June,
the presidents of France and Ukraine signed a bilateral friendship
and cooperation treaty in Paris, CIS and Western agencies reported.
Expressing his support for Ukraine's integration into European
structures, President Mitterand pointed out that this is the
first such agreement that Ukraine has signed with a Western European
state. The treaty consists of a preamble and 22 articles covering
cooperation in a broad range of fields, including the military,
communications, energy, environment, space, and health spheres.
Among other things, it foresees meetings between the foreign
ministers of the two countries "at least twice a year," and summits
between its leaders "by mutual accord." (Bohdan Nahaylo)

KARIMOV VISITS SOUTH KOREA. Uzbek President Islam Karimov arrived
in Seoul on 16 June for a four-day official visit, ITAR-TASS
reported. He is the first CIS head of state to visit South Korea
since the disintegration of the USSR. In addition to holding
talks with Korean government leaders, Karimov plans to visit
major industrial centers. Although he has been less inclined
than some other Central Asian leaders to see South Korea as a
potential development model, interest in the Korean development
experience, as well as his quest for foreign investment, have
presumably motivated Karimov's visit. He will travel on to Malaysia
and Indonesia. (Bess Brown)

CENTRAL ASIANS MAKE PLEA TO JAPAN. A representative of Japan's
Ministry of Foreign Trade was quoted by an ITAR-TASS correspondent
on 15 June as saying that during an investigative mission to
Kazakhstan, Uzbekistan and Turkmenistan earlier this month, all
three countries had appealed for Japanese assistance in the transition
to a market economy. Officials of the three countries had asked
for more Japanese investment in infrastructure development and
economic and technological assistance in environmental protection.
(Cassandra Cavanaugh)

GERMAN-KAZAKH ECONOMIC COOPERATION COUNCIL MEETS. The first session
of the German-Kazakh Economic Cooperation Council, a governmental
organization bringing together economic officials of both countries,
is holding its first session in Bonn, RFE/RL correspondent Michael
Wall reported on 16 June. The participants are working on an
investment protection agreement; the German government has already
given two credit guarantees worth 100 million marks apiece for
Kazakh projects, and further applications are to be discussed.
German Economics Ministry State Secretary Dieter von Wuerzen
told Wall that German business is very interested in trade with
Kazakhstan, which is the first CIS country to meet German government
conditions for credit guarantees. (Bess Brown)

KAZAKH PIPELINE TO TURKEY? Talks will begin this week between
Turkey and Kazakhstan to review the feasibility of building a
pipeline from oilfields in Kazakhstan to Turkish ports. The pipeline
would aid Turkey's oil transport industry, hurt by UN sanctions
against Iraq, and facilitate the export of Kazakh oil from newly
developed fields. Turkey has also proposed building a pipeline
for natural gas from Turkmenistan and for oil from Azerbaijan.
(Cassandra Cavanaugh)

OPPOSITION PARTIES CALL ON ARMENIAN GOVERNMENT TO RESIGN. The
leaders of the Dashnaktsyutyun, the Armenian Association for
National Self-Determination and other radical opposition parties
called on 16 June for the Armenian government's resignation,
arguing that it was betraying the interests of the Armenian people
in adopting a conciliatory stance over Nagorno-Karabakh, Radio
Rossii reported quoting the Snark news agency. The Dashnak Party
further repeated its earlier call for the Armenian government
to recognize and establish diplomatic relations with the self-proclaimed
Nagorno-Karabakh Republic. (Liz Fuller)

MOLDOVAN NEGOTIATIONS LAUNCHED. On 11 June the Moldovan Parliament,
with the participation of most deputies from the left bank of
the Dniester (who interrupted their boycott of the parliament),
voted nearly unanimously on a list of 6 principles for a political
settlement of the conflict in eastern Moldova. The principles
are far closer to Chisinau's views than to the terms hitherto
demanded by Tiraspol with Moscow's support. On the same day the
parliament empanelled a joint commission of deputies and other
representatives from both banks to draft an accord based on those
principles until 16 June, Moldovapres reported. Local observers
consider that a split has developed between the Russian leaders
of the self-styled "Dniester republic" and the majority of the
left bank deputies, most of whom are Russians and Ukrainians.
(Vladimir Socor)

MOLDOVAN NEGOTIATIONS HIT IMPASSE. On 16 June the joint commission
presented to the Moldovan Parliament a draft peace accord of
13 points, four of which were not approved by the left-bank representatives,
Moldovapres reported. The Parliament went on to approve all of
the 13 points, with the left bank deputies present but not participating
in the vote. One of the main disputes centers on Tiraspol's demand
for the withdrawal of Moldovan police from its remaining bridgeheads
on the left bank. (Vladimir Socor)

"DNIESTER" LEADERS REJECT ANY SETTLEMENT SHORT OF RECOGNITION
AS "REPUBLIC". Meanwhile, in Tiraspol, the self-styled "Dniester
republic Supreme Soviet Presidium" rejected the whole package,
reaffirming its demand for recognition as a republic. In addition,
the "Dniester" presidium refused to disband the "Dniester" paramilitary
forces and insisted that Russia's 14th Army remain in eastern
Moldova. The presidium also warned that it would continue military
operations, Moldovapres reported. (Vladimir Socor)

"DNIESTER" LEADER ENVISAGES POSSIBLE ACCESSION TO RUSSIA. Interviewed
on Russian TV's "Vesti" on 12 June while on an "unofficial visit"
to Moscow, the self-styled "Dniester republic president" Igor
Smirnov was asked whether his would-be republic would decide
to join the Russian Federation. Smirnov replied that "this would
be decided by the people." He called on Russia and Ukraine meanwhile
to guarantee the would-be republic's independence as a "more
appropriate [action] at the present stage". Smirnov's suggestion
of a possible union with Russia in the future comes on the heels
of a similar suggestion by Russia's Foreign Minister Andrei Kozyrev
(see Daily Report of 16 June). (Vladimir Socor)

YELTSIN SIGNS DECREE ON COSSACKS. On 15 June Yeltsin signed a
decree reviving the rights of the Cossacks, the London Times
reported on 16 June. The decree recognizes the Cossacks' right
to practice their traditional forms of local government and communal
land ownership in areas where they predominate. It also instructs
the defense ministry to draw up proposals for deploying Cossacks
in the armed forces, particularly for protecting the frontier
and maintaining public order. The decree thus goes a long way
towards meeting Cossack demands. (Ann Sheehy)

TATAR VICE PRESIDENT SAYS FULL INDEPENDENCE NOT POSSIBLE. Tatarstan
Vice President Vasilii Likhachev said in an interview published
in Handelsblatt on 16 June that it would hardly be possible for
Tatarstan to make a complete break with Russia. For instance,
to set up controls on Tatarstan's borders with Russia would harm
the republic's foreign trade. Likhachev said that Tatarstan had
no plans at present to eliminate the use of the ruble. Its goal
was a treaty with Russia that recognized its political independence.
Tatarstan would then delegate certain powers to Russia. (Ann
Sheehy)

MONEY FOR NEEDS OF SERVICEMEN. The Russian Federation government
issued a directive on 16 June that called for monies accrued
from the sale of existing military properties and equipment to
be directed toward improving living conditions for servicemen,
veterans, and their families, ITAR-TASS reported. Konstantin
Lazarev, identified as an aide to the Chairman of the Russian
Defense Ministry Committee for Insuring the Social Protection
of Servicemen, said that over 300,000 families of servicemen
are now in need of housing, and that "many tens of millions of
rubles and dollars" earned from such sales would go into a program
for housing construction, professional retraining, and to provide
start-up business capital for discharged soldiers. A mechanism
for effecting this program is to be prepared within a month's
time. (Stephen Foye)



CENTRAL AND EASTERN EUROPE

"MILITARY AGREEMENT" SIGNED BY CROATIA AND BOSNIA-HERZEGOVINA.
The 17 June Washington Post says that Bosnian President Alija
Izetbegovic announced "a formal military alliance" between his
republic and Croatia the previous day. Details and possible ramifications
of the pact are still unclear. Both republics have been the victims
of Serbian aggression, and some prominent public figures in both
states have argued that the two should have long begun to cooperate
more closely. There has been much talk in recent weeks of some
sort of eventual confederation between the two republics; historically
Croats and Muslims have tended to cooperate against a common
Serbian enemy. Many Muslims nonetheless suspect that Croatian
President Franjo Tudjman is anti-Muslim, and note that he has
discussed partitioning Bosnia-Herzegovina with Serbian leaders.
(Patrick Moore)

OTHER DEVELOPMENTS IN THE YUGOSLAV AREA. Western news agencies
on 16 June said that the Serbian opposition is divided over its
immediate course of action. A Serbian Democratic Party official
called for giving new "Yugoslav" President Dobrica Cosic "a little
time" to show what his intentions are, while the Serbian Renewal
Movement dubbed Cosic's election a cosmetic move by "the most
hated regime in the world" to preserve itself. Belgrade students
said they would continue their sit-in until Serbian President
Slobodan Milosevic resigns. Meanwhile in Bosnia-Herzegovina,
Serbian forces apparently have refused to clear out their gun
positions near Sarajevo airport, which is a precondition for
any UN relief operation to the besieged capital. French Defense
Minister Pierre Joxe said that the UN has asked his country,
Egypt, and Russia to contribute to a 1,000-strong peace-keeping
group for the airport. The 17 June Washington Post says that
the US is willing to take part in a humanitarian airlift if a
cease-fire truly takes hold. (Patrick Moore)

CZECHOSLOVAK CRISIS UPDATE. Vaclav Klaus, leader of the Civic
Democratic Party (ODS) is to meet with Vladimir Meciar, head
of the Movement for a Democratic Slovakia (HZDS), on 17 June.
Two previous rounds of talks between Klaus and Meciar on forming
a new federal government were unsuccessful. On 16 June Klaus
met with Czechoslovak President Vaclav Havel, who briefed him
on his talks with Meciar on Monday. Klaus then told reporters
that the deadlock must be broken soon and that the ODS will submit
its program for a future federal government at the meeting. Havel
said he believes an agreement may be possible. However, Meciar
told reporters in Vienna on 16 June that if Czech leaders continue
to reject his call for a confederation of two sovereign states,
Slovakia will have to go it alone. He also said that Slovakia
will not restore socialism. Fears are being expressed that the
uncertainty about the future of the country may hurt the economy.
(Barbara Kroulik)

PAWLAK PRESSES ON. Polish Prime Minister Waldemar Pawlak announced
on 16 June that the prospective government coalition partners
have virtually reached agreement on economic issues. PAP reports
that the Confederation for an Independent Poland (KPN) has unexpectedly
abandoned its demand for an "open budget" (unlimited deficit
spending) in return for a pledge that the government assist indebted
firms by allowing banks to trade bad debts for state bonds. Doubts
remain as to the chances of Pawlak's success, however, largely
because of the refusal of the Christian National Union (ZChN)
to join a government headed by the leader of a "postcommunist"
party. During talks on 16 June with the Democratic Union, ZChN
leaders proposed the formation of a government based on parties
from the Solidarity tradition but also including Pawlak's Polish
Peasant Party. A spokesman for President Lech Walesa expressed
concern that coalition-building is proving so time-consuming
and announced that the president "will probably be forced to
undertake actions to facilitate the functioning of the executive."
He suggested that Pawlak appoint temporary heads for key ministries.
(Louisa Vinton)

POLISH AGENTS' LIST RAISES EYEBROWS. Asfurther prominent former
opposition activists come forward to protest their inclusion
on the list of alleged secret police collaborators released to
the parliament on 4 June, the credibility of the screening process
adopted by the Olszewski government continues to drop. Sejm speaker
and ZChN leader Wieslaw Chrzanowski announced at a press conference
on 16 June that his name was also on the list, despite the lack
of documents in his file suggesting collaboration. This revelation
was a sobering one for Chrzanowski's party, which has enthusiastically
backed the lustration process initiated by Internal Affairs Minister
and ZChN member Antoni Macierewicz. Others who have protested
their inclusion in the list include former labor minister Michal
Boni and former planning chief Jerzy Osiatynski. (Louisa Vinton)


HUNGARIAN PERSONNEL CHANGES. Political State Secretary Tamas
Katona will be transferred to the prime minister's office where
he will coordinate the work of political state secretaries and
provide information about the government's work to the media,
MTI reported on 16 June. He will be replaced by Andras Kelemen,
is currently political state secretary in the Ministry of Social
Welfare and has no experience in the field of foreign policy.
Katona's transfer was initiated by Prime Minister Jozsef Antall.
Hungarian observers commented that differences of opinion between
Foreign Minister Geza Jeszenszky and Katona was the likely reason
for the change, something both Jeszenszky and Katona deny. Jeszenszky
told Nepszabadsag on the same day that there will be no change
in the course of Hungarian foreign policy. Meanwhile Tibor Fuzessy
was nominated to head the National Security Office, MTI reports.
Prime Minister Antall nominated Fuzessy to replace Andras Galszecsy,
who retired in February. Fuzessy is parliamentary leader of Christian
Democratic People's Partythe junior partner in the ruling coalitionand
previously worked in the chief prosecutor's office. (Edith Oltay)


LITHUANIAN GOVERNMENT CRISIS CONTINUES. On 16 June the deputies
of the Lithuanian Supreme Council were unable to agree on the
session's program and once again held separate meetings, Radio
Lithuania reports. Prime Minister Gediminas Vagnorius told 50
deputies of the Sajudis Coalition for a Democratic Lithuania
what additional powers he desired and the coalition approved
a proposal to hold elections to the new parliament on 11 October.
The same day Vagnorius shuffled his deputies, transferring responsibility
for government administration from Zigmas Vaisvila to Vytautas
Pakalniskis. Vaisvila was asked to oversee city and regional
administrations. In April Vaisvila and nine others had expressed
dissatisfaction with Vagnorius and he was relieved of his duties
as the head of the Lithuanian National Security Department. (Saulius
Girnius)

NEW CHIEF OF LATVIAN RADIO. On 16 June the Supreme Council chose
musicologist Arnolds Klotins as the new director of the Latvian
Radio, Radio Riga reported that day. (Dzintra Bungs)

CALLS TO SACK CLUJ MAYOR. On 16 June ethnic Hungarian human rights
leaders in Transylvania called for the resignation of Cluj mayor
Gheorghe Funar, foreign media report. They accused Funar, a member
of the far-right Romanian National Unity Party, of violating
the rights of the Hungarians. Last month Funar called on fellow
mayors to ban "anti-Romanian" events and signs or public announcements
in Hungarian. Under Romania's new constitution, mayors have the
power to ban all activities that threaten to disturb the peace.
(Crisula Stefanescu)

BULGARIA'S COUNCIL FOR SOCIAL PARTNERSHIP. Long and difficult
discussions on a successor organization to the former tripartite
commission of government, labor unions, and employers' organizationsa
key element in Bulgarian political lifewere resolved in late
May, with the establishment of the National Council for Social
Partnership. On 15 June BTA reported that a number of council
commissions have begun work. A commission on social insurance
and one on the work force have begun discussions on new social
assistance regulations and a draft law on unemployment, respectively.
(Rada Nikolaev)

UDF CRITICIZES GOVERNMENT. The National Coordinating Council
(NCC) of the ruling UDF met on 16 June to discuss the political
situation. BTA quoted its deputy chairman Aleksandar Yordanov
as saying that some critical remarks had been made about the
government, implicitly confirming recent signs of conflicts existing
between the UDF and the Dimitrov cabinet. The government had
been advised to follow a more resolute policy and to provide
more information about its activities. The possible replacement
of Dimitrov as chairman of the NCC had been discussed, one suggestion
being to appoint an executive director of the UDF to alleviate
the workload of the chairman. (Rada Nikolaev)

ISAKOV ON TROOP WITHDRAWAL. On 16 June Viktor Isakov, head Russian
troop negotiator with Lithuania, told a BNS correspondent that
talks might be complicated by the 14 June referendum, which demands
withdrawal of all troops by the end of 1992. Isakov called this
"totally unrealistic," noting that even if housing for all the
officers were built it would be impossible to complete their
transfer in 1992. He questioned the accuracy of the $150 billion
damage compensation Lithuania is demanding and says any damages
made by the Soviet army included those by Lithuanian forces as
well as Russian. (Saulius Girnius)

NORWAY WOULD HELP WITH TROOP HOUSING. Norwegian Foreign Minister
Thorvald Stoltenberg concludes a two-day visit in the Baltic
States on 17 June. In Latvia on the 16th Stoltenberg signed accords
on trade, security of investments, and cooperation in agriculture.
Stoltenberg told the press that he is pleased with Latvian-Norwegian
relations and the close working contacts that have developed
with his Latvian counterpart, Janis Jurkans. He added that Norway
supports the efforts of the Baltic States to become a part of
the European security network, Radio Riga reports. In Vilnius
Stoltenberg told the press his country is prepared to help speed
up the withdrawal of Russian troops from the Baltic states by
financing and building housing for the troops. According to Reuters
on 16 June, Stoltenberg made the offercontingent upon the troops
not being moved to Norway's borderafter talks with Supreme Council
Chairman Vytautas Landsbergis and other officials. (Dzintra Bungs
& Riina Kionka)

EX-USSR SOLDIERS FROM GERMANY SENT TO LATVIA. BNS reports on
16 June that about 1,000 soldiers from Germany have been transported
by plane or troop transports via Kaliningrad to Latvia. Replenishment
of troops in Latvia continues despite the agreement between Latvian
and Russian officials in February that Moscow would not do so.
(Dzintra Bungs)

GERMAN TOXIC WASTE PROBLEMS. The German owner of an Estonian-registered
cargo ship loaded with toxic wastes has denied a Bulgarian newspaper
report that the vessel sank last month in the Black Sea. According
to an RFE/RL correspondent in London, the ship's owner said the
Heltermaa is 20 km from Istanbul en route back to Germany. Earlier
this week Demokratsiya quoted three fishermen who said they saw
the Heltermaa sink off Varna on 22 May. The Heltermaa, reportedly
loaded with some 3,500 tons of toxic waste, left Hamburg in April.
After being refused entry in Turkey and northern Cyprus, the
Heltermaa headed for Odessa. Meanwhile, the Romanian government
announced a decree, effective 17 June, cracking down on imports
of toxic wastes into Romania, Rompres reports. The action follows
the disclosure that hundreds of tons of waste chemicals from
Germany were dumped at Sibiu and that containers of highly toxic
dyes and plastic wastes, also from Germany, were stored in Constanta.
(Riina Kionka & Crisula Stefanescu)

ROMANIAN LABOR SITUATION. The drain on the work force in Romania
increased considerably after the opening of the frontiers in
1989, Rompres reported on June 15, quoting Adevarul. The daily
reportswithout citing a sourcethat half the 430,000 people who
left Romania over the last ten years were young and vigorous
workers. Adevarul says further that about 30,000 foreigners who
entered Romania after 1989 have not left the country although
their visas have expired and are now in uncertain status. Even
so, a government report says unemployment in Romania has reached
600,000 people5.3% of the working-age population. Unemployed
persons who can prove they held a job for at least three years
are entitled to compensation amounting to 60% of their previous
wage, Rompres reported on 16 June. (Crisula Stefanescu)

UNEMPLOYMENT CREEPS UP IN ESTONIA. Citing the Estonian Unemployment
Office, BNS reported on 15 June that 4,732 people were registered
as jobless by 1 June, up nearly 25% from last month (Riina Kionka)


CORRECTION. Arvi Niitenberg was confirmed on 15 June as Estonian
Minister without Portfolio responsible for energy affairs, not
as Minister for Energy Resources, as reported in yesterday's
RFE/RL Daily Report.

[As of 1200 CET]

Compiled by Stephen Foye & Charles Trumbull



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