Daily Report—

Central Eurasia

Daily Report
Central Eurasia

FBIS-SOV-96-139 CONTENTS ~ 18 July 1996

NOTICE: An * indicates material not previously disseminated in electronic form.
INTERREGIONAL AFFAIRS

CIS: ITAR-TASS Carries Press Review for 18 Jub ........00...ccceccscesccescessssesecscsosscncessececsssessesecssscsnsnsscsees |
Baltics: ‘Baltic Challenge’ Exercises Hailed as Success [BNS]  .........s.ssssssssssnsesevensnrsesnsersenesesnncnsneees |

RUSSIA INTERNATIONAL AFFAIRS

Russia: Gore Ends Visit With Reception [ITAR-TASS]  .........c.cccssssessseessesseenseesesneesnssesnsesnesnssnsnenenessees
Russia: Chernomyrdin Hails ‘New Partnership’ With U.S. [ITAR-TASS]  ........c-ccssssesesseseersesevenenenseees
Russia: Successes, ‘Unresolved Problems’ Facing Gore Panel /FINANSOVYYE IZVESTIYA 16 Jul]
Russia: Mikhaylov on U.S. Nonmention of Russia-Iran Nuclear Deal [ITAR-TASS]  ...........002+0000e+00+:
Russia: Presidential Staff Paper on Gore Visit, Yeltsin Meeting /ROSSIYSKIYE VESTI 17 Jul] _.......
— Yeltsin ‘Not Entirely Pleased’ With Report of Gore Meeting [KOMSOMOLSKAYA PRAVDA 18

SORES E EEE EEE EE ERE EER EE EEE EH TEE EES ESE SEE EE EES ESTES EEE SES ESOSEEES HEEEEOEETE TEE EE EEE E TEES

]
Russia: Foreign Ministry Regrets U.S. Press Leak on ABM Treaty [INTERFAX] _ .............cccssseoeoeseees
Russia: Designers Dismiss Fears Over Missile Sale [KRASNAYA ZVEZDA 13 Jul] .........-v-eseseeeoeveees
Russia: IMF Satisfied With Russia’s Anti-Inflation Performance [ITAR-TASS]  ...........ccccsecccceesseeeeeeee
Russia: Italian Foreign Minister Promotes Investment in Russia [Rome Radio]  ................seeeeeneeees
Russia: Moscow Asks Turkey Not To Grant Refuge to Chechen Fighters [INTERFAX] _ .............0.+-+-
Russia: Primakov Says Karadzic Arrest May Endanger Bosnia Elections [ITAR-TASS]  ..............000-+-
Russia: Primakov: Russia ‘Categorically Opposes’ Baltics in NATO [INTERFAX]  ........0.-..ecsecesesee:
Russia: Ukraine Backtracks on Fleet Basing Agreement [KRASNAYA ZVEZDA 13 Jul] ....2...-...000-000-
Russia: Gazprom Team in Kiev for Talks With Kuchma /NEZAVISIMAYA GAZETA 17 Jul] _ ...........
Russia: Georgian, Russian Interests in Abkhazia Eyed [PRAVDA 16 Jul] ..........cccseseeeseensnevenenenenenensees

RUSSIA NATIONAL AFFAIRS

Political Issues

Russia: Yeltsin's Kremlin Inauguration To Take Place 9 Aug [INTERFAX] _ .............0-ssssvseeeee: 13
Russia: Yeltsin's Consultative Council Names Top Officials [INTERFAX]  ...........cc0ccsesssseeeeees 13
Russia: Chernomyrdin Says Number of Ministries To Be Reduced [INTERFAX] _ .............00-0-+-: 13
Russia: Chernomyrdin Chairs State Commission Sitting on Chechnya [Moscow Radio] _........... 14
sane Rewmanaasiedemaiomsenes tense rare ee tbe anaaletedemnanta -
Russia: Law on Reelected President Taking Office Rejected [ITAR-TASS]  ..........csecsesssesererevees 15
Russia: Duma Debates ORT's Future; Yeltsin Called ‘“Mummified Statue’ [Moscow ORT] _...... 15
Russia: Growing Confrontation Between Parliament, Government Viewed /Radio Rossii] _ ...... 16

——OOCOCeOAamaAAW Usb eww

Military & Nuclear Issues
Russia: Yeltsin: New Defense Minister To Bring Order to Army [INTERFAX] _ .............000000000 17
Russia: Rodionov Favors Single Leadership of Power Structures [Moscow ORT] _ ..............-.-0- 17
Russia: Rodionov Stresses ‘Feeling of Great Responsibility’ /NEZAVISIMAYA GAZETA 18 Jul] 18
Russia: New Defense Minister Determined To Fight Corruption in Army /ITAR-TASS] _ .......... 18
Russia: Rodionov Seen Facing “Very Difficult’ Tasks (IZVESTIVA 18 Jesh] .........ccceceeeesenereeeee 18

Russia: Duma Chairman Seleznev Welcomes New Defense Minister /INTERFA* ................. 19
Russia: Prominent Defense Correspondent Hails Rodionov Appointment [SEGODNYA 18 Jul] 20

FBIS-SOV-96-139
18 July 1996 2

Russia: Colleagues Satisfied With Rodionov Appointment [KOMMERSANT-DAILY 18 Jul] _ ... 21
Russia: General Staff Sees Rodionov as Best Possibiz Choice [NEZAVISIMAYA GAZETA 18

SEE, sceieieaisnapieaikedlipenaiapsainensiiadihnceiiniiutiediaenintiahiietensthiehiieheticiabiadtteathininiapsittnanindannianatnieesinencnenenenaninanseettin 22
Russia: Rodionov's Appointment Seen as Show of Lebed’s Power [ITAR-TASS] ..........ccccccc00s 23
Russia: Yeltsin Wants Professional Army by 2000 [ITAR-TASS] .........c..ccccccccsesssesceeceeseeneeeseeeees 23
Russia: Yeltsin, Generals Blamed for Army's Decline [PRAVDA 13 Jul] .....cccccccccccccseceeeeseeseeee 24
Russia: Rokhlin Denies Aspiring To Be Deputy Defense Minister [Radio Rossii]  .................... 26
Russia: Draft Military Reforra Gives Lebed New Power [KOMMERSANT-DAILY 18 Jul] _....... 26
Russia: Saratov Region Training To Protect Nuclear Facilities [ITAR-TASS] .............cccccseeeseees 28

Federal Assembly
Russia: Duma Deputies Comment on Rodionov Appointment [ITAR-TASS] ................c.ecseeee0es 28
Russia: Seleznev Suspected of Spending Duma Funds for Party Needs /ITAR-TASS] __.............. 28
Russia: Federation Council Says Budget Performance Unsatisfactory ([ITAR-TASS] _ ................. 29
Russia: ‘Our Home’ Leader Blames Duma for Blocking Reform [INTERFAX] _ ...........:..c00000+. 29
Regional Affairs
Russia: Chernomyrdin: Military To Continue Force Against Chechens [Moscow NTV] _........... 29
Russia: Chernomyrdin Says Chechen Leaders Cannot Control Extremists /JTAR-TASS] _........... 30
Russia: Yandarbiyev Spokesman States Defense Committee's Position [Moscow Radio] ..... 30
Re Yandarbiyev'’s Statement Unties Hands of Federal Forces /[KOMMERSANT- DAILY 18 .
schieitia lahat eiiuiasiendeilTiab ics peareanicnitapaieantieichemeninbiedicieasenetnetencaaimibeeiienenteitiatinnetaateniianinieintuetberenteneee 31
Russia: Tatar President Withdraws From Chechen Talks Participation [INTERFAX] _................. 32
Russia: Chechen War ‘Becoming Uglier and Uglier’ [IZVESTIYA 18 Jul] ........c.cccccccesseseeseeeeoes 32
Russia: Support for Yeltsin Seen Growing in Amur Oblast /ROSSIYSKIYE VEST! 16 Jul] _..... 44
Russia: Maritime Territory Sends Letter to Lebed on Energy Crisis [INTERFAX] _ .............000. 35
Economic Issues
Russia: Chernomyrdin, IMF Deputy Chief Discuss Stabilization [INTERFAX] ............0...c00000.

35
Russia: Kadannikov Says Foreign Reserves Down $4 Billion, Deficit Up (IZVESTIYA 18 Jul] %6
Russia: Kadannikov Reports on Inflation Rate Slowdown /ITAR-TASS] _........... %6
Th Deputy Premiers Zaveryukha, Davydov Clash Over Quotas [KOMMERSANT- DAILY 17 oa

we: Economic Ills May Force Government To Print Money /[FINANSOVYYE IZVESTIYA 16 “

nae —— Show Real Earnings Up 9 Percent on Last Year /[KOMSOMOLSKAYA PRAVDA

Russia: Central Bank Issues Statement on Inkombank Audit /KOMMERSANT-DAILY 17 Jul] 38
Russia: Official Interviewed on Foreign Debts [/KOMSOMOLSKAYA PRAVDA 16 Jul] __........... 39

UKRAINE

International Affairs
Ukraine: Foreign Minister: U.S. To Maintain Interest in Ukraine [INTERFAX]  ...0.0.0.....00.000.00. 41
Ukraine: Talbott Hails New Constitution as ‘Joint Victory’ [INTERFAX] 2..............cccccccccceeeeeee 41
Ukraine: Kuchma Thanks U.S. for Support for Reforms [INTERFAX] ...............cccc.cececcseeeeeeseees 4)
Ukraine: Udovenko Meets Russian Deputy Foreign Minister [INTERFAX] ................-cc.ccc000-0-- 41
Ukraine: MPs Accuse Aviation Plants of Passing Technology to Russia /INTELNEWS/ _......... 42
Ukraine: ‘Sources’: Kiev To Supply 300 T-80 Tanks to Pakistan /ITAR-TASS] .0.0...........cc000- 42

National Affairs

Ukraine: Ukraine To Impose ‘Elements’ of Emergency [ITAR-TASS] oo..........ccccccccecceseseeeeeeeeeoes 42

FBIS-SOV-96-139

18 July 1996 3 Central Eurasia
Ukraine: Security Secretary: Paramilitary Groups To Be Abolished [INTELNEWS] _.............0+ al
Ukraine: Security Service Head Comments on State of Emergency [Kiev International] _.......... as
Ukraine: Deputy Warns of “Wave of Terrorism’ [ITAR-TASS] .........0s-ccccsccssessesseseesesensessnesnseesees 43
Ukraine: Kuchma Issues Statement on Countering Security Threat [Kiev TV]  ........ccccccecssesseees 43
Ukraine: Assassination Attempt on Premier Viewed as Warning [INTERFAX] _ ...........0..0cs00s0000 aa
Ukraine: Prime Minister Interviewed on Situation in Donetsk Region [UNIAR]  .............sse0000 45
Ukraine: Lazarenko Says Backlog in Miners’ Wages Repaid in Full [INTERFAX] _ ...........000.0 46
Ukraine: Miners Deny Persuasion Reason for "94 of Blockade [UNIAN]  ......c.c.scssssessssesseseenes 46
Ukraine: Striking Miners Lift Donetsk Railway Blockade [Kiev TV]  ......cccccscco seseesssessesseerseeees 46
Ukraine: Moroz Says Parliament Meeting To Be Held Under Constitution [INTERFAX] _.......... 46
WESTERN REGION
Belarus
Belarus: Belarusian President Reportedly Funded Zyuganov Campaign /Radio Rossii] _............ 48
Belarus: Prime Minister Reviews Economic Results in Jan-Jun '96 [Minsk Radio] — .............000+ 48
Belarus: Defense Minister on Results of Talks in Lithuania [Mimsk TV] o......cccccccccscscssseceeseeeeeees 48
CENTRAL ASIA
Kazakhstan
Kazakhstan: Malaysian Prime Minister Arrives for Official Visit (ITAR-TASS]  ........cccccccseseeees 50
Kazakhstan: Foreign Minister, Iranian Envoy Discuss Expansion of Ties [Tehran IRNA]__......... 50
Kazakhstan: Stolen Aircraft Bombs Found [KARAVAN-BLITS [2 Jul]  .....cccsccssssecesscsscerseeeneeneees 50
Kyrgyzstan

a Akayev Holds Talks With Malaysia's Mahathir / Kuala Lumpur THE STAR 17 Jul]

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Tajikistan

Tajikistan: Rakhmanov, Kazakh President Discuss Relations [Dushanbe Radio]  ...............0.00
Tajikistan: Cooperation Agreement Signed With Uzbekistan [ITAR-TASS] .......cccccccccescesseesesees
Tajikistan: Uzbek Delegation Signs Agreement on Gas, Cooperation {Dushanbe Radio] _..........
Tajikistan: Government Halts Border Trade With Afghanistan [INTERFAX] .00.............ccccsses0ee
Tajikistan: Statement Assails Afghan Aid for Tajik Opposition [KHOVAR 16 Jul] ............0...
Tajikistan: Rebels Say Russians Involved in Clashes [Voice of Free Tajikistan] ...............0000
Tajikistan: Recriminations Hindering Inter-Tajik Negotiations [ITAR-TASS] ...........cscccscceeseeees
Tajikistan: Government Accuses Rebels of Cease-Fire Violations [Dushanbe Radio] ................

Taj aiktanan Opposition Head Rejects Demand To Withdraw From Tavil-Dara [Voice of Free
SII aloseasthdtsdrneithenstustihbecnsencatadiecemssmnieiniicstcainahitniashusslepsieciipinnnibapalenamnlicastnaapattihintanneatsetipeiemattct

Uzbekistan

Uzbekistan: Karimov Stresses Ending Arms Supplies to Afghanistan [INTERFAX] _..........
Uzbekistan: Human Rights Body Views Half-Yearly Results (NARODNOYE SLOVO 16 Jul}
CAUCASUS
Armenia

Armenia: Ter-Petrosyan Outlines Priorities for Coming Period [INTERFAX] ................ccccceeseee-

RS

58

FBIS-SOV-96-139

18 July 1996 4 Central Eurasia
Armenia: Prime Minister Signs Decree on Return of Emigres [NOYAN TAPAN 17 Jul] _........... 58
Armenia: Azerbaijanis Reportedly Shell Positions 16 Jul [SNARK] ............cccccccccscssecssescerceseesees 58
Georgia
Ombereiy an Meets With Russians on Transcaucasus Highway /NEZAVISIMAYA -
Georgia: Shevardnadze Comments on New Russian Defense Minister [INTERFAX] .............. 59
Georgia: Official—New Russian Defense Chief Not To Change Re!atiors [/INTERFAX] _.......... 59

Georgia: Tbilisi Not To Demand Extension of Peacekeepers’ Mandate [INTERFAX] _.............. 59

FBIS-SOV-96-139
18 July 1996

CIS: ITAR-TASS Carries Press Review for 18 Jul

LD1807062896 Moscow !ITAR-TASS in English
0620 GMT 18 Jul 96

["Press Rev. w" — ITAR-TASS headline]

(FBIS Transcribed Text] MOSCOW July 18 (Itar-Tass)
— Follows a review of Thursday's Moscow-based
Russias newspapers dated July 18.

ROSSIYSKIYE VESTI on CPRF intentions to press for
an early presidential election.

The newspaper carries an interview with Sergey
Sh<chray, member of the State Duma, who stated
that “the Communist Party of the Russian Federation
(CPRF) intends, through the efforts of the State Duma
and with the backing of the party's regional structures,
to frustrate the realisaiton of the President's pre-poll
promises, to precipitate a socio-economic crisis in the
autumn of 1996 so as to organise a campaign in spring
1997 for a pre-term presidential election”.

IZVESTIYA on the situation of Chechnya.

The newspaper's special correspondent Valeriy Yakov,
in a dispatch from Chechen villages “cleared from
militants", expresses the view that thereby Federal
forces carried out “special operations against peace in
Chechnya”.

The correpsondent seeks to prove that 13 killed Chechen
civilians in Groznyy’s suburb were shot to death by Fed-
eral soldiers. Following the “clearing” operations and
the killings, “one can hardly expect that Security Coun-
cil Secretary Aleksandr Lebed will fly into Chechnya
with peace and that punitive operations will be termi-
nated,” Yakov “ites.

IZVESTIYA on conflict between Russian ministries of
the Defence Industry and Defence over U.S request.

The newspaper's analyst Viktor Litovkin reports that
a conflict is flaring up between the Russian Ministry
of the Defence Industry and the Ministry of Defence
over a U.S. insistent request for the sale of a super-
modern anti-ship missile Mosquitto to it. The missile
is notable for a unique destructive potential and is
particularly effective against aircraft carriers. Navymen
firmly oppose the idea of selling the missile, whereas
the missile makers are in favour of granting the request
because this would enable them to survive financially.

ROSS!IYSKAYA GAZETA on energy crisis in Komi
and Maritime Territory.

A critical situation has developed in the power supply in
the Republic of Komi and Maritime Territory. The Far
East power producers have not received 1,500,000 mil-

INTERREGIONAL AFFAIRS 1

lion roubles from power users, while those in Komi ex-
perienced a default of payment of more than 1,000,000
million roubles, the newspaper writes.

Igor Maximov, the newspaper's commentator, analysing
the energy situation, arrives at the following conclusion:
this is one of manifestations of an economic crisis and,
first of all, in the financial sphere. Without settling it,
one can hardly expect positive changes, he points out.

TRUD on the same subject.

The newspaper notes that “the price of the generation
of one kilowatt of power in Maritime Territory is much
higher than in the country as a whole. The price is made
up of high railway tariffs for the transportation of the
raw stock and immense prices of electric power supplied
to beyond the Territory”.

PRAVDA on the military industrrial sector.

“In our view, the military industrial sector is the greatest
asset of the State. The main task of reforms is to use it
rationally,” the newspaper observes.

“The Ministry of the Nuclear Energy alone has fostered
30,000 Doctors and Candidates of Science, who invari-
ably engaged in effective efforts to turn out products,
which are up to world standards, in the field of nuclear
technologies.

“Therefore, Russia’a overall lagging behind from the
technological point of view is out of the question.
Moreover, consdering that the country’s population
accounts for less than three per cent of the world one
and that the national military industrial sector, possibly,
potentially still remains the largest military industrial
complex in the world, it can be concluded that we still
rank the first in the world in per capita share of advanced
technologies,” PRAVDA points out.

Baltics: ‘Baltic Challenge’ Exercises Hailed as
Success

WS1807091096 Tallinn BNS in English
1846 GMT 17 Jul 96

{[FBIS Transcribed Text] Tallinn, Jul 17, BNS — The
biggest land exercise in the Baltic states since they

regained independence in 1991 was a great success, the
BaltBat commander said.

The training went very well, Maj. Alar Laneman told
BNS. "The troops distinguished themselves by excellent
morale and good learning capability,” he added.

The Baltic Challenge exercise, which took place in the
Latvian training base of Adazi, for the first time saw
U.S. troops train alongside soldiers from the three Baltic
states.

is report may contain copyrighted material. Copying and dissemination|
is prohibited without permission of the copynght owners.

2 INTERREGIONAL AFFAIRS

Estonian participants inciuded besides peacekeepers a
group of trainee officezs and a platoon of the paramil-
itary Defense League. “Those units too put up a good
show,” Laneman said. “The men were full of snap and
eager to learn.”

The Baltic Challenge focused on peacekeeping tech-
niques, with drills in manning observation and check-
points, patrolling and medical tasks, the BaltBat cuim-
mander said.

FBIS-SOV-96-139
18 July 1996

All in all, about 700 men took place in the training,
among them 300 marines asd Naiional Guard troops
from the United States, Laneman said.

U.S. Ambassador to Latvia Larry Napper told reporters
American troops would take part in next year’s Baltic
Challenge as well.

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FBIS-SOV-96-139
18 July 19%

Russia: Core Ends Visit With Reception

LD1607203496 Moscow ITAR-TASS World Service
in Russian 1950 GMT 16 Jul 96

[By ITAR-TASS diplomatic correspondent Andrey Shi-
tov]

{FBIS Translated Text) Moscow, 16 Jul — U.S. Vice
President Albert Gore tonight ended his visit to Rus-
sia with a reception in the Spaso-House residency of
the U.S. ambassador. He was in Moscow in connec-
tion with the seventh session of the Russian-American
intergovernmental commission on economic and techni-
cal cooperation, also known as the Gore-Chernomyrdin
commission.

"I wish to assure you on behalf of President Clinton
and the American people that my country is interested
in being a good friend to Russia," said Albert Gore,
addressing the reception. “Every time in history when
the opportunity has been given us to work hand in hand
we have done good and glorious things. The American
people hope and believe that our friendship with the
Russian people will grow deeper and assume the form
of firm partnership. I feel that Russians share these
sentiments. The job of our commission is to create the
practical conditions for firm partnership.”

Russian government chairman Viktor Chernoniyrdin
supported this high appraisal of the commission's work
and stressed: “We are confident now as never before
that we are on the right road." He assessed the Russian
presidential result as “another advance”, given by the
people to the government and gave his assurance that
he will do everything to guarantee a worthy life to all
Russians.

The speeches testified to the great personal feeling be-
tween the Russian premier and the U.S. Vice President.
V. Chernomyrdin referred to the mutual understanding
that has developed as one of the most significant results
of the commission's work. "I am proud of my friend-
ship with Viktor Stepanovich. I can sincerely admit that
I have learnt a lot from him,” Albert Gore said.

The Vice President's speech sounded yet another deeply

pleasure since he was accompanied by
his wife and three children.

The next session of the Gore-Chernomyrdin commis-
sion, according to tradition, will be held in six months
in the United States.

RUSSIA INTERNATIONAL AFFAIRS

Russia: Chernomyrdin Hails ‘New Partnership’
With U.S.

LD1607141296 Moscow ITAR-TASS ix English
1357 GMT 16 Jul 96

[By Gennadiy Yezhov]

{[FBIS Transcribed Text) MOSCOW, July 16 (Itar-
Tass) — Russian Prime Minister Viktor Chernomyrdin
today sak’ an era of new partnership is beginning
in relations between Russia and the United States
signalled by a joint message addressed by Bill Clinton
and Boris Yeltsin to the Russian-American commission
for economic and technologica! cooperation, commonly
known as the Gore-Chernomyrdin commission.

The Russian Prime Minister was “peaking at today’s
business lunch attended by representatives of the Rus-
sian and American business communities on the occa-
sion of the Commission's seventh meeting in Moscow.

The message from the two heads of state read out
by Viktor Chernomyrdin noted in particular that “an
extremely favourable situation was emerging for the
acceleration of the growth rate and the deepening of
economic cooperation between Russia and the United
States” after the Russians voted overwhelmingly for
democracy, stability and reforms in the presidential
elections.

As for the U.S. part, the American businesses are
ready to take part in economic reforms in Russia, the
message said. It is important to make full use of the
opportunity offering itself a present in order to lay down
a solid economic groundwork for equitable and mutually
beneficial partnership between Russia and the United
States, the message stressed.

As concerns Russia, its government intends to attract
foreign investments and promptly resolve problems
which American and other foreign partners encounter
in Russia, the message emphasized.

“Russia’s main priority in this respect is an increase
in direct private investments from the United States
and the governments of the two countries will work in
conjunction to encourage the flow of such investments,”
the message said.

It also said that the U.S. administration will support
American investments in Russia by providing guaran-
tees and requisite assistance.

The Presidents of the United States and Russia expect
the joint Russian-American commission to come up
with new proposals for encouraging and supporting
investments, opening new markets, compliance with
laws, cooperatioa in the field of high technologies and

. may : igh 4 al. Gi . and di : .
is prohibited without permission of the copyright owners.

a RUSSIA INTERNATIONAL AFFAIRS

Russia’s full integration in the international economic
and trade structures.

Boris Yeltsin and Bill Clinton w:shed the businessmen
from both countries success in their responsible work.

Russia: Successes, ‘Unresolved Problems’ Facing
Gore Panel

MM1707111796 Moscow FINANSOVYYE IZVESTIYA
in Russian 16 Jul 96 pi

[Report by Aleksey Portanskiy: "Gore-Chernomyrdin
Commission May Boost Inward Investment to Russia” }

(FBIS Translated Text] The seventh session of the
Russo-U.S. Commission for Economic and Technologi-
cal Cooperation chaired by Russian Prime Minister Vik-
tor Chernomyrdin and U.S. Vice President Al Gore is
being held in Moscow 15-16 July.

The continuation of economic reform in Russia (fol-
lowing Boris Yeltsin's presidential election victory), the
prospects for NATO expansion, and the situation in
Chechnya are the main points on the agenda for the
current meeting, along with routine issues of bilateral
cooperation.

The Gore-Chernomyrdin Commission was set up in
1993 in accordance with a decision reached at the
Russo-American summit in Vancouver, and since then
has met twice a year, alternating its sessions between
the two countries. Initially its purview covered power
generation, space, and advanced technology, but now it
is considerably broader.

Among the more than 100 documents signed by the two
sides we can pick cut the agreement on Russian access
to international commercial rocket launch markets, the
memorandum on cooperation in the conversion sphere,
the agreement on the closure of reactors producing
plutonium, and othe. s.

The weightiest result of the previous commission ses-
sions was the signing of an agreement on the “Sakhalin-
1" project, which envisages $15 billion of investment
being made in Russia. An important achievement of the
commission was the agreement in 1995 of the issue of
Russia's participation as a founder country in the new
post-COCOM [Coordinating Committee for Multilateral
Export Controls} international organization for export
controls (the Wassenaar Arrangement), as well as Rus-
sia’s admission to the international Missile Technology
Control Regime (MTCR).

But the commission has far more unsolved problems
than it has actual successes. Further work will have

to be done to implement the 1994 agreement on the
sale to the United States of Russian weapons-grade

FBIS-SOV -96-139
18 July 1996

urarium, under which Moscow reckons to earn $12
billion over 20 years. U.S. legislation from the cold
war era still contains a number of restrictions on Russia
— not least the well-known discriminatory Jackson-
Vanik Amendment. Moscow will have to get its Western
partners’ recognition that Russia is a country with a
market economy.

Russia is prepared to throw its home open to its Ameri-
can partners for large-scale business cooperation, and
is by no means a supplicant, Russian Vice Premier
Oleg Davydov told INTERFAX ast Friday in connec-
tion with the start of the Gore-Chernomyrdin Commis-
sion’s work. The commission's main task, in Davydov's
words, is to solve at intergovernmental level the key is-
sues of trade and economic links between the two coun-
tries.

The vice premier recalled that “solutions to many
problems have been found" thanks to this body. In
1995 it was possible to halt the decline in trade and
later increase trade turnover between the two countries
compared with 1994 — reaching $7 billion.

Russia, as is well known, is hoping in the very near
future for a massive inflow of foreign investment as a
result of the stabilization of the political situation in
the country following the presidential election. Conse-
quently, investment cooperation is coming to the fore
in relations with the United States as well. It would be
highly desirable to see a doubling of U.S. investment in
Russia, Oleg Davydov noted.

Russia: Mikhaylov on U.S. Nonmention of
Russia-Iran Nuclear Deal

LD1707113096 Moscow ITAR-TASS in English
1113 GMT 17 Jul 96

[By Andrey Chitov]}

(FBIS Transcribed Text} MOSCOW July 17 (Itar-Tass)
— The delegation of US Vice-President Albert Gore,
who discussed economic cooperation with Russia for
two days in Moscow, did not raise the painful issue
of the Russian-Iranian deal on the construction of a
nuclear power plant in Bushehr and the Russian Atomic
Energy minister [Viktor Mikhaylov] believes there was
no reason to return to the issue.

“Why should it be raised? They know my position, it
is definite: we shall cooperate (with Iran). We built, are
building and will build power plants”, Viktor Mikhaylov
told Tass on Wednesday.

Washington criticised the Russian deal with Iran saying
it could help Tehran develop nuclear weapon technolo-
gies. Russia denied such a possibility.

is prohibited without permission of the copynght owners.

FBIS-SOV-96-139
18 July 1996

Mikhaylov said he had proposed to create a joint
Russian-US nuclear commission which would solve all
disputable issues in a complex.

“Atomic power engineering is not ordinary power pro-
duction in which fuel oil or gas are used. It includes
issues of non-proliferation, protection of nuclear mate-
rials. Criteria for tomorrow are to be designed. It is to
tv: decided how we shall cooperate in that sphere. Either
each side will have its own closed industry — and we
shall not solve the non-proliferation issues, or we shall
join efforts. Atomic power engineering needs a system
organised on the world scale", the minister said.

He .dded that there had been no response from the
United States so far.

Russia: Presidential Staff Paper on Gore Visit,
Yeltsin Meeting

§MM1707161196 Moscow ROSSIYSKIYE VESTI
in Russian 17 Jul 96 pl

[Report by Yuriy Popov: Chernomyrdin-Gore Commis-
sion Works To Counter Skeptics”]

(FBIS Translated Text] “Right now it can be said,” our
premier stated on the first day of the Chernomyrdin-
Gore Commission's work, “that the commission's sev-
enth session will occupy a special place.” Despite the
forecasts of skeptics, this assessment that the session's
results would be salutary was fully confirmed by the
progress of the talks which took place in Moscow Mon-
day [15 July] and yesterday.

Talking about them as briefly as possible, the following
picture emerges. An agreement on projects within the
framework of creating the Alpha international space
Station was signed, and questions on the following topics
were discussed: completion of the preparation of the
project to send space research vehicles to the Sun and
Pluto; joint research in the sphere of developing a new
supersonic passenger transport aircraft; and maintaining
the safe status of nuclear weapons in both countries.
The most important problem is the influx of foreign
investment into Russia. Apparently that too is being
tackled positively by the U.S. side. According to its
representatives, the United States intends to signal U.S.
companies that the reforms in Russia are continuing, the
political risk is minimal, and stability in the country is
ensured. “President Bill Clinton,” Al Gore said, “intends
to personally facilitate the flow of foreign investment
into the Russian economy.”

The meeting between President Boris Yeltsin and Al
Gore was of great importance to the positive results of
the session's work.

RUSSIA INTERNATIONAL AFFAIRS 5

Yesterday President Yeltsin received Al Gore at the
“Barvikha” sanatorium near Moscow. The vice president
congratulated Boris Yeltsin on his election victory and
recounted the main results of the latest session of the
Gore-Chernomyrdin Commission.

For his part Boris Yeltsin dwelt on the biggest questions
in Russian-U.S. relations — strategic offensive weapons
and ABM defense, preparation of the Comprehensive
Nuclear Test Ban Treaty, and attracting U.S. investment
into the Russian economy. It was noted that work in
these areas must be speeded up.

Yesterday evening the commission session completed
its sittings, after which a package of joint documents
was signed and a news conference was held by Viktor
Chernomyrdin and Al Gore.

Russia: Yeltsin ‘Not Entirely Pleased’ With Report
of Gore Meeting

MM1707161896 Moscow KOMSOMOLSKAYA
PRAVDA in Russian 18 Jul 96 p 3

{Letier from I. Ignatyev, leader of the Russian Feder-
ation president's press service: “President Is In Good
Physical Shape...."]

(FBIS Translated Text] 17 July 1996 — Yesterday
the Russian president read the commentary published
in KOMSOMOLSKAYA PRAVDA 17 July under the
heading “Gore Nonetheless Found Yeltsin in Barvikha"
devoted to Yeltsin's meeting with U.S. Vice President
Albert Gore which attested that Boris Nikolayevich is
not only vacationing but also continuing to work in his
residence outside the city. According to representatives
of the head of state's press service who telephoned the
editorial office the president was not entirely pleased
with the tone of the item. The leader of the press service,
Igor Ignatyev, sent the editorial office the following
letter:

“The Russian Federation president's press service draws
the attention of the newspaper editorial office to the fact
that some of the facts set forth in the commentary “Gore
Nonetheless Found Yeltsin in Barvikha” published 17
July do not accord with reality.

“Contrary to the assertions of the item's author, U.S.
Vice President A. Gore had been informed for about 24
hours through diplomatic channels of the possibility that
his meeting with the Russian Federation president might
be deferred. Government Chairman V.S. Chernomyrdin
personally told A. Gore of the Russian president's
decision to switch the meeting to the following day an
hour before the appointed time.

“As the official announcement from the Russian Federa-
tion president's press service stated, the conversation did

is prohibited without permissicn of the copynght owners.

6 RUSSIA INTERNATIONAL AFFAIRS

indeed touch on the events in Chechnya and problems
of a Bosnian settleznent but the main topic was nonethe-
less questions of Russian-American relations including
economic and scientific and technical cooperation, and
also disarmament problems.

“As for the author's assessment of the president's state
of health, it was refuted by none other than A. Gore
himself, who told journalists after the meeting with B.N.
Yeltsin, which lasted thce times longer than initially
planned, that the president is in good physical shape.
The journalists from AP, TASS, the newspaper USA
TODAY, and Russian television who were present at
the meeting could also convince themselves of this. But
for some reason for his comment the author preferred
to use the REUTER reports covering the question in a
different light.

"I hope that in the future the newspaper will double-
check from various sources, including official sources,
the information published in its pages.

"[Signed] I. Ignatyev, leader of the Russian Federation
president's press service.”

From the Editorial Office:

For the sake of clarity let us specify that the author
of the comment, Stanislav Kucher, used information
received personally from U.S. diplomats accompanying
Gore. Incidentally, this information was used by other
mass media, including world agencies.

We quote REUTER: “Members of Gore’s team and
representatives of the U.S. Embassy and journalists were
already in the Kremlin when the meeting scheduled foi
Monday was canceled less than half an hour before
the planned time.” That information was confirmed to
the author by other foreign journalists and Russian
journalists.

We shall not argue about the president's health — it is
more evident in the Kremlin.

[Signed] The KOMSOMOLSKAYA PRAVDA interna-
tional life section.

Russia: Foreign Ministry Regrets U.S. Press Leak
on ABM Treaty

LD1707122696 Moscow INTERFAX in English
1154 GMT 17 Jui 96

(FBIS Transcribed Text] MOSCOW, July 17 (Interfax)
— The Russian Foreign Ministry expressed regret
over publication of a letter from Russian Foreign
Minister Yevgeniy Primakov to U.S. Secretary of State
Warren Christopher on modernization of the Soviet-
American Anti-Ballistic Missile [ABM) Treaty leaked

FBIS-SOV-96-139
18 July 1996

to the Washington Times, ‘tussian Foreigs Ministry
Spokesman Grigoriy Karasin told Interfax Wednesday.

According to the Washington Times, Primakov, in
particular, proposes to limit dimcasions of targets for
ballistic missiles with a velocity from five kilometers a
second and higher and with a range of 3.5 kilometers
during testing of anti-ABM systems; to fix repeated
utilization of reusable engines on targets for ballistic
missiles and reentry vehicles for targets of strategic
ballistic missiles; and to ban space-based non-strategic
anti-ABM interceptors.

Earlier Primakov repeatedly declared that it is necessary
to draw a line between strategic and tact.cal air defense
systems (air defense of the country and air defense of
theater of war in line with the military terminology).

Russia cannot agree to deployment of ihe country’s air
defense system because it wouid contradict the ABM
Treaty, Primakov said.

“One can only regret that information not intended for
press appears in mass media,” Karasin said.

However, he said that he agreed to the estimates on
the fact of publication of confidential information made
by his American counterpart, official representative of
the U.S. State Department Nicholas Burns. The latter
complained that somebody in the American government
with access to secret information from time to time leaks
it.

The Russian Foreign Ministry does not comment on
issues which are being discussed with the United States
and other countries via closed diplomatic channels,
Karasin said.

Russia: Designers Dismiss Fears Over Missile Sale

MM1707153596 Moscow KRASNAYA ZVEZDA
in Russian 13 Jul 96 p4

[Article by Dmitriy Litovkin under “Military-Technical
Cooperation” rubric: "*Sunburn’ for the U.S. Navy, or
Why Russia Is Nonetheless Trying To Sell a Supersonic
Cruise Missile to the West" — from the “Russia's Fleet’
section]

{(FBIS Translated Text] It is not long at all since the
formerly top-secret Russian supersonic cruise missile
known in the West as Sunburn and in our country
as Moskit or, as is customary in design bureaus, as
the 3M-80E shipboard missile weapon system was first
exhibited at the air shows in Chile, in Abu Dhabi
(United Arab Emirates), and then at Zhukovskiy in
Moscow Oblast. At the time this event had the effect of
a bombshell. Foreigners were staggered by the might of
this weapon and by the possibilities of its application,
teed as —
is prohibited without permission of the copynght owners.

FBIS-SOV -96-139
18 July 1996

while we were astounded by the fat of excessive
openness in the sphere of the clear priorities of our
defense capability. And now a new shock. It has been
decided to sell the Moskit to the Americans....

A duel whose results until reces‘ly could only be de-
bated by comparing the tactical and technical parame-
ters of our missile and of foreign miisiles could take
place. The decision over this question was long and ag-
onizing. The contract's opponents, who include naval
seamen, cited as their chief argument the absurdity of
handing over our fleet's best weapon to a recent likely
enemy to improve his defense systems, thereby depriv-
ing the Russian fleet of combat superiority in possible
naval conflicts.

The contract’s supporters are represented by defense
enterprises — the “Raduga” Machine-Building Design
Bureau and the “Altair” State Science and Production
Association — and also by enterprises whose shops
manufacture missiles and elements of the system. Their
chief argument in favor of the sale is that “delay is
tantamount to death,” for the money made on the deal
will “extricate” them from debt traps, rescue workers
and creative collectives, and load production capacities.

Igor Sergeyevich Seleznev, general designer at the
“Ra iga” Machine-Building Design Bureau, under
whose leadership the Moskit was created, told me that
this is the only missile in the world with a low-altitude
flight velocity of 2,800 km per hour. The enemy can
detect its flight only three or four seconds before it
reaches the target — which is nowhere near enough
to make an antimissile maneuver or to take any other
emergency measures in self-defense. Ai the same time
he will have to guide his antiaircraft missiles under
conditions where the 3M-80E missile performs inten-
sive maneuvers to evade antiaircraft fire with g-forces
in excess of 10 g. The enemy will be simply unable to
fire on or hit the Moskit by means of a second launched
missile.

According to specialists, the Moskit is superior to all
the antiship missiles that exist today, including the
Harpoon and Exocet, in terms of its specifications and
performance characteristics. It is in the arsenal of our
Molniya-class light combatant craft, Sivuch-class air-
cushion vehicles, and Sovremennyy- class destroyers.
The possibility of using these missiles in coast guard and
naval air units is being examined. At the first aerospace
exhibition in Zhukovskiy, Moscow Oblast, it was slung
beneath an Su- 27K ship-based fighter, admittedly
with no indication of its name or any specifications
and performance characteristics. Specialists needed no
more information than the very fact of this weapon's
proximity and its possible carrier.

RUSSIA INTERNATIONAL AFFAIRS

And yet what is most important in the Moskit’s combat
potential is not only the tremendous speed at which it
approaches the target ‘for comparison, it is possible io
say that the most modern French Exocet missile flies
four times more slowly) and not only its low flight
altitude above the sea, with the result that it is hard to
detect with radar, but also the unpredictable maneuvers
which it makes on approaching a ship.

It is also important that, owing to the tremendous
kinetic energy of this flight and its strong casing, it can
penetrate the hull of any ship and explove inside it. Such
a Strike is capable of sinking not only a medium-class
warship but even a cruiser. Some 15-17 Moskits are
capable of destroying a ship group.

More than 30 inventions were employed in the system
and were used subsequently in the creation of other mis-
siles. The missile developed by the "Raduga” Machine-
Building Design Bureau, for example, combines a ram-
jet cruise engine with a booster engine for the first time
in keeping with the “nesting” principle. During the first
seconds after launch it enables the missile to make a
steep climb. Then the booster cuts out, and the incom-
ing airflow ejects it from the cruise engine. The missile
speeds toward the target, charting an intricate “snake”
above the water. This has improved the missile’s com-
pactness — which has made it possible to install more
of them on various ships and other carriers.

It would, incidentally, be possible to say a lot about
the Moskit’s merits. This weapon, for example, is
capable not only of countering sources of interference
which might be set up by enemy systems but also of
being guided onto them after receiving the signal to
counteract them. This was described to me in detail
by the chief designer of the missile control system —
Sergey Klimov, leader of the “Altair” State Science and
Production Association. According to the designer, the
missile’s active-passive head ensures guidance to the
target both from the radar reply and from the radiation of
the radar stations located on the ship being attacked, or
else it uses for guidance information from two different
channels at once, which operate in different wavelength
bands. All this ensures the missile’s high survivability,
protection against jamming, and effectiveness.

So I do not think there is any need for further explana-
tions as to why Western specialists show such height-
ened interest in the 3M- 80E Russian antiship super-
sonic system. They estimate that this system is 10 years
in advance of all world developments. It gives rise to a
quite warranted desire to have antimissile systems that
are capable of countering the Russian “wonder.”

But Igor Seleznev and Sergey Klimov are not very wor-
ried that the Americans will be able to make a weapon

is report may contain copyrighted maternal. Copying and dissemination)
is prohibited without permission of the copyright owners.

8 RUSSIA INTERNATIONAL AFFAIRS

capable of defending their ships against the Moskit or
to copy the machine’s design in their new antiship sys-
tem. In the designers’ opinion, there is no great danger
here. The thrifty Americans will hardly want to copy
our hardware, particularly as in the past they had al-
ready done work similar to ours, although it never went
into series production. Proceeding exclusively from eco-
nomic and technological realities, it still pays our part-
ners to buy the Moskit rather than to create new hard-
ware, which will take masses of time and money.

The potential of the “Raduga” Machine-Building Design
Bureau can be judged from the hypersonic experimental
cruise missile with a ramjet engine created in the early
nineties. In the West it is called the AS-19 Koala and
is capable of developing speeds five times greater than
the speed of sound. At present it has no analogues in
the world. So the sale of the Moskit to the Americans
is a move aimed at resolving questions that are no
less important strategically for the country's defense
capability, chief among which is the underfunding of
work done by the military-industrial complex. It is being
done to ensure that we have a future. So we must choose
today: either further progress or a real threat of technical
laggardness and loss of the opportunity to produce such
hardware at all.

Russia: IMF Satisfied With Russia’s Anti-Inflation
Performance

LD1707120396 Moscow ITAR-TASS in English
1141 GMT 17 Jul 96

{By Gennadiy Yezhov]

{FBIS Transcribed Text) MOSCOW July 17 (itar-Tass)
— The International Monetary Pund (IMF) is satisfied
with the Russian performance regarding inflation and
budget deficit and hopes the government will also cope
with the general stabilisation programme.

IMF deputy managing director Stanicy Fischer said on
Wednesday after meeting Russian prime Minister Viktor
Chernomydin that the IMF recommendations regarding
inflation and the deficit had been fulfilled “at a very
good level” in the first six months of 1996.

However, he said that the IMF-agreed stabilisation
programme “is a much more complicated issue”.
Fischer said the experience of other countries showed
that it was much more difficult to reach desirable
macroeconomic indicators while reforming the econ-
omy.

Stull he expressed conviction that “the current Russian
government will successfully cope with the tasks fixed
in the IMF-agreed economic stabilisation programme
for Russia”.

FBIS-SOV-96-139
18 July 1996

Fischer said he had “a very good dialogue” with
Chernomyrdin about the results of the first six months
and prospects for the end of 1996.

He quoted Chernomyrdin as saying that a government
member will control tax collection in the country.

Russia: Italian Foreign Minister Promotes
Investment in Russia

LD1797110696 Rome RAI Radio Uno Network
in Italian 0600 GMT 17 Jul 96

(FBIS Translated Excerpt] Russian President Boris
Yeltsin's health is shrouded in mystery. He met Amer-
ican Vice-President Al Gore at his clinic, but did not
meet the Italian foreign minister, Lamberto Dini, who
is visiting the Russian capital. Lucio Gambacorte re-
ports:

[Begin recording}[Gambacorte] [passage omitted]
Yeltsin will not, however, be meeting Lamberto Dini,
who has altered his itinerary to meet Vice-Premier
Vladimir Kadannikov and Foreign Minister Yevgeniy
Primakov. Following Yeltsin's reelection, Italy has re-
confirmed its faith in Russia’s stability, and is hurrying
to boost investment, including that by major industries:

[Dini] There are major projects being prepared, which
necessarily demand stable conditions, for example in
the aerospace industry. Both aeroplanes and helicopters
are being developed together with a Russian company.
There is significant investment also in the field of
consumer durables. [end recording}

Russia: Moscow Asks Turkey Not To Grant Refuge
to Chechen Fighters

LD1807091796 Moscow INTERFAX in English
0907 GMT 18 Jul 96

{(FBIS Transcribed Text) MOSCOW, July 18 (Inter-
fax) — Russian Prime Minister Viktor Chernomyrdin
met with a delegation of Turkish parliamentarians in
Moscow Thursday and expressed the wisi? that Chechen
separatists should not find refuge in Turkey.

The Russian government is convinced, Chernomyrdin
said, that Turkey's official authorities are undertaking
and will undertake all measures to prevent the immi-
gration of fighters into Turkey from Chechnya.

He said that “third forces” are trying to organize a refuge
for Chechen separatist fighters in Turkey.

Chernomyrdin backed the position of the Turkish lead-
ership, which views the Chechen conflict as Russia's
internal affair and reaffirmed that Moscow also respects
Turkey's territorial integrity.

en ee ee
is prohibited without permission of the copynght owners.

FBIS-SOV-96-139
18 July 1996

Chairman of Turkey's National Assembly Mustafa
Kalemli, at the head of the Turkish parliamentary
delegation, said that conflict may appear in any country
from time to time and confirmed that Turkey regards
the Chechen crisis as Russia's internal problem.

Those at the meeting also discussed navigation in the
Black Sea straits. Both parties confirmed their adherence
to a corresponding convention of 1936. At the same
time, Kalemli said that his country is preparing several
new instructions on navigation in the straits due to the
appearance of high-tonnage ships.

Russia: Primakov Says Karadzic Arrest May
Endanger Bosnia Elections

LD1707135096 Moscow ITAR-TASS in English
1342 GMT 17 Jul 96

(By Aleksandr Valiyev and Tatyana Selivanova]

{[FBIS Transcribed Text) MOSCOW, July 17 (Itar-
Tass) — Russian Foreign Minister Yevgeniy Primakov
confirmed Moscow’s position that an arrest of Bosnian
Serb leader Radovan Karadzic and his extradition to the
International Tribunal in The Hague may endanger the
upcoming elections in Bosnia-Herzegovina scheduled
for September 14.

Speaking at a joint press conference with his Dan-
ish counterpart Niels Helveg Petersen in Moscow on
Wednesday, Primakov said elections on September 14
are one of the key provisions of the Dayton peace agree-
ments.

Russia has supported Karadzic’s decision to step down
as the president of the Serb Republic, but his arrest may
endanger elections, he said.

Primakov also said that the work of the International
Tribunal has been excessively politicised and is not
properly balanced in all areas.

Russia: Primakov: Russia ‘Categorically Opposes’
Baltics in NATO

LD1707144796 Moscow INTERFAX in English

1429 GMT 17 Jul 96

(FBIS Transcribed Text] MOSCOW, July 17 (Interfax)
— Russia categorically opposes the Baltic states’ en-
tering NATO, Russian Foreign Minister Yevgeniy Pri-
makov told a press conference on the results of his meet-
ing with Danish Foreign Minister Niels Helveg Petersen
in Moscow Wednesday.

Petersen said there was no agreement between Copen-
hagen and Moscow on NATO expansion and added that
the parties have exchanged opinions on this subject, but
they do not coincide.

RUSSIA INTERNATIONAL AFFAIRS

As far as the Baltic states are concerned, Petersen
said, they should be granted the same opportunities for
participation in the creation of European security as
others.

During the talks, Primakov called on Petersen “to
influence Estonia so that it would observe the rights
of the Russian-speaking population.” Primakov said he
“was satisfied with the answer to this appeal.”
Speaking about the Chechen problem, Primakov said
that “as before, Moscow pins its hopes on negotiations
but it intends to repulse the tricks of extremists.” He
said he had informed Petersen of this.

Petersen called on both parties to the Chechen conflict
to create a settlement by peaceful means.

Russia: Ukraine Backtracks on Fleet Basing

_ Agreement

MM1807084796 Moscow KRASNAYA ZVEZDA
in Russian 13 Jul 96 p 3

{Article by Rear Admiral Aleksandr Grinko, deputy
chief of staff of Black Sea Fleet, under “Viewpoint”
rubric: "Russia's City of Fleet Glory Is Not Divided in
Two")

(FBIS Translated Text) Political passions over the Black
Sea Fleet and the problem of its division between Russia
and Ukraine have been running high for over four years.
Many questions have now been resolved to the sides’
mutual satisfaction. But the main, fundamental question,
on which the future fate of the Russian Black Sea
Fleet depends, has not yet been resolved — it is the
question of Sevastopol as the main base of the Russian
Federation Black Sea Fleet and of separate basing for
the Black Sea Fleet and the Ukrainian Navy. Now that
Ukraine has at last acquired its own fundamental law —
the constitution, which does not hamper the stationing
of Russian seamen on the breakaway land of their
forefathers who brought giory to the fleet — all the
preconditions exist for the resolution of this problem
too. It would take only good will on the part of the
Russians’ partners in these talks.

The Sochi agreement of 9 June 1995, signed by the pres-
idents of Russia and Ukraine, states: “The Russian Fed-
erction Black Sea Fleet and the Ukraine's naval forces
are based separately” (Article 1) and “the main base
of the Russian Federation Black Sea Fleet, incorporat-
ing the Russian Federation Black Sea Fleet Staff, is in
the city of Sevastopol” (Article 2). In preparing and
signing that agreement, both sides understood perfectly
what it meant and were aware of the impossibility of
joint basing of the fleets of two countries, even friendly
countries, at one base. But less than a year later the

is report may contain

ighted : ial. C . and *

18 prohibited without permission of the copynght owners.

10 RUSSIA INTERNATIONAL AFFAIRS

Ukrainian political leadership was once again dissoci-
ating itself from that agreement and insisting on joint
basing of the Ukrainian Navy and the Black Sea Fleet
in Sevastopol’s bays and on the basing of its own forces
in Streletskaya and Karantinnaya Bays, thereby cancel-
ing out everything that had been done to date with great
difficulty.

There are no more convenient, deep, sheltered, and ex-
tensive bays in the whole of the Black Sea than Sev-
astopol’s. Their advantages are obvious from all view-
points: geopolitical, geostrategic, operational, and tacti-
cal. During the years of the Soviet Union's existence a
wharf frontage over 10 km long was built, a developed
system of basing, management, defense, operational and
combat support, and ship repair facilities was created,
and the deployment of forces from the base was or-
ganized. As the main base, Sevastopol was framed by
a system of defense and protection against strikes from
the air, from under the water, from the sea, and from the
land, and a system of identification and issuing of target
designation and a steady and reliable system of nav-
igational, hydrometeorological, and rear support were
worked out. Thanks to this, the forces of the Black Sea
Fleet are capable of controlling all the main areas of
deployment and operation of likely enemy forces and,
above all, the exits from the Strait of Bosporus and the
western and central sections of the Black Sea, thereby
ensuring the defense of Russia's southern borders. These
actions by Black Sea Fleet sailors also help to guard the
coast of Ukraine.

Thus, mindful of the geographic location, the optimum,
developed system for basing the forces of the Black
Sea Fleet was created in the main base — Sevastopol
— and it includes Yuzhnaya, Severnaya, Karantinnaya,
and Streletskaya Bays as a single whole. This system
also included Balakiavskaya Bay until its transfer to the
Ukrainian Navy.

Karantinnaya and Streletskaya Bays play a special role
here. The possibility of basing the fleet's forces in them
ensures one of the main problems of the dispersed
basing of ships at the main base — which rules out their
congestion and improves stability and survivability at
times of threat, as well as reducing the number of ships
in Sevastopolskaya Bay, which is subject to the very
strong effects at times of a squally northwest wind.

Offshore defense ships and auxiliary ships based in
Sweletskaya Bay have freedom to maneuver and are
close to areas of operations, channels, and combat train-
ing ranges - - which creates conditions for freedom of
access to destination areas without impeding the actions
of the fleet's main forces and makes it possible effec-
tively to ensure antisubmarine, aatimine, and antisab-

FBIS-SOV-96-139
18 July 1996

Otage security in the area of the main base. In addi-
tion, the presence of light missile forces outside Sev-
astopolskaya Bay and in direct proximity to its outlet
creates conditions for the rapid deployment of a brigade
of small naval combatants to threatened areas.

To this it can also be added that a developed infrastruc-
ture has been created in Streletskaya and Karantinnaya
Bays, enabling the combined units of ships based in
them to function absolutely autonomously At the same
time a comprehensive system for the munagement of
search and rescue work and a develop) communica-
tions system ensuring coverage of the whole area of a
possible theater of military operations were created in
Streletskaya Bay, where the search and rescue forces are
based. All this can be used successfully for the manage-
ment of all the Black Sea Fleet's forces and become a
reserve management system.

Taking all this into account, it is possible to draw just
one conclusion: The removal of just one of these two
bays from the Black Sea Fleet basing system would
upset the integrity of the basing system. If one of the
bays were handed over to the Ukrainian Navy, the
principle of separate basing for the two fleets would
be violated.

Russia now has nowhere else to station its fleet's
main forces in the Black Sea, except in Sevastopol. It
would take decades to create new modern basing centers
and expenditure of many billions, which all the same
would not compensate for the loss of the advantages of
Sevastopol and its bays. But the young Ukrainian Navy
has somewhere to base itself. There are the bases at
Donuzlav, Kerch, Odessa, Chernomorskoye, and Izmail,
where the appropriate infrastructure was also created in
the Soviet period and where there is scope for further
improvement of the whole basing system.

Separate basing for the ficets is not someone's whim
but an objective necessity. There has been and is no
precedent in world practice for the joint stationing
of two states’ naval forces at the same basing point.
Objective reality is such that every fleet, as a functional
combat unit, lives according to its own special laws,
without which it cannot fulfill the tasks facing it.

For example, if there is a need for an emergency
departure and dispersal of the fleet's ships at sea, the
question at once arises: According to whose plans will
this happen, who will control them, and which of the
commanders will have more powers? There must be
centralized management in a naval base (something that
the Ukrainian side is very opposed to), otherwise there
will be a sharp drop in the effectiveness of resolving
the tasks facing the fleets.

is prohibited without permission of the copyright owners.

FBIS-SOV -96-139
18 July 1996

The entire infrastructure of the main base must be in
the same hands for the efficient and timely resolution
of questions of ensuring the fleets’ forces. But even if a
consensus is found in the joint use of the infrastructure,
where is the guarantee that it will be fulfilled? If agree-
ments signed by the two presidents are not fulfilled, will
agreements at a lower level be fulfilled?

In this situation the problem of the regime for using
the area of water adjacent to the main base also arises.
If it is granted the status of Ukrainian territorial waters,
then great difficulties will inevitably arise in its practical
use by Black Sea Fleet forces. With joint basing it will
be necessary to mark out deviation and special areas,
measuring lines, and areas of dispersal and deployment
on the area of water for each fleet, and this will hamper
the maneuvering of forces, disrupt their camouflage,
destroy the system of hydroacoustic observation and
detection of the enemy, and give rise to masses of other
complications in management. These are just some of
the problems, maybe not the most vivid problems, which
will inevitably arise with joint basing of the two states’
fleets. Therefore it is expedient now, at the start of the
matter, not to create problems that can be predicted in
advance, $0 as not to waste time and effort on resolving
them later.

Russia: Gazprom Team in Kiev for Talks With
Kuchma

MK1707131096 Moscow NEZAVISIMAYA GAZETA
in Russian 17 Jul 96 p 3

[Unattributed report)

{[FBIS Translated Text) A Gazprom Russian Joint-
Stock Company [RAO] delegation led by the RAO
board chairman, Mr. Vyakhirev, is in Kiev. The RAO
Gazprom office in Ukraine reports that the objective of
the delegation’s visit is unknown.

On Monday [15 July) the Russian gas people were re-
president

press ser-
vice advised that implementation of the program of gas
supplies to Ukraine, and the state of the settlements for
them, as well as the prospects of a deeper bilateral coop-
eration in this area, were discussed in the course of the
meeting. In particular, they discussed ways of improving
existing arrangements for the delivery of Russian gas to
Ukraine, as weil as its transportation across the repub-
lic’s territory to third countries. Mr. Vyakhirev briefed
Leonid Kuchma on further plans to expand the gas pro-
duction sector in Russia and advocated boosting mutual
investment in the gas industry of the two countries.

RUSSIA INTERNATIONAL AFFAIRS

Russia: Georgian, Russian Interests in Abkhazia
Eyed

MM1707134496 Moscow PRAVDA in Russian

16 Jul 96 p2

{Commentary by Spartak Zhidkov under the rubric
“Analysis of the Situation": “The Abkhaz Question in
the Russian Context"]

(FBIS Translated Text) “The key to Abkhazia lies in
Russia” — many Georgian politicians have been con-
stantly using such phrases in recent years. In so saying
they do not tire of reminding their Russian friends about
Moscow’s “debt” for maintaining Georgia's territorial
integrity. But I think that it is also perfectly appropriate
to put it another way: “The key to Russia lies in Abk-
hazia.”

The many days of loud debates on the Abkhazia
question in the Georgian parliament ended, as is well
known, with the adoption of a decree the cornerstone
of which was the condition regarding a change in
the Russian peacekeeping forces’ mandate in Abkhazia
within two months “in the light of the Georgian side’s
demands." Otherwise the Russian Federation troops
must leave the conflict zone. Furthermore, the two-
month deadline is viewed as the final delay. But a
change in the mandate according to the Georgian
scenario means the occupation of Abkhazia, which
in turn means war, and war in Abkhazia means an
explosion in the North Caucasus. The expiry of the two-
month deadline for the change in the mandate coincided
almost exactly with the date of the Russian presidential
election.

Strictly speaking, since the disintegration of the USSR
unions have been formed between Russian patriotic
movements and the former Georgian autonomous for-
mations — Abkhazia and South Ossetia — and between
the Tbilisi hierarchy and the Yeltsinites. Shevardnadze
and Yeltsin have taken turns to provide a whole se-
ries of services for one another. But since the start of
1996 the search for a closer union between Moscow
and Tbilisi has gone beyond the normal framework. In
January 1996 Yeltsin made Shevardnadze an extremely
generous gift when he officially assumed a personal
commitment (or rather imposed a commitment on Rus-
sia) to help Georgia take Abkhazia back into its fold,
thereby jeopardizing Russia's immediate interests. She-
vardnadze paid Yeltsin a no less valuable service two
months later when, in response to the Russian State
Duma's denunciation of the Belovezhskaya Pushcha ac-
cords, he proposed convening an extraordinary meeting
of CIS leaders, which was essentially a vague but un-
concealed threat to the Duma. Immediately after that the

is report may contain

copyrighted material. © -pying and disseminaton
is prohibited without permission of the copyright owners.

12 RUSSIA INTERNATIONAL AFFAIRS

Russian Navy was almost embroiled in a military clash
with the Abkhazians.

The reasons for such a bold policy by Tbilisi lie in
the importance of the Abkhazian question for Shevard-
nadze. There has been such a decline in the Georgian
economy recently (and indeed earlier) that there is ev-
ery reason to believe that a social explosion is possible.
Even though Georgia’s official authorities do not tire
of talking about “achievements,” it will soon be impos-
sible to hide the collapse from the outside world. All
the enterprises in the republic are still standing idle and
the recently adopted land law, which effectively legit-
imizes the sell-off of Georgian land to foreign capital,
has forced even implacable rivals like the Communists
and the Zviadists to unite against it. So what can prevent
an explosion of popular anger? Someone has evidently
decided: only a new wave of nationalism.

In 1992, when living standards fell sharply and eco-
nomic (and political) chaos ensued after the civil war
in Georgia, Shevardnadze managed to “divert the at-
tention” of the people only by launching de-facto wars
(with South Ossetia and Abkhazia). At the same time
official Tbilisi’s propaganda reviled not so much the
“separatists” as Russia, the Slavophiles, the Commu-
nists, and so forth. In exactly the same way Shevard-
nadze now hopes to mitigate the approaching economic
collapse by a victory over Abkhazia. But, given that
the Georgian Army in its present state clearly cannot
defeat Abkhazia, Tbilisi is gambling on the use of Rus-
sian troops against Abkhazia.

For Georgia victory over Abkhazia via Russian inter-
vention is the best option. The fierce debates in the
Georgian parliament preceding the adoption of the de-
cree on Abkhazia 17 April were nct evidence of deep

FBIS-SOV-96-139
18 July 1996

contradictions within the Georgian “hierarchy” on the
methods of resolving the Abkhazian question. At first
glance the national democrat and “Abkhazeti" parlia-
mentary factions entered into a fairly sharp conflict with
the parliamentary majority (the "Union of Citizens of
Georgia"). The latter demanded a broadening of the
mandate (for which read — the occupation of Abkhazia
using Russian military units), while their opponents de-
manded the withdrawal of the Russian peacekeeping
forces so as to regain Abkhazia by military means. After
the withdrawal of the peacekeeping forces the national
democrats proposed devoting two years to the prepa-
ration of a campaign against Abkhazia. Perhaps their
position toward Russia was more honest?

At the same time most military experts agree that a
Georgian Army capable of defeating Abkhazia can be
formed only with Russian help, and there is already a
written accord on that. Clearly the national democrats’
scheme is that after the Russian military have withdrawn
from Abkhazia they should spend two years training the
Georgian Army for a new war against Russia's ally.
Now the “extremist” stance of the National Democratic
Party and “Abkhazeti" has enabled the majority in
the Georgian parliament to pursue its policy without
difficulty. The Georgian parliament's work brings to
mind the saying: They're in this together.

But the most distressing thing is that on the Abkhazia
question the present Russian Government is far less
concerned about Russia's interests than the Georgian
Government is about Georgia's interests. Why? Because
the reasons which prompted Shevardnadze to go to war
with Abkhazia are global, whereas the aims that Yeltsin
seems to be pursuing in this crisis are more short-term.

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RUSSIA NATIONAL AFFAIRS 13

Political Issues
Russia: Yeltsin’s Kremlin Inauguration To Take

1418 GMT 17 Jul 96
(FBIS Transcribed Text} MOSCOW, July 17 (Interfax)

eltsin and leaders of other power branches will take

places on the podium. Yeltsin and Chairman of

Russia’s Constitutional Court Vladimir Tumanov will
be the main figures involved in the ceremony.

Shokhin said that Tumanov will propose that Yeltsin
swear the oath of allegiance. Yeltsin will swear the
oath by placing his hand on the text of the Russian
Constitution. A special copy of the Basic Law will
be printed for this purpose. Yeltsin will receive the

presidential power, the Order for Merits to
Fatherland of the first level with a chain, during the

LD1807145696 Moscow INTERFAX in English
1413 GMT 18 Jul 96

{FBIS Transcribed Text} MOSCOW July 18 (Interfax)
— The Russian presidential political consultative coun-
cil at its first session Thursday named its deputy chair-
men and the heads of 12 chambers of the council.

Ivan Rybkin, appointed council chairman by President
Boris Yeltsin, will have among his deputies Vladimir

(Liberal Democrat), Sergey Shakhray
(Party of Russian Unity and Accord), Yekaterina
Lakhova (Women of Russia), Boris Fedorov (Forward

Russia). Three seats were reserved for Our Home is
Russia and Yabloko movements and the Communist
Party.

At the insistence of Liberal Democrats, their represen-
tative Oleg Finko was given the post of the chairman
of the information chamber.

The nationalities chamber will be led by the president
of the Russian Union of Industrialists and Entrepreneurs
Arkadiy Volskiy, the chamber on defense and security
problems by the head of the Union of Realists Yuriy
Petrov, the economic chamber by the head of the
Our Home is Russia faction in the Duma Sergey
Belyayev, and the foreign policy chamber by the Social
Democratic movement co-chairman Gavriil Popov.
Chairmanship in the human rights and social policy
chambers has been offered to Communists and Yabloko
members who have not decided on their involvement in
the council.

At the session RybFin said the council was formed
because the president was concerned about the interests
of almost 40 million voters who are not represented in
the Duma, as in the December 1995 elections they cast
their ballots for parties and movements that did not clear
the 5 percent barrier.

According to Rybkin, the main purpose of the council
is to examine drafts of laws, presidential decrees and
government resolutions.

“The president is interested in the public opinion,” he
said and voiced confidence that the council will become
a permanent institution on the Russian political scene.

Russia: Chernomyrdin Says Number of Ministries
To Be Reduced

LD1807084196 Moscow INTERFAX in English
0809 GMT 18 Jul 96

[By Gennadiy Yezhov]

[FBIS Transcribed Text] MOSCOW July 18 (Itar-Tass)
— “The number of federal ministries and institutions
will, most probably, be reduced, in order to avoid
the duplication of their work,” Prime Minister Viktor
Chernomyrdin, to whom President Yeltsin assigned to
form a new cabinet, said today in an interview with
Russian news agencies.

Responding to questions of journalists about who will be
included in the future government, Chernomyrdin said
that it was too early to speak about it. "At present no
one can tell who will be included in the government, and
what its structure will be like, until the president himself

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is prohibited without permission of the copyright owners.

14 RUSSIA NATIONAL AFFAIRS

makes decisions on key problems after the preparation
of corresponding documents,” he said.

“The problem is now being tackled, and we are coming
up against various points of view. New ideas and
organising schemes emerge in the process of work.
Along with it, we are holding serious consultations at
a political level with representatives of various political
forces."

The prime minister stressed that, in his opinion, the
meaning of this “difficult and painstaking work" is
to create “effective management instruments in the
form of the main blocs — the financial and economic,
social and production ones, for whose functioning the
government will be responsible, as well as to streamline
and rationalise the solution of problems, connected with
ensuring the country’s security, law and order, as well
as with international affairs.”

As far as the government apparatus is concerned, he
continued, "a combination of two factors is especially
important in this respect. These are: the intensification
of the analytical, expert and information work, as well
as the dramatic growth of its level, in combination with
mastering the normal functioning of the ‘bureaucratic
machine’ proper. At present neigher of those factors
has reached the needed level in this country, and they
do not blend well so far.”

Russia: Chernomyrdin Chairs State Commission
Sitting on Chechnya

LD1707131496 Moscow Mayak Radio Network

in Russian 1200 GMT 17 Jul 96

(FBIS Translated Text] We begin this news bulletin with
a live report from the Russian Government building
where a sitting of the State Commission for a Settlement
in Chechnya is taking place right now under the
chairmanship of Prime Minister Viktor Chernomyrdin.
Our observer Viadimir Konyukhov gives us the details
over the phone.

[Konyukhov] Opening the sitting, Prime Minister Cher-
nomyrdin described the situation in Chechnya *s very
acute. Today we have to work out a specific ti: .ctable
for actions toward a verifiable and controllable resolu-
tion of the Chechen crisis within the second six months
of this year in accordance with the plan adopted by
President Yeltsin. Incidentally, implementation of the
presidential plan has already produced certain results in
the political sense and wide-scale hostilities were halted
successfully through immense efforts.

Most regrettably, we are again falling into a kind of
vicious cycle, said Viktor Stepanovich: Talks that are
then followed by an escalation of the situation and then

FBIS-SOV-96-139
18 July 1996

the breakdown of accords. For the time being one cannot
say that everything has broken down but the threat of
ec ee ee oe
with tragic inevitability. Between 4 and
33 July, while the federal commission responsible for
negotiations was conducting the talks process with the
opposing side, there were, indeed, no active hostilities
nor were there any major acts of provocation and
people held by force were being released. But now, said
Chernomyrdin, I have to state something quite different:
Namely, that there has been a failure to use fully the new
political opportunities of the set of military problems.

In effect, the situation has simply been wrecked by the
actions of illegal armed formations and bandit groups.
As before, attacks on road blocks and state institutions
continue, as do hostage-taking and robberies. Since
the signing of the protocols in Nazran, the ceasefire
accord has been violated 600 times. Two major acts
of sabotage on the railway have been committed and 73
servicemen have been killed. We cannot and we have
no right to leave all this unpunished, said the prime
minister. The president instructed us to find a settlement
as soon as possible but peace will not come by itself.
These are Chernomyrdin’s words. Immense and earnest
work is needed and the commission is now conducting
just such work at Government House. We have been
promised that after the sitting a meeting with journalists
will be held. I hope to report in greater detail on the
commission’s decisions in Mayak Panorama sometime
after 1800.

Russia: Primakov Comments on Chubays, Denies
Lebed Foreign Policy Role

BR1707132496 Turin LA STAMPA in Italian
17 Jul 96 p6

{Interview with Russian Foreign Minister Yevgeniy
Primakov by Fernando Mezzetti in Moscow; date not
given: “Lebed Must Keep His Own Place”)

(FBIS Translated Text] Among the disputes occasioned
within the Kremlin by Aleksandr Lebed’s ambition to
take control over everything and his broad interpretation
of the notion of national security, Yevgeniy Primakov
has reaffirmed his jurisdiction over foreign policy and
his loyalty to Yeltsin. In a brief interview separate
from the joint news conference that he and [Italian
Foreign Minister] Dini held at the end of their talks,
the foreign minister agreed to answer questions on hot
domestic topics on which the various components of
the presidential and government circles are clashing.
We were in the garden of the ministry's 19th-century
hospitality pavilion, which is now being diligently
restored after years of neglect.

is report may contain

copyrighted material. Copying and dissemination
is prohibited without permission of the copyright owners.

FBIS-SOV-96-139
18 July 1996

Without polemics, but with sudden knowing smiles,
Primakov, the cunning old head of counterespionage,
briefly made his position in support of Prime Minister
Chernomyrdin fairly clear. When questioned about the
same issues, Chernomyrdin told me without hesitation,
“I will never abdicate any of the prerogatives and
responsibilities conferred on me by the Constitution.”

(Mezzetti} In his capacity as adviser on national security
and Security Council secretary, Aleksandr Lebed would
like to coordinate foreign policy, and he has claimed
that his office has jurisdiction over such issues. What
do you think?

{Primakov] The coordinator of foreign policy has been
and remains the minister of foreign affairs. This does not
mean that the adviser on national security must be kept
in the dark or that foreign policy cannot be discussed
by the Security Council. Quite the contrary. The foreign
minister is always a council member.

(Mezzetti] The security adviser is claiming the right to
coordinate what are known as the strong ministries: de-
fense, the interior, and the FSK [Federal Counterintelli-
gence Service] (counterespionage — LA STAMPA ed-
itor’s note).

(Primakov] The adviser can coordinate security issues
concerning these ministries, but the ministers are an-
swerable to the president.

(Mezzetti) What do you think of former Prime Minister
Anatoliy Chubays’ return to the president's team after
saying only a week ago that he wanted to retire from
politics for good? His appointment the other day as head
of the presidential staff and adviser could in itself turn
him into a strong power, even though he is not a member
of the government.

[Primakov] I see this decision of the president's in a
positive light. I see everything that the president does
in a positive light.

Russia: Law on Veelected President Taking Office
Rejected

LD1707223596 Moscow ITAR-TASS Worid Service
in Russian 1402 GMT 17 Jul 96

[By ITAR-TASS parliamentary correspondent Lyud-
mila Yermakova)

{FBIS Translated Text] Moscow, 17 Jul (Itar-Tass) —
Today, the Federation Council rejected a law “On the
Entry Into Office of the Reelected President of the
Russian Federation” and proposed that the State Duma
set up a conciliatory commission so that it can be jointly
corrected.

RUSSIA NATIONAL AFFAIRS 15

The senators consider that this law, which, incidentally,
was passed by the State Duma in its second version and
which accounted for some feedback by the president,
nonetheless still has quite a few flaws. First of all, the
Federation Council notes, “the law goes beyond the
issues it is intended to legally regulate." In particular,
the item of the government relinquishing its powers to a
newly elected president taking office should be included
in the federal constitutional law on the government. The
upper chamber members believe that the law should
provide for the president's right to membership of pubiic
organizations whose statutory activity does not envisage
political objectives. Attention was also paid to the fact
that the law has not been given a financial ruling by the
government, which needs to be done whenever a draft
allows for costs to be paid by the federal budget. The
senators have other points to make about the law. It
was noted, for instance, that the point of this law being
adopted is not that Boris Yeltsin has been reelected
president but rather to prepare for the longer term when
someone else will be elected to the post of president.

Russia: Duma Debates ORT’s Future; Yeltsin
Called ‘Mummified Statue’

LD1707205596 Moscow Russian Public Television
First Channel Network in Russian
1700 GMT 17 Jul 96

[From the "Vremya” newscast]

(FBIS Translated Excerpt] Unlike the Federation Coun-
cil, which today dealt with the country’s urgent prob-
lems, State Duma deputies decided to let off the steam
accumulated since the election campaign. The Zhiri-
novskites, Communists, and Agrarians decided to take
revenge on the media for losing the elections. They sin-
gied out Russian Public TV as their first victim.

[Begin recording) [Unidentified correspondent] The
deputies were in a fighting mood today. Within the first
minutes of the meeting the Communist faction proposed
that no additional items be put on the agenda, which
already listed 40 items, and work be started straight
away. In other words, they wanted to sort out Russian
Public Television [ORT], something promised long
ago. The discussion was initiated by the Communist
and LDPR factions, whose leaders in recent times
were seen mainly, not as deputies but as presidential
candidates. And even though some deputies kept saying
that it is a question of television in general and not just
ORT, the latter was accused of many sins. One of the
deputies even said that at present television is causing
more damage to the country than the Second World
War. The Duma heard various qualifications, from
moral terrorism to the dark ages. A simple solution to
the problem was offered.

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16 RUSSIA NATIONAL AFFAIRS

{Rinat Gabidullin, Comunist Party faction, addressing
Duma] There would not have been much harm done
even if television had stopped broadcasting during the
election campaign.

{Correspondent} The majority in the Duma are in
Opposition to executive authority and therefore intend
to put up a fierce fight for any levers of control. The
first channel [ORTV1) is the most powerful one among
them, and some people would like to turn it back to
the state. True, fairly unusual methods of using it are

proposed.

[Vladimir Zhirinovskiy, addressing the Duma) We must
adopt an historic decision giving the first channel to the
state. The president, the government, and the parliament
will have 33 percent in it in control, participation in
program-making, and so on. So let a threesome be
formed, but not for drinking a bottle of vodka in the
doorway — it should be a threesome to take part in a
single channel.

{Correspondent} As could be expected, the final argu-
ment was about money.

{Oleg Finko, chairman of the State Duma Committee for
Information Policy, addressing Duma] Our only possi-
bility of influencing television is through the budget.
Many deputies in this audience are particularly angry
about the aggressive, pro-presidential and pro-Yeltsin
stand adopted by ORT and VGTRK [All-Russian State
Television and Radio Company] during the election pe-
riod. But what do we expect? ORT, which received not
a penny from us in the official budget this year, should
support another candidate and not Yeltsin?

{Correspondent} Yet again deputies demanded that the
program Hour be restored, and that the
situation with cadres at ORT be sorted out, sometimes
even in court.

{Stanislav Govorukhin, addressing Duma] Why are
these people not in prison?

{Correspondent} It became clear later that the topic of
television concerned the Duma only as a link to a global
post-election subject. Those who lost the elections are
now ready to do anything to discredit the winners.

{Stanislav Govorukhin} What is done is done, the elec-
tions have been held. As was planned by those who
organized this campaign, the country is left without a

Instead of him we are shown some mummi-
fied statue. The practice has already started of...[Pauses]
Why are you, Katya, looking at me as if what I say is
not true?

FBIS-SOV-96-139
18 July 1996

(Unidentified Voice off screen} Stanislav Sergeyevich,
I will switch off your microphone if you continue to
insult the president.

{[Govorukhin} How on earth have I insulted the presi-
dent?

[Sergey Belyayev, head of Our Home Is Russia faction,
in the lobby] Clearly this discussion started only because
the election campaign is over and today’s discussion
is a hangover from the election campaign because the
presidential candidates who have lost are trying to find
the guilty party. In this case, they targeted ORT.

[Correspondent] After all the debate, the deputies
adopted two draft decisions as a basis. The first speaks
about the unsatisfactory financing of the media and
asks the budget to pay off the debt to the media
accumulated in 1995. The other draft decision asks
the president to transform ORT into a state television
company. However, deputies were not quite satisfied
with the text of the document and they plan to give it
final approval at tomorrow's session. [passage omitted:
Chernomyrdin sent a letter to Duma asking it to work
more efficiently] [end recording)

Russia: Growing Confrontation Between
Parliament, Government Viewed

LD1707140196 Moscow Radio Rossii Network
in Russian 1000 GMT 17 Jul 96

[Commentary by Aleksey Tokarev]

(FBIS Translated Text] New appointments above all in
the cabinet of ministers will no doubt affect the rela-
tionship between the executive and legislative powers
even in the immediate future. Here is Aleksey Tokarev
with his commentary.

[Tokarev] The post-election truce between political
rivals is once again developing into confrontation.
While after 3 July, the statement by head of the State
Duma Gennadiy Seleznev and speeches by his fellow-
party members allowed one to hope for an almost
unanimous confirmation of Viktor Chernomyrdin in
the post of prime minister, now members of left-wing
parliamentary factions are ready for a fight once more.
True, the executive power has also changed its attitude
toward the opposition. At the beginning, while there was
talk about the impermissibility of a coalition multiparty
government, both the prime minister and his closest
entourage stated that they were ready to collaborate
with professional administrators regardless of their party
affiliations.

The fact that the post-election move initiated by the
Russia Is Our Home movement to immediately replace

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FBIS-SOV-96-139
18 July 1996

the Duma’s communist chairman has been left in limbo,
if it has not died completely, can also be viewed as
a step to meet the left-wing opposition half way. But
the situation is quickly changing at the moment. The
communists’ ire was aroused by the appointment of
Anatoliy Chubays, the father of Russian privatization,
to the post of the president's chief of staff. The
prime minister himself is in no rush to invite anyone
from among the left-wing ministerial candidates for
consultations.

Suffice it to say, that today in the Duma a letter
by Chernomyrdin was circulated. It demands that the
deputies speed up the examination of 80 legislative
initiatives that were submitted by the government to
the Duma a long time ago. In all probability the prime
minister has let it be known that in the interests of the
cause he is ready to sacrifice peace.

The opposition has also changed its approach to the
issue of the appointment of prime minister. Today the
Communist Party of the Russian Federation has been
discussing conditions that it is intending to set to the
prime ministerial candidate. Among these conditions
are the need to make public a four-year work plan, an
approximate composition of the Cabinet of Ministers,
and a list of measures to extricate the country out of the
crisis. If the prime minister fails to cooperate with our
proposals, Viktor Ilyukhin, a leader of the Communist
Party of the Russian Federation and the head of the
Duma Security Committee, said, his candidacy will be
failed at least once. By all accounts the communists will
not be stopped by a constitutional threat of a dissolution
of the Duma.

But who will benefit from turning political dialogue
into confrontation? It is obvious that the most radical
representatives at both ends of the political spectrum
will want to take advantage of it. This will certainly
lead to the loss of political stability, which has just been
acquired.

Military & Nuclear Issues

Russia: Yeltsin: New Defense Minister To Bring
Order to Army

LD1807093496 Moscow INTERFAX in English
0921 GMT 18 Jul 96

(FBIS Transcribed Text] MOSCOW, July 18 (Interfax)
— President Boris Yeltsin said the major task of new
Russian Defense Minister Igor Rodionov is to bring
elementary order in the army, President Boris Yeltsin
said Thursday while presenting Rodionov to a session
of the Defense Ministry board held in the Barvikha
sanatorium in the Moscow region where Yeltsin is
spending his vacation.

RUSSIA NATIONAL AFFAIRS 17

Yeltsin spoke of “the moral climate in the army.
Corruption is corroding the officer corps like rust.
We cannot stop the ugly phenomenon of arms trade
from army depots. We cannot get rid of hazing among
soldiers."

Yeltsin said that it was impossible to solve these
problems “by separate partial measures.”

“We need profound military reform,” he said.

The major aim of the reform is to create a professional
army by the year 2000. It must enjoy popular support,
respect, and be provided with everything it needs, but "it
should not be an unbearable burden for society," Yeltsin
said.

Military reform is a state task, but not only the business
of the military department, and therefore Yeltsin has
decided to create a Defense Council. This body will
implement the strategic decisions of the country’s
Security Council, resolve issues related to defense
security and exert control over the process of military
construction.

Russia: Rodionov Favors Single Leadership of
Power Structures

LD1707215296 Moscow Russian Public Television
First Channel Network in Russian
1700 GMT 17 Jul 96

[From the "Vremya” newscast]

(FBIS Translated Excerpt] Will the new defense minis-
ter, who took up his post today, be able to unravel the
knot of difficult problems? Igor Rodionov was today
appointed defense minister. [passage omitted]

General Rodionov worked on the development of gen-
eral concepts and a program for military reforms. He
believes that the state’s system of defense and military
organization should be amended in line with the new
geopolitical realities in which Russia finds itself. Rodi-
onov thinks that reforms should ensure military security
for the country and its allies. In this connection, the gen-
eral believes, a single leadership of all Russia's power
structures is needed.

[Begin Rodionov recording] The borders of the Interior
Ministry's districts are those of border districts. In each
ministry, all these borders are indicated on the map in
a different way, without agreeing them with anybody,
not even with the general staff. Proceeding from this
they have created many structures and each is dealing
with its own problems and finances. However, there is
no unifying basis on a state scale. But it is needed. We
worked on this with Anatoliy Kvashnin and developed
a single approach to uniting all this in the interests

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18 RUSSIA NATIONAL AFFAIRS

of the state, rather than individual departments. [end
recording]

Igor Nikolayevich has so far refrained from any com-

ments on his appointment. He told us by telephone that
he still needs time to think it all over.

Russia: Rodionov Stresses ‘Feeling of Great
Responsibility’

MK1807092996 Moscow NEZAVISIMAYA GAZETA
in Russian 18 Jul 96 pl

{Interview with Defense Minister Igor Rodionov by An-
drey Poleshchuk under the “First-Hand” rubric with the
general heading: “Boris Yeltsin Continues a Drastic Per-
sonnel Renewal. He Finally Appoints Igor Rodionov,
One of Russia’s Most Prominent Professionals in Mili-
tary Affairs, as Defense Minister"}

(FBIS Translated Text) In a brief telephone interview
Colonel General Igor Rodionov answered the questions
of your NEZAVISIMAYA GAZETA correspondent.

(Poleshchuk] Let me congratulate you on your appoint-
ment...

[Rodionov]} Thank you!

(Poleshchuk} May I ask you a few brief questions...

{Rodionov} No, until I am introduced to the Defense
Ministry collegium by the supreme commander in chief
it would be unethical on my part to answer any specific
questions. For this reason I am not telling anyone
anything, even for NEZAVISIMAYA GAZETA.

[Poleshchuk} And when will the introduction take
place?

[Rodionov] I do not know. This depends on the presi-
dent.

{Poleshchuk} Let me ask you then what feelings you
have today.

[Rodionov]} My feelings? First of all, this is a feeling of
great responsibility.

{Poleshchuk} In what way does in manifest itself?
{Rodionov}] There are many things to be done, many

including those that have yet to be resolved.
They should be resolved urgently. Until this day my job

FBIS-SOV-96-139
18 July 1996

{Poleshchuk] Do you yourself feel that you have enough
strength to tackle this demanding job?

{Rodionov] If I hadn't, 1 would have found the strength
to refuse.

Russia: New Defense Minister Determined To Fight
Corruption in Army

LD1807104796 Moscow ITAR-TASS World Service

in Russian 0937 GMT 18 Jul 96

(By ITAR-TASS correspondent Andrey Shtorkh]

{(FBIS Translated Text] Barvikha (Moscow region),
18 Jul (Itar-Tass) — New Russian Defense Minister
Colonel General Igor Rodionov told an ITAR-TASS
correspondent after being presented by the Russian
president to the ministerial collegium that he intends to
wage a resolute struggle against corruption in the army.

“The army's authority cannot be maintained if the army
is corrupt, especially its leaders”, he said.

General Rodionov noted that in the army “everything
must follow the principle ‘Follow my example’, and I
have no intention of departing from this principle in the
office of defense minister”.

The minister told the ITAR-TASS correspondent that
Boris Yeltsin had instructed him to prepare and present
to the command an in-depth report on the new tasks
facing the armed forces.

Replying to a question as to which subjects the minister
raised in his address to the collegium at the session, Igor
Rodionov noted that he called for the strengthening of
the armed forces and the carrying out of military reform
so that “the army was not a burden for the country and
a bugbear to the world community”.

Russia: Rodionov Seen Facing ‘Very Difficult’
Tasks

MM1707152396 Moscow IZVESTIYA in Russian
18 Jul 96 pl

[Report by Viktor Litovkin: “General Igor Rodionov Is
the New Russian Defense Minister”]

{(FBIS Translated Text] No sooner had IZVESTIYA
said yesterday that the defense minister's post had not
been vacant for so long since 1802 than the president
appointed Colonel General Igor Rodionov the new
Russian defense minister.

Igor Rodionov was born | December 1936 in the village
of Kurakino, Serdobskiy Rayon, Penza Oblast; he is a
graduate of the Orel Tank School, the Armored Forces
Academy, and General Staff Academy, he commanded

is report may contain copyrighted material. Copying and dissemmation
is prohibited without permission of the copynght owners.

FBIS-SOV-96- 139
18 July 1996

a motorized rifle division in the Carpathian District,
served in Afghanistan as commander of the 40th Army,
was commander of the Transcaucasus Military District,
and has been chief of the General Staff Academy since
1989. He has been a colonel general since 1988.

Observers regard the appointment of Igor Rodionov as
a sign of Security Council Secretary Aleksandr Lebed’s
growing influence on army structures. It was Lebed
who insisted on Rodionov’s appointment to the post,
although the general was responsible for the April 1989
events in Tbilisi.

Rodionov’s tasks in the new post are very difficult. Not
only does he have to purge the Defense Ministry of
the corrupt “nestlings of Grachev,” ensure that officers’
allowances are regularly paid, and pay off the debts
of the last two months, but he also has to carry
out a constructive reform of the armed forces and
make the army completely professional in 2000. In
a recent interview Igor Rodionov said that military
reform affects the country’s entire defense sphere and
presupposes the implementation of political, economic,
military, social, legal, and other neasures to ensure that
the state is ready to defend itself against an attack
and the actual defense of the population, territory,
and sovereignty of Russia. It is perfectly clear that
many of the aforementioned measures lie a long way
outside the functions of the Defense Ministry and are
the prerogative of the president and legislative and
executive authorities. We will discover whether the
country’s leadership is prepared to help the defense
minister conduct this reform.

Russia: Duma Chairman Seleznev Welcomes New
Defense Minister

LD1707152996 Moscow INTERFAX in English
1446 GMT 17 Jul 96

(FBIS Transcribed Text] MOSCOW, July 17 (Interfax)
— Russian State Duma Chairman Gennadiy Seleznev
of the Communist Party faction has welcomed the
appointment of Col. Gen. Igor Rodionov as Russian

“Rodionov nas shown himself as a good military man
and a very honest person,” he told reporters in the
national parliament on Wednesday.

“Within the context of very dramatic situations regard-
ing Tbilisi, he did not act as a coward handing the re-
sponsibility over to somebody else, but had the courage
to come through all the deserved and undeserved criti-
cism of his actions,” Seleznev said.

Russian Security Council Secretary Aleksandr Lebed
and State Duma Defense Committee Chairman Lev

RUSSIA NATIONAL AFFAIRS 19

Rokhlin "played a positive part" in Rodionov’s appoint-
ment as defense minister, he said.

State Duma Defense Committee Chairman Lev Rokhlin
of the Our Home is Russia faction told Interfax that
he was “grateful to President Boris Yeltsin for the ex-
tremely wise decision” to appoint Rodionov as Russian
Defense Minister.

One can now be confident that the situation regarding
the army will improve and military reform will be
implemented beyond doubt, he said.

When asked whether the new defense minister's ap-
pointment would influence the situation in Chechnya,
Rokhlin voiced the hope that the new defense minis-
ter’s position regarding this problem would be “very
balanced.” However, he did not elaborate.

State Duma Defense Committee Deputy Chairman
Aleksey Arbatov of the Yabloko faction believes that
there were better candidates for the defense minister
than Rodionov.

He named Russian Federal Border Guard Service Di-
rector Andrey Nikolayev as an example.

Arbatov said he was confident that Rodionov had
been appointed as defense minister because of pressure
exerted by Lebed.

However, “the president's choice needs to be respected,
and it is necessary to wish that the new minister cope
with his functions successfully,” he said.

“These are some internal, very sly compromises relating
to the balance of power within the executive power:
the appointment of [Anatoliy] Chubays [as presidential
chief of staff] on the one hand and the appointment of
Rodionov on the other hand,” Arbatov said.

“The president likes this. I would wish him not to
create such balances within the executive power but
to make appointments proceeding from the criterion of
professionalism,” Arbatov said.

State Duma Defense Committee Deputy Chairman, Col.
Gen. Eduard Vorobyev of the Russia's Democratic
Choice unregistered group of deputies told Interfax that
he hailed Rodionov’s appointment as Russian defense
minister.

"I know him from our joint service in the Trans-
Carpathian Military District during the 1970s. I appre-
ciate him as a highly skilled professional. I believe that
General Rodionov is capable of implementing military
reform,” he said.

At the same time, Vorobyev said he was waiting for the
new defense minister to voice the need to end combat

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20 RUSSIA NATIONAL AFFAIRS

actions in Chechnya and “make personal moves for this
purpose.”

Rodionov is a good professional, member of the State
Duma Defense Committee Sergey Yushenkov of the
Russia's Democratic Choice unregistered group of
deputies told Interfax.

However, the defense minister needs to be not only a
good military specialist but also a politician, he said,
adding that in his opinion Rodionov did not qualify as
a politician.

Moreover, “the Defense Ministry should be led by a
civilian,” Yushenkov believes.

Rodionov is one of the most honest generals of the
Soviet and Russian army, General Albert Makashov of
the Communist Party faction told reporters.

During all his army service, Rodionov has had no
outside support, and was commander of a platoon for a
very long time: for more than seven years, Makashov
said.

Makashov was formerly Rodionov’s deputy in the
Trans-Caucasian Military District. "I carried out all the
instructions and orders of my chief not because I had to,
but with pleasure, because it is pleasant to work together
with Rodionoy,” he said.

State Duma Security Committee Chairman Viktor
Tlyukhin of the Communist Party faction also backs
Rodionov’s appointment as Russian defense minister.

“Rodionov is a well-respected and highly skilled spe-
cialist who has mounted all the rungs of the military
ladder, having accumulated huge experience,” he said.

When asked what stand on Chechnya the new defense
minister was likely to take, Ilyukhin said that “decisions
on this matter are made by the president.

“The defense minister only carries out the will of the
supreme commander-in-chief,” he said.

Russia: Prominent Defense Correspondent Hails
Rodionov Appointment

MK1807104696 Moscow SEGODNYA in Russian
18 Jul 96 pl

[Report by Pavel Felgengauer: “Igor Rodionov Has
Become Defense Minister. Serious Changes and Reform
in the Military Are Inevitable")

{[FBIS Translated Text] A month ago President Boris
Yeltsin was still thinking about a replacement for the
retired Pavel Grachev. To be sure, the choice was not
easy. During Yeltsin's first presidential tenure tanks
twice decided the country’s future on the streets of

FBIS-SOV-96-139
18 July 1996

Moscow. And therefore Yeltsin was accustomed to
appointing chiefs of “power™ structures primarily on the
basis on their personal loyalty. But after his convincing
victory on 3 July the president apparently decided that
his position is so unassailable that he can appoint
officials on the basis of their professional qualities and
loyalty to the law, not the president in person. First
Gen. Kovalev was appointed FSB director, and now
Igor Rodionov has been made defense minister.

Gen. Rodionov is one of the most authoritative and
experienced military leaders in our armed forces. Ro-
dionov has been chief of the General Staff Academy
since 1989, and, so, many generals and admirals are his
[former] pupils. Unlike Grachev, he has gone through
all stages of the military career of an operational com-
mander and staff officer, including participation in for-
eign campaigns: He commanded the 40th Army in
Afghanistan, and was the chief Soviet military adviser in
Damascus. Yeltsin simply had no better qualified candi-
date for defense minister, and not only Aleksandr Lebed,
but many other advisers recommended that the president
appoint Rodionov.

Meanwhile Rodionov’s successful military career
seemed utterly ruined in 1989. He was commander of
the Transcaucasus Military District with headquarters
in Tbilisi, and he was blamed for the civilian casualties
in the breakup of a public rally organized by Zviad
Gamsakhurdia. True, the military still maintains that
the troops acted in self-defense, beating off attacks
by the “brutal Zviadites,” and that, furthermore, they
were Carrying out the verbal directives of the political
leadership which then chickened out and ran for cover,
shifting the whole responsibility onto the general.

Harassed by the then-democratic public, Rodionov be-
gan to ideologically gravitate toward the wouid-be
members of the State Committee for the State of Emer-
gency; he granted an extensive interview with the news-
paper DEN together with Oleg Baklanov, and after
August 1991 clearly expected reprisals. Yet President
Yeltsin took none; the armed forces stayed out of poli-
tics and retained quite a few military professionals who
now can, together with Rodionov, try to extricate them
from profound crisis. Evidently the Tbilisi-89 events
have ceased to have much political significance in Rus-
sia today.

During Gen. Grachev’s tenure Rodionov increasingly
criticized the actions of the top military leadership.
In 1995 he became closely associated, via the KRO
[Congress of Russian Communities) platform, with
Aleksandr Lebed, who was his subordinate in Thilisi
back in 1989. Lebed’s sensible proposals about military
reform are primari!y Rodionov's ideas.

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— ial. Copying and disseminat

FBIS-SOV-96-139
18 July 1996

Today, for the first time in many years, the military
department in Moscow is headed by a general who
well understands the long-term problems of military
force development in Russia, which is rare among
generals. His appointment is a triumph, not so much
of a particular faction in the Kremlin, as of common
sense.

On 1 December Rodionov will turn 60, and under the
law, he will have to be discharged from the military.
True, a minister can be discharged only by the president,
not the personnel department “in connection with a
pensionable age.” To a 65-year old president, 60 is
hardly an age of professional incapacity. At worst,
Rodicnov will be able to serve as defense minister in a
civilian capacity.

The new minister has come to stay; that is, of course,
if he manages to cope with the formidable challenges
facing him. At present the Defense Ministry is com-
pletely bankrupt. Unpaid wages, defense order arrears,
and debts to suppliers exceed 20 trillion rubles. More-
over, the tardy military reform will call for additional
expenditures. Lebed's rational idea to abolish useless
understaffed units and to concentrate forces in 10-15
full-fledged, battleworthy divisions certainly looks at-
tractive. But there are thousands of officers serving in
these undermanned divisions; this is where their fami-
lies live, and their relocation or discharge is fraught with
social tensions. It will then take the authority of Lebed
and Rodionov to retain control of ihe troops.

Russia: Colleagues Satisfied With Rodionov
Appointment

MK1807102996 Moscow KOMMERSANT-DAILY
in Russian 18 Jul 96 pp 1, 3

[Report by Ilya Bulavinov: "It's Rodionov, All Right")

{(FBIS Translated Excerpt] The new Russian defense
minister has been appointed exactly one month after
Boris Yeltsin's meeting with Pavel Grachev, where the
latter handed in his request to resign. Before yesterday,
Colonel General Igor Rodionov, 59, held the position
of chief of the General Staff Academy. It is assumed
that as carly as today Yeltsin will introduce him to the
ministry's leadership.

Rodionov's appointment was unexpected. Moreover, in
the wake of the general's meeting with the president
Friday, information came through to the effect that Ro-
dionov's candidacy had been struck off the agenda. The
impression was that not only the “Tbilisi syndrome,” but
also the vigorous pulling of strings by Lebed, put this
contender out of contention. Yeltsin, however, made his
gambit. True to the “checks and balances” idea inside
his entourage — seen in the appointment of Anatoliy

RUSSIA NATIONAL AFFAIRS 21

Chubays (a compromise figure, in this sense) as chief
of staff — he gave Lebed a present the latter seems to
have never dreamed of.

One can only guess at what develops next. Will Rodi-
onov seek a compromise with the old guard, or will he
begin to “sweep in a new way” right off? A General
Staff analyst talked to your KOMMERSANT-DAILY
correspondent yesterday about the strengthened position
of General Staff chief Mikhail Kolesnikov (all but writ-
ten off by many). In his opinion, Rodionov will not cast
away old hands, but will lean on Kolesnikov — espe-
Cially because the General Staff chief “always held back
Grachev from risky ventures.”

Keeping Kolesnikov in the position of General Staff
chief is also seen as wise by Eduard Vorobyev, Duma
deputy and general. In his view, the new minister needs
Kolesnikov in order to get into the swim sooner. There
is also another variant. Ground Troops Commander in
Chief Vladimir Semenov may become General Staff
chief. Information came in not long ago concerning his
building of relations with Lebed, whereas the men in
the High Command did not hide their satisfaction with
Rodionov’s appointment yesterday.

Generally speaking, the future of the General Staff
chief's position could be most unpredictable. Either
Rodionov finds a totally new man for this position, or
the president insists on some of his choices and selects
a general he knows very well (Viktor Chechevatov, for
example, commander of the Far East Military District,
whom he met with last Friday). Finally, Yeltsin may
appoint as General Staff chief Andrey Nikolayey —
with a view of later making him minister. The chances
that there will be an attempt to hitch Rodionov and
the young Nikolayev to the same cart are not great,
however.

Rodionov’s age has already became a topic of gossip.
The maximum [in-service] age determined for Russian
officials by law is 60 years. Rodionov will be 60 in
December. Although yesterday they already began to
say that this is no problem, and that there are ways to
get round the rule, one cannot completely rule out such
a variant; that is, that yesterday's presidential decision
was dictated by the intention of putting off the final
solution of the question until winter.

Be that as it may, it is Rodionov who has become
head of the military department. All the generals your
KOMMERSANT-DAILY correspondent spoke with be-
tween 1330 and 1400 simply would not believe “the
news of the day” at first. At 1401 one telephone dia-
logue was interrupted (just as the appointment was re-
ported by the Vesti [TV] program) by the exclamation:
“I'll be a son of a bitch ["U, b....]. It's Rodionov all right.

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2 RUSSIA NATIONAL AFFAIRS

Well, okay. Bye.” [The curse, in this context clearly an
of amazed approval, was presented with el-
lipsis in the original text. In full it is "U, blyad” literally,
whore."} Ten minutes later it was no longer possible
reach the generals in their offices — their adjutants
first were saying that conferences were in progress
then “the boss has left for the General Staff.” One
colonels “ " that the news at his level was
taken with something even greater than delight; all the
alcohol in stock at the General Staff snack bar was sold
out in an hour. The latecomers commented cautiously
on Rodionov’s arrival: "Rodionov was right in saying
you cannot build a 100-ruble army with one ruble in
your pocket. Therefore, we shall not make haste, there
is nO Money anyway.”
Your KOMMERSANT-DAILY correspondent met with
the saddest interviewee in the Staff for the Coordination
of CIS Military Cooperation: “No matter what happened
in Tbilisi in 1989, Rodionov has a stable image in Geor-
gia. And the Russian defense minister is chairman of
the Council of CIS Defense Ministers, you know. What
shall we do about cooperation with the Transcaucasus
now? Okay, let's wait and see.” [passage omitted]

Russia: General Staff Sees Rodionov as Best
Possible Choice

MK1807110196 Moscow NEZAVISIMAYA GAZETA
in Russian 18 Jul 96 p2

{Report by Igor Korotchenko under the “Reverbera-
tions” rubric with the general heading: “Boris Yeltsin
Proceeds With a Drastic Personnel Renewal. He Finally
Appoints Igor Rodionov, One of Russia’s Most Promi-
nent Professionals in Military Affairs, as Defense Min-
ister”)

(FBIS Translated Text) Yesterday's edict by President
Boris Yeltsin has elicited a positive reaction from an

overwhelming majority of officers and generals of the
General Staff of the Armed Forces.

“This is the best of all possible decisions,” said a repre-
sentative of the Main Operational Directorate [GOU],
who is personally with Rodionov. “Igor
Nikolayevich is a decent, clever, and modest man. He
enjoys great respect both in the military and in the cen-
tral staff of the Defense Ministry,” the major general of
the GOU said.

The universal view of those who know Igor Rodionov
well, and who sympathize with him, is that he is a

perfectly aware of the entire depth to which the Russian
Armed Forces have fallen. He stands for the priority
development of the Strategic Nuclear Forces and their

FBIS-SOV-96-139
18 July 1996

main component, the Strategic Missile Forces, and holds
a negative view on the ratification of START Il. He
argues that the five-service structure of the Russian
Armed Forces should be retained together with an
increase in the role of the General Staff as the supreme
body exercising operational command over troops and
supervision over the process of military organizational
development.

In the General Staff, they make no bones about the fact
that Igor Rodionov is the last hope of the Russian officer
corps, who exercise their military service duty even at
a time when their paltry pay is delayed for months.

To the question of who would make up the bulk of
the newly appointed defense minister's team, General
Staff officers mentioned the names of Army General
Viadimir Semenov, commander in chief of the Ground
Troops; Army General Igor Sergeyev, commander in
chief of the Strategic Missile Troops; Colorel General
Leontiy Kuznetsov; commander of the Moscow Military
District; Colonel General Anatoliy Sergeyev, comman-
der of the Volga Region Military District; and Colonel
General Yuriy Grekov, commander of the Urals Military
District. The General Staff officers had no certainty yet
about the future of Army General Mikhail Kolesnikov,
current chief of the General Staff. The name of Kon-
stantin Kobets elicited a sharply negative reaction: "He
should have gone to Chechnya at least once instead of
lobbying for ‘Lyukon."”

Lev Rokhlin’s appointment as first deputy defense
minister is seen by General Staff officers as quite
possible given the emerging alliance between Lebed and
Rokhiin.

[Article includes the following passage under the “Bib-
liography” rubric)

Igor Rodionov, whom the official print media did not
like to publish, set forth his views on military reform
in fairly great detail in articles that were published by
NEZAVISIMAYA GAZETA. Yesterday, many foreign
correspondents called our editorial board, asking it to
specify when precisely these articles were published.
We give a list of Colonel General Igor Rodionov's
main publications in NEZAVISIMAYA GAZETA and
NEZAVISIMOYE VOYENNOYE OBOZRENTYE.

1. 23 December 1994 — “We Do Not Want To
Militarize Society Again. On Military Reform and
Reform of the Armed Forces.”

2. 9 February 1995 — “After Chechnya. A New Turn in

Reform of the Armed Forces or the Repetition of Past
Mistakes.”

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FBIS-SOV-96-139
18 July 1996

3. 22 April 1995 — “In Russia and for Russia. The Main
Guidelines of Military Reform.”

4. 18 November 1995 — “Military Reform in Russia. Its
Main Purpose Is To Ensure the Security of the State.”

Russia: Rodionov’s Appointment Seen as Show of
Lebed’s Power

LD1707121896 Moscow ITAR-TASS in English
1204 GMT 17 Jul 96

(FBIS Transcribed Text] MOSCOW, July 17 (Itar-Tass)
— Russian President Boris Yeltsin today named the
country’s new Defence Minister. He appointed Colonel
General Igor Rodionov, 59 to the post vacated by much-
disliked Pavel Grachev almost a month ago.

The presidential press service told Itar-Tass on Wednes-
day that prior to the appointment, Rodionov headed the
General Staff Academy and his candidacy was actively
lobbied by Aleksandr Lebed, Secretary of the National
Security Council and national security adviser to the
President, despite critical attacks on his protege by peo-
ple from the entourage of ex-Defence minister Pavel
Grachev

A career officer, Rodionov who was born on December
i, 1936, made his way from platoon commander to

casian military district in 1988-1989 and was the mili-
tary commandant of the Georgian capital of Tbilisi.
Commenting on his latest appointment, Colonel Georgiy
Krasheninnikov, the head of the analytical centre of
the State Duma house defence committee, said today
that Rodionov “will do much for the Armed Forces of
Russia.”
“Mea in the ranks know General Rodionov as a patri-
who values the interests of the

Ha
43 ;

|

said the appointment of Rodionov as
defence minister inspires hopes for an improve-
the situation in Chechnya. Both his experi-
of Afghanistan and the Caucasian republics and the

af
2

RUSSIA NATIONAL AFFAIRS 23

backing of Security Council Secretary Aleksandr Lebed
would come in handy in his new post, Krasheninnikov
said.

The office of the country’s defence minister is no longer
vacant after the longest pause in the country’s history
since 1802, according to Izvestiya, and the struggle for
the post is over. Aleksandr Lebed has again confirmed
that he is a winner, as he once called himself.

Ever since he appeared in the limelight of the country’s
political life, he has suffered only one set-back, if his
surprise performance in this year’s presidential election
could be called that.

After finishiug third behind Boris Yeltsin and his com-
munist rival Gennadiy Zyuganov with his surprising 15
percent of all votes in the first round of the race for the
Russian Presidency in June, Lebed strengthened his own
position in the political elite by rising to two powerful
posts as the National Security Council Secretary with
enlarged powers and the presidential national security
adviser, ousting three powerful security officials close
to Boris Yeltsin — ex-Defence Minister Pavel Grachev,
chief of the President's personal security service Alek-
sandr Korzhakov and FSB [Federal Security Service]
head Mikhail Barsukov and by securing the appoint-
ment of Rodionov to the post to a key post in the face
of what appeared to be insurmountable objections.

Russia: Yeltsin Wants Professional Army by 2000

LD1807114096 Moscow ITAR-TASS in English
0926 GMT 18 Jul 96

[By Andrey Shtorkh]

{[FBIS Transcribed Text] BARVIKHA July 18 (Itar-
Tass) — President Boris Yeltsin ordered the military
on Thursday to create a professional army by 2000
which should be compact, but technically strong and
well-trained. He also called to increase the role of
General Staff which should coordinate the activities of
all existing troops in Russia also in peace time.

“The real might of the country should be determined
mostly not by the number of troops, but by a high level
of organisation, skills, high technical provision", the
president told top military brass after introducing new
Defence Minister Igor Rodionov to them in the Barvikha
residence where the head of state is on vacation.

He reiterated his earlier decision to end obligatory
militaiy conscription by the year 2000 and said Russia
should have a professional army “which is to enjoy
popular support, respect, be equipped with everything
, but at the same time should not be an
unbearable burden for society”.

pane wap Rael Fayed aetna ges
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RUSSIA NATIONAL AFFAIRS

president also said it was necessary to increase
tole of General Staff “by means of strengthening
interaction between forces and means of various arms"
of troops.
“In peace time the General Staff has to de entrusted with
such functions as the coordination of the formation and
the use of other troops of the Russian Federation", the

president said.

Other major tasks set by the president include ensuring
the maximum technical provision and manning of units
and formations engaged on the main directions of
activities of the armed forces, maintaining the nuclear
deterrence force at the proper level, developing the
whole complex of information warfare means, high-
precision weapons, mobile defence infrastructure.

Yeltsin also urged that the military pay priority attention
to the needs of the servicemen and civilian personnel.
He set the task of “creating a flexible, fair service system
which will be clear for the public and the servicemen”.

Another task is to fully ensure social rights of retired of-
ficers and non-commissioned officers. “Appropriations
for that should be increased, but outside the expenses
for national defence", the president stressed.

He also called to increase R&D appropriations in the
framework of general military expenses. “The strength-
ening of the scientific and military-industrial potential
should allow Russia to independently produce all the
necessary types of armaments and military hardware",
Yeltsin said.

Military education should be improved and certain
provisions of the military theory and art should be
reviewed, according to the head of state.

The president stressed that “all tasks should be solved by
the defence ministry in close contact with the Security
Council of Russia, strictly and exactly like the military
do”.

Security Council chairman Aleksandr Lebed was
present at the introduction ceremony.

Russia: Yeltsin, Generals Blamed for Army’s
Decline

MM 1807091196 Moscow PRAVDA in Russian
13 Jul 96 pl

[Article by Major General Boris Golyshev under the
“Scandals” rubric: “How the General Blew the Whistle
on the Generals”}

{FBIS Translated Text] The latest scandal has been

played out in Russia's political life. Lieutenant General
L. Rokhlin, chairman of the State Duma Defense

FBIS-SOV-96-139
18 July 1996

Committee, has published documents on corruption at
the highest level of the Defense Ministry.
“Democratic” mass media journalists, who had just
started getting bored after the cut and thrust of the
election, seized on the juicy facts. Gradually Rokhlin
is changing from a denouncer to an accused. Having
recovered from the state of shock, the generals named
in the Duma Committee chairman's report have gone
on the offensive.

There is nothing surprising about that, everything is
within the bounds of the “democratic” genre.

The mass media will kick up a fuss and call for
justice, which the nationally elected guarantor of the
Constitution personifies. Eventually the president will
remove the most odious generals far out of sight and the
sensation will subside. The old thieves will be replaced
by new ones — nothing will change.

Right now we are not going to go into the details of the
scandalous situation — who has pocketed how much,
constructed dachas, and so on. It is better that we ask
ourselves about the deep-seated reasons for corruption
in the Armed Forces. Why previously, under Soviet rule,
when the Army was considerably richer materially, theft
was the exception whereas now, when it has become
destitute, it is being mercilessly plundered?

Gen. Rokhlin’s report presents mainly well-known facts.
He has merely “pinched off" the top of the weed that
has grown in the fertile environment of present-day
Russia's socioeconomic system. What, did the president
not know about the military chiefs’ abuses during the
troop withdrawal from East Europe and the Baltic
region? What, did he not know that around 400 Defense
Ministry state dachas were “piratized” for a knockdown
price by Moscow military chiefs? For certain military
chiefs these dachas were not enough — they erected
another two or three villas each, often using Defense
Ministry fund materials on the cheap. There was even
a photograph of K. Kobets’s “castle” in one newspaper.
It is said that prior to the presidential election, fearing
that a Communist would get into power, many generals
urgently drew up documents for the mansions they had
erected, mainly based on a value of 50 million [rubles —
R} (although their real value is five to 10 times greater).

How many times was it suggested that the president
remove Defense Minister P. Grachev from his post for
failing to cut the mustard from both the military and the
political viewpoint. But Yeltsin called the Army's main
reformer the best defense minister.

Now we come to the main question. Whom does the
current Russian Army serve and who controls it?

oe aT ethene tepoehes jae epg lenemmenam
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FBIS-SOV-96-139
18 July 1996

All officials, starting with the defense minister, his
deputies, and commanders in chief of armed services,
are appointed and relieved by the president personally.
He alone confers military ranks and awards on them.
The power structures are not under the control of either
parliament or the prime minister.

That is how the Russian Defense Ministry has turned
into a personal fiefdom. What kind of democracy is
there to talk about in the Army organism? Officers’
assemblies are not functioning in the units because,
according to statute, they arc headed by the commander.
Unlike previously, there are no people on the military
councils who are independent of the commanders. These
days there is nowhere for an officer to express his
dissatisfaction; therefore, more and more of them are
resigning in protest.

The reform in the Army that so many people are talking
about is essentially a fiction and an insult to common
sense. The late payment of pay to servicemen has be-
come the norm. These days officers and warrant offi-
cers receive approximately a third of what they earned
in 1990. We have a reached a point whereby there is
no money to pay off the soldiers and noncommissioned
officers who are being discharged from Chechnya. They
have risked their lives to defend our state interests, but
even the money to send them on their way will not be
found. All this is against a background in which certain
commercial structures and banks are making a fortune
out of the Army’s troubles.

There was a report in the mass media that, contrary to
law, Prime Minister V. Chernomyrdin permitted troops
in Chechnya to be funded via commercial banks. It is
said that “Menatep” earned over R600 billion in interest
alone. As a result of his “charity” a hole appeared in the
Defense Ministry's already holey pocket.

Incidentally, it is no accident that some armored per-
sonnel carriers in Chechnya bore the inscription: “We
are sheriding our blood for ‘Menatep"”....

The f emer defense minister has taken great offense at
Gen. Rokhlin. "My colleagues and I,” Grachev stated,
“saw Rokhlin as a man who...would protect the interests
of the defense minister (my emphasis — B.G.) and
the Defense Ministry “ Forgive me, but what is this
separation of the +:<:ests of the minister personally
and his department? Then Grachev shows his former
subordinate general how he understands his place as
a minister and corruption: “I illegally gave him an
apartment on Rublevka, I gave him a garden plot...”

You want to ask: What kind of person are you, Mr.
Grachev? Have you got private homes and your own
land of which you are master? What struck me most

RUSSIA NATIONAL AFFAIRS 25

was that Grachev portrayed as “corruption” the favor he
did his subordinate in that he “saved Rokhlin’s life by
hook or by crook” by sending a hospital aircraft to him
in Volgograd.

Here the words from the well-known song involuntarily
come to mind: “Something has happened to my mem-
ory.” Or to be exact, to morals. Since when did saving
people become an unjust cause? A question about this
could never even have arisen in our Army life.

Another feature of the former defense minister’s moral
outlook. The guys who refurbished Rokhlin’s apartment
informed Grachev that the work cost R120 million.
"So far,” the minister claims, “he has not paid the
money...and he has no intention of paying.”

I do not know what kind of “guys” Grachev has, but
from what Rokhlin said I venture to claim that he had
moved into a new apartment, which naturally did not
need refurbishing. Second, had he known (and Rokhlin
did not conclude any renovation contracts) that the work
would cost R120 million, he would not have moved in,
because he has had to live without any wages for around
10 years. Furthermore, Lev Yakovievich [Rokhlin] said
that he is prepared to swap apartments with Pavel
Sergeyevich [Grachev] himself.

Military chiefs in the Defense Ministry have been
selected according to Grachev's taste. What else could
have been expected of them?

Gen. Rokhlin made a complaint against V. Semenov,
commander in chief of Ground Forces, stating that in
the 18 months of the war in Chechnya he has not been
there once. He is right. How can the commander in chief
of Ground Forces sit it out in Moscow while untrained
soldiers from all over are mustered for the slaughter-
house in Chechnya. But Army General Semenov coun-
ters Rokhlin’s remark with the claim that he was in
Chechnya prior to the introduction of the grouping «nd
prior to B. Yeltsin's visit there....

Another thing. All the commanders in chief worked on
Yeltsin's election campaign, and he promoted them on
the eve of the election. Not one commander in chief has
had the courage to raise the question from the state's
standpoint — ecither-or. The Russian Navy is perishing
before our very eyes and with the participation of
Admiral F. Gromov, and P. Deynekin’s cool stance has
brought aviation to crisis point. Air Defense, Airborne
Troops, and other branches of the Russian Army are not
in the best of states....

What exactly must be done to save the Russian Armed
Forces?

pr cape oe,
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copra 1 boagmmmmes ge

% RUSSIA NATIONAL AFFAIRS

First, the supreme commander in chief must be made to
answer for the disintegration of the state's defense.

Second, parliament must take control of the Armed
Forces before they disintegrate completely. The ap-
propriate laws must be passed and the Constitution
amended. Power structures must not be allowed to be-
come the fiefdom of anybody, including the president.

Russia: Rokhiin Denies Aspiring To Be Deputy
Defense Minister

LDI707214396 Moscow Radio Rossii Network
in Russian 1800 GMT 17 Jul 96

{FBIS Translated Text] It would seem that General Lev
Rokhlin, chairman of the State Duma defense commit-
tee, gains first and foremost from the appointment of
Colonel General Igor Rodionov as the new defense min-
ister. Recently, he made a speech exposing top mili-
tary officials at the Defense Ministry. A rumor is going
around that Rokhlin might even aspire to the post of
Rodionov’s deputy. Here is what Rokhiin had to say in
an interview with our correspondent.

[Begin Rokhlin recording) I am constantly the subject
of rumors. There were rumors in Chechnya that I was to
fill this or that high post. I denied them. Then there were
rumors that I was to receive this or that reward. Once

I denied them. This is to say, whatever rumors

may be, I state with certainty that, until I am
expelled from the Duma, I shall be the chairman of its

by Dya Bulavinov: "An Armed Forces of the
Reform Period. If You Are To Know How, You Should

it i

handing & major portion of its “power” au-
to the presidential staff. Now the standoff seems
taken on a new and fully predictable turn. It is
because it is caused by one single reason:

ft

FBIS-SOV-96-139
18 July 1996

the arrival of General Aleksandr Lebed in the power
structures.

The struggle between the ideas and programs of military
reform has been under way for more than a year now.
At the same time views on the progress of the reform
itself range from “it is in full swing” to “it has become
completely stalled,” while the state of the military is
assessed first as “a complete breakup" to something like
“we have tackled Chechnya somehow or other, and,
generally speaking, against the backdrop of everything
else..." Periodically, the generals (from Grachev to
Gromov) suddenly urge that reform be pui on hold
altogether until better times, while retaining the best of
what is left.... The interdepartmental commission under
Viktor Chernomyrdin, which was set up by presidential
edict, coughed up a concept that was agreed upon by all
the interested agencies by the end of last year. But, to
all appearances, it too has by now quietly passed away.
It is only logical that the theme of military reform was
given a new lease on life after the elections, all the more
so because the presidential campaign br ought Aleksandr
Lebed to power.

Concluding his famous report about corruption in the
high echelons of the top brass, Deputy Lev Rokhlin
pointed out the need to pass as soon as possible the
laws "On Military Reform in the Russian Federation”
and “On the Military Council of the Russian Federation
Security Council.” Against the background of squabbles
over houses whose construction has been left unfinished,
and the building of countryside homes, there was no
time to get down to laws. And that is very deplorable.

Rokhlin’s 10-page draft law “On Military Reform in
the Russian Federation” produced a great impression on
various agencies and government stafi. The crux of mil-
itary reform was brought down to one sentence: “Mil-
itary reform is understood as a set of political, eco-
nomic, military, social, legal, and other measures aimed
at bringing the structure, composition, and strength of
the Armed Forces of the Russian Federation and other
troops, military units, and military agencies as well as
their manpower acquisition, equipment, and comprehen-
sive support systems in line with the requirements and
capabilities of the state.” The draft also specifies (with-
out giving any specific reasons, however) the time frame
for the reform — from 1997 to the year 2005. That is it.
Further on it dwells upon the “organization of military
reform,” “the powers of state authorities,” and so forth.
Moreover, many provisions of the draft either echo the
articles of other laws (for instance, "On Defense” and
"On Military Duty and Military Service”) or propose
amendments to existing legislation. Interestingly, in par-
ticular the draft calls for manpower acquisition for the
armed forces to take place by conscription during “the

report may . ohted  g.coy ee
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FBIS-SOV-96-139
18 July 1996

period of carrying out military reform," (that is, until the
year 2005) which runs counter to the presidential edict
on switching to a professional armed forces as carly as
the year 2000. Finally, according to the author, the mili-
tary reform is to be “carried out on the basis of a single
concept of military organizational development.” That
is, on the basis of what does not exist in nature. This is
where the most interesting things begin.

“The drafting of this concept should be entrusted to
the Military Council of the Russian Federation, whose
operation is to be regulated by federal law," Rokhlin’s
explanatory memo says. This same council is also tasked
with “coordinating and supervising reform.” The draft
law on the Military Council (only five pages long) is
attached.

Although, according to the draft the Military Council
is “an agency of the supreme commander in chief,” it
“makes decisions on defense and security matters” that

RUSSIA NATIONAL AFFAIRS 27

forces and other troops for the purpose of ensuring de-
fense; coordination of efforts to ensure the security of
the state; military-technical policy; the social protection
of military servicemen, and personnel matters. The gen-
eral inspector supervises the operation and the state of
combat readiness of the armed forces and other troops
and military agencies. For the purpose of assisting him a
general inspectorate is to be set up at the Military Coun-
cil’s secretariat. Apart from the military inspectorate, the
other “main executive agency” of the Military Council
is the General Staff (!).

Should this law be enacted, the secretary of the Security
Council will receive limitless authority. It is not so much
coordination of the efforts of the power agencies, which
has long become overdue, than (given the supreme
commander in chief's actual capacity to act and the
president's overcrowded work schedule) essentially the
“pulling” of all the power structures, first of all, the
armed forces, from under him.

However, these draft laws as they stand now are unlikely
to reach even the first reading at the State Duma. Eduard
Vorobyev, member of the Defense Committee, told your
KOMMERSANT-DAILY correspondent that they are
currently being finalized, including their sections on
the authority of the Security Council secretary in the
Military Council (by the way, it cannot be ruled out that
the agency itself will have a different name, the Military
Committee). Vorobyev found an elegant way of putting
it: He pointed out the need for bringing the draft laws
in line with the statute of the Security Council, which
has been approved by the president. In this particular
case, however, the issue appears to be elsewhere.

The Soviet Army was not simply an element of the
system that existed in the country, it was one of its
foundations. The breakup of the system has given rise

state was so much preoccupied with

to political and economic problems

no time to get down to resolving those of
. Probably it was all for the better because a
could have lead to something that is much

what we have today. But precisely at this

28 RUSSIA NATIONAL AFFAIRS

stage the authorities should finally realize that an armed
forces cannot be organized to suit a specific person or a
specific branch of power, be it the Supreme Soviet or the
Security Council. The armed forces should not only be
in line with the country’s economic capabilities, as well
as explicit and clearly formulated priorities in domestic
and foreign policies, but — even before proceeding with
reform — it should know whom it defends and for the
sake of what.

Russia: Saratov Region Training To Protect
Nuclear Facilities

LD1807100196 Moscow ITAR-TASS in English
0954 GMT 18 Jul 96

[By Sergey Mikhailov and Revokat Kozmin)

{FBIS Transcribed Text) SARATOV, July 18 (ltar-
Tass) — Ten-day Atom-96 exercises started in Russia's
Saratov region to check how well nuclear and other
facilities with fissionable materials are protected, Itar-
Tass learned on Thursday.

Ktar-Tass did not get a direct answer to a question of
whether the exercises are connected with possible acts
of terrorism by Chechen separatists.

The exercises “are of a planned character,” Itar-Tass
learned at the regional Federal Security Service depart-
ment. Their aim is “to check the facilities vulnerable
against subversive activity industrial and power gener-
ating which can pose a threat to the environment, as
well as to work out efficient measures for further en-

hancing of their protection."
Federal Assembly
Russia: Duma Deputies Comment on Rodionov

|

LD1707150696 Moscow ITAR-TASS World Service
in Russian 1245 GMT 17 Jul 96

{By ITAR-TASS parliamentary correspondent Ivan
Novikov]

{FBIS Translated Text) Moscow, 17 July (ITAR-TASS)
— The new defense minister, Igor Rodionov, “has
a high theoretical training and a gift of foresight

an interview with an ITAR-TASS
correspondent. He spoke highly of this presidential
appointment, adding that he has known Rodionov for
years, including in Afghanistan. Varennikov said

. Rodionov “was the best commander” of
in Afghanistan. According to

FBIS-SOV-96-139
18 July 1996

the chairman of the committee, he was a brilliant
commander of the Transcaucasian military district.

Aleksey Arbatov, deputy chairman of the Duma Com-
mittee for Defense, has a different view. "I opposed Igor
Rodionov's candidacy,” he has told the ITAR-TASS
correspondent. According to him, the president had a
better choice in the persons of such commanders as
Andrey Nikolayev and Valeriy Mironov in particular.
“But now that the president has taken the decision, this
choice should be respected and whatever is necessary
should be done, including by our chamber, to help the
new minister cope with his tasks," Arbatov stressed. Ac-
cording to him, the reform of the armed forces will be
the most difficult task before the new minister.

LDPR [Liberal Democratic Party of Russia} leader
Vladimir Zhirinovskiy has expressed full support for the
presidential decision. He said this at a news conference
at the Duma.

The Communists faction in the State Duma welcomes
Igor Rodionov’s appointment as the defense minister.
“Rodionov is a highly qualified and energetic general,
a man of principle,” Valentin Kuptsov, the faction’s
deputy chairman, has told an ITAR-TASS correspon

dent. He noted that “the level of professional training of
Gen. Rodionov is well known, especially as he has been
entrusted to head the general headquarters academy."

Kuptsov described Gen. Rodionov as “an lionest and
decent man, who will manage to solve the problems the
army is facing.”

Russia: Seleznev Suspected of Spending Duma
Funds for Party Needs

LD1807082096 Moscow ITAR-TASS in English
0730 GMT 18 Jul 96

[By Ivan Novikov]

{FBIS Transcribed Text] MOSCOW July 18 (ITAR-
TASS) — The parliamentary group Russian Regions
has demanded that State Duma Chairman Gennadiy
Seleznev should supply complete information to the
Duma before the end of the current session about
the financial, material and technical support of its
work, says a statement, circulated at the Duma today
by Chairman of the Russian Regions Group Vladimir
Medvedev.

Now even the payment of travelling allowances has
been stopped, the number of extended parliamentary
hearings has been reduced, the Duma’s automobile
transport service has been brought to a standstill, and the
debt on paying the rent and paying wages to assistants
of the MPs in their constituencies is growing.

os

copyrighted material. Copying and dissemination
is prohibited without permission of the copyright owners.

FBIS-SOV-96-139
18 July 1996

Other Duma members also expressed concern over the
financial situation of the lower chamber of the Russian
parliament. Ex-Duma Speaker Ivan Rybkin maintains
that the money, allocated by the state for keeping the
Duma working, was spent on the electoral campaign of
the communist group, of which Seleznev is a member.

Russia: Federation Council Says Budget
Performance Unsatisfactory

LD1707204096 Moscow ITAR-TASS in English
1807 GMT 17 Jul 96

{By Lyudmila Yermakova]

{FBIS Transcribed Text) MOSCOW, July 17 (ITAR-
TASS) - The Federation Council said on Wednesday
after hearing a report by a federal auditing agency that
Russia’s budget performance in January - June 1996
could not be deemed satisfactory.

Federal revenues over the accounting period were 139.3
trillion roubles (slightly over 27.3 billion dollars), or
40.1 percent of the yearly budget, Counting Chamber
head Khachim Karmokov told the house.

Revenues held a lesser share in the gross domestic
than it had been budgeted for the period,

Karmokov said linking it to “unbalanced economy, the

crisis of nonpayments and other negative factors.”

Tax revenues were about 24 trillion roubles (4.7 billion
dollars) below planned and a certain increase in some
of them was caused by inflation, he said.

Russia: ‘Our Home’ Leader Blames Duma for
Blocking Reform

LD1707132196 Moscow INTERFAX in English
1019 GMT 17 Jul 96

{FBIS Transcribed Text] MOSCOW, July 17 (INTER-
FAX) — The State Duma is obstructing the ncrmal
procedure for discussing draft laws aimed at promot-
ing economic reform, leader of the Our Home is Russia
faction Sergey Belyayev said at a briefing Wednesday.

As an example he referred to the draft laws on mortgage
and on the list of mineral deposits which can be used

on the basis of the production-sharing principle.

Both of these drafts are aimed at attracting additional
investments to the Russian economy, he said.

He also said that Prime Minister Viktor Chernomyrdin
had recently sent a letter to the State Duma to remind
the deputies that the government had sent 50 draft laws
of priority importance to the State Duma.

Belyayev believes that following the formation of a
government, President Yeltsin in accordance with his

RUSSIA NATIONAL AFFAIRS 29

election platform “must set a program for the State
Duma work.” The Duma’s work schedule must be
changed in line with this program, he said.
“The president, who has won the elections, and the gov-
ernment must set the main guidelines for the lawmaking
while the State Duma must work on priority
draft laws instead of amending laws of secondary sig-
nificance,” he said.
By obstructing the government-proposed draft laws, the
State Duma will “create conditions for its constitutional
disbandment,” he warned.

Regional Affairs
Russia: Chernomyrdin: Military To Continue Force
Against Chechens
LD1707174996 Moscow NTV in Russian
1500 GMT 17 Jul 96

[From the "Segodnya” newscast]

[FBIS Translated Excerpt] A routine meeting of the state
commission for settling the situation in the Chechen re-
public began in the government house this afternoon.
Security Council Secretary Aleksandr Lebed attended it
for the first time. The new Director of Russian Coun-
terintelligence Nikolay Kovalev and Finance Minister
Viadimir Panskov joined the commission under presi-
dential decree.

The planned meeting was dedicated to the results of the
implementation of the presidential plan for settling the
conflict in the first six months of the year and to drawing
up a new program for the last six months of the year.
Opening the meeting, the prime minister stressed that
over the past six months an anti-constitutional regime
threatening the territorial integrity of Russia had been
eliminated. In the opinion of the chairman of the
government, active combat operations are no longer
being waged in the republic. The opposing side is
guilty of exacerbating the situation. It, despite the peace
agreements signed in Moscow and Nazran, is the first
to carry out provocations. Chernomyrdin said that all
of this showed once again the cynicism and crueity of
the leaders of the illegal armed formations and their
inability, including Zelimkhan Yandarbiyev's, to control
the actions of their fighters, end of quote.

Judging from what the prime minister said, peace is
still far off in Chechnya. The federal troops will still
clear villages and check passports, using all necessary
means for this. But now, the federal troops call special
operations active combat operations.

[Begin Chernomyrdin recording) Peace will not come
by itself. It is not coming, and we know what the price

ei

igt { al C . and di :
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RUSSIA NATIONAL AFFAIRS

work.
some in the ranks of the opposing side.
This will happen, therefore, within the framework of the
active legislation of the Russian Federation, the federal

said that the choice of the population of the republic is
evident confirmation of the correctness of the policy of
federalism and of Russia’s integrity.

Acting Defense Minister Mikhail Kolesnikov repre-
sented the ministry at today’s meeting. Colonel General
Igor Rodionov, who was appointed minister today, will
most likely take part in the next meeting. [passage omit-

LD1707190596 Moscow ITAR-TASS in English
1827 GMT 27 Jul 96

(By Nadezhda Anisimova, Gennadiy Yezhov and Na-
talia Kosareva)

(FBIS Transcribed Text] MOSCOW, July 17 (Itar-Tass)
— The State commission on the Chechen settlement
which met on Moscow on Wednesday, summed up
changes achieved in Chechnya since the beginning of
implementation of Yeltsin's peace plan for the republic
and produced a blueprint for keeping the settlement
process on track in the second half of this year.
Prime Minister Viktor Chernomyrdin who presided over
stressed that the only basis for past and

FBIS-SOV-96-139
18 July 1996

He said the Chechen people demonstrated full support of
the Russian constitutional system by voting overwhelm-
ingly for Boris Yeltsin in the presidential election. “It
means that most of the population are supportive of
the federal mechanism which regulates the relations be-
tween Russia and Chechnya, Chernomyrdin said.

“The major obstacle to further progress is the vicious
circle in which peace talks alternate with outbreaks of
fighting,” Chernomyrdin noted. “Implementation of the
accords signed in Moscow and Nazran has not been
foiled, but it is still under threat,” he said.

The Prime Minister said the vicious circle pointed
to Chechen separatist leader Zelimkhan Yandarbiyev's
weakness and inability to fully control the rebel forces.
Recently, “the situation (in Chechnya) exploded because
of the resumption of combat actions by the illegally
armed formations and of criminal terror by gangsters
who are not controlled by anyone,” Chernomyrdin said.

"All this is proof of the inability of the Chechen
separatist leadership, including Yandarbiyev, to control
the extremist and terrorist groups,” he added.

With this in view, the Commission proposed involving
all political forces in the Chechen republic in dialogue
on the settlement of the crisis.

The Commission approved a plan for financing a num-
ber of expedient social and economic restructuring mea-
sures, agrarian reform and restoration of the educational
system in the Chechen republic.

The plan for financing Chechnya during the period from
June through August was fully supported by National
Security Council Secretary Aleksandr Lebed who earlier
spoke sharply against providing any funds to Chechnya
before the end of armed hostilities on its territory. He
showed special interest in the additional sources of
financing mentioned by speakers.

The tough speaking general looked content when Prime
Minister Chernomyrdin stated that “the reaction of the

federal authorities to terror and assaults by the militants
will be immediate and adequate.”

Russia: Yandarbiyev Spokesman States Defense
Committee’s Position

LD1807123996 Moscow Radiostantsiya Ekho Moskvy
in Russian 1200 GMT 18 Jul 96

{[FBIS Translated Text) Chechnya — A meeting of
the armed opposition’s defense committee ended in the
republic this morning.

According to Moviadi Udugov, official spokesman for
Yandarbiyev's government, the resolution adopted at the

pk epee
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— TI Copying and Gissemanat

FBIS-SOV-96-139
18 July 1996

meeting is not intended for the public. He did, however,
made public some of its provisions.

[Begin Udugov recording] The Chechen side states
that it refrains from retaliatory wide-scale military
actions and will strictly abide by the Kremlin and
Nazran agreements, while reserving the right to retaliate
against any armed provocations on the part of the
occupying Russian troops and gangs made up of Russian
servicemen, in every instance of violations of the
Kremlin and Nazran agreements.

In addition, in its statement the Chechen side stresses
that it believes it is necessary to raise the status and
the role of the OSCE [Organization for Security and
Coopeartion in Europe), not just as a mediator, but also
as a guarantor of compliance with the agreements, or to
invite the UN organization to join the peace process as
a mediator and guarantor. [end recording]

Russia: Yandarbiyev’s Statement Unties Hands of
Federal Forces

MK1807121096 Moscow KOMMERSANT-DAILY
in Russian 18 Jul 96 pp 1, 3

(Report by Dmitriy Kamyshev: "Yandarbiyev Declares
Himself a Kamikaze")

{FBIS Translated Text] According to Ruslan Martagov,
press secretary of the Chechen leader, overnight from
Tuesday to Wednesday [16-17 July] Zelimkhan Yandar-
biyev appeared on an underground TV channel broad-
casting from Chechnya’s southern regions, declaring
his refusal to conduct any negotiations, at any level,
with the republic's pro-Moscow government or federal
forces. Furthermore, the separatist leader called on the
Chechens to “eliminate the members of the government
of the Chechen Republic, supporters of this government,
and all Russians living in the republic,” and also to
“wage war until the victorious end.”

According to Ruslan Martagov, who was contacted by
your KOMMERSANT-DAILY correspondent, Yandar-
biyev went on the air using the ORT [Russian Pub-
lic Television} frequency, overlaying its programs. The
Groznyy residents did not see the separatist leader him-
self (the broadcasting zone of Dudayevite TV covers
mainly the republic’s southern areas) but they very well
heard his words about the "elimination of Russians” and
“war until the victorious end.” Martagov believes that
Yandarbiyev's statement points to his aspiration to shift
the conflict into an interethnic gear; it produced a real
shock among those who heard it (the majority of the
population of the Chechen capital is constituted pre-
cisely by Russians). Even compared to the sharp anti-
Russian rhetoric by Gen. Dudayev, who did not mince
words, the statement by his successor appears unprece-

RUSSIA NATIONAL AFFAIRS 31

dented. The Dudayevites never concealed their hatred
of the Doky Zavgayev “puppet government," calling
for “the traitors of the people to be destroyed." They
also refused to negotiate with Moscow, which they of-
ten accused of scuttling peace talks. Yet it takes either
a madman or a kamikaze to call for all “Russians in
Chechnya” to be killed: Even the “ferocious Dzhokhar"
did not say that. Dudayev’s successors, if they have
any ability to think ahead, must realize that such state-
ments, first, will finally untie the hands of the military,
and second, will provoke an anti-Chechen backlash in
other areas, primarily in the south of Russia.

Nor is it clear why Yandarbiyev’s statement did not
contain threats — so loved by the Dudayevite — to
Stage terrorist acts in Russian cities: If the separatist
leaders have indeed decided to put everything on the
line, precisely this — not the threat of a genocide of
the Russian population of Chechnya, already left to the
mercy of fate — might intimidate Moscow officialdom
(if it can be intimidated in the first place). Apparently
the Dudayevites, despairing of taking the upper hand
in the conflict by military means, hope that the mere
declaration of “gazavat" [holy war] will cause panic
among “Chechen Russians,” and Russia will simply get
choked in the stream of refugees.

True, from the point of view of Islam, it is not quite
correct to describe Yandarbiyev’s threats as gazavat.
First, only a spiritual leader may declare a holy war
against infidels, which “the president of Ichkeria" (un-
like, for instance, the legendary Imam Shamil) is not.
Second, the main target of “neo-gazavat" will not be
Russian civilians (casually mentioned in the statement),
but members of the Zavgayev government and their
sympathizers, while declaring Chechens infidels on the
mere grounds that they accept Zavgayev, not Yandar-
biyev, as their leader is a clear deviation from the Koran.
This must be why the separatist leader himself refrained
from mentioning a holy war — which would have been
only logical, “sanctifying” his calls only by reference
to the opinion of the Dudayevites’ purely secular State
Defense Committee.

It is not difficult to predict the reaction to Yandarbiyev's
challenge by Moscow officialdom: As they say, if this
statement had not been made, it would have been made
up. Even so, the latest exacerbation of the situation
in the republic could not have possibly produced a
different result: It would be difficult to expect that
after a large-scale offensive by the federal forces the
separatists would want to continue negotiations. On the
other hand, now the military, already determined to
ensure “an ultimate solution of the Chechen question,”
will no longer have to strain propaganda minds in order
to justify the artillery bombardment, because the slogan

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32 RUSSIA NATIONAL AFFAIRS

“Crush the vermin!" could finally become official. And
each terrorist act committed by the Dudayevites in
Chechnya or outside will only go to confirm its validity.

Yandarbiyev’s statement is bound to add to the work-
load of Internal Affairs Ministry and Federal Security
Service [FSB] agencies. Even if the separatists, heavily
battered in the last few days, do not have enough forces
for mass terror, they will probably manage to stage a
dozen or so acts — for instance, do a lit-
tle shooting in a southern Russian town or at least take
along with them as many of the "Zavgayev people” as
possible to meet with Allah [prikhavtit s soboy k Al-
lakhu}. Therefore the relevant agencies will apparently
have to prepare a safe bunker for the head of the repub-
lic. True, the ordinary Russian citizens of Chechnya or
the North Caucasus can hardly count on such assistance.

Russia: Tatar President Withdraws 'rom Chechen
Talks Participation

LD1707134596 Moscow INTERFAX in English

1328 GMT 17 Jul 96

(FBIS Transcribed Text) MOSCOW, July 17 (Inter-
fax) — President of the internal Russian republic of
Tatarstan Mintimer Shaymiyev has said that he does not
intend to participate in talks on a settlement in Chech-
nya.

“I have learned that the Russian leadership does not have
a common approach to the Chechen problem and I do
not want to participate in it anymore,” he told Interfax
on Wednesday.

In the spring Shaymiyev said he was prepared to act
as mediator in the talks between Moscow and Chechen

separatists.

He said that Moscow's policy in Chechnya is defined by
security and law enforcement ministers who “
misinform” Russian President Boris Yeltsin about the
real situation in Chechnya.

These ministers tell the president that the Chechen
problem can only be resolved by force, Shaymiyev told

Although he will not take part in the talks, he is
confident that it is necessary to continue talks on
the conflict’s peaceful settlement despite the resumed

FBIS-SOV-96-139
18 July 1996

Russia: Chechen War ‘Becoming Ugiier and Uglier’
MM 1807095396 Moscow IZVESTIYA in Russian
18 Jul 96 pp 1-2

[Report by Valeriy Yakov: “Special Operation Against
Peace in Chechnya. IZVESTIYA Correspondent Valeriy
Yakov Reports From the Spot")

{(FBIS Translated Text) Groznyy — For three days
running there has been a rally of Chechen women in
front of Government House in Groznyy calling for an
end to the mass killing of peaceful inhabitants of the
republic. Yesterday the refugees from the villages of
Gekhi, Makhkety, and Staryye Atagi were joined by the
residents of Groznyy. They are insisting that the federal
command and the local authorities name those who on
the night of 15 July shot 12 people in the city streets.

Events of recent days in Chechnya are becoming
stranger and stranger. The federal authorities, who just a
couple of weeks ago were pacifying the public with their
peacemaking aspirations, are now issuing sterner and
sterner statements with every passing day. Fair enough,
if that severity were limited to microphone tirades. Un-
fortunately, in practice it is spilling over into numerous
daily casualties among the civilian population. As con-
firmation I would merely recall the chronicle of the past
week.

First there was the operation in Gekhi. A few days later,
after the victorious second round of the election, when
the authorities no longer had any need to make a point
of demonstrating their love of peace to the electorate,
the village of Gekhi was blockaded by federal troops.
The reason given was the usual one that has been
repeatedly used during this war — a detachment of
gunmen was allegedly entrenched in the village. The
method used to combat that detachment was also preity
traditional — the surrounded village was fired upon by
all kinds of weapons, with artillery and aircraft being
actively employed. The result was that it was as if
the gunmen had disappeared into thin air — but 19
corpses of civilians were left lying on the streets of the
village. Another 70 people, including many women and
children, have been wounded, and more than a third of
the village has been destroyed.

Two days later the troops blockaded the village of
Makhkety. The official reason given was virtually the
same — the village allegedly housed Yandarbiyev's
headquarters. Once again all kinds of weapons were
used, including artillery and aircraft. According to the
official version, the operation was extremely successful
— the headquarters was destroyed, Yandarbiyev and
Maskhadov are off the air, and at least 300 gunmen in
the village were killed (many of whom were wearing the

: t may ta rghe 4 , ial, Copy and dh : :
is prohibited without permission of the copyright owners.

FBIS-SOV -96-139
18 July 1996

uniform of Afghan mojahedin, having correspondingly
arrived from abroad to provide reinforcements). In other
words, the military commanders were able to boldly
put themselves in line for honors while the border
guards prepare to explain how they let a detachment
of mojahedin slip through their fingers. In actual fact
things are not all that romantic — not only journalists,
but locals too failed to see those 300 killed gunmen. On
the other hand, the 24 peaceful villagers killed included
nine men and 15 women, and 150 homes were totally
destroyed. This successful operation was followed by
an air attack on Staryye Atagi. There a “surgical strike”
wiped out another “strategic target" — Yandarbiyev's
father’s home. Admittedly, missiles hit another six
homes, but it was a miracle that Yandarbiyev’s mother
and her neighbors survived.

At the same time, troops following this extremely
convenient plan for the military commanders launched
air strikes 15 and 16 July against Shil, Shalazhi,
Vedeno.... It was as if the president had not banned
the use of aircraft in Chechen population centers; it
was as if he had not stated to the TV cameras that
every shot fired would be investigated. The TV report
on Yeltsin's meeting with Gore, at which the Russian
president talked of his adherence to a peaceful solution
to the crisis, was seen here in Chechnya as a blatant
insult in the context of daily bombings, shelling, and
casualties. Or in the context of the constant deaths not
only of “evil Chechens” but also of soldiers dreaming
of their promised discharge — more than 70 Russian
mothers have lost their sons during the so-called truce
alone. Or in the context of the stern statements by
Internal Affairs Minister Kulikov, who modestly keeps
quiet about the mass killings of civilians. On the other
hand, in the best style of the former security officer
Barsukov, he reads out on TV allegedly intercepted
communications between separatists in Groznyy and
terrorists in Moscow. And the capital's public was
relieved to learn that the Chechen's poor batteries had
saved Moscow from further explosions. Just as well that
in their villages they cannot see the advertisements for
longer-lasting Duracell batteries.

The formation of the image of the Chechen as enemy
is proving even more successful with these pretrial
revelations by the minister. But who in the wake of
this will count the civilians being killed every day
in mountain villages — after all, these citizens are
Chechens, even if some of them are Russian.

Yesterday's killing in a Groznyy suburb of 12 people
simultaneously has produced a huge wave of anger in
the republic. According to Chechen Vice Premier A.
Bugayev, the leadership of the federal grouping initially
Stated that a group of Groznyy residents in two cars had

RUSSIA NATIONAL AFFAIRS 33

ambushed Russian armored personnel carriers. But then
when it transpired that no weapons were found in the
burned cars or beside the bodies, the federal authorities
went silent, citing the secrecy of the investigation. They
spoke openly only about the medieval barbarity of the
Chechens, who cut off their victims’ ears. Clearly,
this was a reference to the scandalous TV coverage
by Nevzorov, in which he savored the “heroism” of
Russian contract servicemen who were carrying severed
Chechen ears in their pockets.

I asked republic Prosecutor Vakhid Abubakarov to com-
ment on this tragic event. He said that he got the report
of the killing of 13 people yesterday evening. It was ob-
vious from the report that the killing had been carried
out by federal troops. Given this, Abubakarov imme-
diately contacted Military Prosecutor Igor Shevchenko
and suggested that they both go to the scene. The mil-
itary prosecutor promised to phone back, and actually
did so an hour later, unexpectedly stating that there was
no point in going there since the Internal Troops, taking
the curfew into account, had used their weapons prop-
erly.

I do not understand how the military prosecutor can
manage to reach that categorical conclusion within one
hour and without traveling to the scene of the incident.

The servicemen and the prosecutor failed to take ac-
count of the fact that one of the 13 men survived, even
though the federal troops dragged him out of his car,
paying no attention to the fact that his leg was in plas-
ter, and then, having shot the others on the spot, cut his
throat — allegedly to “spare the cripple any suffering.”
The cars were then torched, and some of the corpses
had their ears cut off.

The republic's Prosecutor's Office has now been forced
to hide the only surviving witness of the crime, fearing
that the federal troops will try to grab him in an attempt
to save the honor of the Internal Troops. The personal
intervention of the Russian general prosecutor, to whom
Abubakarov appealed, forced the Military Prosecutor's
Office to take action.

This morning the republic's prosecutor received a new
report — this time from Achkhoy-Martanovskiy Rayon.
There, near where federal troops are located, three
bodies of beaten local residents were discovered in a
thicket. The federal troops permitted Prosecutor's Office
workers to look into it and gather them together only
after long negotiations. But there was no mention of
finding the culprits here in a combat zone.

This already cruel war is becoming uglier and uglier at
this latest stage of activity. Gangs of armed terrorists,

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M RUSSIA NATIONAL AFFAIRS

avoiding direct clashes with troops, are kidnapping peo-
ple from Groznyy in broad daylight for subsequent ran-
som. Not only protected civil servants but even simple
defenseless citizens are now disappearing. Girls partic-
ularly often. The terrorists are increasingly frequently
mining the roads — but it is not so much their enemies,
the federal troops, that are being blown up as chance
passers-by.

For their part, the federal authorities are carrying out
one punitive operation after another and are no longer
burdening themselves with any convincing arguments
for their cruelty. All the more so as Moscow leaders are
not shy of making stern threats. Even General Lebed,
on whom all Chechnya had been pinning its last hopes
for peace, has acquired strikingly quickly the Kremlin
style of making stern assessments at second hand.
Without having visited Chechnya or seeing the real
results of “restoring constitutional order” or listening
to the residents of a single destroyed village or talking
to exhausted boy soldiers who cannot wait to be
discharged, the general is calling for extreme cruelty
and justifying the position of the federal authorities
to which he now belongs himself. In the wake of
this, is it worth counting on the new Security Council
secretary flying to Chechnya with a peace settlement
that will finally end the punitive operations? On the
contrary, it is more likely that the federal troops’ front-
line experience will gradually be pressed into service by
Moscow bodyguards to enforce another crime-fighting
edict. After all, it is no accident that the capital's
authorities are starting to use the term “sweep.” The
next method in line could be “blockades.” What needs
to be done in order to finally deal a serious blow against
the “Solntsevo grouping,” for instance? You need only
blockade Solntsevo and carry out a “surgical strike.”
Using all kinds of weapons. The grouping will survive,
of course, but the masses will learn a lesson. And the
military leaders will get awards.

Russia: Support for Yeltsin Seen Growing in Amur
Oblast

MM 1807103996 Moscow ROSSIYSKIYE VESTI
in Russian 16 Jul 96 p2

[Report by Nikolay Belyy: "In Amur the Left Wears a
Frown"}

{FBIS Translated Text} Blagoveshchensk-na-Amur —
The Russian presidential elections, which caused feel-
ings to run so high in the regions, will soon be history.
The Amur region's left-wingers, it would appear, will
never recover from the shock that they inflicted on them-
seives. They are tormented by the faded laurels of their
party idol, “Uncle Zyu.” It is particularly galling for the
Left that in the second round Zyuganov polled the most

FBIS-SOV-96-139
18 July 1996

votes in Central Amur. The results of the 3 July ballot

_ in Amur Oblast were the exact opposite of the results

for Russia as a whole.

In their local publications the left-wingers are trying
to justify themselves by belittling the significance of
Yeltsin's victory in every possible way and disparaging
the choice of those Amur inhabitants who voted for
the president and the reform course. Hiding themselves
behind the plural “we,” these diehards have now begun
to scare citizens by saying that they will soon feel
the results of the elections to their own cost. While
shedding crocodile tears over the results of the 3 July
ballot, the Zyuganovites are at the same time forced to
face facts. AMURSKAYA PRAVDA, the mouthpiece
of Amur’s neo-Bolsheviks, says disappointedly and with
sorrow that there is no understanding Russia, and then
immediately puts the eloquent question: Why have we
said “yes” to Yeltsin again? “We,” of course, is a figure
of speech here. They, of course, were dead against
Yeltsin. Though Amur Oblast remains on the whole a
politically and socially depressed zegion, the only one
in the vast expanses of remote Russia in which pro-
Zyuganov feelings prevailed.

Whether willingly or reluctantly, the paper acknowl-
edges that the reason for Yeltsin's success was that he
managed to split society, in which a middle class has
appeared. It was this new social stratum that decided the
outcome. And another conclusion: Yeltsin, who was a
long way behind Zyuganov in the polls at the beginning
of the election campaign, managed, in the Left's opin-
ion, to pull off a dramatic political revival and win over
not so much his own supporters, since it was not nec-
essary to galvanize them, as the waverers, who finally
tipped the scales in his favor. This proved beyond the
capabilities of Zyuganov and his team, the paper com-
plains.

While acknowledging something that, however, it was
impossible not to acknowledge, the leftists in the local
press endeavor to keep quiet about something else. To
wit: The Amur region today is not quite the “claret-
colored” territory that some people in the territory
itself and elsewhere would like. In the second round
Yeltsin increased his vote here far more than Zyuganov.
Although the agrarian rayons, where reform has for
several years been openly and secretly obstructed, were
behind the country’s chief Communist, many industrial
centers in the region backed the nonparty president. In
the decisive round Yeltsin was supported by the Baykal-
Amur Railroad capital of Tynda; the city of Zeya, center
of the Far East's hydroelectric power industry; the
city of Svobodnyy, former capital of BAMlag [Baykal-
Amur Railroad Prison Camp); Blagoveshchensk, the
current capital of Amur Oblast; and the “Svobodryy”

ee Copying and dissemination
is prohibited without permission of the copyright owners.

FBIS-SOV-96-139
18 July 1996

space center, where around 70 percent of voters —
mainly servicemen — voted for the current head of
state. Moreover, the inhabitants of Tynda and the entire
extensive central section of the Baykal-Amur Railroad
voted for the victorious president in both rounds. The
trend is obvious, and means just one thing: The social
base of those who would like to reverse the wheel
of history is shrinking in Amur year by year and
day by day, shriveling up like shagreen. Now that the
political guarantees of renewal have been upheld, there
is a chance even here, on the banks of the Far East
Mississippi, as they call the Amur, to move the reforms
forward and achieve economic and social results that are
currently mere predictions in the region. If these results
are achieved, the last Red stronghold in the Russian
East will not hold out. If not, there will be, as now,
plenty of work for the local Shvonders [scientist in
Bulgakov’s “Heart of A Dog"), for wherever you find
the lumpenproletariat, there is a Shvonder.

Having passed through two long stages of presidential
elections Amur Oblast is being dragged virtually with-
out any political intermission into a new election race.
According to the decision of the oblast council, the in-
habitants of the region are to elect their new governor
in a couple of months — 22 September. The sixth gov-
ernor in the past five years. Deputies delivered this ver-
dict almost immediately after the president, on the eve
of 16 June, appointed a new head of Amur Oblast Ad-
ministration, dismissing the previous head for financial
transgressions. The registration of various action groups
in support of the candidates for the top post in the re-
gional executive has already began. Many candidates
are expected. Among the competitors for the coveted
provincial post are figures of various political sympa-
thies, including, as has become a tradition not just in
the Amur region, adherents of the Red theory and the
practice of taking away and sharing out.

Russias: Maritime Territory Sends Letter to Lebed
on Energy Crisis

LD1707173596 Moscow INTERFAX in English

1623 GMT 17 Jul 96

(From the “Presidential Bulletin” feature}
(FBIS Transcribed Text} [no dateline as received] The

Maritime territory, Russian Far East, administration sent
a letter to Lebed on the energy crisis in the territory.

The interruptions, some as long as 18 hours, of energy
supply can disable the military installations there and
harm the Russian national interests, the letter says.

The cause of the interruptions is acute shortage of fuel
oil which is added to local low quality coals to make fuel
for power stations. Maritime territory's power stations

RUSSIA NATIONAL AFFAIRS 35

cannot buy fuel oil because they have not received
billions of rubles due them from the national budget.
The fuel suppliers refuse to send fuel on credit.

Territorial vice-governor Valentin Dubinin told Interfax
that the last reactor of the Maritime Thermal Power
station which supplies most local consumers has been
shut down while Heat Electric Generating Plant 2 can
Operate just two days on the fuel oil it has.

The energy crisis in the territory is approaching its
climax, he feels. Unless fuel oil reaches the territory
shortly, all energy consumers will be paralyzed, he said.

Because of shortage of energy in the town of Nakhodka,
the sewage system is disabled and sewage waters rose to
the surface while dairy factories in Vladivostok ceased
operation and the ice boxes are thawing, Dubinin said.

The local residents are inclined to accuse the Moscow
and locai authorities who are said not to care for the
people, once the elections are over. "Our explanations
cease to impress them,” he said.

Trains may stop any moment now. “We are keeping
the railroad operational at all costs for two reasons.
First, fuel oil may reach us on it. Second, a stoppage of
the Trans-Siberian Railroad may result in unpredictable
consequences,” Dubinin said.

The calls for help sent to the president, the government

and the Russian Security Council have not been an-
swered, he said.

Whatever happens, the bases of nuclear submarines, air
defense command posts and surgeries in hospitals and
maternity wards are kept supplied, Dubinin said.

The Pacific Fleet command understands the problems.
Wherever they could, the navy units use stand-by diesel
stations, he said.

An official in the fleet’s press center told Interfax that
energy has never been cut off in installations which keep
the fleet in combat readiness.

Economic Issues

Russia: Chernomyrdin, IMF Deputy Chief Discuss
Stabilization

LD1707121796 Moscow INTERFAX in English

1151 GMT 17 Jul 96

(FBIS Transcribed Text] MOSCOW, July 17 (INTER-
FAX) — Russian Prime Minister Viktor Chernomyrdin
and Deputy IMF Executive Director Stanley Fisher met
in Moscow on Wednesday to discuss the Russian econ-
omy and implementation of the IMF-set stabilization
plan.

Eaapen any = = Go
i probiblecd & cna rt a ain a yms

om RUSSIA NATIONAL AFFAIRS

Speaking afterwards, Fisher described the meeting as a
good exchange on the prospects of implementing the
IMF pian to curb inflation and cut budget deficit which,
he says, Russia is coping with very well.

He said the pace of cutting inflation rates was even
in excess of the IMF-set parameters. Fisher said other
measures on stabilizing the overall economic situation
in Russia would be discussed soon as well.

He is confident about the Russian government's ability
to carry the plan through.

On Chernomyrdin’s Tuesday statement saying that part
of the IMF-set macroeconomic indicators for this month
and next would be fulfilled with minor deviations, Fisher
said these would be harder to meet than curbing inflation
or the budget deficit.

Chernomyrdin also informed the IMF official that the
new government would have a cabinet minister for
monitoring tax revenue issues, a government source
said.

Russia: Kadannikov Says Foreign Reserves Down
$4 Billion, Deficit Up

MM 1807082796 Moscow IZVESTIYA in Russian

18 Jul 96 p2

{Report by Anatoliy Stepovoy: “Wholesale Tax Eva-
sion”)

{[FBIS Translated Text] Russia's foreign reserves have
fallen by $4 billion (a factor of 1.9), First Vice
Premier Viadimir Kadannikov announced in a speech to
Federation Council members 17 July. Implementation
of the revenue side of the federal budget was 87.7
percent, while implementation of the expenditure side
came to 98.2 p-rcent. The deficit was more than 42
trillion rubles. This is 6 percent more than envisaged.

The greatest damage to the budget, V. Kadannikov be-
lieves, has been done by payment arrears and universal
tax evasion (particularly in trade and banking).

Russia: Kadannikov Reports on Inflation Rate
Slowdown

LD1707112396 Moscow ITAR-TASS in English
1118 GMT 17 Jul 96

{By Lyudmila Yermakova}

{FBIS Transcribed Text) MOSCOW, July 17 (ITAR-
TASS) — In the first six months of this year, the
inflation growth rate in Russia went down considerably
- from 3.8 percent in January to 1.2 percent in June, First
Vice-Premier Viadimir Kadannikov told the Federation
Council upper house of parliament today.

FBIS-SOV-96-139
18 July 1996

Kadannikov noted that the rouble exchange rate against
hard currency has stabilised and will not “depart far
from the assigned lowest level of 5.500 roubles to the
dollar” before the end of this year.

One distressing point is that “our net currency reserves
dwindled by almost four billion dollars or 1.9 times
this year, the depletion particularly noticeable during
the (presidential) election campaign,” Kadannikov said.

The Vice-Premier did not sound quite pessimistic about
the drop, as, according to him, the reduction has not
been greater than envisaged by the financial programme
for the year.

He said the execution of the federal budget in the
first six months of this year was characterized by the
following figures: the revenue amounted to 136.3 trillion
roubles (87.8 percent of the target) and the expenditure
equalled 196 trillion roubles (98.2 percent of the target).

The budget deficit reached 42.9 trillion roubles or 28.4
percent, which is six points higher than planned, he said.

According to Vladimir Kadannikov, “serious concern”
is evoked by the formation of the budget resource base,
above all the collection of taxes. He said 76.5 trillion
roubles were paid towards the budget in taxes in the first
six months of this year, which is below the 60-percent
plank of the planned target.

As of July 1, the taxpayers owed the budget 65 trillion
roubles and Kadannikov declared that “the government
can no longer put up with this situation” and has begun
to take steps to correct the state of affairs.

Charges will henceforth be imposed on any deferment
of tax payment terms and criteria for granting such
deferments will be made more stringent, Kadannikov
said.

Russia: Deputy Premiers Zaveryukha, Davydov
Clash Over Quotas

MK1707123996 Moscow KOMMERSANT-DAILY
in Russian 17 Jul 96 pil

[Article by Vadim Bardin: “Deputy Premiers Dispute™]

{FBIS Translated Text} The struggle in the Russian
Government over imposing quantitative limits on im-
ports is growing increasingly acute. Yesterday it came
to a direct clash between two deputy premiers — Alek-
sandr Zaveryukha and Oleg Davydov.

Having found a decision worthy of Solomon with
regard to the hottest import items — beer and wine
(importation of which wili not be limited) and vodka
and alcohol (import quotas on which have been firmly
promised) — the government went at the entire range

is report may contain

shied Qype
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RUSSIA NATIONAL AFFAIRS 37

curbs “with regard to trade with the United States.”

Thus, differences in the government have become public
property. What follows? First, Russia is holding aside

they have actually showed good will in permitiing

Russia to chalk up an impressive gain of $1.7 billion

in trade with the United State in 1995? Second, public

clashes between two deputy premiers signify that at least
redundant.

one of them will soon prove

The conclusion seems to be plain. In the wake of Boris
Yeltsin's win and the reshuffle among his immediate
entourage, Aleksandr Zaveryukha'’s chances to stay on
in Viktor Chernomyrdin’s new government are not
great. But the thing is that the Ministry of Economy
backs Zaveryukha in all of his initiatives. And Yevgeniy
Yasin, its chief, has been spared discharge more thaa
once through the premier’s support. Thus, the argument
between the deputy premiers is not over yet.

Russia: Economic Ills May Force Government To
Print Money

MM1707135596 Moscow FINANSOVYYE IZVESTIYA
in Russian 16 Jul 96 pi

{Article by Yevgeniy Vasilchuk: “Starved Economy
Ready To Fling Itself on Printing Presses")

({FBIS Translated Excerpt] It is already two weeks since
the presidential election. The preelection expectations
and postelection euphoria have given way to a steadfast
feeling of disappointment. In the sphere of the economy
and market reforms the country continues to mark time.

Contrary to the rumors that are multiplying with every
passing day, the government is in no hurry to publicize
the priorities of its future economic policy. The main
principles of the formation and makeup of the new
cabinet remain unclear. Admittedly, not very much time

has passed. But, taking account of the leadership's stated
continuity, this protracted interlude is beginning to drag.

President Yeltsin has pointed to the need to shift
the emphasis in economic regulation toward ensuring
economic growth. Aleksandr Livshits, the president's
economic adviser, has made it clear that this will
require financial flows to be channeled into productive
investment.

But financial flows are rapidly running dry and are
stubbornly reluctant to move into production. The
burden of wasteful state spending and debts is keeping
interest rates at levels that the real sector of the economy
is unable to bear. Despite the authorities’ efforts, rates
are simply refusing to move down. The election results
did not impress the financial markets.

Having proprietorially removed competitors from the
domestic capital market, the state now intends to lure
Western private investors into its web. It should come
as no surprise that the titanic efforts made by Russian
industrialists, bankers, and civil servants to cobble
together half-way efficient financial-industrial groups
have, with some rare exceptions, come to nothing.

The creeping banking crisis has been a stab in the back
for production. A carve-up of the banks’ client base
has begun and could have awful consequences. While
striving to avoid the worst, the authorities and banking
circles are avoiding recognizing the obvious. But the
failure of another couple of major banks would spark
panic among clients. And then things might be too late.
(passage omitted]

The Central Bank clearly lacks any realization that the
Russian banks’ main problem lies not in the “quality”
of certain credit institutions but in the “fragility” of the
entire system. Just as, incidentally, it lacks any clear
idea of ways of combating this looming catastrophe.

The Bank of Russia's problems pale before the concerns
of the government. Tax receipts are not just low but
falling steadily month on month. The treasury can barely
rake up half the revenue due to it. Electoral spending
promises will have to be met. At least 20-30 trillion
rubles more will be needed. Within the next two or
three months at least.

IMF experts are inclined to put the budget deficit in the
first half of 1996 at 10-11 percent of GDP. The strain
on the domestic financial market has been such that the
only way out of this situstion could be to “quietly” print
money. If the financial markets never get wind of it, the
inflationary consequences of this step will be minimal.

The prediction is that the country will continue to
run a very burdensome [as published] trade surplus.

is report may contain

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is prohibited without permission of the copyright owners.

a

operate in Russia. The honor of discovering it
will deservedly belong to the new government.

Russia: Statistics Show Real Earnings Up 9 Percent
on Last Year

MM 1807105196 Moscow KOMSOMOLSKAYA
PRAVDA in Russian 17 Jul 96 p2

(Unattributed report: “One in Five Is a Millionaire in
Russia! Do You Suspect, Reader, That You Are Getting
Richer and Richer?..."]

{FBIS Translated Text) According to Russian State
Committee for Statistics data, a Russian’s average
monthly income reached 724,000 rubies [R} in the first

with last year while the purchasing power of pensions
increased 7 percent.

But the most pleasing thing is the situation regarding the
“scissors,” that is to say the difference between

In addition, the number of millionaires has substantially
increased. As of today 30.2 million people receive over
Ri million a month, and this is 20.4 percent of the

. Over R2 million is earned by 4.3 million

Inkombank Audit

MK1707131696 Moscow KOMMERSANT-DAILY
in Russian 17 Jul 96 pS

{Report by the Finance Department: “Situation Over
Inkombank. The Bank of Russia Was Very Sparing
With Words")

{FBIS Translated Text] Yesterday, the Central Bank of
Russia finally broke its silence and issued a statement
on the results of its audit of Inkombank.

The statement says that the data contained in the final
audit report and the results of Inkombank’s operation
during the first six months of 1996 give grounds to
conclude that the bank exercises sustainable control
over its liquidity, ensures the requisite profitability and
reliability in its functioning, and is capable of fulfilling
its obligations to investors and other creditors to the
full extent. Proof of that is the fact that Inkombank
has not delayed payments to its customers. At the
same time, according to the Central Bank statement,
there have been breaches in the way Inkombank formed
its authorized and reserve capital and carried out its

operations and book keeping.

Unfortunately, that is all. No other information could be
obtained at the Central Bank or Inkombank, although
the Central Bank’s statement leaves a whole range of
questions unanswered. It is worth noting that the Cen-
tral Bank statement refers to Inkombank’s activity dur-
ing the first six months of 1996, whereas the audit car-
ried out by the Central Bank’s Moscow administration
covered a longer period. Furthermore, according to the
original variation of the audit report, the most serious ac-
counting distortions date back to 1995. It is well known
that initially the auditors insisted that after rectifying the
accounting distortions Inkombank’s capital should be
reduced by more than | trillion rubles. Later, Inkombank
President Viadimir Vinogradov asserted that the figure
over which the bank and the auditors could not agree
was brought down to 400 million rubles. The statement
does not say a single word about whether these dif-
ferences were reconciled or whether the violations that
have been revealed will affect Inkombank's 1995 fi-
nancial indicators. Finally, it should be noted that the
phrasing “breaches in the way Inkombank.... carried out
its operations” is extremely vague and leaves too much
room for interpretations.

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is prohibited without permission of the copyright owners.

FBIS-SOV-96-139
18 July 1996

Russia: Official Interviewed on Foreign Debts
MM1807100996 Moscow KOMSOMOLSKAYA
PRAVDA in Russian 16 Jul 96 pl

[Interview with Aleksandr Zhukov, deputy chairman of
the Russian Federation State Duma Budget Committee
and member of the State Commission for the Foreign
Debt, by Aleksey Chukurov; place and date not given:
“Russia Under Audit. We Have Been Forced To Spend
All New Credits on the Servicing of Old Debts” — first
paragraph is introduction; from the “Business Tuesday”
section p 1]

(FBIS Translated Text] The condemnation of the gov-
ernment, which has “saddled Russia with debt for the
next 200 years,” has now become ove of the opposi-
tion’s “trump cards." The Kremlin is responding to this
by spiritedly reporting the unprecedented support for it
by the West, which is ready to facilitate the reforms and
the recovery of the Russian economy by granting new
credits together with “unprecedented” deferments in the
repayment of old loans. However, the assertions of both
sides are at times just myths and legends which have
come into being in conditions of total secrecy. After all,
the real extent and conditions of our foreign borrowings
and Russia's relations with its Western creditors remain
“top secret.” Aleksandr Zhukov, member of the State
Commission for the Foreign Debt and deputy chairman
of the Russian Federation State Duma Budget Commit-
tee, agreed to talk to KOMSOMOLSKAYA PRAVDA
readers about several of these “secrets.”

Legend No. 1. About the Democrats Who Borrowed
$130 Billion

{Chukurov] How come Russia borrowed sums that it
simply cannot pay back?

[Zhukov] Very simple. To preserve our position as a
world leader we had to take on the Soviet Union's

legacy lock, stock, and barrel. This not only means great
power status and an immense amount of property abroad

yzhkov the Soviet Union amassed the remaining $103
the five years between 1985 and 1990. it

these $103 billion that Russia is not in a position to
pay back in full. All payments on the credits that were

{Chukurov} To whom are we most in det?

RUSSIA NATIONAL AFFAIRS 39

{Zhukov} The USSR's main creditor was West Germany
which granted $22 billion “against the security of
Gorbachev." The Soviet Union received a considerably
smaller sum from the Italians of a little over $9 billion.
France was in third place, having loaned us $4.3 billion.
The group of five lenders is completed by the United
States and Austria, which loaned the USSR $3 billion
each.

Legend No. 2. About How the West Is Prepared To
Do Anything for the Sake of the Russian Reforms

{Chukurov] After the signing of the agreement with
the Paris Club at the end of April, Government Vice
Premier Davydov stated that the Western creditors made
unprecedented concessions to Russia in order to show
approval for the democratic reforms here and to support
Boris Yeltsin. Does this mean that the people meeting at
the Paris Club — the organization of the major creditor
countries — are not financiers but political patrons?

[Zhukov] Of course not. It is simply that the Western
creditors have no worse a knowledge of the state of
the Russian economy than our own Finance Ministry.
And they understand full well that we certainly cannot
at present pay $37 billion — the sum considered by the
Paris Club in April — even if we sell all our oil and
gold. The West simply had no other option. Therefore,
our debt repayment period was extended by 25 years
until Russia can afford to pay back the credits with
interest.

{Chukurov) Do you mean that Russia will pay $37
billion to countries in the Paris Club in a quarter of

a century?

{Zhukov} We will pay back the first sums as early as
2002.. Bear in mind too that the agreement between
Russia and the Paris Club is not simply a deferment.
Those sums which should be paid now have been turned
into new credits attracting high interest. Russia has been
granted no “unprecedented preferential conditions” for
them. So that on 29 April we not only got a “breathing
space” but also increased our foreign det by $19 billion.

Legend No. 3. Russia Is Owed Even More — All
We Have To Do Is To Make Our Debtors ‘Cough
Up’ Our Money

(Chukurov] The Soviet Union not only took out enor-
mous amounts of credit but also granted them to its
“friends” all over the world.

[Zhukov] Let us recall who we so generously “spon-
sored.” On the whole poorly developed African and
Asian states like Ethiopia and Afghanistan. These im-
poverished and bankrupi states are not in a position to

is prohibited without permission of the copyright owners.

oo RUSSIA NATIONAL AFFAIRS

settle these debts whether we befriend them once again
Or not.

Aside from this, the majority of credits to the Soviet
Union's allies were not commercial but political. For
example we provided massive aid to the Sandinistas
in Nicaragua, suppiying them with military hardware
and munitions. But the Sandinista troops were fighting
against detachments of Violetta Chamorro’s opposition,
and she has now become Nicaragua’s president. She,
of course, says: Why should I pay for weapons which
killed my supporters?

Sennen Some & an kage Gat Ge Sevn cetie
will be paid back?

[Ziukov) Not at all, several countries are trying to fulfill
their obligations. India is paying and the Near East states
of Syria, Algeria, and Libya are repaying their debt to
Russia in part.

I estimate that if the Russian Federation even recovers
$20-30 billion of the $140 billion scattered all over the
world by the Soviet Union, it will be doing very well.

Legend No. 4. About the IMF Credits That We
Devour
{Chukurov] What is happening to those loans that

’ Russia took out after 1991? Are they being spent on
teachers’ pay and the purchase of food?

FBIS-SOV-96-139
18 July 1996

[Zhukov] There is nothing to spend at all. The fact of the
matter is that this year we will pay out approximately
the same amount on old credits, including “Soviet” ones,
as we receive in new credits. That is, this year’s loans
will be spent in their entirety on settling and paying the
interest on earlier borrowings.

You can see for yourself — the state budget includes
32 trillion rubles [R] which we should receive this year.
But Russia will spend almost R29 trillion on interest

payments.

{Chukurov} What do you say to all the talk of the West
granting tens of billions of dollars “against the security
of Gaydar"?

[Zhukov] This is not true; in the first year we were
given very little indeed. Gaydar received $3 billion in
credits, but they were “tied” to specific projects. The
Russian Government has striven in the past and is still
striving to “build up” as few loans as possible. At
present we have been saddled with a dreadful burden of
debts from which we are trying — with some success
— to free ourselves. But if the foreign debt increases
uncontrollably, for decades to come Russia will be in
the position of a third-rate “banana republic” which
is absolutely incapable of fulfilling its obligations. It
will not then be saddled with debts but doing life in a
debtors’ jail.

eye Ae ah nerf penn on baglecmmee
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FBIS-SOV-96-139
18 July 1996

International Affairs

Ukraine: Foreign Minister: U.S. To Maintain
Interest in Ukraine

LD1I707135896 Moscow Interfax in English
1326 GMT 17 Jul 96

[FBIS Transcribed Text) KIEV, July 17 (Interfax-
Ukraine) — Ukrainian Foreign Minister Hennadiy
Udovenko is convinced that Boris Yeltsin’s victory in
the presidential elections in Russia will not weaken the
United States’ interest in Ukraine.

The United sistes is pursuing a course in support of
Ukraine, Udovenko told journalists afters talks with U.S.
Assistant Secretary of State Strobe Tulbott in Kiev on
Wednesday.

Talbott is on a one-day working visit to Ukraine as the
head of a delegation of the U.S. State Department.

The negotiations focused on the political and economic
situation in Ukraine, the adoption of the new Ukrainian
Constitution and an assessment of Ukrainian-U.S. rela-
tions, Udovenko said.

Udovenko said Ukrainian-U.S. relations were at a high
level. He recalled that the U.S. Congress had this year
allocated the greatest aid to Ukraine, some $225 million,
out of all CIS states. “And we need more,” he said.
Currently, the United States is considering Ukraine's
request to increase the aid, Udovenko said. “Not only the
executive but the legislative power is solving this issue,
because the matter concerns appropriations,” Udovenko
said.

He said they did not discuss Ukraine’s economic
reiations with countries such as Libya and Iraq. “Our
policy on this issue concerns the fulfillment of the U.N.
sanctions,” he said.

Ukraine: Talbott Hails New Constitution as ‘Joint
Victory’

LD1707155096 Moscow INTERFAX in English

1517 GMT 17 Jul 96

[FBIS Transcribed Text] Kiev, July 17 (Interfax -
Ukraine) — The U.S. leadership has assessed the
adoption of the new Constitution of Ukraine as a “joint
victory” for all the branches of power in the state, U.S.
First Deputy Secretary of State Strobe Talbott said.

This is the “official stand” of the US leadership, he

UKRAINE 41

In his turn, the Verkhovna Rada Speaker emphasized
that the main objective of the upcoming parliamentary
session is to “organically fit the newly adopted Con-
stitution into Ukraine's legal field.” He presented to
Mr.Talbott a copy of the text of the Constitution of the
first print.

Strobe Talbott and Oleksandr Moroz have agreed that
the present state of Ukrainin-U.S. relations is a source
of hope for their further positive development.

Ukraine: Kuchma Thanks U.S. for Support for
Reforms

LD1707164796 Moscow INTERFAX in English
1633 GMT 17 Jul 96

{(FBIS Transcribed Text] KIEV, July 17 (Interfax-
Ukraine) — Ukrainian President Leonid Kuchma
thanked the United States for supporting Ukraine's
economic and political course while meeting with U.S.
Assistant Secretary of State Strobe Talbott in Kiev on
Wednesday [17 July].

During the meeting, Kuchma voiced the hope that
Ukraine would find an appropriate scope of relations
with NATO, a spokesman for the Ukrainian president,
Andrey Chirva, told Interfax-Ukraine.

Ukraine would like to develop not only military but
also political and information links with NATO, the
Ukrainian president said.

The United States is the chief advocate of support for
Ukrainian reforms among the Group of Seven leading
industrialized nations, Talbott said.

The United States plans to give a considerable impetus

to the development of relations between the West and
Ukraine in the near future, he said.

Kuchma and Talbott also discussed Ukrainian-Russian
relations, the Ukrainian president's spokesman said.
The United States would not like to create problems
regarding Ukrainian-Russian relations, Talbott said.

Kuchma emphasized the need to conclude a large-scale
treaty on cooperation between Ukraine and Russia as
soon as possible, the spokesman said.

Ukraine: Udovenko Meets Russian Deputy Foreign
Minister

LD1807105496 Moscow INTERFAX in English
1004 GMT 18 Jul 96

{[FBIS Transcribed Text) KIEV, July 18 (Interfax-
Ukraine) — Ukrainian Foreign Minister Hennadiy
Udovenko and Deputy Russian Foreign Minister Ivan
Kuznetsov met in Kiev early on Thursday, with the

: it 4 al C . and di *
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a UKRAINE

issue of the former Soviet Union’s foreign assets being
high on the agenda, senior ministry spokesman Yuriy
Sergeyev told Interfax-Ukraine.

He said the Ukrainian minister called for an early
resumption of talks on the whole spectrum of bilateral
relations, including the problem of the Black Sea Fleet.

Udovenko said the negotiations could begin before
Russia forms a new government.

The minister announced that Russian Prime Minister
Viktor Chernomyrdin had been invited to visit Kiev
and stressed the need to regenerate activities in the
joint government commission for Ukrainian-Russian
cooperation.

Ukraine: MPs Accuse Aviation Plants of Passing
Technology to Russia

WS/807085296 Kiev INTELNEWS in English
0145 GMT 18 Jul 96

[4.dributed to INFOBANK]

{(FBIS Transcribed Text] Kiev, July 16. Parliament
Reforms faction members wrote a letter to Prime
Minister Pavio Lazarenko demanding investigation of
Antonov Aviation Research Complex in Kiev and
Motor-Sich works in Zaporizhzhya, them of
passing aviation technology to Russia free of charge.
They citing joint work on a new An-70 passenger plane
as an example and contend that it is one cause of both
companies indebtedness to the budget.

Ukraine: ‘Sources’: Kiev To Supply 300 T-80
Tanks to Pakistan

LD1807085096 Moscow ITAR-TASS in English
0754 GMT 18 Jul 96

{By Grigoriy Arsianov}

{FBIS Transcribed Text] BEUJING, July 18 (Itar-Tass)
— Ukraine is to deliver to Pakistan 300 T-80 tanks
worth 650 million US dollars, sources close to the Em-
bassy of Pakistan in Beijing told Itar-Tass on Thursday.

Kiev will get another 1.5 million dollars for helping
Pakistan to prepare tank crews and mechanics to serve
the tanks.

According to the sources, the deal signals the beginning
of the Ukrainian-Pakistani cooperation in the military
field. It is an evidence of Kiev’s active penetration into
the armaments market of South Asia.

Foreign military specialists in Beijing do not rule out
that “Russia's orientation towards India in military
deliveries” may have prevented Moscow from getting
this advantageous contract, which it could have struck

FBIS-SOV-96-139
18 July 1996

without violating its military obligations in the export
of conventional arms.

National Affairs

Ukraine: Ukraine To Impose ‘Elements’ of
Emergency

LDI1707144296 Moscow ITAR-TASS World Service
in Russian 1426 GMT 17 Jul 96

(By ITAR-TASS correspondent Mikhail Melnik)

(FBIS Translated Text] Kiev, 17 Jul — “Elements of
a state of emergency are to be imposed" in Ukraine,
Viadimir Gorbulin, secretary of the National Security
Council under the Ukrainian president, reported today.
Speaking at a briefing immediately after a sitting of
the Council, he said that in the view of the authorities,
unless drastic measures are taken in the country, Ukraine
could lose its independence by the autumn. Gorbulin did
not say precisely what measures these were.

“The president and Government of Ukraine,” he said,
“are concerned by the fact that since the adoption
of the new Constitution, radical left-wing and right-
wing forces have stepped up their actions against
the policy of the head of state. The leaders of the
communists and socialists are openly claiming that
Leonid Kuchma's policy is anti-popular and are calling
for his overthrow and for changing the system in
the country. The ultra-nationalists, in particular the
Ukrainian National Assembly-Ukrainian National Self-
Defense, are in unison with the left wing.” “All this
threatens Ukraine's national security,” he stressed.

Ukraine: Security Secretary: Paramilitary Groups
To Be Abolished

WS1807080696 Kiev INTELNEWS in English

0145 GMT 18 Jul 96

(By Halia Pavliva, INTELNEWS Staff Writer)

{[FBIS Transcribed Text] Kiev, July 17. A limited state
of emergency declared Wednesday [17 July] after the
attack on the premier will be used to crackdown on
extremist political parties and other militants—possibly
striking coal miners, according to National Security
Secretary Volodymyr Horbulin.

The action was approved by the Presidential Council of
National Security at a special meeting called and chaired
by President Leonid Kuchma.

Paramilitary groups of the Ukrainian National
Assembly-Ukrainian National Self Defense Organ-
ization (UNA-UNSO) will be abolished because “they

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FBIS-SOV-96-139
18 July 1996

don’t have the right to exist,” Horbulin said at Wednes-
day’s briefing in the presidential administration. “Why
are they training? For changing the power,” he said.
According to Horbulin, “elements of the state of emer-
gency” will be introduced in response to Tuesday's
bombing aimed at Prime Minister Pavio Lazarenko,
characterizing the incident as terrorism.

Horbulin connected the attack with those discontented
with the economic situation: “How can people who
instigate miners not only to strike, but to block railways,
be treated? Irrespective of who are they and where
are they from, legal steps will be taken against them,”
Horbulin said, confirming that the ax will fall on some
Donetsk Oblast officials, though he refused to name
them.

Donetsk Gov. Volodymyr Shcherban is rumored to have
submitted his according to members of the
Liberal Party of Ukraine which he heads, but the report
is unconfirmed.

Horbulin said that besides Donetsk, political tension
are ripe in Lugansk, Lvov, Ivano-Frankivsk oblasts and
Crimea.

“A real threat to the national security of the state has
been created,” Horbulin said, adding that if measures
weren't effected, “I'm not convinced that in the fall one
can speak about Ukraine as an independent state.”

Horbulin said the security council believes extremists,
both left and right, are demanding radical changes
to government without offering constructing proposals,
adding “their sayings that the course of the president is
destructive to the people threaten the state,” according
to Horbulin. Purther, Horbulin acknowledged corruption
exists in some executive agencies, and individuals
connected with organized crime have been elected to

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the crackdown or to add mystique to Lazarenko's
reputation. That theory is being purported by some
Donetsk Oblast Administration officials, according to
a local source who asked not to be identified.

Ukraine: Security Service Head Comments on State
of Emergency

LD1I707155196 Kiev Radio Ukraine World Service

in Ukrainian 1500 GMT 17 Jul 96

(FBIS Transiatec Text) Elements of a state of emer-
geacy may be introduced in Ukraine — a statement to
this effect was made by Volodymyr Horbulin, secretary

to state that there is a single scenario there, Horbulin

However, the coordinated nature of actions, open ap-

peals to change the existing regime and to cancel the
receauly adopted constitution, and statements and reso-

president, Horbulin noted, will be published fully for
the first time. It concerns the actions of the authorities
which will cover all spheres of life. Horbulin described
this as introducing elements of a state of emergency
which is to counteract the threat of the seizure of power

by corrupt elements.

Ukraine: Deputy Warns of ‘Wave of Terrorism’

LD1707153896 Moscow ITAR-TASS in English
1526 GMT 17 Jul 96

(By Raisa Stetsyura)

{FBIS Transcribed Text] KIEV, July 17 (Itar-Tass) —
The social and economic crisis in Ukraine can unleash
a wave of terrorism, chairman of the Ukrainian parlia-
ment’s standing committee on combating corruption and
organized crime told Itar-Tass on Wednesday.

Chairman Grigoriy Omeichenko said he did not rule
out that some groupings might prefer terrorism to legal
means in their drive to achieve their own political ends.
Omelchenko pointed to the accident in which the car
of the Ukrainian Prime Minister Pavel Lazarenko was

damaged in a bomb biast as he was riding to Kiev airport
on Tuesday as one in a series.

He said the number of acts of terrorism in Ukraine
had been steadily increasing over the recent years.
According to him, there were up to 150 such acts in
1992, 180 in 1993, and over 250 in 1994. In the first

1s ited without ‘ of the owners.

be UKRAINE

three months of 1996, more than 30 acts of terrorism
were reported, Omeichenko said.

Lazarenko was not hurt in the blast.

Ukraine: Kuchma Issues Statement on Countering
Security Threat

LD1707203096 Kiev UT-1 Television Network

in Ukrainian 1800 GMT 17 Jul 96

{(FBIS Translated Text] We have received a statement
from the press service of the president of Ukraine:

The adoption of the constitution of Ukraine completed
possibly the most difficult stage in the current making of
our statehood; initiated a fundamental!y new atmosphere
for asserting unity in society which is a precondition
for irreversible and truly reformist transformations;
and raised considerably the Ukraine’s prestige in the
eyes of the world community. The president and the
government received a chance to concentrate
fully on solving urgent and long-term issues in the
economic, social, political, spiritual, and international
spheres for improving every citizen's life.

However, already the first resolute steps, even before
reinforcing the influence of authorities on the processes
in Ukraine - in particular, measuves aimed at suspend-
ing the decline in industrial and agricultural production,
supporting the viability of other industries, overcom-
ing the payments crisis, clearing arrears in wages, pen-
sions and other social allowances and reinforcing civic
peace and calm - encountered furious opposition from
organized crime and corrupt officials working in ad-
ministrative structures at various levels. Favorable con-
ditions are created for them by oppositional, and in ef-
fect antistate and anticonstitutional, political formations
which are now trying to step up their activities. This
manifests itself in stirring up miners’ strikes, blocking
roads, attempting to aggravate passions around various
events, and inciting separatist moods in Crimea and cer-
tain other regions.

Criminal groups are trying to use this situation to in-
crease the influence of criminal clans, to aggravate con-
frontation and enmity, and to destabilize the situation in
the country. Their actions are becoming more and more
daring and organized. They include threats, blackmail,
intimidation and even attempts at terrorist acts against
certain politicians and officials.

in its challenge was the on the
life of Ukrainian Prime Minister Pavio Lazarenko. There
is every ground to talk about the probability of the
emergeace of a real threat to the national security of
Ukraine and its existence as a sovereign state.

FBIS-SOV-96-139
18 July 1996

The Ukrainian president has sufficient powers under the
constitution to give an adequate and resolute response
to that challenge. And it will be given. As head
of state and guarantor of the constitution he will
not allow the destabilization of the state or whatever
attempts to slow down and undermine the process of
stabilization and establishment of order and to hamper
the uncompromising struggle against the fifth power.
The smallest attempt to undermine the constitutional
regime, the rights and freedoms of citizens will be met
with a most severe response. Measures adopted today
at a meeting of the National Security Council under the
chairmanship of Ukrainian President Leonid Kuchma
are directed toward these aims. The decision of the
National Security Council under the Ukrainian president
will be published in the press.

Ukraine: Assassination Attempt on Premier Viewed
as Warning

LD1707170596 Moscow INTERFAX in English

1548 GMT 17 Jul 96

{(FBIS Transcribed Text] KIEV, July 17 (Interfax-
Ukraine) — Aleksandr Skibinetskiy, Ukrainian Security
Service deputy chairman, told a briefing in Kiev on
Wednesday that the assassination atiempt on the life
of Ukrainian Prime Minister Pavel Lazarenko was a
“serious warning.”

He denied the allegation that the assassination attempt
on Lazarenko’s life had been faked.

An explosion occurred near the Moscow Bridge while
the car carrying Lazarenko to the Borispo! Airport in
Kiev was passing by in the morning of July 16. Nobody
was hurt.

It will become possible to draw final conclusions re-
garding the assassination attempt after the investigation
is completed, Skibinetskiy told reporters.

However, it is clear that this was a “planned action,”
he said, adding that he believed that the explosion had
been organized by “professionals.”

The prime minister's car is currently being examined,
Skibinetskiy said, adding that many witnesses had been
interrogated.

The investigating group, which includes representatives
of the Ukrainian Security Service, the Interior Ministry
and the Prosecutor's Office, established that a radio-
controlled explosive device was used in the explosion,
he said. Parts of a radio-technical board, batteries
and other components used in explosive devices were
discovered at the site of the explosion.

FBIS-SOV-96-139
18 July 1996

The explosive device blew up two or three meters ahead .

of the car carrying the prime minister. The explosion’s
power was equivalent to 3 kilograms of TNT.

Several explanations are now being considered,
Skibinetskiy told Interfax-Ukraine.

“There are enough people in different regions who
afe interested in an assassination attempt on the prime
minister’s life,” he said.

One of the possible explanations is that the assassination
attempt involved some forces wanting to prevent the
prime minister from visiting the Ukrainian city of
Donetsk, where numerous coal mines are on strike, he
said.

However, Viadimir Gorbulin, secretary of the National
Security Council under the Ukrainian president, told the
same briefing that the personnel changes in the Donetsk
region and the explosion were not connected.

Sixty-seven actions infringing on the personal safety of
Ukrainian statesmen, including verbal threats, have been
registered during the last six months, Skibinetsky said.

Over 300 incidents involving explosive devices have
been registered in Ukraine-during the last two years.

Gorbulin said he agreed with those saying that the
action against the prime minister was a “warning.”
However, “this action is more economic than political,”
he believes.

Documents on the creation of an anti-terrorism center
in Ukraine have been “all but prepared," Gorbulin said.
"We are situated between the Caucasus and the former
Yugoslavia. So, we need to take into consideration
any possible developments that may evolve in Ukraine
without our wishes,” he said.

Ukraine: Prime Minister Interviewed on Situation
in Donetsk Region

LD1807083896 Kiev UNIAR in Ukrainian
1630 GMT 18 Jul 96

{FBIS Translated Text] Kiev — Late on 16 July, having
retuned to Kiev, Pavio Lazarenko [Ukrainian prime
minister} gave an interview for the mass media in
Borispol airport. He, in pasucular, said that 11 groups
are now working in Dopcisk coal region, charged with
completing the work on studying the situation in the
coal industry, which had been started by a government
commission in order to help coal mining enterprises. He
stated that the Cabinet of Ministers headed by him will
do everything possibie to normalize the situation in the
industry as quickly as possible.

UKRAINE as

“The government is in control of the situation and it
will carry out the task until its logical completion. After
a detailed conversation, 45 criminal proceedings were
instigated. You know that the Ukrainian president has
already replaced the head of the security service and the
prosecutor general of Donetsk Region for unsatisfactory
work. I think that it is in Donetsk Region that we will
witness in the nearest future a drastic reversal of the so-
called coal issue,” the prime minister stressed.
(Unidentified correspondent] Was your work in Donetsk
more important than the possible consequences of the
incident in the morning of 16 July?

{Lazarenko] To be honest, I believe the morning terrorist
attack was intended to kill. Fatal consequences were
avoided just by chance. It had only one aim — to
prevent the prime minister’s arrival in Donetsk F.egion.
There cannot be other explanations.

[Correspondent] Judging by the terrorist attack, it is
connected with the fact that you have begun introducing
order in the country. Judging by your actions today,
there are grounds to believe that you will continue it.
However, we are interested in something else: Will any
specific measures be taken to prevent such incidents, if
not to make them impossible or to inflict a blow to these
structures?

{Lazarenko} There will be such measures by all means.
I am convinced once more that [words indistinct) only
Stating facts but preventive actions and solving are
needed.

[Correspondent] Could you specify: who, with whose
money and why the strike started? At a meeting with
you, certain deputies named specific individuals, in
particular, the heads of the region.

{Lazarenko} I believe the strike, announced by the
independent trade unions of Mr. Volynets and supported
by the head of the strike committee, Mr. Krylov, were
aimed at disrupting the stabilization, which has lately

emerging in the coal industry. You saw for
yourself that the government does not owe any money.
This is not to the liking of some people — they need
a degree of uncertainty and constant destabilization of
the situation; they need somebody to justify oneself to
somebody else; and each time it should be necessary to
go to the railways to demand money. Why? It is better
that way: One does not have to work; it is possible to
cover one’s sins, not to answer for one’s wrongdoings.
and to blame everything on the government. Today,
everybody without exception saw that: Nobody will
shift responsibility in the region onto the government.
As far as I will be authorized by the president and
the parliament, I will be categorical in defending the

lee rene A og
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copyrighted material. Copying and dissemination
permission of the copyright owners.

a UKRAINE

interests of the state. Today, in the places where leaders
are not able to work, but shift onto the
government — such tricks have stayed in the past. They
will not be accepted, they are not necessary and they
will not happen in the country. The name of the person
behind those two trade union leaders and who finances
them today will be made public by us, I think, in the near
future, after the completion of the conversation. Today,
an investigation is being carried out by a government
group headed by a deputy minister of internal affairs.

I think, you have visited the region yourself and heard
for yourself what people talk about.

Ukraine: Lazarenko Says Backlog in Miners’
Wages Repaid in Full

LD1707141496 Moscow INTERFAX in English
1111 GMT 17 Jul 96

(FBIS Transcribed Text) Kiev, July 17 (Interfax -
Ukraine) — The Ukrainian Cabinet of Ministers has
completely repaid the wage backlog to coal miners (65
trillion karbovanets instead of the planned 50 trillion),
Ukrainian Prime Minister Pavio Lazarenko said on
July 16 at a meeting with senior officials of mining
companies, miners’ cities, and trade

struction of 93 new long wall faces. In July 1996, the
Premier added, seven trillion karbovanets more will be
transferred for those purposes.

Coal subsidies, P. Lazarenko noted, will be granted
depending on the coal output.

P. Lazarenko said that 11 teams have been set up lately
from among officials of control and audit bodies, tax
inspectorates and law enforcement units, to continue
looking into the activities of coal enterprises.

1645 GMT 17 Jul 96

(FBIS Translated Text] Donetsk — The information
broadcasted by the Ukrainian television news on the
lifting of the blockade of the railways by miners on
17 July is somewhat incorrect. This was stated in

FBIS-SOV-96-139
18 July 1996

an interview with UNIAN by Mykhaylo Krylov, co-
chairman of the Donetsk city workers strike committee.

He said that the miners did not give in because they
were persuaded by the officials of the Ministry of the
Coal Industry, Ukrainian railways, and their trade union
leaders, as was broadcast. The miners lifted the blockade
at approximately 1200 as women and children were
taken off the trains.

Ukraine: Striking Miners Lift Donetsk Railway
Blockade

LD1707223496 Kiev UT-1 Television Network
in Ukrainian 1800 GMT 17 Jul 96

(FBIS Translated Text] Our Ternopol correspondent
reports that striking miners lifted the blockade of
Donetsk railways today:

[Unidentified correspondent] The situation was critical.
Employees of four mines had gathered at this crossing of
roads and railways. The blockade became serious. The
extremists defied government attempts and, demanding
that wage arrears be paid by the end of the week,
tried to aggravate the strike to the extreme. They failed,
however. The majority of them have already received
their money and realized that the state is on the side of
the miners. Besides, the pickets have been approached
by leaders of the Ukrainian railways, the Ministry
of Coal Industry, and law-enforcement bodies with a
request to lift the blockade. The miners’ consciousness
should be noted: they understood that they had been
Grawn into an antistate action, removed pickets, and
went to their mines.

One should note that, during the strike, the railways
lost 1,000 billion karbovantsi and the mines failed to
produce 3 million tonnes of coal worth 18,000 billion
karbovantsi.

The government commission headed by Vasyl Dur-
dynets, first deputy prime minister, continues its work
in Donetsk.

Ukraime: Moroz Says Parliament Meeting To Be
Held Under Coastitution

LD1707161796 Moscow INTERFAX in English
1517 GMT 17 Jul 96

(FBIS Transcribed Text) Kiev, July 17 (Interfax -
Ukraine) — The session of Ukraine's
Verkhovna Rada [Supreme Council), which is due to
open on September 3, will be held “under the badge
of the Constitution", Ukrainian Parliament Speaker
Oleksandr Moroz said on Wednesday in the course of
his meeting with Ukrainian students, who underwent a

is without of the owners.

FBIS-SOV-96-139
18 July 1996

yearly probation period training at the parliamentary
committees.

According to O.Moroz, it is planned to adopt at the
upcoming session the Tax Code, as well as laws of
Human Rights’ Commissioner, Election Law, the Law
of the parties, of the Cabinet of Ministers and of the
Constitutional Court.

Probation training of 34 Ukrainian students at
Verkhovna Rada was prepared and coordinated by

UKRAINE 47

the Association of former US congressmen, whose
activities abroad are aimed at support for democratic
institutions, in particular, the Central and East European
Parliaments.

Next year, probation training will be resumed at
Ukraine’s Verkhovna Rada for students studying
economy, law, politology and sociology.

1s prohibited without permission of the copyright owners.

a WESTERN REGION

Belarus

Belarus: Belarusian President Reportedly Funded
Zyuganov Campaign

LD1807062096 Moscow Radio Rossii Network

in Russian 1800 GMT 17 Jul 96

{FBIS Translated Text] We have received a sensational
report from Belarus. An Independent Belarusian parlia-
mentary deputy, Anatol Lyabedska, claims in the in-

t Minsk weekly SVOBODNYYE NOVOSTI
PLYUS [as heard) that Belarusian President Alyaksandr
Lukashenka was involved in the funding of Gennadiy
Zyuganov’s election campaign. According to him the
money from Belarus reached the communists’ election
headquarters via the so-called Esambayev Fund, named
after the famous Chechen dancer. Yuriy Svirko reports
from Minsk.

[Svirko} Deputy Lyabedska revealed the mechanism
of this funding. The Esambayev Fund imported spirits
and cigarettes into Russia through Belarus in stupen-
dous amounts. According to the calculations of Anatol
Lyabedska, deputy chairman of the Belarusian parlia-
meat’s international relations committee, the import op-
erations of the fund, which under a decree issued by
President Lukashenka had been granted equally stupen-
dous privileges, resulted in Belarus and Russia, who op-
erate a customs union, being underpaid duties and taxes
amounting to over 800 billion Belarusian rubles, which
is about 300 billion Russian rubles or $60 million. Part
of this, it is claimed, went on the needs of Zyuganov's
campaign.

Belarus: Prime Minister Reviews Economic Results
in Jan-Jun '96

WS1807110196 Minsk Radio Minsk Network
in Belarusian 0400 GMT 18 Jul 96

[Report by Aleh Mikhalevich on news conference by
Belarusian Prime Minister Mikhail Chyhir on 17 July;
place not given)

{FBIS Translated Text) According to the prime minister,
during the first six months of this year the situation in
the industrial and agricultural sectors improved. Positive
results were achieved in poultry farming. According to
Mikhail Mikalayevich, this branch is currently success-
fully operating not only on our market, but also on Rus-
sia's. Among enterprises which achieved good results,
the prime minister singled out the Belarusian Metallur-
gical Plant, Homselmash, Belaz, and other

Problems concerning sales of finished products are still
acute. As of | July, the value of unsold products had
amounted to almost 11 trillion rubles (R).

FBIS-SOV-96-139
18 July 1996

[Begin Chyhir recording — in Russian] We are not
satisfied with the financial results of many of our
enterprises. Many large companies have suffered big
losses. Haryzont has lost R33 billion, the Minsk watch
plant — R17.2 billion, the Minsk auto plant — R67
billion, and the Minsk motor and bicycle plant — R50
billion. These very large enterprises sustained losses
during the first half of this year, and their situation
naturally requires a special and detailed analysis. It
has already been conducted with regard to Haryzont,
and certain measures have been taken to improve the
situation at this company.

As for other large enterprises, certain extraordinary
decisions are needed. The government's position is that
if an enterprise receives assistance from the government,
primarily if it receives certain privileges and budget
loans, this company should introduce a state wage scale.
However, certain enterprises do not want to do this,
and at companies where the situation is hopeless we
are taking certain extraordinary measures to keep them
afloat for the time being. At the same time, we are
trying to develop measures which would enable them
to operate in normal and natural conditions without
external assistance. [end recording]

The prime minister particularly addressed issues con-
cerning foreign economic activities. He noted that im-
ports are considerably exceeding exports, which has
brought about a trade deficit.

[Begin Chyhir recording — in Russian] Naturally, we
will soon take additional measures which will primarily
be aimed at reducing imports into Belarus. Although
it is currently hard to say what kind of measures will
be taken, there are proposals addressed to the Russian
Government to revise customs duties on a number of
products and considerably increase customs duties on
products which we can produce ourselves. If the Russian
Government does not support these measures, we will
search for other options and methods. [end recording]

Following this, the prime minister answered numerous
questions from journalists.

Belarus: Defense Minister on Results of Talks in
Lithuania

WS1707142396 Minsk BTK Television Network
in Belarusian 1800 GMT 15 Jul 96

{FBIS Translated Text} Defense Minister Leanid Malt-
saw was a member of the Belarusian delegation to
Lithuania, but he worked in accordance with an indi-
vidual program.

[Begin Maltsaw recording in Russian] We have talked
about our cooperation with the defense minister of

pple a pen ey

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FBIS-SOV-96-139
18 July 1996

Lithuania. The point is that there are already agreements
between the Belarusian Defense Ministry and the State
Protection Ministry of the Lithuanian Republic. How-
ever, these agreements need to be accompanied by spe-
cific measures. We have talked about those measures.
I have presented them with the draft cooperation plan.

we will meet in the fall, but

i this draft project will be re-

drafted and we will sign it for implementation. [end
ording}

CENTRAL ASIA

Kazakhstan

Kazakhstan: Malaysian Prime Minister Arrives for
Official Visit

LD1807070296 Moscow ITAR-TASS in English

0657 GMT 18 Jul 96

[By Viadimir Akimov]

{FBIS Transcribed Text] ALMATY July 18 (Itar-Tass)
— Malaysian Prime Minister Mahathir bin Mohamed
arrived in Almaty today for a three-day official visit.
He will discuss with Kazakh leaders prospects of
turning their two countries into partners and developing
cooperation in the economic, trade, cultural and other
spheres.

On the first day of the visit Mahathir bin Mohamed will
have conversations with Kazakh President Nursultan
Nazarbayev and Prime Minister Akezhan Qazhygeidin
with a limited number of participants. Talks on the level
of official delegations of the two countries will also be
held. A number of joint Kazakh-Malaysian documents
are expected to be signed tonight.

Kazakhstan: Foreign Minister, Iranian Envoy
Discuss Expansion of Ties

LD1607165396 Tehran IRNA in English

1444 GMT 16 Jul 96

{FBIS Transcribed Text} Almaty, July 16, IRNA — Ira-
nian Ambassador to Almaty Rasoul Islami and Kazakh
Foreign Minister Qasymzhomart Kemeluly Togayev in
a meeting here Tuesday [16 July] explored ways of ex-
panding Tehran-Almaty bilateral and regional ties and
cooperation.

The two sides assessed as “positive” the outcome of
political consultations between the two countries and
underlined the need to expand the scope of such con-
sultations to cover various political, economic, parlia-
mentary and judicial areas.

The establishment of multilateral cooperation involving
Iran, Kazakhstan and one of the regional countries was
among other topics discussed by the two sides.

They also called for settlement of disputes on the

FBIS-SOV-96-139
18 July 1996

Kazakhstan: Stolen Aircraft Bombs Found

LD1607193496 Almaty KARAVAN-BLITS in Russian
12 Jul 96 pil

{Report: “The Bombs Were Written Off Like Rotten
Cucumbers"]

(FBIS Translated Text) Semipalatinsk — Our newspa-
per has already reported about this case twice. On 28
May, local residents found 14 270 kg aircraft bombs on
the edge of a deserted quarry not far from Shemonaikha
settlement in East Kazakhstan Region. The bombs were
carefully disguised. Sappers established that they did
not have fuses and did not present a danger. However,
their destructive potential is huge. When such ammuni-
tion explodes, its shrapnel can reach one and a half km.
The aircraft bombs were entirely “young” — they were
made in 1991. That means they were stolen recently
too. However, it was not easy to clarify who stole them
and from where. According to the Ministry of Defense,
this type of aircraft bomb was not registered either at
military bases or ammunition dumps. But it was not
exactly so in fact. Military counterintelligence officers
revealed that one of the military units in Semipalatinsk
was short of six such bombs. They were written off
from the ammunition dump. Their identification marks
matched with the ones marked on the bombs found near
Shemonaikha. An investigation is under way at the mil-
itary unit. The people involved in the illegal writing-off
of the ammunition are being uncovered. Al! materials
have been handed over to the Military Investigation De-
partment of the State Investigation Committee, which
firmly intends to clarify how and due to whom was it
so simple to remove two trucks from the ammunition
dump with very powerful ammunition as if the trucks
were loaded with rotten cucumbers.

Kyrgyzstan
Kyrgyzstan: Akayev Holds Talks With Malaysia's
Mahathir
BK1707075496 Kuala Lumpur THE STAR in English
17 Jul 96

{Report by Michael Aeria — received via Internet]

{FBIS Transcribed Text} Bishkek: Malaysia will under-
take a special case study of the Kyrgyz Republic to
identify specific areas of co-operation between the two
countries.

Datuk Sri Dr Mahathir Mohamed made the proposal
during a meeting with Kyrgyz President Askar Akayev
yesterday.

Foreign Minister Datuk Abdullah Ahmad Badawi said
that the study would cover all aspects, including politi-
cal, legal and economic potential.

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FBIS-SOV-96-139
18 July 1996

“Hopefully, the result of the study and the recommen-
dations made will pave the way for a more meaning-
ful co-operation between the two countries,” he told a
press conference jointly held with his Kyrgyz counter-
part Rosa Otunbaeva.

Abdullah said the study would be more comprehensive
than the co-operation between Malaysia's Economic
Planning Unit and the Kyrgyz Economy Ministry.
The study wouid initially be undertaken by the Govern-
ment but would eventually involve the private sector,
too.

He said President Akayev welcomed this proposal,
saying the Kyrgyz Republic would benefit from this
study.

Dr Mahathir and Akayev also signed a joint declaration
in which both leaders underlined the importance of
bilateral relations between the two countries.

They also recognised the tremendous opportunities for
economic co-operation for mutual benefit.

Abdullah said that during a meeting of the delegations
headed by Dr Mahathir and Kyrgyz Prime Minister
Apas Dzhumagulov, four specific areas of co-operation
were identified — mining, tourism, manufacturing and
agriculture, and food processing.

Dr Mahathir also witnessed the signing of a master
agreement between Malaysian Mining Corporation CEO
{chief executive officer} Tan £-i Ibrahim Menudin and
Kara Balta Mining Combinate’s Jalgeb Kazackayev
[names as published].

In the afternoon, Dr Mahathir was conferred a profes-
sorship award by the Kyrgyz State University.

Kyrgyzstan: Malaysia’s Mahathir Urges Enhanced
Economic Cooperation

BK1707075396 Kuala Lumpur THE STAR in English
17 Jul 96

[Report by Michael Aeria — received via Internet]

(FBIS Transcribed Text] Bishkek (Kyrgyz Republic):
Countries in Asia should explore new ways to enhance
economic co-operation so that the dividends from this
growth can be jointly shared, Datuk Sri Dr Mahathir
Mohamed said yesterday.

The Prime Minister said that by the year 2000, Asia was
set to become the most important region of the world
economically, politically and culturally.

“As a member of the community of developing coun-
tries, it is imperative that Kyrgyz and Malaysia, which
share common aspirations of self-reliance, should work

joint declaration on

CENTRAL ASIA $1

together,” Dr Mahathir told a joint Kyrgyz-Malaysia
business meeting.

The Prime Minister, who is heading a delegation of
Cabinet ministers, mentris besar [chief ministers] and
businessmen, was on the second day of his official visit
to the Kyrgyz Republic.

Earlier in the day, Dr Mahathir called on President
Askar Akayev, followed by a meeting with a delegation
headed by Prime Minister Apas Dzhumagulov.

Dr Mahathir said Malaysia placed great imporiance
on developing trade and economic. co-operation with
countries of the South.

Malaysia's total exports to the South countries has
registered strong growth, representing 16.9 per cent of
the country’s total exports in 1995 compared with 12.2
per cent in 1990.

“South-South co-operation has acquired greater signifi-
cance in the light of the Uruguay Round market opening
process,” he said.

Dr Mahathir said bilateral trade between the two coun-
tries was still low but he saw many opportunities for
mutual co-opezation.

Both countries belong to regional groupings --
Malaysia as a member of Asean which by the year
2000 would become a free trade area with zero tar-
iff for most manufactured products and the Kyrgyz
Republic which is a member of the Central Asian
Economic Union and set to become a free trade area

incorporating the neighbouring countries of Kazakhstan
and Uzbekistan.

He said Malaysian companies could explore the possi-
bility of using the Kyrgyz Republic as a base for their
business operations in the Central Asian market and
Kyrgyz businessmen could use Malaysia as a staging
point to expand their business operations in the South-
East Asian region.

Kyrgyzstan: Akayev Signs Cooperation Protocol
With Malaysia

LD1607123496 Moscow INTERFAX in English
1057 GMT 16 Jul 96

{FBIS Transcribed Text) BISHKEK, July 16 (interfax)
— President of Kyrgyzstan Askar Akayev and Prime
Minister of Malaysia Mahathir Mohamad signed a
and areas of bilateral
cooperation in Bishkek Tuesday [16 July].

They also signed a general agreement on development
of the Taldiy Bulak Levoberezhniy gold mine.

is without of the owners.

$2 CENTRAL ASIA

Kyrgyz Foreign Minister Rosa Otunbayeva told a brief-
ing after the signing ceremony that the declaration will
help to attract investments in Kyrgyz telecommunica-
tions, transport, food production, processing of agricul-
tural products and the gold-mining industry.

Malaysian Foreign Minister Abdullah Ahmad Badawi
said Malaysian experts will research the Kyrgyz econ-
omy, politics and the social sphere and analyze Kyrgyz
legislation. The results will be used to give economic
recommendations.

He said Akayev approved of this research because
Kyrgyzstan plans to use Malaysian experience for
making a model of its social and economic development.

The Kyrgyz government approved the Taldiy Bulak
Mining Corporation joint venture on June 3. The joint
venture was set by the Kara Balkinskiy mining plant
(Kyrgyzstan) and the Malaysian mining corporation.
Kyrgyzstan will have no less than 51 percent of shares
in the joint venture.

The Malaysian prime minister and the accompanying
officials (230 persons) will stay in Kyrgyzstan till July
18 and then leave for Almaty.

Tajikistan

Tajikistan: Rakhmanov, Kazakh President Discuss
Relations

LD1807110296 Dushanbe Radio Tajikistan Network
in Tajik 0500 GMT 18 Jul 96

(FBIS Translated Text] President Emomali Rakhmanov
of the Republic of Tajikistan had a telephone conversa-
tion with his Kazakh counterpart Nursultan Nazarbayev
yesterday. In a friendly and sincere conversation, they
exchanged views on topics relating to the development
of relations between the two countries and to regional
and international issues of interest to both sides.

Tajikistan: Cooperation Agreement Signed With
Uzbekistan

LD1I707172296 Moscow ITAR-TASS in English
1405 GMT 17 Jul 96

{(FBIS Transcribed Text} DUSHANBE, July 17 (Itar-
Tass) — Delegations from Tajikistan and Uzbekistan
on Wednesday [17 July] signed an intergovernmental
agreement on the development and deepening of eco-
nomic cooperation between the two countries.

Deputy Prime Minister Rustam Yunusov, who led the
Uzbek delegation to one-day talks in Dushanbe, quali-
fied the signed agreement as an important document re-
solving numerous problems which existed in economic
relations of the two countries.

FBIS-SOV-96-139
18 July 1996

Tajik Vice-Premier Holisdzhan Temirdzhanov also
praised the agreement and said that the fulfillment of
its provisions will make it possible to resolve one of
the painful issues for the republic relating to mutual
settlements with Uzbekistan for natural gas supplies to
Tajikistan and transportation of Uzbek goods via Tajik
territory.

As charges for natural gas remain a headache,
Temirdzhanov and Yunusov signed an agreement
which puts on record the Uzbek side’s promise to
consider the possibility of reducing the natural gas
price in 1996.

Tajikistan: Uzbek Delegation Signs Agreement on
Gas, Cooperation

LD1807112396 Dushanbe Radio Tajikistan Network
in Tajik 0500 GMT 18 Jul 96

(FBIS Translated Text] A delegation of the Republic
of Uzbekistan led by Deputy Prime Minister Rustam
Yunosov paid a one-day visit to Dushanbe yesterday.

The representatives of Uzbekistan had talks with an
Official government delegation of Tajikistan led by
Deputy Prime Minister Holisjon Temurjonov. Topics
relating to future cooperation between the two countries
were discussed during the talks.

An agreement was signed between the governments
of the Republic of Tajikistan and the Republic of
Uzbekistan on further developing economic cooperation
and the price of natural gas.

Deputy Prime Minister Rustam Yunosov, head of
Uzbekistan’s delegation, described the document
signed as one of great importance, which will resolve
problems existing in economic relations between the
two countries. Tajik Deputy Prime Minister Holisjon
Temurjonov praised the agreemeat highly. He said that
implementing it would make it possible to resolve the
issue of the republic's payments to the neighboring
country for gas supplies. As a result, gas supplies ‘or
the national economy and the residents of the Republic
will be improved. That is why the two sides will sign a
further agreement, according to which the Republic of
Uzbekistan will supply gas to Tajikistan in exchange
for transit of gas through the territory of our Republic.

Another agreement will regulate relations between the
sides in using railway and motor transport. The issues of
the movement of freight transport, official vehicles, and
passenger cars of the Republic of Tajikistan through the
territory of the Republic of Uzbekistan to other countries
will be discussed and resolved by | August.

The representatives of the two countries stated that
adjustments will be made to regulations on pricing

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copyrighted material. Copying and dissemination
is prohibited without permission of the copyright owners.

FBIS-SOV-96-139
18 July 1996

policy and transportation of cargoes and passengers, as
well as w uwcrmative documents.

Tajikistan: Government Halts Border Trade With
Afghanistan

LD1707211896 Moscow INTERFAX in English

1623 GMT 17 Jul 96

[From the “Presidential Bulletin" feature)

(FBIS Transcribed Text} The Tajik Governmen: decided
to close all border trading points with Afghanistan.

A statement from the Tajik Government distributed in
Dushanbe says that “fighters of the Tajik opposition are
redeploying fresh forces from Afghanistan's internal re-
gions to the regions bordering Tajikistan." Especially in-
tensive re-deployment was registered in the Badakhshan
area.

“Regular detachments of Afghanistan's Defense Min-
istry which are subordinate to the central authorities,
including detachments of the 29th infantry division and
military transport aviation, are participating in the re-
deployment of Tajik opposition formations, and this
arouses special concern,” the statement says.

Dushanbe views these actions “as a demonstration of
an unfriendly attitude and as an act contra? cting the
agreements existing between the two countries and
good-neighborly relations.”

The Tajik government also “expresses perplexity due to
the position of the Afghan authorities concerning the
aggravation of the situation along the state border and
believes that this position contradicts the status of a
supervisor in which Afghanistan is acting at the inter-
Tajik talks.”

The statement says that the Tajik government "finds
it necessary to reconsider relations with the countries
which render support to the armed formations of the
Opposition in one or another form.”

The Tajik government also retains the right to adopt
“preventive measures, including suppression measures
by using all avaiable forces and means in order to
prevent an escalation of violence and to ensure its own
security.”

At the same time, the statement underlines that “being
sure of a lack of prospects in a coercive solution of the
conflict, the Tajik government confirms its readiness to
adopt constructive measures responding to the spirit of
talks held in Ashgabat.”

The Tajiks leadership attracts much attention to these

talks held under the auspices of the United Nations and
hopes for their fruitfulness, the document says.

CENTRAL ASIA 53

“The work aimed at nearing positions of the parties in
order to restore the cease-fire agreement near Tavildara
as soon as possible” was continued at the talks in
Ashgabat Tuesday [16 July], special envoy of the U.N.
Secretary General Herd Merrem told Interfax. He has
held separate consultations with the delegations of the
opposition and Dushanbe authorities.

As Interfax has learned, as before the opposition del-
egation does not accept the government's proposal to
withdraw to the positions as of January 28, to the line
along the village of Layron and the Ragnov River (about
35-40 kilometers from the positions occupied now).

Deputies heads of the delegations the same day met with
representative of the mission of the International Com-
mittee of Red Cross in Tajikistan Thomas Merkelbach,
the opposition delegation was discussing the place for
exchange with POWs and prisoners during this meeting.
The opposition has proposed to organize the exchange
in Khodzhent (former Leninabad) expiaining this by se-
curity requirements and by the fact that “about 70 to
80 percent of the prisoners of war are people springing
from the Leninabad region.” The government delega-
tion proposes to exchange in Dushanbe referring to the
fact that this city is most acceptable taking into account
expenditures for both parties and for the Red Cross.

Meanwhile, deputy head of the opposition delegation
Mukhammedsharif Khimmatzoda told Interfax that ac-
cording to the information received from Tavildara,
about 50 POWs kept by the opposition forces and about
100 civilians were killed as a result of air raids of the
government aviation on July 9-12. The opposition de-
tachments encircled and destroyed a 18-strong assault
landing force of the government forces on July 14 near
Childara, he said.

Tajikistan’s Foreign Minister Talbak Nazarov who
heads the government delegation, has categorically
refuted this information describing it as “a real desin-
formaiton aimed at aggravating the situation.”

Tajikistan: Statement Assails Afghan Aid for Tajik
Oppositica

LD1607185096 Dushanbe KHOVAR in Russian

1241 GMT 16 Jul 96

("Statement by the Government of the Republic of
Tajikistan”)

(FBIS Translated Text} The government of the Republic
of Tajikistan attributes important significance to the
Tajik negotiations being held in Ashgabat under UN
auspices, and voices its conviction that they will lead to
the positive results expected.

is prohibited without permission of the copyright owners.

CENTRAL ASIA

ing with the Republic of Tajikistan. Formations are ob-
served to be being transferred with particular intensity
in the Badakhshan sector. Furthermore, it is a matter of

concern that regular subunits of the Defense
Ministry of the Islamic State of Afghanistan, subordi-
nate to the central authorities, and including subunits
of the 29th infantry division and military transport air-
craft, are directly involved in transferring Tajik opposi-
tion formations.

The government of the Republic of Tajikistan regards
the involvement of subunits of Afghanistan’s Defense
Ministry in drawing up reinforcements to the Tajik-
Afghan border as a manifestation of unfriendly relations
and as an act contrary to the accords existing between
the two countries, to good-neighborly relations, and also
to the norms of international law.

The government expresses its perplexity at the position
of the authorities of the Islamic State of Afghanistan
in regard to whipping up the situation along the state
border and believes such a position is contrary to the
status of observer, in which capacity the Islamic State
of Afghanistan is attending the Tajik negotiations.

In the emergent situation, the government of the R--
public of Tajikistan finds itself compelled from toc
to close all points of border trade with the Islamic St.
of Afghanistan, and also to review relations with coun-
tries where any degree of support is being given to the
armed formations of the opposition, and where they are
being trained and financed; and it retains the right to
take preventive measures, including measures of sup-
pression, using all forces and means availabie to it, with
the aim of preventing any escalation of violence and of
ensuring its own security.

The government of the Republic of Tajikistan confirms
its own adherence to peaceful means of settling the
problems with the opposition, and would like to express

FBIS-SOV-96-139
18 July 1996

the hope that wisdom will prevail in actions being taken
by the opposition, for the sake of preserving the Tajik
state and ensuring that peace and stability reign on Tajik
soil.

Dushanbe, 16 July 1996

Tajikistan: Rebels Say Russians Involved in Clashes

LD1807110496 (Clandestine) Voice of Free Tajikistan
in Tajik 0600 GMT 18 Jul 96

(FBIS Translated Text] Reports from Sagirdasht [south-
east of Tavildara, central Tajikistan, in the Pamir
foothills) indicate that the Russian Army has been di-
rectly involved in clashes. According to the latest re-
ports, Russians have taken up a position at the highest
point of the Khoburabot pass [east of Sagirdasht, north
of Kalai-Khumb] and are from there carrying out con-
tinuous artillery shelling of inhabited areas.

It seems the regime [Tajik President Emomali
Rakhmanov’s government] wants to step up operations
in Sagirdasht. This is because its efforts have not been
successful in the Karanak [pass separating Tavildara
and Khovaling District in Khatlon Region, southern
Tajikistan} sector, and it wants to strike at the muja-
heddin from another direction.

Witnesses say the regime has been using foreign merce-
naries who are mostly engaged in plundering and abus-
ing people.

As a result of clashes around Childara [7-8 km west of
Tavildara}] 15 soldiers of the regime have been killed.
Since the regime took control over some villages of this
area, the mujaheddin have stepped up their resistance. A
military source of the Islamic Movement of Tajikistan
reports that after every attack by the government forces,
the mujaheddin carry out retaliations and take back
villages out of the [government forces’] control. Three
government soldiers have been killed as a result of a
wide-scale operation in the Karanak pass.

Tajikistan: Recriminations Hindering inter-Tajik
Negotiations

LD1707172196 Moscow ITAR-TASS in English
1358 GMT 17 Jul 96

(By Anna Kurbanova)

(FBIS Transcribed Text} ASHGABAT, July 17 (Itar-
Tass) — Mutual accusations between the Tajik govern-
meat and rebel delegations hamper the negotiations in
Ashgabat. A plenary meeting of the teams was not held
this Wednesday [17 July]. The parties are not ready to
sit at the negotiation table and only keep in touch with
the U.N. special commissioner.

: — : Shred “Qe OF —
as ited without permission of the copyright owners.

FBIS-SOV-96-139
18 July 1996

The no-confidence atmosphere was heated up by Tues-
day’s statement by rebels who accused the

forces of killing more than 50 captives and about 100
civilians in one of the villages of the Tavil-Dara region
in air raids on July 9-12. The government denied the
information.

The delegations are unlikely to hold a plenary meeting
on Thursday either.

Tajikistan: Government Accuses Rebels of
Cease-Fire Violations

LD1707133496 Dushanbe Radio Tajikistan Network
in Tajik 0500 GMT 17 Jul 96

{FBIS Translated Excerpt) Zafar Saydov, press secretary
of the president of Tajikistan, held a news conference for
domestic and foreign correspondents yesterday at which
the stand of the government's negotiating delegation to
the Tajik talks was explained regarding putting an end
to the conflict.

The government of Tajikistan, said Saydov, considers
the Tehran agreement on a temporary cease-fire to
be the most important element in ending the conflict,
but since January of this year, armed groups of the
opposition have repeatedly violated the terms of the
aforementioned agreement. [passage omitted]

It should be mentioned that by dispatching small groups
across the Tajik-Afghan border to the zones of the future
conflicts, recruiting local people to join its groups, and
forcing prisoners of war from the government army
and mercenaries to take part in military operations, the
opposition has been violating the terms of the agreement
since August 1995.

These sorts of actions are aimed at separatism and
will jeopardize the integrity of the state. The military
operations aimed at expanding the area under control,
taking control of populated areas, and blocking the
Dushanbe-Khorog highway both where it runs close
to the border with the Islamic State of Afghanistan
and through Vanch District in the Gornyy Badakhshan
Autonomous Region [eastern Tajikistan], in addition to
the dispatch of men and money to the conflict zone,
in effect nullify the importance of the Tehran cease-
fire and have forced the Government of Tajikistan to
take retaliatory measures. This action by the opposition
has caused a large district to endure a long period
of economic siege. As a result, the government of
the republic has lost the opportunity of sending food
and humanitarian assistance to this area. We regard
all these actions not just as a violation of the Tehran
agreement alone, but we explain them as evidence that
the opposition does not want to settle the conflict by
political means, by means of talks. [passage omitted]

CENTRAL ASIA 5S

Taking into account the aforementioned views, the
government delegation to the Ashgabat talks proposes
that the opposition should move its armed groups back
to the positions they held until 28 January, namely, to
the left bank of the Ragnov river [northeast of Tavil-
Dara town) and the southern sector of Layron village.

1. We believe this step would demonstrate the oppo-
sition side’s recognition of the Tehran agreement and
would be an important means of clearing up the con-
flict by political means and a means of preventing such
violations in future.

2. This step will be a gesture of good will, demonstrating
the opposition’s intention to continue the talks.

3. Mutual trust will thereby be established between the
sides as partners.

The government delegation considers that lack of com-
munication centers and UN military observer posts on
the territory of neighboring Afghanistan gave the armed
groups of the opposition opportunities to cross the state
border without difficulty and to violate the terms of the
Teheran agreement.

It should be mentioned that a joint statement by the
two sides was approved in Moscow on 26 April 1995.
The subject of the monitoring mentioned above was
settled positively there. Unfortunately, this resolution
has not yet been implemented. This is one of the factors
aggravating the present situation.

The government of the Republic of Tajikistan thinks
that until constructive ways and means of preventing
and stopping violation of the Tehran agreements are
identified, it is impossible to believe that the sides will
be faithful to their agreements.

That is why, said Zafar Saydov, the withdrawal of
the armed groups of the opposition to their previous
position, and the identification of ways of preventing
and stopping violations of the permanent cease-fire
agreement, which is to be signed in the course of the
talks, will both strengthen mutual trust and promote as
practical settlement of the conflict.

Taking this into account, and with the aim of ensuring
the security of the population in the conflict area, we
proposed to exchange the maps of mined lands. [passage
omitted}

Tajikistan: Head Rejects Demand To
Withdraw From Tavil-Dara

LD1707083896 (Clandestine) Voice of Free Tajikistan
in Tajik 0300 GMT 17 Jul 96

{FBIS Translated Text) Professor Sayed Abdullo Nuri,
the leader of the Islamic Movement and the united Tajik

is report may contain

is probibieed wit an gen a nm yn ep pegs

56 CENTRAL ASIA

opposition, has rejected the demand of the communist
regime of Dushanbe that the Tajik mojahedin withdraw
from Tavil-Dara district.

Speaking in reply to the demand by the ruling regime's
team at the Ashgabat peace talks, Prof.

Rakhmanov’s regime, which does not want to settle
the problem of Tajikistan by political means, has put
lorward this pointless demand after a week of talks and

more shown its real face to the international

LD1507161996 Moscow INTERFAX in English
1531 GMT 15 Jul 96

(FBIS Transcribed Text] MOSCOW, July 15 (Interfax) -
Only an end to arms supplies to Afghanistan could make
it possible to create pre-conditions for ending combat
actions in the country and make the conflicting sides
begin talks, Islam Karimov, President of Uzbekistan,
told diplomats and journalists in the Uzbek capital of
Tashkent.

The text of the president’s speech was made available
to Interfax.

Karimov said he had already discussed this problem
with Afghan President Borhanoddin Rabbani. He said
the Afghan president had spoken out in favor of “an
embargo concerning all conflicting sides and in favor
of strict control over the embargo’s implementation."

“There is actually no country that would openly oppose
the introduction of an embargo on arms supply to
Afghanistan,” Karimov said.

Karimov praised the initiative put forward by the U.S.
Department of State that “has already put Afghanistan
on the list of countries declared as outside the scope of
international standards regarding arms supplies.”

"Such a decision is equal to the introduction of a
unilateral embargo on arms supplies,” he said.

The Uzbek president said he wanted the embargo issue
to be considered by the U.N. Security Council. “This
move would, like litmus paper, show who really wants
end to confrontation in Afghanistan and
who is just talking about it,” he said.

FBIS-SOV-96-139
18 July 1996

Uzbekistan: Human Rights Body Views Half-Yearly
Results

LD1707211396 Tashkent NARODNOYE SLOVO

in Russian 16 Jul 96 p3

{[FBIS Translated Text]

Knowledge of Rights Will Guarantee Their
Protection

A sitting of the commission observing citizens’ con-
stitutional rights and freedoms under the human rights
commissioner in Parliament has summed up the results
of work carried out in the first half of the year.

The range of issues on the agenda and the detailed
reports from members of the commission shows how
important the measures carried out over the recent
period are. Over the recent period alone, Uzbekistan has
joined 20 international conventions linked with human
rights in one way or another. In a short period of
time, we have not only had to thoroughly examine
basic documents adopted in the world community
in light of existing laws in the Republic, but also
to introduce our proposals for their ratification to
committees of the supreme power and oversee their

general implementation.

In particular, much work has been carried out by
members of the commission to fulfil the international
pact on civil and political rights dated 16 December
1966, the convention against torture and other cruel,
inhuman or humiliating treatment or punishment of 10
December 1994, as well as the international pact on
economic, social, and cultural rights of 16 December
1966.

You see, most citizens’ appeals to the human rights
commissioner have to do with the law enforcement and
judicial bodies, labor disputes, and housing problems.
To ensure strict observance of civil rights and freedoms,
an efficient mechanism for observing execution of laws
is needed. This can be developed with the participation
of all sides concerned. However, the commission has
received vague replies to its queries from the ministries
it approached. They have said that their departments
have acquainted themselves with the regulations of the
said conventions and pacts and are trying to follow
them. Only the republic’s prosecutor's office it seems
has admitted cases of illegal arrests, custody, or trial, but
has said that every case has been considered and those
guilty dismissed from the law enforcement bodies.

However, there is some discrepancy between the op-
timistic assurances of certain responsible officials that
they are carrying out their duties strictly and the flood of
complaints addressed to the human rights commissioner

report may contain

is prohibited without permission of the copyright owners.

$7

basic competence, which means the state funds spent
on checking endless complaints are wasted.

freedoms under the human rights commissioner in
parliament is now responsible for the issue of legal
culture in the republic. With this in view, seminars
with the participation of the United Nations are being
planned to clarify the rules of international conventions
aimed at protecting citizens’ interests, and to comment
on existing laws in our republic. The topic of the first
one, planned for September this year, is quite relevant.
It will be held under the title: "Knowledge of rights will
guarantee their protection.”

E capert aay ined gape pe
1s prohibited without permission of the copynght owners.

CAUCASUS

Armenia

Armenia: Ter-Petrosyan Outlines Priorities for
Coming Period

LD1707211596 Moscow INTERFAX in English
1623 GMT 17 Jul 96

{From the “Presidential Bulletin” feature)

{FBIS Transcribed Text) President Levon Ter
says if re-elected, his main priority will be to maintain
internal peace and stability in the next five years.

“Peace and stability will by all means yield good
fruit regardless of who becomes president in 2000,”
Petrosyan told a congress of the influential women’s
group, Shamiram, backing his candidacy, in Yerevan
on Wednesday [17 July).

The country’s presidential poll is due on September 22.

IF Note’ /etrosyan will seek re-election as a presidential
candidate of the ruling Pan-Armenian Movement party.
He is also supported by the Republicans, Christian
Democrats, Social Democrats and Liberal Democrats as
well as Agrarians and the Union of Industrialists and
Entrepreneurs.

Petrosyan made it clear that unlike others, he was not
laying excessive hopes on presidential elections. He
expressed wishes that the poll would be held as routine
business and in the event of any changeover, there was
a change for the better.

“The role of presidents is to come down in history text-
books and become ordinary elements of life afterwards,”
he said jestingly and added that he wished that the pres-
idential poll would not become an historic event.

Although the president agreed that widespread expecta-
tions were laid on him because of the transition period
in the country’s life.

But he warned the nation against seeking a savior.
Petrosyan said there were powerful kings and warriors

in the Armenian history, but each of them play his own
role as best as he could.

He considers Mesrop Mashtoz, the founder of Armenian
literature, to be the only savior of Armenia.

Petrosyan said as president, he had never claimed for
the role of miracle maker, dut held out of not
repeating the mistakes he made in the past if re-elected.

But he also promised no sudden changes in the country's
life.

The president outlined several main tasks still to be re-
solved, including Karabakh as well as welfare, educa-

FBIS-SOV-96-139
18 July 1996

tion and cultural areas. He is hopeful that a solution to
the Karabakh problem could help resolve other issues.

Petrosyan called for the development of Armenia as a
state and consolidating its independence.

"The Armenians have not yet become a full master of
their entire territory,” he said adding that this was an
overriding priority for this generation.

"No one can call Armenia as not being a serious
country,” ee oe
achievements of an independent Armenia

ih dete: ot inhi at 0s Geld teses'et Aemeinn
independence, he said, the country has been saved the
trouble of famine, epidemics and civil war, but these
lie ahead unless the Armenians become master of their
own land.

Armenia: Prime Minister Signs Decree on Return
of Emigres

NC1707163296 Yerevan NOYAN TAPAN in English
1317 GMT 17 Jul 96

{(FBIS Transcribed Text] Yerevan, July 17 (Noyan
Tapan) — Armenia's Prime Minister Grant Bagratyan
signed a decree regarding return of Armenian citizens
who migrated from Armenia to distant abroad in 1992-
1994 and who have no means to pay costs to return to
Armenia.

Following the decree, special commissions will be set
up with the Armenian diplomatic missions abroad. The
commissions will be headed by Ambassadors, who
will determine the number of citizens who decided to
return to Armenia. All travel costs will be covered
out of missions’ budgets. The costs will be further
compensated for out of the state reserve fund.

Armenia: Azerbaijanis Reportedly Shell Positions
16 Jul

NC1707120696 Yerevan SNARK in English

1140 GMT 17 Jul 96

{FBIS Transcribed Text) Yerevan, July 17 (SNARK)—
Another incident was recorded on the July 16 evening
along the north-eastern area of the Armeno-Azeri bor-
der.

The Press Office of the Armenian Defense Ministry
informed SNARK that for two hours the Azeris shelled
the defense positions of the villages of Chambarak and
Vahan, Gegharqunik region. There were no records on
casualties. The Armenian Armed Units compelled the
enemy to stop firing.

Other incidents along Armenia's border with Azerbaijan
were not recorded.

38 report may contain

in peckibted whee permtacion of he cuppight swewrs

18 July 1996

Georgia

Georgia: Shevardnadze Meets With Russians on
Transcaucasus Highway
MK1707140596 Moscow NEZAVISIMAYA GAZETA
in Russian 17 Jul 96 p 3

[NEGA report]

(FBIS Translated Text) Georgia President Eduard She
vardnadze met with Academician Anatoliy Savin, gen-
eral director of the Russian Federation Defense Commit-
tee “Kometa” association; and Professor Mikhail Zak-
son, chairman of the "Kosmos-5" international associa-
tion board of directors and “Kometa” association chief
consultant. Aspects of the creation and running of a
"Zertkalo KS" space communication technological sys-
tem for the Transcaucasus highway were discussed in
the course of the meeting. Russia and Georgia offer their
services in modern communications systems for
Black Sea countries and states interested in using the
Eurasian corridor infrastructure in the future. Under the
project proposed by Anatoliy Savin and Mikhail Zakson,
and in accordance with a plan drawn up by Georgia's
Ministry of Transport, Russian and Georgian specialists
are getting ready to start on the construction of a switch
for the Eurasian transport corridor united control facil-
ity that would guarantee smooth communication with
all vehicles inside this corridor.

Georgia: Shevardnadze Comments on New Russian
Defense Minister

LD1807115096 Moscow INTERFAX in English
1107 GMT 18 Jul 96

[FBIS Transcribed Text] TBILISI, July 18 (Interfax) —
Generals fulfill the orders of the supreme authorities
— that is how it was in Afghanistan and how it was in
Tbilisi, Georgian President Eduard Shevardnadze said at
a session of the country’s Security Council on Thursday
[18 July) when asked to comment on the appointment of
Col. Gea. Igor Rodionov as Russian defense minister.

Rodionov was commander of the Transcaucasian Mil-
itary District during the disbandment of a meeting by
Soviet forces in Tbilisi on April 9, 1989, an operation
which led to civilian deaths and injuries.

“Those who adopt decisions rs issue orders must
face the trial of history,” presidential press secretary
Vakhtang Abashidze quoted Sheverdnadze as saying.
Rodionov “must support the course for which Russians
voted on July 3,” he said.

CAUCASUS 59

Georgia: Official—New Russian Defense Chief Not
To Change Relations

LD1807082796 Moscow INTERFAX in English
0737 GMT 18 Jul 96

(FBIS Transcribed Text) TBILISI, July 18 (Interfax) —
The appointment of Col. Gen. Igor Rodionov as Russian
defense minister will not change relations between Rus-
sia and Georgia, Chairman of the tary Foreign
Relations Committee Kakha Chitaya told journalists in
Tilisi.

The appointment “cannot influence Russian-Georgian
relations because the national interests of the two
countries enjoy priority,” he said.

"It is psychologically difficult to comprehend the ap-
pointment of Rodionov, who commanded the operation
to disband a meeting near the House of Government
{in Tbilisi) when he was commander of the Transcau-
casian military district,” said Chitaya, a participant of
the April 9, 1989, events in Tbilisi, when Georgian
protesters were disbanded with the use of force by Rus-
sian troops, leading to deaths and injuries. However, he
said, “Rodionov was fulfilling the order of the supreme
Kremlin leadership.”

Georgia: Tbilisi Not To Demand Extension of
Peacekeepers’ Mandate

LD1807122496 Moscow INTERFAX in English
1119 GMT 18 Jul 96

(FBIS Transcribed Text) TBILISI, July 18 (Interfax) —
Georgia will not demand today that the mandate of the
CIS joint peacekeeping forces be extended, Vakhtang
Abashidze, Georgian presidential press spokesman, told
Interfax on Thursday [18 July).

This decision was made by the Georgian Security
Council on July 18, he said.

The mandate of the CIS peacekeepers in the zone of the
Georgian-Abkhazian conflict expires on July 19.

However, if Georgia’s demand that the peacekeepers’
powers be changed is met, Georgia will raise this issue
at the CIS summit planned for August 19, he said.

The Georgian Security Council determined four points
that need to be taken into particular consideration during
the consultations on Abkhazian settlement that are now
under way in Moscow, Abashidze told a briefing in
Tbilisi on Thursday.

is report may contain

copyrighted material. Copying and dissemination
is prohibited without permission of the copyright owners.

FBIS-SOV-96-139
ci) CAUCASUS 18 July 1996

These points include expanding the peacekeeping op- i of the peacekeeping forces will be finally
eration throughout entire Abkhazia, ensuring the safe _— clarified after the talks in Moscow are completed,
return of refugees home by creating special outposts said, adding that the talks might last for
of peacekeepers, ensuring the security of U.N. military two days.

observers in the same fashion, and clearing mines and

destroying fortifications in Abkhazia.

. may ? Shied “genta
is prohibited without permission of the copynght owners.

ae Government publication produced by the Foreign Broadcast
information Service (FBIS). Its contents in no way represent the policies,
views, or attitudes of the U.S. Government.

FBIS collects, translates, disseminates, and analyzes foreign open-source
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