Cyprus News Agency: News in English, 96-09-10

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From: "HR-Net News Distribution Manager" <dist@hri.org>

CONTENTS

[01] US urges parties to avoid escalation

[02] So-called minister identified as killer of Greek Cypriot youth

[03] Cyprus Airways - Alitalia sign code sharing agreement

[04] Ciller arrives in occupied Cyprus

[05] Cyprus reveals Turkish killers

[06] Cyprus reveals Turkish Killers

[07] US fully backs c0-existence in Cyprus

[08] Cyprus Stock Exchange

[09] UN seeks meeting and statement from the two leaders

[10] Cyprus appeals to Turkish side to avoid acts increasing tension

[11] Bank of Cyprus Group increases its capital

0850:CYPPRESS:01

[01] US urges parties to avoid escalation

US State Department spokesman Nicholas Burns said ''we hope it does not lead to an escalation of the emotion and differences on the island itself between the Turkish population and Greek population''.

A Turkish soldier of Kurdish origin was found dead and a second was found seriously wounded at a Turkish observation post, on the demarcation line, close to the British base area of Ayios Nikolaos, on Sunday morning.

Referring to the incident, Burns said ''the facts of the killing are not yet clear. We understand the sovereign-base police are conducting an investigation because, as you know, the British have bases. One base has close proximity to the place of the incident''.

The Spokesman urged both communities on the island to cooperate with the British and conduct investigations by themselves.

''The United States urges both communities on Cyprus to cooperate fully with the British investigation and also to investigate the incident themselves thoroughly. If they uncover evidence leading to the perpetrators of the killing, those people should be prosecuted to the full extent of the law''.

Burns called upon the parties to withhold comments which can provoke tension on the island. ''Until the investigations are completed, we call upon all concerned to withhold comment - public comment - to avoid provocative behaviour in Cyprus''.

The State Department official said the United States deplores the killing. ''It deplores this killing which we believe can only obstruct efforts to find the kind of solution to the Cyprus problem that must be found.''

Burns concluded appealing to all sides to take measures in order to avoid any further incidence. ''We urge both sides to take all necessary measures to avoid further incidents and to restore calm to the situation.'' CNA/DA/GP/1996

ENDS, CYPRUS NEWS AGENCY

1100:CYPPRESS:02

[02] So-called minister identified as killer of Greek Cypriot youth

The Cyprus Broadcasting Corporation (CyBC) television reported last night that Kenan Akin, so-called agriculture minister of the illegal Turkish occupation regime, has been identified as one of the killers.

Akin is seen in pictures standing on a balcony overlooking the flagpole, on which Solomou had climbed shortly before he was gunned down, holding a pistol with both hands and aiming at the Greek Cypriot youth.

The killer was shown on Turkish television on Sunday outside a hospital in the Turkish-occupied town of Famagusta, wearing the same tee shirt as the killer wore the day of the brutal murder of the Greek Cypriot youth.

Yesterday, the Turkish Cypriot newspaper ''Kibris'' printed a picture showing Akin and self-styled Prime Minister Dervis Eroglu, outside the same hospital.

Confirmation of Akin's involvement in the murder has also been given to ''Reuters'' by government sources that did not wish to be named.

''We have such information in our possession'', said the source, and noted the existence of photographic evidence to substantiate the claim.

The government, according to the same source, has had this information for some days now and added that it will be conveyed to the Republic's Attorney General Alecos Markides.

Akin, a Turkish settler, was an officer of the Turkish army during the 1974 invasion of Cyprus and was later employed by the Turkish Intelligence Service (MIT). He has recently became so-called agriculture minister of the secessionist state.

Solomos Solomou, 26, was shot dead on August 14 while he was climbing up a flagpole intending to tear down the Turkish flag.

The incident happened during a peaceful anti-occupation demonstration on the day of the funeral of 24-year-old Tasos Isaac, battered to death three days earlier by Turkish extremists, members of the ultra-nationalist Islamic organisation ''Grey Wolves'', during a demonstration in the UN-controlled buffer zone in Dherynia.

Turkish troops have been occupying 37 per cent of Cyprus territory since 1974, in violation of repeated UN resolutions calling for their withdrawal.

CNA MCH/GP/1996

ENDS, CYPRUS NEWS AGENCY

1130:CYPPRESS:03

[03] Cyprus Airways - Alitalia sign code sharing agreement

The agreement was signed yesterday in Rome by CY Regional Manager for Greece, South and Central Europe, George Demetriou and Alitalia's Route Manager for Europe, Middle East and North Africa, Giancarlo Zeni.

It provides for the two carriers to internationally market each other's capacity on the Larnaca - Rome route, with a full schedule and passenger service coordination.

Demetriou described the agreement, effective end of October, as ''the beginning of a new period'' and said ''it will create better conditions'' for both Cyprus' national carrier and tourism.

In a statement to CNA the Chairman of the CY Board of Directors, Vassilis Rologis, noted ''it is a new and important agreement within the framework of the company's policy to conclude alliances and cooperate with other national carriers, in a bid to offer better services to passengers and reinforce CY's position''.

Rologis added similar agreements will be concluded with other airline companies soon.

Demetriou said the number of passengers carried on the Larnaca - Rome route has increased due to the company's long term efforts and the opening of the Cyprus Airways Rome office in 1992. He added a further increase is expected.

According to official figures, in 1993 CY carried 12.200 passengers, while in 1994 passengers increased to 14.200 and to 14.700 in 1995. A further increase of 17,7% is expected in 1996, bringing the number to 17.300.

Speaking to Cypriot journalists, Demetriou noted that through the agreement ''Italy's national carrier will become interested in the Larnaca - Rome route'' and will increase scheduled flights from one to two in winter. An additional two flights will be carried out during the summer season.

The Cyprus Airways Regional Manager said the agreement will facilitate the transportation of passengers on the two companies' networks.

''Italy is a large country and we hope that with coordinated efforts this route will develop'', Demetriou said.

He noted tourism from Switzerland and Germany to Cyprus increased after scheduled flights were introduced.

CNA MA/GP/1996

ENDS, CYPRUS NEWS AGENCY

1325:CYPPRESS:04

[04] Ciller arrives in occupied Cyprus

Soon after her arrival at the illegal Tympou (Ercan) airport, Ciller expressed Turkey's full support to the Turkish Cypriot community.

She was scheduled to give a press conference at the airport before travelling to the Turkish-occupied northern part of Nicosia to meet Turkish Cypriot leader Rauf Denktash.

Ciller is accompanied by a nine-member delegation, which includes the Turkish Ministers of Education and Energy and Deputy Foreign Minister Inal Batu.

The Turkish Foreign Minister was due to attend the funeral in Nicosia of Allahverdi Kilic, a soldier of the Turkish occupation army, who was found murdered on Sunday morning, in an observation post, on the demarcation line, opposite the British sovereign base area of Ayios Nikolaos, southeast of the capital Nicosia.

There are no National Guard soldiers or UN peacekeepers in the area since the territory belongs to the British sovereign base area.

The London Greek Radio (LGR) revealed yesterday that the dead soldier was not a Turkish Cypriot as claimed but a Kurd, who was serving with the Turkish occupation army.

The revelation was made by a man, who claimed he was a cousin of the murdered soldier.

The man, whose name was not revealed, told LGR in broken English that Kilic and the other soldier, who was seriously wounded, were Kurds, who had objected to Turkey's intention to set up a security zone in Northern Iraq.

The caller said the families of the two had been taken to the occupied part of Cyprus, soon after the 1974 Turkish invasion and occupation of 37 per cent of this east Mediterranean island's territory, as part of Ankara's designs to change Cyprus' demographic character.

The caller told LGR that the attack was carried out by the Turkish military.

The Turks had accused the Greek Cypriot side of being responsible for the incident.

The governments of Cyprus and Greece have turned down the Turkish allegations and fired back saying that the incident was a ''pre-planned provocative act'' aimed to mislead the world public opinion, following the international outcry against the brutal murders of two unarmed Greek Cypriot youths by Turkish troops and extremists, during peaceful anti-occupation demonstrations, in the UN-controlled buffer zone, in Dherynia, last month.

Meanwhile, there is evidence that the two soldiers were not shot in the place where they were found.

Greek Cypriots, who live at Brysoulles area, within the British base area, had seen a Turkish military vehicle speeding into the Turkish-occupied northern part of the island. The Turkish military post is only accessible from the northern side.

Although the Turks had said the dead soldier received twelve bullets and the injured ten bullets, only eleven cartridge cases were found in the stairs of the observation post. British investigators found only a couple of blood stains in the area.

Experts suggest that the Turks had shot the two soldiers at another place and took them to the demarcation line to blame the Greek Cypriots for the killing.

Meanwhile, UN Secretary-General's spokesperson Sylvana Foa expressed Boutros Boutros-Ghali's concern over the shooting incident.

''This is clearly a serious incident which needs to be fully investigated by the authorities concerned,'' she said.

The spokesperson added that the Secretary-General had asked his Deputy Representative in Cyprus Gustave Feissel to be in touch with the two sides in the island, ''with a view to preventing any action that could raise tension between them''.

Ciller's arrival in the Turkish-occupied territory today coincided with the arrival in Cyprus this afternoon of UN Secretary-General's Special Representative on Cyprus Han Sung Joo, for talks with the two sides.

Tomorrow, Han is scheduled to meet President Glafcos Clerides in the free areas and Rauf Denktash in the occupied areas. Similar meetings with take place on Friday.

During his stay, the former South Korean Foreign Minister will have a series of meetings with the ambassadors of the five permanent members of the UN Security Council and the ambassadors of the European Union member-states as well as with political party leaders.

He will leave on Monday for talks in Greece and Turkey before flying on to New York.

CNA GP/1996

ENDS, CYPRUS NEWS AGENCY

1440:CYPPRESS:06

[05] URGENT Cyprus reveals Turkish killers

They are Kenan Akin, from Turkey, so-called minister of agriculture, forests and energy of the illegal occupation regime, and Erdal Emanet, from Turkey, commander of the regime's special forces. More later

CNA GP/1996

ENDS, CYPRUS NEWS AGENCY

1545:CYPPRESS:06

[06] Cyprus reveals Turkish killers

They are Kenan Akin, from Turkey, the so-called minister of agriculture, forests and energy of the illegal occupation regime, and Erdal Emanet, from Turkey, the commander of the regime's special forces.

Government Spokesman Yiannakis Cassoulides said investigations into the identities of the other killers, who were seen live on Cyprus television channels to open fire at Solomou continue.

The Spokesman said the identities of the two killers confirmed that the perpetrators were not Cypriots but from Turkey.

''This confirms our firm position that our conflict is not with the Turkish Cypriots,'' Cassoulides said.

He added ''whatever developments we have... the fervent desire of the Cyprus government and the Cyprus people, as a whole, is to find a peaceful political solution to the Cyprus problem.''

The Cypriot official stressed that the need for a political settlement, reconciliation between the two communities (Greek and Turkish Cypriot) and peace on the island, ''remains the corner stone of our policy''.

Presenting pictures to the journalists showing Akin aiming at Solomou with his pistol from a balcony overlooking the scene where Solomou was murdered, Cassoulides said there is no doubt that Akin was involved in the murder.

Standing on the same balcony were the then Commander of the Turkish occupation forces, Lieutenant General Hassan Kundaci, the Commander of the 28th division of the occupation army, Major General Mehmet Karli, and the Chief of the so-called Turkish Cypriot police Attila Saab.

Cassoulides said Akin was born in Adana, Turkey, on January 20, 1953. In 1974 he took part in the Turkish invasion of Cyprus.

Since then he settled in the Turkish-occupied areas. He became a so-called deputy of the Turkish settlers' ''Rebirth Party''.

In 1991 he was elected general secretary of the party. Later his party was merged with the Democratic Party, which is headed today by Denktash's son Serdar.

A few days after the murder of the Greek Cypriot youth, Akin was appointed so-called minister of agriculture, forests and energy of the Turkish occupation regime, which is recognised only by Turkey.

In 1986, Akin attacked a so-called policeman and in 1987 a Turkish Cypriot lawyer. While in the illegal assembly, he attacked the New Cyprus party leader Albay Durduran.

CNA GP/1996

ENDS, CYPRUS NEWS AGENCY

1630:CYPPRESS:07

[07] US fully backs co-existence in Cyprus

He was speaking after a lunch hosted by the community leaders of Pyla, Greek Cypriot Christakis Antoniou and Turkish Cypriot Ahmet Suleiman.

In statements, Brill said ''the message of my visit to Pyla is that Pyla stands as an example of bicommunal harmony. My government strongly supports the idea of bicommunal harmony, of bringing the two communities together, not just at Pyla but across the border in Cyprus.''

Brill said the US strongly opposes ''those who create problems to the two communities'' and noted that the US stands against extremism and those who ferment difficulties between the communities.

''The future of Cyprus lies in bringing the communities together, producing this element that will not only help the communities to live together but to prosper. That is what we stand for and that is what we intend to work for'', the US diplomat added.

Cyprus has been divided since 1974 when Turkish troops invaded and occupied 37 per cent of its territory.

CNA EC/GP/1996

ENDS, CYPRUS NEWS AGENCY

1760:CYPPRESS:08

[08] Cyprus Stock Exchange

CSE All Share Index                    86.66 (+0.07)
Sectural Indices
Banks                                  93.51 (+0.48)
Approved Investment Companies          77.63 (-1.52)
Insurance Companies                    66.14 (+0.96)
Industrial Companies                   85.31 (-0.86)
Tourist Industries                     78.50 (-0.54)
Commercial Companies                   70.94 (-1.46)
Other Companies                        85.69 (-0.45)
Trading Volume                         CYP 539571.249

* The difference in brackets represents the percentage increase (+) or decrease (-) of the index from the previous stock exchange meeting.

CNA GP/1996

ENDS, CYPRUS NEWS AGENCY

1920 CYPPRESS:09

[09] UN seeks meeting and statement from the two leaders

Secretary-General's Special Representative on Cyprus, Han Sung Joo arriving on the island this afternoon said he will try to get separate statements from both leaders on the recent events.

In statements at Larnaca Airport, Han said ''it is important that a meeting of the leaders to take place and that such a meeting will have meaningful results.''

However, he acknowledged that such a meeting right now ''seems difficult but we will try to work for that''.

Han's arrival coincided with the arrival of Turkish Foreign Minister Tansu Ciller who attended the funeral of a Kurdish origin soldier of the Turkish occupation army who was found dead in an observation post near Ayios Nicolaos British Base on Sunday morning.

The Turks had accused the Greek Cypriot side of bring responsible for the incident.

However the governments of Cyprus and Greece have turned down the Turkish allegations and fired back saying that the incident was a ''pre-planned provocative act'' aimed to mislead the world public opinion, following the international outcry against the brutal murders of two Greek Cypriot youths by Turkish troops and extremists, during peaceful anti-occupation demonstrations in the Dherynia UN-controlled buffer zone, last month.

Han said unfortunate events did happen during the past few weeks. He added he ''will be assessing the implications and impact of all these for a solution we are seeking.''

He added that during his stay here ''I will be meeting the leaders of both communities to find a way of defusing the tension and finding a way of making these unfortunate events not to become a serious obstacle in our search for a solution.''

Furthermore, he said he ''will continue the search for a solution to the Cyprus problem''.

Asked if he believes the past events have become a serious obstacle to the UN scope, Han replied ''yes I think so, and that is why I think we have to make up for it, to overcome them and I think it is necessary for both sides to take measures so that we can overcome these events for such a solution.''

UN envoy said one of the objectives is first for the events not to escalate, and that the tension is reduced by the efforts of the leaders of the communities but also by the residents of both communities.

Asked what kind of measures he proposes, he replied ''one would be to have a statement that both leaders can agree to issue.''

He noted ''certainly a common statement would be preferable but if that turns to be impossible, then a separate statement would be preferable than no statement at all.''

The UN envoy stressed they are ''not talking simply about one statement but about perhaps a series of actions and measures that would lead to such a statement or statements.''

Han could not verify revelations made during a state television report that one of the murderers of the second Greek Cypriot, Solomos Solomou, killed during last month's events, is Kenan Akin, from Turkey, the so called minister of agriculture of the pseudo regime in the Turkish occupied north.

Earlier today, the revelation was confirmed by the Cyprus government. Another Turk, Erdal Emanet, the commander of the regime's special forces, was also named as the second killer of Solomou.

UN official said he will be discussing this issue with both communities.

Tomorrow, Han will meet President Clerides, in the free areas and Denktash in the occupied north. Similar meetings will take place on Friday.

The former South Korean Foreign Minister will have a series of meetings with the Ambassadors of the five permanent members of the UN Security Council and the Ambassadors of the European Union member-states, as well as with political party leaders.

He will leave on Monday for talks in Athens and then Ankara before flying to New York to report to the UN Secretary-General.

Earlier today, the UN resident representative Gustave Feissel said after a meeting with President Clerides that the leaders of the two communities should give the appropriate message in order to defuse tension.

He described as ''tragic developments'' the recent events on the island stressing that they should not continue.

''The message that must prevail in Cyprus is that the two communities can live together and can cooperate and deal with each in a harmonious way,'' Feissel noted.

Furthermore, he said it is ''very important that the two communities make it very clear that the things we have seen here in the recent past does not reflect the sentiments of the two communities.''

CNA EC/AP/1996

ENDS, CYPRUS NEWS AGENCY

2020:CYPPRESS:10

[10] Cyprus appeals to Turkish side to avoid acts increasing tension

Speaking at his daily press briefing, Government Spokesman Yiannakis Cassoulides called on Turkish Cypriot leader Rauf Denktash and Turkish Foreign Minister Tansu Ciller to ''avoid actions and statements which would increase tension''.

The Spokesman pledged the government is determined to ''fight tension in every possible way''.

Cassoulides also told the press that President Glafcos Clerides will reply to Denktash's statements but he did not elaborate.

The Spokesman said that thorough investigations have proved, beyond any doubt, that the soldier killed and the other wounded during Sunday's incident near the Ayios Nicolaos British Base area are both Kurds, whose families settled in the occupied part after the turkish invasion of 1974.

Although he repeated that neither the Greek Cypriot nor the National Guard were involved in the incident, he clarified that if scientific analysis of the evidence show any indications of Greek Cypriots being involved, ''we are committed, as a responsible state, to carry out a thorough investigation.''

However the Spokesman did not rule out the possibility of the incident being an act of Turkish ''agent provocateurs'' and reminded Denktash's confession that Turkish provocative acts had occurred in the past.

He quoted the Turkish Cypriot leader speaking during a television documentary entitled ''Cyprus: Britain's grim legacy'', shown in Britain in 1985 by ITV television channel.

In the interview, Denktash had talked about an explosion at the Information Bureau of the Turkish Consulate in Nicosia. The occupation leader had confessed that a friend of his had planted the bomb which signalled the start of clashes between Turkish Cypriots and Greek Cypriots after the former blamed the Greek Cypriot side.

''Later, one friend of mine, whose name must still be kept a secret, was to confess to me that he had put this little bomb in their doorway, in order to create an atmosphere of tension so that people would know that Turkish Cypriots mattered,'' Denktash was quoted as saying.

Commenting on the first international reaction on Sunday's incident Cassoulides described it as ''cautious'' and noted that the incident is being condemned, without blaming either side. It is reasonable, he added, for the international community ''to call on both sides to avoid actions which lead to tension''.

CNA AP/EC/1996

ENDS, CYPRUS NEWS AGENCY

2040:CYPPRESS:11

[11] Bank of Cyprus Group increases its capital

During the first six months of 1996, BoC Group continued its growth with a satisfactory increase in both operating and net profit, Group Chairman Solon Triantafyllides told a press conference.

Operating profit for the first six months of 1996 reached 17.8 million Cyprus pounds (CYP) (around 35 million US dollars - 1 CYP equals to two USD), compared to CYP 11.5 m. in 1995.

Group profit attributable to the shareholders, after deducting taxes, amounted to CYP 8.9 m. compared to CYP 7.9 m. for the first half of 1995, an increase of 12%.

Triantafyllides described these results "satisfactory", taking into account the problems that Cyprus economy is facing, particularly in the tourism sector.

Furthermore, the BoC Board of Directors announced today that the group proposes to proceed with an offering of up to CYP50 million Subordinated Convertible Bonds, to be issued by BoC late October.

For the first time, BoC chairman noted, the proposed offering will be directed primarily to international investors, reserving at least CYP10 million of securities to be offered to local investors, with a priority to be given to existing shareholders.

This is the first time that an international bond in Cyprus pounds will be issued by a Cypriot issuer.

Triantafyllides also explained that BoC's second step to proposed capital raising program is to make CYP25 million rights issue on or after May 1, 1997.

The proceeds of the capital raising program will be used to strengthen the Groups's capital adequacy ratios and to underpin the development of the Bank, he said. CNA KN/AP

ENDS, CYPRUS NEWS AGENCY

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