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NEWS REVIEW
September 5, 1996

The confrontation between the Spanish government and the PSOE party on the subject of the 721.169 million pesetas that, according to the executive power, was unaccounted for by the Socialist Government, scaled to a major proportion yesterday at a debate in the parliament. Mr. Fernando Lopez- Amor, PP representative, affirmed that the management of the budget by the previous government was so bad, that if the state were handled as a private corporation, the government of the PSOE would be facing criminal charges today. Jose Borrell, former minister of the PSOE, accused the present government of manipulating the current public accounts to justify measures that are extremely unpopular, such as the subject of paying for medical prescriptions, “thus paving the way to obtain the money presently owed to Jordi Pujol”.

Spain´s President, Jose Maria Aznar, stated that he will make the decision on the fate of the deported members of the terrorist group ETA at the proper time. He did not want to specify if he will insist on the extradition requests for the deported members of the terrorist group deported by the government of Santo Domingo. Aznar, who conferred with his Dominican colleague, Mr. Leonel Fernandez, said that he hopes that the executive government of this country will comply with the international law, but he also affirmed that the government of Spain will decide on the trial of the terrorists in the frame of a global strategy against terrorism.

Eleven Judges in the Second Court of the Supreme Court will meet tomorrow, to decide if they will be allowed to subpoena Felipe Gonzalez, former President of the Government, to testify in the GAL case. If they are successful, it’s still doubtful if Gonzalez will be called to testify as a defendant or as a witness. The tight secrecy around the criteria that each of them is going to use is surrounding the results of the meeting with uncertainty, especially due to the legality matter that has to be resolved before the court can make its decision today. The decision could also be postponed, if any of the judge’s jurisdiction is challenged or any of them abstain from the vote, a situation that had not arisen until yesterday.

Anti-riot police of the autonomous Basque region cleared a group of demonstrators of the Herri Batasuna or “batasunos” group, who wanted to disrupt a demonstration against violence organised by the Mayor of Hernani to show the repulse of the citizens towards the barbaric acts of the terrorists. The group set a bank on fire last Saturday with injuries to four old people reported.

Angel Yuste, general director of correctional services, rejected yesterday the demand from the PNV to design a plan that will provide for the inclusion of all the prisoners from ETA in the Basque country. He expressed that it’s important to consider that “legality has to be applied to all situations, in consequence, every case has to be judged on an individual basis and cannot be given a global solution”.

The members of the National Council of the Herri Batasuna organisation have informed the Second Court of the Supreme Court that they have decided not to respond to the summons issued on July 17 by Judge Jose Manual Martinez Pereda in connection with an alleged collaboration with an armed group which broadcasted a video from ETA during the last electoral campaign for the general elections of March 3, 1996.

Eduardo Serra, Minister of Defence and the first member of the new government to visit the capital of the United States, stated yesterday that he was “extraordinarily satisfied” for the support of the Pentagon on the professionalism of the armed forces in Spain. Serra also met with William Perry, in which they analysed the future role of Spain in NATO and the Bosnian conflict.

The International Jury in charge of the adjudication of works for the additions to El Prado have begun their deliberations in the international contest of architectural designs for the extension of the museum. The jury has started the deliberations at the Conde Duque Cultural Centre. The ten project finalists submitted blueprints, pictures and maquettes of the Prado as it will be seen in the XXI Century. A decision is expected tomorrow, when the name of the winning architect will be announced.

The Jury that will elect the winner of the Prince of Asturias International Co-operation prize will start their deliberations tomorrow. This prize is the sixth of the eight prizes awarded by the Prince of Asturias Foundation, and consists of an amount of 5 million pesetas. There are thirty three candidates presented by twenty one countries world-wide. The prizes are considered second in importance to the prestigious Nobel Peace Prize.

Jose Maria Vazquez Quintana, secretary of the Department of Communications, is assuming responsibility to design the audio-visual Spain for the digital era. Amongst many other hi-tech advance, the Spain of the future will bring into our homes 500 television channels. The communication field has never been more open, the technology has never been more active and the money invested has never been more restless than today.

The Partido Popular, the majority shareholder of the Administrative Council of the Caja de Madrid, reached an agreement with IU (United Left), the CC.OO., the CIC and other independent groups, to replace Jaime Terceiro by Miguel Blesa as new president of the organisation. Mr. Blesa will take over at the end of the extraordinary general meeting of the group, which will be held before next Wednesday, September 11. The replacement of Terceiro by Blesa in the Caja de Madrid is the end of a three month “presidential crisis”. The organisation is expected to be back to normal after the changing of guard.

Juan Costa, Secretary to the Inland Revenue Department, stated yesterday that he is in favour of a global reform to the taxing of different types of insurance, in line with improvement of a direct taxing and harmonisation with the European rate. However, these improvements go hand in hand with an increase on the indirect rates applicable to insurance deductibles, similar to the ones already in place in other members European Union member countries.

Labour minister, Javier Arenas, affirmed yesterday that during this legislative period, the government will enforce reform of the job market, although hoping that the social agencies will establish the method to do so. Arenas indicated that only if the social dialogue between unions and employers fails, will the government take the initiative, by applying a document based on actual research to correct the existing maladjustment.

The document delivered by the government to other political parties regarding the development of the Pact of Toledo and its impact on the Social Protection System accounts, includes among other innovative issues, different computations to make the last years of active working life more profitable and also some measures to discourage the early pension plans.