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Subject:      RFE/RL Daily Report 23 DEC, 1992

The RFE/RL Daily Report is a digest of the latest developments
in the former Soviet Union and Eastern Europe. It is published
Monday through Friday (except German holidays) by the RFE/RL
Research Institute (a division of Radio Free Europe/Radio
Liberty, Inc.). Copyright 1992 RFE/RL, Inc.


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                     RFE/RL Daily Report

                                         No. 246, 23 December 1992

                   SUCCESSOR STATES TO THE USSR

RUSSIAN PARLIAMENT CODIFIES POWER GAINS. The Russian parliament
has adopted a law on the government which gives the legislature
the right to veto the appointment of the ministers of defense,
security, interior and foreign affairs, Interfax reported on 22
December.  The head of the parliamentary Committee on Foreign
Affairs and Economic Relations, Evgenii Ambartsumov, indicated
that Foreign Minister Andrei Kozyrev may not be approved by the
parliament. The deputies wrote the new law without confirming that
the president remains the chief executive power.  (Alexander Rahr,
RFE/RL, Inc.)

CIS SUMMIT IN MINSK POSTPONED; YELTSIN SICK.  The CIS summit
scheduled for 25 December in Minsk has been postponed because the
presidents of Russia and Kazakhstan are ill, Russian Foreign
Ministry spokesman Sergei Yastrzhembsky announced on 22 December,
Reuters reported.  He also said that a meeting between Russian
President Boris Yeltsin and Ukrainian President Leonid Kravchuk,
which had been planned to take place on the eve of the summit will
also be postponed.  The summit will most likely be rescheduled for
22 January 1993, the spokesman added. (Bohdan Nahaylo, RFE/RL,
Inc.)

CHANGES IN THE RUSSIAN CABINET.  The Russian Minister for Foreign
Economic Trade, Petr Aven, has resigned from the cabinet,
ITAR-TASS reported on 22 December.  The new prime minister, Viktor
Chernomyrdin, is quoted as saying that his consultations with
President Yeltsin on the new cabinet are complete and that there
will be "no drastic changes." Deputy Prime Ministers Anatolii
Chubais, Georgii Khizha, Aleksandr Shokhin, Boris Saltykov and the
respective ministers for economics and finance, Andrei Nechaev and
Vasill Barchuk, are expected to stay in the cabinet.  But several
democrats and centrists favor Boris Fedorov, Russia's present
representative at the World Bank, to become the new director of
economic policy.  (Alexander Rahr, RFE/RL, Inc.)

UKRAINE ISSUES PACKAGE OF REFORM DECREES. The Ukrainian government
issued a set of significant decrees concerning economic reform on
22 December, Reuters reported. One decree apparently liberalizes
prices on many commodities left under state control after initial
measures in January freed prices of goods and services
representing 60-70% of consumers' expenditures.  Deputy Prime
Minister Vasyl Yevtukhov said that, beginning early next year,
state controls would be limited to goods produced in the
metallurgical, chemical and machine-building industries as well as
oil, cement, salt, sugar, vegetable oil and eggs. Monopolies would
also remain under some price regulation. Two other decrees were
issued the same day.  One transfers ownership of private plots to
those farming them, effective 1 March.  The other revises the
Ukrainian tax system. (Erik Whitlock, RFE/RL, Inc.)

IMPENDING CHANGE IN RUSSIAN MONETARY POLICY DENIED. Several state
officials on 22 December were quick to dismiss the previous
evening's Izvestiya report of an imminent introduction of a new
Russian ruble, recentralization of the banking system and massive
new ruble credit issue.  Deputy Central Bank chairman, Valerian
Kulikov, who was quoted at length in the Izvestiya article, said
that "Russia does not intend to introduce its own national
currency in the near future," according to ITAR-TASS. Aleksei
Ulyukaev, an advisor to Prime Minister Chernomyrdin, told a news
conference that he did not foresee any major changes in monetary
policy, Reuters reported. Aleksandr Pochinok, chairman of the
parliamentary committee on the budget, taxes and prices, told
parliament that no monetary reform was envisaged, according to
Interfax.  (Erik Whitlock, RFE/RL, Inc.)

FIGHTING CONTINUES IN TAJIKISTAN.  Pro- and anti-Communist forces
were still fighting in southern Tajikistan on 22 December,
Interfax and Western correspondents reported.  Russian border
guards stationed in Pyandzh were reported to have given refuge at
their base to more than a thousand women and children, and
pro-Communist supporters of the Tajik government threatened to
attack the base if men from anti-government groups were given
refuge there too.  The same day Supreme Soviet Chairman Imomali
Rakhmonov appealed on Tajik TV to Gorno-Badakhshan, which
unilaterally declared itself an autonomous republic earlier in the
year, not to destroy the territorial integrity of Tajikistan. Many
of the anti-Communist fighters are either from Badakhshan or are
of Badakhshani descent. The presence of a pro-Communist government
in Dushanbe is likely to reinforce Badakhshani demands for
autonomy. (Bess Brown, RFE/RL, Inc.)

PAPER NAMES NEW RUSSIAN CHIEF OF STAFF. Rossiiskie vesti on 23
December said that it had learned from "well informed circles"
that Col.  General Mikhail P. Kolesnikov had been appointed chief
of the Russian general staff by Minister of Defense Pavel Grachev.
The previous chief of staff, General Viktor Dubynin, died of an
illness on 22 November.  Kolesnikov headed the Ground Forces staff
and was promoted to the General Staff in 1991, where he was
reputed to be the chief planner for the Ground Forces. The paper
indicated that Grachev might not publicly name Kolesnikov until
after his own confirmation in the new cabinet, but said that the
appointment had already formally taken place.  (Doug Clarke,
RFE/RL, Inc.)

NORTH KOREA SAYS SOVIET TREATY "INAPPROPRIATE." Radio Moscow on 21
December, quoting ITAR-TASS, said that the North Korean foreign
ministry had sent a letter to its Russian counterpart declaring
that the 1961 Treaty of Friendship, Cooperation, and Mutual
Assistance signed by the Soviet Union and the Russian Republic was
inappropriate under present circumstances. The broadcast said that
a spokesman for the North Korean foreign ministry had pointed out
that Russia and North Korea had established trade relations, which
included trade involving military equipment, and said that Russian
authorities had proposed that such relations be maintained in the
future. (Doug Clarke, RFE/RL, Inc.)

KOZYREV SAYS START-II TREATY "ALMOST READY." Russian Foreign
Minister Andrei Kozyrev told Interfax on 22 December that a new
strategic arms agreement between Russia and the United States was
"almost ready" and that a January meeting between Presidents
Yeltsin and Bush was "quite probable." Kozyrev said that he had
repeatedly spoken with U.S. Secretary of State Lawrence
Eagleburger that day, and that Russian and American experts would
"finish work" on the final text in Geneva on 23 December.  (Doug
Clarke, RFE/RL, Inc.)

UKRAINIAN RATIFICATION OF START AT LEAST A MONTH AWAY. According
to Interfax on 22 December, the press center of the Ukrainian
parliament announced that the Strategic Arms Reduction Treaty
(START) would not be submitted to the Ukrainian parliament for
ratification before late January, 1993.  (Doug Clarke, RFE/RL,
Inc.)

RUBLE EDGES UP. The ruble-dollar exchange rate closed at 415 on
the Moscow Interbank Currency Exchange on 22 December, various
Russian and Western news agencies reported.  The rate at the start
of trading was 416. Trade volume was higher than average at $71.03
million.  (Erik Whitlock, RFE/RL, Inc.)

SOUTH OSSETIA SEEKS RUSSIAN SUPPORT FOR INDEPENDENCE.  South
Ossetian parliament chairman Torez Kulumbegov is in Moscow seeking
Russia's recognition of his region's self-proclaimed independence
from Georgia, an RFE/RL correspondent reported from Moscow.
Kulumbegov said that Russian alone can guarantee stability in the
region. In 1990, South Ossetia declared independence from Georgia
with the aim of uniting with North Ossetia, which is across the
border in Russia. In response to South Ossetia's efforts to secure
independence, the Georgian government revoked the region's
autonomous status.  (Hal Kosiba, RFE/RL, Inc.)

                    CENTRAL AND EASTERN EUROPE

SERBIAN & MONTENEGRIN ELECTIONS.  The latest unofficial results of
the presidential elections in Serbia show Slobodan Milosevic with
a convincing lead in 114 of the 188 municipalities in Serbia,
Kosovo, and Vojvodina. With 63% of the vote counted, Milosevic
received 55.9% against Milan Panic's 34.3%. According to Serbia's
Institute for Statistics, the complete unofficial results of the
presidential election is expected at 15:00 CET on 23 December and
of the parliamentary elections on 24 December.  Final results are
expected on 25 December.  In the federal assembly elections the
ruling Socialist Party is leading, followed by the Serbian Radical
Party, the Democratic Movement of Serbia (DEPOS) and finally the
Democratic Party. For Serbia's 250-seat parliament, the SPS is
saying it has won 99 seats, the SRS--75, and DEPOS--50.  Radio
Serbia carried the report on 22 December. Radio Montenegro reports
that incumbent president Momir Bulatovic failed to win over 50% of
the vote and will have to enter a second round of elections in
less than two weeks against Branko Kostic, a former federal vice
president. In partial official returns Bulatovic received 42.2%
versus Kostic's 23%. In the local, republican, and federal
legislative elections, candidates of the ruling Democratic Party
of Socialists received the highest number of votes with 42.5%.
(Milan Andrejevich, RFE/RL, Inc.)

REACTIONS IN BELGRADE. Controversy continues in Belgrade, where
the opposition is saying the balloting was rigged and Panic is
asking the world not to blame the Serbian people.  A DEPOS
spokesman told the RFE/RL Research Institute that the grim faces
of many Belgrade residents show they are even more confused and
uncertain about their future than before the elections. Panic told
Tanjug that he had complained all along that the election campaign
was unfair.  He said he had not been allowed proper access to
Belgrade TV.  DEPOS leader Vuk Draskovic also denounced the
election results, saying Panic and his party won the "real
election" and accused Milosevic's party of altering the vote count
after the polls closed on 20 December.  Panic says he will call
for new elections to take place either in 90 day or in mid-May at
the latest.  (Milan Andrejevich, RFE/RL, Inc.)

CENTRAL EUROPEAN FOREIGN MINISTERS IN WASHINGTON.  Austrian TV
reported on 22 December on the visit to the US capital by the
foreign ministers of Austria, Hungary, Poland, and Slovenia. The
four met with the outgoing president, but above all with key
figures in Congress. The ministers stressed the need to end the
war in the former Yugoslavia quickly before it spreads and
involves other Balkan countries, and warned that Russia might
adopt a more pro-Serbian policy if the war drags on.  Discussion
topics included enforcing the no-fly zone over Bosnia and setting
up safe havens for Bosnian refugees. Elsewhere, the Croatian
weekly Globus on 18 December quoted Prof. Mirjana Kasapovic as
warning that the growing influx of Muslim refugees could pose a
long-term social and political problem for Croatia.  "If the
Muslims become the Palestinians of Europe," she said, "then
Croatia could become Europe's Jordan." (Patrick Moore, RFE/RL,
Inc.)

MACEDONIAN MEMBERSHIP ON UN AGENDA. Reuters reported on 22
December that in January the Security Council will consider
Macedonia's application for membership. Foreign Minister Denko
Maleski received assurances to that effect from Japan's ambassador
to the UN, who becomes chairman of the Security Council on 1
January.  Greece has been blocking EC recognition of Macedonia,
but Germany, Denmark, the Netherlands, and some other states have
made it clear they will not allow Greece to stop them from
recognizing Macedonia indefinitely. They consider ending
Macedonia's international isolation essential if the conflict is
to be prevented from spreading there. Macedonia is already
recognized by Russia, Bulgaria, and a few other countries, and has
agreed in principle to the deployment of a more than 800-strong UN
peace-keeping force, the first instance in the Yugoslav conflict
in which such a force would be stationed before hostilities broke
out.  (Patrick Moore, RFE/RL, Inc.)

DISAGREEMENT OVER SLOVAKIA'S FOREIGN POLICY.  According to CTK,
Michal Kovac, chairman of the Federal Assembly and one of the
leaders of the Movement for a Democratic Slovakia, confirmed
reports that Slovak Prime Minister Vladimir Meciar and Foreign
Minister Milan Knazko have disagreed over the course of Slovakia's
foreign policy.  Kovac played down the reports that conflicts
between Meciar and Knazko were serious, saying that the
disagreements concern only "the means of conducting foreign
policy, not its concept." In an interview with Smena published on
22 December, Knazko said that "it is impossible to have two
different foreign policies." In another development, the Slovak
government did not approve the so-called concept of Slovak foreign
policy prepared mainly by the Ministry of Foreign Affairs, arguing
that the document is worded too generally.  Knazko told reporters
that the document will have to be more specific on issues such as
Slovak-Russian relationship and the Gabcikovo hydroelectric dam
project.  He also said that his ministry considers NATO the most
important factor of European security and that Slovakia is
interested in close contacts with that organization.  (Jiri Pehe,
RFE/RL, Inc.)

DID MECIAR AND CHERNOMYRDIN MEET?  The press secretary for Russian
Prime Minister Viktor Chernomyrdin told an RFE/RL correspondent in
Moscow on 22 December that there is no truth to reports that
Chernomyrdin and Slovak Prime Minister Vladimir Meciar met
recently in Slovakia's Tatra Mountains. The press secretary
reacted to reports in Czechoslovak media which quoted Slovak
Foreign Minister Milan Knazko as saying on 19 December that Meciar
had met with Chernomyrdin in "recent days." A Russian foreign
ministry official told the correspondent that Meciar and
Chernomyrdin had met last summer and discussed how Slovakia would
pay for Russian energy supplies.  However, at a press conference
in Bratislava on 22 December Knazko said again that Meciar, Slovak
Deputy Prime Minister Roman Kovac, and himself met with
Chernomyrdin "recently." Knazko said that the meeting was
unofficial and suggested that the main topic of the discussion was
economic cooperation, saying that reports about discussing
military cooperation were "science fiction." (Jiri Pehe, RFE/RL,
Inc.)

POLISH GOVERNMENT ASSESSES STRIKE SITUATION.  On 22 December the
government debated the outcome of negotiations with striking
miners and railway workers. Ten mines are back at work and 21 are
preparing to do so.  Railway workers called off a rotating strike.
A communiqui carried by PAP says that a solution to the problems
raised by the miners was possible only as part of the restoration
program for the mining industry. It pledges to continue
"fundamental talks" with the unions but says the strikes make it
impossible for the government to sign the Pact on Enterprises at
present and regrets that its benefits would not be felt
immediately.  Industry Minister Waclaw Niewiarowski and Deputy
Labor Minister Michal Boni expressed optimism about the outcome of
talks so far and Niewiarowski said that the government is prepared
to use special powers to speed the restructuring program and hopes
that the strike can be called off or suspended at the beginning of
January. In letters to the Sejm and government President Lech
Walesa warned that even the best programs will not work without
public acceptance. (Anna Sabbat-Swidlicka, RFE/RL, Inc.)

SOLIDARITY: NO GENERAL STRIKE YET. After an extraordinary meeting
of Solidarity's National Commission in Katowice, the union's
leadership criticized the government for foot-dragging with regard
to the problems of the mining industry and lack of real results in
negotiations on restructuring and social guarantees for industrial
workers in general.  It threatened to "extend" protest actions if
the government does not produce positive solutions by 6 January
1993.  A more radical motion to call a general strike for that
date was voted down. Walesa had sent the Solidarity leadership a
letter asking for patience and prudence. While expressing sympathy
with the unionists' grievances, Walesa said "We will not solve
Poland's problems by striking; we can however damage the economy
and the state by sowing chaos and destabilization." (Anna
Sabbat-Swidlicka, RFE/RL, Inc.)

RUSSIAN DIPLOMAT SEEKS REFUGEE STATUS IN POLAND.  Yurii Kozyrev, a
former councilor at the Russian embassy in Warsaw, has applied for
refugee status in Poland, an official of the Internal Affairs
Ministry told PAP on 22 December. He admitted that Kozyrev and his
wife were under its protection but refused to reveal any further
details.  On 18 December a Moscow paper had carried the story of a
foiled attempt by Russian officials to take Kozyrev back to Russia
against his will. The story was neither confirmed or denied by
Polish border guards.  The Russian embassy denied that there was
any such attempt and said that Kozyrev failed to return his
diplomatic passport and leave his official quarters after being
dismissed from his post in April 1992 and that he had tried to
bring "a large sum of money into Russia." The Polish Foreign
Affairs Ministry said it was an internal embassy matter that
should not affect good Polish-Russian relations.  (Anna
Sabbat-Swidlicka, RFE/RL, Inc.)

FINAL ATTEMPT TO ESTABLISH VIABLE BULGARIAN GOVERNMENT.  In a
last-ditch effort, President Zhelyu Zhelev on 22 December asked
economist Lyuben Berov to form a new Bulgarian cabinet, BTA
reports. A 67-year-old economics professor and an advisor to
Zhelev since 1990, Berov was nominated by the Movement for Rights
and Freedoms after the party rejected UDF candidate Yordan
Sokolov. Leaders of the two other parties in the National
Assembly, the Union of Democratic Forces and the Bulgarian
Socialist Party, both reacted negatively to Berov's candidacy, but
dozens of politicians seem ready to break party ranks and support
him.  Should Berov's cabinet not gain approval, Zhelev will have
to dissolve parliament and call new elections within two months.
(Kjell Engelbrekt, RFE/RL, Inc.)

EC AND BULGARIA SIGN ASSOCIATION ACCORD. On 22 December Bulgaria
initialed an association agreement with the European Community.
The accord could come into force within a few weeks, following
ratification by Bulgaria and the Ministerial Council of the EC.
An EC official told AFP that the association agreements with
Bulgaria and Romania were "slightly less favorable" than those
with Poland, Hungary, and Czechoslovakia. At the same time,
Reuters quoted a foreign ministry spokeswoman that EC negotiators
had made some concessions in sensitive areas such as farm
products, textiles, wine, and steel.  Roughly one-third of
Bulgaria's trade is with EC countries. (Kjell Engelbrekt, RFE/RL,
Inc.)

PROTESTS MAR ROMANIAN REVOLUTION ANNIVERSARY.  Hundreds of
demonstrators protested against the continued influence of former
communists in Romania's political life, Reuters reported from
Bucharest on 22 December.  An estimated 500 demonstrators shouted
and booed as President Ion Iliescu, Premier Nicolae Vacaroiu, and
other government officials laid a wreath at Bucharest's University
Square to honor those killed in the 1989 uprising against the
former regime. Romanian Radio and TV reported on the ceremony, but
were silent on the protest demonstration.  (Michael Shafir,
RFE/RL, Inc.)

KING ORDERED TO STAY OUT OF POLITICS DURING ROMANIAN VISIT.
According to a communiqui released by the Foreign Ministry and
carried by Rompres on 22 December, during his Christmastime visit
in Romania, former king Michael must refrain from politics. The
ministry said the king has accepted the condition, but warned that
Michael's visa will be revoked if his visit, defined as "private,"
leads to his involvement in "activities of a political nature, as
was the case during his previous visit" last April.  (Michael
Shafir, RFE/RL, Inc.)

ANTALL IS CHOICE AS HDF CHAIRMAN. MTI reports that Prime Minister
Jozsef Antall is the overwhelming favorite to be reelected
chairman of the ruling Hungarian Democratic Forum at its January
1993 party conference.  With some 90% of the grassroots
organizations having submitted their nominations, Antall leads
with 94% of the votes. Istvan Csurka, the controversial former HDF
vice president, garnered only 3%.  An HDF spokesman said the party
has also rejected to split the responsibilities of party chairman
and prime minister.  (Karoly Okolicsanyi, RFE/RL, Inc.)

SPIROIU: ROMANIAN MILITARY DOCTRINE IS STILL DEFENSIVE.  Romania's
military doctrine was defensive in nature when the country was a
member of the Warsaw Pact and is still so at present, says
Minister of National Defense Lt.  Gen.  Nicolae Spiroiu.  In an
interview with Azi carried by Rompres on 22 December, Spiroiu said
that when the other members of the pact had adopted an offensive
military doctrine Romania, had refused to join them; therefore
there was no need to make basic changes after Ceausescu's ouster.
He added that Romania is studying various Western military models
to adapt them to its needs.  According to Spiroiu added that local
industry is meeting 95% of the army's requirements for equipment.
(Michael Shafir, RFE/RL, Inc.)

BALTIC WITHDRAWAL SCHEDULE "UP TO BALTIC LEADERS." Col.  Gen.
Leonid Mayorov, the commander in chief of the Northwestern Group
of Forces stationed in the Baltic region, told a Latvian newspaper
that the schedule for the withdrawal of his troops would
"ultimately depend on the astuteness of the Baltic leaders." His
remarks were reported by Baltfax on 22 December.  Mayorov said
that more the 40% of the forces have been pulled out. He charged
that the Baltic leaders are deliberately avoiding signing
agreements with Russia on the withdrawal schedule and on the
temporary stationing of Russian troops on their territories. (Doug
Clarke, RFE/RL, Inc.)

LATVIAN PARLIAMENT ELECTION DATE SET. On 22 December the Supreme
Council voted to hold elections to the Saeima on 5-6 June, 1993,
Baltfax reports. A proposal by the country's agricultural faction
to hold the elections on 22-23 May was defeated as were efforts to
postpone them until the fall because of expectations that only 60%
of the citizens in Riga will have been registered by spring.
(Saulius Girnius, RFE/RL, Inc.)

ESTONIAN PRIVATIZATION COMPETITION.  At 2:00 p.m.  on 22 December
the deadline passed for placing bids for the privatization of 38
large state enterprises, set on 17 November, BNS reports.  The
acting director of the Eesti Erastamisettevote Privatization
Company, Tarmu Ossip, and German Treuhand representative, Herbert
Schmidt, opened a box containing 103 bids that came primarily from
Europe, but also from the US and Japan. In 90 days Eesti
Erastamisettevote will negotiate with potential buyers and
disclose the winners.  (Saulius Girnius, RFE/RL, Inc.)

CZECHOSLOVAK PRIVATIZATION "A SUCCESS." Federal Deputy Finance
Minister Vladimir Rudlovcak told reporters on 22 December that the
first wave of the so-called voucher privatization in
Czechoslovakia is a success.  CTK reports Rudlovcak as saying that
during the five rounds of the first wave some 300 million shares
in more than 1,400 companies were put on sale and only 21.5
million shares remain unsold.  Rudlovcak said 291 firms were able
to place all their shares with either individual investors or more
than 300 investment funds.  About 8.5 million people were eligible
to obtain shares in exchange for vouchers which they purchased at
discount prices at the beginning of 1992. In November the Czech
parliament passed a law providing for the establishment of a
computerized stock exchange in January 1993 at which shares
purchased during the voucher privatization can be traded. (Jiri
Pehe, RFE/RL, Inc.)

FOOD RATIONING IN LITHUANIA. In an interview in the weekly Litas
Prime Minister Bronislavas Lubys said that he supports the idea of
introducing a rationing system for meat and other food products
for six months or all of 1993, BNS reported on 22 December.
Rationing is needed to ensure that the population will be able to
buy food at relatively low prices when anticipated sharp increases
in the price of energy will force higher prices.  Rationing was
introduced during the economic blockade by Russia in the spring of
1990 and still continues for sugar, flour, groats, and salt.
Lubys said that salaries frozen in October 1992 will be increased
next year by using the state budget.  He said it is better to
raise salaries and pensions rather than give subsidies. (Saulius
Girnius, RFE/RL, Inc.)

GERMAN POLICE SEIZE DRUGS FROM BALTIC. The German police
confiscated a shipment of three tons of amphetamine pills and 60
kg of other illegal drugs illegally being sent from Latvia to
Holland, Frankfurter Rundschau and ZDF TV reported on 22 December.
The seizure was made at the Frankfurt airport.  In a joint
operation with the Czechoslovak and Latvian police, the German
police arrested three men belonging to a drug trafficking network
operating in the CIS, the Baltic States, and Central and Western
Europe.  The confiscated drugs were produced at a modern
pharmaceutical factory in Riga and sent under false documents to
Western Europe through a network of dealers and couriers based in
Czechoslovakia.  The Latvian police have arrested the factory
director and chief of the chemical laboratory.  (Victor Yasmann,
RFE/RL, Inc.)

[As of 1200 CET]
Compiled  by Hal Kosiba & Charles Trumbull
The RFE/RL Daily Report is produced by the RFE/RL Research
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