- Statement by the Spokesperson of the SPA - The day before yesterday, a brief notice arrived at the headquarters of the Socialist Party of Albania from the Secretary General of the Presidency, requesting the participation of the SPA Deputy Chairman, Dr. Servet Pëllumbi, and member of the SP Governing Council, Dr. Shkëlqim Cani, in “a consultation on securities,” to be held on Monday at the Presidency. In this regard, the SPA spokesperson is authorized to state: The SPA has followed, and continues to follow, the progress of economic reform in Albania with attention and responsibility, and particularly the privatization process as an essential element of it. It has expressed concern about the way this process has been carried out so far, where incompetence, a lack of economic effectiveness and rampant corruption are plainly evident. The SPA’s positions on this issue have already been made public, both through the positions taken by its deputies in Parliament and through the SPA’s basic Program, published recently. The SPA has expressed its readiness to contribute to the privatization process, basing it on laws and on a scientifically developed strategy. But the PD authorities have responded to our alternatives with indifference and by plundering a great deal of wealth through a chain of corruption. The SPA representatives will not participate in Monday’s consultation on securities, organized by the Presidency, for the following reasons: First, we consider this consultation a demagogic act intended to gain political capital, the beginning of an election campaign, and an attempt to present themselves as great “benefactors” of the Albanians by brandishing before them a privatization program whose sole purpose is… Third, a cardinal problem for Albanian political life today is Albania’s relationship with the state’s fundamental law, the Constitution, which, among other things, would enshrine the sanctity of private property. The PD’s destructive and imposing stance at round tables of the parties on such a cardinal issue is already well known. This narrows the scope for other initiatives and turns them into demagogic propaganda, serving the political interests of the organizers. Fourth, we will not become partners in this initiative, since the experience of PD governance so far has shown that there is no guarantee that corruption, theft, misuse and mismanagement of national wealth will not continue in the future. Recent developments within the PD also show that it and President Berisha himself have failed in the fight against corruption, which they have fostered through their governance. Fifth, the most appropriate course is to prepare a comprehensive strategy for large-scale privatization, to be carried out on the basis of laws, with transparency and economic efficiency, and by closing off avenues for corruption. This strategy should be discussed and approved in the People’s Assembly, where the political forces represented there can set out their views and alternatives. Even if the Presidency’s latest initiative were sincere, even if only regarding the launch of the privatization process through securities (its importance, method, duration, etc.), the minimum requirement for this consultation to be taken seriously would be to make available to the invitees …, around whom it could also include… …organized by the Presidency, the OSSh representatives will not take part demagogic act intended to gain political capital, the start of the election campaign, and an attempt to show Albanians how to think like Albanians, by waving a new blank “cheque” in front of them—that of securities. Second, the people do not believe these repeated promises, or the other promises of this kind made at the beginning of this year, concerning large-scale privatization through securities. 1994, the third year of PD’s rule, was not “the year of large-scale privatization,” as President Berisha had promised even a year earlier. On the contrary, it was characterized by privatization based on political and administrative criteria, which encouraged and was accompanied by theft, corruption, and stark social disparities, instead of lawful privatization based on economic criteria, effective and … Even if, in the end, the Presidency’s intention were sincere, even if only regarding the start seriously would be to make the material prepared by experts available to those invited, among whom could also be parliamentary parties. Finally, PSSH, while supporting the privatization process, including through the securities method, is capable, by coming to power through the free vote of the people, of guaranteeing the progress of economic reform and privatization that is transparent, effective, lawful, and socially responsible in practice. PSSH’s alternative for making all Albanians property owners—an alternative that is now well known—will be further set out in its election program.

THE TANGENTOPOLI CASE IN THE TIRANA COURT 1 - The court decides to hear Genc Ruli, Osman Shehu, Edmond Spaho, Ylli Çabiri, Gramoz Pashko, Emin Mysliu, Fatos Nano, etc., as witnesses. 2 - Xhyheri is cleared of the charge of appropriating 16 thousand dollars. The account is a state account. 3 - The accusation is based solely on things heard from Arsidi! Arsidi: a swindler, benefactor, or launderer of dirty money? 4 - The lawyers request that Arsidi, Simon Carter, Osman Shehu’s associates and “lawyer” Agim Bendo be called as witnesses. The judicial investigation in the case known as the “Arsidi scandal” continued yesterday for around eight hours at the Tirana court. Although the accusation heard the previous day was serious and based mainly on the investigative actions of a joint Franco-Albanian …, considered unsupported under the Albanian Code of Criminal Procedure, as well as on statements by the “Frenchman” Nikolas Arsidi, considered by him to be the sole witness, not …, worthless, no one believed that part of it would collapse yesterday. Doubts arose when Mr. Qeleshi read the indictment. They relate both to a mathematical calculation and to a short business logic in a moment of extreme confusion in the indictment. Thus, on 21 December 1991, the Albanian Commercial Bank ordered Giro Centrale Vienna to pay 640 thousand dollars on behalf of Nikola Arsidi to General Bank Luxembourg. On 30 December 1991, Arsidi opened an account in Luxembourg for Tartari and, under a previous agreement, deposited 160 thousand dollars for him. On 13 March 1992, without any further deposits having been made into his account, Arsidi gave Hoti 650 thousand dollars in Luxembourg to deposit in the account he had previously opened for him. In other words, within a period of three months Arsidi received 640 thousand dollars and paid out 810 thousand. That is a difference of 170 thousand dollars against him, while another payment in his favor was made in the amount of 1 thousand dollars almost 40 days later. Given this amount, to say that even the simplest Albanian moneychanger would not let you have 100 dollars, yet [he gave] 170 thousand for one month without any benefit, as follows from the Frenchman’s claim, read by the Tirana prosecutor’s office, that he returned the sums. So either Arsidi is lying, or he is a benefactor (but one who charges fees), or he laundered his money, which naturally smelled dirty. Which of these is it? Meanwhile, yesterday, prosecution witnesses undermined part of the case concerning Adrian Xhyheri and brought into the courtroom an image of the previous trial, which fell far short of proving the appropriation of 1.6 million dollars. This was also due to the fact that everything connected with this charge rested on Arsidi, who had sent his statements to the Tirana judges. Zhaneta Tole, an employee at the BKT foreign relations branch, was the first called to testify before the judges. The head of the accounting section at BKT said that in February 1993 she learned that in October 1992 a sum of 16 thousand dollars had arrived at BKT addressed to Adrian Xhyheri, where it had remained for four months without any action being taken. According to her, this sum had arrived without original documents and without confirmation from the intermediary bank, Giro Centrale Vienna, regarding the payment; the confirmation that arrived bore the words: “From the State Bank, employee Adrian Xhyheri orders the transfer in favor of the Commercial Bank.” Thus, the payment had been made from the State Bank in favor of the Commercial Bank, which was the beneficiary of the sum deposited in a state account, not in Adrian Xhyheri’s private account. Everything appeared this way after the bank confirmation in the file was noted, translated into Albanian and interpreted by Mrs. Tole. The latter had not been familiarized during the investigation with the translation made by Mr. Xhyheri, in which “orderer” was rendered as “beneficiary” of the 16-thousand-dollar sum. After this testimony concerning Xhyheri (Continued on page 5) … deposited into the account he had opened | … appeared before the court. The head of the sector |

U.S. Deputy Secretary of State Richard Holbrooke paid a visit to Tirana as part of his tour of the Balkans. He arrived in Tirana after visiting Athens and, as he said, on Sunday he will meet with Gligorov, president of the former Yugoslav Republic of Macedonia. At a press conference held yesterday morning at the U.S. Embassy in Tirana, before his meeting with President Berisha and Foreign Minister Serreqi (?), he expressed pleasure at visiting Albania, adding that the United States is doing everything possible to support democracy and development in Albania. He said that increasing the number of the U.S. Peace Corps in Albania would help, and that a bilateral investment treaty would be signed in Washington next week. Regarding relations with the two other countries of the …, he has also been to Albania for 2–3 … … about which he said he had discussed with Greek officials and that there were several important problems between Greece and Albania, particularly the issue of the four OMONIA prisoners. At the same time, he stressed, Greek officials had assured him that they (Athens) wanted normal relations with Albania, and that they had recently sent a military attaché to Albania. “They also assured me that the border between Albania and Greece has been definitively determined and that there is no doubt regarding the existing borders.” The American official met with President Berisha and Foreign Minister Serreqi. Berisha told his American guest that he would like to see more American investment in Albania. Berisha made relations with Serbia and Montenegro conditional on the publication of Kosovo. Regarding relations with Greece, Berisha said he favored dialogue and that the issue of the five minorities was connected with the protection of the rights of a state. … (Continued on page 6).

With around 100,000 inhabitants, more than 4,000 people receiving social assistance and support, and around 5,000 unemployed registered with the municipality—a figure that appears to be realistic (other sources tell us that the number of unemployed in this district is over 15,000, with young people mostly seeing their future elsewhere)—Durrës is a city where, in practice, no industry of any kind is developing. The privatization of enterprises is continuing very slowly. There are cases in which an enterprise remains in an auction state for months on end, becoming completely dilapidated. This is truly damaging to the ultimate purpose of privatizing these enterprises. But even where privatization has been completed, the enterprises are almost destroyed; indeed, a good portion have bought … (Continued on page 6).

Interview with the President of the Court of Cassation, Mr. Zef Brozi, given to editor Hamdi Jupe ZEF BROZI: “It was no coincidence that SHIK, when the FATOS NANO case was to be tried, spread the rumor that five hundred thousand dollars had been paid for FATOS NANO at the Court of Cassation... I have observed that certain state mechanisms tried to put pressure on the Court, on the judges and on Zef Brozi.” - Mr. Brozi, given that readers are familiar with some aspects of the case that has put you at the center of public attention, I would like to get straight to the point. Why were your accusations of legal violations in the proceedings against the Greek citizen made public by you, and why did you ask for the persons responsible to be held accountable only after the Prosecutor General requested that your immunity be lifted, and not before? - First, I want to thank you for requesting this interview. Regarding your question, I want to clarify that the Prosecutor General’s request to lift my immunity, dated 29 December, became known to me on 29 December, around 11 o’clock, through a telephone call from … deputies. The accusation made against me was a shameful one, secretly placed on the deputies’ desks, regardless of the fact that when they were asked to vote they were humiliated at the end of that year, on that day when, without waiting for Parliament’s vote, the Prosecutor General already had an arrest warrant ready for Zef Brozi. - Excuse me, are you sure about that? - That is absolutely correct, because it was also reported in the press that on 29 December the police minibus was waiting in front of the Court of Cassation and other SHIK officers were milling around the Cassation Court. And if I am not in Tirana prison today, that is also because I communicated with the press. The prosecutor’s indictment was the consequence of the cause of … … to bring about an increase in the fabrications, intrigues and traps that they tried to set for the president of the Court of Cassation. - Let us return now to the specific question. My criticism of the procedural violations in the case of the Greek citizen’s trial was made that day because that was when I learned that the Court of Cassation’s decision to overturn the district and appeals court rulings concerning the Greek citizen had displeased some people and frightened them. They had become convinced that the case was a fabrication, an intrigue against a foreign investor in Albania. You said that you received the Court of Cassation’s decision on 29 December. When you signed the document for his release, had you not seen the Court of Cassation’s decision? - No, I had not seen the written decision dated 22 November, because on 23 November the operative part of the Court of Cassation’s decision was pronounced in court, and the judges wrote up the decision; the decision was issued to the parties two weeks later. This procedure … in the practice of this confirmation … the court’s notification was made, and in this particular case. It would have been a serious violation … I maintain that in the case of receiving the decision. (Continued on page 4)

Prof. Dr. REXHEP MEJDANI: “It is easy to ‘deny,’ to destroy, but it is extremely difficult to ‘affirm,’ to build.” Dr. of Sciences BESNIK BARAJ: “The education of the people is an investment lasting hundreds of years...”

For … on Tuesday, 10 January 1995, at 11 o’clock, the meeting of the General Governing Committee begins its work … The members of the Governing Committee … should make arrangements to attend. THE FIER BUREAU