CCCCC AA RRRRR OOOO LL II NN N AA CC AA A RR R OO O LL II NNN N AA A CC AA A RRRRR OO O LL II NN N N AA A CC AAAAAA RR R OO O LL II NN NN AAAAAA CCCCC AA A RR R OOOO LLLLLL II NN N AA A STUDENTS' E-MAIL NEWS FROM THE CZECH REPUBLIC Charles University in Prague Faculty of Social Sciences Smetanovo nabr. 6 110 01 Prague 1 Czech Republic e-mail: CAROLINA@mbox.fsv.cuni.cz ISSN 121-5040 tel: (+4202) 22112252, fax: (+4202) 22112219 *-*-*-*-*-*-*-*-*-*-*-*-*-*-*-* C A R O L I N A No 369, Friday, March 31, 2000. FROM THE EVENTS OF THE PAST WEEK (March 22 to March 29) Havel Warns against "Mafia Capitalism" Here President Vaclav Havel criticized in his March 24 interview for Czech Television the rise of economic crime in the Czech Republic. He said the possible connections between shady economic activities and political parties cannot be overlooked. Havel did not mention anyone specifically. He said he was referring to certain financial groups, investment funds and banks that could be connected to foreign mafias. Havel said he could not watch people being surrounded by fear. He also said it is necessary to provide the conditions so that the police, investigators, state prosecutors and judges feel political support to fight these groups. Havel also talked about his recent request for the Security and Information Service (see Carolina 368). He said it involved one private subject suspected of trying to destabilize the police organs fighting organized and economic crime. The daily MF DNES later revealed the person concerned was Josef Doucha, a former star police detective now working as a lawyer and consultant. Havel again criticized the amendments to the Constitution proposed by the Civic Democratic Party (ODS) and the Social Democrats (CSSD). Radka Kohutova/Ondrej Maly Brezina Succeeds Basta as Deputy Prime Minister President Vaclav Havel named Karel Brezina, 27, until now Chief of the Government Office, as deputy prime minister March 23. Brezina replaced Jaroslav Basta, whose recall was linked to the demands of the Civic Democratic Party (ODS). ODS agreed to support the 2000 budget on the condition that four ministers leave the Cabinet. Brezina will be responsible for anti-drug policy, the Committee for the Handicapped and family and youth issues. He will also arrange technical and organizational service for the prime minister, who will now be in charge of coordinating the Security and Information Service (civil counterintelligence). Brezina will still be the Chief of the Government Office. He resigned from the supervisory board of Czech Telecom, because he will replace Finance Minister Pavel Mertlik as leader of the Council for State Information Policy. "I will support everything that leads to making the Internet accessible to the largest number of users," he said. Brezina joined the party when he was 18, studied business and is said to be ambitious, capable and talented. His favorite politician is Tony Blair. Three changes are yet to be made. Interior Minister Vaclav Grulich will probably be replaced by party Parliamentary Club Chairman Stanislav Gross; Transportation Minister Antonin Peltram will be replaced by deputy Jaromir Schling and Regional Development Minister Jaromir Cisar by party Vice Chairman Petr Lachnit, as Zeman announced March 24. Dita Eckhardtova/Ondrej Maly Justice Minister Motejl Considers Resigning, Decides to Stay Justice Minister Otakar Motejl wrote his letter of resignation to President Vaclav Havel. One reason was the difficulty in passing his judicial reform bills in the legislature; one committee in the Chamber of Deputies failed to pass a bill recently because two deputies from the ruling Social Democrats were absent (Motejl is the only member of the Cabinet who is not a member of the party). Motejl is preparing reforms of the judicial system, often the target of anger and laughter at home and abroad. Motejl, the most popular minister in the government, announced March 27 that he had decided to stay, in order to finish reform. "By leaving the government I wanted to say a clear 'no' to the political game that became a condition for the existence of this government in connection with the debate on the state budget," said Motejl. He said he was horrified by the demand of the Civic Democratic Party (ODS, the Social Democrats' partner in the Opposition Contract), that its deputies would support the budget if four ministers were sacked from the government. The Social Democrats accepted the deal. Dita Eckhardtova/Daniela Vrbova Jewish Cemetery: Problem Solved Representatives of the government, Jewish Community and Czech Insurance Company reached an agreement March 27 to resolve the conflict about the Jewish cemetery found on company property. The government's proposal - to preserve the Middle-Ages burial ground under the company's administrative building - was approved March 29. The state will contribute 45 million crowns to preserve the cemetery. The remains of the Jewish cemetery were discovered in 1998 at the beginning of construction. Domestic and foreign Jewish organizations were disturbed by the company's plans, and the head rabbi of Israel recommended to Czech head rabbi Karol Sidon that nothing be built on the site. Building around the cemetery was the most acceptable solution for the Prague Jewish Community. Daniela Vrbova/Daniela Vrbova Chechnyan Refugees Occupy the Office of UN High Commissar for Refugees Twenty-four Chechens said they fled from the refugee camp in Cerveny ujezd March 22 becuse they were threatened by the Russian mafia. They took asylum in the Prague branch office of the United Nations High Commissar for Refugees (UNCHR), which they practically occupied. "They did not want to go anywhere else, because they only felt safe on diplomatic territory," said office spokeswoman Ivana Unluova. The Chechens spent two nights on the office floor. Office employees said the refugees were tired, nervous and refused to leave. They requested to be moved to another country, but Interior Ministry regulations would not allow that. Six refugees agreed to move to new accommodation March 24, with the rest of the refugees following suit the next day. Tomas Havlin, Darina Johanidesova Compensation for Forced Laborers Victims of Nazism will receive compensation, Berlin decided March 23. The total of 8.25 billion deutschmarks will be divided among several countries (the most going to Poland, Ukraine, Russia and Belarus). The largest share (1.812 billion deutschmarks) will go to the Jewish Claims Conference. The Czech Republic will receive 423 million deutschmarks. Forced laborers were divided into two groups according to the seriousness of their ordeal. The first category concerns people who were forced to do the hardest work, often interred in concentration camps - they will be awarded up to 15,000 deutschmarks. More victims are in the second group - they were deported to Germany during the war and forced to work in factories. They will receive up to 5,000 deutschmarks. Final compensation will be calculated from the total amount given to each country. Besides the 8.2 billion deutschmarks for this compensation, the German Compensation Fund has 2 billion deutschmarks left. This money will be used for the Fund for the Future, covering losses and sponsoring humanitarian activity. Pavel Korinek/Simon Dominik Milos Zeman Looks for Foreign Investors With his arrival in Norway March 27, Prime Minister Milos Zeman started his five-day trip, which includes stops in Finland and Lithuania. Zeman, accompanied by a group of Czech entrepreneurs, is looking for new investors for the Czech Republic. In Oslo Zeman tried to make a deal to change the 20-year contract on nature gas delivery to the Czech Republic into a barter agreement to be filled by Czech goods. Zeman is going to return to Prague April 1. Nikoleta Alivojvodic/Milan Smid FROM SLOVAKIA Raz Meets Press for First Time since Accident Jozo Raz, the leader of Slovak band Elan, appeared in public March 28 for the first time after his near fatal motorcycle accident. He came to the press conference on crutches, accompanied by bodyguards and three doctors. "I don't feel like singing yet," said Raz, adding he has only held a guitar in his hands without playing since the accident. "By summer I'll be 100 per cent mentally and physically and then I'll decide whether to concentrate on business or music activities," said Raz. Every day after rehabilitation he visits his two firms. Most of the time he rests, walks his dogs or rides a stationary bike. He said he is not planning to write any songs about his accident. After the accident Raz underwent six operations and spent 60 days in coma, because shards of his skull entered his brain. "Once I throw away these crutches I'll buy another motorcycle and race," Raz said. Veronika Hankusova/Veronika Hankusova FROM SLOVAKIA IN BRIEF: * Milan Materak, general director of Slovak Television (STV), will keep his job. The STV Council voted against two members' proposal to dismiss Materak. Five of the eight council members voted for his removal, but a two-thirds was necessary. Materak was criticized for worsening relations between STV and the council. Council members said they wanted to strengthen public character of STV. Slovakia's most successful commercial station - Markiza - is preparing changes: Vladimir Repcik will replace present General Director Pavol Rusko April 3. Veronika Hankusova/Veronika Hankusova ECONOMY GDP Declines Slightly, Economic Recovery Slow in Coming According to data published March 22 by the Czech Statistic Office, the Czech economy almost stopped shrinking in 1999, but the results are worse than expected. The gross domestic product (GDP), fell by 0.2 per cent, the best showing in the past three years (after drops of 2.2 per cent in 1998 and 1 per cent in 1997). The Czech economy has been falling behind neighboring countries, as GDP in Poland grew last year by 4.2 per cent, and Hungary expects a similar return. The economy's driving force was consumer spending (1.4 per cent growth) and the export of goods (18 per cent growth, with export exceeding import at the end of the year). The increase in consumption was caused not only by rising salaries, but also by growth in the leasing industry. On the contrary, investment dropped by 5.5 per cent, although at the end of 1999 the situation improved. Exports ended up in the red as well, because the increase in exports of goods did not make up for the decline in exports of services. Prime Minister Milos Zeman expressed slight disappointment with the results ("nothing spectacular"), but was optimistic about this year. He said he expects growth of up to 2 per cent growth. Chamber of Deputies Chairman Vaclav Klaus is more skeptical, saying he expects growth of 1 per cent. "The vicious circle of the Czech economy endures without change," Klaus said. Repeating his mantra, he said GDP will not increase without the Czech National Bank easing its monetary policy. However, bank Governor Josef Tosovsky said the results matched the bank's expectations, so the bank does not plan any changes in its monetary policy. Czech Statistic Office Chairwoman Marie Bohata said the results as worse than expected, especially concerning export. Therefore, the Czech Statistic Office is to re-evaluate its estimates for 2000 - projected growth of 1.6 per cent seems too optimistic now, Bohata said. Michaela Kleckova/Denisa Vitkova ECONOMY IN BRIEF * The Prague Stock Exchange's PX-50 index approached the 700-point barrier. The PX-50 index reached 691 points, with volume of 8.8 billion crowns. The rise in the index was caused almost exclusively by rises in the prices of IPS Prague, the Czech Savings Bank, Czech Telecom and the Commerce Bank. On the contrary, the price of investor favorite Czech Radiocommunications fell. The bourse opened the new week somewhat confusingly: Czech Telecom fell, Czech Radiocommunications and IPS rose. Czech Telecom pulled the index down March 28 to 673.7 points. Lubos Kratochvil/Denisa Vitkova Rates at the Czech National Bank (valid March 31) -------------------------------------------------------------- 1 EUR = 35.625 country currency CZK ------------------------------------------ Australia 1 AUD 22.707 Great Britain 1 GBP 59.319 Denmark 1 DKK 4.784 Japan 100 JPY 35.398 Canada 1 CAD 25.539 IMF 1 XDR 50.035 Hungary 100 HUF 13.807 Norway 1 NOK 4.410 New Zealand 1 NZD 18.578 Poland 1 PLN 9.093 Greece 100 GRD 10.655 Slovakia 100 SKK 85.815 Slovenia 100 SIT 17.254 Sweden 1 SEK 4.305 Switzerland 1 CHF 22.375 USA 1 USD 37.249 Exchange Rates of countries participating in the euro (converted from the euro rate) country currency CZK ----------------------------------------- Germany 1 DEM 18.215 Belgium 100 BEF 88.312 Finland 1 FIM 5.992 France 1 FRF 5.431 Ireland 1 IEP 45.234 Italy 1000 ITL 18.399 Luxemburg 100 LUF 88.312 Netherlands 1 NLG 16.166 Portugal 100 PTE 17.770 Austria 1 ATS 2.589 Spain 100 ESP 21.411 CULTURE Actors Recieve Thalia Theater Prizes The Actors' Association presented its Thalia prizes for the year 1999 in Prague's National Theater March 25. Dagmar Havlova, wife of President Vaclav Havel and a former actress, tried to associate herself with the ceremony by placing it formally under her auspices. A list of the winners: Drama: Helena Cermakova for the role of Judith (in the play Judith) Viktor Preiss for the role of Don Quijote (Man from La Mancha); Opera: Dagmar Peckova for Carmen (Carmen) Roman Janal for Pollux (Castor and Pollux); Dance: Jana Pribylova for the role of Odette-Odilia (Swan Lake) Ivan Prikasky for the role of Sir Francis Walsingham (Mary Stuart); Operetta: Marketa Sedlackova for the role of Lisa (My Fair Lady) Jan Jezek as Fred Graham (Kiss Me Kate). Iva Potrebova/Zuzana Janeckova Mlada Fronta on Verge of Collapse Shortly after the board of directors of the Mlada fronta stock company recalled Vladimir Pistorius, the director of its publishing house, the fight for the renowned trademark began. Petitions and protests against his firing appeared and employees of the publishing house stood unanimously behind their former boss. Mlada fronta is a corporation with one share at a nominal value of 139 million crowns, owned by the state and administered by the Children and Youth Fund (Fond deti a mladeze, FDM). Pistorius led the book publishing branch (there is also a loss-making magazine division) out of high losses to profits of about 5.5 million crowns in 1997 and 1998. The publishing house produces approximately 90 books a year - more than 20 poetry classics and 15-20 translations of modern foreign fiction. Experts say the house's place in the market is important and nearly irreplaceable. Parliament elected a new council for the FDM in June. Two months later the council elected a new board of directors and supervisory board for Mlada fronta. None of the members of the new board of directors had any experience with book or magazine publishing. Since their election the board has been requesting the commercialization of the publishing plan. One of its members wanted to stop producing poetry, even though the poetry editions are profitable. In October the board recalled Mlada fronta's Director Jan Machacek and, in January, replaced him with Hana Brajanoski, who had no experience in book publishing. It also approved a restructuring of Mlada fronta and approved an increase in monthly payments to board members from 8,000 crowns to 56,000 crowns. These two actions, Pistorius claims, will raise costs by more than 2 million crowns per year. Cash flow has been decreasing - at the end of 1998 it was 21.1 million crowns, at the end of 1999 8.6 million crowns and March 10 3.8 million crowns. Pistorius, a member of the supervisory board, asked for the removal of incompetent individuals at the board's March 16 meeting. The board of directors received the minutes of the meeting and responded by firing Pistorius, saying he opposed an extraordinary inventory. A regular inventory was taken in January and did not find any discrepancies. Brajanoski said she wanted to repeat it on the grounds that it was carried out by company employees. Pistorius said he opposed the inventory, because while in progress all shipments must be halted, costing the company about 100,000 crowns per day. All employees of the publishing house stood behind Pistorius. Protests addressed to the Chamber of Deputies were signed by the Czech PEN Club Chairman Jiri Stransky and Writers Community (Obec spisovatelu) Chairman Antonin Jelinek and a petition came from authors Jiri Grusa, Arnost Lustig and Pavel Kohout. Moreover, Kohout forbade the house from publishing his works. Pistorius is also supported by booksellers, critics and translators, who stopped or plan to stop working with Mlada fronta. Both sides keep accusing each other of falsifying with the house's financial numbers. It appears Parliament will have to solve the situation. It can either replace the council of the FDM, which would then recall the Mlada fronta board, or simply liquidate the FDM. A bill concerning this matter was passed into a second reading in February and Stransky in his letter requested a state of legislative emergency to move the bill forward. Pistorius' backers say that without quick action the house and its first-rate staff will crumble in a few weeks, destroying 10 years of hard work and passing the Mlada fronta trademark into history. Simon Dominik/Simon Dominik SPORTS UEFA Cup: English Team Leaves Prague Winners, Losers The wave ruled Prague's Strahov Stadium, Slavia's players were working combinations in the middle of the field. The whistle blew, and the match was decided. Slavia defeated Leeds United, the second-place team of the top English league 2-1 in their second UEFA Cup quarterfinal match. Slavia, however, did not advance because it lost the first game 0-3. Three moments determined the outcome: Dostalek lost the ball, Leeds' Australian striker Harry Kewell shot from the edge of the penalty box and scored. It became clear who would advance: Slavia would have to score five goals to overcome the deficit. The second moment: Tomas Dosek passed to an open Ivo Ulich, who calmly scores beside the falling Leeds goalkeeper. The third moment: Ludek Zelenka was fouled by an Englishman, the referee ordered a penalty shot. Ulich took the kick, goalkeeper Martyn touched the ball, but it went through into the net. Slavia won its fifth straight game in Strahov Stadium and thanked the fans. "We left with our heads up," Slavia coach Frantisek Cipro said. The win moved the Czech Republic's national quotient ahead of Greece and ensured it six places in the European Cups for the 2001-2002 season. David Luksu/Mirek Langer Hockey Extraleague: Sparta Defeats Litvinov in Playoffs Semifinal Two factors decided Litvinov's loss on Sparta's ice in the first game of the semifinals of the hockey extraleague playoffs: Sparta's goals in the first period and its own unconverted chances from the second. "We played just how we didn't want to," said Litvinov coach Vaclav Sykora after the game and complained about the second period: "In it we should have broken the game open, but the maximum we got was Reichel's shot off the post." Richard Zemlicka (8th minute), Michal Sykora (11th minute) and Patrik Martinec (19th minute) opened the scoring quickly for Sparta, Litvinov's Vladimir Gyna scored 20 seconds before the end of the first period. After the break Litvinov took control and was often only a few inches from tying the score. Sparta goalkeeper Petr Briza played excellently, allowing only Zelenka's goal in the 35th minute. Darina Johanidesova/Mirek Langer After deadline: Reigning champion Vsetin defeated Plzen 2-0 in the second semifinal. Plzen advanced to the semifinal by defeating Trinec 4-3 on penalty shots in the fourth game of the semifinal series. Soccer League: Slavia Careful Slavia Praha players knew before their game in Olomouc that Sparta defeated Brno in the 22nd round 3-0 and moved to within one point of first-place Slavia. After one hour Richard Dostalek scored the first goal, the second one was given to Slavia by Olomouc's own player. Slavia still leads the chart, Sparta is four points behind, Drnovice is two points behin Sparta. The rest of the teams cannot catch Slavia. Results of the 22nd round: Olomouc - Slavia Praha 0-2, Sparta Praha - Brno 3-0, Pribram - Ceske Budejovice 1-0, Teplice - Bohemians Praha 2-0, Drnovice - Blsany 2-0, Opava - Hradec Kralove 0-0, Zizkov - Liberec 0-0, Jablonec - Ostrava 2-2. Standings: 1. Slavia Praha 58, 2. Sparta Praha 54, 3. Drnovice 40, 4. Bohemians Praha 31, 5. Teplice 30, 6. Blsany 30, 7. Ceske Budejovice 27, 8. Pribram 27, 9. Ostrava 26, 10. Brno 26, 11. Liberec 25, 12. Opava 23, 13. Olomouc 23, 14. Zizkov 22, 15. Hradec Kralove 18, 16. Jablonec 18. Darina Johanidesova/Mirek Langer SPORTS IN BRIEF * Jihlava lost the first two games of the hockey extraleague qualification tournament to Vitkovice 3-0 and 3-1. * Kenya's Isaac Kipron won the second Prague Half-Marathon in 1:03:28. Pavel Faschingbauer was the top Czech finisher, Jana Klimesova won the women's race. Darina Johanidesova/Mirek Langer WEATHER Spring is coming. Night-club jazz music hidden in warm and dark and smoky cellars seemed to be on the decline last week. Temperatures of about 15 degrees Celsius/59 degrees Fahrenheit made reggae music in the open-air arena of the street more appropriate for young people. But the joy did not last long and daily, incessant rain brought back the blues. Clouds and rain not only struck temperatures down below 10 degrees Celsius/50 degrees Fahrenheit, but also turned Czech streams into wild rivers once again. Jan Vedral Jr. English version edited by Michael Bluhm. ----------------------------------------------------------------------- This news may be published only with attribution to CAROLINA. Subscription is free. Comments and remarks are appreciated. 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