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 372, Friday, April 21, 2000. FROM THE EVENTS OF THE PAST WEEK (April 12 - April 19) Prague Court Begins Trial on ODS Tax Evasion The trial of former Civic Democratic Party (ODS) Vice Chairman Libor Novak on tax evasion charges began April 17. Prosecutors say Novak broke the law by attributing sponsor contributions to a larger number of sponsors and thus decreasing the party's tax liability. This is the Czech Republic's first criminal case related to party financing. The ODS scandal, marked by the use of nonexistent sponsors, led in December 1997 to the fall of the former Prime Minister Vaclav Klaus's government and early elections the following June. The ODS got two donations worth 15 million crowns in 1995 and Novak, who was responsible for party finances, deprived the state of between 500,000 crowns and 1 million crowns by dividing the gifts among more sponsors. The first 7.5 million he divided in half between two false donors - a dead Hungarian named Lajos Bacs and Radjiv M. Sinha, a citizen of Mauritius who had never heard of the party. Former pro tennis player and current co-owner of the Moravia Steel corporation Milan Srejber, interested then in the privatization of the Trinec Ironworks (Trinecke zelezarny), admitted he gave the money. The donation of the second 7.5 million crowns has not yet been explained. Novak credited the contributions to four businessmen from Usti nad Labem, but the money came from account of Jaroslava Mlejnkova, wife of former Sparta Praha soccer player Miroslav Mlejnek. The scandal broke in fall 1997 and in December 1998 Novak was charged with tax evasion by the Prague public prosecutor. Novak has pleaded not guilty, saying he only signed what was placed in front of him. Presiding Judge Michal Hodousek said he wants to conclude the trial in nine days. Witnesses called to testify include ODS Chairman and former prime minister Vaclav Klaus, party Vice Chairman Miroslav Macek and former ODS Vice Chairman and Foreign Minister Josef Zieleniec. About 30 witnesses are expected to testify. Darina Johanidesova/Darina Johanidesova Prague Activists Demonstrate against IMF and World Bank About 300 activists demonstrated April 16 against the International Monetary Fund (IMF) and the World Bank on Prague's Old Town Square. A permit for the demonstration had been denied by Prague 2 District Office. Demonstrators marched after a few speeches to Wenceslas Square, where they finished their protest. Ivo Belohubek of the Initiative against Economic Globalization said, "Thank you, I hope next time we'll get together in greater numbers." Prague will host the IMF and World Bank's fall session in September. The demonstration was monitored by about 600 policemen, who arrested six activists. Some of them accused the police of violating the activists' right to assemble peacefully. Activists and the police each expressed their satisfaction with the day's events. Jan Vedral Jr./Jakub Jirovec Chamber of Deputies Passes Amendments to Labor Act Deputies April 18 passed significant amendments to the Labor Act as proposed by the government. The changes strenghten the position of workers - minimum vacation is extended from three weeks to four weeks, limits overtime and requires employers to discuss the mass layoffs with employee representatives. Also, any employee, male or female, will have the right to take parental leave until his or her child is three years old. The law will take effect January 1 and must be approved by the Senate and signed by the president. The proposal was supported by 122 of 181 present deputies, while all Civic Democratic Party (ODS) deputies were against. ODS said it considers the changes a threat to the competitive ability of the Czech Republic and to small and medium-sized business. The changes require all companies allow their employees to see company accounting records and trade contracts. However, there is no confidentiality requirement in the law, one of the main objections of ODS. Labor Minister Vladimir Spidla said the amendments open the way to the EU and creates a normal, civilized legal structure appropriate for the end of the 20th century. He said the ODS position on social policy was anachronistic. The debate in the Chamber of Deputies was closely monitored by labor unions. Chairman of the Czech-Moravian Confederation of Labor Unions and Senator Richard Falbr said he welcomed the amendments and support for them signifies a pro-European stance. Ondrej Maly/Ondrej Maly Strike in Kohinoor Mine Continues The Most Coal Company (Mostecka uhelna spolecnost, MUS), owner of the Kohinoor coal mine, signed April 18 a contract on a future contract with Ladislav Pleticha's SHD-Peel company. The contract was cancelled the next day, because miners staging an occupying strike in the coal mine refused to leave. The 46 miners continue to strike. Frantisek Nekola, vice chairman of the miners' union, said the miners will establish a crisis group to negotiate with the government. The strikers have been 365 meters underground since March 31 and are demanding the sale of Kohinoor. They are afraid the mine will be closed - and they will be left unemployed in the Most region with its 20-per-cent unemployment rate. MUS want to close the mine by the end of next year, because coal from Poland is much cheaper and demand for brown coal is declining. Dita Eckhardtova/Jakub Jirovec Shareholders of Cooperative Credit Unions Demonstrate Hradcanske Square in front of Prague Castle witnessed April 13 a demonstration of some 800 shareholders of cooperative credit unions who want their investments back. The demonstrators said they wanted to force the Office for Supervision of Cooperative Credit Unions to take greater responsibility for the errors that led to the bankruptcy of the credit unions and to introduce needed measures. In a petition presented by Frantisek Zoubek, former chairman of the Pria credit union, the protesters requested the fast approval of a law that would partially compensate credit-union shareholders. Seven credit unions are under forced administration, many others have been limited in their operations with deposits. The daily Pravo wrote that almost 10 billion crowns are blocked, which is about 90 per cent of all money invested in credit unions. Pavel Korinek/Ondrej Maly World Hockey Championships to Be on TV NOVA Vladimir Zelezny, general director of TV NOVA, said April 13 that the TV NOVA and the Swedish company MTG, owner of broadcasting rights for the World Hockey Championships, came to an agreement on coverage of the tournament April 29 - May 14 in St. Petersburg, Russia. The broadcasting rights had been an issue for weeks, after TV NOVA's former service company CNTS refused to withdraw from its three-year agreement with MTG; the original contract for the 1997-2000 championships was closed between MTG and CNTS, not with TV NOVA license-holder CET-21. CNTS was ready to resell the rights to public-service broadcaster Czech television or TV Prima, but Czech Television could not fulfill the contract conditions for teleshopping time for MTG. TV Prima and CNTS also failed to reach an agreement. CNTS has tried so far without success to impose a preliminary injuction in a Swedish court on MTG not to transfer the rights to TV NOVA. David Luksu/Milan Smid NEWS IN BRIEF * Prime Minister Milos Zeman asked President Vaclav Havel to recall Regional Development Minister Jaromir Cisar and Transportation Minister Antonin Peltram in a letter which the Office of the President received April 18. Their successors should be the Social Democrat (CSSD) Vice Chairman Petr Lachnit (Regional Development) and Parliament deputy Jaromir Schling (Transportation). These should be the last changes in the government required by the Civic Democratic Party (ODS) in exchange for their support of the 2000 budget. * The Chamber of Deputies elected seven people to the nine-member Czech Television Council, the supervisory body which chooses and recalls the station's general director and approves its budget. Three new members were nominated by the Civic Democratic Party (ODS), two by the ruling Social Democrats (CSSD), one by the Freedom Union (US) and one by the Christian Democratic Party (KDU-CSL). Some observers claim this method of elections based on the political partisanship calls into question the independence of the council. The two remaining members of the council (nominated probably, according to a preliminary agreement, by the Social Democrats) will be elected during the May session of the Chamber of Deputies. * According to polls taken by the Sofres-Factum agency, the Civic Democratic Party (ODS) would win a general election today with 27.6 per cent of the vote. The Communist Party (KSCM) would receive 22.9 per cent, the Freedom Union (US) 15.4 per cent, the ruling Social Democrats (CSSD) 13.2 per cent and the Christian Democrats (KDU-CSL) 9.2 per cent. * Employees of the bankrupt Poldi Steelworks received their back pay April 17 - more than three years after the company was placed in bankruptcy. The Kladno branch of the Czech Savings Bank will pay out about 98 million crowns to 2,401 former workers. * Prime Minister and Social Democrat Chairman Milos Zeman became chairman of the Committee of the Socialist International for Peace, Democracy and Security April 10. The committee's task is to work out issue positions for socialist and social democrat parties throughout the world. In the future it should also push for forgiving the debt of Africa's poorest countries, eliminating violence against women and abolishing the death penalty in all countries. Michaela Kleckova and Martin Moravec/Simon Dominik FOREIGN AFFAIRS Cubans Demonstrate against Czech Republic More than 100,000 Cubans rallied in front of the Czech Embassy in Havana April 18. The crowd echoed with cries of "The Czechs are lackeys and puppets in the hands of the USA! Stop the lies!" The Cuban Communist regime organized the rally to protest the Czech-Polish proposal of a UN resolution to criticize the actions of Fidel Castro's regime against Cuban dissidents. The UN Commission for Human Rights in Geneva approved the resolution despite the tense atmosphere (out of 53 countries, 21 were for the proposal, 18 against and 14 abstained) and denounced human-rights violations in Cuba. The Czech Republic and Poland in the resolution ask Cuba to start a dialogue with the opposition and release anti-regime activists. Cuba's ambassador to the UN said "the real authors of the resolution are the United States, which will not give up their interest in manipulating the Commission." Dita Eckhardtova/Simon Dominik Days of Czech Culture in Vienna Days of Czech Culture were opened in Vienna April 14 with an exhibit on Czech surrealism and L'art brut. Other projects include an exhibit of the winning photographs from the last three Czech Press Photo competitions and films by Jan and Eva Svankmajer. A concert is also planned by the Prague Symphony Orchestra FOK with violinst Ivan Zenaty. The festival will last until May 25. Iva Potrebova/Michael Bluhm FROM SLOVAKIA Slovak Government Stays in Office Premier Mikulas Dzurinda and his Cabinet remain in office after an unsuccessful vote of no confidence was taken in the National Assembly April 13. The proposed recall of the government was predictably supported by the opposition and shockingly supported by Chairman of the Assembly and the governing coalition Party of the Democratic Left (SDL') Jozef Migas. Sixty assemblymen of 141 present voted for the proposal, 72 were against and nine abstained. According to the Constitution, the government can be recalled by a simple majority of all legislators (i.e., at least 76 votes in the 150-member Assembly). Dzurinda said after the vote that he was still willing to govern together with Migas' leftists. In the debate before voting, opposition legislators called Dzurinda's policies the cause of the economic and social decline of the country. Sergej Kozlik of the Movement for a Democratic Slovakia (HZDS) said, "Mr. Dzurinda is evidently not capable of his function and Slovakia is in a great crisis. The Premier is not fulfilling his campaign promises and has thus defrauded the citizens of Slovakia." He said the Cabinet is not prepared to deal with economic and social problems and emphasized the 20-per-cent unemployment rate, the decrease in industrial production and in foreign investment. Dzurinda said Slovakia is on the right path: "We now have the chance to join the advanced world. Behind the proposal for my recall is an obvious effort to call attention away from the fear of the leader of the opposition before the law (former Premier and current HZDS Chairman Vladimir Meciar is not willing to testify in a number of cases - see Carolina 370). Veronika Hankusova/Veronika Hankusova After deadline: Police swat teams used explosives to gain entry to Meciar's villa in Trencianske Teplice on the morning of April 20. Meciar was taken in to testify about allegedly illegal compensation for members of his Cabinet. Luxembourg Seventh Country to Require Visas for Slovaks Luxembourg will become April 20 the seventh European country to require visas of Slovak citizens, according to the head of the Passport and Visa Department of the Luxembourg Foreign Ministry Bernard Bach. Slovak citizens will need visas when traveling to Great Britain, Ireland, Finland, Denmark, Norway, Belgium and Luxembourg. Unlike other countries, the visa requirement in Luxembourg was not introduced as a result of a flood of Slovak Romanies requesting asylum, but rather to show solidarity with Belgium, which iniciated the requirement April 13. Belgium, Luxemburg and the Netherlands have the longest tradition of asylum in Europe. Holland is not threatening Slovakia with visas but is monitoring the number of asylum applications. Veronika Hankusova/Veronika Hankusova ECONOMY New Commerce Bank CEO Appointed After nearly two months of provisional management in the Commerce Bank (Komercni banka), Finance Minister Pavel Mertlik made public the name of the new bank CEO - Radovan Vavra, 46, former member of the board of directors of Citibank's Prague subsidiary. Vavra takes office April 19 and will replace as general director and chairman of the board of directors Jan Kollert, who had to step down in connection with the 8-billion-crown loss recorded on loans to the Austrian company B.C.L. Trading (see Carolina 363). In banking circles, Vavra is known as an efficient banker with good experience in loan relationships with small and medium-sized enterprises in Citibank. Vavra refuses to comment on his next steps in the bank, but it is generally assumed that he will reshuffle the management of the bank, and Vavra has said he will take active part in the process of hiring new top management in the last Czech bank controlled by the state and preparing for privatization. Lubos Kratochvil/Milan Smid ECONOMY IN BRIEF * The dollar reached a record high against the crown April 18 as trading took place at 38.50 crowns to the dollar. Since the Czech National Bank intervened to weaken the crown, it has remained slightly above 36 crowns to the euro. * The Prague Stock Exchange's PX-50 index flopped 5.4 per cent April 17 in the wake of the bad news coming from US capital markets. The PX-50 hit its lowest level since February and among the companies hardest hit were telecommunication giants Czech Telecom and Czech Radiocommunication. * Trade Minister Miroslav Gregr announced last week the government has approved investment incentives worth more than 2 billion crowns for 29 companies that intend to create more than 14,500 new jobs. Lubos Kratochvil/Michael Bluhm Rates at the Czech National Bank (valid April 21) -------------------------------------------------------------- 1 EUR = 36.270 country currency CZK ------------------------------------------ Australia 1 AUD 22.978 Great Britain 1 GBP 60.940 Denmark 1 DKK 4.867 Japan 100 JPY 36.850 Canada 1 CAD 26.175 IMF 1 XDR 51.756 Hungary 100 HUF 14.054 Norway 1 NOK 4.440 New Zealand 1 NZD 19.188 Poland 1 PLN 9.008 Greece 100 GRD 10.817 Slovakia 100 SKK 87.331 Slovenia 100 SIT 17.780 Sweden 1 SEK 4.408 Switzerland 1 CHF 23.071 USA 1 USD 38.595 Exchange Rates of countries participating in the euro (converted from the euro rate) country currency CZK ----------------------------------------- Germany 1 DEM 18.545 Belgium 100 BEF 89.911 Finland 1 FIM 6.100 France 1 FRF 5.529 Ireland 1 IEP 46.053 Italy 1000 ITL 18.732 Luxemburg 100 LUF 89.911 Netherlands 1 NLG 16.459 Portugal 100 PTE 18.091 Austria 1 ATS 2.636 Spain 100 ESP 21.799 CULTURE Drtikol's Early Works on Display in Prague until June 4 Czech photographer Frantisek Drtikol's (1883 - 1961) photographs are on display in Prague's Museum of Applied Arts (Umeleckoprumyslove muzeum) until June 4 as part of the project Prague, European City of Culture 2000. Drtikol, famed for his nudes, is credited with helping emancipate photography and make it a recognized form of art. The first part of the exhibit shows Drtikol's works from 1901-1914. The flavor of Seccession pictorialism and landscape photography gradually gives way to nudes. The second part of the exhibit features 50 works from the Album From the Court and Courtyard of Old Prague, released in 1911 with the assistance of Augustin Skarda. Tereza Tesarikova/Michael Bluhm Narvan Suffers Tragic Accident Front-man Mario Feinberg and guitarist Martin Pokora, co-founders of the Brno band Narvan, died in a car accident April 13. The group made three records and had a promising future. The band started as a rock group but moved toward funk after its first two albums. Jan Vedral Jr./Simon Dominik SPORTS Sparta Wins Hockey Extraleague Just after 7:00 p.m.April 13 on the ice of the Na Lapaci arena in Vsetin, Sparta players covorted with the nearly 1.5-meters/4.5-foot trophy as extraleague champions, while Vsetin captain Jiri Dopita with an apologetic smile displays Vsetin's runner-up cup. Sparta won the third game of the best-of-five final series and became champion in the quickest possible fashion - Sparta won nine stright games in the playoffs, sweeping all three series. Vsetin had won the last five championships. As Vsetin's players promised, the third game was more dramatic. Vsetin created while Sparta defended. Sparta goalkeeper Petr Briza stopped the attacks of the home team, and so David Vyborny, Sparta coach Frantisek Vyborny's son, decided the game and the series with a goal from the scrum in front of the net. Sparta fans waited for their team until midnight and 5,000 of them attended a celebration in Prague's Paegas Arena April 16, in which the loudest ovations were given to Richard Zemlicka and Petr Briza. Hockey extraleague 1999-2000 final standings: 1. Sparta Praha, 2. Vsetin, 3. Plzen, 4. Trinec, 5. Zlin, 6. Ceske Budejovice, 7. Litvinov, 8. Pardubice, 9. Znojmo, 10. Slavia Praha, 11. Karlovy Vary, 12. Kladno, 13. Havirov, 14. Vitkovice. Darina Johanidesova/Mirek Langer Soccer League: Sparta Led Standings for 48 Hours Sparta Praha, one point behind the top-place Slavia Praha in the soccer league standings, led the league for 48 hours after its 2-0 win over Hradec Kralove. Slavia then managed to defeat Opava and return to first place. Sparta won comfortably and did not allow anything to the home team players in Hradec Kralove April 14. Only an excellent performance by Hradec goalkeeper Novotny and weak play by Sparta's forwards avoided a blowout. On the contrary, Slavia started its game slowly, but dominated after the first goal by Tomas Dosek. In the end, Slavia's performance was applauded even by Sparta coach Ivan Hasek, who came to watch his team's biggest opponent. In the case of a tie at the top of the standings, Sparta would win because of a larger differential between goals scored and goals allowed. Sparta and Slavia will meet in the 28th round. The fight to stay in the league is becoming dramatic. Dukla Pribram joined the list of endangered by losing four times in a row. Jablonec helped itself with a win in Blsany and left the last place in the standings. Results of the 25th round: Hradec Kralove - Sparta Praha 0-2, Slavia Praha - Opava 3-1, Drnovice - Pribram 2-1, Olomouc - Zizkov 2-0, Blsany - Jablonec 1-2, Liberec - Teplice 2-0, Ostrava - Ceske Budejovice 1-1, Bohemians Praha - Brno 0-0. Standings: 1. Slavia Praha 64, 2. Sparta Praha 63, 3. Drnovice 46, 4. Bohemians Praha 35, 5. Brno 33, 6. Liberec 32, 7. Teplice 32, 8. Blsany 31, 9. Olomouc 29, 10. Ostrava 28, 11. Zizkov 28, 12. Ceske Budejovice 28, 13. Pribram 27, 14. Opava 24, 15. Jablonec 23, 16. Hradec Kralove 20. Jan Moravek/Mirek Langer SPORTS IN BRIEF * The Czech national hockey team played two friendly games in Switzerland to prepare for the upcoming World Championships. It won the first game 1-0, the second finished in a 1-1 tie. Coach Karel Augusta said he was satisfied with the defense, but the offense was disappointing. After deadline the national team met Russia twice, winning in Mlada Boleslav and losing in Prague. * One second-league team will play in the final of the Soccer Union Cup: the winner of the game between second-league teams Ratiskovice and Vitkovice. Olomouc and Liberec will meet in the second semifinal. In the quarterfinals April 12 Slavia's squad was nearly bare of starters and lost to Liberec 0-2. Vitkovice advanced over Jablonec 3-2 after penalty shots. Olomouc eliminated Viktoria Zizkov 2-1 on an overtime goal and in another game between two second-league teams, Ratiskovice defeated Plzen (which previously eliminated Sparta) 2-1. Jan Moravek/Mirek Langer WEATHER Prague is full of Easter decorations and everything is ready to host herds of tourists who shall crowd the Charles Bridge and the Old Town Square and Prague Castle. The weather of the past week has added to Prague's beautiful setting as by rushing bushes and trees to blossom and the grass to turn green. No rain, plenty of sunshine, daily temperatures of 15-20 degrees Celsius/59-68 degrees Fahrenheit - that was the week that was. Radka Kohutova 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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