The Ukrainian Weekly 1998, No.25

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The Ukrainian Weekly 1998, No.25 www.ukrweekly.com INSIDE:• Libel verdict threatens press freedom — page 2. • Black Sea countries establish economic organization — page 3. • Ukrainian American astronaut awaits flight assignment — page 4. Published by the Ukrainian National Association Inc., a fraternal non-profit association Vol. LXVI HE KRAINIANNo. 25 THE UKRAINIAN WEEKLY SUNDAY, JUNE 21, 1998 EEKLY$1.25/$2 in Ukraine EconomicT advisor warnsU of consequences Still no chairmanW for Verkhovna Rada if Ukraine fails to receive IMF funding after eight rounds of deputies’ voting by Roman Woronowycz Mr. Sachs, however, said the country will by Roman Woronowycz said Mr. Chyzh. Kyiv Press Bureau have trouble meeting the 87 requirements Kyiv Press Bureau Mr. Symonenko’s near success came that the IMF has listed, and that the mone- after the nomination of Mykhailo Syrota, KYIV — A leading international econo- tary fund should ease its conditions. “Both KYIV — After two more rounds of a non-aligned centrist candidate, failed in mist said on June 15 that if Ukraine is sides should be highly realistic and endorse voting, Ukraine’s Verkhovna Rada still the previous round. Mr. Syrota is a per- denied a new loan program by the a workable program, said Mr. Sachs. has not settled on who will lead the par- son who many thought had a chance to International Monetary Fund, the country The IMF has withheld money that this liamentary body. unite the ideologically divided and would be left in dire financial straits. financially strapped country of 50.9 million During the latest attempts, which stalled Parliament. Jeffrey Sachs, the noted Harvard desperately needs because it is not moving brings the total to eight, the national However, in the seventh round of vot- University professor and leading economic on economic reform at the speed the inter- deputies again have failed to elect two ing, Mr. Syrota, called “the godfather of advisor for economic reform to many coun- national bank would like. Ukraine has told prominent leftists and now an independ- the Constitution” because of his persist- tries in transition from communism to open the IMF that it has fulfilled all the condi- ent to the post of chairman. ence in moving the Constitution through markets, said in Kyiv that failure to qualify tions that it can at this point. Many here thought the new Parliament the Verkhovna Rada to ratification in for the IMF extended fund facility of some “Those measures that are in the govern- would be more effective because political June 1996 in a marathon all-night ses- $2.5 billion would leave Ukraine in a ment’s sphere of competence have already party discipline had been introduced by sion, could garner only 118 votes for the “sorry” state. been passed or will be passed very soon,” virtue of a new election law, but six post of chairman. Many national deputies “The financial situation in this country said Ukraine’s Finance Minister Yurii weeks after the parliamentarians were had stated prior to the vote that in Mr. and the problems facing the government are Mitiukov at a press conference on June 12. seated there is no chairman and not a sin- Syrota, perhaps, they had finally found very intricate, and it is going to be extreme- In attempting to meet a primary condi- gle new law. an electable candidate. ly difficult to draw other funds given the sit- tion, last month President Leonid Kuchma On June 18 the Verkhovna Rada came It was not to be because Mr. Syrota, uation that has emerged on the international ordered that the budget deficit be slashed close to electing a leader on its eighth try. who was elected as an independent and markets,” said Mr. Sachs. from 3.3 percent to 2.5 percent. Communist faction leader Petro decided not to re-join the pro-presidential The university professor spoke the same But the IMF has criticized Ukraine for Symonenko ended up five votes shy of National Democratic faction to which he day that an IMF negotiating team arrived in not doing enough in other areas and has told the 226 ballots needed for a majority in previously belonged, did not receive the Kyiv to review to what extent Kyiv has ful- the government it needs to speed up trans- the Parliament to elect a chairman. It was full support of the faction’s members. filled conditions of the loan. The team head- parent, large-scale privatization and struc- the fifth time he had been nominated. His As National Deputy Mykhailo ed by IMF Ukraine Director Mohammad tural reforms. 221 votes, however, only made it plain Ratushnyi said when he qualified a sug- Shadman-Valavi is to discuss questions Meanwhile, Ukraine has turned to the that another round of voting with another gestion that Mr. Syrota may be the ideal linked to the drafting of a mid-term eco- European market and is buying money at group of candidates would take place. candidate two days before the nomination nomic reform program to be supported by short-term interest rates some experts say But it gave deputies on the left hope failed: “It all depends on the faction.” an extended fund facility loan. exceed 40 percent in order to meet its finan- that, after more backroom brokering, Mr. The National Democrats have brought After having been denied two stand-by cial shortfall. Symonenko would achieve a majority. negotiations between the left and right loans valued at nearly half a million dollars Last year it also started to sell large vol- Ivan Chyzh of the Socialist faction said political blocs to a standstill by their earlier this year, Ukraine has abandoned umes of high-yield government securities. that Mr. Symonenko could get elected in insistence that one of their own should that tactic and made a total effort to qualify the ninth round. “I think that five votes is for the extended fund facility. (Continued on page 3) not a significant barrier to overcome,” (Continued on page 15) Ukrainian Institute of America celebrates 50th anniversary by Irene Jarosewich NEW YORK – More than 325 people gathered at a luncheon on May 31 in the elegant grand ballroom of the Plaza Hotel to celebrate the 50th anniversary of the Ukrainian Institute of America and to commemorate the 100th anniversary of the landmark building that is the organiza- tion’s home. Founded in 1948 by engineer and renowned inventor William Dzus, an immigrant from Ukraine, to promote Ukrainian heritage and culture, the institute was originally located in the Parkwood Mansion in West Islip, Long Island, near the Dzus family home. In 1955, the Fletcher Mansion, located on Museum Mile on Manhattan’s Upper East Side, was acquired by the UIA. Commissioned by banker Issac D. Fletcher – and immediately prior to its purchase by the UIA, owned by the descendants of New York’s Governor Peter Stuyvesant – the French Gothic lime- stone mansion was designed by architect Charles H. Gilbert and completed in 1898. In honor of the combined anniversaries, the UIA has established the Crown Jewel Roman Iwasiwka (Continued on page 3) Members of the board of directors, anniversary organizing committee and staff of the Ukrainian Institute of America. 2 THE UKRAINIAN WEEKLY SUNDAY, JUNE 21, 1998 No. 25 ANALYSIS: Libel verdict against NEWSBRIEFSNEWSBRIEFS newspaper threatens press freedom Moroz calls for leftist takeover near future. (RFE/RL Newsline) by Tiffany Carlsen Mercedes with money from a fund for and Katya Gorchinskaya the families of slain policemen. Mr. KYIV – Addressing a congress of the Russians want to gather info in Ukraine Kravchenko filed suit last year after Socialist Party in Kyiv on June 13, A Kyiv court on June 14 ordered the the newspaper had first printed the Oleksander Moroz, party head and former KYIV – Russia has shown interest in opposition daily newspaper Kievskie allegation. The daily plans to appeal Parliament chairman, called on left-wing Ukraine’s information zone, stated Viedomosti to pay libel damages totaling the ruling. forces to shoulder responsibility for the Information Minister Zinovii Kulyk on 5 million hryvni ($2.5 million U.S.) to an Four months ago, another Kyiv oppo- situation in the country, Ukrainian June 16. He said the Russian gas monop- ally of President Leonid Kuchma. If sition daily, Vseukrainskie Viedomosti, Television reported. “The left-wing forces oly Gazprom is especially interested in unable to pay, the newspaper will have to was forced to shut down after a court should take power irrespective of whether acquiring Ukrainian information space, close down. ordered it to pay 3.5 million hryvni in their representative will be elected head of and Lukoil “is buying out the regional tele- But there has been almost no reaction damages to a pro-Kuchma businessman the Verkhovna Rada,” he said. “We should vision stations and STV, and wants to cre- from the journalistic community. Only a and politician. At that time, however, not be afraid of the Bulgarian scenario, ate another TV channel in Ukraine.” More few voices have been heard about the many journalists openly argued that the with which we are being threatened,” Mr. financing is needed to withstand such case, which many consider to constitute government was trying to gag the opposi- Moroz added. Official media have warned companies looking to enter the domestic yet another assault on press freedom by tion in the run-up to the March parlia- that a Socialist/Communist comeback information market, said Ukraine’s infor- the government. mentary elections. may lead to economic collapse, as was the mation minister. (Eastern Economist) case in Bulgaria. (RFE/RL Newsline) “There has been no reaction from any Now, Mr. Yakhunov is saying, news- NATO info center has new chief sort of journalists’ union, and that is very papers have not rushed to the defense of Kuchma decrees spending cuts surprising,” said Volodymyr Mostovyi, Kievskie Viedomosti for purely commer- KYIV – Taras Kuzio, historian and polit- editor of the weekly Zerkalo Nedeli.
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