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Dayna R Robison  09/21/2006 04:51:27 PM  From  DB/Inbox:  Dayna R Robison

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SUBJECT: AUSTRIAN MEDIA HIGHLIGHTS: September 20, 2006 
 
 
Tough Word Duels 
 
¶1. As expected, no common ground was identified in the eighth of the 
TV debates between party leaders - Tuesday night, Greens boss 
Alexander van der Bellen and FPOe party leader Heinz-Christian 
Strache, whose parties are fighting for third place in the upcoming 
national elections, engaged in a debate characterized by sharp 
rhetoric, especially over immigration policy. (ORF online) 
 
Latest Prediction Before Chancellor Duel:  OeVP 37%, SPOe 34% 
 
¶2. A cross section of all current polls regarding the Oct. 1 
national elections reveals the OeVP ahead of the SPOe by three 
percentage points. This sets the background for the much-anticipated 
Thursday duel between Chancellor Schuessel and his challenger Alfred 
Gusenbauer. (Neue Kronenzeitung) 
 
Elsner to Appear Before the Judge 
 
¶3. Former Bawag boss Helmut Elsner is due to appear before a judge 
that will decide about his extradition to Austria. Elsner is 
currently hospitalized in Aix-en-Provence and it is still unclear 
whether he will take part in the court hearing. The prosecutor in 
Vienna has been informed by French authorities that Elsner's 
condition has not worsened since his arrest and that his 
hospitalization was a "precautionary measure." This contradicts 
earlier reports that his health had deteriorated dramatically. In 
connection with the Bawag affair, Carinthia's Provincial Governor 
Joerg Haider has once again surfaced with an attempt to assume the 
role of investigator:  With the help of  a Bawag fax which was 
leaked to him, he is trying to establish that money changed hands 
between Wolfgang Flttl and socialist trade unionists, which, Haider 
says, are the main SPOe donors. Independent daily "Der Standard" 
reports that the Haider fax is not new, nor does it prove the 
Flttl-SPOe connection. It merely establishes a connection between 
Bawag/Flttl and a company called "Galonia Etablissement" in 
Liechtenstein. This company was officially mentioned in an 
inspection report of August 2006 and it is connected with Martin 
Schlaff, who was last heard of as investment partner of former OeVP 
boss Josef Taus, who visited Elsner before his arrest in France. 
 
New US Class Action Suit 
 
¶4. A class action lawsuit in connection with the union-owned bank 
Bawag scandal has been filed in the United States. "Global 
Management" has sued for damages on behalf of 3,000 Refco clients. 
The documents reportedly were forwarded to Vienna via the US Embassy 
in Austria. In the meantime though, Baway boss Ewald Nowotny has 
come forward to deny that the bank was affected by the lawsuit - 
"the charges leveled against us have been overtaken by more recent 
events," Nowotny said, asserting that the threatened lawsuit against 
Bawag was no longer an issue. "Global Management recently rephrased 
the charges and, in the new text, Bawag is no longer mentioned. The 
charges are now leveled against former Refco-boss Phillip Bennett 
and a number of other Refco managers. It is suspected that Global 
Management has at the last minute agreed to an out of court 
settlement between the Bawag and the Refco victims," writes economic 
daily "Wirtschaftsblatt." 
 
 
Bush, Ahmadinejad Appear Before UN 
 
¶5. US President Bush and Iran's President Mahmoud Ahmadinejad have 
made their positions clear before the UN General Assembly - the 
Iranian President again declaring his country's nuclear programs 
were peaceful and transparent, and Bush calling upon Iran to abandon 
its nuclear weapons ambitions. Ahmadinejad did not take part in a 
reception hosted by Kofi Annan in which Bush participated. Centrist 
daily Die Presse writes about an "exchange of blows" and a 
"rhetorical crossing of swords" between the two Presidents at the 
UN. George Bush harshly attacked the Iranian regime, stressing at 
the same time, however, that the "Iranian people deserve the chance 
to shape their own future." In addition, the US President emphasized 
that Washington would prefer a diplomatic solution to the 
controversy over Iran's nuclear ambitions, and said the US had 
"nothing against Iran pursuing a peaceful nuclear program." Liberal 
daily Der Standard reports that President Bush also pushed for 
international support of his Middle East democratization program. 
Furthermore, the US President underscored America's respect for 
Islam. Mahmoud Ahmadinejad's appearance before the UN General 
Assembly was also eagerly awaited, the Presse says. However, he had 
already made clear ahead of the UN Assembly meeting that Iran was 
not willing to compromise in the nuclear dispute. 
 
Riots Shock Hungary 
¶6. A wave of violent protests has hit Hungary -  Prime Minister 
Gyurcsany wants to stop the unrest, for which he blames right-wing 
extremists. The majority of Hungarians, however, are described as 
angry and deeply frustrated with the government. The opposition has 
called upon Gyurscany to resign, but the Prime Minister seems 
unimpressed by this, saying he wants to restore peace and order. 
Hungary is suffering from an economic crisis with unemployment 
rising as consistently as the budget deficit, which is expected to 
amount to 6.7 percent of the gross domestic product. This fact has 
led the EU to reprimand Hungary, blaming the bad economic situation 
on an inefficient, overblown bureaucracy, among other factors. 
Gyurscany was quoted by centrist daily "Die Presse" as calling the 
events in Budapest the "longest and darkest night in the Hungarian 
Republic" and urging the authorities to take "more resolute 
action." 
 
Tanks in the Heart of Bangkok 
 
¶7. The Thai army has initiated a coup against Prime Minister Thaksin 
and the military has declared a nationwide state of emergency and 
martial law. The coup had been expected for a few months - the 
military has been increasingly divided over allegiance to Thaksin, 
who is charged with abuse of power and corruption. There are 
indications he and his family were engaged in business deals for 
which they paid no taxes. Criticism regarding his conflicting 
interests was not something that Thaksin could bear, writes centrist 
daily "Die Presse" in reference to his repression of the media and 
the fact that he ignored all calls for his resignation. His 
authoritarian style and the growing corruption in the country 
increasingly disappointed the Thais. The military named General 
Sondhi Boonyaratkalin Acting Prime Minister - he is a loyal follower 
of King Bhumibol Adulyadej, reports ORF online. The royal family is 
a stabilizing factor in Thailand, the daily points out, noting that 
during this crisis all TV stations ran pictures of them. Also, the 
new Prime Minister is Muslim and therefore might be able to resolve 
the bloody conflict with Muslim insurgents in the southern part of 
the country, points out ORF online. 
 
Koizumi Era Ends 
 
¶8. On Wednesday, Japan's Prime Minister Junichiro Koizumi is 
expected to vacate his seat as Chairman of the Liberal-Democratic 
Party and head of government. Cabinet spokesman Shinzu Abe will take 
over both functions. Koizumi initiated economic reforms, cut back 
the power of the bureaucracy and party establishments and left an 
indelible mark on Japan's politics. Koizumi's successor, Shinzu Abe, 
is described as nationalistic, a defender of Japan's role in World 
War II, and a possible destabilizer who could create new conflicts 
in the region. His goal is to stop China's ascent of China to 
leadership status in Asia. This will be difficult since the 
economies of both countries are closely intertwined. Japan could 
seek alliances with India and Australia and some of the Central 
Asian republics of the former Soviet Union, speculates centrist 
daily "Die Presse," adding that this would make further 
confrontations between Beijing and Tokio unavoidable. Abe has also 
announced his intention to alter the post-war constitution to the 
effect that Japan will obtain the right to self-defense, a regular 
army and participation in military missions on foreign soil, and 
possibly even nuclear weapons. This in combination with Abe's 
interpretation of history could be dangerous, warns "Die Presse" and 
points out that the change of power in Japan is viewed with unease 
by some of its neighbors and even by Abe's critics in his own 
country. 
McCaw