Greek Prime Minister Samaras tries to find face saving solution for ERT closure mess - fig offered to Coalition partners rejected . Can the Ccalition survive ERT debacle ? Spain debt surges to record high and the pace accelerating - more green shoots of poison ivy .....

http://news.xinhuanet.com/english/world/2013-06/15/c_132456326.htm

Dispute over Greek public broadcaster's shutdown referred to courts

English.news.cn   2013-06-15 01:26:41

ATHENS, June 14 (Xinhua) -- The intense dispute over the Greek government's sudden decision to shut down state television and radio broadcaster ERT on Tuesday midnight was referred to courts on Friday, amid mounting tensions over the first big wave of layoffs in the country's public sector.

The Council of State, Greece's highest administrative court, is likely to issue a preliminary verdict by Tuesday next week on the nationwide federation of television and radio personnel POSPERT's request that the closure be reversed, according to legal sources. A final verdict could follow in autumn.

The prospect of derailing the government's plans and giving time to all sides to examine the necessary overhaul is on the table, local analysts said.

POSPERT argues that the step was illegal because the relevant ministerial decree was not signed by all ministers and in addition the closure conflicts with Greek and international legislature frameworks regarding protection of press freedom.

In the meantime, main opposition Radical Coalition SYRIZA party has submitted a similar request to the Supreme Court, while upon a government's request a prosecutor launched a preliminary investigation into allegations for chronic corruption and mismanagement at ERT.

As the broadcaster's program is still being broadcast since Wednesday through other Greek private television and radio channels, Internet and the European Broadcasting Union (EBU), Europe's public broadcasters' association, press unions extended rolling strikes to all Greek print and electronic media to Tuesday. Only coverage of developments on ERT's issue is exempted.

ERT's "sudden death" has prompted strong reactions by international press unions and media in solidarity with ERT's 2,700 employees.

"We came here because it has never happened before, since EBU's establishment that a public channel was cut on air... We defend democracy and uphold civilization," EBU's President Jean-Paul Philippot said during a press conference held at ERT's headquarters in Athens on Friday.

Philippot held a series of meetings with Greek officials, including Finance Minister Yannis Stournaras, to whom he handed a petition undersigned by over 50 heads of European radio and TV stations who called for the immediate reopening of the broadcaster, arguing that it is a matter of safeguarding press freedom and pluralism.

Reiterating the government's determination to press forward reforms and close ERT as a hub of waste Stournaras stressed on Friday that ERT's closure was necessary in order to proceed with the restructuring.

Philippot also had talks with Fotis Kouvelis, leader of Democratic Left, the junior partner in the three-party one- year ruling coalition, who insisted that ERT should carry on operating during the restructuring.

ERT's closure has caused rifts within the government, as socialist PASOK shares Kouvelis' view and backs a draft law submitted to parliament aiming to reverse the ministerial decree signed only by ministers of the conservative New Democracy Party of Prime Minister Antonis Samaras.

A meeting between all partners has been scheduled for Monday, amidst persisting scenarios in local media of a possible government collapse and new snap general elections as soon as mid-July.

"Needed reforms is one thing, a blackened TV screen is another. It's an issue of democracy... Whoever chooses to lead the country to polls, should bear the responsibility," Kouvelis said on Friday after his meeting with Philippot.

"ERT is not for sale," ERT employees and other protesters chanted at the same time during the latest demonstrations at ERT's main building, as the broadcaster's orchestra, joined by the City of Athens Music Bands, performed at the courtyard.

In a further blow for the government, a news blog rushed to register the domain name "NERIT" of the new broadcaster which will replace ERT in late August with reduced staff, according to the government's plan.

Now, the government will either have to pay the blog or rename the New Hellenic Radio, Internet and Television Broadcaster (NERIT).

ERT's shutdown is part of a new round of cost-cutting and reform measures promoted by the government under pressure from international lenders in exchange for further crucial rescue loans to stave off default.

Greece pledged creditors who keep her afloat since 2010 that will eventually proceed with the unprecedented in its modern history dismissals of tens thousands civil servants by 2016, starting with at least 2,000 employees this summer and 4,000 by 2014 in the context of efforts to resolve the economic crisis.

http://www.guardian.co.uk/world/2013/jun/15/greek-pm-climbdown-over-ert-broadcaster

Greek prime minister backtracks on decision to close public broadcaster

Antonis Samaras tries to calm political crisis by offering partial reinstatement so transmissions can resume 'immediately'

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• Helena Smith in Athens
• guardian.co.uk, Friday 14 June 2013 19.51 EDT

Protesters gather in front of the ERT headquarters on Friday. Photograph: Angelos Tzortzinis/AFP/Getty Images

Greece's prime minister, Antonis Samaras, attempted late on Friday night to end the turmoil over his decision to close the country's public broadcaster – with a proposal to partially reinstate the company so it could resume transmissions "immediately".

The proposed closure of the Hellenic Broadcasting Company (ERT) has led to the conservative leader facing his worst political crisis since assuming power a year ago.

He announced the apparent climbdown in the hope it would stem the public protests that have once again put Athens in the eye of the storm.

"To find a solution to the issue … I propose that a temporary committee of broad parliamentary acceptance be appointed," he said in a statement.

The committee, he suggested, should be set up "with the express purpose of hiring a small number of [ERT] employees so that the broadcast of news programmes can begin immediately".

But instead of calming tensions, his offer inflamed them. Within hours, his two centre-left coalition partners rejected the offer, reinforcing speculation that they would walk out of the uneasy alliance now ruling Greece if ERT is not quickly reopened.

Dimitris Trimis, the head of the country's association of journalists, ESEA, described the compromise as being "totally insufficient".

He said: "It proves that he is under tremendous pressure but it falls far short of the demands of unions and ERT employees who have already experienced huge cutbacks.

"He still wants to go ahead with his plans to radically restructure the organisation."

Prior to his announcement, Samaras had come under immense pressure, both at home and abroad, to switch the state-run channel back on.

Describing ERT as a huge drain on the public purse, he had previously insisted the broadcaster, which employs 2,700, would not be reopened until it had been overhauled in line with the demands of Greece's "troika" of creditors – the International Monetary Fund, the European Central Bankand the EU,

Earlier on Friday, the European Broadcasting Union (EBU) had urged Samaras to reverse his decision after emergency talks in Athens.

"We ask the government to re-establish the signal on TV, radio and web," said the body's president Jean-Paul Philippot, noting it was the first time in the history of Europe that a country had elected to shut down its own broadcaster.

Across the continent officials have also expressed dismay at the move made when the broadcaster was transmitting live late on Tuesday.

Berlin, which has bankrolled most of the bailout funds propping up the debt-stricken Greek economy, is said to be outraged at the prospect of political crisis in Athens shattering the calm before Germans go to the polls in September.

With all sides digging in their heels, the spectre of elections had become a real possibility.

"No one, with the exception of [neo-Nazi and fast-growing] Golden Dawn, wants elections in this country," said political scientist Dimitris Kerides.

"It was absolutely expedient that Samaras found a way to back down without losing face."

Analysts did not rule out the compromise being used as a bargaining chip ahead of crucial talks between all three coalition leaders on Monday.

Samaras, addressing the youth wing of his own centre-right party on Friday, accused those who defended the broadcaster of being "hypocrites," likening ERT to a den of "sin … and scandals that our people will learn".

The public prosecutor's office had ordered an official probe into the widespread corruption and malpractice that had bedevilled the company, he said.

http://www.ekathimerini.com/4dcgi/_w_articles_wsite1_1_14/06/2013_504250

PM offers compromise on ERT ahead of leaders’ talks on Monday  A woman walks past a picture of Maria Callasposted on the door inside the Greek state television ERT headquarters in Athens. A compromise between the three parties that make up Greece’s coalition was being sought Friday after New Democracy clashed with PASOK and Democratic Left over the closing down of public broadcaster ERT, a dispute that has put the government’s ability to continue in doubt. Prime Minister Antonis Samaras is due to meet PASOK leader Evangelos Venizelos and Democratic Left chief Fotis Kouvelis on Monday afternoon to discuss the junior partners’ opposition to Tuesday’s move to take ERT off air until a new broadcaster is formed, probably at the end of August. Kouvelis and Venizelos said they would discuss an overhaul at ERT but only if its TV and radio services resume. Sources told Kathimerini that Samaras is adamant ERT should not reopen and is only willing to discuss legislation regarding the new broadcaster, NERIT – as it will be called initially – being speeded up so that it could even begin airing some programs next week. “ERT was full of scandals that people will learn about soon,” Samaras told a meeting of New Democracy’s youth wing, ONNED, late Friday. The prime minister proposed that a cross-party committee be formed to begin hiring a skeleton staff so a new broadcaster could launch a basic service. State Minister Dimitris Stamatis was also reported to have proposed to Kouvelis and Venizelos that ERT be allowed back on air but only to show documentaries and reruns. The future of the coalition and the question of whether snap elections could be looming for Greece rides on whether the coalition leaders are able to find common ground when they are due to meet on Monday. The Council of State, the country’s highest administrative court, is also set to decide on Monday whether to uphold an appeal by the union representing ERT workers against the broadcaster’s closure. According to court sources, a ruling foreseeing the temporary “freezing” of the government’s decision to close ERT – until the case is assessed in court – will be announced on Monday or by Tuesday at the latest. This would allow ERT to resume broadcasts and mean the coalition leaders not having to find a compromise themselves. Meanwhile, aides close to President Karolos Papoulias let it be known Friday that the president believed it would best for an overhaul of ERT to be carried out with the broadcaster open. There were interventions on a European level too. The president of the European Parliament, Martin Schulz, reportedly asked Samaras to reopen ERT. In a letter to the Greek premier, Schulz expressed his “surprise and sorrow” at the closure of Greece’s state broadcaster. “Without questioning the competence of the Greek authorities to decide and implement strategic decisions relating to state radio and television, I cannot ignore the institutional and political concerns which arise from this decision in the context of the democratic procedure.” The head of the European Broadcasting Union, Jean-Paul Philippot, was in Athens Friday to ask for ERT’s signal to be restored. “No European country has ever cut its broadcaster’s signal,” Philippot told a press conference at ERT’s headquarters. http://www.ekathimerini.com/4dcgi/_w_articles_wsite1_1_15/06/2013_504268 Public against ERT shutdown, snap elections, polls show Two opinion polls published over the weekend indicate that the majority of Greeks oppose the closure of ERT. A Kapa Research survey for Sunday’s To Vima newspaper suggests that 64.4 percent of Greeks regard the decision to shut down the public broadcaster as either negative or “probably negative.” In contrast, 32.1 percent of respondents said they view the government’s move as positive or “probably positive.” A poll by VPRC for the tvxs.gr website indicates that as many as 65 percent of Greeks oppose the closure of ERT, while 27 percent are in favor of its TV and radio service being taken off air. Five percent said they were neither in favor nor against. The Kapa Research poll also shows that 57.1 percent of Greeks do not want early elections to be held, while 40.1 percent would like the country to go to the polls soon. The survey also puts New Democracy narrowly ahead of SYRIZA, with a 21.4 to 21.1 percent rating. Golden Dawn was in third with 9.5 percent, PASOK in fourth with 6.3 percent, the Communist Party on 5.1 percent, Independent Greeks with 4.4 percent and Democratic Left with 3.9 percent. The VPRC poll gave SYRIZA a substantial lead over New Democracy, with 29 against 26.5 percent. A Public Issue poll for Skai and Kathimerini earlier in the week gave the conservatives a 2 percent lead over SYRIZA with 29.5 against 27.5 percent. http://www.ekathimerini.com/4dcgi/_w_articles_wsite2_1_14/06/2013_504255 Gov’t to tread cautiously after DEPA failure By Chryssa Liaggou Following the failure of the Public Gas Corporation (DEPA) tender and hoping to save face in that for gas transmission network operator DESFA, the government is accelerating the privatizations program, giving priority to projects such as the Piraeus Port Authority (OLP), in a bid to reduce the shortfall expected in revenues and fend off pressure from its creditors to introduce more measures. The coming week will be crucial for developments on the sell-off front as it should see definitive decisions regarding the outcome of the DESFA tender. The government expects to get a positive result to edge closer to the target for revenues of 1.6 billion euros from privatizations this year and reverse the negative picture created from the lack of bidders for DEPA. From the statement issued by state privatization fund TAIPED on Wednesday after the sole binding offer from Azeri state energy firm Socar, it emerges that awarding the 66 percent stake in DESFA to the only bidder will depend on whether the Azeris raise their offer. TAIPED stopped short of revealing the price offered, but it is said to range between 390 and 430 million euros. A meeting of the two shareholders, TAIPED and Hellenic Petroleum, will decide on the offer “that is being examined on its details and concession,” said TAIPED. The fund is hoping to convince Socar to raise its bid – something that will be seen next week – although market sources expect the government to announce its decision after the Azeri choice of a natural gas pipeline to Western Europe is made known. Regardless of the DESFA tender’s outcome, the need to speed up the sell-off program and quickly restart the DEPA tender was clearly expressed by the European Commission through spokesman Simon O’Connor this week. He asked for “any consequences [on the Greek program’s timetable] to be minimized” as Brussels is worried about the opening of a funding gap that could deepen its rift with the International Monetary Fund as the latter would apply more pressure for another Greek debt restructuring. In view of all this, TAIPED is putting projects such as port privatization at the forefront, starting with OLP, because they can move ahead faster. In addition to that, alongside the redrafting of plans for the DEPA tender, it is examining the possibility of lending priority to a further privatization of Hellenic Petroleum and accelerating the procedure for the sale of Public Power Corporation’s grid operator, ADMIE. Regarding the new tender for DEPA, TAIPED has decided to make some careful planning before its proclamation so as to avoid the weak points that led to the failure of the first one. The deadlock in the tender was not due to the unexpected abstention by Russian energy giant Gazprom, but to the fact that it failed to attract any other investors. The government may dismiss the reasons Gazprom has cited to stay away from filing a binding offer, referring to debts and the future financial state of the company as “mere pretexts,” but responsible government officials know very well that had these issues gone away, the situation in the tender would have been totally different. As a result of that, the new tender will only be announced after the package of measures concerning the electricity market’s restructuring is concluded, as this is the source of the debts to DEPA that Gazprom referred to. Spain....... http://www.zerohedge.com/news/2013-06-14/spains-debt-surges-record-high-accelerating-pace Spain's Debt Surges To Record High At Accelerating Pace Submitted by Tyler Durden on 06/14/2013 14:13 -0400 Gross Domestic Product   Recession   Unemployment Somewhere deep down inside the European Union's leaders must know how foolish they are with their constant proclamations that the worst of the crisis is over and that growth will return any moment now. For now, the realists in the market have to be content with hard data, andas AP reports, Spain's central bank reports the troubled nation's debt jumped to a record 88.2% of GDP in Q1 2013. The year-over-year rise is also the fastest on record - so no green shoot there as the bank notes it expects the debt burden to rise to 90.5% of GDP by the end of 2013 (but may revise that forecast - up). The raw numbers are awesome. Spain's debt was EUR 922.8 billion at the end of March - up 19.1% from a year earlier and with unemployment at 27.2% and a fourth year of recession, the more-than-doubling of debt-to-GDP in the last five years suggests the 'OMT call' may be getting closer. Thestagflationary slump in Europe (inflation rising faster than expected as growth lags) continues with nearly 20 million people out of work across the region. Average: