8 October 2001

1. "Iraq: Kurdistan Developing Attributes Of Statehood", veteran Middeast correspondent David Hirst, who reports for the British newspaper "The Guardian," has been a frequent visitor to northern Iraq. He recently came to Radio Free Europe/Radio Liberty in Prague to share some of his impressions of that region. Deputy Director of RFE/RL's Radio Free Iraq Service Kamran Al-Karadaghi interviewed Hirst and asked his assessment of northern Iraq's economy, politics, and future.

2. "General Kivrikoglu: Kurdish Broadcasting Not Allowed", warnings from General Kivrikoglu for the West especially Germany and Greece

3. "With a Allah's permission the rebellion will start", a skilful game of hide-and-seek could bring fundamentalist Tayyip Erdogan to power in Turkey

4. "Turkish police blame Europe for sheltering terrorists", the Turkish police have submitted names and countries to support the claim that many terrorists are sheltered by various countries, most of them in Europe.

5. "Natural Union member", Cyprus is in the perfect position for the next round of EU enlargements.

6. "Athens and combating terrorism", the combat against terrorism and the admittance of the Greek Cypriot Administration into the EU.


1. - Kurdish Observer -"Iraq: Kurdistan Developing Attributes Of Statehood":

PRAGUE / by Charles Recknagel and Kamran Al-Karadaghi

Veteran Mideast correspondent David Hirst, who reports for the British newspaper "The Guardian," has been a frequent visitor to northern Iraq. He recently came to Radio Free Europe/Radio Liberty in Prague to share some of his impressions of that region. Deputy Director of RFE/RL's Radio Free Iraq Service Kamran Al-Karadaghi interviewed Hirst and asked his assessment of northern Iraq's economy, politics, and future.

Radio Free Iraq Service Deputy Director Kamran Al-Karadaghi asked Hirst what he sees as the most remarkable aspect of northern Iraq, which is mostly populated by ethnic Kurds and has been outside of Baghdad's control since the end of the 1991 Gulf War.

Hirst said he is most struck by the ways in which northern Iraq, or Iraqi Kurdistan, is developing functioning political institutions to address its own regional needs and problems: "Kurdistan, to my mind, is developing the attributes of statehood. This is entirely to be expected in the conditions that we have in Iraq. After all, it's now 10 years [since] this entity came into being, this enlarged safe haven, which was really the fruit of a sort of cataclysmic accident, namely [Iraqi President Saddam Hussein's] folly and stupidity in invading Kuwait and the consequences which that had."

He continues: "[And] being an accident, it was also supposed to have been provisional. Theoretically, the Kurds are still wedded to the notion of rejoining Iraq and the federal regime, but it is clear that the longer this situation goes on, the more the Kurds build, physically, psychologically, culturally, educationally, and I think the more difficult it is going to be for this entity to be re-integrated into [a] reconstructed Iraq."

Hirst observes that Iraqi Kurd leaders and ordinary people universally say that they are not aiming to establish a state. But at the same time, they say a state is their right and historical dream, and that one day they may accomplish it.

He says that on a recent visit he saw many signs of an increasing sense of self-sufficiency in the region. He cites the example of an oil refinery he visited near Sulaymaniyah: "I visited an oil refinery there which had been constructed entirely by Kurdish technicians without any outside support or help, entirely from ingredients which were taken from non-oil installations, like a sugar factory, a Coca-Cola factory, a cement factory, things which the Iranians had left behind from the [1980-88 Iraq-Iran] war years, even the Iraqi mine fields, where they constructed bombs to blow up and perforate exploration wells."

He said he also was struck by a graduation ceremony for university graduates in Argil. And, in that same city, he observed that there was not a single Arabic-language sign. He says that all these suggested to him that a sense of national identity is being consolidated. Al-Karadaghi asked Hirst if he also detected any insecurity among the Kurds over the fact that, despite their increasing self-sufficiency, their situation could change at a moment's notice should they be returned under Baghdad's control. That could happen either forcefully by Saddam's regime or through some larger political settlement to the Iraq crisis. Hirst replied: "Yes, this is a very important factor in Kurdish psychology, the deep sense of insecurity which co-exists with what is an improved [economic] situation, compared with [10] years ago. But this sense of existential insecurity is deep-rooted and it focuses mainly on Saddam, of course, but not entirely, because Saddam is only the most obvious and most brutal and most dangerous enemy. All the regional states are in a way complicit with Saddam, not least, of course, Turkey, the most important one. Kurdish feelings of hostility toward Turkey run very deep, they are very suspicious."


Our correspondent also asked Hirst how he regards the rivalry between the two Iraqi-Kurd factions that control northern Iraq. The two factions, the Patriotic Union of Kurdistan (PUK) and the Kurdish Democratic Party (KDP), have frequently fought but in recent years have improved ties. Hirst said that -- apart from the military conflicts -- the competition between the two rivals may have brought some beneficial economic and political results: "I heard [it] said a number of times, that in a curious way this separation of administrations has been beneficial. It's made each administration more efficient, more honest than it would otherwise have been. And they compete for public support. [For] example, they recently had municipal elections which people on both sides said were elections which were honest and fair."

But Hirst says there is also a great danger for the Kurds in the factions' political division, and that is disunity. "If there ever comes a situation where the Iraqi Kurds have to fight for their place in a post-Saddam order, they must be in as strong a position as possible to do so. And if they are divided when that moment comes it will gravely weaken their bargaining power vis-a-vis Iraq and the rest of the world."

As a final question, our correspondent asked what relations Hirst observed between the two Kurdish factions and Iraqi Arab groups that are in opposition to Saddam's regime. Hirst said: "I think that both Kurdish [faction] leaderships are insistent that while they want to overthrow Saddam and still see their future as one within a re-constituted Iraq, they are not prepared to go along with any enterprise with other opposition groups. And that inevitably means, in fact, not just Iraqi opposition groups but the international community and particularly the United States." He continues: "They are not prepared to go along with that unless they have more-or-less cast-iron guarantees that it will come to a definitive conclusion, the overthrow of Saddam. And also unless they have guarantees about their future in this newly constituted Iraq. The result of that is that at the moment they are not ready to do anything because they don't see any convincing guarantees that any such enterprise is really even seriously underway, let alone any guarantees about its outcome. So, they are wedded to the status quo for the time being and the foreseeable future."


2. - Milliyet - "General Kivrikoglu: Kurdish Broadcasting Not Allowed":

Warnings from General Kivrikoglu for the West especially Germany and Greece

by Fikret Bila

Most of the questions Chief of Staff General Kivrikoglu was asked had to do with the methods the United States will use to intervene in Afghanistan and to fight terrorism. General Kivrikoglu had this warning for the West, especially Germany and Greece: "We are the most experienced in the struggle with terrorism. We developed a national security strategy against terrorism during this time. Now the world is struggling with this concept. However, it is necessary that the world not be two-faced in the struggle with terrorism. The definition of terrorism is very important.


This definition must not set a double standard." After giving this warning the TGS chief gave the following examples: "It is not enough to struggle with the terrorists alone. It is necessary to struggle with the elements that support them as well.


For example, associations. There are hundreds of associations in Germany today that are known to be PKK sympathizers, are known to support this organization. The PKK is sheltered, trained, and armed thanks to these seemingly civil organizations. They are always talking about religious terrorism in Germany, but never speak of any other kind of terrorism. Certain groups in Greece are trying to make the Turkish Armed Forces out to be terrorists. But what is going on at the Lavrion Camp in Greece? PKK terrorists are still being trained. Who gave Abdullah Ocalan a passport when he left Syria? Who permitted him to enter their country? Which embassy in Kenya allowed him to stay in the residence? These are known facts." General Kivrikoglu then offered the following evaluation: "Certainly, we must fight terrorism. But the struggle must be conducted also with states that use terror and terrorist organizations to achieve certain goals. And states that do will wind up in the same situation as the Terrorists. We know examples of this." Chief of Staff General Kivrikoglu said that certain groups are trying to take advantage of recent events to denigrate northern Iraq. He said there is an effort to include northern Iraq in the scope of the intervention the United States will carry out, and it is being done intentionally.

Kurdish-Language Broadcasts

General Kivrikoglu said, in answer to questions about the constitutional amendments, that he does not share the view that the amendments will permit Kurdish-language broadcasts.
He said: "The Constitution is changing, but I believe this idea is blocked by provisions of the RTUK Law. The RTUK Law states that the broadcast language is Turkish. It would be wrong to think that Kurdish broadcasts would be permitted as long as these provisions exist.
There is also a provision in article 42 of the Constitution." So the results that emerged from General Kivrikoglu's and the commanders' comments is that a double standard should not be applied in the world-wide struggle against terrorism and that Turkey's expertise and suggestions should be heeded.


3. - Frankfurter Rundschau - "With a Allah's permission the rebellion will start":

Skilful game of hide-and-seek could bring fundamentalist Tayyip Erdogan to power in Turkey

ISTANBUL / by Gerd Hoehler

"Yesterday was yesterday, today is today," was what seven-time Turkish prime minister Suleyman Demirel used to say when asked about the numerous changes in policy over the course of his 40-year political career.

"Times change, and I change with them," says Recep Tayyip Erdogan, leader of the Islamist AK Partisi (Justice and Development Party), somewhat more obligingly.

Demirel was worshipped by many Turks as "baba", as a father figure. Erdogan would like to inherit this role from him. His goal seems close enough to touch: The latest opinion polls show the AK Partisi in the lead.

Just how long the ruling three-party coalition, led by the aged Prime Minister Bulent Ecevit, can stay in power in the face of Turkey's economic crisis is uncertain. Economy Minister Kemal Dervis's promises to get the economy moving again at the latest by the fall have not panned out.
Instead, Turkey is sliding into its worst recession since 1945.

Still hailed as a "saviour" last spring, Dervis's star is on the decline. He can't perform any miracles either, the Turks are noticing. The calls for a change of power are growing louder.

Erdogan is counting on new elections being held in the spring, two years before the current legislative period is due to end. "We think the AK will win and will name the next prime minister," Erdogan says.

A different matter altogether, however, is whether the military - which sees itself as the guardian of the country's secular constitutional order - is going to let the Islamists do as they please. Although Erdogan is sounding moderate tones, many observers sense a ploy. They believe that, once in power, he will do everything he can to turn Turkey into a theocracy.

For the time being, he is courting the victims of the economic crisis: the more than 600,000 people who have lost their jobs since February; the uprooted rural poor living in impoverished urban neighbourhoods; the innumerable small business owners and tradesmen now facing ruin; and that millions-strong legion of workers earning the lowest wages who have to get by on the equivalent of less than 90 dollars a month.

"The people of this wonderful country do not deserve poverty and hunger, to beg before the doors of international organisations," Erdogan fires up his fellow countrymen. That is balm on the wounds that Turkey's economic crisis has also inflicted on many Turks' sense of self-worth.
Many people view the reform programme former World Bank vice-president Dervis is trying to apply as a western dictate: a humiliation to the proud Turks. The populist Erdogan calculatedly exploits this. He also presents himself as Mr. Clean and vows to take on corruption and cronyism - thereby speaking from the bottom of many Turks' hearts.

By contrast, Erdogan intentionally steers clear of religious issues. Should women be allowed to wear the Islamic headscarf in universities and government offices, which is banned at present? Erdogan is evasive.

His wife and daughter, however, only appear in public fully covered. Erdogan maintains that religion plays no greater role in his party than in the Christian Democratic parties of Europe. "We welcome all Turks," he says, "whether right or left, devout or not." He has no complaints about Turkey's membership of NATO, and says he considers Turkey's ambition to join the EU a "necessary step".

After the terrorist attacks in the US he hastened to convey his sympathy to "our American friends".

The man knows what people expect from him. Two Islamist parties were banned in Turkey over the past three years as unconstitutional.

Erdogan was a member of both of them, and would like to spare himself another trial. It is wrong, he says, to call the AK Party Islamist.

"I am not an Islamist," he says, "just an observant Muslim and that's my own business." Erdogan hails from a poor family. His father Ahmet, a sailor, sent his son to an "imam hatip": a theological high school that trains imams, men who lead Muslims in prayers. His passion for football earned him the nickname "Imam Beckenbauer" during his time there.

He had to turn down an offer to play for first-division Fenerbahce because playing soccer did not fit in with the wishes of his strict father. Instead of onto the playing field, Erdogan's path led him to the National Salvation Party and later, after it was banned, to the Welfare Party (RP). In 1994, he was elected mayor of Istanbul on the RP's ticket.

Even his critics acknowledge Erdogan's energetic policies in Istanbul. Today, however, few of his friends seem to want to remember Erdogan's attempts to ban ballet, classical music and western painting from the capital; to mandate separate schoolbuses for boys and girls; and to strictly control the sale of alcohol.

Erdogan has changed, they say reassuringly. He is doing "takiye," warn others. That's what devout Muslims call it when a Muslim obscures his true aims to non-believers - a practice Islam not only allows but prescribes.

Erdogan himself does not like being reminded of his past, like when he propagated the idea of "a great Islamic triumph in future" at party congresses, or when he called the UN and NATO "lackeys of the USA".

Even more embarrassing to him right now has got to be a videotape of a speech he gave to party members in 1995. "The world's 1.5 billion Muslims are waiting for the Turkish people to rise up," Erdogan told his jubilant supporters. "We will rise. With Allah's permission, the rebellion will start!" Thanks to that appearance, Erdogan is now under criminal investigation. He was already sentenced to ten months in jail and banned for life from political activity in 1998 for his fiery fundamentalist fulminations. Whether the ban will hold - if Erdogan will be able to run for a seat in Grand National Assembly at all - is debatable.

Many Turks are not bothered by that, nor do they care about their idol's past. Yet the man they are pinning their hopes on is considered a complete novice when it comes to economic issues and little better on foreign policy. Erdogan, 48, speaks no foreign language and his party has yet to produce a cohesive programme.

The fact that AK is nonetheless the voters' current favourite is above all an indication of the Turks' dissatisfaction with the established parties. The most recent poll shows that, whereas the AK Partisi has the support of 20.1 per cent of voters, the three ruling parties combined are favoured by a meagre 11.7 per cent of the electorate.
Theoretically at least, the absurd possibility exists that Erdogan's Justice and Development Party could end up coming away with all of the parliamentary mandates, to govern unopposed. No wonder the ruling parties are currently hard at work on an amendment to Turkey's electoral law that has been dragging on for years.


4. - Turkish Daily News -"Turkish police blame Europe for sheltering terrorists":

The Turkish police have submitted names and countries to support the claim that many terrorists are sheltered by various countries, most of them in Europe.

According to the data submitted by the Interpol Office of the Turkish security forces, 214 people are sought by Interpol on accusations of involvement in terrorist acts in Turkey. Some 71 of these alleged terrorists are sought with a "diffusion" method, 31 by "direct demand," and 112 with "red bulletins."

Furthermore, the Anti-Terrorism Office reminded that Dursun Karatas, the leader of the Revolutionary DHKP-C, which took responsibility for the recent suicide bombing in Istanbul, which led to the death of two police and a civilian; has been released after caught by the French police. The intelligence units say Karatas and his girlfriend Zerrin Sari has been recently seen in Holland. Moreover, it has been alleged, suffering from cancer, Karatas is treated in the best hospitals of Europe. The Anti-Terror Office says at least 10 other names from the leading squad of DHKP-C.

Ismail Akkol, who is among the suspects of the murder of businessman Ozdemir Sabanci, has been seen in Greece the last months, according to the police. The police also recalled the decision of Belgium just after the suicidal hijackings in the United States to try Fehriye Erdal.
Ibrahim Bingol, one of the prominent Revolutionary Left (Dev-Sol) members is still somewhere in Europe, said the police sources. Ibrahim Bingol has escaped the prison after having been captured in Ankara as the head suspect of Retired General Hulusi Sayin and Ismail Selen as well as Dr. Musa Duman.

Extremist Islamists in the list, PKK in the top

Muhammed Metin Kaplan, the son of Cemalettin Kaplan, also known as the 'Black Voice', who took over his father's position to establish a Khalifat State, is still in prison in Germany. Turkish authorities applied Germany for the return of Kaplan, to try him with several charges including planning a suicidal plane attack to Anitkabir. Muhammed Kaplan has been sentenced to four year prison by Dusseldorf Higher Regional Court, because of provocation in two separate incidents.

The list is not limited with Europe. It is claimed by the security forces that Oguz Demir, one of the Jerusalem Army leaders, who is among the head suspects of the assassinations of journalist Ugur Mumcu, and three other prominent secular figures, Prof. Ahmet Taner Kislali, and Assistant Prof. Bahriye Ucok and Prof. Muammer Aksoy, fled to Iran just before the 'Hope Operation' against the organization.

However, the top of the list belongs to PKK. 54 PKK members, almost all of them, is sought by Interpol level. One of the top level figures of PKK, Murat Karayilan, is supposed to reside in Holland nowadays, said the intelligence units, while another PKK leader, Riza Altun in France.
Security Forces Directorate Vice-President and Spokesman Feyzullah Arslan harshly criticizes Europe, saying the free shelter of these terrorists in Europe contradicts with the recent NATO decision to act together against terrorism.

Arslan stated that terror cannot be problem of one particular country. "Terror is the enemy of the humanity, therefore the problem of all peoples and states." said Feyzullah Arslan. "My terrorist cannot be considered innocent by you."

Police Spokesman also noted that terrorism is an international crime. Turkey's sufferings from terror have been brought into agenda in the last Interpol General Assembly, and the return of the terrorists in Europe has been demanded.

Arslan warned the European countries as well:'The terrorist that you shelter may well turn against you somewhere, sometime.'


5. - The Times -"Natural Union member":

Cyprus is in the perfect position for the next round of EU enlargements

NIKOSIA

If evidence were needed of how economically confident the Greek Cypriots feel as they prepare to join the European Union, just take a stroll down Stasikratous Street, Nicosia's equivalent of Kensington High Street.

Plush boutiques are stocked with the latest European and American fashions; there's a Toni & Guy; and, parked outside a fashionably minimalist café, several luxury convertibles, some of them sporting bumper stickers of the EU flag.

Cyprus, in other words, is unlikely to be a burden on the EU's coffers. "On the contrary, it could end up as a net contributor," says Donato Chiarini, the head of the EU delegation in Nicosia.
In little more than a generation, Cyprus has been transformed from a colonial backwater dependent on agriculture into a booming tourist destination and burgeoning financial and business centre. "We are at the crossroads of three continents, the most eastern European country, and in the heart of the Middle East," says George Paraskevaides, a co-founder of J&P, one of the biggest construction companies in the world.

In 1960, when Cyprus won independence from Britain, agriculture contributed about 20 per cent of gross domestic product. In 2000, the agricultural contribution shrank to just 3.5 per cent, while services now account for 75.5 per cent of the GDP.

So dynamic are some Cypriot businesses that they are finding the local market too small for their ambitions.

The Cyprus Telecommunications Authority, Cyta, will face internal competition as the sector deregulates in preparation for EU accession, but it already has its sights beyond the island's shores. "We want to expand our international operations, either through direct entrance into new markets or via partnerships," says Andreas Ioannou, a marketing officer in international commercial services at Cyta.

Similarly, some of the biggest of the island's nine commercial banks, such as Bank of Cyprus and Cyprus Popular Bank, are expanding abroad. Bank of Cyprus, which has 42 per cent of the local market, had a network of 30 branches in Greece at the beginning of this year. It expects to double that figure by the end of the year. "The target is to have 120 branches in Greece by 2004, with 5 per cent of its market share," says Yiannis Kypri, a senior official at the bank.
Cyprus Airways, the national carrier, is renewing and increasing its fleet of 12 aircraft to 16 by 2003 and is also expanding its operations in Greece. "The Greek market is much bigger than ours and Greece will also be our springboard to expanding into the rest of Europe," says Tassos Angelis, the Cyprus Airways spokesman.

Tourism remains the engine of the economy, but the services sector is fast restructuring and diversifying. With English widely spoken as a second language and a well-educated workforce, the business sector, including accounting and the legal services, is seen as a growth area. Expansion is also expected in private education, with foreign students filling colleges of higher education. Private health care, where costs are a fraction of those in the rest of Europe, is growing rapidly.

The economy is estimated to have grown by 5 per cent last year and its medium-term sustainable growth rate is estimated at around 4.5 per cent. Per capita income is around £9,000. Inflation during the first eight months of this year was just 1.81 per cent.

Unemployment in the first half of this year dropped to 3 per cent from 3.7 per cent during the same period last year. The fiscal deficit fell from 4.1 per cent of the GDP in 1999 to 2.7 per cent last year and is expected to stand at about 2.2 per cent this year. "We envisage fiscal accounts will be balanced by 2004," says Andreas Trokkos, a senior planning officer at the Planning Bureau.

Even a spectacular stock market crash has failed to dent growth or confidence. The index soared a dizzying 700 per cent in 1999 to reach a high of more than 800 points, plummeting since then to under 150 points. Yet the retail sales index increased by 7.6 per cent in nominal terms in the first quarter of 2001. Also, a large part of the funds that flowed into the market in the boom times was used to acquire physical productive assets to modernise and upgrade companies.

Because it had a market economy to start with, Cyprus's harmonisation process with the EU has easily outpaced those East European countries also lining up for accession in the next wave of enlargement. Interest rates were liberalised at the beginning of the year, and exchange controls are being gradually abolished so that there will be no restrictions on the movement of capital by the time Cyprus joins Europe.

Reform of the tax system, however, remains Cyprus's greatest challenge as it attempts to maintain its booming offshore sector to lessen dependence on tourism. The EU is opposed to financial centres such as Cyprus having separate tax regimes for local and international businesses. The corporate tax rate for the offshore sector is currently 4.25 per cent, compared with 20 or 25 per cent for domestic companies.

The solution being considered by the Cypriot authorities is to have a uniform tax rate of 10 per cent for both onshore and offshore companies. "That's still a very attractive rate," says Anthony Barnett, the chairman of the Cyprus International Financial Services Association.

Certainly, new offshore business keeps arriving, even though companies know change is on the way. It is proof, Cypriot officials and foreign businessmen say, that low taxes were not the island's only attractions. Other incentives include its English-based legal system, strategic location, low operating costs and pleasant environment for expatriate workers and their families. Telecommunications are among the cheapest in Europe.

The international business community also welcomes the fact that Cyprus is a reputable, well-regulated jurisdiction. The island was, for instance, conspicuously absent from a "name and shame" list of 15 countries accused of failing to co-operate in the fight against money laundering, thanks to legislation passed in the 1990s. The list was prepared last year by the Financial Action Task Force, a body affiliated to the Organisation for Economic Co-operation and Development (OECD). "We all want to be in a place we can say is following OECD and EU directives," Mr Barnett says.

The EU also has an interest in ensuring that certain dynamic parts of Cyprus's international business sector continue to thrive and do not disperse to locations outside the bloc. "The presence of the shipping and ship management industry is very important for the EU," says Mehran Eftekhar, of the Cyprus International Business Association, which represents 120 of the biggest offshore companies with a presence on the island.

With 1,475 ocean-going vessels and a gross tonnage of 23.2 million, Cyprus has the fifth largest merchant shipping fleet in the world. "Once Cyprus joins, the EU will have the largest merchant fleet in the world," says Mr Eftekhar.


6. - HURRIYET - "Athens and combatting terrorism":

Columnist Ferai Tinc writes on the combat against terrorism and the admittance of the Greek Cypriot Administration into the EU. This is a summary of her column.

German Foreign Minister who met with both the Turkish Foreign Minister, Ismail Cem, and Greek Foreign Minister George Papandreou said that they preferred Cyprus to enter the EU after it has solved its problems. However, these days the EU officials are all saying the same. The same sentence can also be found in the report prepared in connection with the enlargement of the EU.

This report will be discussed during the leaders' summit to be held in Ghent on October 19. It is stressed that a solution for the Cyprus problem is preferred before the admittance of the Greek Cypriot Administration as a full member to the EU. However, we should not exaggerate the issue. The European Union does not refute its decision adopted at the Helsinki Summit and say that it would not admit the Greek Cypriot administration as a full-member if it does not solve the question. Not long ago, in August it was giving carte-blanche to Cyprus. Today there is a certain loosening in this stance.

That is why Athens is nervous. Papandreou's harsh response to Fischer's words display this uneasiness. He said, 'If you insist on a solution we will block the enlargement process.' Both Greece and Greek Cypriot Administration are feeling uneasy over the mobilization against terrorism following the attacks on the US. This process has led to a tension between Turkey and Greece. The tension stems from certain reasons First of all, Greece did not account for the support it has lent to the PKK for years and did not indulge in self-criticism over the scandals taking place before the eyes of the whole world. The possibility of settling old accounts creates tension.

The attack on the US has created problems for Athens. Many issues it would prefer to be forgotten has come out into the open. Athens is being criticised by Washington for not combating sufficiently against the 'September 17' organisation that has been carrying out actions against American targets for 25 years. Greece is not opening up Milosevic's accounts in Greek and Greek Cypriot banks for international control. The support it has given to PKK is also a hump on Greek Cypriot Administration's back. Following the rumours concerning the money flow, Turks entered into close cooperation with the US. According to information furnished by the officials, the suspected accounts, people and money flow have been opened to the control of experts. The Greek Cypriot administration is still on the defensive. The circumstances of the time provide an opportunity for Turkey to explain its arguments and be understood.