NORTHERN NOTES - JULY 2009

UNCLAS SECTION 01 OF 03 THESSALONIKI 000034 SENSITIVE SIPDIS DEPT FOR EUR/SE E.O. 12958: N/A TAGS: ECON PGOV PREL SMIG SNAR SOCI GR TU SUBJECT: NORTHERN NOTES - JULY 2009 THESSALONI 00000034 001.2 OF 003 Following is a summary of last month's major developments in Northern Greece: GREEK MUSLIM PROSECUTED FOR ESPIONAGE ¶1. (SBU) On July 29, local media reported the arrest of a Greek Muslim on charges of espionage for Turkey. The arrested man, who comes from Thrace, was allegedly approached by two Turkish people who were unknown to him and asked to photograph Greek military installations alongside a series of islands in the northeastern Aegean. According to press reports, Greek authorities found around 600 photos in his possession, 400 of which were described as "very sensitive." Greek authorities are reportedly treating the case as "extremely serious," and the incident has given rise to calls, such as those by the extreme-right LAOS party, for "official acknowledgement of the fact that Turkey is an enemy" and "realization of the fact that subscription to Turkey's European course is a national suicide for Greece." Local Thrace press claimed that the arrested individual was "only one of about 100 that operate in Greece on behalf of Turkey and other destabilizing centers." THESSALONIKI WATER AND SEWAGE COMPANY TO BE PARTLY PRIVATIZED ¶2. (U) Local media reported that the GoG has decided to sell 23 percent of the Thessaloniki Water and Sewage Company's shares to a strategic investor. Post's sources expect the announcement of an international tender soon. In an effort to reassure those opposing the initiative, Minister of Macedonia-Thrace Stavros Kalafatis stressed that the state would still retain 51% of the shares and along with them, full control over staffing, prices and facilities. UNEMPLOYMENT RISES IN NORTHERN GREECE, TOGETHER WITH OFF-THE-BOOKS LABOR ¶3. (U) On July 15, local media published the figures offered by Greece's National Statistics Service, concerning unemployment in Northern Greece. The numbers show that compared to 2008, unemployment has risen from 8.4% to 9.7% in Central Macedonia, from 7.5% to 8.3% in Eastern Macedonia and Thrace, and from 13.8% to 15% in Western Macedonia. The sectors most seriously affected include construction and tourism. According to a separate report, 70% of construction workers in the town of Xanthi are currently unemployed. On a related note, an EU Commission survey published on July 16, revealed that off-the-books labor in Greece represents as much as 20% of the country's GDP. According to the survey, the areas with the biggest percentages of uninsured labor can be found in Thrace, with the figures presented being 70% (prefecture of Rodopi),30% (prefecture of Evros) and 25% (prefecture of Xanthi). GREECE-BULGARIA SIGN AGREEMENT FOR NATURAL GAS PIPELINE ¶4. (U) On July 14, Greece and Bulgaria signed an agreement in Sofia for the construction of a natural gas pipeline that will run between the towns of Komotini, Greece and Stara Zagora, Bulgaria, and will bring gas from Azerbaijan to Europe via Greece and Bulgaria. The new pipeline will be 150 km long and effectively be an extension to the main TGI pipeline. The agreed upon project will be partially funded by the EU and local media received it as "contributing to greater energy independence for Greece." EUROPEAN COURT OF HUMAN RIGHTS ISSUES RULINGS AGAINST GREECE ¶5. (SBU) Kurdish Immigrant - On July 7, the ECHR vindicated a Kurdish asylum seeker who claimed that he was treated in a degrading manner by the Greek authorities and was detained THESSALONI 00000034 002.2 OF 003 illegally for two months in a detention center near the Greek-Turkish border and for another six days in solitary confinement at an Athens police station. The Court ordered Greece to pay the claimant around $14,000 (10,000) in damages. Muslim Mother of Four - On July 13, the ECHR ruled in favor of a Muslim mother of four living in Thrace, who had been denied by Greek authorities a state benefit for mothers of large families, on the basis that one of her children, although still a minor, had married and therefore could no longer be considered a dependent family member. Without the inclusion of the wedded minor, the family would not qualify as "large" and was deprived of the relevant benefits. The Court ordered Greece to pay the claimant around $22,000 (15,955) in damages and court expenses. Prolonged Detention Cases - On July 24, the ECHR decided that in two drug-related cases, four people were unjustifiably detained for over three months in inappropriate conditions at different police stations. Greek authorities claimed this was due to lack of space availability in prisons. THRACE MINORITY DEVELOPMENTS ¶6. (SBU)Turkophone Community - On July 11, former Minister of Education (and current Minister of Transportation) Evripidis Stilianidis presented in a widely publicized press conference, the GoG'S achievements in the field of minority education. Among the successes he noted, were the increase in the number of minority schools, the decrease of drop-out levels among minority students and also, a significant increase in the number of minority students who enter Greek universities. Pomaks - On July 13, former Chairman of the Greek Parliament and high-ranking PASOK cadre Apostolos Kaklamanis tabled a question in Parliament concerning Pomak people's human rights. Kaklamanis urged the GoG to recognize Pomak as an additional minority language and to provide the community in question with schools in which classes will be conducted in both Greek and Pomak. According to the local press, the two Muslim MPs visited Mr. Kaklamanis in his office and protested against his initiative, threatening that the minority may desert PASOK in the upcoming general election should the proposal not be withdrawn. Roma - On July 11, Deputy Minister of Employment and Social Protection Sophia Kalantzakou announced that the GoG has approved a package of 14m ($20m) for the support of 500 Roma businesses and the training of another 300 Roma people in various trades. SECURITY INCIDENTS ¶7. (SBU) The past month saw significantly increased activity in security incidents. On July 8, unknown culprits placed an improvised incendiary device, outside the main entrance of a block of apartments in Thessaloniki that included the residence of a far-right leading figure. The fire caused minor damages and no injuries. The organization "Antifascists Core Assault-Commandos Solidarity Memory" assumed responsibility for the attack. On July 17, unknown culprits threw a defense-type hand grenade at the main entrance of a block of flats. The explosion caused considerable damage to the entrance and to four cars, parked nearby. On July 21, unknown culprits placed an improvised incendiary device, outside the governing party's (New Democracy) youth offices. The fire caused minor damages and no injuries. The organization "Subversive Consciousness" assumed responsibility for the attack which they claimed was in support of a jailed anarchist. On July 22, unknown culprits placed a bomb outside the front door of the Chilean Consulate in Thessaloniki. The bomb squad arrived on the scene after receiving a warning call, and proceeded with a controlled explosion of the bomb. The organization "Collusion Cores of Fire" assumed responsibility for the attack, carried out "in memory" of a Chilean "urban guerilla," killed recently after the accidental explosion of a bomb he was carrying. On July 22, unknown culprits set on fire a Cyprus diplomatic vehicle. The fire caused major damage to the vehicle but no injuries were reported. On July 22, unknown culprits placed an improvised incendiary device, outside the main entrance of the governing party's (New Democracy) offices. The fire caused minor damage and no injuries. The organization "Vacation Objectors" assumed THESSALONI 00000034 003.2 OF 003 responsibility for the attack, "in support" of a jailed anarchist. NARCOTICS ¶8. (SBU) On July 10, police at the Thessaloniki airport arrested a Romanian national for carrying 3.350 kilos of heroin in his luggage. The arrested individual was about to board a flight to London. According to reports, police believe he may have been a member of an international drug-trafficking ring, also including another Romanian who was arrested last month at the same airport with approximately 4.5 kilos of heroin. In another incident, customs officials on the Greek-Turkish border arrested a Lithuanian national for attempting to smuggle 10.760 kilos of heroin into the country. He is the second Lithuanian to be arrested at that customs post attempting to smuggle heroin into Greece. Finally, on July 16, at the same customs post on the Greek-Turkish border, customs officials arrested a Romanian and a Bulgarian national for carrying a total of 14 kilos of heroin in two suitcases. CONTRABAND PRODUCTS - PIRATED CDs/DVDs ¶9. (U) On July 28, local media reported that the Thessaloniki Police uncovered two manufacturing companies that were producing high quality contraband goods. From the companies' client lists, it became apparent that the goods were sold to illegal street vendors, as well as to department stores. The investigation is continuing. In a separate case, the Anti-Piracy Operations for the Protection of Audiovisual Products (a branch of the Motion Pictures Association) led to the arrest of a 35 year-old, who was "distributing" audiovisual goods through his website. Also, police in Thrace arrested five foreign nationals (one of whom was a minor) for possessing a total of 997 CDs and 31 DVDs, all pirated. The Court ordered fines for all arrested, totaling almost $28,000 (20,000). Finally, in another case in Thrace, police arrested two foreign nationals (one of whom a minor) for possessing a total of 463 pirated CDs and 157 pirated DVDs. ILLEGAL IMMIGRATION ARRESTS ¶10. (U) In ten different cases in July, Hellenic Police in Northern Greece arrested 21 smugglers and 124 illegal immigrants. Of the latter, 48 were Iraqis, 10 were Iranians and 5 were Pakistanis. The arrested group also included a total of 22 minors (children and infants.) According to the local media, Hellenic Police believe that two of the smugglers arrested on July 17 are high-ranking members of an international trafficking ring, active in China, Russia, Serbia, Macedonia and Greece. The ring's prices are reported to range between $8,000 to $13,000 per person for long routes, e.g. China-Greece, and around $4,000 for shorter ones, e.g. Iran-Greece. KING