Monthly Archives: November 2007

AUR#890 Nov 23 Tragic Pages of History; Light A Candle; Harvest of Sorrow; Executed By Famine; Letters from Kharkiv; Politics of Genocide;

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ACTION UKRAINE REPORT – AUR           
An International Newsletter, The Latest, Up-To-Date
In-Depth Ukrainian News, Analysis and Commentary


Ukrainian History, Culture, Arts, Business, Religion,
Sports, Government, and Politics, in Ukraine and Around the World       
 
Ukraine Remembers -The World Acknowledges
75th Commemoration Of The Holodomor 1932-1933
“Induced Starvation, Death for Millions, Genocide”
Light A Candle of Memory, Saturday, November 24, 2007
 
“With due respect, I call on all Ukrainians and all people of goodwill
regardless of their backgrounds to light on November 24 the candles of
memory of the Holodomor victims on all our planet.

Bring the flames of truth to every nation and every country. All your
candles will help form a single candle which we will light in November

2008.
This candle will become an eternal and ever burning symbol of our grief
for the millions of starved brother and sisters, of our unity and our faith
in the unconquerable strength of the Ukrainian people.

Our duty is to unite the efforts and make everything possible to ensure

that these tragic pages of history will be never forgotten.

Ukraine to Remember! The World to Recognize!”

Viktor Yushchenko, President of Ukraine [Article Two]
                        

ACTION UKRAINE REPORT – AUR – Number 890
Mr. E. Morgan Williams, Publisher and Editor, SigmaBleyzer
KYIV, UKRAINE, FRIDAY, NOVEMBER 23, 2007
 
INDEX OF ARTICLES  ——
Clicking on the title of any article takes you directly to the article.               
Return to Index by clicking on Return to Index at the end of each article
 
2ADDRESS TO ALL UKRAINIANS ON 75TH COMMEMORATION
OF THE 1932-1933 HOLODOMOR BY PRESIDENT YUSHCHENKO
President of Ukraine Viktor Yushchenko
Presidential Administration, Kyiv, Ukraine, November 2007

3
UKRAINE: WE REMEMBER
Editorial: Kyiv Post, Kyiv, Ukraine, Wednesday, November 21, 2007
 
4CANADA: UKRAINE FAMINE REMEMBERED
By Julie Horbal, Sun Media
Winnipeg, Manitoba, Canada, Thursday, November 22, 2007
 
Ukrainian News Agency, Kyiv, Ukraine, Thursday, November 22, 2007

6PRESIDENT INSISTS ON CREATING NATIONAL MUSEUM OF
MEMORY OF 1932-1933 HOLODOMOR VICTIMS ASAP
UKRINFORM, Kyiv, Ukraine, Wed, Nov 21, 2007

7LEADERS OF EUROPEAN PARLIAMENT EXPRESS SOLIDARITY

HOLODOMOR 1932-1933
Ukrinform, Kyiv, Ukraine, Thursday, November 22, 2007

8ROBERT CONQUEST’S BOOK “THE HARVEST OF SORROW”
REPUBLISHED IN THE UKRAINIAN LANGUAGE

U.S. Ambassador Taylor says U.S. Congress has still not approved

a resolution that would define the Holodomor as an act of genocide
against the Ukrainian people.
By Mykola SIRUK, The Day Weekly Digest
Kyiv, Ukraine, Tuesday, November 20, 2007

9DECLARATION: “UKRAINE TO REMEMBER – THE WORLD
TO RECOGNIZE!” 
Upcoming International Events to Commemorate 75th Anniversary
of 1932-1933 Holodomor Genocide of the Ukrainian Nation
World Ukrainian Congress (WUC) and the
International Holodomor Committee (IHC) (in Ukrainian)
Toronto, New York, Melbourne, Saturday, November 17, 2007
Action Ukraine Report #890, Article 9 (in English)
Kyiv, Ukraine, Friday, November 23, 2007

10.  “EXECUTED BY FAMINE: THE UNKNOWN GENOCIDE OF

THE UKRAINIANS” EXHIBITION UNVEILED AT THE GENEVA,
SWITZERLAND MUNICIPAL LIBRARY
International Charitable Fund 3000, Kyiv, Ukraine, Fri, Nov 9, 2007

11LETTERS FROM KHARKIV
The truth about the Holodomor through the eyes of Italian diplomats
By Yurii Shapoval, Professor and Doctor of Sciences (History).
The Day Weekly Digest, Kyiv, Ukraine, Tuesday, November 20, 2007

12AN APPEAL TO THE RUSSIAN MINISTRY OF FOREIGN AFFAIRS
By Halya Coynash, Kharkiv Human Rights Protection Group, “Maidan” Alliance
Kharkiv, Ukraine, Thursday, November 22, 2007

13.  THE POLITICS OF GENOCIDE
Will Moscow ever recognize the Stalin-led forced famine
in Ukraine 75 years ago as an act of genocide?
Analysis & Commentary: By Lisa Shymko
The American Spectator, Arlington, Virginia, Wed, Nov 14, 2007


14
UKRAINIAN MASS FAMINE OF 1932-1933: RUSSIA IGNORES
TRAGIC ANNIVERSARY
The overwhelming fact is that Moscow is anxious to divorce
itself from the 1932-33 tragedy for political reasons.
Nezavisimaya Gazeta, republished by RIA Novosti
Moscow, Russia, Wednesday, November 21, 2007

15TOO MUCH EMOTION OVER HOLODOMOR IN UKRAINE,
RUSSIAN AMBASSADOR TO UKRAINE SAYS
Interfax Ukraine, Kyiv, Ukraine, Thursday, November 22, 2007

16DECLARING FAMINE A GENOCIDE OF UKRAINIANS INSULTS
NON-UKRAINIAN VICTIMS SAYS RUSSIAN FOREIGN MINISTRY
Interfax, Moscow, Russia, Tuesday, November 20, 2007

17RUSSIAN FOREIGN MINISTRY SHOULD READ MORE BOOKS
ABOUT HISTORY SAYS UKRAINE’S FOREIGN MINISTRY
UNIAN News, Kyiv, Ukraine, Tuesday, November 20, 2007

18FORMER MIN OF FOREIGN AFFAIRS BORYS TARASIUK
CRITICIZED RUSSIAN AUTHORIES FOR OBSTRUCTION OF
HONORING MEMORY OF 1932-1933 FAMINE VICTIMS
Ukrainian News Agency, Kyiv, Ukraine, Tuesday, November 20, 2007

19PRES YUSHCHENKO: UKRAINE’S POLICY ON DECLARATION
ON 1932-1933 FAMINE AS GENOCIDE OF UKRAINIAN PEOPLE

Ukrainian News Agency, Kyiv, Ukraine, Tue, November 20, 2007

20THE UKRAINIAN FAMINE OF 1932-1933 AS GENOCIDE IN
LIGHT OF THE UNITED NATIONS CONVENTION OF 1948
By Roman Serbyn, Professor of History, University of Quebec
The Ukrainian Quarterly, Volume LXII, Number 2, Taras Hunczak, Editor
A Journal of Ukrainian & International Affairs – Since 1944
Ukrainian Congress Committee of America (UCCA)
New York, New York, Summer 2006
Journal article re-published with permission by the
Action Ukraine Report (AUR) #890, Article 20

Kyiv, Ukraine, Friday, November 23, 2007

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1
 COMMEMORATION EVENTS FOR THE 75TH ANNIVERSARY OF
HOLODOMOR 1932-1933 TO BE HELD IN KYIV, UKRAINE, ON THE
OFFICIAL DAY OF MEMORY, SATURDAY, NOVEMBER 24, 2007

Action Ukraine Report #890, Article 1
Kyiv, Ukraine, Friday, November 23, 2007 

KYIV – The following commemoration events for the 75th anniversary
of the Holodomor 1932-1933 [induced starvation, death for millions,
genocide] will be held in Kyiv, Ukraine, Saturday, November 24,
2007 led by the President of Ukraine Viktor Yushchenko and the
First Lady Mrs. Kateryna Yushchenko.

9.00 – 9.35 a.m. Service at Saint Sophia Cathedral (Volodymyrska St.,
Saint Sophia Cathedral).

10.00 -10.30 a.m. Guelder-rose trees planting (Dniprovskyi uzviz).

15.15 – 16.10 p.m. Memorial events on Sofiyvska Square and
Mykhaylivska Square:

   Thousands will march in a mournful procession to The Monument

    “To Victims of Holodomor 1932-1933 ” from Sofiyvska Square to
    Mykhaylivska Square

   Lighting of thousands of candles near The Monument “To Victims
   of Holodomor 1932-1933″ in Mykhaylivska Square

   Address of The President of Ukraine Viktor Yushchenko

   National and International Moment of Silence

   All Ukrainian and International Act: “Light A Candle”

18.00 – 19.05 p.m. Requiem-Concert “Black Tillage Is Ploughed Up”
(Shevchenko National Opera Theater)
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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2.  ADDRESS TO ALL UKRAINIANS ON 75TH COMMEMORATION
OF THE 1932-1933 HOLODOMOR BY PRESIDENT YUSHCHENKO

President of Ukraine Viktor Yushchenko
Presidential Administration, Kyiv, Ukraine, November 2007

Dear Ukrainians!
Brothers and sisters!

These days Ukraine begins to commemorate the 75th anniversary of the
1932-1933 Holodomor.

The Holodomor is one of the most horrendous humanitarian catastrophes in
human history. Millions of Ukrainians were destroyed as a result of a
well-planned and deliberate policy of the totalitarian communist regime.

The appalling death rate of the Holodomor even exceeded the casualties the
Ukrainians suffered in WWII. We are still exposed to the consequences of
this merciless terror targeted to destroy the Ukrainian nation.

The crimes of the totalitarian regime demand condemnation by the world.
Ukrainian diplomats and diaspora Ukrainians have taken great efforts to
convince the world community and international institutions to recognize the
Holodomor as a genocide of the Ukrainian people. Such work must be

continued steadfastly and unwaveringly in order to bring the truth about the
past tragedy to the world.

In all lands where Ukrainians live the memory of Holodomor must be properly
preserved and its innocent victims commemorated. I call on you to actively
cooperate in the creation of information centers, educational programs and
exhibitions about the tragic events of 1932-1933.

My special call goes to young Ukrainians worldwide. I ask you to actively
respond to my appeal and back the efforts, sincerely and ardently, to open
the truth about the Holodomor to the world community.

With due respect, I call on all Ukrainians and all people of goodwill
regardless of their backgrounds to light on November 24 the candles of
memory of the Holodomor victims on all our planet.

Bring the flames of truth to every nation and every country. All your
candles will help form a single candle which we will light in November 2008.

This candle will become an eternal and ever burning symbol of our grief for
the millions of starved brother and sisters, of our unity and our faith in
the unconquerable strength of the Ukrainian people.

Our duty is to unite the efforts and make everything possible to ensure that
these tragic pages of history will be never forgotten.

Ukraine to Remember! The World to Recognize!

Viktor Yushchenko
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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3. UKRAINE: WE REMEMBER

EDITORIAL: Kyiv Post, Kyiv, Ukraine, Wednesday, November 21, 2007

At 4 p.m. this Saturday, Ukrainians will honor the memories of millions of
victims of three Soviet-engineered terror-famines, the most devastating of
which began 75 years ago with the Great Famine of 1932-33.

The government is urging Ukrainians to light a candle in honor of the
victims of Soviet repressions and place it on their windowsills as a sign of
solidarity. Memorial services will be held nationwide and around the world.

Ukraine’s political and religious elites have largely recognized the
Holodomor as genocide. Even the head of the Ukrainian Orthodox Church –
Moscow Patriarchate, Volodymyr Sabodan, did not mince words when he
wrote in an encyclical last year that “this genocide was an attempt to
destroy the very soul of the people, to spiritually enslave the people.”

He used words like “hell, diabolic, anti-Christ” to describe Soviet rule.
Thus, all four major Ukrainian Christian prelates agree that the Holodomor
was genocide – a rare instance of ecumenical consensus among church leaders.

All three of Ukraine’s presidents since independence agree that the
Holodomor was genocide. President Leonid Kravchuk drove the final nail into
the coffin of the Kremlin-sponsored “bad weather and harvest” disinformation
campaign regarding the Holodomor in his autobiography. Kravchuk, who as a
Communist ideologue was responsible for denying the Holodomor in the 1980s,
proved that rainfall levels were normal in 1932-33.

President Leonid Kuchma was the first to ask the world to recognize the
Holodomor as genocide in 2003. The declassification of State Security
Service archives began in the last years of Kuchma’s rule, a process that is
continuing by leaps and bounds under President Viktor Yushchenko today.

Since 2003, Ukraine’s parliament has twice voted on condemning the
Holodomor as genocide. Both times the votes passed with slim majorities
with the support of the Socialist Party, which was hesitant, but whose ties
to the countryside made it impossible to deny the truth.

The Communists aside, the only hold-out on the genocide issue is the Party
of Regions, led by Prime Minister Viktor Yanukovych. If Ukraine’s efforts to
secure international recognition are to be successful, then this political
force must add its voice to the condemnation. We hope to see this party’s
leaders standing with the president and other national leaders on St.
Michael’s Square Saturday to honor the victims.

As for Moscow’s recognition of the genocide, while Ukraine has made
significant progress in dealing with its Soviet past, Russian leaders are
still in a state of denial, or defensive paranoia. No one is blaming
Russia’s current leadership or the Russian people for the Holodomor.

Rather, it is the Kremlin’s former rapacious leaders who are to blame. Yet,
the Kremlin’s current leadership has stubbornly opposed recognizing the
genocide, labeling it as fear-mongering with Kyiv roots.

Last week’s attack on a Holodomor exhibit in Moscow and the Russian
Foreign Ministry’s subsequent accusations that political forces are
“speculating” on the famine, are signs that the Kremlin still prefers to
look at its record through rose-colored glasses. In fact, the Kremlin’s
record is blood-colored, and the sooner Russian society recognizes that

fact, the better.

The Kremlin’s claim that Ukraine is somehow trying to monopolize the Soviet
terror-famine is essentially recognizing that Ukraine has done a far better
job in shedding light on the darkest episodes of Soviet rule.

Instead of criticizing Ukraine, Russian President Vladimir Putin should open
up Russian Federation archives on the terror years.

There is no denying that the Soviets forced famines in other regions of
Eurasia in the 1930s, including areas of modern-day Russia and Kazakhstan.
But the campaign within the closed borders of Ukraine was ruthless in its
efficiency and organization and targeted the rural population that was
primarily Ukrainian.

The histories of all Soviet forced famines need to be addressed the same
way the Holodomor has been handled in Ukraine. From Russia, Kuban to
Kazakhstan, the bitter truth deserves to be known.

Ultimately, promoting awareness of the crimes of Communism is in the
national interests of Ukraine and Russia. Given Russia’s current denial,
Yushchenko has rightfully appealed to other countries to recognize the
famine as genocide, one that Kremlin spin doctors and powerbrokers can’t
deny.

We call upon the world’s leaders to recognize the genocidal nature of the
famine and, in doing so, help break the information blockade isolating the
Russian people.
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LINK: http://www.kyivpost.com/opinion/editorial/27842/
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]

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4.  CANADA: UKRAINE FAMINE REMEMBERED

By Julie Horbal, Sun Media
Winnipeg, Manitoba, Canada, Thursday, November 22, 2007

Anna Shewel was four years old when her family was pushed out of its home
in Ukraine onto impoverished streets and into social exile as a result of
government-forced famine.

When the Holodomor famine ended, having killed an estimated eight million
people, she was seven. But the atrocity of Stalin’s politically driven
starvation plan will live forever in her mind.

“I still remember how it was punishment for the people,” Shewel, now 81,
said yesterday. “We were looking for whatever was possible to eat. Whatever
we could swallow.”

Today through Sunday, Shewel’s memories will be showcased as part of the
75th anniversary of the 1932-33 Holodomor tragedy.

DOCUMENTARY ABOUT SURVIVORS
Winnipeg’s events include information sessions and church services at
various locations across the city, and also the premiere of Vichny Iy
Pamyat — a Canad Inns-produced documentary about the 40-or-so survivors
living in the city.

Organizer Eugene Hyworon of St. Mary the Protectress Church said the
survivor experiences epitomize why people should care about the often
forgotten genocide. “The agony and the sorrow, when you watch that, it

really brings tears to your eyes,” he said.
RAISE AWARENESS
Shewel said she hopes telling her heart-wrenching story to filmmakers will
help raise awareness.

“We don’t want this to happen to no other people, to no other nations, to no
other countries,” she said. “There’s not anybody who should go through what
we went through.”

Growing up, Shewel and her family ate whatever they could scrape together,
including pancakes made from tree bark, leaves and handfuls of borrowed
flour.  The “most delicious thing,” she said, was Scotch pine.

“The needles were very soft and the shoots were very sweet,” she said. “It’s
hard to believe that was our dessert.”

Shewel said one of her most horrific memories is when her grandmother
severely burned her chest trying to hide a loaf of bread for the children to
eat.

Her sister Nadia Dowhayko, 79, said she’ll never forget having to beg for
food. “I asked my grandma all the time about something to eat,” said Dowhayko,
who was too young at the time to recall much else. “She told me we don’t
have nothing. Then I asked my mom, she said ‘We don’t have nothing.'”
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LINK: http://winnipegsun.com/News/Winnipeg/2007/11/22/4675964-sun.html
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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U.S.-Ukraine Business Council (USUBC): http://www.usubc.com
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5.  YUSHCHENKO BELIEVES POWER STRUCTURE PAYING

INSUFFICIENT ATTENTION TO 1932-1933 GREAT FAMINE 
 
Ukrainian News Agency, Kyiv, Ukraine, Thursday, November 22, 2007

KYIV – President Viktor Yuschenko considers that the power does not pay
enough attention to Great Famine of 1932-1933.

He disclosed this in a statement opening documental-art exhibition entitled
“Ukraine Remembers 1932-1933 Famine, Genocide of Ukrainian People”
in Kyiv.

“1932-1933 events are forgotten in Ukraine… The nation has not yet got
enough skills to be adequate to 1932-1933 tragedy. That is the reproach for
the power and the reproach for itself,” Yuschenko said.  He marked that the
Holocaust of 1932-1933 is the problem of nowadays.

The Great Famine is not the problem of 1932-1933, that is the problem of
nowadays. It touches upon our morality, spirituality and patriotism,”
Yuschenko said. Besides, the President said that the Holocaust is the
tragedy of the humankind and the crime against humanity.

“The Holocaust is for sure the tragedy of my nation. That is the tragedy of
the mankind and crime against humanity,” Yuschenko said.  Yuschenko said
Ukraine had yet to build a monument appropriate for the scale of the tragedy
of the Holodomor famine.

“Why is this country not having a worthy monument to the victims of the
Holodomor? Why is there no worthy film? Why are we not having a national
museum? Why are we having the Institute of National Memory, which is
financed by 50%? Is it a question of money? No! This is somebody’s policy

to get us to live without memory,” Yuschenko said.

The President called on every Ukrainian citizen to study the history of
Ukraine.

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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6.  PRESIDENT INSISTS ON CREATING NATIONAL MUSEUM
OF MEMORY OF 1932-1933 HOLODOMOR VICTIMS ASAP

UKRINFORM, Kyiv, Ukraine, Wed, Nov 21, 2007

KYIV – President Viktor Yushchenko, who took part in “Ukraine remembers!
Holodomor 1932-1933 – Genocide of the Ukrainian nation” exhibition opening,
urged on Ukrainians to visit such expositions which opened around Ukraine
and honor the memory of Holodomor and repression victims.

President is reassured that today’s Ukraine, its authorities and people are
obliged to make everything possible to bring up to light tragedy’s scale.

However V. Yushchenko is distressed by a fact that researchers speak often
of the victims’ numbers rather than of the importance of the tragedy itself.
“For me it is a tragedy regardless of the deceased numbers whether it is one
million, hundred thousands or ten million”, he added.

V. Yushchenko thinks it is very important that present generation gives
deserving honor to those who died during the Great Famine. “Why don’t we
have a worthy monument dedicated to victims of Holodomor or worthy film

in this country? Why there’s no national museum?”, he said.

V. Yushchenko thanked the exhibition’s [four main] organizers – the Ukrainian
Institute of National Heritage [Memory], Security Service of Ukraine,
International Charitable Foundation “Ukraine 3000”, [the Holodomor: Through
the Eyes of Ukrainian Artists Collection] and other governmental and public
organizations as well as researchers of Holodomor and activists, who were
helping to arrange the exhibition.

According to Director of the Institute of National Memory Ihor Yukhnovsky,
the main task of the exhibition is to show the consecution of deliberate
action by the Bolshevist regime, which had been stepping up since 1928 and
resulted in the tragedy of Holodomor of 1932-1933.

The exhibition consists of several expositions presenting documents of GPU,
NKVD and archives of the Security Service of Ukraine dubbed “Declassified
Memory”, paintings and posters from the “Holodomor: Through The Eyes of
Ukrainian Artists Collection,” Morgan Williams, Trustee.

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FOOTNOTE:  The Holodomor exhibition that opened in Kyiv, Ukraine
this week at the Ukrainian House is the largest and more historically
comprehensive Holodomor exhibition ever held.  There are over 300
panels/posters (with documents, testimonies, information, historical data,
maps, photographs, etc.) and Holodomor artworks by Ukrainian artists
on display.  The exhibition will be open through Thursday, December 6th.
 
Most of the items on display in Kyiv will soon be available on disks that can 
be used to provide information and to print out materials for Holodomor
exhibitions worldwide. Some displays will be available in multiple languages
in early 2008.
 
If you would like information about such items as they become available
please write to Morgan Williams, Chairman, Exhibition Subcommittee,
International Holodomor Committee (IHC); morganw@patriot.net.
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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7.  LEADERS OF EUROPEAN PARLIAMENT EXPRESS SOLIDARITY
WITH UKRAINIANS ON OCCASION OF 75TH ANNIVERSARY OF
HOLODOMOR 1932-1933

Ukrinform, Kyiv, Ukraine, Thursday, November 22, 2007

KYIV – The leaders of the European Parliament have expressed solidarity with
the Ukrainian people on the occasion of the 75th  anniversary of the
Holodomor Famine of 1932-1933.

Speaking during a ceremony in Brussels to commemorate the Holodomor victims,
Vice President of the European Parliament Marek Siwiec said that people must
know their history in order to live on into future.

The Holodomor, in which millions of people died and  which was attributed to
natural circumstances for many years, was in fact masterminded by the Soviet
Communist deathly regime, Mr. Siwiec said. On behalf of the European
Parliament he urged the nations across the globe to recognize the Holodomor
as genocide.

“We are here to honor the victims and well as to prevent similar things from
happening in the future,” the Vice President of the European Parliament
said.

President of the European Parliament Hans-Gert Poettering also made a
statement on the occasion of the 1932-1933 Holodomor in Ukraine.

“Today we know that the famine which has come to be known as the

‘Holodomor’ was in reality an appalling crime against humanity. The famine
was cynically and cruelly planned by Stalin’s regime in order to force
through the Soviet Unions policy of collectivization of agriculture against
the will of the rural population of Ukraine.

“It was only in 1991, when Ukraine regained its independence, that it became
possible for people there to discover the background to this tragic period
of their history. All of us should be prompted by this day of remembrance to
engrave the ‘Holodomor’ in our memories”, Mr. Hans-Gert Poettering’s
statement reads.
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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NOTE: Send in a letter-to-the-editor today. Let us hear from you.
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8.  ROBERT CONQUEST’S BOOK “THE HARVEST OF
SORROW” REPUBLISHED IN THE UKRAINIAN LANGUAGE
U.S. Ambassador Taylor says U.S. Congress has still not approved
a resolution that would define the Holodomor as an act of genocide
against the Ukrainian people.

By Mykola SIRUK, The Day Weekly Digest
Kyiv, Ukraine, Tuesday, November 20, 2007

The book by the well-known Western historian Robert Conquest, “The Harvest
of Sorrow,” was recently republished in the Ukrainian language. This key
book on the Holodomor was published in English in 1986 but was translated
into Ukrainian only in 1993.

The launch of the second Ukrainian edition took place at the US ambassador’s
residence in Kyiv, a move explained by the fact that with the assistance of
the Department of Press, Education and Culture of the US Embassy to Ukraine.

“The Harvest of Sorrow” was published by the Volyn-based Teren Art Agency
within the framework of the program “Lessons of History: the Holodomor of
1932-33,” which is part of the Ukraine 3000 International Charitable Fund.

“Thanks to this book many people throughout the world became aware of the
Holodomor. The author showed and described the horror of the Holodomor.
Some people who visited Ukraine in 1932-33 could not even write about the
things they had seen.

“As Robert Conquest admits in the foreword to his book, Boris Pasternak
visited Ukraine during that period and said afterwards: ‘It is impossible to
recount what I saw there.

“There was such inhumane, incredible distress and sorrow that everything
began to look unreal and my mind could not grasp all the horror. I became
ill. I could not write for a year,'” US Ambassador to Ukraine William Taylor
quoted the writer as saying.

Ambassador Taylor also noted that unlike Pasternak, Conquest succeeded in
describing all this horror and did this in such a way – through painstaking
effort – that both the personal sufferings of a single person and the
suffering of the entire society were shown.

According to the ambassador, the historian reached the conclusion that the
ascertained facts and Stalin’s motives prove his involvement in this
catastrophe. Thus, there can only be one verdict of history: this was a
crime for which responsibility must be taken.

On her part, Kateryna Yushchenko, the head of the Supervisory Board of
the Ukraine 3000 International Charitable Fund, stressed that 75 years after
these tragic events Ukrainians have a great responsibility to let the world
know about the Holodomor.

According to the Ukrainian president’s wife, people both in Ukraine and
abroad are now coming to the real understanding of the scale of this crime:
how many people were dying and how the regime did this in a systemic,
cynical, and massive way.

According to Ukraine’s First Lady, the main program of the Ukraine 3000
International Charitable Fund is to elucidate the question of the Holodomor.
“We are gathering evidence, making films, and helping to organize the Light
a Candle Action.

(This action was the brainchild of the late James Mace, who first broached
this subject in his column “A candle in the window” in The Day on Feb. 18,
2003. Together with Conquest, he also spoke at the US Congressional
Hearings on the Holodomor – Author).

This action has to be expanded throughout Ukraine, so that everyone in every
house will remember their ancestors, their grandfathers and grandmothers,
who perished during the Holodomor. Many countries have recognized the
Holodomor. UNESCO did so two weeks ago, and the United Nations
recognizes the Holodomor. They will not immediately say that this was
genocide.

“But we must prove this to them. Everyone used to say that there was no
famine. Today it has been acknowledged that there was a Holodomor, but not
genocide. But with the help of facts, research, orders, and decrees we will
prove that the Holodomor was an act of genocide,” she stressed.

The initiator of the second edition of the book, the writer and former
dissident Yevhen Sverstiuk considers “The Harvest of Sorrow” the best
book on the history of 20th-century Ukraine.

“This book was written by a person of great talent and intelligence, whom I
would place alongside Orwell. Our history books did not take into account
inaccessible materials. Information written abroad about life in Ukraine and
the USSR was broader, more objective, and more analytical.

This is a book that was written by a free man, who thinks in a free way and
has a huge amount of material to work with. Yesterday’s slaves cannot
contemplate the facts about their life deeply,” he noted.

In Sverstiuk’s opinion, the genocide in Ukraine and the Nazi genocide are
linked. “If one could engineer the Holodomor genocide in a large country in
peacetime and conceal this from the world, why can one not secretly execute
a numerically small nation in wartime? It is known that the Fuhrer learned
from the Leader,” Sverstiuk emphasized.

“After directing attention to the importance of the nature of the assessment
given to this historical phenomenon, he noted that we often err in the
everyday assessment, whereas the sense of this phenomenon is defined by
the word “genocide.”
INTERVIEW WITH U.S. AMBASSADOR TAYLOR
William TAYLOR: “A judiciary analysis is crucial to recognizing that the
Holodomor was an act of genocide” What is being done in the US in order to
recognize the Holodomor of 1932-33, and does the United States recognize
that the Holodomor was an act of genocide against the Ukrainian nation?

These and other questions are raised in The Day’s blitz interview with US
Ambassador Extraordinary and Plenipotentiary to Ukraine William TAYLOR.

The American Senate and the House of Representatives have approved a law
that has been signed by the president. This law provides for the
construction of a memorial dedicated to the Holodomor in Washington, the
US capital. The Ukrainian government is financing its construction.

[The Day] When will this memorial be built?

[Ambassador Taylor] I don’t know. I hope very soon. There is a large and
well-known monument to Taras Shevchenko in Washington. A monument to
enslaved nations was built in the US in the 1950s. And this new memorial
will be another great Ukrainian monument.

[The Day] What about the resolution on recognizing the Holodomor as an act
of genocide against the Ukrainian people? Will such a decision be made by
the two chambers of the American Congress?

[Ambassador Taylor] The resolution in this form was not approved by the two
chambers. What was actually approved was the decision to build a memorial.

We have to carry out a judiciary analysis in order to recognize the
Holodomor as genocide. But the American government has not done this yet.

[The Day] But there is a book by Robert Conquest, about which you spoken
today and whose author addressed Congress at one time and gave evidence.

[Ambassador Taylor] True, there is much evidence. And Conquest’s books
are an indisputable part of it. Congress also considered this issue, but it
has still not approved a resolution that would define the Holodomor as an
act of genocide against the Ukrainian people.

[The Day] But this is a contradiction. The House Committee on Foreign
Affairs had recommended the resolution on recognizing the Armenian
genocide.

[Ambassador Taylor] And you see what kind of problem it has caused.

[The Day] But in the Ukrainian case there should not be any problems because
the totalitarian regime that existed at that time is blamed for the genocide
against the Ukrainian people, not another nation.

[Ambassador Taylor] Yes, that’s true. I don’t think that there will be any
problem with Ukraine. But a problem linked to other tragedies can arise.
Again, a judiciary analysis must be completed in order to approve such a
resolution, and this has not been done yet. If this is done for Ukraine, a
similar analysis will have to be conducted with respect to other tragedies,
and this will be quite complicated.

[The Day] Does this mean that in approving the draft resolution on
recognizing the Armenian genocide the Democrats in the House Committee
on Foreign Affairs did not think it through?

[Ambassador Taylor] Yes. It’s true. But the draft law approved by the
committee has not been submitted to the House of Representatives.

[The Day] I’d like to return to the topic of the judiciary analysis. Is the
American government afraid of conducting this analysis and recognizing that
the Holodomor was genocide? After all, many countries, including those
located on the American continent, have recognized that the Holodomor
was an act of genocide that was perpetrated by a totalitarian regime?

[Ambassador Taylor] Yes, that’s true. One can say the same thing about
Turkey in 1915. The current government did not exist at that time, and there
was no current Constitution of Turkey; the Ottoman Empire existed then.
Thus, it was a completely different regime.

In general, the issue is quite complicated. We are very glad that the US has
approved a law that has come into force and according to which a monument
to the Holodomor will be constructed in Washington.
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LINK: http://www.day.kiev.ua/191766/
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9.  DECLARATION: “UKRAINE TO REMEMBER – THE
WORLD TO RECOGNIZE” 
Upcoming International Events to Commemorate 75th Anniversary
of 1932-1933 Holodomor Genocide of the Ukrainian Nation

World Ukrainian Congress (WUC)
International Holodomor Committee (IHC) (in Ukrainian)
Toronto, New York, Melbourne, Saturday, November 17, 2007
Action Ukraine Report #890, Article 9 (in English)
Kyiv, Ukraine, Friday, November 23, 2007

The International Holodomor Committee (IHC) at the World Ukrainian Congress
(WUC) in close cooperation with the Secretariat of the President of Ukraine
and the Ukrainian Institute of the National Memory has scheduled major
events for 75th Commemoration of the Ukrainian Genocide 1932-1933 to be held
under the dynamic slogan “Ukraine To Remember – The World To Recognize!”

Ahead of commemorative events in Ukraine and the countries where Ukrainians
live we would like to offer several proposals for consideration.

The 1932-1933 Holodomor is one of those horrendous acts which Moscow
perpetrated in a bid to conquer the Ukrainians, notably, the linguocide
(attempts to wipe out the Ukrainian language); distortion of the historical
truth about the Kievan Rus’; the denial of the distinctive status of the
Ukrainian nation that in fact brought European culture and science to the
early Russian state; and, finally, the terrible crime of a deliberate famine
that was a true genocide of the unsubdued Ukrainian nation.

Ukraine’s tragic experience is a unique episode in the world’s history. The
world must be informed about it to ward off similar perils ever emerging
from totalitarian and imperial regimes.

A lot of new light must be thrown on the Holodomor by studying the archives
of the Security Service of Ukraine (SBU) and other sources, notably, the
archives of NKVD (the forerunner of the KGB) in Moscow.

It is not too late to record eye-witness accounts of the Holodomor. We must
establish the true motives for the Holodomor and name those who unleashed
the genocide against the Ukrainian nation.

It would be good to borrow an Irish tradition (The Irish people also
suffered from a catastrophic famine and had to scatter all over the world):
the Irish carve on the monuments the names of all their dead with the dates
of their deaths and location of their graves. In so doing, they preserve the
memory about their ancestors.

All information about the 1932-1933 Holodomor in various forms – brochures,
exhibitions of photographs, fiction books and documents, requiem masses and
remembrance services for the innocent victims – must serve two ends.

[1] On the one hand, the slogan calls to establish the truth about and
remember millions of Ukrainians deliberately starved to death.

[2] On the other, we must get the governments of all countries and reputable
international organizations to denounce the Holodomor as a genocide directed
against the Ukrainian nation that stood up against brutal domination of
Ukraine by Moscow bolsheviks.

Versatile events have been planned, information, artistic and political, to
help recognize the Holodomor as a genocide of the Ukrainian people by the
world governments as well as such influential international organizations as
PACE, EU Parliament, and UN General Assembly. Information booklets,

research reports and other printed matter will be published.

We realize that the recognition of the Holodomor as a genocide of Ukrainians
has met with strong resistance and that it will take many years of joint
information and diplomatic efforts of Ukrainians living in Ukraine and in
the diaspora as well as our numerous friends worldwide.

The key role in this campaign should be played by Ukraine statesmen. After
75 years, we can no longer tolerate simplification or distortion of history,
or any compromises hatched by those who acted against Ukraine and its
national and state interests.

The President and Government of Ukraine must accept historical and political
responsibility for informing the Ukrainian people and the world about this
tragic page of our history.

The first part of the slogan is “Ukraine to Remember.” Therefore, how much
Ukraine and its people will remember about the Holodomor will serve as a
yardstick of Ukraine’s leaders dedication and commitment to spreading the
truth about the Famine.

Simultaneously, Ukrainian diplomats abroad bear responsibility,
predominantly as spokespersons for the state, for the second part of the
slogan “The World To Recognize!”

The Ukrainian diaspora as a civil and lobbying factor has long proved its
complete readiness and commitment to cooperate with the state for the sake
of the common Homeland.

The role of ambassadors and other members of the Ukrainian diplomatic
service in the Ukrainian diaspora countries is rather to initiate public
campaigns and not merely to join them.

Ukrainian diplomats should not only be the link between public organizations
and world parliaments – they should head the campaign, initiate actions and
lobby them most effectively.

Such are the instructions given by the President of Ukraine in his decrees.
The enforcement of these instructions should be checked by the public: are
they enforced at all and at which level?

The 1932-1933 Holodomor is a crime against the Ukrainian people, engineered
and perpetrated by representatives of the Stalin communist regime that
continued Moscow’s imperialistic policy in a different form.

Although the goal of the White and Red Moscow was the same, the means of
attaining it were different, much more horrendous and murderous this time.
No one can hide from the truth or deny it or hush it up.

The truth is confirmed by the documents found in recently declassified SBU
archives and published in the “Declassified Memory” collection.

We are aware of our responsibility to tell the world the truth on behalf of
millions of children, women and men killed by the famine that struck a
deadly blow to the genetic and spiritual foundations of Ukrainians. Only by
exposing and denouncing the crime can we ensure that it will never be
repeated.

It is now important that the Ukrainian youth realize its role in spreading
the truth and prepare itself for the roles of the “ambassadors of truth”!

The first stage of our campaign has started. However, we must realize that
the campaign for the recognition of the Holodomor as a genocide cannot be
limited to the annual event.

It must be our steady and consistent effort until the world recognizes the
great truth about this grave crime, until every person in Ukraine knows
about this tragic page in the history of Ukraine.

The International Committee at the World Ukrainian Congress wishes the
Ukrainian state leaders, public organizations in Ukraine and the Diaspora a
lot of endurance, commitment and success in their efforts.

Eternal memory to the victims of the dreadful Holodomor!

Let the memory about them pass from generation to generation!

Toronto – New York – Melbourne, November 17, 2007

For the World Ukrainian Congress
Askold Lozynsky, President
Stephan Romaniw, Head, IHC WUC
Viktor Pedenko, General Secretary
Irena Mytsak, Secretary,  IHC WUC
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10.  “EXECUTED BY FAMINE: THE UNKNOWN GENOCIDE

OF THE UKRAINIANS” EXHIBITION UNVEILED AT THE
GENEVA, SWITZERLAND MUNICIPAL LIBRARY

International Charitable Fund 3000, Kyiv, Ukraine, Fri, Nov 9, 2007

KYIV – On November 7, 2007, the “Executed by Famine: Unknown
Genocide of the Ukrainians” exhibition was unveiled at the Geneva
Municipal Library [in Switzerland].

The exhibition was prepared by the Ukraine 3000 International Charitable
Fund as part of its History Lessons: Manmade Famine of 1932-1933 program.

The co-organizers of the exhibition are the Ukraine 3000 Fund, Geneva City
Council, and Ukraine’s Permanent Representation at the UN and other
international organizations in Geneva.

Among the participants of the unveiling ceremony were Head of the
Supervisory Board of the Ukraine 3000 International Charitable Fund Kateryna
Yushchenko, Mayor of Geneva Mr. Patrice Mugny, Permanent Representative of
Ukraine at the UN and other international organizations in Geneva Mr. Yevhen
Bersheda, members of the Government of Geneva, members of public
organizations and the media.

Addressing the audience, Mrs. Yushchenko tendered her thanks to all the
exhibition organizers. “By creating this exhibition we wanted to familiarize
the European audience with this tragic page of Ukraine’s history,” she said.
“Today, the issue of the Manmade Famine has evoked a wide response from
the global community.”

Mrs. Yushchenko mentioned that the US, Canada, Australia, Estonia, Italy,
Lithuania, Georgia, Poland, Hungary, Argentina, Spain, Peru, and Ecuador had
recognized the Manmade Famine in Ukraine as genocide on the state level.

 A few days before, a resolution on recognizing the manmade famine in
Ukraine was passed by the UNESCO General Assembly. “We hope that the
next step will be recognition of the Ukrainian national tragedy by other
countries and most influential international bodies, like the United Nations
Organization,” Mrs. Yushchenko said.

“I am certain that if the global community had displayed an adequate
reaction to the Holodomor famine 75 years back, the humanity would have
been able to prevent later genocides and massacres taking a heavy toll of
many a million human lives in all continents,” Mrs. Kateryna said.

This event is continuing a series of educational exhibitions at the capitals
of the leading countries, carried out as part of a joint program by the
Ministry of Foreign Affairs of Ukraine and Ukraine 3000 Fund.

The program’s goal is revealing the truth about Holodomor to the global
community, seeking its recognition as genocide against the Ukrainian
people on the international level.

The Executed by Famine: Unknown Genocide of the Ukrainians exhibition
is based upon documentary archive sources corroborated by eyewitness
accounts of the famine survivors.

The exhibition has already been displayed in Brussels and Berlin and
demonstrated to the diplomatic corps in Kyiv. In the near future it will
travel to New York, Vienna, Copenhagen, Strasbourg, Paris, Bratislava,
Budapest, etc.

During one year, electronic versions of the display will be given to all
Ukraine’s diplomatic representations abroad and also to the Ukrainian
Diaspora organizations and Ukrainian communities.

The exhibition will stay in Geneva till November 21, 2007. A public
discussion on the Manmade Famine of 1932-1933 will be held November
22, 2007, at the Geneva Ethnographic Museum.
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LINK: http://ukraine3000.org.ua/eng/yesterday/yesnews/6154.html

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11. LETTERS FROM KHARKIV
The truth about the Holodomor through the eyes of Italian diplomats

By Yurii Shapoval, Professor and Doctor of Sciences (History).
The Day Weekly Digest, Kyiv, Ukraine, Tuesday, November 20, 2007

In a few days, the Kharkiv-based Folio Publishers is expected to issue an
extremely interesting and important book called “Letters from Kharkiv.”
These letters are in fact reports from Italian diplomats who were posted in
the USSR in 1930-34, in which they describe the famine situation.

The book is being published through the efforts of the Institute of Italian
Culture in Kyiv. This academic institution invited me to take part in this
interesting project as a scholarly editor and the author of a brief
afterword.

I agreed with pleasure, not in the least because it was Prof. Andrea
Graziosi, a colleague and a good friend of mine, who discovered the Italian
diplomats’ letters, which he found in 1987 at Italy’s Ministry of Foreign
Affairs.

“These documents lead one to reckon with one of the 20th-century’s biggest
European tragedies,” Prof. Graziosi writes in the foreword to the book.
“They radically changed my idea of Soviet history and my overall vision of
the last century. This is why their publication in Ukraine fills me with
joy.”

What is also important is that these documents were found even earlier by
Basilian monks, who handed them over to the US Commission that researched
the famine in the mid-1980s. The Italian diplomats’ accounts were attached
to the commission’s Report to Congress.

So this evidence is of paramount importance for understanding the causes and
consequences of the Holodomor. Published in Italy, France, and the US, these
documents are finally appearing in print in the very place where these
tragic events took place, fortunately long ago.

As Prof. Nicola Franco Balloni, director of the Institute of Italian Culture
in Kyiv, rightly states in his foreword to Letters from Kharkiv, the
Ukrainian-language edition is the most complete documentary evidence of the
1930s famine in the USSR, gathered by members of Italy’s diplomatic mission.

“The evidence of Italian diplomats,” Prof. Balloni emphasizes, “who were
forced to work in the difficult conditions of the Stalin and Mussolini
regimes, but were able to remain impartial witnesses of these infernal
events, was in fact of no use to Il Duce. For certain reasons, he wanted to
maintain good relations with the USSR.

However, the times of dictators are ending, but documents remain and, aimed
at the descendants of the victims of tyranny, they teach them to remember
the tragic past for the sake of the future.”

In the early 1930s, Italy had an embassy in Moscow, as well as a
well-ramified network of consular agencies, including consulates in
Leningrad, Odesa, and Tbilisi, and vice-consulates in Kharkiv, Batumi, and
Novorossiisk.

It is the reports from the three latter consular offices and the Moscow-
based embassy that were included in Letters from Kharkiv. The people who
headed the consular agencies in Kharkiv, Batumi, and Novorossiisk were not
professional diplomats but former army officers, who had served well during
World War One.

Most of the documents cited in the book were prepared by Sergio Gradenigo
(1886- 1966), who had worked in Ukraine in 1931-34. He headed the Kharkiv
vice-consulate (later elevated to a Royal Consulate) and, at the end of his
mission, the newly-formed Consulate General in Kyiv, where the capital of
Soviet Ukraine moved in 1934, and, later, a consular representation in
Italy.

After finishing his term in Ukraine, he served as a volunteer in the Tevere
Division in the Italian-Ethiopian War of 1935-36. In 1948 Gradenigo
immigrated to Argentina, where he taught and wrote until his death.

What were these reports by the Italian diplomats? They contain very specific
information as well as reflections – sometimes merciless, sometimes
sympathetic – of foreigners, which were by and large correct assessments
and analyses of governmental actions and human behavior.

But let me make a general remark before going into greater detail. Ukraine
and the Northern Caucasus had been supplying more than half of all the grain
produced in the USSR.

Speaking of Ukraine, Stalin noted in 1931that “a number of granaries are in
a state of devastation and famine.” Yet the Kremlin believed that Ukraine
had enormous reserves of grain that the collective farms and independent
farmers were allegedly hiding.

This is why the government resorted to brutal measures to procure grain.
More than 150,000 people died in 1931 alone. In March and April 1932 there
were large numbers of starving people in Ukrainian villages, and cities were
full of children who had been abandoned by their parents.

This was a distress signal that did not, however, stop the authorities. On
July 7, 1932, the Central Committee of the All- Union Communist Party
(Bolsheviks) passed a resolution on the state grain deliveries. The main
idea of the resolution was to fulfill the plan at any cost.

The Stalinist leadership clearly saw two genuine enemies:
[1] firstly, the peasants, who were unwilling to work on collective farms
and die in the name of industrialization (seeking to avoid the famine caused
by meeting the compulsory grain procurement targets, peasants began
withdrawing en masse from collective farms); and
[2] secondly, the not-so-reliable political-state leadership of Ukraine,
which to a certain degree was pursuing a “flexible” line in its dealings
with the Kremlin’s demands and tragic local realities.

This is why Stalin sent his trusted lieutenants to Ukraine and applied tough
sanctions against the peasants, which turned into genocide.

In late October 1932, in pursuance of the CC AUCP(b) Politburo resolution
of Oct. 22, 1932, an extraordinary commission headed by Viacheslav
Molotov, Chairman of the Council of People’s Commissars of the USSR,
began to work in Ukraine.

As early as Oct. 29 Molotov cabled to Stalin, “We had to severely criticize
the Ukrainian organization, especially the party’s Central Committee, for
failure to launch full- scale requisitioning.” Sharing Stalin’s mistrust of
the local authorities, Molotov also demanded that Moscow officials be sent
to the Ukrainian SSR to achieve the desirable effect.

Molotov gave a powerful impetus to the repressions. The Politburo of the CC
AUCP(b) resolved on Nov. 5, 1932, to increase coercion in the state grain
delivery campaign, in particular to boost the role of law-enforcement
bodies.

A number of measures were drafted, such as immediate trials of cases
connected to the state grain deliveries, the organization of circuit court
proceedings and the creation of additional courts in every region, and
meting out severe punishments. All cases were to be spotlighted in the
national and local press.

“The famine continues to take a heavy toll of human lives on such an
enormous scale that it is absolutely unclear how the world can remain
indifferent to this catastrophe. Through merciless requisitions (which I
have repeatedly reported), the Moscow government allowed not just a famine,
for this is not quite the precise word, but the complete absence of any
means of existence,” a stunned Gradenigo pointed out in his communication
dated May 31, 1933.

A little earlier, in February 1932, Gradenigo sent a piece of bread, the
kind that was being consumed in Kharkiv at the time, to Italy’s ambassador
Bernardo Attolico in Moscow.

In one of his messages to Rome the ambassador wrote about the shortage
of bread: “It is difficult to imagine that the quality of the food item, so
important to the dietary regime in the USSR, should be so bad, as this
little piece of bread shows. The truth…is hidden in the real conditions of
the decline into which collectivization has thrown Russian agriculture,
which is too patriarchal to endure without disastrous consequences an
injection of modernization in the shape of collectivization.”

Peasants were fleeing Ukraine to save themselves from the famine. The
authorities blocked their departure, captured them, and sent them back.

The report of the Italian consulate in Batumi, dated Jan. 20, 1933, provides
a detailed description of the way the authorities pushed out the Ukrainian
peasants who were fleeing from the famine to Transcaucasia: “The expellees
are herded into customs warehouses, where they wait for a steamship.
Those who can pay for the passage are separated from those who cannot.

The latter are gathered a few hours before departure and escorted by police
to a free market, where they can sell what they have with them in order to
raise money for a ticket. The police keep curious onlookers away from them
and only let in those who are really going to buy something – a coat, a pair
of boots, etc.

Clearly, lack of time robs these wretched people of the opportunity to
bargain, which is advantageous to buyers. All this occurs in complete
orderliness and silence, which does not diminish the sad impression of this
scene, which turns a marketplace into something like a slave market for a
few hours.”

The organs of repression and punishment vested with the exclusive right to
record deaths, block information on the famine, and carry out punitive
actions were a mighty force. The diplomats’ letters cite some influential
secret police officers describing the tragic situation in quite a realistic
way.

For example, Gradenigo writes in May 1933, “Comrade Frenkel, a member
of the OGPU Collegium, admitted to an acquaintance of ours that about 250
corpses of those who starved to death are picked up on the streets of
Kharkiv every night. On my part, I can confirm that I saw trucks carrying

10- 15 corpses past the consulate at midnight.

“Since there are three large neighborhoods under construction next to the
consulate, one of the trucks halted by the fence, and two operatives
wielding pitchforks got off to search for corpses. I saw 7 people, i.e., two
men, one woman, and four children, being picked up with these pitchforks.
Other people woke up and vanished as if they were shadows. One of the
operatives doing this job said to me, ‘You don’t have this in your country,
do you?'”

Incidentally, when I was writing the commentaries, I kept in mind the
aforesaid “Comrade Frenkel,” about whom I will write more in detail some
other time.

This Mikhail Frenkel (1888-1938) held top administrative positions in the
GPU of the Ukrainian SSR and was later the chief billeting official at the
Administrative and Economic Directorate of the NKVD of the Ukrainian SSR.
In 1924 he had been prosecuted for smuggling, but the case was dismissed.

In February 1938 he was arrested and accused of spying for Poland and
“wrecking” (creating “poor” living conditions for the highest-ranking NKVD
officers). He died on March 8, 1938, as a result of savage beatings that
were administered to him in the inner prison of the Directorate of State
Security of the NKVD of the Ukrainian SSR.

On March 20, 1933, Italy’s Ambassador Attolico, wrote to Rome: “The
impression is that the only strong link, the real backbone of the entire
Soviet system, is the GPU, which is usually able to achieve, through its
typically fast and violent methods, what even the best propaganda cannot.”

Meanwhile, we find in these diplomatic documents evidence of what communist
propaganda was doing. Leone Sircana, the vice- consul in Novorossiisk,
reported the following to the Italian Embassy in Moscow on April 8, 1933:
“It is like mocking the beastly condition to which millions of people have
been reduced to claim that the Soviets have launched the world’s most
powerful radio transmitter, which is supposed to overwhelm perhaps all the
other voices on the airways and beam to the oppressed peoples of Europe
and Asia Moscow’s revelations about ‘the incredible achievements of the
Bolshevik miracle’.

“Or we read that the workers of Novorossiisk are donating one percent of
their starvation wages (in paper rubles) to the cause of combating fascist
terror, and so on. This typical revolutionary fervor catches your eye in
banner slogans, newspaper headlines, the hidebound and mindless phrases
of articles and speeches, but it never finds any response.

“Countering these purely bureaucratic onslaughts on capitalism, fascism, and
kulaks and the no less bureaucratic glorification of Bolshevik successes is
the huge, patient, callous, and indifferent mass (or herd?) of these hapless
people, who listen without hearing and look without seeing and whose mind,
now even more stupefied than ever, has only one vision: a small piece of
brown bread, underbaked and mixed with the most incredible and most varied
ingredients, to which they are still entitled and which they must share with
their large family, old and infirm relatives, not to mention those who do
not have even this right, or the painful and bitter despair from the fact
that Moscow requisitions everything that the earth offers and, as the
peasant deceives himself, is supposed to belong to him.”

The famine in Ukraine turned into an instrument not only of terror but also
of the “nationalities policy.” This radically distinguished the situation in
Ukraine from that in, say, Russia or Kazakhstan, where famine-related losses
were also very high.

On Dec. 14, 1932, Stalin and Molotov signed a resolution of the CC AUCP(b)
and the Council of People’s Commissars of the USSR, which demanded
“correct Ukrainization” in Ukraine and other regions densely populated by
ethnic Ukrainians. The document also demanded a struggle against Petliurites

and other ‘counterrevolutionary” elements, who this time were accused of
organizing the famine.

This not only meant the end of the policy of “Ukrainization.” This was the
decisive phase of the liquidation of the “Ukraine-centered” potential that
was never supposed to revive, and the brutally and carefully organized
punishment turned into genocide.

“Since famine always begets a revolution (in this case, it would be a
counterrevolution),” one of the documents says, “the greatest burden of the
famine was placed on the Ukrainian peasants, who were politically the most
dangerous and resisted the issue of collectivization as much as they could.
No matter what kind of famine he is suffering from, the peasant cannot
launch an offensive on the city and become dangerous to the regime, above
all, for purely organizational reasons.”

The Stalinist regime used the Holodomor and false stories about those who
were responsible for it as a concrete pretext for mass-scale repressive
campaigns, purges, and the like.

On May 22, 1933, Gradenigo wrote in his regular message to the Italian
Embassy in Moscow, “The current disaster will lead to the colonization of
Ukraine, mostly by the Russian population. This will change its ethnographic
nature.

In all probability, we will not have to speak about Ukraine and the
Ukrainian people in the very near future and, consequently, there will be no
Ukrainian problem because Ukraine will in fact become part of Russia.”

Contrary to this sad forecast, Letters from Kharkiv is being published in
independent Ukraine, which remembers its history and – I do believe! – is
ready to learn its lessons.
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NOTE: Yurii Shapoval is a professor and Doctor of Sciences (History).

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12.  AN APPEAL TO THE RUSSIAN MINISTRY OF FOREIGN AFFAIRS

By Halya Coynash, Kharkiv Human Rights Protection Group, “Maidan” Alliance
Kharkiv, Ukraine, Thursday, November 22, 2007

KHARKIV – On 24 November, people throughout the world will be joining
Ukrainians in lighting candles. They are candles in memory of the millions
who died in an artificially caused famine – Holodomor 1932-1933.   The
Holodomor was not caused by blundering incompetence.

A murderous regime took the grain away, surrounded villages with armed units
and closed the borders.   Given the lies and denial for decades, the figures
range, however most believe at least 5 to 7 million people died.

There have been arguments for decades now over whether this constitutes
genocide as understood in the 1948 Convention.   There is no opportunity
here to discuss this, nor would I wish to.

There was food, but it was taken away by force and people were prevented
from saving themselves and their children from starvation.

While there were famines throughout the USSR, it was in Ukraine and in an
area predominantly populated by Ukrainians that starvation was used as a
deliberate weapon.

If this does not constitute genocide as defined in the UN Convention, I
would respectfully suggest that perhaps the latter is not fulfilling its
role as a human rights document aimed at acknowledging human rights crimes
and ensuring they never happen again.

We have begun collecting signatures for an appeal to the Russian Ministry of
Foreign Affairs. We are asking for their cooperation in opening up all the
documents which they presently hold but which pertain to our common fate
under the old totalitarian regime.

We ask also for Russia to implement the recommendations in the recent

UNESCO Resolution which Russia signed.

We also call in our appeal for Russia to join Ukraine and many other
countries in recognizing the actions of the totalitarian regime of that time
to have been genocide.

We wish to wrench this subject from the area of geopolitical considerations
which make us cogs in some abstract machine on which we can have no impact.
We are adamant that the subject of Holodomor must be viewed in the context
of ethics and law.

Most of all we wish to separate this vital question of justice, memory and
of safeguards for the future from all extraneous issues and grievances.

In the last four days, our petition has been signed by many people in
Ukraine, Russia and other counties of the world.   It is intended as a
uniting force, aimed at removing artificially created obstacles and
geopolitical arguments.

We are remembering the victims of a crime against the Ukrainian nation and
against all humanity both with our candles and with our petition.   We would
ask you to join us.

You can read (and sign!) our covering letter and appeal (in three languages)
at: http://maidanua.org/static/viol/1195265429.html.
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13.  THE POLITICS OF GENOCIDE
Will Moscow ever recognize the Stalin-led forced famine
in Ukraine 75 years ago as an act of genocide?

ANALYSIS & COMMENTARY: By Lisa Shymko
The American Spectator, Arlington, Virginia, Wed, Nov 14, 2007

TORONTO – This week, Ukraine’s President, Viktor Yushchenko, will travel
to Israel – a nation for whom the term “genocide” has become an indelible
part
of its collective memory – where he is expected to ask Prime Minister Ehud
Olmert to endorse a UN resolution put forth by Ukraine recognizing the
Soviet-era forced famine of 1932-33 in Ukraine as an act of genocide.

For Prime Minister Olmert and members of the Knesset, it will not be an easy
decision to make, since Jewish leaders have long maintained that the
Holocaust was unique and should not be equated with other genocides.

Complicating the matter is the new political reality in the Middle East.
Israelis have hesitated to endorse the Ukrainian position, for fear of
straining Israel’s delicate relations with Russia.

Olmert is hoping to convince Russia to use its geopolitical influence in the
Caspian basin to stave off a military confrontation with Tehran over its
nuclear program. Yet so far, as Moscow undertakes a series of cozy deals
with Iran and Syria, Vladimir Putin has done little to appease Israeli
concerns.

Will Prime Minister Olmert hold off on backing Ukraine’s UN resolution in an
attempt to woo the Kremlin? Only time will tell. One thing is clear, the
Russians do not want to see improved relations between Israel and Ukraine.

Historically, Moscow has benefited from the painful rifts of the past, and
the Kremlin is not happy to see Ukraine’s President Viktor Yushchenko
proposing a more dynamic Ukraine-Israel relationship.

Recently, Ukraine’s President announced the return of 1,000 Torah scrolls
previously confiscated from Ukraine’s Jewish communities during the
communist regime.

Historic synagogues in Ukraine have been returned to Jewish communities and
President Yushchenko has ordered Ukraine’s Security Service to establish a
special department to combat hate crimes. Yushchenko has also proposed
legislation to criminalize the denial of the Holocaust.

So why is the Kremlin irritated over Ukraine’s pursuit of the genocide
issue? Because the current government in Moscow is still unwilling to deal
with the ugly side of its Stalinist past.

THIS YEAR THE INTERNATIONAL COMMUNITY will begin
commemorating the 75th anniversary of the 1932-33 state-sponsored famine
in Ukraine, masterminded by Soviet leader Joseph Stalin. The premeditated
policy of forced grain seizures targeted Ukraine’s anti-Soviet rural
population and resulted in mass murder by starvation.

The artificially induced famine, known as the Holodomor, claimed the lives
of millions of victims. The genocide was the precursor to the bloody Red
Terror that later swept the entire USSR.

Having resisted Stalin’s forced collectivization, Ukraine’s
independent-minded rural population faced sweeping food confiscations
enforced by the notorious OGPU-NKVD secret police.

Starving Ukrainian peasants initially tried surviving on hay, weeds, and
leaves, even stripping trees of their bark. As conditions worsened, some, on
the verge of insanity, resorted to cannibalism, feeding on the remains of
the recently deceased.

But few in the West were aware of the genocide. While Ukrainians starved to
death, Moscow dumped millions of tons of cheap grain on Western markets.

When Western journalists like the Welsh reporter Gareth Jones, stationed in
the USSR in the 1930s, secretly traveled to Ukraine, uncovering information
about the decimation of entire rural towns and villages, pro-Soviet
apologists like Walter Duranty of the New York Times published fabricated
stories of well-fed peasants in an attempt to suppress the truth.

Those in Ukraine’s Communist Party who dared to speak out, were meticulously
purged by Stalin. Ukraine’s aspirations for independence were to be squashed
at all costs. Mass executions of Ukraine’s intellectual elite followed.

The result was a campaign of ethnic cleansing on a vast scale. By 1933, as a
result of Stalin’s State Decree, all territories previously populated by
Ukrainians, now de-populated by the forced famine, were systematically
settled by ethnic Russians.

In 2006, after decades of denials and cover-ups, the Parliament of Ukraine
shed its Soviet legacy and passed legislation recognizing the 1932-33
Ukrainian Forced Famine as an act of genocide.

In recent years, an ever-growing number of countries, including the USA,
Australia, Italy, Poland, Spain, Brazil, Argentina, to name just a few, have
officially acknowledged this heinous crime to be genocide.

This year, Canada’s Parliament is expected to adopt a similar resolution in
the House of Commons, mirroring a unanimous motion passed in the Senate in
2003.

Ironically, as the international community prepares to vote on a UN General
Assembly resolution introduced by Ukraine that would condemn Stalin’s
actions in Ukraine as nothing less than genocide, Russia — the
self-appointed successor state of the Soviet Union — has vowed to oppose
the passage of such a resolution.

THE KREMLIN HAS YET TO COME to terms with its genocidal past. In a
recent article published by Russia’s Novosti news service, the Russian
author, Andrei Marchukov, referred to the Famine-Genocide in Ukraine as

“propaganda” and called recent efforts to uncover previously censored
information on the tragedy “sensation whipped up over bygones.”
Bygones indeed!

It is estimated that at least 7 million perished as a result of Stalin’s
induced famine in Ukraine. According to research presented at a 2001
Population Conference in Brazil, historian Mark Tolts, of the Hebrew
University in Jerusalem, stated that, up until recently, it had been
difficult for historians to reach an exact figure on the number of victims,
since Stalin personally falsified the Soviet Union’s demographic data after
the 1932-33 famine.

In fact, according to Tolts, three successive heads of the Soviet Central
Statistical Administration were executed by Stalin, while others were
arrested, in a deliberate attempt to cover-up the shocking human losses.

Recently, Ukraine declassified over 100 documents pertaining to the 1932-33
Ukrainian Famine and repressions of the 1930s from its Security Service
Archives.

The documents are eye-opening because they show that international
humanitarian aid was systematically denied to Ukraine’s starving population.
But countless more Soviet-era documents remain locked in Russian archives,
inaccessible to Western historians.

The Kremlin’s image is in need of a major makeover. Allegations of
state-complicity in the assassinations of Alexander Litvinenko in Great
Britain and investigative journalist Anna Politkovskaya in Moscow have done
little to enhance Russia’s international image as a democratic, peace-loving
nation.

More recently, the Kremlin has failed to crack down on home-grown racist
youth gangs, responsible for a series of cross-border attacks on Jews and
visible minorities in Russia and Ukraine.

Last week, Russian politician Grigory Yavlinsky called on the Russian
government to undertake “a de-Stalinization program” to remember the
millions of victims of Soviet repression.

Russia’s Memorial Human Rights Society issued a statement asking the
Russian government “to acknowledge past crimes and offer apologies to
the victims,” including the former Soviet Union’s repressed ethnic groups.

It’s time for Russia to make peace with its past, by showing a willingness
to make peace with its neighbors. Acknowledging Stalin’s genocidal
complicity in the 1932-33 state-sponsored Famine in Ukraine would be an
important first step.
———————————————————————————————-
Lisa Shymko is a Canadian political scientist and director of the
Canada-Ukraine Parliamentary Center in Kyiv (Kiev), Ukraine. The center
was established in 2000 by Canadian Friends of Ukraine and the Government
of Canada to enhance legislative reform and open access to information.
————————————————————————————————
LINK: http://www.Spectator.org/dsp_article.asp?art_id=12306

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14.  UKRAINIAN MASS FAMINE OF 1932-1933: RUSSIA
IGNORES TRAGIC ANNIVERSARY
The overwhelming fact is that Moscow is anxious to divorce
itself from the 1932-33 tragedy for political reasons.

Nezavisimaya Gazeta, republished by RIA Novosti
Moscow, Russia, Wednesday, November 21, 2007

On Saturday, November 24, all Ukraine will observe the 75th anniversary of
the Ukrainian famine or Holodomor of 1932-33. The scale of mourning was
made public both to Ukrainians and the world.

Nothing, however, is known about the famine, which also affected Russia,
and how the date will be marked in Russia. There is no information available
about any official events on either the Internet or from news agencies.

This oversight in the official response to the tragic date in Russia and
Ukraine is unlikely to be due to the difference in the number of victims:
between 3.5-4 million Ukrainians perished in the famine, while Russia lost
hundreds of thousands.

Kiev believes that the extent of the losses from the famine surpasses even
World War II.

But even if the number of Russian victims does not run into the millions
this does not mean that Russia is incapable of honoring the memory of those
hundreds of thousands on a nationwide scale.

The overwhelming fact is that Moscow is anxious to divorce itself from the
1932-33 tragedy for political reasons.

The Russian authorities fear losing the information war against Ukraine,
which is demanding that other countries recognize the Holodomor as
genocide of Ukrainians.

Although the regime guilty of the crime no longer exists, Moscow is
concerned that if there was an admission it would have to bear the moral
and maybe material responsibility for the millions of deaths 75 years ago.

Moscow is making every effort to block Kiev’s plans to turn the Holodomor
into an international issue like the Jewish Holocaust of World War II.

The authorities are also trying to wipe out all memory of the event that is
now extremely unsafe politically. There are, however, no documents
testifying that the famine was deliberately engineered for ethnic reasons.

Moscow had to repay German industrial loans, and was forced to clear
out barns in grain-producing areas.

At the same time, the geographical range of the famine shows that it hit
mostly the Soviet Union’s outlying ethnic regions. Aside from Ukraine the
famine raged in the Kuban, Stavropol, Don, and the lower and middle
Volga areas, which were part of the Russian Federation.

A year earlier, in Kazakhstan, which was also part of the Russian Federation
at that time, one in three Kazakhs died from starvation. In the Volga area
the worst hit was the German autonomy, which was wiped out in 1941.
————————————————————————————————
LINK: http://en.rian.ru/analysis/20071121/89001893.html
———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================

Ukraine Monthly Macroeconomic Report From SigmaBleyzer:
http://www.sigmableyzer.com/index.php?action=publications 
========================================================
15.  TOO MUCH EMOTION OVER HOLODOMOR IN UKRAINE,
RUSSIAN AMBASSADOR TO UKRAINE SAYS

Interfax Ukraine, Kyiv, Ukraine, Thursday, November 22, 2007

KYIV – Russian Ambassador to Ukraine Viktor Chernomyrdin believes that the
topic of the Holodomor famine of 1932-1933 is being treated too emotionally.

“There was Soviet Union, there was famine, a great famine. It is true that
Ukrainians suffered, as did Russians and other nationalities, including all
who lived in Ukraine,” Chernomyrdin told the press in Kyiv on Wednesday.

He said the famine had no mercy on anybody and regret could be expressed on
that occasion. “But here we see so much sentiment. We don’t understand it,”
he said. “I don’t see any benefit from this storm of emotions,” he added.

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16.  DECLARING FAMINE A GENOCIDE OF UKRAINIANS INSULTS
NON-UKRAINIAN VICTIMS SAYS RUSSIAN FOREIGN MINISTRY

Interfax, Moscow, Russia, Tuesday, November 20, 2007

MOSCOW – The subject of 1930s famine is increasingly becoming a field for
political speculation in Ukraine, the Russian Foreign Ministry reports.

“We would like to say that the famine in the Soviet Union in the 1930s to
which members of numerous ethnic groups, including Ukrainians, Russians,
Kazakhs and others fell victim is increasingly becoming a subject of various
speculations on the part of certain political circles in Ukraine,” a Foreign
Ministry commentary says.

“The declaration of the tragic developments of those years as an act of
genocide with specific regard to the Ukrainian people is a biased distortion
of history for the benefit of present-day political and ideological
concepts.

Not only that, it is an insult to the memory of victims of the famine of
1932-1933 in the Soviet Union who belonged to other ethnic groups,” the
commentary says.

At the same time the Foreign Ministry condemned the vandalism at the
Ukrainian cultural center in Moscow during the November 17 opening of an
exhibition on the famine in Ukraine.

“The Russian Foreign Ministry denounces such hooliganism. We would like to
draw your attention to the fact that the individuals were immediately
detained and handed over to law enforcers for investigation which cannot be
said about the attitude of Ukrainian law enforcement in regard numerous
provocations against the Russian cultural center in Lviv,” the commentary
says.
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17.  RUSSIAN FOREIGN MINISTRY SHOULD READ MORE BOOKS
ABOUT HISTORY SAYS UKRAINE’S FOREIGN MINISTRY

UNIAN News, Kyiv, Ukraine, Tuesday, November 20, 2007

KYIV – The statement of the Russian Foreign Ministry’s Department for
Information and Press about Holodomor is contrary to historical facts.
According to an UNIAN correspondent, top deputy Foreign Minister of
Ukraine Volodymyr Ohryzko said this to journalists today.

He turned attention to the fact that the “statements, made today by the RF
Information Department, are not true, and are contrary to the elementary
historical knowledge”.

V.Ohryzko pointed out that he has intent to summon the councilor at the
Russian Embassy to Ukraine in order to give him a clear view of the
situation concerning smashing up the exhibition, devoted to the Ukrainian
Holodomor of 1932-33, in Moscow on 17 November.

In his turn, Ukrainian Foreign Ministry’s spokesman Andriy Deshchytsia
emphasized that “to exchange statements about that-time events is absolutely
tactless, because we humiliate ourselves by doing so”.

He stressed that Ukraine has determined its position concerning the
recognition of Holodomor of 1932-33 as an act of genocide against the
Ukrainian nation. “Solely within the frameworks of a friendly and partner
advice, I would like to advise our Russian colleagues, including that of the
RF Foreign Ministry’s Information Department, to read books about history”,
he added.

As UNIAN reported earlier, on November 17, 7 representatives of the Eurasian
Union of Youth (EUY) smashed up the exhibition in memory of Holodomor
[Ukrainian Great Famine of 1932-33] exhibition in the Ukrainian cultural
center in Moscow. EUY believes that the exhibition stirred up hatred between
Russia and Ukraine.

The Ukrainian Foreign Ministry assessed these actions as illegal,
provocative, and anti-Ukrainian.

On 19 November the Department for Information and Press of the Russian
Foreign Ministry disseminated a commentary, reading that the announcement
of the famine of 1932-33 in Ukraine as an act of genocide “is a one-sided
distortion of history in favor of modern market’s political-ideological
guidelines”.

The Russian Foreign Ministry emphasized that “the theme of hunger of 30ies
in the Soviet Union, the victims of which were people of many nationalities,
in particular, Ukrainians, Russians, Kazakhs, and other nations, more and
more becomes a topic of different speculations by certain political circles
in Ukraine”.

The Russian MFA is confident that should the Ukrainian great famine be
recognized as an act of genocide, it “will insult the memory of victims of
other nationalities, who died because of hunger in the former USSR”, reads
the commentary of the Russian Foreign Ministry’s Information Department.

By different estimates, from 7 to 10 millions of Ukrainians died during the
Great Famine of 1932-33, which was a result of Stalin’s policy against those
who resisted his plans (Ukrainian farmers).

Stalin decided to sacrifice a considerable part of this group in order to
eliminate the opposition to his projects and to frighten the rest of the
Ukrainian nation into accepting the role of cogs (as he liked to call them)
of the great socialist mechanism.
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========================================================
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18.  FORMER MIN OF FOREIGN AFFAIRS BORYS TARASIUK
CRITICIZED RUSSIAN AUTHORITIES FOR OBSTRUCTION OF
HONORING MEMORY OF 1932-1933 FAMINE VICTIMS

Ukrainian News Agency, Kyiv, Ukraine, Tuesday, November 20, 2007

KYIV – The chairman of the Narodnyi Rukh party and parliamentary deputy
of the Our Ukraine-People’s Self-Defense bloc, former Minister of Foreign
Affairs Borys Tarasiuk is criticizing the Russian authorities for
obstruction of honoring the memory of the 1932-1933 Great Famine victims
in Ukraine.

This follows from the bloc’s press service, a copy of which was made
available to Ukrainian News.

According to the message, Tarasiuk views as unfriendly the statement by the
Russian Ministry of Foreign Affairs that the 1932-1933 Great Famine issue
has become a subject of speculations by certain political circles in
Ukraine.

‘Russian mass media whip up hysteria within their own country every time
when another anniversary of the Famine is approaching. The Foreign Ministry
of Russia is not falling behind,’ the press service cited Tarasiuk as
saying.

The bloc representative also believes that the Russian officials,
particularly the Foreign Ministry, workers of foreign establishments, are
attempting to obstruct honoring the memory of the Famine victims in Ukraine.

‘…attempting to obstruct honoring the memory of the Famine victims in
Ukraine by refusing to support the corresponding resolutions of the UN
General Assembly, UNESCO,’ Tarasiuk said.

The ex-foreign minister is viewing these actions as an outbreak of
anti-Ukrainian campaign from Russia due to the forthcoming elections to the
State Duma (parliament).

‘Unfortunately, Russian politicians are trying to play the Ukrainian card.
These are dirty methods. It’s manifestation of a dangerous tendency, as well
as the recent attack of young people from the Eurasian movement on the
Ukrainian exhibition in Moscow,’ Tarasiuk said.

At the same time, the bloc representative believes that the attempts to deny
the famine are ungrounded, saying Russia may also raise the issue of
starvation of Russian people.

‘One should respect not only his own history, but also the history of his
neighbors. If the Russian side wants to build relations with Ukraine based
on equality and law, it should behave correspondingly,’ Tarasiuk noted.

As Ukrainian News earlier reported, the Ukrainian Ministry of Foreign
Affairs believes it is not correct to dispute with the Russian Ministry of
Foreign Affairs on the Great Famine of 1932-33.

On November 19, Ukraine demanded that Russia bring to justice the members
of the Eurasian Youth Union that destroyed an exhibition honoring the
memories of the victims of the Holodomor of 1932-33 in Ukraine at the

Ukrainian Cultural Center in Moscow.

The Russian Ministry of Foreign Affairs in its turn called declaration of
the Holodomor of 1932-33 in Ukraine as an act of genocide against the
Ukrainians as one-sided garbling of history.
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19.  PRES YUSHCHENKO: UKRAINE’S POLICY ON DECLARATION
ON 1932-1933 FAMINE AS GENOCIDE OF UKRAINIAN PEOPLE

NOT DIRECTED AGAINST OTHER NATIONS 
 
Ukrainian News Agency, Kyiv, Ukraine Tue, November 20, 2007

KYIV – President Viktor Yuschenko marks that Ukraine’s policy on declaration
of 1932-1933 Famine as genocide of the Ukrainian people is not directed
against other nations. Presidential press service disclosed this in a
statement.

‘Retuning of our memory is not the work against anyone. We do not want to
humiliate any nation or state, for we know well that evil, which took place
in Ukraine in 1932-1933, was not the idea of any strange nation, but the
idea of Stalin totalitarian regime,’ Yuschenko said.  The president also
said that studying of the Famine has to consolidate the nation.

‘The nation is eliminated via humiliation, especially spiritual one. The
nation is destroyed this way. In this, when we are made forget 1932-1933,

we are deprived of our history and future,’ Yuschenko said.

Besides, he reminded about efforts, which are undertaken by Ukraine to
inform local and international community about the Famine as a national
tragedy.

As Ukrainian News earlier reported, Russian Foreign Affairs Ministry is
calling the declaration of the 1932-1933 Famine in Ukraine the act of
genocide of the Ukrainian nation as one-sided garbling of history.

The Russian foreign ministry says such initiatives by Ukraine abuse the
memory of other nationality victims of the 1932 – 1933 famine in the Soviet
Union.

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20.  THE UKRAINIAN FAMINE OF 1932-1933 AS GENOCIDE
IN LIGHT OF THE UNITED NATIONS CONVENTION OF 1948

By Roman Serbyn, Professor of History, University of Quebec
The Ukrainian Quarterly, Volume LXII, Number 2, Taras Hunczak, Editor
A Journal of Ukrainian & International Affairs – Since 1944
Ukrainian Congress Committee of America (UCCA)
New York, New York, Summer 2006
Journal article re-published with permission by the
Action Ukraine Report (AUR) #890, Article 20
Washington, D.C., Friday, November 23, 2007

THE STATE OF THE QUESTION
Serious scholars and respectable politicians no longer challenge the
historicity of the Ukrainian famine of 1932-1933. What is still disputed is
the cause of death and the number of victims. Some influential Western
historians blame climatic conditions, administrative mismanagement and
peasant attitudes for bringing about the famine, and deny or minimize the
moral responsibility of Stalin and his régime for voluntarily starving
millions of innocent people – or at least knowingly pursuing policies which
they knew would result in such human losses. [1]

Proponents of the view that the cause of the monstrous loss of life was the
criminal activity of the Soviet régime continue to disagree on the nature of
the crime and the identity of the victims. In other words, there is no
agreement on whether the famine in Ukraine should be classified as genocide,
and if so, if its victims were targeted as peasants or as Ukrainians. The
issue has both a theoretical and a political dimension. It still elicits the
most partisan feelings among both politicians and academics.

The Ukrainian famine is not recognized as genocide by the United Nations. In
November 2003, the UN General Assembly commemorated the 70th anniversary
of the event with a declaration signed by some 60 countries. The document
declared that “the Great Famine of 1932-1933 in Ukraine” took seven to 10
million of innocent lives, and explained that they were victims of “the
cruel actions and policies of the totalitarian regime.”

What had happened was called “a national tragedy for the Ukrainian people,”
but there was no allusion to genocide. The declaration erroneously
attributed the cause of the famine to “civil war and forced
 collectivization” and misleadingly merged the Ukrainian catastrophe with
the “millions of Russians, Kazaks and representatives of other nationalities
who died of starvation in the Volga river region, North Caucasus, Kazakhstan
and in other parts of the former Soviet Union.”

The Ukrainian delegation agreed to this watered-down version out of fear
that the Russians would block a more strongly worded declaration. [2]
Ambassador Valeriy Kuchinsky of the Ukrainian Mission to the UN later stated
that it was, nevertheless, “an official document of the General Assembly,”
whose importance resided in the fact that “for the first time in the history
of the UN, Holodomor was officially recognized as a national tragedy of the
Ukrainian people, caused by the cruel actions and policies of a totalitarian
regime.” [3]

The precedent allowed the Ukrainian Ambassador to return to the famine two
years later, during the General Assembly discussion of the resolution on the
International Holocaust day. Kuchynsky reiterated: “We believe that it is
high time that the international community recognized that crime as an act
of genocide against the Ukrainian nation.” [4]

There is no unanimity on the famine among Ukrainian historians. Some, like
Valeriy Soldatenko of the Institute of Political and Ethnic Studies,
continue to reject the notion of a man-made famine in Ukraine. Others, like
Yuri Shapoval of the same institution, blame the communists for the crime
and consider it genocide in accordance with the 1948 UN Convention.

Stanislav Kulchytsky of the Institute of History of the National Academy of
Sciences of Ukraine maintains that the famine was genocide and that
Ukrainians must ensure that the international community officially
recognizes it as “an act that falls under the UN Convention on the
Prevention and Punishment of the Crime of Genocide.” At the same time, he
claims that, “in reality, this famine cannot be classified as genocide as
defined in the Convention.” [5]

Kulchytsky draws a sharp distinction between the Ukrainian famine, on the
one hand, and the Jewish Holocaust and Armenian massacres, on the other.
“We will never prove to the grandchildren of those Ukrainian citizens who
starved to death, let alone to the international community, that people died
in 1933 in the USSR as a result of their national affiliation, i.e., in the
same way that Armenians died in the Ottoman Empire in 1915, or Jews in the
European countries that were occupied by Hitler’s Reich.”

Convinced that the Ukrainian famine cannot satisfy the criteria set by the
UN Genocide Convention, he comes to a rather surprising conclusion: “And
there is no need to prove this, because the mechanism of the Soviet genocide
was different. The terror by famine that Stalin unleashed on Ukraine and the
Kuban was an act of genocide against Ukrainian citizens, not Ukrainians.”
[6]

Further on, I shall return to Kulchytsky’s “terror by famine”
interpretation; for now, I wish to point out that his approach cannot be
used in arguing the Ukrainian case before the UN, nor is it of much help
when debating the issue with scholars who base their rejection of the
Ukrainian genocide on the UN Convention.

Kulchytsky quotes the UN Convention and then dismisses it without bothering
to analyze it, point by point, to see if it really covers the Ukrainian
famine or not. Absence of such analysis is a common characteristic of
Ukrainian scholarship, which often contents itself with simple assertions
that the Ukrainian famine falls within the UN criteria for genocide.

Deniers of the Ukrainian genocide often rely on the UN Convention for their
main argument against the recognition of the Ukrainian famine as genocide.
This approach can be illustrated by the discussion that took place at the
VII World Congress of the International Committee for Central and East
European Studies held in Berlin in the summer of 2005. A special session was
organized under the title “Was the Famine in Ukraine in 1932-1933 Genocide?”

Otto Luchterhadt, Professor of Law at the University of Hamburg in Germany
entitled his presentation “Famine in Ukraine and the Provisions of
International Law on Genocide.” Luchterhand’s own summary of his argument,
printed in the Congress Abstracts, reads as follows:

          “The question whether the Ukrainian Golodomor [sic!] was a
genocide, can only be answered along with the Anti-Genocide Convention
(9.12.1948), because it exclusively offers the relevant criteria, i.e. the
definition of genocide as a crime under international law. While the
objective elements of the offense were completed without any doubt by state
terrorist measures against a substantial part of the Ukrainian population
during the so-called Dekulakization, the subjective element was not
fulfilled, because killings, deportations, and mistreatments were not
committed with the required specific ‘intent’ to destroy, in whole or in
part, the Ukrainians as a national group as such. The victims of the
Dekulakization policy were defined by a social approach, not by a national
one. So, the Golodomor-case touches on a crucial problem of genocide
definition: due to the Soviet UN-policy it doesn’t protect social and
political groups.” [7]

Let us disregard, for the moment, the author’s erroneous reading of history
(“dekulakization” was mostly over when the great famine began, and people
died from induced famine, which was not a function of “dekulakization”) and
his misdirection in subject identification (victims of “dekulakization”
instead of the famine). What is important is that Luchterhandt’s denial of
the Ukrainian genocide is based on the UN document, as is the case with most
of the other scholars who reject the notion of a Ukrainian famine-genocide.

Andrea Graziosi, a recognized expert on the Ukrainian famine, has come to
the conclusion that the Ukrainian famine will be recognized as genocide
because recently revealed documentation points to such a crime. [8] What the
Italian historian does not say is whether he believes that this claim can be
made on the basis of the UN Convention. I think it can. In this paper I
shall argue the following three points:

         1. The Ukrainian famine was genocide.
         2. It was a genocide directed against Ukrainians.
         3. The evidence meets the criteria set by the 1948 United Nations
             Convention on Genocide.

THE UN CONVENTION ON GENOCIDE OF 9 DECEMBER 1948
The Convention on the Prevention and Punishment of the Crime of Genocide was
adopted by the UN General Assembly on 9 December 1948 and came into force on
12 January 1951. Soviet Ukraine became a signatory of the Convention on 16
June 1949 and ratified it on 15 November 1954. Independent Ukraine continues
to respect the international Convention and has inscribed “Article 442.
Genocide” into its own Code of Criminal Law.

The term “genocide” was coined in 1943 by Raphael Lemkin (1900-1959) “from
the ancient Greek word ‘genos’ (race, tribe) and the Latin ‘cide’ (killing),
thus corresponding in its formation to such words as tyrannycide, homicide,
infanticide, etc.” [9] A Polish Jew, born in what today is Lithuania, Lemkin
studied law at the University of Lviv, where he became interested in crimes
against groups and, in particular, the Armenian massacres during the First
World War.

In October 1933, as lecturer on comparative law at the Institute of
Criminology of the Free University of Poland and Deputy Prosecutor of the
District Court of Warsaw, he was invited to give a special report at the 5th
Conference for the Unification of Penal Law in Madrid. [10] In his report,
Lemkin proposed the creation of a multilateral convention making the
extermination of human groups, which he called “acts of barbarity,” an
international crime.

Ten years later, Lemkin wrote a seminal book on the notion of genocide. A
short excerpt will show that the author’s approach was much broader than the
one later adopted by the UN:

          “Generally speaking, genocide does not necessarily mean the
immediate destruction of a nation, except when accomplished by mass killings
of all members of a nation. It is intended rather to signify a coordinated
plan of different actions aiming at the destruction of essential foundations
of the life of national groups, with the aim of annihilating the groups
themselves. The objectives of such a plan would be disintegration of the
political and social institutions, of culture, language, national feelings,
religion, and the economic existence of national groups, and the destruction
of the personal security, liberty, health, dignity, and even the lives of
the individuals belonging to such groups. Genocide is directed against the
national group as an entity, and the actions involved are directed against
individuals, not in their individual capacity, but as members of the
national group.” [11]

Lemkin’s book became a guiding light for the framers of the UN Convention
on Genocide.

The Convention voted by the UN General Assembly contains 19 articles,
dealing mainly with the problems of the prevention and punishment of
genocidal activity. Most relevant to our discussion is the preamble and the
first two articles. The preamble acknowledges that “at all periods of
history genocide has inflicted great losses on humanity,” while the first
article declares that genocide is a crime under international law “whether
committed in time of peace or in time of war.” The all-important definition
of genocide is contained in Article II:

          “In the present Convention, genocide means any of the following
acts committed with intent to destroy, in whole or in ‘part’ a ‘national,’
‘ethnical,’ racial or religious ‘group, as such.'” [12]

This definition was a compromise after much discussion by the delegates of
various countries who sat on the drafting committees. It satisfied few
people and continues to be criticized by legal experts, politicians and
academics. However, it remains the only legal definition sanctioned by the
UN and operative international courts.

A major objection to the definition is the restricted number of recognized
genocide target groups. Coming in the wake of the Second World War and
informed by Lemkin’s work and the evidence of the Nazi concentration camps,
the definition would necessarily be tailored to the Jewish Holocaust. Jews
could fall into any one of the four categories: national, ethnic, racial and
religious. They did not form a political or a social group, but this was not
the reason for the exclusion of the two categories, which, after all, were
part of Lemkin’s concern.

The exclusion of social and political groups from the Convention, to which
Luchterhandt alluded, was the result of the Soviet delegation’s
intervention. The implication of the definition’s limitation to the four
categories of victims is that one cannot argue for the recognition of a
Ukrainian genocide if its victims are identified only as peasants. Of the
four human groups listed by the Convention, it is quite clear that
Ukrainians did not become victims of the famine because of their religious
or racial traits. This leaves two categories: “national” and “ethnic(al).”

There has always been a certain ambiguity about the distinction between the
two groups labeled as “nation” and “ethnic(al)” by the Convention. William
Schabas, internationally recognized legal expert on genocide, believes that
all four categories overlap, since originally they were meant to protect
minorities. He argues that “national minorities” is the more common
expression in Central and Eastern Europe, while “ethnic minorities” prevails
in the West. [13] But if both terms designate the same group then there is
redundancy, which Schabas fails to note.

A more meaningful interpretation of “national group” was given in a recent
case cited by the author. “According to the International Criminal Tribunal
for Rwanda, the term ‘national group’ refers to ‘a collection of people who
are perceived to share a legal bond based on common citizenship, coupled
with reciprocity of rights and duties’.”[14]

What we have here is a “civic nation” formed by all the citizens of a given
state, regardless of their ethnic, racial or other differentiation, as
opposed to “ethnic nation,” or members of an ethnic community often divided
by state borders. Such a clarification of the terms “national” and
 “ethnical” in reference to “groups” used would remove any ambiguity or
redundancy in the Convention. It would also help the understanding of the
Ukrainian famine-genocide.

Relevant to this discussion is a statement made in 1992 by a Commission of
Experts, applying the Genocide Convention to Yugoslavia: “a given group can
be defined on the basis of its regional existence … all Bosnians in
Sarajevo, irrespective of ethnicity or religion, could constitute a
protected group.” [15] The “regional” group is thus analogous to the civic
national group.

The decisive element in the crime of genocide is the perpetrator’s intent to
destroy a human group identified by one of the four traits mentioned above.

When applying this notion to the Ukrainian case, certain aspects of the
question of intent as used by the Convention should be taken into
consideration. First, it is not an easy task to document intent, for as Leo
Kuper pointedly remarked, “governments hardly declare and document genocidal
plans in the manner of the Nazis.” [16] However, documents which directly
reveal Stalin’s intent do exist, and there is also circumstantial evidence
which can be used. [17]

Secondly, contrary to frequently erroneous claims, the Convention does not
limit the notion of genocide to an intention to destroy the whole group; it
is sufficient that the desire to eliminate concern only a part of the group.
This implies that there is the possibility of selection on the part of the
perpetrator from among the victims within the targeted group, and this
aspect must not be neglected when analyzing the Ukrainian genocide.

Thirdly, the Convention (Article II) lists five ways in which the crime is
executed:

           1. Killing members of the group;
           2. Causing serious bodily or mental harm to the members of the
               group;
           3. Deliberately inflicting on the group conditions of life
               calculated to bring about its physical destruction in whole
               or in part;
          4.  Imposing measures intended to prevent births within the group;
          5.  Forcibly transferring children of the group to another group.

All of these acts, to a greater or lesser extent, can be documented in the
Ukrainian experience.

Fourthly, the Convention places no obligation on establishing the motive
behind the crime, even though the reason behind a criminal’s activity can
help to establish his intent. Two Canadian scholars with long experience in
genocidal studies have classified genocides in four groups according to
their motives.[18] It should be clear from examining the list that the
Ukrainian genocide fits all four categories:

          1. To eliminate a real or potential threat;
          2. To spread terror among real or potential enemies;
          3. To acquire economic wealth; or
          4. To implement a belief, a theory or an ideology.

Schabas approaches the problem somewhat differently: “There is no explicit
reference to motive in article II of the Genocide Convention, and the casual
reader will be excused for failing to guess that the words ‘as such’ are
meant to express the concept.” [19]

Yes, to a certain extent. With the help of a criminal ideology, perpetrators
of genocide can transform a targeted group into an object of blind hate,
which then in itself becomes a motive for the destruction of members of that
group. In other words, members of a group “X” are singled out for
destruction because they are members of that group. But the underlying
motives which brought about the hatred do not disappear – they are only
pushed into the background.
STALIN’S DIRECTIVE OF 22 JANUARY 1933:
‘HABENT SUA FATA DOCUMENTI’
All serious scholars, not only in Ukraine, [20] but also in Russia [21] and
the West, [22] now generally accept the fact that Stalin and his cronies
willfully starved millions of peasants to death in 1932-1933. Ellman, who
rejects the idea of a specifically Ukrainian famine and a Ukrainian
genocide, admits that “Stalin also used starvation in his war against the
peasants” and that “an unknown fraction of mortality in the 1931-34 Soviet
famine resulted from a conscious policy of starvation.” [23]

One can only speculate as to why the Amsterdam historian disregarded in his
tightly reasoned and well-argued discussion of intent in the Soviet famine a
document which of all the known testimonies best illustrates this intent.

For almost two decades now, historians have known about Stalin’s secret
directive of 22 January 1933. Danilov and Zelenin, whose knowledge of Soviet
archives was second to none, considered it one of the few documents “to bear
witness to Stalin’s direct personal participation in the organization of
mass famine of 1932-1933.”[24]

The document is of particular significance for the study of the Ukrainian
genocide, and we cannot exclude the possibility that its checkered fate in
the hands of Soviet, post-Soviet and Western historians had something to do
with this connection.

The document was made known to the academic world at a conference on
collectivization, held in Moscow, on 24 October 1988. Iu. A. Moshkov of
Moscow State University informed the meeting that Stalin had complained of a
massive flight of peasants from Kuban and Ukraine in search of food in
various regions of the Russian Soviet Federated Socialist Republic (RSFSR)
and Belarus.

The General Secretary called the peasants SR agitators and Polish agents who
were going to RSFSR with the intention of stirring up the peasants against
the Soviet power. “Instead of ordering aid for the fugitives,” commented
Moshkov, “the telegram demanded that these people be apprehended at the
railway stations and sent back.”[25]

To my knowledge, this was the first public presentation of the important
document. A participant at the conference, E. N. Oskolkov from the Rostov
University, later used the document in his study of famine in the Northern
Caucasus, in which the Ukrainian Kozak “stanytsyi” figured prominently.[26]
There were no scholars from Ukraine at the Moscow conference, but they must
have read about it in “Istoriya SSSR.”[27]

In 1990, the Institute of Party History of Ukraine published documents of
the famine held in its own Archive. The Stalin document was probably not
found, for it was not published. However, the collection contained a
follow-up directive from Kharkiv, the then-capital of Soviet Ukraine,
relaying the Kremlin directive to the Ukrainian oblasts.[28]

In 1993, Ukrainians organized an international conference on the occasion of
the 60th anniversary of the tragedy. Ukrainian scholars made no reference to
the 22 January 1933 document, but N. Ivnitsky from the Institute of Russian
History, Russian Academy of Sciences, gave a detailed analysis of it.

This historian stated that as a result of the directive 219,460 individuals
were arrested; 186,588 of them were sent back to their starving villages,
and the others were punished in other ways.[29] Oskolkov spoke about a real
“people hunt” in the Northern Caucasus and, in particular, the Kuban region,
as a result of Stalin’s directive.[30]. Significantly, no Ukrainian
participant referred to the document.

The Russian participants were unhappy with the conference and, once in
Moscow, wrote a scathing report.[31] They objected to Ukrainian historians’
“groundless insistence” on Ukraine’s exclusiveness during the famine, on
imagining “a separate character and content of the events in that republic,
distinct from other republics and regions.”

They liked Kulchytsky’s linking the famine with grain procurement and
collectivization; they ignored James Mace’s comments on the national motives
in Stalin’s starvation policy; and they condemned Ivan Drach for his demand
that Russia recognize its liability for the famine. The statement discussed
at length the famine in the Kuban and Northern Caucasus, but only as proof
of Russian famine and without a single reference to its ethnic Ukrainian
population.

In 1994, N. A. Ivnitsky published a seminal study on collectivization from a
post-Soviet perspective, explaining in some detail Stalin’s secret directive
on closing the borders around Ukraine and the Northern Caucasus. This
measure was to prevent a peasant exodus from Ukraine and Kuban to the
Russian regions of Central-Black Earth, the Volga, Moscow and Western
oblasts, as well as to Belarus. The scholar reiterated the fact that, as a
result of that order, the OGPU arrested 219,460 persons in the first six
weeks of the order. [32]

On the occasion of the 70th anniversary of the Bolshevik overthrow of the
Provisional Government, a group of French historians, many of them former
Marxists, published a book of communist crimes around the world. [33] The
book hit the French public like a bombshell, was translated into a dozen of
languages and had a great impact on intellectuals of leftist leanings.
Nicolas Werth, a known expert on Soviet history, authored the part on the
Soviet Union.

In the chapter on “the Great Famine,” he presents Ivnitsky’s findings on
Stalin’s directive but changes the direction of the peasants’ migration. The
peasants from Ukraine and Kuban no longer go to the four Russian regions,
but to unspecified “towns” – towns that were not even mentioned in Stalin’s
decree or Ivnitsky’s rendering of it. [34]

Werth made Stalin’s directive a follow-up to the new law on passports,
decreed on 27 December 1932. Peasants were not entitled to the passports,
and this was one way of preventing them from leaving the village. The two
measures were quite different. The passport law concerned the whole Soviet
Union, and it was of a social nature – to prevent peasants from moving
freely into urban centers. Stalin’s directive on the border concerned only
Ukraine and the heavily Ukrainian Northern Caucasus (especially the
predominantly Ukrainian Kuban), and was thus of a national character.

The immediate consequence of this misrepresentation of the important
document in Werth’s work was to allow the author to preclude its use as
evidence of Ukrainian genocide. Tackling a problem that was then hotly
debated in the academic world, Werth asks: “Should one see this famine as ‘a
genocide of the Ukrainian people’, as a number of Ukrainian historians and
researchers do today?” To which he gives a somewhat evasive answer, which
is worth a direct quotation:

          “It is undeniable that the Ukrainian peasantry were the principal
victims in the famine of 1932-33, and that this ‘assault’ was preceded in
1929 by several offensives against the Ukrainian intelligentsia, who were
accused of ‘nationalist deviations’, and then against some of the Ukrainian
Communists after 1932. It is equally undeniable that, as Andrei Sakharov
noted, Stalin suffered from ‘Ukrainophobia’. But proportionally the famine
was just as severe in the Cossack territories of the Kuban and the Don and
in Kazakhstan.” [35]

The national character of the document is thus lost on two counts: the
flight from Ukraine to Russia was replaced by migration from village to
town, and the Ukrainian ethnicity of the Kuban Kozak population was ignored.
In fairness to Werth, it should be noted that in a later publication he has
corrected the first, although not the second, point in his presentation of
Stalin’s infamous directive. [36] There is also merit in Werth’s situating
the famine in a broader national context.

But the fact that there was a famine in Kuban, the Don and Kazakhstan in no
way affects the genocidal nature of the famine in Ukraine, as the author
seems to imply. Werth’s unfortunate mistaken interpretation of the Stalin
border directive was reproduced in all the translated versions of the “Black
Book” and, paradoxically, Ivnistky’s correct comments on Stalin’s directive
returned to his homeland in a twisted and deceptive form. [37]

Stéphane Courtois, the editor of the “Black Book,” gave the famine another
spin. In his “Introduction” to the publication, he begins by quoting the
whole Article II of the UN Convention on Genocide but then reminds the
reader of the addition to the definition of genocide made by the French
criminal code: “or a ‘group that has been determined on the basis of any
other arbitrary criterion’ ” [emphasis added by Courtois].

This allows Courtois to add “social group” to the list of targeted
populations. Inspired by Vasily Grossman’s “magnificent novel” Forever
Flowing, Courtois compares “the great famine in Ukraine in 1932-33, which
resulted from the rural population’s resistance to forced collectivization”
and in which “6 million died” to the Jewish Holocaust.

“Here, the genocide of a ‘class’ may well be tantamount to the genocide of a
‘race’ – the deliberate starvation of a child of a Ukrainian kulak as a
result of the famine caused by Stalin’s regime ‘is equal to’ the starvation
of a Jewish child in the Warsaw ghetto as a result of the famine caused by
the Nazi regime.” [38] Courtois’s analysis of the 1932-1933 famine as “class
genocide” is shared today by many scholars in the West, Ukraine and Russia.

Terry Martin was the first Western scholar to draw particular attention to
Stalin’s border decree of 1933, which he also published in “toto.” [39] The
American historian examined the Ukrainian famine in connection with the
national aspect, not only in Ukraine but also in the Northern Caucasus.
Stalin’s correspondence with Kaganovich and Molotov reveals his distrust of
the Ukrainian party leaders, such as Chubar and Petrovsky, and the whole
Communist party in Ukraine, which he accused of being infiltrated by
Petlyurites and agents of Pilsudski.

The general opposition in Ukraine to grain procurement was seen as directly
connected to the national question, as was the similar sabotage mentality in
the Northern Caucasus. This part of the RSFSR had a high proportion of
ethnic Ukrainians, especially the Kuban region, with its clear Ukrainian
majority. It is in this context that the historian introduces Stalin’s
directive of 22 January 1933.

However, in spite of the revealing evidence about the national factor in the
1932-1933 events, and even though he called the chapter dealing with the
famine “The National Interpretation of the 1933 Famine,” the author remains
far from recognizing the famine as a Ukrainian genocide.

In a lecture delivered at the Harvard Ukrainian Research Institute in
February 2001, Martin stated his interpretation is “derived primarily from a
close analysis of Soviet nationalities policy,” but that this did not mean
that he thought it “the decisive factor in explaining the famine.”

“On the contrary,” declared the speaker, “I fully accept the standard
peasantist interpretation of the famine.” The historian was convinced by the
“forceful restatement of that argument” by his colleague, D’Ann Penner, who
argued “that the famine was the culminating act in a five-year assault on
the peasantry.”[40]

Martin’s reliance on Penner’s work is surprising, because the latter
analyzed the famine in the Don and North Caucasus regions, and in her
otherwise excellent essay shows a curious understanding of the Ukrainian
population of the RSFSR. Penner writes: “The Kuban Cossacks who spoke
Ukrainian did not consider themselves Ukrainians nor did they exhibit a
desire to join a Ukrainian national movement.

They treated the ‘khokhly,’ one of the less derisive terms used by Cossacks
when referring to Ukrainian-speaking peasants, with as much disdain as did
the Russian-speaking Cossacks of Veshensk. [Penner’s emphasis]” [41] As the
title of her essay indicates, Penner sees the famine primarily as a result
of the struggle between the peasants and the Soviet state. Comparing the
Chinese and “the Soviet” (her words) famines, the American author writes:

          “In both cases, the famines were immediately preceded by decisions
to change and, the decision-makers believed, to rapidly upgrade agricultural
production on a grand scale irrespective of the farming people’s expressed
will. At the most basic level, each famine was caused by the government’s
handling of a serious grain crisis, which itself was the result of a
predominantly unnatural disaster caused by failed innovations, short-sighted
policies and effective peasant resistance.” [42]

Penner mentions the Stalin border decree, not in connection with the
national question, but as a follow-up to the law on passports and a way to
control popular mobility, unproductive to the state.[43] For Martin, there
was also no Ukrainian famine as such, and his perception of the event was
reflected in the title of his Harvard paper: “The 1932-33 Ukrainian Terror.”
The evidentiary potential of the Stalin directive was not exploited to its
fullest.

Stalin’s directive to close the border has been slow in attracting interest
among Ukrainian scholars, even those who uphold the thesis of Ukrainian
genocide and need evidential material to support their claim. On the 65th
anniversary of the famine, Ivnitsky once more spoke of the Moscow document
of 22 January 1933, and Volodymyr Serhiychuk quoted from the follow-up
Kharkiv directive to the Ukrainian regions.

Regrettably, neither historian approached the blockade of the Ukrainian
peasants from the perspective of the UN Convention on genocide. Nor was it
the approach adopted by Levko Lukyanenko and Olena Zdiochuk, who were
supposed to provide the conference with a legal analysis of the famine. [44]

When, at the end of the millennium, Vasyl Marochko wrote a long essay titled
“Genocide of the Ukrainian People,” he quoted the definition in Article II
of the Convention without analyzing it, made no reference to the Stalin
directive and waffled between a national and a “peasantist” interpretation
of the tragedy. Marochko begins his section on “Terror by famine” with this:
“The most pronounced indication of genocide in Ukraine is the conscious
creation of life conditions, calculated for the physical destruction of
‘peasants.'” [45]

Only in the beginning of our century did Stalin’s directive receive adequate
attention in Valeriy Vasilev’s thorough analysis of the Soviet authorities’
starvation policies. Surprisingly, the author took at face value Stalin’s
demagogic claim that the reason for the closing of borders was to “prevent
the spreading of information about the famine.” [46]

The 70th anniversary of the famine was marked by scholarly conferences, a
special hearing at the Ukrainian Parliament, and a representation to the UN
General Assembly. A central aim of these events was to ascertain the
genocidal character of the famine.

By then, Stalin’s directive should have been well known in academic circle
and among interested politicians, for in 2001 the Russian Academy of
Sciences published the whole text of Stalin directive. [47] That same year,
Stalin’s correspondence with Kaganovich came out, which helped put the
document in a more meaningful historical context. [48]

Assistant Prime-Minister Dmytro Tabachnyk presented the main report at the
Parliamentary hearing in February 2003. The historian- turned-politician
argued in the spirit of the UN Convention on genocide, showing how the
conditions in Ukraine in 1932-1933 corresponded to the criteria of the UN
Convention on Genocide. As one of the repressive measures, Tabachnyk
mentioned the introduction of the passport system, which tied the peasants
to the starving villages.

However, with one exception, no politician or academic at the hearing evoked
Stalin’s border decree. Only one Member of Parliament, the head of the
Poltava “Prosvita” organization, Mykola Kulchytsky, quoted Stalin’s
directive and recounted an incident from the period to illustrate its
effect.[49] I was not able to obtain the dossier presented by the Ukrainian
delegation to the 5th Committee of the General Assembly of the United
Nations, but I suspect that there was no particular attention drawn to the
border-closing decree.

Of the numerous conferences held that fall in Europe and North America, let
us look at just two, one held in May at the Lviv Polytechnic University, and
the other in November at Kyiv University. Not one paper at the Lviv
conference mentions Stalin’s border decree. Rudolf Myrsky’s paper, however,
is relevant to our discussion for another reason. The author draws a
parallel between two genocides executed on Ukrainian soil: Stalin’s “class
genocide” against Ukrainian peasants and Hitler’s “race genocide” against
the Jews of Ukraine.

Echoing Courtois’s quotation from Grossman’s “Forever Flowing” Myrsky
asserts: “We can say that in Holodomor and Holocaust a class genocide joins
up with a racial genocide in a fatal calculation: the death from hunger of a
Ukrainian child has the same value as death from hunger in a Warsaw ghetto.”
[50] Courtois’s Ukrainian child thus lost its “kulak” label, but was
subjected to the same “peasantist” interpretation, which enjoys much

support among Ukrainian scholars.

Only Shapoval discussed Stalin’s borders directive at the Kyiv conference.
He made it clear that the decree was to counter the flight of peasants
“beyond the limits of Ukraine.” Shapoval also quoted a Ukrainian translation
of the whole follow-up order sent the next day from Kharkiv to the oblasts.
But the Ukrainian specificity of the two documents are diminished by the
historian’s discussion of the matter in a section, which he aptly calls “the
second serfdom,” namely the tying down of all Soviet peasants to the land,
which began with the passport decree. [51]

To complete this brief overview of the fate of Stalin’s border decree, three
more publications should be mentioned. For the 70th anniversary of the 1933
famine, the Institute of History of the National Academy of Sciences of
Ukraine published a voluminous collective study under the title “Famine of
1932-1933 in Ukraine: Causes and Consequences.”

Significantly, neither “Holodomor” nor “Genocide” appear in the book’s
title, and of the 68 titles of sections and subsections in the book, the
term “genocide” is used only once in a subtitle, and in reference to
peasants, not Ukrainians: “The policy of total grain confiscation in the
Ukrainian village: genocide against the peasants.” [52]

Neither in that section, nor anywhere else in the almost 900-page opus, is
there any mention of the UN Convention on Genocide or an analysis of the
concept of genocide. As for Stalin’s border decree, there is only discussion
of its application and its effect in the sections on how peasants tried to
save themselves from the famine and in connection with the passport system.
[53] The more popular terms used in the book are “holodomor” and “terror by
famine.”

Mention should be made of the 80 documents on the famine, recently published
by Lubomyr Luciuk (Royal Military College in Kingston, Canada) and Shapoval
(Political and Ethnic Studies Institute, Kyiv). As the collection is
intended primarily for the academic public outside Ukraine, Shapoval
included a succinct introduction, in English, showing the most important
stages in the realization of Stalin’s famine-genocide.

The author briefly explains the border closing document and adds:
“appropriate instructions were issued to the transport departments of the
OGPU USSR” (the precursor of the better-known NKVD).[54] Notwithstanding
the sloppy appearance of the book, it is a worthwhile addition to the
material on the Ukrainian genocide.

Since many of the documents have already appeared in the original language
(Russian), it would have been more useful to give an English translation of
these documents. What is also baffling is the editor’s failure to include
the crucial Stalin-Molotov directive of 22 January 1933. Instead, the
editors published the follow-up directive, sent the next day by Kharkiv to
the Ukrainian regions, which does not have the same evidentiary value in
proving Stalin’s genocidal intent. [55]

Ukraine’s most prolific academic writer on the famine is Stanislav
Kulchytsky. His last major essay on the subject was first serialized in the
Ukrainian, Russian and English versions of the newspaper “Den,” under the
title “Why was Stalin Destroying Us.”[56] Then the Ukrainian and Russian
versions were adapted for a bilingual book published by the Institute of
History of the National Academy of Sciences of Ukraine under the title
“Famine of 1932-1933 in Ukraine as Genocide.” [57]

Kulchytsky’s conceptual paradigm is the notion of “terror by famine,”
borrowed from Robert Conquest [58] and also popular with many Western
and Ukrainian historians. Yet, as Egbert Jahn so cogently argued, a terror
policy seeks to alarm and intimidate people, and to be effective makes
available as much information as possible. This was not characteristic of
the famine and so “one cannot characterize the core of the Holodomor as
the use of hunger terror.” [59] “Terror by famine” is a misnomer.

Terror was employed to force the peasants into collective farms and to
confiscate their harvest. It was effective and achieved its goal. It also
caused some loss of life but did not result in mass extermination. Famine
came after most of the collectivization was already accomplished and the
peasants’ foodstuffs confiscated. Terror was employed throughout the whole
period towards party and state cadres to intimidate them into carrying out
Stalin’s genocidal policies toward the Ukrainian peasants, but these
functionaries did not die from the terror.

Terry Martin provides a good analysis of the measures taken to terrorize the
local communists in the Kuban.[60] Ukrainian peasants succumbed to
starvation when there was no need to scare them into the collective farms,
for most of them already were there, and when there was no need to scare
them into giving up their produce, because it had already been confiscated.
The peasants died from induced hunger, not fear. The “terror by famine”
cannot be used as a synonym for genocide, as Kulchytsky seems to imply by
his usage of the terms.

Kulchytsky set for himself the task of discovering Stalin’s motives for
destroying Ukrainians. Establishing the motive for a criminal act helps to
understand the criminal’s intention to commit it, but it is not a factor in
determining proof of genocide, according to the UN Convention. What the
Convention demands is proof of the intent itself.

Contrary to Kulchytsky’s claim, I believe that the Ukrainian famine of
1932-1933 does fit the UN definition of genocide. The two main concerns
of Article II – that the victim population fit one of the four identified
groups and that proof be given of the perpetrator’s genocidal intent – can
be satisfied with the available documents, the most revealing of which is
Stalin’s border decree.
THE 1932-1933 FAMINE AS GENOCIDE AGAINST UKRAINIANS
Stalin’s decree is directed against two groups of peasants, those living in
the Ukrainian SSR and those in the Northern Caucasus, especially the Kuban
region. Let us first examine the targeted population in the Ukrainian
republic.

Stalin complains of a massive flight of peasants from Ukraine to the near-by
regions of Russia and Belarus. These people pretend to search for food but
in fact, he claims, are social-revolutionaries and agents of Poland who
agitate in the northern parts of the USSR against the “kolkhoz” system. The
same thing happened the year before, but the party, state and police
authorities of Ukraine did nothing to stop it. It must not be allowed to
happen this year.

Stalin then orders the party, state and police authorities of Ukraine to
prevent peasants from crossing the border between Ukraine and the rest of
the USSR. Corresponding authorities in Belarus and the adjoining Russian
regions must prevent peasants from Ukraine to enter their territories.
Peasants guilty of disobeying the order must be arrested,
counter-revolutionary elements segregated for punishment, and the others
returned to their villages.

Stalin’s decree concerned all peasants of Ukraine. But since the UN
Convention only recognizes national and ethnic groups, the crucial question
is whether they were targeted as peasants or Ukrainians?

We have seen that the “national group” in the UN Convention’s has been
interpreted in the sense of “civic nation” and even a well-defined region.
In this regard, all the peasants within the borders of the Ukrainian SSR,
whatever their ethnic origin, were part of the Ukrainian nation. According
to the 1926 census, ethnically Ukrainian peasants made up 88.5 % of the
Republic’s peasant population; the ethnic and civic character of Ukrainian
peasantry overlapped.

Ethnically, Ukrainian peasants also made up 89.0 % of the Republic’s
ethnically Ukrainian population and 71.8 % of the Republic’s overall
population, and thus constituted the overwhelming portion of the Republic’s
population. It was this group that Stalin’s border decree singled out for
partial destruction, but did he see his enemies as peasants or Ukrainians?

Two months earlier, Kaganovich boasted in Rostov-on-Don that the Party had
definitively settled the question of who would defeat whom in the struggle
between the régime and its opponents. [61] Kaganovich was right regarding
the peasants: by then their opposition to collectivization was broken, as
was their “sabotage” of state procurement.

Ukrainian peasants – as peasants – were no more an obstacle to the Party’s
policies or a danger to its domination than were the Russian peasants. There
was no more need to exterminate them, than to eliminate the Russian
peasants. However, Ukrainian peasants presented a more formidable threat to
Stalin’s regime as Ukrainians.

In 1925, Stalin lectured the Yugoslav comrades on the national question. He
told them that the peasant question was “the basis, the quintessence of the
national question.” “That explains the fact,” he affirmed, “that the
peasantry constitutes the main army of the national movement, that there is
no powerful national movement without the peasant army.”

The social role of the peasantry is inexorably connected with its national
needs, and because of the peasants’ predominance in agrarian societies, the
national question becomes in essence a peasant question. And to be perfectly
clear, Stalin adds that the national question is “not an agrarian but a
peasant question, for these are two different things.” [62]

Stalin’s separation of the peasant’s economic and social functions is
noteworthy. Stalin criticized the Yugoslavs for underestimating “the
inherent strength of the national movement,” and warned them that the lack
of understanding and underestimation of the national question constituted a
grave danger.

Stalin’s convictions did not change in later years; he continued to be
vigilant lest the national movements endanger the integrity of his
multinational empire, and he had no intention of underestimating the
“profoundly popular and profoundly revolutionary character of the national
movement” in Soviet Ukraine, engendered by the Ukrainian national revival in
the 1920s and fanned by the Party-approved Ukrainianization. By the end of
1932, Ukrainian peasants had been vanquished as peasants; Stalin now
intended to eliminate a part of them – as Ukrainians.

Revealing evidence of Stalin’s concern for the national question is provided
by Stalin’s correspondence with Kaganovich in August 1932. The two agreed
that the Ukrainian party was dragging its feet on grain procurement and that
Petlyurites and agents of Pilsudski infiltrated the party.

Stalin raised the threat that unless proper measures were taken, “we can
lose Ukraine”; Kaganovich agreed, adding: “The theory that we, Ukrainians,
have unjustly suffered, fosters a solidarity and a rotten mutual guarantee
not only among the middle level cadres, but also at the top.”[63]

Of course, both knew that there was little threat from imaginary
“Petlyurites” or “Pilsudski agents,” who supposedly infiltrated the Party
(this was a directive for the Party on how to interpret these matters), but
there was an eventual threat from the Ukrainian national revival, whose
mainstay was the peasantry. Kremlin’s 14 December 1932 analysis of the
procurement difficulties in Ukraine and the North Caucasus was blamed on
the Ukrainianization policy, and both were attacked with a vengeance.

Moscow ordered Party and State authorities in Ukraine “to pay serious
attention to the proper conduct of Ukrainianization, eliminate its
application in a mechanical way, remove Petlyurite and other
bourgeois-nationalist elements from Party and Soviet organizations.”

They were also ordered to “carefully pick and train Ukrainian bolshevik
cadres, secure systematic party leadership and control over the process of
Ukrainianization.”[64] This was a blueprint for ethnocide; it effectively
put an end to Ukrainianization in Ukraine, and even more so in the RSFSR.
This document was more of a precursor for the genocidal Stalin border
directive than the passport decree.

The other region closed by Stalin’s 22 January 1933 directive was the North
Caucasus Territory, but the main target was its Kuban region. The directive
even begins with the notification about peasant exodus from “Kuban and
Ukraine.” What did the two targeted areas – Ukraine, a union republic, and
Kuban, a neighboring region of the RSFSR – have in common? They were
important grain-producing regions.

That is true, but so was the Central-Black Earth region, which was not
singled out. There was a more important consideration at that time for
Stalin and Kaganovich: the Ukrainianization program was transforming in a
dangerous way the overwhelmingly Ukrainian peasant population of Ukraine
and Kuban into Ukrainians, conscious of their national identity.

At that time, there were some eight million ethnic Ukrainians living outside
the Ukrainian SSR, mostly in the regions of the RSFSR, contiguous with
Ukraine. The North Caucasus had about three million Ukrainians, and almost
half of them lived in the Kuban region, where it constituted about two
thirds of the population.

Also significant was the fact that about one-half million of the Kuban
Ukrainians were not of traditional peasants stock but descendants of
Ukrainian Zaporozhian Kozaks, people with a military history and democratic
traditions. It was in these regions that most of the starvation outside
Ukraine took place. (Kazakhstan is a separate case.)

The Ukrainianization of the Ukrainian “colonies” in the RSFSR, and
especially of the Kuban, had already added fuel to what Martin calls the
Piedmontist principle of border disputes between the Ukrainian SSR and
Moscow. The peasant/Kozak population could prove to be a disruptive force
in the future.

In its 14 December 1932 decision, Moscow took to task the party and state
authorities of the North Caucasus Territory: “… the flippancy in carrying
out unbolshevik ‘Ukrainianization’ of almost half of the districts of North
Caucasus, which did not come from the cultural interests of the population,
and which was carried out with a complete absence of controls on the part of
regional organs over the Ukrainianization of the schools and the press, gave
the enemies of the Soviet power legal cover for organizing opposition by
kulaks, [former] officers, returning Cossack emigrants, members of the Kuban
Rada [analogous to the Ukrainian Central Rada of 1917-1918], etc.” [65]

The prescribed punishment was harsh: “Immediately change the clerical work
of the Soviet and cooperative organs and all the newspapers and journals in
the ‘Ukrainianized’ districts of North Caucasus from the Ukrainian language
to the Russian language, as the more understandable to the Kuban population,
and also prepare the transfer of teaching in schools into the Russian
language.” The local authorities were further warned to immediately verify
and improve the composition of school personnel in the “Ukrainianized”
districts. [66]

The foregoing examination of Stalin’s twin targets should be sufficient to
show that their common characteristic was their national or ethnic identity.
The nexus joining the Ukrainian national group in the Ukrainian SSR (whether
taken in its civic or ethnic sense) and the Ukrainian ethnic group in Kuban
was their Ukrainianness.

The requirement of the UN Convention on Genocide is thus satisfied:
Ukrainian peasants in Ukraine and in the RSFSR were being destroyed in their
capacity as Ukrainians; their agrarian role was secondary. Peasants were the
most numerous part of the Ukrainian national/ethnic group, consisting also
of intellectuals, state and party functionaries, and workers; and it was
this group that Stalin’s régime decided, in the language of the UN
Convention, “to destroy in part.”

The non-peasant Ukrainians did not die from starvation, but they were
definitely victims of the same genocidal intent. The intent was not to
destroy the whole Ukrainian nation (nor is total destruction of a specified
group a condition for the recognition of genocide by the UN Convention).

The intention was to destroy the élites and a sufficiently large portion of
the most dynamic element of the Ukrainian national group so as to cripple
the Ukrainian nation and reduce Ukrainians to what Stalin liked to call
“cogs” in the great state mechanism.

Stalin’s genocidal intent should be sufficiently clear from the various
documents originated by him or signed by others on his orders or in
anticipation of such. Schabas insists that the “genocidaire” must have
knowledge of the consequences of his act. [67]

Stalin was privy to all the important documentation of the Soviet state,
cognizant of, and personally responsible for, all the policies, which
resulted in the death of millions of innocent people. The régime’s public
denial of the famine and its rejection of foreign aid cannot be interpreted
in any other way than as a flaunting admission of its intent to starve the
population to death.

The most heinous crime of Stalin and his Communist régime is now quite
well known, especially to the academic community, but various aspects of
the catastrophe still need further research, systematization and
conceptualization. This question of the Ukrainian genocide is a case in
point. We need a breakdown by nationality of the population that died from
the famine in the RSFSR to see how many of the victims were ethnic
Russians, Ukrainians, Germans, Tatars and other nationalities.

There is no systematic study to shows the forms and the degree of
discriminatory practices of the Stalinist régime in its policies towards
different localities and nationalities in the ethnically mixed regions with
regards to the procurement quotas, the implementation of Moscow orders.

The national composition of command structure and the cadres that carried
out food confiscation and distribution must also be examined in a more
systematic way. There was some internal aid to some of the hungry
population, but the economic and other reasons behind the régime’s help
need a more thorough study.

While the very existence of the famine was vehemently denied and foreign
efforts to organize famine relief were rejected, some foreign aid did get
through to the German and Jewish communities, but this aspect of the Soviet
policies is generally ignored in the literature on the famine, possibly
because it has not been sufficiently explored and documented. This
additional research will give us a more complete knowledge and a better
understanding of the Ukrainian famine and help establish its genocidal
character.                                              -30-
————————————————————————————————
NOTE:  Roman Serbyn is Professor of History at University of
Quebec and the author of numerous articles on Ukrainian history and
nationalities problems in Ukraine in the 19th and 20th centuries.  He is
also the editor or co-editor of a number of books, inclusing “Federalisme
et Nations” (1969) and “Famine in Ukraine, 1932-1933” (1986).  His
most recent book was “Za yaku spadshchynu?” (1986)
———————————————————————————————–
FOOTNOTES:
[1] See, for example, R. W. Davies and Stephen G. Wheatcraft, “The Years
of Hunger: Soviet Agriculture, 1931-1933″ (New York : Palgrave Macmillan,
2004).
[2] Ukrainian Weekly, 16 November 2003.
[3] Kuchynsky at the UN discussion of Holocaust Day, 1 November 2005.
[4] Ibid.
[5] Stanislav V. Kulchytsky, “Holod 1932-1933 rr. v Ukrayini yak henotsyd”
(Kyiv, 2005), pp. 3, 21.
[6] This is the “Den” version (24 November 2005). In the book version (p.
85), “not Ukrainians” was dropped.
[7] ICCEES VII World Congress Abstracts, “Europe – Our Common Home?”
(Berlin, 25-30 July 2005), pp. 247-248. The importance of the intent as
defined by the convention is shown in Michael Ellman, “The Role of
Leadership Perceptions and of Intent in the Soviet Famine of 1931-1934,”
“Europa-Asia Studies,” vol. 57, no. 6 (September 2005), pp. 823-841.
(Emphasis added by author.)
[8] “Den,” 8 November 2005.
[9] Raphael Lemkin, “Axis Rule in Occupied Europe: Laws of Occupation –
Analysis of Government – Proposals for Redress” (Washington, D.C.:
Carnegie Endowment for International Peace, 1944), p. 80.
[10] “Les actes constituant un danger général (interétatique) considérés
comme delites du droit des gens,” “Librarie de la cour d’appel et de l’order
des advocates” (Paris, 1933).
[11] Lemkin, p. 80.; [12] Emphasis added by author.
[13] William A. Schabas, “Genocide in International Law. The Crime of
Crimes” (Cambridge: Cambridge University Press, 2000), Chapter 3.
Groups protected by the Convention.
[14] Ibid., p. 115.; [15] Ibid., p. 237.
[16] Leo Kuper, “Genocide. Its Political Use in the Twentieth Century”
(Penguin, 1981), p. 35.
[17] On circumstantial evidence, see Ellman, pp. 829-830.
[18] Frank Chalk and Kurt Jonassohn, “The History and Sociology of
Genocide. Analyses and Case Studies” (New Haven and London : Yale
University Press, 1990), p. 29.
[19] Schabas, p. 245.
[20] Most active in the field have been Ukrainian historians: Stanislav
Kulchytsky, Yuri Shapoval, Valeriy Vasilev, Volodymyr Serhiychuk and a few
others. See also “Holod 1932-1933 rokiv v Ukraini: prychyny ta naslidky”
(Kyiv: Naukova Dumka, 2003).
[21] V. P. Danilov and I. E. Zelenin, “Orhanizovannyi golod: k 70-letiiu
obshchkrestianskoi trahedii,” “Otechestvennaya istoriya,” no. 5 (2004).
[22] Among the most recent publications: Vernichtung durch Hunger: “Der
Holodomor in der Ukraine und der UdSSR.” (A special issue of Osteuropa).
December 2004; “La morte della terra: La grande “carestia” in Ucraina nel
1932-1933. Atti del Convegno Vicenza, 16-188 ottobre 2003″ (Roma : Viella,
2004); Robert Conquest, “Raccolto di dolore” (Italian edition of Harvest of
Sorrow) (Roma : Liberal edizioni, 2004).
[23] Ellman, p. 835.; [24] Danilov and Zelenin, p. 107.
[25] “Dyskusiyi i obsuzhdeniya. Kollektivizatsiya: uroki, sushchnost,
posledsviya,” “Istoriya SSSR,” no. 3 (1989), p. 46.  The telegram is wrongly
dated here as 23 January instead of of 22 January.
[26] E. H. Oskolkov, “Golod 1932/1933,” in “Khlebozagotovki i golod
1932-1933 goda v Severno-Kavkazkom krae (Rostov-na-Donu, 1991),”
pp. 75-76.
[27] “Kollektivizatsiia: istoky, sushchnosst, posledstviia. Beseda za
‘kruglym stolom’,”  “Istoriya SSSR,” pp. 46-52.
[28] “Dyrektyvnyi lyst TsK KP(b0U ta Radnarkomu USRR vsim obkomam
partii ta oblvykonkomam pro neprypustymist’ masovykh vyizdiv kolhospnykiv
ta odnoosibnykiv za mezhi Ukrainy,” in “Holod 1932-1933 rokiv na Ukraini:
ochyma istorykiv, movoiu dokumentiv” (Kyiv, 1990), pp. 341-342.
[29] “Holodomor 1932-1933 rr. v Ukraini: prychyny i naslidky. Mizhnarodna
naukova konferentsiia.” Kyiv, 9-10 veresnia 1993. Materialy. (Kyiv, 1995),
p. 43.
[30] Ibid., p. 121.
[31] “O golode 1932-1933 godov i eho otsenka na Ukraine,” “Otechestvennaya
istoriya,” no. 6. (1994), pp. 256-262. (Signed: I. E. Zelenin, N. A.
Ivnitskiy, V. V. Kondrashin, E. N. Oskolkov.)
[32] N. A. Ivnitskiy, “Kollektivizatsiia i raskulachyvanie (nachala 30-kh
godov)” (Moskva, 1994), p. 204. (Reedited in 1996.)
[33] Nicolas Werth, “Un État contre son peuple. Violence, répression,
terreurs en Union soviétique,” in Stéphane Courtois et al. (eds.), Le livre
noir du communisme. “Crimes, terreur, repression” (Paris: 1997), p. 183. For
convenience, all references here are to the English edition: “The Black Book
of Communism: Crimes, Terror, Repression” (Cambridge, Massachusetts:
Harvard University Press, 1999).
[34] Ibid., p. 164.; [35] Ibid., p. 168.
[36] “Le pouvoir soviétique et la paysannerie dans les rapports de la police
politique (1930-1934),” “Bulletin de l’IHTP,” nos. 81-82 (December 2003).
[37] Nikolia Vert, “Gosudarstvo protiv svoego naroda. Nasilie, repressii i
terror v Sovetskom Soiuze,” in Stefan Kurtua et al., “Chernaia kniga
komunizma. Prestupleniia terror i repressi.” (Moskva: Tri Veka Istoriyi,
1999), p. 170.
[38] Courtois, “Introduction. The Crimes of Communism” in “The Black
Book,” p. 9.
[39] Terry Martin, “The Affirmative Action Empire. Nations and Nationalism
in the Soviet Union, 1923-1939″ (Ithaca and London, 2001). See Chapter 7:
“The National Interpretation of the 1933 Famine”; the translation is on pp.
306-307.
[40] Terry Martin, “The 1932-1933 Ukrainian Terror: New Documentation on
Surveillance and the Thought Process of Stalin,” in “Famine-Genocide in
Ukraine 1932-1933″ (Toronto, 2003), p. 98. The Ukrainian version, Teri
Martyn, “Pro kozhnoho z nas dumaye Stalin … ,” “Krytyka” (December
2003), contains a Ukrainian translation of the document (pp. 17-18).
[41] D’Ann Penner, “The Agrarian Strike of 1932-1933” (Kennan Institute for
Advanced Russian Studies, Occasional Papers #269) (March 1998), p. 23.
[42] Ibid., p. 32.; [43] Ibid. p. 28.
[44] M. P. Kots (ed.), “Holod-henotsyd 1933 roku v Ukrayini:
istoryko-politychnyi analiz sotsialno-demohrafichnyky ta
moralno-psykholohichnykh naslidkiv. Mizhnarodna naukovo-teoretychna
konferentsiya. Kyiv, 28 lystopada 1998″ (Kyiv, 2000) ; see Ivnitskiy, p.
113; Serhiychuk, p. 125; Lukyanenko, pp. 240-247; Zdioruk, pp. 248-252.
[45] “Holodomory v Ukrayini 1921-1923, 1932-1933, 1946-1947: Zlochyny
protry narodu” (Kyiv, 2000), p. 104. [Emphasis added by author.]
[46] Valeriy Vasilev, “Tsina holodnoho khliba: polityka kerivnytstva SRSR i
USRR v 1932-1933 rr.,” in “Komandyry velykoho holodu: Poyizdky V.
Molotova i L. Kahanovycha v Ukrayinu ta na Pivnichnyi Kavkaz” (Kyiv:
Heneza, 2001), p. 67.
[47] “Tragediya sovetskoi derevni. Collectivizatsia i raskulachivanie.
Dokumenty i material,” vol. 3 (Moskva: ROSSPEN, 2001), pp. 634-635.
[48] “Stalin i Kaganovich Perepiska. 1931-1936” (Moskva: ROSSPEN, 2001).
[49] “Ukrayina. Parlametski slukhannya shchodo vshanuvannya pamyati zhertv
holodomoru 1932-1933 rokiv. 12 lyutoho 2003 roku” (Kyiv, 2003); see
Tabachnyk, pp. 12-24; Kulchytsky, pp. 68-70.
[50] Rudolf Ia. Myrsky, “Holodomor i Kholokost v Ukrayini yak
vseukrayinska trahediya (filosofsko-politolohichni rozdumy,” “Visnyk
natsionalnoho universytetu ‘Lvivska politekhnika'”, no. 493 (2003), p. 299.
[51] Yuri Shapoval, “Holod 1932-1933 rokiv: Kreml i politychne kerivnytstvo
USRR,” in “Try holodomory v Ukrayini v XXst.: pohlyad iz sohodennya.
Materialy mizhnarodnoyi naukovoyi konferentsiyi” (Kyiv, 2003), pp. 43-45,
36.
[52] “Polityka totalnoho vyluchennya khliba v ukrayinskomu seli: henotsyd
proty selyan,” in II NANU. Holod 1932-1933 rokiv v Ukrayini: prychyny ta
naslidky (Kyiv: Naukova Dumka, 2003), p. 440.
[53] Ibid., pp. 551, 632-633.
[54] Shapoval (ed.), “The Famine-Genocide of 1932-1933 in Ukraine.”
(Kashtan Press, 2005), p. 9.
[55] Ibid., pp. 282-283.
[56] “Chomu Stalin nas nyshchyv,” “Den” (25 October, 8 November and 22
November 2005) ; rendered into English as “Why Did Stalin Exterminate
Ukrainians.”
[57] Stanislav V. Kulchytsky, “Holod 1932-1933 rr. v Ukrayini yak henotsyd”
(Kyiv: II NANU, 2005). The book’s relation to the Den articles is not
mentioned, nor is the reader informed that changes (some of them quite
important) had been made in the book version.
[58] Conquest, “Harvest of Sorrow. Soviet Collectivization and the Terror
Famine” (New York: Oxford University Press, 1986).
[59] Egbert Jahn, “On the Phenomonology of Mass Extermination in Europe.
A Comparative Perspective on the Holodomor,” in “Osteuropa. Sketches of
Europe: Old Lands, New Worlds” (Bonn, 2005), p. 212.
[60] Martin, “The Affirmative Action Empire,”  pp. 300-301.
[61] “Komandyry velykoho holodu,” p. 49.
[62] J. V. Stalin, “Concerning the National Question in Yugoslavia,” in
“Works,” vol. 7 (Moscow: Foreign Languages Publishing House, 1954),
pp. 71-72.
[63] “Stalin i Kaganovich Perepiska”; see Stalin, p. 274; Kaganovich, p.
283. [64] “Tragedia Sovetskoi Derevni,: T. 3., p. 577.
[65] “Tragediya sovetskoi derevni,” pp. 576-577.
[66] Ibid., p. 577.; [67] Schabas, p. 207.

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AUR#889 Nov 19 "Smoking Gun" Is There One?; Lessons Of The Holodomor; Appeal To Russia; Hunger For Historical Justice; 20th Century Tragedy

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ACTION UKRAINE REPORT – AUR           
An International Newsletter, The Latest, Up-To-Date
In-Depth Ukrainian News, Analysis and Commentary


Ukrainian History, Culture, Arts, Business, Religion,
Sports, Government, and Politics, in Ukraine and Around the World       
 
“SMOKING GUN” ….. IS THERE ONE?
Ukraine Remembers -The World Acknowleges
75th Commemoration Of The Holodomor 1932-1933
“Induced Starvation, Death for Millions, Genocide”
November 24, 2007 to November 22, 2008
                        
ACTION UKRAINE REPORT – AUR – Number 889
Mr. E. Morgan Williams, Publisher and Editor, SigmaBleyzer
KYIV, UKRAINE, MONDAY, NOVEMBER 19, 2007
 
INDEX OF ARTICLES  ——
Clicking on the title of any article takes you directly to the article.               
Return to Index by clicking on Return to Index at the end of each article

1.  LESSONS OF THE HOLODOMOR
Viktor Yushchenko: “All our tragedies occurred when
there was no understanding within the nation”
INTERVIEW: With Ukrainian President Viktor Yushchenko
By Mykola SIRUK, The Day and other correspondents
The Day Weekly Digest #34, Tuesday, 13 November 2007
 
HOUSE FROM TUESDAY, NOV 20 TO THURSDAY, DEC 6
Action Ukraine Report (AUR) #889, Article 2
Kyiv, Ukraine, Monday, November 19, 2007

3RAISING AWARENESS ABOUT HOLODOMOR – APPEAL TO
THE RUSSIAN FEDERATION MINISTRY OF FOREIGN AFFAIRS
Kharkiv Human Rights Protection Group
Kharkiv, Ukraine, Saturday, November 17, 2007

 
Prof. Federigo Argentieri, Organizer
Rome, Italy, Wednesday, November 14, 2007

5. IS THERE A “SMOKING GUN” FOR THE HOLODOMOR?
Presentation: By Professor Roman Serbyn
Université du Québec à Montréal, Canada
The Ukrainian Holodomor and the Denial of Genocides
International Conference, Federigo Argentieri, Ph.D., Organizer
Guarini Institute, John Cabot University
Rome, Italy, Friday, November 09, 2007
Published by the Action Ukraine Report #889, Article 5
Kyiv, Ukraine, Monday, November 19, 2007  

6BEFORE AND AFTER
Neither Russia, nor the world, nor you and I have any excuse to not know.
Commentary: By Halya Coynash
Kharkiv Human Rights Protection Group
Kharkiv, Ukraine, Friday, November 16, 2007

7RECOGNIZING FAMINE AS GENOCIDE DOESN’T IMPLY CLAIM
AGAINST TODAY’S RUSSIA, UKRAINIAN AMBASSADOR SAYS
Interfax Ukraine News, Moscow, Russia, Wed, November 14, 2007

8UKRAINIAN FOREIGN MINISTRY OUTRAGED AT VANDALISM
OF HOLODOMOR 1932-1933 [FAMINE]  EXHIBIT IN MOSCOW 

UNIAN news agency, Kiev, in Ukrainian 1653 gmt 17 Nov 07
BBC Monitoring Service, UK, Friday, November 17, 2007

9.  UNESCO WILL NOT DECLARE HOLODOMOR 1932-1933 GENOCIDE

CANCEL ACKNOWLEDGEMENT OF 1932-1933 FAMINE AS GENOCIDE
Zoya Zhminko, Ukrainian News Agency, Sunday November 11, 2007

11UKRAINE’S ‘HUNGER’ FOR HISTORICAL JUSTICE
COMMENTARY: By John Marone, Kyiv Post Staff Journalist
Eurasian Home, Moscow, Russia, Wednesday, November 7, 2007

 
12LARGEST PARLIAMENTARY GROUP IN EUROPEAN PARLIAMENT
CALLS FOR RECOGNITION OF 1932-1933 ARTIFICIAL FAMINE AS
GENOCIDE AGAINST UKRAINIAN PEOPLE

Interfax Ukraine, Brussels, Belgium, Wed, November 14, 2007

13“UNDERSTANDING MANY EVENTS IN THE 20TH CENTURY IS
IMPOSSIBLE WITHOUT COMPREHENDING THE TRAGEDY OF
THE HOLODOMOR”
Compiled by Nadia TYSIACHNA, The Day
The Day Weekly Digest #34, Kyiv, Ukraine, Tue, November 13, 2007
========================================================
1
  LESSONS OF THE HOLODOMOR
Viktor Yushchenko: “All our tragedies occurred when
there was no understanding within the nation”

INTERVIEW: With Ukrainian President Viktor Yushchenko
By Mykola SIRUK, The Day and other correspondents
The Day Weekly Digest #34, Tuesday, 13 November 2007

Next year Ukraine will mark the 75th anniversary of the Holodomor, which
claimed nearly 10 million Ukrainian lives in 1932- 33. It should be noted
that Ukraine’s parliament passed a bill recognizing the Holodomor as an act
of genocide against the Ukrainian people only last year.

In recent months official Kyiv has been contacting other countries and
international organizations, urging them to acknowledge the Holodomor as
genocide. A dozen parliaments have responded.

On Nov. 1, 2007, the 34th UNESCO General Conference (made up of 193
member countries) unanimously passed the Resolution “Remembrance of
Victims of the Great Famine (Holodomor) in Ukraine.” The resolution did
not mention the word genocide.

How does this UNESCO resolution correspond to Ukraine’s vision of these
75-year-old events? Will Ukraine keep insisting that the Holodomor be
recognized by the international community as an act of genocide against the
Ukrainian people?

What are the lessons that the current Ukrainian generation and political
elite should learn from this tragedy?

Below President Viktor Yushchenko comments on these and other issues in
an interview with correspondents from five Ukrainian periodicals: The Day,
Silski visti, Ukraina Moloda, Fakty, and the weekly Dzerkalo tyzhnia.

PRESIDENT: The sun has not yet set on this question. We must understand
that conveying the truth about the Great Famine of 1932- 33 to the world
community is not an optional, one-year course. We should clearly understand
that this issue is facing a great many challenges that the Ukrainian nation
must overcome.

What happened yesterday (this interview took place on Dec. 2 – Ed.) is proof
that the amount of work done by Ukraine, its political forces and diplomats
in the past couple of years has been recognized by 193 countries, which last
night unanimously voted in favor of this decision.

For me, it is very important that for the first time the world community
adopted a joint consolidated decision on recognizing the Great Famine of
1932-33 on such a scale. This is the main victory. Other, more specific,
details of this tragedy represent our future work.

If you will pardon my saying so, how can we reproach the world when it has
taken our society 73 years to get a parliament that recognizes this as the
Holodomor?

We have been afraid to say so for 73 years. Now we are demanding that 193
countries do something that we Ukrainians didn’t have the courage to do
within our own nation, within our own leadership.

I think that we have received three signals. First, we have provided the
world with enough arguments to show that this tragedy is not only a tragedy
of the Ukrainian nation but a tragic page in the annals of world history,
something that we must respect, honor, and know about all over the world.

Second, it is an extremely important fact that the UNESCO General Conference
has joined in commemorating the 75th anniversary of this tragedy.

Third, it is important that this UNESCO resolution recommends that the
signatories do their best to make this page in history, this particular
truth, part of educational programs and high school curricula throughout the
world, so that people will have a better insight into this event that took
place in Ukraine.

I think that these three signals are the strongest ones, something we can
really feel proud of, because this concerns our tragic history and those
directives that first and foremost we want the rest of the world to
understand and accept.

We’re making efforts all over the world, holding various events, and
organizing visits. Dozens of conferences are being organized by the
Institute of Memory.

You won’t find a parliament anywhere in the world that has not received my
message about the Holodomor of 1932- 33. This topic is being developed
and implemented, in some places better, and in other places, worse.

Sometimes circumstances are forced, which impede a quick decision- making
process. Let me share one of my convictions with you: the time will come
when most national parliaments will recognize this tragic page of Ukrainian
history, the Holodomor of 1932-33, as an act of genocide against the
Ukrainian people. As a nation, we must be better consolidated with regard to
this issue; we must believe in ourselves.

We must finally dedicate our efforts to one of the Ukrainian themes upon
which is based the kind of understanding, unity, and consolidation that our
nation needs – because unity and consolidation do not come about based on
something that is amorphous; least of all do they come about through
silence.

On the contrary, we must shoulder all the burdens of the past years and
accept all the outrages that were perpetrated against the nation as our own
personal drama. And in this we must sense the need for Ukraine’s unification
on an organic, cellular level.

QUESTION: Mr. President, according to the Law on the Holodomor, any
attempts to deny it are prohibited and regarded as acts of contempt to the
millions of victims. How can our politicians be made to observe this law?

Will you insist that the new coalition amend the Criminal Code to institute
criminal liability for Holodomor denial?

PRESIDENT: If you recall Article 2 of this Law, it requires a sequel to the
logistics of this order. If we have proof of denial, then there must be
liability for it. I see logic in the fact that changes to the Law on the
Holodomor of 1932-33 must contain an article on administrative and criminal
responsibility. Yesterday I signed a bill to this effect and did not submit
it to parliament for only one reason.

I would first like to address a special message to the Ukrainian parliament,
elucidating all the circumstances concerning both current and historical
aspects. Then I would propose a resolution on criminal and administrative
liability for denying the Holocaust and the Holodomor.

These two subjects are very similar. They are topical both within our
country and throughout the world, which keeps moving in this direction.

I’m convinced that this will be a good example of the two greatest
tragedies, one of which claimed five million and the other some ten million
lives, that both will have international status on the one hand, and on the
other, that there will be clear- cut boundaries of liability within the
framework of national legislation. Therefore, this issue will shortly be
placed on the agenda.

I’m convinced that there won’t be any problems in parliament. We’ll find
sides there that have political morals and an unsuppressed national
consciousness, who realize that this step is not aimed against anyone.

This step is not aimed against Russia or the Russian people. Excuse me,
but it is a step aimed against a regime, the only and main cause of that
tragedy. Regrettably, political commentaries on this issue vary.

However, I am convinced that politicians tend to mature with time and become
more conscientious with each passing day as we discuss issues that are so
close to the Ukrainian heart.

Therefore, I’m convinced that we will get this issue moving in the Ukrainian
parliament, as we did the recognition of the Holodomor of 1932-33 as an act
of genocide.

If anyone has questions about why genocide, they should look at two
statistics, particularly Joseph Stalin’s census of 1929 and Brezhnev’s in
1979. We started with the Ukrainian nation numbering 81 million and ended
up with 42 million.

In 50 years the only nation that shrank by two times was the Ukrainian
nation. All the others increased by two or three times. Of course, this
statistic has to do not only with the Holodomor.

However, I would like to emphasize – especially for the political elite –
that we must outgrow our Little Russian garb and dedicate our efforts to
issues of recognition that are sensitive even to my generation. If we don’t
do this, the Ukrainian nation, its consciousness, and subsequent Ukrainian
generations will be deformed.

That is why this is not a playful subject for me, not an optional class in
Ukrainian history but one of the most urgent questions of today. Therefore,
if we want to take good care of our future, we must first of all take good
care of our history because the future is created precisely from history.

We are filtering what is strong, what unites and identifies, what makes us a
more universal and wiser nation. And on the basis of these values is
formulated the answer to the question, what kind of future do we want?

If someone says that the past can be cut off, like with a pair of scissors,
and that we can get together at a roundtable and create a bright future,
this is utopia. No nation does this.

Every nation knocks on the doors of its past, seeking lines of
identification that most vividly demonstrate feelings of national unity and
the strength of the nation, and on the basis of this forms its own
perspective.

In other words, I believe that an individual that works against Ukrainian
history is not a carrier of the Ukrainian future. This is what an absolutely
urgent, straightforward, and contemporary approach is all about.

QUESTION: Dmytro Dontsov once said that Ukrainians must develop a
spirit capable of effectively resisting the spirit of Ivan the Terrible,
which is being constantly reincarnated in Russia.

Do you agree that little has changed in the Kremlin corridors of power and
generally in many European capitals and the rest of the world? To what
degree do they accept Ukraine as an independent country? Is there any
reverse process?

PRESIDENT: There is no reverse process. I am convinced that in the days
of Bohdan Khmelnytsky or Ivan Mazepa asserting the Ukrainian nation was
considerably more difficult than today. We live in a different era, although
no one will say that we are living in easy times. This kind of work has
never been easy.

I do not think that these words have lost their urgency. They remain topical
today. I would probably emphasize another aspect. Ukrainians always like to
cry, either because they are living in the wrong times or they lack
strength, or are in the wrong kind of circumstances.

I am convinced that the key concept of forming national consciousness and an
open society lies in our own inner will. Regardless of who and which
corridors of power are thinking about Ukraine, we need our own concept of
where we are today. What do we have to build up?

Unfortunately, too many myths have been introduced into Ukrainian history,
which have perhaps been introduced on the subconscious rather than conscious
level of many generations.

Living with these myths has given rise to this black- and-white attitude
toward our life and our history. Without a doubt, we must have a truthful
history of Ukraine. Otherwise we will long continue to wander among
contemporary events.

For example, look at how it pains, or does not pain, our Ukrainian hearts to
know what happened to the graves of the youths who died at Kruty? What
nation tolerates uproars, like when our national anthem is murdered?

In other words, this is our symbol, and not simply our symbol but that which
is perhaps the best graphic evidence of our identity as Ukrainians.

Why are they attacking our anthem? Why are they smearing it? Because once
again they want to prove the hackneyed myth of the past that says that we
have no nation, that we have no state, we have different languages in our
country, different churches, even different kinds of history, and differing
attitudes to our national history.

Once again, let me emphasize that this is not a problem of some other
nation, some other capital city. This is a problem of my family, our
families. This is a problem of our nation.

If we continue to allow our national values to be treated this way, we will
live with a sense of being imperfect and second-rate for a long time to
come. That is why these are sensitive things for me.

It is obvious that people are striking at these things, striking Hoverlia,
Kruty, and erecting monuments to Catherine II. I realize that these are
episodes; these are lessons after which a nation becomes different.

I assure you that what we’re talking about now has never been discussed
in these offices, within these walls, with this coloration, and in this
context. I am inspired by this because this is progress. We don’t need to
be idealists: building a state is a difficult subject. We have a great many
opponents, we have a fifth column.

Ultimately, they will keep working hard to prove that we have failed.
Sixteen years aren’t long enough to finally answer the question whether or
not we have succeeded in building our state. I have no doubts that the state
has been established for many centuries to come.

We still face many challenges and we must realize all of them. I have no
illusions about this, either. This is a great test; there will be grave
wounds; great problems connected to our historical destiny.

I would say, however, that the number-one issue is the question that above
all concerns our very nation, our citizens; how much this citizen is aware
of being a Ukrainian national.

Another issue – I don’t want to use an insulting qualifier – is that we must
develop a new breed of Ukrainian politicians, who will assign primary
importance to issues pertaining to national consolidation and the formation
of national memory and consciousness that have been distorted over the
centuries.

After all, in view of the historical depression that keeps catching up with
us, bringing tears to our eyes and often serving to disunite us, it is
necessary to form precisely this kind of elite.

Without a doubt, it is emerging. More and more interesting people are
appearing in the Ukrainian parliament, with whom, I will say frankly, it is
interesting to conduct polemics and be aware of all those threads that bind
us to what we understand; that this is our job and those challenges that
Ukrainian politicians, as the avant-garde, should understand. They have to
keep a step ahead of things and explain them to the people.

I am convinced that herein lies the great mission of the new Ukrainian
political generation, a generation that may not always be fully understood
by society in one aspect or another.

Right now we are turning back to the pages that are acquiring passionate
understanding. [I am referring to] the Holodomor in the current context,
when every November tens of thousands of people gather in front of what I
would describe as a sign rather than a monument, for the nation has not made
an adequate acknowledgment that would pay tribute to the fate of nearly 10
million victims who died in 1932-33.

This is more than we lost during the Second World War. Yet with every
passing year we feel this truth taking its place in our history. And for
many this is a discovery.

I will say frankly that I feel some anger toward the intelligentsia and
journalists, who have not always displayed their national stand, while often
exploiting the unique monopoly on the pen, which means on the idea, which
only journalists have, to speak the truth. In other words, much needs to be
raised in society.

I only want to say one thing, that I will never blame some side for failing
to do everything for all this to become a reality in Ukraine.

This is exclusively a question of the titular Ukrainian nation. And I am
sure that its ambitions can change the views of the world, neighbors, and
various regional or international organizations. Everything starts from
here.

QUESTION: Mr. President, what kind of information policy do you think
Ukraine should adopt in commemorating the Holodomor victims?

PRESIDENT: I think this should be a policy for the next several years. To
this I would like to add a general remark: if we keep saying that this is a
bother for the state, then we won’t be able to accomplish many things, place
them on the agenda, and achieve them.

This is everyone’s business, no matter who you are according to your
position. I am convinced that this is a question of a challenge, when we
talk about how to have a single nation, incontestable territorial integrity,
sovereignty, and by which mechanisms this should be consolidated. This is
a discussion that involves everyone.

The question is: what is your stand, of your family, your children – and not
just on this question but in the widest understanding: security, defense,
and integration; who will we be 10 to 15 years from now – where we have
been or where we want to be?

But this is what the situation looks like. First of all, we must lock in
historical memory. And for this we must develop a vast body of scholarship,
carry out appropriate archaeology, and complete a proper inventory of
everything that exists not only in our archives but abroad, with regard to
one part of history or another.

We simply have to know the truth about what happened in Ukraine in 1920,
1929, in the 1930s, in 1936, the 1940s, and the 1950s.

Therefore, the topic of the liberation movement and its history is one of
the very sensitive pages that we still have to comprehend. We were taught a
different kind of history, so we have a vague attitude to the efforts made
by Symon Petliura.

We know next to nothing about what was accomplished by Yevhen Konovalets
in Kyiv in 1919; about the monarchist endeavors of Hetman Skoropadsky, the
dramatic conflict between him, Petliura, and Vynnychenko, or about the
Arsenal tragedy, Kruty, or the Bohodukhiv army.

All these issues are such a complex and painful mix that demonstrates the
following: as a rule, all our tragedies occurred when there was no
understanding within the nation. This history must be brought forth. If we
learn it, then we will lock it in books, programs, monuments, and street
names. This is a purification of our consciousness.

Therefore, I would say that first comes a great deal of painstaking
scholarly work, on the basis of which enlightening work must be organized,
and later, important educational work in various domains, starting of course
with schools and upbringing in schools, and the introduction of special
courses and all kinds of support for this kind of research to be undertaken
by various scholarly institutions. In other words, perhaps the most
important thing is to popularize the knowledge we already possess and
acquire new knowledge.

I am convinced that raising the level of our self-sufficiency and discarding
Little Russianism are the key tasks of the state authorities today. We must
consistently form our national consciousness. This is the key to the answer
to this question.

People who are enriched with national memory, consciousness, and truthful
history can provide answers to the formation of key national priorities.
This is an integrative connection.

I would even describe it as a pair of correspondences that are interrelated.
As people say correctly, history is the road to the future. Without history
there is no road to the future.

QUESTION: You mentioned the topic of the legal responsibility for the
Holodomor on the part of the political regime. After the 20th Congress of
the CPSU it was far easier to discuss Stalinist repressions than it is to
talk about the Holodomor today. There are a lot fewer people who know
from personal experience what it was.

Even now, a year after the Holodomor bill was passed, there is no
understanding on this issue among the political forces that obtained seats
in parliament after the early elections.

Mr. President, are you certain that your proposed changes to the law, which
envisage administrative and criminal liability for Holodomor denial, will be
passed by parliament, and will the Party of Regions support them?

PRESIDENT: Frankly, above all, I’m relying on support from you. There are
more of you. Believe me: it’s not worth pretending that parliament gives its
consent to this with 228 or 232 votes. What decides the matter is society’s
consent.

Our society can demolish any opposition to this question, no matter where it
is formed: parliament, or government, or in some regional organization. We
must first plant these convictions in our own hearts. I am convinced that in
the past two years we have accomplished more on this subject than was done
in the past 70 years.

Of course, the heaviest consequence of the Famine of 1932-33 is the victims.
It is very important for us to know these victims because the very
recognition of the existence of these victims leads us to a second
conclusion: these people lived.

Therefore they had their own values and views because of which they clearly
suffered. We are starting to address them. For some, this means a spiritual
aspect: these are souls that can give us strength through our prayers. To
others these souls do not exist; they have forgotten all about them in
keeping with what they were taught.

They have no one to appeal to. Tear a page from a book and say that 1932-33
never existed: you are without memory. But “memory” and “memorial” have
the same root. Everything that has no memory will never be history.

Why is it important for us to consolidate all this through all sorts of
signs that will restore our forgotten memory? I will be announcing a
competition for the best book of 2008 on the Great Famine of 1932- 33.

I will raise funds, and the people who do the finest work on behalf of the
Ukrainian nation will be honored. I will also announce a competition for the
best film on the same subject.

In fact, several film scripts are being developed right now, which will
serve, I am convinced, as vivid proof for the rest of the world, not only
for our nation.

Right now we are talking about the completion of the drafting part of the
work to create a monument to the Great Holodomor and the opening of a
Holodomor museum that will occupy an area of several thousand square
meters. We have enough eyewitness testimony and to spare.

Over the past year the Institute of Memory has identified 1.5 million
witnesses who can relay the truth about the Holodomor. Among them are people
who were only a couple of years old and who remember those terrible times.
Thank God, there are still people left who experienced all this as adults.

Archives have been preserved in our country, although a large proportion of
them were destroyed. But as far as I am concerned, besides the enormous
human tragedies, the 1932-33 Famine also brought another great affliction:
terror.

That which took place in 1932-33 led to 1936-37: repressions and abasement
of human dignity and honor – everything that was set in motion during this
period. Therefore, there is no question that today we must bring up this
topic in all its manifestations in as solid a fashion as possible.

I am convinced that we will have a distinguished national memorial and that
the victims’ memory will be duly honored throughout the oblasts.

During a meeting in Kharkiv, I rebuked some heads of oblast state
administrations who are obliged to apply similar steps to all local state
administrations, where little has been done to commemorate the memory of
the victims of the Great Famine.

I am more of an optimist than a pessimist in these matters, although I am
convinced that this question should have been raised in the first days of
national sovereignty.

As of today, every oblast is collecting data on all those who died during
the Great Famine, which will be used to compile regional Remembrance Books
that will be issued next year in conjunction with the 75th anniversary of
the Holodomor.

I am convinced that we will start working on a National Remembrance Book
in half a year. All this has to do with the subject of memory.

I think this is the key to understanding the mission before us. Today we
have to manage to complete this work. Assessments are ahead. We must
record as much pertinent data as is absolutely technically possible because
this is the most important issue at this stage.
————————————————————————————————-
LINK: 
http://www.day.kiev.ua/191333/

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2.  INTERNATIONAL 75TH COMMEMORATION EXHIBITION,

HOLODOMOR 1932-1933, TO BE HELD IN KYIV, AT UKRAINIAN
HOUSE FROM TUESDAY, NOV 20 TO THURSDAY, DEC 6

Action Ukraine Report (AUR) #889, Article 2
Kyiv, Ukraine, Monday, November 19, 2007

KYIV, Ukraine – The “We Accuse: Holodomor Genocide 1932-1933”
International Exhibition for the 75th Commemoration of the Holodomor

1932-1933 (induced starvation, death for millions, genocide) will be held
in Kyiv at the Ukrainian House from Tuesday, November 20 through
Thursday, December 6, 2007.
 
Ukrainian President Viktor Yushchenko will participate in the formal
opening of the exhibition Wednesday noon, November 21.

The Administration of President Viktor Yushchenko is in charge of the
exhibition which is under the direction of Ivan Vasiunyk, First Deputy
Head of the Presidential Secretariat, and Vasyl Vovkun, production
and artistic director.

The international commemorative and educational exhibition will feature
four individual Holodomor presentations which will be displayed for

seventeen days in the Ukrainian House in the center of Kyiv.
 
Historical and educational presentations will be made by the:
 
[1] Ukrainian National Institute of Memory, Ihor Yukhnovsky,
     Director;
 
[2] Ukraine 3000 International Charity Fund, Kateryna Yushchenko,
     Head of the Supervisory Board;
 
[3] Security Service of Ukraine (SBU), Valentyn Nalyvaichenko,
     Acting Chief, and by the 
 
[4] Holodomor Through The Eyes of Ukrainian Artists Collection,
Morgan Williams, SigmaBleyzer, Founder and Trustee. 
 
The National Institute of Memory will display their newly created
set of sixty-four panels/posters that tell the story of the Holodomor
in documents, historical data, testimonies, photographs and other
historical information. 
 
The Ukraine 3000 International Charity Fund will display a large
number of posters about the Holodomor created by students and
artists this year in response to a Holodomor poster contest organized
by the Ukraine 3000 Fund.  People attending the exhibition will be
able to vote for the posters they think are the most outstanding. 
 
The Security Service of Ukraine (SUB) will display their set of
over 60 panels/posters created from material in their archives about
the Holodomor such as historical decrees, letters, government
documents, photographs, and other items from the SBU archives.
 
The Holodomor Through The Eyes of Ukrainian Artists Collection,
will display over 100 original art works. The original artworks will
include oil on canvas paintings, black and white drawings, linocuts, 
paint on board poster art and other graphical materials. 
 
Many of the artworks were created between 1989 and 1993, the first
years artists in Ukraine were ever allowed to deal with such subjects
as the major crimes of communism. Some of the poster art will
include works by students at the Art Academy in Kyiv created in
2006 and 2007 under the direction of Professor Vitaliy Shostia, a
program sponsored by the Holodomor Education and Exhibition
Art Collection. 
 
High school students from the Poltava Oblast will also have
some Holodomor works on display.  Movies and documentaries
will be shown throughout the seventeen day exhibition. Books
about the Holodomor will also be on display.  The exhibition will
be the largest Holodomor exhibition ever held in Ukraine and is
open to the public. 
 
Ukrainian President Viktor Yuschenko has called on the international
community and governments around the world to condemn the crimes
committed by the Stalin regime and to declare the Holodomor of
1932-1933 as a genocide against the Ukrainian people.
 
‘The crimes of the Stalin regime – the 1932-1933 famine-genocide in
Ukraine, the major terror of the 1930s – should be fully condemned by
the international community. It is the duty of all countries, political and
public forces that accept the values of democracy,’ Yuschenko said.
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3.  RAISING AWARENESS ABOUT HOLODOMOR – APPEAL TO
THE RUSSIAN FEDERATION MINISTRY OF FOREIGN AFFAIRS

Kharkiv Human Rights Protection Group
Kharkiv, Ukraine, Saturday, November 17, 2007

We are asking people in Ukraine, Russia and all countries of the world to
help us raise awareness about the Holodomor 1932-1933 in Ukraine.

We keep hitting our heads against a geopolitical wall, and believe it is
time to seek a more constructive way forward.  We are therefore writing the
following letter – petition to the Russian Federation Ministry of Foreign
Affairs.

There is no question of presenting grievances against today’s Russia, nor of
settling scores. However we would stress that when speaking of Holodomor
the world must not be governed by geopolitical, economic, energy-related, or
political considerations.

It is a question of justice, of willingness to try to understand the past
and to do all in our power to ensure that such a crime never happens again.

Please help us by adding your voice to ours.

Appeal to the Russian Federation Ministry of Foreign Affairs:
With the 75th anniversary of Holodomor 1932-1933 in Ukraine approaching,
we welcome the adoption by UNESCO of Resolution “Remembrance of the
Victims of the Great Famine (Holodomor) in Ukraine” which the Russian
Government signed.

The Resolution points out that the Famine was the result of the cruel
actions and policies of the totalitarian regime. and calls on member states
to ensure measures aimed at raising awareness about Holodomor.

As you are aware, Ukraine’s position, supported by 12 other countries, and
very many historians, researchers and individuals throughout the world, is
that Holodomor 1932-1933 was an act of genocide against the Ukrainian
nation.

We do of course mean here the entire Ukrainian nation, all those people
living during that terrible time on Ukraine’s territory, not only ethnic
Ukrainians.

There would appear to be opposition at official level in Russia. Many other
countries are also clearly reluctant to take any stand on Holodomor which
they fear will “annoy Russia”.

This denial of the obvious is entirely incomprehensible to us since the
crime in question was one perpetrated by a totalitarian regime which both
Ukraine and Russia have unequivocally condemned..
We are therefore writing to ask:
1) that you ensure access by researchers and representatives of the
international community to all archival material, including KGB documents,
presently held by the Federal Security Service, which pertains to the late
1920s and 1930s. In Ukraine all archival material pertaining to Holodomor
in the possession of the Ukrainian Security Service [SBU] has been
declassified.

2) unless, of course, the archival material provides evidence to the
contrary, that the Russian Government declares Holodomor 1932-1933 in
Ukraine to have been an act of genocide against the Ukrainian nation
perpetrated by the totalitarian regime under the rule of Joseph Stalin.

3) that Russia promotes the dissemination of information about Holodomor
1932-1933 in Ukraine to ensure that the lessons of this tragic page are
inculcated in young generations. This will be in keeping with the principles
and aims of UNESCO, of which Russia is a member-state.

We are convinced that without acknowledgement of this crime, it will be
impossible to create the conditions which guarantee that such crimes will
never again be perpetrated.

You can read our appeal in all three languages here:
http://www2.maidan.org.ua/n/petit/1195264476
You can add your signature here:
http://www2.maidanua.org/news/post.php3?bn=maidan_petit&key=1195264476&site=maidan&trs=-1

Unfortunately the details of how to fill in the boxes are only in Ukrainian.
The first box asks you for your first and last name and, if you wish, you
can add your profession, place of work, details of your studies and which
country you are from.

The bigger box is for comments if you would like to make any. Please do
remember that the purpose of our appeal is to move forward constructively
when making any comments.

At the bottom you will see three boxes. Please click on the middle one –
And thank you!

If you have problems (or comments) please write to halya (at) maidanua.org
(it would be helpful to give a title making it clear what you’re writing
about – for any happy readers who have not encountered the problem, this is
because of the amount of spam.

One last request – please tell others about this appeal!
————————————————————————————————–
LINK: http://khpg.org/en/index.php?id=1195302258
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4.  THE UKRAINIAN HOLODOMOR AND THE DENIAL OF
GENOCIDES INTERNATIONAL CONFERENCE

Guarini Institute, John Cabot University

Prof. Federigo Argentieri, Organizer
Rome, Italy, Wednesday, November 14, 2007

ROME – Friday, November 9, 2007 brought an exciting array of international
figures to John Cabot University’s Aula Magna as the political and security
implications of genocide denial were discussed in a conference organized in
collaboration with the Associazione Italiana Studi di Storia dell’Europa
Centrale e Orientale (AISSECO).

After being welcomed by John Cabot’s President, Franco Pavoncello, the
Ambassador from Armenia, Rouben Shougarian, addressed the conference.
The first lecturer was Prof. Taner Akçam from the University of Minnesota
presenting “Turkish Denial as a Security Concept”.

He discussed the relevance of the Armenian genocide to current security
issues, especially as Turkey seeks European Union membership. Prof. Akçam
pointed out the presence of genocide participants and organizers in the
Turkish government as it was formed after the First World War.

This reality has been a major contributor to the problem of separating
Turkish national identity from this pressing human rights issue. Prof. Akçam
saw the path towards reconciliation as possible through a return to the view
of the founding fathers of Turkey, such as Ataturk’s description of the
Armenian tragedy as “a shameful act”.

By embracing this vision, Turkey could disentangle its long-held position of
denial of the Armenian genocide from national security and move toward
greater democracy.

The Ukrainian Ambassador, Heorhiy Cheriavskyi, then addressed the

conference concerning the importance of international education and
recognition of the Ukrainian Holodomor.

Prof. Federigo Argentieri from the Guarini Institute of John Cabot
University spoke gave the paper: “Ideology and Diplomacy: How the
Ukrainian Famine Was – and Still is – Denied.”

In his presentation, he introduced the history of denial of the Ukrainian
famine of 1932-33. Conflicting reports on the events in 1933 highlighted the
willingness of the Great Powers to ignore the plain facts witnessed by
British government officials in the Soviet Union.

At the time, political and economic interests took precedence over internal
human rights matters. Today, however, the famine remains virtually ignored,
even in academic circles in the West; a discussion of why this is the case
coupled with moves to change it is necessary.

Prof. Frediano Sessi, of the University of Mantua, presented a paper on “La
negazione della Shoah.” Outlined was a history of the denial of the
Holocaust, including the false testaments of Enric Marco and Bruno Grosjean,
who wrote books in which they claimed to have survived concentration camps,
including Auschwitz. Such accounts have contributed to the arguments of
those who deny the Holocaust.

This movement has been supported by certain academics the United States

as well as in Europe, who claim that six million Jews could not have been
killed, and that the Soviets pushed for recognition of the Holocaust in
order to hide their own tragedies and genocides.

The first session of the conference was concluded with a discussion by Dario
Fertilio of the Italian daily Corriere della Sera as well as with questions
on the three lectures. In the afternoon, Prof. Roman Serbyn of the
Université du Québec à Montréal asked “Is there a ‘Smoking Gun’ for the

Ukrainian Genocide?”

As he went through the timeline of the famine of 1932-33, Prof. Serbyn
showed the process of the Holodomor. By 1931, grain export quotas were so
high that the peasants were unable to keep up and were going hungry
themselves. This continued in 1932 with the full awareness of Stalin and the
high-ranking Soviet authorities.

As in Turkey with the Armenian question, the Soviet Union saw the Ukrainian
issue as a combined social and national question. Since the Ukrainians held
a unique cultural identity and national sentiment, the Soviet authorities
sought to eliminate that threat to “international communism”.

Prof. Serbyn determined that if there can be labeled a “Smoking Gun” for the
Holodomor, it would be the closing of the Ukrainian borders in late 1932,
which prevented people from leaving to find food and greater freedom
elsewhere.

Turning toward the more contemporary treatment of the Ukrainian Holodomor,
Prof. Georgiy Kasianov of the Ukrainian Academy of Sciences and Kyïv-Mohyla
University discussed “The Great Famine of 1932-33: Academia and Politics.”
After the independence of the Ukraine in 1991, the Holodomor has become
central in creating a national cultural myth.

Thus, much has been written within the Ukraine on the subject in order to
create a sort of canonical version, yet several have emerged. The state has
consistently commemorated the victims of the famine, and in 1999 the
President established a day of commemoration.

Using the term “genocide” has remained controversial on an international
level however, despite the appeal to the United Nations in 2003 to recognize
the Holodomor as genocide.

The second session of the conference concluded with a lecture by Mykola
Ryabchuk, co-editor of Krityka in Kyïv. He discussed the “Holodomor,
Politics of Memory and Political Infighting in Contemporary Ukraine,” which
brought to light the struggles over the past two decades in independent
Ukraine over the ways of remembering and memorializing events of the Soviet
past.

One was encouraged to remember the communist mindset that still exists today
in Ukraine of a national ambivalence toward the past. In the end, hope was
expressed that the post-Orange Revolution government can truly include
national interests in the politics of memory and commemorating the victims
of Soviet communist and colonial oppression. Then Olena Ponomareva of
Università la Sapienza spoke on the papers presented in the afternoon.

To conclude the conference, a roundtable discussion on the “Ethical and
Geopolitical Implications of Genocide Recognition and Denial” was led by
L.V. Ferraris, President of AISSECO.

Contributors included Giovanna Brogi of the University of Milan, Lucio
Caracciolo, editor of Limes, Renzo Foa, editor of Liberal, Seta Martayan,
President of the Association of the Armenian Community of Rome and Lazio,
and Nataliya Shulga of the Ukrainian Scientific Club.

The roundtable discussion elicited many provocative confrontations that
provided a frank overall discussion of the issues dealt with throughout the
day.
———————————————————————————————–
LINK: http://intranet.johncabot.edu/myjcu/public_site/news.aspx?cat=Events
————————————————————————————————

[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
U.S.-Ukraine Business Council (USUBC): http://www.usubc.com
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5.  IS THERE A “SMOKING GUN” FOR THE HOLODOMOR?

PRESENTATION: By Professor Roman Serbyn
Université du Québec à Montréal, Canada
The Ukrainian Holodomor and the Denial of Genocides
International Conference, Federigo Argentieri, Ph.D., Organizer
Guarini Institute, John Cabot University
Rome, Italy, Friday, November 09, 2007
Published by the Action Ukraine Report #889, Article 5
Kyiv, Ukraine, Monday, November 19, 2007  

In his seminal study on genocide, Leo Kuper observed that “governments
hardly declare and document genocidal plans in the manner of the Nazis”
[1]. Nevertheless, since modern states cannot function without large
bureaucracies and elaborate communication systems, tell-tale records
inevitably survive.

When the CPSU lost power and the Soviet empire fell apart, it was revealed
that an elaborate paper trail of the 1932-33 famine and the Soviet
authorities’ involvement in it had been preserved in party and state
archives. These documents are being slowly declassified, examined and
published[2]. Historians can now give us a fairly accurate account of the
catastrophe and ascertain the responsibility of Stalin and his
collaborators.

As a result, scholars who previously hesitated to recognize the genocidal
character of Stalin’s forced starvation of Ukrainian farmers, have
reexamined the question and readjusted their interpretations. In his latest
book, Nicolas Werth comes to the conclusion that thanks to recent studies
based on the new documents, it is now “legitimate to qualify as genocide the
cluster of actions undertaken by the Stalinist regime to punish the
Ukrainian peasantry by famine and terror”[3].

In this paper I analyze some of the main documents that provide smoking-gun
evidence of genocide, in line with the definition of the crime given in the
UN Convention of 1948: “acts committed with intent to destroy, in whole or
in part, a national, ethnical, racial or religious group, as such”.

The key criteria in the Convention are proof of “intent” and identification
eligible “groups”. Soviet documents corroborate the accusation against
Stalin and his closest collaborators for deliberately exterminating millions
of Ukrainian farmers, and show that the perpetrators targeted them as
Ukrainians.

Furthermore these and other documents reveal that the genocide was not just
against Ukrainian farmers, the focus of the attack was the Ukrainian nation
in all its component parts and on all its territories within the Soviet
Union.

The locus of this crime was thus the Ukrainian SSR, the predominantly
Ukrainian Kuban, and the other regions of the RSFSR with sizeable Ukrainian
populations. The simultaneous decimation of Ukrainian national elites,
especially academic, cultural and political leaders, was an integral part of
the destruction of the Ukrainian nation.

Stalin did not intend to kill all Ukrainians (nor is such an intent required
by the Convention); his motive was to break the backbone of the nation by
executing a sizeable percentage of the people and reducing the rest to
servile obedience, to transform them into manageable cogs of the state
mechanism. Stalin’s means of destruction were varied: famine, shootings,
exhausting forced labor.

The UN Convention does not require the establishment of motives for
genocide, but determining the reasons for the act gives an insight into the
rationale which led to crime and thus help us comprehend the perpetrator’s
intent. Stalin’s measures against the Ukrainians were predicated on his
political ambitions, two of which provided the motives for the eventual
genocide[4].

The first was to extend socialism beyond the borders of the USSR. He
realized that the Bolsheviks’ initial attempt to export their revolution
into Europe failed primarily because of the weakness of the Red Army. To
resume Lenin’s unfinished task, Stalin needed a powerful armed force, backed
by modern heavy industry. Industrialization had to be financed by exporting
natural resources, especially grain, which had to be extorted from the
farmers at the lowest cost to the state.

War communism had shown that door-to-door requisition was costly,
inefficient and politically dangerous. After the revolution, poor farmers
appropriated and divided up the land of rich landlords. As a result, farmers
lived better, ate more but sold less to the state. Marketable grain (sold
outside the village) in tsarist times was provided by the large farms owned
by landlords and kulaks. Now new large estates had to be set up in the form
of sovkhozy and kolkhozy. These would give the state easy access to grain,
produced by the newly enslaved peasants.

The immediate goal was not the increase of grain production (which could be
expected to fall as a result of peasant opposition), but of the “marketable
grain” to be delivered to the state. Since the main producers of grain were
Ukrainians farmers, who had no tradition of the Russian semi-communal
obshchina organization, they could be expected to offer stiff resistance to
forced collectivization and confiscation of the fruits of their labor.

Stalin’s second ambition was to bring a permanent solution to the national
question, especially its crucial Ukrainian component. The 1926 census pegged
the Ukrainian population at 31 million, of the Union’s 147 million: 23
million in Ukraine, and 8 million in the rest of the USSR, mainly along the
Ukrainian border.

Ukrainian national revival triggered by the Russian revolution forced Lenin
to give the reconquered republic nominal autonomy in the form of a
“sovereign” republic within a Potemkin-style Soviet federation. Subsequent
policy of Ukrainization, or the local application of a general principle of
korenizatsiia (nativization), allowed Ukrainians to add real national
content to the pretentiously misleading form of “soviet republic”[5].

The Ukrainization of education, communications and administration, not only
in Ukraine but also in the Ukrainian regions of the RSFSR, the
de-Russification of urban centers by the influx of Ukrainian farmers, the
demands on Moscow to transfer to the republic adjacent territories with
Ukrainian population, the shifting of cultural orientation from Moscow and
to the West – all these pressures on the imperial centre could not be
ignored by the Kremlin.

 Stalin, Lenin’s “magnificent Georgian” and foremost expert on the
nationalities question, understood the dangers of active nation-building in
Ukraine, in the best of times. Collectivization would only aggravate the
situation. Over 85 % of ethnic Ukrainians were farmers and their sudden
disenfranchisement could throw the countryside into such turmoil that not
only grain production would be catastrophically reduced, but also farmers
could gain the support of the national elites in a united rebellion of the
whole republic to the spoliation of their country by Moscow.

Similar, if smaller, unrest could be expected in the Kuban’ and other
ethnically Ukrainian regions of the RSFSR. In the mid-1920s Stalin had
written that the peasant question was “the basis, the quintessence, of the
national question”, that “the peasantry constitutes the main army of the
national movement” and that “there is no powerful national movement without
the peasant army”[6]. The stability and even the integrity of the Soviet
empire would be threatened.

Genocide does not happen spontaneously. The targeted group is first
identified, vilified and intimidated, then it is discredited in the eyes of
the rest of the population, and only when it has been sufficiently isolated,
is it submitted to total or partial extermination. In the summer of 1929 the
GPU (political police) “uncovered” a nationalist conspiracy, headed by
prominent Ukrainian intellectuals and conducting anti-Soviet work in
villages and regional centers.

Over 700 people were arrested for, among other things, “anti-Soviet activity
in the villages and district centers” and a show trial was held in March
1930, appropriately staged in a Kharkiv theatre. 45 members of this mythical
Association for the Liberation of Ukraine (SVU) were sentenced to death or
long prison terms.

Arrests and trials of other mostly fictitious groups followed: Ukrainian
National Center, Ukrainian Military Organization, etc.[7] The condemned were
former members of the former Ukrainian national governments, Ukrainian
armed forces, Ukrainian political parties, and prominent people in fields of
education, culture and the arts.

The purpose was to terrorize the Ukrainian elites into submission and
lethargy, and thus deprive the peasants of leadership on the national level.
It should be noted that, in connection with the less severe famine in
Russia, no parallel attack took place against Russian national elites or the
Russian culture.

Stalin’s war against the peasants began in earnest towards the end of 1929.
In a two-pronged attack he ordered to “eliminate the dekulakization as a
class” and to collectivize the middle and poor peasants. Divided into three
categories, the kulaks were dispossessed and  the most dangerous were shot.

The others were deported to the wilds of northern RSFSR, transferred to
distant regions in Ukraine, or given strips of poor land outside the kolkhoz
near which they lived. The intention was not only to provide kolkhozes with
the confiscated land, cattle and machinery, but also to deprive the peasants
of the more qualified leadership for their opposition to the authorities.

During the winter of 1929-1930, 90 thousand Ukrainian households were
dekulakized, and a smaller wave more or less finished the job a year later.
In 1934 Kossior, party boss of Ukraine, reported that 200 thousand farms had
been dekulakized in Ukraine. Out of this number of about one million (5
members per family), several thousand were deported to the northern parts of
the RSFSR and lost to the Ukrainian nation.

Collectivization went in unison with dekulakization: a major push was given
in early 1930. By 10 March 1930 Ukrainian kolhosps integrated 64.4% of
farmsteads with 70.9% of arable land. The operation was accomplished with
the help of some 50,000 activists, sent from Russian and Ukrainian urban
centers, with special powers to organize, punish, and terrorize.

Many poor peasants, paid for the service with confiscated goods,
participated in expropriating their richer neighbors, but many others
sympathized with the victims. Peasant rebellion swept Ukraine: in
January-March 1930, 3,190 uprisings with over 950 thousand participants
confronted the authorities.[8]

Hundreds of fliers were picked up by the authorities with such slogans as
“Free Ukraine from Moscow rule”, “Time to rise against Moscow yoke” and
others. National and peasant factors were coming together. Stalin sounded a
temporary retreat and in October of that year collectivization was down to
29 % of households and 34 % of arable land. But the reprieve was brief and a
year later (October 1931) the figures rose to 68 % (for households) and 72 %
for arable land, with a much higher percentage in the grain-producing steppe
regions.

The effect of Stalin’s revolution on the countryside was disastrous,
especially in Ukraine and the Kuban. From 1929 to 1932 the evolution can be
summarized in these four curt phrases: production down; state procurement
up; grain export up; peasant food consumption down.

Farmers’ opposition to collectivization, mismanagement of collective farms
by incompetent administrators, neglect and slaughter of farm animals
seriously hindered farming and brought down its production. Yet, enforced
obligatory state procurement increased, and in 1931, 42 % of Ukraine’s grain
harvest was turned over to the state.[9]

Kolhosps delayed or completely failed to pay out stipends for “workday”
(trudodni), and the their members had to rely on their meager and
insufficient individual plots of land and a few domestic animals for
subsistence. Undernourishment became generalized. But Stalin had reached
his goal.

Grain exports rose from below one million tons in 1929, to: 5,832,000 tons
in 1930/31 and 4,786,000 tons in 1931/32. It should be kept in mind that one
million tons could feed four to five million people for one year. After two
years of resistance and unequal struggle with the Communist authorities, the
Ukrainian elites were cowed and most of the collective and independent farms
despoiled of all their reserves. The republic was on the brink of a major
catastrophe.

On 26 April 1932, Stanislav Kossior, the General secretary of the Communist
Party of Ukraine, informed Stalin about “individual
Cases and even individual villages that are starving” but blamed it on
“local bungling, errors, particularly in the case of kolkhozes.” And, lest
he displease his Kremlin masters, their lieutenant in Ukraine dismissed the
tragedy with the affirmation that “all talk of famine must be categorically
discarded.”[10]

Yet famine there was and on 10 June H. Petrovsky, the head of the Ukrainian
state and V. Chubar, the head of the Ukrainian government, sent separate
letters to notify Molotov and Stalin of the appalling conditions in the Ukrainian
countryside, and to ask for help.

Chubar admitted that cases of starvation among independent and collective
farmers had already been signaled in December and January and that by
“March-April there were dozens and hundreds of malnourished, starving, and
swollen people and people starving to death accumulate in every village;
children and orphans abandoned by their parents appeared”.

Raions and oblasts organized aid from internal resources, but were obliged
to do this “under conditions of acute food shortage, especially bread”.[11]
Noteworthy additional remark: “Petliurite and other anti-Soviet moods
increased.”

Petrovsky’s letter was even more to the point. Having just returned from an
inspection of the countryside, he realized the catastrophic situation of the
farming population. He visited many villages and everywhere saw multitudes
of people, mainly poor and middle peasants, starving, subsisting on
surrogates.

Peasants scolded him, posed embarrassing question, reproached him, saying
“why did you create an artificial famine, […] why did you take away the
seed material – this did not happen even  under the old regime, why is it
necessary for Ukrainians to travel for bread […] to non-grain producing
territories?”.

Echoing Chubar, Petrovsky reported that “because of the famine, mass thefts
are taking place in the villages.” Pointing out that grain harvest is still
six week off, and famine will only intensify, Petrovsky ask: “shouldn’t
assistance be rendered to the Ukrainian countryside in the amount of two or,
at the very least, one and a half million poods of grain?” And he predicted
that if help is not given starvation would drive peasants to pick unripe
grain and destroy much of it.

Petrovsky’s letter paints a bleak picture of the forthcoming harvest. Since
the better grain had been seized by the state, seeds of poorer quality were
sown and scattered mores thinly. The young crops are good and the fields
well weeded but the grain is sparse. Petrovsky was also struck by the large
amount of unsown land. Aware of all these problems, the farmers complained
to Petrovsky that the new grain procurements would be even more difficult to
meet than last year’s. “And this may very well be so”, agrees Petrovsky.

Finally Petrovsky draws attention to the exodus of Ukrainian farmers. They
are forced to seek food beyond the republic’s borders, at “the Dno station,
in the Central-Black Earth Oblast’, in Belarus, and in Northern Caucasus”,
where grain is more readily available, and at much lower prices.

When Petrovsky suggested that farmers band together for these purchases, he
learned that the Commissariat of Transport has drastically reduced the sale
of train tickets to peasants. Bewildered Ukrainian peasants needled
Petrovsky: “Why are they banning trips for grain?”

If the two Ukrainian leaders believed their pleas and warnings of turmoil in
the Ukrainian countryside would soften Moscow’s position, they were
mistaken. Their effect on Stalin, Kaganovich and Molotov was just the
opposite. Writing from Moscow to Sochi, where Stalin was vacationing,
Kaganovich criticized both Ukrainian leaders, even though he admitted that
some aid would have to be given to Ukraine, and asked Stalin to decide on
the amount. Stalin’s response was more brutal and more ominous of things to
come.

He condemned the hypocrisy of the two leaders, who only wanted to get “new
millions of poods[12] of grain from Moscow” and “a reduction in the plan for
grain procurement”. Ukrainians must mobilize their own forces and resources
for already “Ukraine has been given more than she should get”.[13]
Nevertheless, on 16 June the Politburo considered Ukraine’s plea and granted
about 8,500 tons[14], a paltry amount in comparison with the million and a
half poods requested by Petrovsky.

Politburo’s niggardly “largesse” must have provoked Stalin’s ire, for in a
letter to Kaganovich, Molotov and the Politburo he came back with harsh
criticism of past errors and new instructions for the coming harvest. The
Gensec blamed “mechanical equalization”, which did not take into account the
ability of the kolkhozes to deliver grain, and as a result of which,
“fertile districts in Ukraine found themselves in a state of impoverishment
and famine, despite a fairly good harvest.”[15]

This is the only known acknowledgement of the Ukrainian famine by Stalin. He
blamed regional authorities for being out of touch with the countryside and
allowing kolkhozniks to travel around the entire European part of the USSR
demoralize “our farms with their complaints and whining.”[16]

Stalin proposed the calling of a top level conference on the organization of
grain procurement and its unconditional fulfillment, and insisted that
personal responsibility for grain procurement be delegated to the first
secretaries of the Ukraine, the Northern Caucasus, and the other grain
producing regions. “Personal responsibility” for “unconditional fulfillment”
imposed from the top along the administrative vertikal became the watchwords
of the 1932/33 grain procurement campaign, which would result in the
genocidal famine.

On 21 June a telegram signed by Stalin and Molotov instructed Kharkiv to
carry out “at any cost” the July-September plan for grain delivery. Two days
later, Moscow answered Ukrainian Politburo’s plea for 600,000 poods of grain
with a terse resolution: “bar any additional grain deliveries to
Ukraine.”[17]

The III Conference of KP(b)U (6-10 July 1932) was devoted to the upcoming
harvest and grain procurement. Stalin sent Molotov and Kaganovich to the
meeting  “to ensure genuinely Bolshevik decisions”. Molotov informed the
audience that Moscow had lowered Ukraine’s quota but was adamant that the
plan be carried out in full.[18]

Declarations from regional leaders that the farmers were starving, that much
land lay fallow, and that 100 to 200 m.poods of grain would be lost during
harvesting did not bend the resolve of Moscow’s envoys.[19] The conference
adopted a resolution to carry out the plan of grain delivery “in full and
unconditionally”.[20]

It was largely in response to the tense situation in Ukraine[21], and in
anticipation of new troubles in that republic that Stalin came up with his
infamous decree, dubbed by the farmers “the 5 ears of corn law”. Writing on
20 July to Kaganovich and Molotov, the Gensec complains of widespread theft
by “dekulakized kulaks” and others, and proposes to write a law, which would
make theft of property belonging to collective farms equal to similar crimes
against state property, and “punishable by a minimum of ten years’
imprisonment, and as a rule, by death”.

“All active agitators against the new collective-farm system” and
“profiteers and resellers of goods” writes Stalin, should be removed and
sent to concentration camps.[22] He also wants stricter controls over the
limited kolkhoz trade allowed by a 6 May 1932 law (kolkhozes allowed sell
their surplus after 15 January 1933, after fulfilling the state procurement
plan), made more liberal on 20 May 1932.[23]

A follow-up letter provides ideological explanation: in the same way that
capitalism could not triumph without first making “private property sacred
property”, socialism will not finish off capitalism “unless it declares
public property (belonging to cooperatives, collective farms or the state)
to be sacred and inviolable”.[24]

Returning to the topic on 26 July, Stalin insists on formal legality of the
proposed operations: “we must act on the basis of law (‘the peasant loves
legality’), and not merely in accordance with the practice of the OGPU,
although it is clear that the OGPU’s role here will not only not diminish
but, on the contrary, will be strengthened and ‘ennobled’ (the OGPU agencies
will operate ‘on a lawful basis’ rather than ‘high-handedly’)”.[25]

The joint Party-State decree “On the Protection of the Property of State
Enterprises, Collective Farms and Cooperatives, and on the Consolidation of
Public (Socialist) Property” was issued on 7 August 1932. It became the main
legal instrument used by the Soviet authorities to condemn millions of
farmers to slow death by starvation. It repeated Stalin’s declarations that
all public property is “sacred and inviolable” and that individuals
attempting to take possession of public property should be considered
“enemies of the people”.[26]

All collective farm property, whether in the field or in storage was decreed
equal to that of state property and theft was made punishable by execution,
which could be reduced to 10-year imprisonment only under mitigating
circumstances. Advocating withdrawal from the kolkhoz became tantamount to
treason and was punished with three to five years imprisonment in
concentration camps. No amnesty could be applied in any of these cases.

The decree on State property was applicable on the whole Soviet territory
but, as Stalin’s letter to Kaganovich shows, it was primarily meant for
Ukraine. Stalin thought the law was “good” and would “soon have an impact”,
and ordered a draft of directives from the C.C to the party, judicial and
punitive organizations.[27] The Gensec then addressed the Ukrainian problem.
The passage is highly revealing:

“The most important thing right now is Ukraine. Ukrainian affairs have hit
rock bottom. Things are bad with regard to the party. There is talk that in
two regions of Ukraine (it seems in the Kiev and Dnepropetrovsk regions)
about 50 raion party committees have spoken out against the
grain-procurements plan, deeming it unrealistic. It is said that the
situation in other raion party committees is no better. […] This is not a
party but a parliament, […]

Instead of leading the raions, Kossior kept maneuvering between the
directives of the CC VKP and the demands of the raion party committees […]
Things are bad with the soviets. Chubar is no leader. Things are bad with
the GPU. Redens is not up to leading the fight against the counterrevolution
[…]. [underlined and doubly underlined in original – R.S.]”

Then Stalin brandishes the specter of Ukrainian separatism: “If we don’t
undertake at once to straighten out the situation in Ukraine, we may lose
Ukraine.” He reminds Kaganovich that Pilsudski and his agents are
underestimated by Redens, and Kossior. He expressed utter contempt for the
whole KP(b)U, composed of 500,000 members (“ha-ha”, snickers Stalin),
harboring Pilsudski’s agents and “quite a lot (yes a lot!) of rotten
elements, conscious and unconscious Petliurists”.

Thinking undoubtedly of Ukraine’s negative reaction to the destructive
impact the just-passed property laws will have, Stalin warns: “The moment
things get worse, these [party] elements  will waste no time opening a front
inside (and outside) the party, against the party.”

Frustrated by the fact that “the Ukrainian leadership does not see these
dangers”, Stalin proposes to replace Kossior with Kaganovich and Redens with
Balitsky, and eventually Chubar with Kaganovich. In this way Stalin intends
to transform “Ukraine as quickly as possible into a real fortress of the
USSR, a genuinely exemplary republic.”

The task is urgent and calls for immediate action, for without “these and
similar measures (the economic and political strengthening of Ukraine, above
all its border raions, etc.), I repeat, we may lose Ukraine.”[28] Kaganovich
agrees, of course, and accuses Ukrainian party of creating a certain
solidarity and “a rotten sense of mutual responsibility”, not only in the
middle echelons of the party, but also among its leadership.[29]

Stalin’s exchange of letters with Kaganovich reveals the ambiance in which
the policy of starvation will be implemented. The overall objective was to
maintain a high level of grain procurement. To assure this, all challenge
outside and inside the republic had to be eliminated, regardless of the
cost. Stalin’s raising of the specter of Pilsudski and Petliura agents
running loose in Ukraine and infiltrating the Soviet party and state
machinery was nothing more than a scare tactic and a rallying call.

He was well aware that by the summer of 1932, the weak Polish network and
the few local collaborators had been rounded up by the GPU, which also
arrested real and imaginary followers of Petliura whom Stalin had eliminated
by assassination in 1926. Poland may have had some illusions about a
Ukrainian insurrection in 1929-1930, but by 1932, the Poles realized that
the starving population was in no shape to revolt.

The Soviet-Polish nonaggression treaty signed on 25 July 1932 was ample
proof of the changing relations between the two neighbors.[30] The
Pilsudski-Petliura scarecrow will continue to enjoy popularity in Soviet
propaganda. While there was no serious threat from the Poles or the
Ukrainian nationalists, a national insurrection could become a reality if
the expected famine (implied in Stalin’s phrase “the moment things get
worse”) could bind together the threatened middle cadres of the KP(b)U with
the surviving peasantry. To prevent this eventuality the KP(b)U had to be
purged and kept under close Moscow surveillance.

Stalin maintained that the 1932 harvest was good; historians today are more
skeptical but consider it adequate to cover Soviet Union’s internal needs.
With the state reserves from previous year, there were enough supplies to
feed every citizen of the Soviet Union.

Famine was brought about by the exorbitant amount of grain and other
agricultural products taken from the Ukrainian peasants, and the way they
were extracted. Ukraine’s plan was excessive, and in spite of the protests
from Kharkiv and three successive reductions, it remained so to the end.

Still, Ukraine delivered about a quarter of a billion poods of grain, or
over 90% of its procurement quota. [31] In addition it handed over large
quantities of meat, vegetables and other produce. Stalin insisted that state
procurement have absolute priority. Following a CC VKP(b) directive, a
KP(b)U resolution of 18 November reminded that “complete fulfillment of the
procurement plan by collective farms and the MTS constitutes their primary
obligation […], to which all the other duties of the collective farm must
be subordinated, including the duty to set up all sorts of funds: seed fund,
forage and food supplies”.[32]

Stalin was satisfied that he was achieving his goal. At a high-level party
meeting, held on 27 November 1932, he gloated: “The party has succeeded in
replacing the 500-600 million poods of marketable grain, procured during the
period of individual peasant holdings by our present ability to collect
1,200-1,400 m.p. of grain. It is hardly necessary to prove that without this
leap forward the country would have a famine [sic-RS], we would not be able
to support our industry, we would not be able to feed the workers and the
Red Army.”[33]

The allusion to the famine, or rather to freedom from one, was an obvious
lie, and the reference to the feeding of the workers and the Red Army – an
overstatement; but then, Stalin’s concern was not the feeding his subjects
but the financing of Soviet industrialization with grain exports.

Obedience to Moscow’s orders was assured in two ways: a) frequently repeated
delegations to Ukraine and the North Caucasus Territory of Molotov
Kaganovich and other high-ranking leaders to supervise the local
authorities, and b) party discipline enforced from Moscow down the
administrative structure. At the end of October 1932, two commissions were
sent, one to Ukraine headed by Molotov, and the other to North Caucasus
Territory headed by Kaganovich.

Stalin’s emissaries supervised party meetings and forced them to pass
resolutions on grain procurements, party discipline, stricter application of
the 7 August property laws, the establishment of “black lists” of collective
farms in arrears with grain deliveries, imposition of fines, etc. They also
instigated purges in party organizations and administrative structures.
Kuban’ was particularly hit with the expulsion of 43 % of the 25,000 party
members, including 358 out of 716 party secretaries.[34]

In Ukraine, during November and first five days of December, the OGPU
arrested 1,230 people, including 340 heads of kolhospy while 327 Communists
were brought before the courts for sabotaging state procurements.[35] In the
18 November resolution quoted above, the Ukrainian CC reminded the directors
of sovkhoz of their “personal responsibility as party members and civil
servants for the fulfillment of the grain procurement”.

“Personal responsibility” for the execution of instructions was a constant
refrain in messages coming from above and became an important means for
forcing recalcitrant cadres to carry out the Ukrainian genocide.

Dekulakization and deportation continued, on a smaller scale and were mostly
of political and punitive nature. Arrests, beatings, and cruelty of all
sorts abounded as before, only now the victims were weaker and less capable
of resistance. Kolkhozes, villages and individual farmers in arrears on
state procurement were put on “black lists”, lost access to state-run
stores, and could not buy such essentials as matches, kerosene, salt.

Fines amounted to a year and a quarter’s worth of meat tax, without freeing
the debtor from the unfulfilled grain procurement. “Activists” – the city
workers and their komnezam helpers searched farmers’ houses and yards,
looking for the hidden grain.

There is no way of knowing what portion of the hidden grain was found by the
flying brigades of activists, but official reports state that in Kuban they
found 345,000 poods of grain in November, while searches in Ukraine from 1
December 1932 to 25 January 1933 yielded 1.7 million poods, in 17,000 hiding
places.[36] What grain was found, was confiscated; if nothing was
discovered, they took whatever edibles were seen, leaving the family to
starve.

Peasants who could find some old religious medals or other mementos made
of precious metals could trek to the city and exchange them at the torgsins
(stores for foreigners) for vouchers, and then exchange them for food.

Hardier peasants would flee their villages and seek salvation in urban
centers or in neighboring Belarus and RSFSR, where food was available.
Accounts of Ukrainian peasants overloading trains, filling stations and
wandering about Russian and Belarusian towns and countryside abound.

National and peasant questions became inextricably intertwined in Stalin’s
decree of 14 December 1932, issued under the banal title “On Grain
Procurement in Ukraine, Northern Caucasus and the Western Oblast”[37].

Ukrainization was blamed for problems in grain deliveries and exemplary
punishment was prescribed for sabotage in grain procurement: 5-10 years of
concentration camp for a number of “party traitors” arrested in the Orikhiv
raion of Dnipropetrovs’k oblast of Ukraine, and deportation to the North of
the Poltavska stanytsia of Kuban in the RSFSR.

The decree made the party and government chiefs in the three grain producing
areas personally responsible for the completion of grain procurement by
January 1933. Ukrainianization presently is carried out in Ukraine, “without
meticulous selection of the Bolshevik cadre”, had allowed
bourgeois-nationalists and Petliurites to join party and state institutions
and set up their cells and organizations.

Absence of “revolutionary vigilance” by local party organizations let
“counterrevolutionary elements” become directors, accountants, storekeepers,
foremen in collective farms, members of village soviets. Similar accusation
was brought against Northern Caucasus, with supporters of the Kuban’ Rada
figuring in place of Petliurites. This gave nationalists the opportunity to
sabotage harvest and sowing campaigns and organize other
counterrevolutionary activities.

Party and Soviet authorities in Ukraine and Northern Caucasus were ordered
to extirpate these counterrevolutionary elements, execute them or deport
them to concentration camps, including “saboteurs with party membership
cards in their pockets”.

The verdict against Ukrainization came in two parts. In Ukraine it was not
formally prohibited, but Stalin insisted that it resume its primary
vocation, that of promoting “correct Bolshevik implementation of Lenin’s
national policy”, which in fact meant integration and assimilation.

Ukrainian authorities were instructed to “expel Petliurite and other
bourgeois-nationalist elements from party and government organizations”, and
“meticulously select and recruit Ukrainian Bolshevik cadre”. The signal was
thus given for rapid curtailment of Ukrainization and return to a more
sophisticated policy of Russification.[38]

Ukrainians of Northern Caucasus fared worse. “Non-Bolshevik
‘Ukrainianization’, which affected nearly half of the raions in the Northern
Caucasus,” and which was declared to be “at variance with the cultural
interests of the population”, was totally discontinued and replaced with
Russification.

The use of the Ukrainian language was banned in public offices of local
administration, cooperative societies, and schools. The printing of
newspapers and magazines in the Ukrainized raions of Northern Caucasus was
to switch immediately to Russian, and preparation were to begin immediately
for the transfer in the fall of all Ukrainian schools into Russian.

The whole Poltava stanytsia was ordered to be deported and resettled with
demobilized Russian Red Army soldiers, who would receive the abandoned land,
buildings, equipment, and cattle. In fact, 2,158 families with 9,187 members
were sent out before 27 December[39] and resettled a month later with 1,826
demobilized soldiers.[40]

Together with Medvedivs’ka and Umans’ka, the three Cossack stanytsias saw
45,000 persons deported to the North. On 15 December, Molotov and Stalin
signed a similar ban on Ukrainization, for the rest of the previously
Ukrainized Soviet regions in the RSFSR.

Stalin’s anti-Ukrainization decree reveals the extent to which the dictator
was ready to go, in sacrificing the Ukrainian nation on the altar of
great-power ambitions. There is little doubt that the ban on Ukrainization
was a sop to Russian chauvinism, especially in ethnically mixed regions
outside the Ukrainian SSR. National and social repressions reinforced one
another, even if neither was acknowledged openly.

For the next several months after the condemnation of the abuses of
Ukrainization and the Ukrainian sabotage of grain procurements, the
Ukrainian countryside passed through some of the worst moments in its
history. The litany of repressive measures is endless. 82 raions were
deprived of manufactured goods for not fulfilling their quotas of grain
deliveries.

On 19 December, Stalin orders Kaganovich and Postishev back to Ukraine to
help Kosior, Chubar and Khataevich carry out the procurement plan. On 24
December, collective farms are ordered to deliver all grain in fulfillment
of the plan, including grain put aside for seed and food. Direct orders to
increase repressive measures, arrests and deportations increase. A real
reign of terror seizes the republic and the Kuban.

On 22 January 1933 Stalin struck another crippling blow against the starving
Ukrainian grain growers. The new secret decree, drafted by the Gensec
himself, is perhaps the best available proof of the dictator’s genocidal
intent against the Ukrainian nation. Sent to Ukraine, Belarus and the
neighboring regions of RSFSR[41], the document calls attention to the
unrestrained exodus of peasants from the Kuban’ and Ukraine to the near-by
regions of Russia and Belarus.

Central authorities are said to have no doubt that these migrants, who
pretend to search for food, are, in fact, Socialist-Revolutionaries and
agents of Poland, sent to agitate, “through the peasants”, in the northern
parts of the USSR, against the kolkhoz system and the Soviet power.
Addressees are reminded that a similar movement took place the previous
year, but the party, soviet and police authorities of Ukraine did nothing to
stop it. It must not be allowed to happen this year.

Stalin then orders the party, soviet and the repressive organs of the
Northern Caucasus and Ukraine to prevent the exodus of their peasants to
other regions of the USSR and directs them to close border crossings
between Ukraine and the Northern Caucasus.

The GPU of the Russian oblast’s adjacent to the quarantined Ukrainian and
Northern Caucasus regions, and the transport section of the OGPU, are
instructed to arrest all peasants from Ukraine and North Caucasus, who
have managed to leave their territory, and, after segregating the
counter-revolutionary elements, return the others to their villages.

The next day, the Politburo of the CC KP(b)U adopted a resolution to carry
out Moscow’s orders and forwarded the directive, along with addition
instructions, for implementation by the appropriate Ukrainian
authorities.[42]

The Ukrainian branch of the OGPU was ordered to instruct all railway
stations not to sell tickets to peasants with destinations beyond the
Ukrainian
borders, without formal travel permission from the raion executive committee
or a certificate of employment from construction or industrial enterprises.

Oblasts were told to take “resolute measures” to prevent massive departure
of their peasants, carefully check the work of agents recruiting peasants
for work outside Ukraine, and to urge kolhospnyky and individual farmers not
to depart without permission for other raions because they would be arrested
there.

On 25 January, B. Sheboldaev, the party boss of the North Caucasus
Territory, issued a similar order, adding instructions on the employment of
internal forces and border troupes and the setting up of filtration
points.[43]

Like the anti-Ukrainization decree of 14 December 1932, the 22 January 1933
directive, which closed the borders to the famished Ukrainian peasants was
not the beginning but the culmination of processes that had started many
moths before. Petrovsky had complained to Stalin, back in June 1932, about
the ban on train ticket for Ukrainian peasants who wanted to obtain
provisions in Russia.

Evdokimov’s telegram from Rostov-on-Don, which Iagoda prepared for Stalin’s
attention on 23 January 1933, details the elaborate measures taken since
November to prevent the flight of farmers from the Northern Caucasus
Territory. Among these were roadblocks set up on the main arteries of
peasant migration.

Transport authorities had arrested 11,774 persons and another 7,534 were
incarcerated by other organs. In the same dossier, Balitsky’s report from 22
January informed of massive exodus of peasants from Ukraine since
December.[44]

Departures were registered in 74 raions, 721 villages and 228 kolhosps. In
all, 31,693 persons left: 20,129 from Kharkiv oblast’, 6,576 from the Kyiv
oblast, 3,447 from Odessa oblast, and 1,541 from Chernihiv. Of these
migrants about one third were collective farmers and two thirds individual
farmers; 128 were activists. A check at the railway junction stations in the
Kharkiv oblast revealed a great demand for long-distance tickets: in January
1933 16,500 such tickets were sold in Lozova station and 15,000 – in Sumy.

In the beginning of January 1933, the GPU began to apprehend agitators and
organizers of these migrations and arrested over 500 of them. [45] As a
direct result of Stalin’s borders decree of 22 January 1933, 219,460 persons
were arrested in the first six weeks of its application; some were sent to
the Goulag, others punished in other ways, while 186,588 were sent back to
their villages to face the famine.[46]

In the middle of March 1933, Kosior wrote unperturbedly to the Kremlin that
“the famine still hasn’t taught many kolhospnyky a lesson”.[47] In his
report from Kharkiv, dated 31 May 1933, the Italian consul general
prognosticated on the devastation of the country: “The current disaster will
bring about a preponderantly Russian colonization of Ukraine. In a future
time, perhaps very soon, one will no longer be able to speak of a Ukraine,
or of a Ukrainian people, and thus not even of a Ukrainian problem, because
Ukraine will have become a de facto Russian region.”[48]

There can be little doubt today that the famine was not only used by the
Communist party for political purposes, but that it was actually created and
directed by Stalin and his henchmen for that purpose. The regime’s ultimate
objective was to transform the backward empire into an industrial giant and
a military superpower that could export socialism abroad.

To achieve this, Stalin needed great quantities of marketable grain, which
was to be extracted from the peasants “at any price” to the producers but at
minimal price to the state. The most expedient way was to herd the peasants
into collective farms, subject them to a direct control from the Kremlin,
and in this way ensure maximum grain deliveries to the state.

The Kremlin knew that the peasants would resist and that the imposition of
its will would result in the loss of millions of human lives, but that was
of no concern for masters of a well-populated empire. Stalin’s project
required a homogenous and docile population. Revived Ukrainian
particularism, taking advantage of the indigenization program, reinforced
national unity at the expense of cohesion of the new “fatherland of world
proletariat”.

The two sources of resistance to Stalin’s plans (national and social) became
embodied in the same group – the Ukrainian farmers. Stalin decided to
sacrifice a considerable part of this group in order to eliminate the
opposition to his projects and to frighten the rest of the Ukrainian nation
into accepting the role of cogs (as he liked to call them) of the great
socialist mechanism.

The Stalin-Kaganovich discussion of the Petrovsy and Chubar letters
(June-July 1932), the “five ears of corn” law (7 August, 1932), the
condemnation of Ukrainization (14 December 1932), and the closing of
internal Soviet borders on starving Ukrainian peasants, each provide smoking
gun revelations about the genocide against the Ukrainian nation. But a
multitude of other documents now emerging from the secret archives help us
get a rounded understanding of the gigantic crime and the immeasurable
suffering of its victims.
———————————————————————————————-
FOOTNOTES:
[1] Leo Kuper, Genocide. Its Politic Use in the Twentieth Century. (Penguin,
1981), p. 35.
[2] Valerii Vasiliev & Yuri Shapoval (eds.), Komandyry velykoho holodu.
Poizdky V. Molotova i L. Kahanovycha v Ukrainu i na Pivnichnyi Kavkaz
1932-1933 rr. Kyiv, 2001; I. Zelenin et al (eds.), Tragediia sovetskoi
derevni. Kollektivizatsiia i rasskulachivanie. Tom 3. Moskva, 2001; Stalin i
Kaganovich Perepiska 1931-1936 gg. Moskva, 2001; Rozsekrechena pam’iat’:
Holodomor 1932-1933 rokiv v Ukraini v dokumentakh GPU-NKVD. Kyiv, 2007;
Ruslan Pyrih (ed.), Holodomor 1932-1933 rokiv v Ukraini: dokumenty i
materialy. Kyiv, 2007.
[3] Nicolas Werth, La terreur et le désarroi: Staline et son système. Paris,
Perrin, 2007.
[4] Discussed more fully in my article, “The Ukrainian Famine of 1932-1933
and the United Nations Convention on Genocide”, in Taras Hunczak & Roman
Serbyn. Famine in Ukraine 1932-1933: Genocide by Other Means. (Forthcoming.)
[5] For a thorough discussion of Ukrainization and its problems see James
Mace, Communism and the dilemmas of national liberation: national communism
in Soviet Ukraine, 1918-1933. Cambride, Mass., 1983. See also Terry Martin,
The Affirmative Action Empire. Nations and Nationalism in the Soviet Union,
1929-1939. Ithaca & London, 2001.
[6] J. V. Stalin, “Concerning the National Question in Yugoslavia” Works.
Vol. 7. Moscow, 1954. Pp. 71-72.
[7] Rozsekrechena pam’iat’. Pp. 75-81.
[8] Valerii Vasil’ev & Linn Viola. Kolektyvizatsiia i selians’kyi opir na
Ukraini (lystopad 1929-berezen’ 1930). Vinnytsia, 1997. P. 91.
[9] Nicolas Werth, La terreur et le désarroi: Staline et son système. Paris,
Perrin, 2007.  P. 118.
[10] Holod 1932-1933 rokiv na Ukraini:ochyma istorykiv, movoiu dokumentiv.
Kyiv, 1990. P. 148.
[11] All quotations and references to the two letters are taken from
Komandyry velykoho holodu. Pp.206-215.
[12] One pood = 16.36 kg; 1 ton – 61.36 poods.
[13] The Stalin-Kaganovich Correspondence 1931-1936. New Haven& London,
2003. P. 136.
[14] For the allocation of the food aid, see Holod 1932-1933 rokiv na
Ukraini. Kyiv, 1990. P. 183, 187-188.
[15] The Stalin-Kaganovich Correspondence. P. 138 (Underlined by Stalin).
[16] The Stalin-Kaganovich Correspondence. P. 138-139..
[17] Holod. 1990. P. 183 (doc. 63), P. 190 (doc. 68).
[18] The original plan of 410 million poods (6.7 m.t.) was lowered twice to
356 and 274.8 million poods (5.8 m.t.; 4.5 m.t. ) but 16 November was raised
to 5.8 m.t.  Rozsekrechena pam’iat’. p. 84.
[19] For a detailed account of the deliberations see Komandyry velykoho
holodu. Pp. 152-164
[20] See part of the resolution in Holod1932-1933 rokiv na Ukraini. Kyiv,
1990. P. 194-198
[21] A secret OGPU report from around 20 July 1932 stated that “as for
anti-Soviet manifestations, Ukraine occupies first place”. “From 1 January
to 1 July 1932, 118 counterrevolutionary kulak organizations were
discovered, counting 2.479 members. In addition, along the lines of national
counterrevolution we have unmasked 35 groups with 562 members.” Tragedia, p.
421. Another secret OGPU report, dated 5 August, contains a section
“National counterrevolution (U[krainian]SSR)” which relates the liquidation
of 8 nationalist groups, two of which consisted of former members of the
outlawed UKP (Ukrainian Communist Party). These people are said to have a
leftist program and conduct systematic activity among members of the KP(b)U,
arguing that the Soviet authorities are suppressing the Ukrainian culture.
In their platform, claims the report, they declare war on the Soviet regime
and Polish fascism, while in fact keeping links abroad and carrying out
directives of the Second Department of of the Polish General Staff in
Ukraine. Ibid.  p. 443.
[22] The Stalin-Kaganovich Correspondence. P. 164-165.
[23] S. Kulchytsky, Tsina “Velykoho perelomu”. Kyiv, 1990. P. 296. On 23
July Stalin sent a telegram to Kaganovich demanding the restoration and
enforcement of last year’s ban on transporting private bread supplies by
rail or water. Tragedia, p. 428.
[24] The Stalin-Kaganovich Correspondence. P. 166.
[25] The Stalin-Kaganovich Correspondence. P. 169.
[26] Tragedia, p. 453-454.
[27] Stalin i Kaganovich Perepiska. Pp. 273-275; The Stalin-Kaganovich
Correspondence. P. 179-181. A follow-up secret “Instruction on the
Application of the TsIK and SNK SSSR of 7 August 1932 About the Safeguarding
of State Property”, signed by the Chairman and the Prosecutor of the Supreme
Court of the USSR and the Vice-Charman of the OGPU, was sent out on 16
September to all republican and oblast authorities. Tragedia. P. 477-479.
[28] On 12 August Stalin sends a note to Kaganovich asking him to keep
secret for the moment the plan regarding Ukraine sent in the preceding
letter. Tragedia. P. 276. To stiffen Kosior’s resolve, in January 1933,
Stalin sent him the more resolute Postyshev as his second in commend; Redens
was replaced Balitsky in February 1933.
[29] Letter of 16 Augus 1932. Stalin i Kaganovich Perepiska. P. 283-284;
Stalin-Kaganovich Correspondence. P. 183-184.
[30] Timoty Snyder, Sketches from a Secret War. New Haven, Yale University
Press. P. 104.
[31] Kosior spoke of 255 m.p. at the January plenum of the CC KP(b)U.
Holod1932-1933 rokiv na Ukraini. P. 352. Davies and Wheatcroft give
3,584,000 tons, or 219 millon poods, P. 478. Other authors give similar
figures.
[32] Holod 1932-1932 rokiv na Ukraini. P. 253.
[33] Tragedia. P. 559.
[34] Davies & Wheatcroft, The Years of Hunger. P. 178.
[35] Komandyry velykoho holodu. P. 50.
[36] Komandyry velykoho holodu. P. 49; Kulchytsky, Holod 1932-1933 v Ukraini
iak henotsyd. Kyiv, 2005. P. 98
[37] Tragedia, Pp. 575-577; also in Holod 1932-1933 rokiv na Ukraini. Pp
291-194.
[38] The Russification of Ukraine attracted the attention of the Italian
consulate in Kharkiv. “In government offices the Russian language is once
again being used, in correspondence as well as in verbal dealings between
employees.” See the “Italian Diplomatic and Consular Dispatches”, Report to
Congress. Commission on the Ukraine Famine. Washington, 1988. P. 446.
[39] G.G. Iagoda report to Stalin, 29 December 1932. Lubianka. Stalin i
VChK-GPU-OGPU-NKVD. Moskva 2003. P. 386.
[40] Nicolaas Werth, Le pouvoir soviétique et la paysannerie dans les
rapports de la police politique (1930-1934). Rapport du 27 février 1933.
/http:/www.ihtp.cnrs.fr/dossier_soviet_paysans/sommaire.html/
[41] Tragedia sovetskoi derevni. P. 634-635. The first English translation
of the document appeared in Terry Martin, The Affirmative Action Empire.
Nations and Nationalism in the Soviet Union, 1923-1939. Ithaca and London,
2001. P.p. 306-307.
[42] Volodymyr Serhiichuk. Iak nas moryly holodom. Kyiv, 2003. PP 156-158.
[43] Tragedia, p. 636-637.Sheboldaev added more precisions on the filtration
points three days later. Ibid. P. 638.
[44] Lubianka. Stalin i VChK-GPU-OGPU-NKVD. Moskva 2003.P. 394.
[45] Lubianka. P. 392-393.
[46] N.A. Ivnitskii, Kollektivizatsiia i raskulachivanie (nachala 30-kh
godov). Moscow, 1994. P. 204.
[47] Tragedia. P. 657.
[48] “Italian Diplomatic and Consular Dispatches. Op. cit. P. 427.

———————————————————————————————-
FOOTNOTE: Article published by the Action Ukraine Report (AUR) with
permission from Professor Federigo Argentieri, John Cabot University,
Rome, Italy.
———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================      
6.  BEFORE AND AFTER
Neither Russia, nor the world, nor you and I have any excuse to not know.

COMMENTARY: By Halya Coynash
Kharkiv Human Rights Protection Group
Kharkiv, Ukraine, Friday, November 16, 2007

I wonder if you remember when you first found out about the Holocaust.  I
do.  No loud phrases about turning points – I was a child.  Yet there was
most definitely before and after, and that was never to be erased from my
memory.

With Holodomor there was only ever after. I can’t remember not knowing why
my father simply couldn’t throw any food away.

Twenty years ago I tried to tell a friend’s father about Holodomor. His
response left me speechless: “Yes, we in the West don’t know about that”.
No past tense, no before and after, He hadn’t known and didn’t.

Friends in Russia who read Conquest’s “Harvest of Sorrow” and the books
about the Terror I smuggled into the country were however devastated.  In
1988 they were never going to be able to say we don’t know about that.

And yet twenty years later how many still apparently don’t know.

My words here are not aimed at providing evidence that the grain was taken
away, that people were shot or arrested for hiding food for their children.
That they established armed guards around villages.  That the famine knew
borders and those borders enclosed Ukraine and an area mostly populated by
Ukrainians (Kuban).

The recent UNESCO statement spoke of the terrible tragedy of Holodomor, but
spoke also of famines throughout the Soviet Union.  Provide your evidence
please that in any part of the Soviet Union not mainly occupied by
Ukrainians people were prevented at gunpoint from trying to save themselves
and their children from starvation.

I can provide you with any proof you desire of the facts I mention above.
They have been gathered by reputable historians, both Ukrainian and foreign,
together with documents recently made public by the Ukrainian Security
Service.

I can present it all, but if there is no will to listen, then I am
powerless.  Since Malcolm Muggeridge first had the courage to flee the USSR
in order that the world learned about the crime being perpetrated, there
have been many voices persistently telling the truth.

This was while George Bernard Shaw dined with Stalin and “saw” nothing, and
while Walter Duranty positively distorted the facts. Against the determined
wish not to know, voices telling the truth can still fail to be heard.

What is most distressing and at the deepest level inexplicable is the role
presently taken by Russia.  It is after all the “undesirable” reaction from
Russia which is making so very many governments, including the British,
loath to recognize what is, frankly, hard to ignore.

Those Russian friends twenty years ago who were harrowed by the crimes
concealed for so long did not react in some bizarrely defensive manner.
They had no need to deny the crime in order to feel better.  Why, indeed
should they?

We were then looking back at a time when in different ways our relatives had
all been victims of a regime which treated human beings with contempt.  It
is deeply disturbing that Russia over the last years has been marking out a
new role for itself.

If the present regime wishes to stress its role as successor to the Soviet
regime, it is free to do so, but not at the expense of the truth.

A wrong was done the Ukrainian nation 75 years ago.  Whether Stalin was
driven by the desire to crush specifically Ukrainians, or a society which
was stubbornly opposed to collectivization, may be arguable.

Here too, incidentally, the Russian Security Service is not hurrying to
declassify archival material about the 1930s, as Ukraine has already done.
There are issues for historians to discuss.

The closed borders, the deliberate removal of all food and the millions of
victims are not disputable, they are to be recognized.

A wrong is done the world and each human being when we turn our gaze away.
The reasons, political, geopolitical, economic or other may vary, the
betrayal does not.

We welcome the call in the UNESCO Resolution calling for knowledge about
Holodomor to be “disseminated to ensure that the lessons of this tragic page
are inculcated in young generations”.

It is precisely the will to know that was lacking for so many years, fuelled
by the Soviet regime which had obvious motives for hiding its crime.

Neither Russia, nor the world, nor you and I have any excuse to not know.

————————————————————————————————
————————————————————————————————
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
7.  RECOGNIZING FAMINE AS GENOCIDE DOESN’T IMPLY
CLAIM AGAINST TODAY’S RUSSIA, UKRAINIAN
AMBASSADOR SAYS

Interfax Ukraine News, Moscow, Russia, Wed, November 14, 2007

MOSCOW – The recognition of the famine in Ukraine as genocide should
become a lesson for future generations, Ukrainian Ambassador to Russia
Oleh Diomin has said.

“Underestimation of this phenomenon is caused by a lack of information.
I become more and more horrified with every new fact. For example, [let
us take] cannibalism. It was present not in Africa, not in the 18th century,
but in Ukraine in the 20th century,” he said at a press conference in Moscow
on Wednesday.

Diomin said that it was “necessary to speak” about the famine. “We have no
right to conceal the existing facts,” he said. “This is a memory for history
and our ancestors. The Famine is the greatest national tragedy for Ukraine.
Both children and adults were dying in terrible torment,” Diomin said.

The ambassador said that he saw no political basis for not recognizing the
famine as genocide. “But for various reasons, there is not the degree of
research into this problem [in Russia], as there is in Ukraine and other
countries,” he said.

Vasyl Morochko of the National Academy of Sciences of Ukraine also
commented on the issue. “We accuse nobody and expect no compensation,
[but] we expect sympathy and understanding,” he said.

“There should be no talk about the political and legal responsibility of
Russia. Russia has also suffered, maybe to a lesser degree, but it has
suffered,” Morochko said. “If someone today raises the issue of
compensation, then it is made only to produce a political image. This is
the way of politics,” Diomin said.

Ukraine will observe a day of remembrance for the victims of famines in
Ukraine on November 24.
————————————————————————————————

[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
NOTE: Send in a letter-to-the-editor today. Let us hear from you.
========================================================
8.  UKRAINIAN FOREIGN MINISTRY OUTRAGED AT VANDALISM
OF HOLODOMOR 1932-1933 [FAMINE]  EXHIBIT IN MOSCOW 
UNIAN news agency, Kiev, in Ukrainian 1653 gmt 17 Nov 07
BBC Monitoring Service, UK, Friday, November 17, 2007

KYIV: The Ukrainian Foreign Ministry has expressed its categorical protest
against the actions of representatives of the Eurasian Youth Union (EYU) at
an exhibit devoted to commemorating the victims of the Holodomor [artificial
famine] in Ukraine in 1932-3 at the Ukrainian Cultural Centre in Moscow on
17 November, ministry spokesman Andriy Deshchytsya told UNIAN.

Deshchytsya recalled that EYU activists today wrecked the display devoted to
the Holodomor victims.

Deshchytsya said that the Ukrainian Foreign Ministry had sent an urgent note
to the Russian Foreign Ministry demanding that the investigation should be
completed and the guilty brought to justice. “The Foreign Ministry views
these actions as unlawful, provocative and anti-Ukrainian,” Deshchytsya
said.

Gazeta.ru [Russian website] reported that seven EYU representatives came
into the exhibition pavilion. One of the activists threw a heavy object at
the stand, and then he started to throw the stands to the floor together
with another attacker. One of the activists pushed away one of the employees
of the cultural centre and started to hit another, while the others were
overturning the rest of the stands.

More than 10 guards were attracted by the commotion, and they accompanied
visitors to the exhibit out of the building and into the street. Having
finished their attack, the EYU resisted guards. Several managed to get out
of the building onto the street. Three of the attackers were detained by police.

The others managed to get away.

The EYU considers that blaming Russians for the Holodomor is propaganda

for hatred between Russia and Ukraine.
———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
9.  UNESCO WILL NOT DECLARE HOLODOMOR 1932-1933
GENOCIDE AGAINST UKRAINIAN PEOPLE BECAUSE OF
RUSSIA

Source: www.gpu.ua
Kharkiv Human Rights Protection Group
Kharkiv, Ukraine, Thursday, November 1, 2007

On 1 November the final stage begins in Paris of the 34th Session of the
UNESCO General Conference. One of the points on the agenda is a vote on a
resolution declaring Holodomor 1932-1933 in Ukraine to have been an act of
genocide against the Ukrainian people.

However the newspaper Kommersant has been told by the ambassador of a
West European country that the word “genocide” will not be in the final text
of the resolution.  In fear of a worsening of relations with Russia, members

of left-wing political factions are advocating changes to the document.
Right-wing factions and Ukrainian experts are categorically against any
revision.

The Ukrainian Ministry of Foreign Affairs has said that Kyiv is ready for
editorial amendments to the resolution and the absence of the word
 “genocide”.

Head of the Department on National Minorities within the Ministry (which was
involved in drawing up the text of the document) Volodymyr Shkurov was not
able to say yesterday whether the word “genocide” had been retained. He
believes it unlikely that the word would be used in any document issued by
UNESCO, a non-political organization.

The UNESCO Resolution calling for greater awareness of the Holocaust and
efforts to combat all forms of Holocaust denial was unanimously passed on 25
October 2007.  A UNESCO Resolution on recognizing the genocide of the
Armenian people is at present at discussion stage.

President Yushchenko has been seeking recognition of Holodomor 1932-1933 in
Ukraine as an act of genocide against the Ukrainian people since he assumed
office. He has spoken out in favour of criminal liability being imposed for
denial of Holodomor. In March 2007 he issued a Decree creating a
coordination council for organizing and running measures to commemorate the
75th anniversary of Holodomor.

Since 2005 a memorial “Light a candle” action has been held each year in
memory of the victims of genocide and political repression. It will take
place this year on 24 November.

It is planned to declare 2008 Year in Memory of Holodomor.  As reported
here, President Yushchenko had harsh words last week about some governors
and the level of preparation of memorial events.
————————————————————————————————–
LINK: http://khpg.org/en/index.php?id=1193920635
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
10.  UKRAINE: PROGRESSIVE SOCIALIST PARTY URGING

RADA TO CANCEL ACKNOWLEDGEMENT OF 1932-1933
FAMINE AS GENOCIDE

Zoya Zhminko, Ukrainian News Agency, Sunday November 11, 2007

KYIV – The Progressive Socialist Party of Ukraine is asking the Verkhovna
Rada (Parliament) of Ukraine to cancel the acknowledgement of the 1932 –
1933 great famine as genocide. Ukrainian News learned this from the

November 10 statement of the PSPU central committee presidium.

“The presidium of the central committee of the Progressive Socialist Party
of Ukraine is addressing the Ukrainian parliament with the proposal that it
amend Article 1 of the law on the 1932-1933 famine in Ukraine and cancel its
acknowledgment as genocide, because it goes in conflict with the
international law norms and the decision of the UNESCO organization,” the
statement reads.

The PSPU is also calling on the Cabinet of Ministers and local councils not
to follow President Viktor Yuschenko’s decrees on the measures devoted to
the famine anniversary.

As Ukrainian News reported, President Viktor Yuschenko called 2008 the year
of memory of the 1933 – 1932 famine victims. In 2006 Verkhovna Rada called

the 1932 – 1933 famine the genocide against Ukrainian people.

As a result of the 1932 – 1933 famine, according to different estimates,
from three to seven million people perished. Apart from this, according to

some historians, Ukraine had famines in 1921 – 1923 and 1946 – 1947.
———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
11.  UKRAINE’S ‘HUNGER’ FOR HISTORICAL JUSTICE

COMMENTARY: By John Marone, Kyiv Post Staff Journalist
Eurasian Home, Moscow, Russia, Wednesday, November 7, 2007

There’s nothing like a national tragedy to build a nation, especially if the
details of the tragedy are buried in history, and the blame for it can be
put on a regional bully. Ukraine’s Holodomor is such a tragedy.

Yes, at least three million hapless Ukrainians died of hunger, disease and
privation in 1932-1933, and No, they shouldn’t be forgotten – by anyone.

Additionally, most if not all of the blame lies squarely with the misguided
policies of Joseph Stalin and his heavy-handed communist henchmen.

However, equating the Holodomor with the Jewish Holocaust is incorrect,
inappropriate and wrong.

But that hasn’t stopped Ukrainian President Viktor Yushchenko from
prominently voicing the issue during his never-ending circuit of foreign
visits.

During a recent trip to Bucharest, Yushchenko called on the Romanian
parliament to help get the Holodomor recognized as genocide. The Ukrainian
president is expected to ask for the same during an upcoming state visit to
Israel.

On October 30, Ecuador’s Congress reportedly assisted Yushchenko’s cause
with a resolution, while the General Conference of UNESCO unanimously
passed a resolution entitled “Remembrance of the Victims of the Great Famine
(Holodomor) in Ukraine on November 1″, the Ukrainian Foreign Ministry has
boasted.

Ukraine hasn’t had a parliament for months due to a tragicomic power
struggle that doesn’t look likely to end any time soon. Nevertheless,
Yushchenko seems determined to forge his country’s future by digging into
its past.

“The crimes of the Stalin regime – the 1932-1933 famine in Ukraine, the
major terror of the 1930s – should be fully condemned by the international
community. It is the duty of all countries, political and public forces that
accept the values of democracy,” Yuschenko said in the Ukrainian city of
Kharkiv on November 2.

The president has also dedicated 2008 as the year to remember Holodomor
victims. Memorials to the tragedy are scheduled to be built in Kharkiv and
Kyiv next year.

It’s important for a nation still securing its sovereignty, continuing to
find its place in the world, to establish its past, both the triumphs and
the tragedies.

“This is why the resolution in the Rada about genocide is historically and
politically important. It’s a landmark. It reminds people of things that
have happened, it reminds people of the importance of being independent
and in charge of your own country,” former US national security adviser
Zbigniew Brzezinski correctly noted during a roundtable in Washington
D.C. last month.

The fact that the Ukrainian parliament only recognized the famine as
genocide less than a year ago shows just how tricky the concept of national
memory is. Moreover, the vote was close.

Ukraine’s east-west split is linguistic, religious, political and
historical. Ethnicity and foreign relations also play a role.

Eastern Ukrainians identify more closely with Russia, which has inherited
the legacy of all Soviet crimes. Forget the fact that Stalin was a Georgian
and that Russians and countless other nationalities suffered no less than
Ukrainians under Soviet rule.

If Ukrainians were the victims of a genocide, which literally means the
(attempted) extermination of an entire people, then someone had to be
doing the exterminating.

Like the post-War Germans, Russians are expected to accept their guilt
and start acting nice and civilized.

The problem is that modern Russia is in no mood to reject its imperial
past – in relation to Ukraine or anyone else. Quite the contrary, the
Kremlin has set itself on a collision course with Western liberalism and its
historical interpretations.

Moscow’s official position is that the famine, which affected Russia and
Kazakhstan as well as Ukraine, was the unfortunate result of a tough policy
during tough times.

Forced collectivization was part and parcel of industrialization, which
ultimately helped the Soviet Union defeat Nazi Germany, Russian historians
argue.

Russian ombudsman Vladimir Lukin told a recent press conference that
“attempts are being made to portray the great famine in Ukraine in the 1930s
as an exclusive action directed against Ukrainians, which is, of course,
absolutely untrue.”

With more immediate and no less contentious issues still remaining to be
hammered out with Russia, many international players are reluctant to
irritate the great bear any more than necessary.

This shouldn’t surprise anyone familiar with the case of Rwanda – a more
modern and direct example of mass murder on the basis of ethnicity
performed right under the UN’s nose.

Almost a million men, women and children were, among other things, hacked
up with machetes by their neighbors of a different ethnic group, while
diplomats debated the definition of the term genocide.

Ukraine’s genocide claim comes closer – but is by no means a direct fit – to
that of Armenian claim against the Turks.

Responding to a strong Armenian lobby at home but against all understanding
of foreign affairs, the Foreign Affairs Committee of the US House of
Representatives approved a bill declaring that the mass killing of Armenians
in the Ottoman Empire during the First World War was genocide.

As with the Tutsis and Jews, Armenians were slaughtered on the basis of
their ethnicity. At least 600,000 were killed in 1915-1916 by Turkish troops
panicked by foreign invaders during another difficult historical moment.

There is no evidence to suggest that a large number of Ukrainians who died
during the Holodomor were the victims of direct violence. Moreover, one
would be hard pressed to prove ethnic hatred as a motive, excluding the
claim by some Ukrainians that the orders from Moscow were made by
mostly Jewish communists.

On the other hand, most scholars support the view that Moscow purposely
intended to break the will of the Ukrainian peasant, whose fate was
secondary to the interests of the party.

In other words, the famine wasn’t an unfortunate side effect of a tough
policy in tough times, but an example of willful indifference if not an
intentional desire to destroy Ukrainian farmers.

This, however, is not the same as a premeditated and calculated plan to
wipe out Ukrainians as a nation.

For example, the Nazis tracked down and murdered in the most methodical
ways anyone of Jewish ancestry. Jews were considered sub humans.

This was not the case with Ukrainians in the Soviet Union.

As Solzhenitsyn aptly describes, the typical Siberian labor camp was a
mosaic of persecuted people within the borders of the empire.

Does this mean Ukrainian lives lost during the Holodomor do not count for
as much as Jewish lives taken during the Holocaust, or even Armenians
slaughtered sporadically by Turkish troops?

No. But it does mean that one does not have to compete with other tragedies
to draw attention to his own. Attaching evocative words such as ‘genocide’
or ‘holocaust’ to the deadly persecution suffered by Ukrainians under Soviet
rule does them no more honor.

It’s good that Yushchenko is championing the cause of persecuted Ukrainians,
but the real fight is not abroad. And if it’s to be won, the president and
others are going to have to accept the horrible reality of what genocide
really means before others will.
—————————————————————————————————-
http://www.eurasianhome.org/xml/t/opinion.xml?lang=en&nic=opinion&pid=905

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========================================================
If you are receiving more than one copy of the AUR please contact us.
========================================================
12.  LARGEST PARLIAMENTARY GROUP IN EUROPEAN PARLIAMENT
CALLS FOR RECOGNITION OF 1932-1933 ARTIFICIAL FAMINE AS
GENOCIDE AGAINST UKRAINIAN PEOPLE

Interfax Ukraine, Brussels, Belgium, Wed, November 14, 2007

BRUSSELS – The Group of the European People’s Party and European
Democrats in the European Parliament (EPP-ED Group), the largest political
group in the European Parliament, is intending to table a recommendation to
the Council of the EU asking that the Council to recognize the 19932-1933
artificial famine in Ukraine (Holodomor) as genocide against the Ukrainian
people.

According to a press release issued in Brussels on Tuesday, the chairman of
the EPP-ED Group in the European Parliament, Joseph Daul, expressed his
sympathy with the people of Ukrainian who suffered under the 1932-33
artificial famine.

“I would like to pay my respects to the millions who died,” he said. He said
he had asked the EPP-ED Group “to table a recommendation to the council
asking them to recognize the state sponsored famine in Ukraine.”

The recommendation asks the council to recognize the Holodomor as genocide
against the Ukrainian people, and to condemn the Soviet regime’s actions
against the Ukrainian nation, which was marked by mass annihilation, and the
violation of basic human rights and freedoms, the press release reads.

He further said that November marked the beginning of the 75th anniversary
of this crime. “Twenty-six nations have already designated it a crime of
genocide against the Ukrainian people, in which up to 10 million people
died,” the press release reads.

The EPP-ED Group is the largest political group in the European Parliament,
with 278 Members from all 27 Member States.
———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
13. “UNDERSTANDING MANY EVENTS IN THE 20TH CENTURY

IS IMPOSSIBLE WITHOUT COMPREHENDING THE TRAGEDY
OF THE HOLODOMOR”

Compiled by Nadia TYSIACHNA, The Day
 The Day Weekly Digest #34, Kyiv, Ukraine, Tue, November 13, 2007

A few days ago I got a call from my relatives in Switzerland. They said they
were going to attend the lecture “Was the Holodomor in Ukraine an Act of
Genocide?” by the Ukrainian historian Stanislav Kulchytsky, scheduled for
Nov. 22 at Geneva’s Museum of Ethnography.

The moderator is one of the most distinguished Ukrainians in the world,
Bohdan Hawrylyshyn. A number of journalists have been invited.

Professor Kulchytsky told The Day that his lecture is based on several
works, particularly his latest book “Why Did He Destroy Us? Stalin and the
Ukrainian Holodomor,” the latest addition to The Day’s Library Series
(published in September 2007).

The guest speaker will also present the English-language book “Day and
Eternity of James Mace,” which features articles by this noted American
researcher of the Ukrainian Holodomor.

Ukraine will honor the memory of the victims of the Holodomor and political
repressions on Nov. 24. On this date the large-scale action, “Candle in the
Window,” initiated by the late James Mace in 2003, will take place.

Below we offer readers the most interesting comments by Ukrainian
historians and literary scholars on Stanislav Kulchytsky’s book.

These are not simply impressions but precious ideas that boil down to the
assumption that the more frequent the acts of misunderstanding and
aggression in our society, the clearer is our understanding that such
projects and books are badly needed. If we neglect historical memory, we
may well end up as half-citizens, half-Ukrainians.
[1] Prof. Ruslan PYRIH, Ph.D. (History):
Stanislav Kulchytsky’s book is a timely and adequate response to the
challenges of the current reality that has made the Holodomor issue topical
and much politicized.

First of all, it is written by one of the pioneers and leading researchers
of this scholarly problem, which is complex, painful from the moral and
psychological standpoint, and politically sensitive.

Second, it is the quintessence of the author’s search for an answer to the
sacramental question: “Why did they destroy us?”

This book describes the complicated process of scholars coming to grips
with the Holodomor tragedy, and then by society in the early 1930s.

The author gives due credit to the contribution made by foreign researchers
in shedding light on this topic. He engages in polemics, rejects certain
views, and offers his own original vision of the most essential aspects of
this issue.

The author should be commended for the fact that he has consistently
championed his own method of calculating the numbers of Holodomor
victims in Ukraine for almost two decades.

He was the first to qualify the total confiscation of foodstuffs from the
Ukrainian peasantry in 1932-33 as the main factor in the murder by
starvation of millions of people.

In interpreting the Holodomor problem as an act of genocide, Stanislav
Kulchytsky has consistently demonstrated the specifics of the 1931-32
famine in the Ukrainian SSR and the famine of 1932-33, their similarity and
cardinal differences compared to such processes in other regions of the
USSR.

It is important that the author, while pointing to Stalin as an embodiment
of the creators of this tragedy of the Ukrainian people, views the communist
regime as the main perpetrator.

Without a doubt, Prof. Kulchytsky’s work will become another pillar in the
foundation of restoring historical truth and justice, helping the current
and coming generations to grasp the true causes and consequences of the
Holodomor tragedy.
[2] Anatolii MOROZOV, head of the Department of Modern

History, Bohdan Khmelnytsky National University of Cherkasy:
It should be stated that Stanislav Kulchytsky started working on the
Holodomor topic long before our society began discussing it extensively
and publicly. (By the way, he is a real workaholic).

He and I spoke a lot about the famine in Ukraine. I grew up in a family that
lost several members during that horrible period, and I also lived through
the 1946 famine.

At one time I was also studying the Holodomor, but had to stop for
psychological reasons; living with this knowledge was too horrifying.

Therefore, I am sincerely grateful to Stanislav Kulchytsky for embarking on
such a complicated mission. Believe me, any researcher who deals with this
terrible material lives through it, in one way or another.

Indeed, the losses caused by the Holodomor are still being felt; they have
affected Ukrainians in terms of both quantity and quality. The most horrible
thing is that the Stalinist system inoculated us with a virus of fear,
especially fear of resistance.

Therefore, it is necessary to be frank and speak out loud about the famine
in Ukraine, its causes, and its consequences – like The Day is doing – in
order to rid ourselves also of the viruses of falsehood and theft, because
we often find ourselves living with a falsified history.
[3] Prof. Petro KRALIUK, Ostroh Academy National University:
Let me first thank Stanislav Kulchytsky and The Day for publishing articles
about the Holodomor and for the book “Why Did He Destroy Us? Stalin
and the Ukrainian Holodomor,” which is based on these articles.

These days, much is being said about the Holodomor in Ukraine. There are
numerous political speculations on the part of the left wing and all those
who are in love with Moscow, those who refuse to recognize the Holodomor
and describe the events that took place in Ukraine in 1932-33 as
“shortcomings” and “overzealous efforts,” as well as of “outspoken

Ukrainian patriots,” who are trying to capitalize on this subject while
pursuing their own “narrow political objectives.”

Kulchytsky’s book is a pleasant exception to the rule. The author, who had
access to a great deal of documented material, analyzes the problem at
length and in depth and unravels its various political, economic, social,
and cultural aspects.

At the same time, this book is not purely scholarly research but a semi-
popular work that reads easily and is understandable even to readers who
know little about this subject. The author, however, pays too much attention
to Stalin (and the fact is evident from the title).

Stalin is presented as the key perpetrator of the Holodomor, although the
hard facts of the case show that he was not the only one. Here the whole
Bolshevik system was at play and similar famines, albeit on a smaller scale,
took place in Ukraine earlier – for example, right after the Civil War, when
Stalin was not in power yet.

In fact, he was not the leader of the USSR in 1932-33, as the struggle for
power was still being waged by higher party nomenklatura, which ended with
Stalin’s victory in 1936-37.

These and other inferences made by the author can be topics for scholarly
debate, which is only natural. Not all the i’s have been dotted in the
question of the Holodomor, and they won’t be in the short run. I would like
to draw your attention to another problem, which is mostly ignored in
writings on the Holodomor.

It is true that the Holodomor is a great tragedy of the Ukrainian people,
but it shows that this nation is capable of surviving in the most horrible
conditions; this is precisely what makes our people so strong.

Therefore, it is hard to disagree with the line from Larysa Ivshyna’s
foreword to Kulchytsky’s book: “Our nation, which has survived all this
cannot but have ambitions.”
[4] Ihor SIUNDIUKOV, The Day’s Ukraine Incognita & History columnist:
It is exceptionally difficult and painstaking to analyze historical
tragedies, dramas, and catastrophes. I would even describe this work as
ungratifying.

Apart from everything else, it requires the highest scholarly level because
it must rely on hard historical facts rather than emotions, however
justifiable.

The historian Stanislav Kulchytsky has coped with his task brilliantly. The
articles included in this book were published by our newspaper at various
times. Taken together, they offer a convincing answer to the fundamental
question: “Why did this unimaginable atrocity become possible?”

The author’s brief but substantial answer is that “…the Soviet system
under Lenin and Stalin could be built only by means of iron and blood…The
terror by famine was the same kind of tool as ‘socialist construction’ and
other forms of terror.”

Kulchytsky’s call to “peer into the abyss” – in other words, to comprehend
the essence of the communist “revolution from above,” the Kremlin’s
nationality policy, and the mechanism of this genocide all add up to the
possibility of answering the question: “Why did Stalin destroy us?” This
call is directed at all Ukrainians.
[5] Prof. Yuri SHAPOVAL, historian:
Today there is no dearth of studies on the tragic events of the early 1930s.
It is true that in the past couple of years qualitative changes have taken
place in the comprehension of that horrible cataclysm and its far-reaching
consequences.

Researchers in various countries – and not just researchers – are still
debating this issue because without all-round comprehension of the Holodomor
tragedy it is impossible to understand many events of the 20th century.

Convincing proof of this is found in Prof. Stanislav Kulchytsky’s new book,
which consists mainly of articles carried by The Day.

Despite the popular nature of these articles, they undoubtedly expand
knowledge about the Holodomor. They reflect the activities of the Soviet
political leadership in 1932-33, the conduct of regional leaders,
particularly the party and state nomenklatura of the Ukrainian SSR.

This book offers deeper insight into the technology of this crime, namely,
how and with what mechanisms the Stalinist regime acquired grain, motivating
this by the need for modernization, the Moloch of which devoured millions of
people.

Kulchytsky’s studies foster a better understanding of the doctrinal and
situational motives that guided the communist establishment; help to
accurately recreate the situation on the macro- and micro-levels
(exceptionally important for arriving at general, realistic conclusions and
assessments); and help to refute the claim about the absence of specific
features in the actions of the authorities in one region or another of the
former USSR in 1932-33.

As any reader will easily discover, this book explains many things. This is
its undeniable asset. At the same time, as the British researcher Norman
Davies has written, a good historian must always have the right to doubt.

This is why it is important for me to know that Prof. Kulchytsky’s
collection of articles is not a collection of incontrovertible axioms or an
attempt to impose his conclusions. This book is food for thought and
stimulates further debate and research. This is the most important thing for
me.

One cannot fully agree with everything in this book, and there are things
that are not totally understandable.

For example, I still don’t understand whether my colleague regards the
Holodomor as an act of genocide. He warns against interpreting the thesis
about the annihilation of the Ukrainians or peasants too narrowly.

Nevertheless, Ukrainian peasants were the first to die; they were the chief
and most wanted victims of the regime. What I read on this subject in his
book left ambivalent impressions, to put it mildly. But perhaps this is just
my impression.
[6] Prof. Volodymyr PANCHENKO, Kyiv Mohyla National Academy:
Stanislav Kulchytsky’s book is important from several standpoints. It not
only adds to our knowledge of our own history, but also seriously influences
the process of making important political decisions with regard to the
Holodomor.

Actually, the main theme of this book is an analysis of the mechanisms of
terror by famine that Stalin used against the Ukrainian countryside, as well
as a clearly defined scholarly assessment of the horrible famine-
Holodomor-genocide triad.

The entire system of arguments employed by Kulchytsky convincingly states
that the 1932-33 famine in Ukraine was precisely a Holodomor, since on
Stalin’s direct instructions all foodstuffs were confiscated from the
peasants.

It is important that proof of this is supplied not only in the form of
eyewitness accounts but also archival documents, specifically Stalin’s New
Year’s telegram dated Jan. 1, 1933, authorizing mass searches and
confiscations.

The researcher reaches the conclusion that while other regions of the USSR
suffered from the famine, the Holodomor took place only in Ukraine.

Then there is the issue of genocide. Stanislav Kulchytsky knows better than
most how much effort it will take Ukrainian researchers, politicians,
diplomats, and lawyers to convince the world community that what happened
in 1932-33 was an act of genocide.

From this standpoint, Kulchytsky’s conclusion that the Holodomor in Ukraine
occurred “at the intersection of the socioeconomic and nationality policies”
that were being waged by the Kremlin is extremely important. He is
absolutely correct; one must take into account both of these factors in
their satanic combination.

Stalin feared Ukraine; he was afraid that if it rebelled and withdraw from
the USSR, then the Red empire would collapse. And so terror by famine was
aimed against the citizenry of the Ukrainian state as representatives of the
Ukrainian political nation.

In other words, according to Kulchytsky, ethnic affiliation was not
decisive, although quite a few Holodomor victims believed that they were
being annihilated precisely because they were Ukrainians.

The same thing happened in 1934-38, when the Ukrainian intelligentsia began
to be destroyed in accordance with all the laws of genocide.

As far as I am concerned, Stanislav Kulchytsky could have placed more
emphasis on the ethnic component of the genocide of 1932- 33, as there
are sufficient grounds for this.

Many years ago the philosopher S. L. Frank wrote that “Utopia calls for
violence.” This is precisely what happened in the case of the communist
regime, which did not abide by any laws.

It is a disgrace that a political party that is anti-Ukrainian by nature and
a political heir of the Bolsheviks is still being supported by some people
in Ukraine, while violently resisting any efforts to objectively assess such
tragic pages in our history. They are resisting this because historical
assessments imply responsibility for past acts.

The ashes of the countless victims of this genocide must continue to knock
at the hearts of the living – not for vengeance but for purification, for a
just reckoning with the past. I think that this is the very reason why
Stanislav Kulchytsky wrote his book.
——————————————————————————————–
LINK: http://www.day.kiev.ua/191334/

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AUR#888 Nov 7 U.S. Amb Taylor Speaks Out In Kyiv; Lies, Damn Lies and Ukraine’s WTO Bid; Pepsi; UPS; Cardinal; Ikea; UNESCO; NKVD Child;

========================================================
ACTION UKRAINE REPORT – AUR           
An International Newsletter, The Latest, Up-To-Date
In-Depth Ukrainian News, Analysis and Commentary


Ukrainian History, Culture, Arts, Business, Religion,
Sports, Government, and Politics, in Ukraine and Around the World       
 
U.S. AMBASSADOR WILLIAM TAYLOR SPEAKS OUT:
Corruption, Judicial System Reform, Investment Climate Improvement, 
Energy Dependency, Non-Transparent Mediator, NATO, WTO
[Articles One, Two, Three and Four]
                        
ACTION UKRAINE REPORT – AUR – Number 888
Mr. E. Morgan Williams, Publisher and Editor, SigmaBleyzer
WASHINGTON, D.C., WEDNESDAY, NOVEMBER 7, 2007
 
INDEX OF ARTICLES  ——
Clicking on the title of any article takes you directly to the article.               
Return to Index by clicking on Return to Index at the end of each article
JUDICIAL SYSTEM, IMPROVEMENT OF INVESTMENT CLIMATE
Ukrainian News Agency, Kyiv, Ukraine, November 5, 2007
 
2U.S. AMBASSADOR TAYLOR SAYS TRANSPARENT NATURAL
GAS CONTRACT WILL REDUCE ENERGY DEPENDENCY ON RUSSIA 
Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

3U.S. AMBASSADOR TAYLOR FORECASTING UKRAINE TO TAKE
FINAL DECISION CONCERNING ACCESSION TO NATO BY 2010

Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

4U.S. AMBASSADOR TAYLOR BELIEVES NEW PARLIAMENT
SHOULD ACCELERATE ADOPTION OF DECISION ON WTO ENTRY 
Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

5.  LIES, DAMN LIES AND UKRAINE’S WTO BID
Commentary: by John Marone, Kyiv Post Staff Journalist
Eurasian Home, Moscow, Russia, Tuesday, October 30, 2007

6
UKRAINE’S JOINING WTO TO INCREASE COMPETITIVENESS

OF ECONOMY, SAYS SENIOR ECONOMIST OF CASE THINK TANK
Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

7PROCESS OF UKRAINE’S ADMISSION IN WTO MIGHT END IN
AUTUMN 2008 IN FAVORABLE CONDITIONS, OFFICIAL SAYS
Interfax Ukraine, Kyiv, Ukraine, Mon, November 5, 2007

8.  LONG-TERM PERSPECTIVES OF UKRAINE ENTRY IN WTO
OUTWEIGHS POSSIBLE DOMESTIC NEGATIVES SAYS OFFICIAL
Ukrainian News Agency, Kyiv, Ukraine, Tuesday, November 6, 2007

9AZAROV ORDERS UKRAINIAN DELEGATION TO AGREE WITH
KYRGYZSTAN’S CONDITIONS AT TALKS ON JOINING WTO

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

10UKRAINE’S CONSENTING TO KYRGYZ DEMANDS ON WTO
ACCESSION COULD PROVOKE ADDITIONAL CONDITIONS
FROM OTHER TRADE PARTNERS, SAYS EXPERT

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

11WORLD BANK IMPROVES 2007 GDP FORECAST FOR UKRAINE 

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

12PEPSIAMERICAS & PEPSICO JOINTLY ACQUIRE REMAINING
INTEREST OF LEADING JUICE COMPANY, SANDORA, IN UKRAINE
 
Business Wire, MN & NY, Tuesday November 6, 2007

13WNISEF BOARD MEETING & BRIEFING IN WASHINGTON
Have raised a follow-on private equity fund of $130 million
U.S.-Ukraine Business Council (USUBC), Wash, D.C. Mon, Nov 5, 2007

14UPS JOINS THE U.S.-UKRAINE BUSINESS COUNCIL (USUBC)
U.S.Ukraine Business Council (USUBC), Wash, D.C. Wed, Nov 7, 2007

15CAPITAL FLIGHT: UKRAINE’S GAS PRICE CONTROLS

PUSH U.S. FIRM CARDINAL OUT
Behind the Breaking News, Briefing: By Tammy Lynch, Senior Fellow
Behind the Breaking News, Volume VI, Number 1,
Institute for the Study of Conflict, Ideology and Policy,
Boston, MA, Thursday, 1 November 2007

16POLISH KITCHENWARE CO MOVES INTO UKRAINIAN MARKET
By Volodymyr Obolonsky, The Ukrainian Times
Kyiv, Ukraine, Monday, November 5, 2007

17UKRAINE AGAIN POSTPONES INCREASE IN GRAIN EXPORTS 
Ukrainian News Agency, Monday, November 5, 2007

18UKRAINE’S LARGEST RETAIL OPERATOR FOZZY GROUP

BUYS KIT SUPERMARKET CHAIN IN ZAPOROZHIE
Property Xpress, Sofia, Bulgaria, Thursday, November 1, 2007

19UKRAINE: SWEDISH RETAILER IKEA BUYS LAND IN KIEV
Property Xpress, Sofia, Bulgaria, Tuesday, October 30, 2007

20UKRAINE: SETTING THE INVESTMENT AGENDA
Bloc of Yulia Tymoshenko (BYuT) Newsletter Issue 52
Kyiv, Ukraine, Tuesday, November 6, 2007

 
WANT SOMETHING BETTER FOR THEIR COUNTY
Presentation: by Robert McConnell, Attorney
2007 Convention Gala of the Ukrainian-American Bar Association
Washington, D.C., Saturday, September 22, 2007
Action Ukraine Report (AUR) #888, Article 21
Washington, D.C., Wednesday, November 7, 2007
 
HOUSE FROM TUESDAY, NOV 20 TO THURSDAY, DEC 6
Action Ukraine Report (AUR) #888, Article 22
Kyiv, Ukraine, Wednesday, November 7, 2007
 
23NOT TOO LATE: THREE MESSAGES IN UNESCO RESOLUTION
COMMEMORATING HOLODOMOR 1932-1933 VICTIMS
By Mykola SIRUK, The Day Weekly Digest #33
Kyiv, Ukraine, Tuesday, November 6, 2007
 
24GERMANY READY TO ASSIST IN DELIVERING TO ITS
CITIZENS INFORMATION ABOUT 1932-1933 FAMINE 
Ukrainian News Agency, Kyiv, Ukraine, Tuesday, November 6, 2007
 
25HOLODOMOR: WAS IT ETHNOCIDE?
Opinion & Analysis: by Andrei Marchukov, PhD (History),
Staff Researcher, Russian Academy of Sciences’ Institute of Russian History.
RIA Novosti, Moscow, Russia, October 16, 2007
 
26DISTINCTIONS AMONG GENOCIDES
Commentary: by David A. Mittell, Jr.
Providence Journal, Providence, RI, Thu, November 1, 2007
 
 
28ALLA ROGERS & YEVHEN PROPOPOV ART EXHIBITION
Action Ukraine Report (AUR) #888, Article 28
Kyiv, Ukraine, Wednesday, November 7, 2007
========================================================
1
U.S. AMBASSADOR TAYLOR: NEW CABINET’S PRIMARY TASKS
TO BE FIGHT AGAINST CORRUPTION, REFORMATION OF
JUDICIAL SYSTEM, IMPROVEMENT OF INVESTMENT CLIMATE

Ukrainian News Agency, Kyiv, Ukraine, November 5, 2007

KYIV – US Ambassador to Ukraine William Taylor considers that the

primary issues for the new Ukrainian Cabinet of Ministers are fight against
corruption, reformation of the judicial system and improvement of the
investment climate. He disclosed this in a statement at the open lecture
entitled “Ukraine as Young Democracy.”

“All political forces, which took part in the elections promised to improve
political and investment climate in the country. It is higher time to do
that: decrease state regulation, launch fight against corruption and reform
the judicial system,” he said.Taylor marked that Ukrainian three largest

parties are sharing this position.

He also called problems of the judicial system and corruption as
difficulties all young democracies face. “The fight against corruption in all

sectors will be an important test of new government on the way to Europe,”
Taylor said.
He also marked permanence of the US government position: readiness to
cooperate with any new Ukrainian government.

The ambassador marked importance of improvement of the investment climate

in Ukraine in the frames of preparations for Euro 2012. To prepare for Euro
2012, considerable sums are needed. The state budget won’t manage to find
the funds. It is necessary to attract investments, he said.

Taylor considers that the fight against corruption and reformation of the
judicial systems will assists attraction of more investors to Ukraine. As
Ukrainian News earlier reported, the early Verkhovna Rada elections took
place on September 30.

On October 15, the Yulia Tymoshenko Bloc and the Our Ukraine People’s
Self-Defense Bloc agreed to create the coalition at the Verkhovna Rada of
the sixth convocation.

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2.  U.S. AMBASSADOR TAYLOR SAYS TRANSPARENT NATURAL
GAS CONTRACT WILL REDUCE ENERGY DEPENDENCY ON RUSSIA 

Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

KYIV U.S. Ambassador to Ukraine William Taylor has said that a transparent
contract on natural gas supplies will reduce Ukraine’s energy dependency on
Russia. He presented the assessment during an open lecture entitled “Ukraine
as a young democracy.”

“The current contract of gas supplies is not transparent and depends on a
mediating company between Ukraine and Russia. I believe that an opportunity
to reduce the energy dependency of Ukraine can be transparent contracts on
commercial basis,” he said. Taylor said he didn’t understand why Ukraine
needed a non-transparent mediator.

According to him, there were other ways to reduce the energy dependency of
Ukraine on other states, including the necessity to develop own sources of
energy, alternative energy, diversification of fuel supplies to Ukrainian
NPPs. “Now all sources of nuclear fuel are in Russia. This cannot be so,” he
said.

Taylor said Ukraine was working to produce own nuclear fuel. Such designs,
in his opinion, will facilitate competition in the sector and reduce
Ukraine’s dependency on one source of nuclear fuel.

As Ukrainian News earlier reported, Premier Viktor Yanukovych gave Fuel and
Energy Minister Yurii Boiko until November 7-10 to complete talks with
Russian gas monopoly Gazprom on gas prices for 2008.

Ukraine is not buying natural gas of Russian origin in 2007 because it has
reached agreement with Uzbekistan on annual delivery of 7 billion of gas
through RosUkrEnergo Company (the exclusive supplier of gas to Ukraine,
reached agreement with Kazakhstan on annual delivery of 8.5 billion cubic
meters of gas, and signed contracts with Turkmenistan for delivery of 42.5
billion cubic meters of gas per year.

Since 2007, Ukraine has received natural gas at the price of USD 130 per
thousand cubic meters on the border of Ukraine and Russia, which is 36.8%
more than the gas price supplied in 2006 (USD 95 per thousand cubic meters).

Ukrhaz-Energo joint enterprise buys natural gas from RosUkrEnergo Company

at the Ukrainian-Russian border and sells it to Ukrainian industrial
enterprises and heating utilities as well as to the Naftohaz Ukrainy
national joint-stock company for meeting the requirements of the population,
the fuel and energy complex, and the state sector. RosUkrEnergo buys all its
gas from Gazprom Company, the Russian gas monopoly.
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3. U.S. AMBASSADOR TAYLOR FORECASTING UKRAINE TO TAKE
FINAL DECISION CONCERNING ACCESSION TO NATO BY 2010

Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

KYIV U.S. Ambassador to Ukraine William Taylor forecasts that Ukraine

will take final decision concerning its accession to NATO in 1-2 years. He
disclosed this in a statement at an open lecture entitled Ukraine as Young
Democracy. “It will take Ukraine 1-2 years to take final decision,” he said.

Taylor also marked that Ukraine has to decide itself and nobody intends to
make Ukraine enter NATO. He said that the Ukrainians have to have time to
understand how NATO has changed since Warsaw Pact.

“What does to be a NATO member mean? Does it mean deployment military

bases on its territory? No. It is deployment of nuclear weapon on its territory?
No. Does it mean forceful participation in wars? No,” Taylor said.

He marked that NATO takes all decisions only via consensus and taking of

the decisions depends on agreement of all 26 countries. Besides, he added
that despite the time it will take Ukraine to make the decision, NATO always
welcomes Ukraine to join it.
As Ukrainian News earlier reported, President Viktor Yuschenko believes
that the issue of Ukraine’s membership of NATO should be resolved via a
referendum.

In December 2006, Yuschenko said that he opposed organization of a
referendum on Ukraine’s membership of NATO until Ukraine received an
invitation to join NATO.

In October 2007, Yuschenko called on Ukraine’s European partners to
facilitate the accession to the NATO Membership Action Plan.

NATO’s Deputy Assistant Secretary-General for Public Diplomacy Stefanie
Babst has forecast that Ukraine will join the Action Plan on NATO Membership
in 2009.

On September 19, 2006, the Ukrainian parliament adopted a resolution
supporting Prime Minister Viktor Yanukovych’s position that Ukraine is not
ready to join the NATO Membership Action Plan. The parliament’s resolution

also states that the issue of NATO membership will be decided only via a
national referendum.
Yanukovych said at a meeting of the Ukrainian-NATO Commission in Brussels
(Belgium) that broadening cooperation with NATO was a pressing issue for
Ukraine but added that only 12-25% of Ukrainian citizens presently support
accession of Ukraine to NATO.
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4.  U.S. AMBASSADOR TAYLOR BELIEVES NEW PARLIAMENT
SHOULD ACCELERATE ADOPTION OF DECISION ON WTO ENTRY 

Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

KYIV – The United States’ Ambassador to Ukraine William Taylor believes

that the new Ukrainian parliament should accelerate adoption of a decision
on admission of Ukraine into the World Trade Organization (WTO). Taylor
stated this in an open lecture entitled “Ukraine as a Young Democracy.”

“There is a decision that the new parliament should adopt soon, particularly
the final decision on accession to the WTO,” he said.

Taylor believes that all the political forces in the previous parliament
supported the laws necessary for accession to the WTO and hopes that the
new parliament will adopt the final decisions.

“It will be very positive for Ukraine, for its economy, and a very important
consequence will be the start of a serious discussion on inclusion of
Ukraine in a free trade zone with the European Union.

“This will demonstrate to the world Ukraine’s readiness to move into
Europe,” Taylor said. He also noted the existence of a consensus in

Ukraine on issues of European integration.

As Ukrainian News earlier reported, Ukraine’s representative at the WTO’s
headquarters in Geneva (Switzerland) Volodymyr Baluta has forecast that
Ukraine will join the organization in the fall of 2008.

The Cabinet has announced that it has reached agreement on a WTO accession
protocol with Kyrgyzstan, which is the last country with which Ukraine
needed to reach an agreement. The Cabinet of Ministers is aiming to complete
the preparation of the final report on admission of Ukraine into the WTO in
late November.

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========================================================
U.S.-Ukraine Business Council (USUBC): http://www.usubc.com
========================================================
5.  LIES, DAMN LIES AND UKRAINE’S WTO BID

COMMENTARY: By John Marone, Kyiv Post Staff Journalist
Eurasian Home, Moscow, Russia, Tuesday, October 30, 2007

If Ukraine’s efforts to join the World Trade Organization are any indication
of the country’s overall commitment to economic reform, then we’re all
being fed a plate of lies.

The working group monitoring Kyiv’s WTO bid held an informal meeting in
Geneva on October 25, followed by the usual rosy progress report issued by
the Ukrainian government.

The web site of the Cabinet of Ministers carried a statement on October 26
indicating that a breakthrough had been reached with Kyrgyzstan on the
signing of an agreement on mutual access to the market of goods and
services.

The tiny Central Asian republic is the last country with which Ukraine has
to sign a bilateral agreement as a requirement for WTO entry. The obstacle
to achieving this has supposedly been a $25 million debt going back to
Soviet times that Kyrgyzstan claims to be owed.

“Kyrgyzstan has admitted that its claims on Ukraine are unfounded and
instead agreed to a zero import duty on agricultural products in exchange
for signing the bilateral protocol on access to the market of goods and
services,” the Cabinet statement reads.

As a result, according to the government, the next, official meeting of the
working group will be the last, clearing the way for final approval of
Ukraine’s WTO bid by a 43-nation general meeting in February.

Unfortunately, nobody told the Kyrgyz about this.

The AKIpress news agency website based in Bishkek ran a report on
October 27, in which it quoted the country’s Ministry of Industry, Economic
Development and Trade as accusing the Ukrainian government of trying to
use the media to force a WTO settlement.

“It is greatly unfortunate that Ukraine has been striving to resolve issues
solely in its own favour throughout the negotiating process and in a
coercive way without taking into account Kyrgyzstan’s legal trade and
economic interests,” the Kyrgyz government statement reads.

Kyrgyzstan’s ambassador to Kyiv confirmed his government’s position and
denied that his country had dropped its monetary claims on Ukraine.

Ukraine has been negotiating WTO entry for the past 13 years, signing one
bilateral treaty after another while getting feedback in Geneva on its reform

efforts. The WTO boasts 150 member states, but only 43 have a say on
Ukraine’s entry, and Kyrgyzstan is one of them.

By early 2006, when the United State recognized Ukraine as a market economy
and cancelled the largely symbolic Jackson-Vanik amendment, Kyiv looked like
it had made it over the hump.

A year earlier, President Viktor Yushchenko had come to power with promises
of greater European integration.EU officials have made WTO membership a
condition to Ukraine’s obtaining a free-trade agreement.

Experts point out other benefits of WTO membership such as the promotion
of efficiency and badly needed foreign investment.

However, opening the doors to international competition also poses a threat
to vested Ukrainian interests, companies content with holding a monopoly
over a captive consumer audience.

In addition, there is Russia, which has proposed that the two “brotherly”
nations join together.

According to WTO entry rules, if Ukraine were to get in first, it could hold
Russia’s bid hostage to outstanding bilateral trade issues such as Russia’s
export tax on oil, which punishes energy-dependent Ukrainian consumers.

Some observers have accused Russia of using its influence over the otherwise
insignificant Kyrgyzstan to hold up Ukraine’s WTO bid.

But this is too convenient an excuse for Kyiv. Considering all the economic
benefits of WTO entry, would it really be such a burden to pay out $25
million to Bishkek?

The motivation of Ukrainian businessmen with influence if not seats in
parliament to keep out foreign competition should not be underestimated.

One need only do a quick cost comparison of what consumers are forced
to pay in the Ukrainian capital for food, clothing, mobile communications,
etc. in order to guess what kind of profits are at risk from a freer market.

Why improve efficiency and customer service when you can just keep out the
competition by buying a seat in the legislature?

The drive to join the WTO has turned into a forced march through the mud
without wheels, regardless of who is in control of the government.

Ukraine’s representative at the WTO headquarters in Geneva, Volodymyr
Baluta, said his country would enter the WTO in fall 2008.  Following the
approval of a final report in November, then a vote by a WTO general meeting
in February, it’s just a matter of a couple of months, Baluta would have us
believe.

“In June 2008, Ukraine will be able to complete all preparations. And if in
early fall the council ratifies the agreement on Ukraine’s joining to the
World Trade Organization, Ukraine will become its member in 30 days,”
he was quoted as saying in a government statement.

But Ukraine’s parliament still has to give final approval, and lawmakers
have been the main obstacles in the first place. But you wouldn’t guess this

by the statements released by the government over the last year and a half.

The last official working group meeting was held on July 23, after which the
Economy Ministry said everything was moving along as planned. The same
picture was drawn in May, when the parliament was said to have approved
final amendments to WTO-related bill passed late last year.

The problem with such bills is that they always fall short of the working
group’s approval and thus have to be reworked, revoted and revisited in
Geneva, while months are lost in the process.

Yushchenko first promised WTO membership in the fall of 2006, only to push
the deadline back to the end of this year. But the president has been hard
pressed to push through any of the reforms he promised during the country’s
much touted Orange Revolution.

And with the Orange parties winning only a slim majority in the last
elections, their ability to pass much liberal bills looks equally dim until
the next presidential poll in 2009.

By that time, the effects of the country’s consumer spending spree and
certain favorable external circumstances will have been reduced to show
the economy for what it really is.

And all the lies, damn lies and WTO waffle won’t be able to cover it up.
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http://www.eurasianhome.org/xml/t/opinion.xml?lang=en&nic=opinion&pid=898

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========================================================      
6.  UKRAINE’S JOINING WTO TO INCREASE COMPETITIVENESS
OF ECONOMY, SAYS SENIOR ECONOMIST OF CASE THINK TANK

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

KYIV – Ukraine’s joining the World Trade Organization (WTO) would increase
the competitiveness of the country’s economy, according to senior economist
of CASE Ukraine Center for Social and Economic Research, Vladimir
Dubrovskiy.

“In the context of joining the World Trade Organization, this would raise
[Ukraine’s] competitiveness,” he said at a press conference at
Interfax-Ukraine on Wednesday.

He said that some representatives of domestic business are against the
country’s joining the World Trade Organization, as they would face stiffer
competition after joining.

In turn, CASE Ukraine CEO Dmytro Boyarchuk said that any international
integration improves the country’s competitiveness.

Asked whether some economic sectors could die after Ukraine’s joining the
World Trade Organization, he said that some spheres could replace some
owners with more efficient ones, and no more. If the sector is in demand, it
would exist, he said.

CASE Ukraine experts introduced The Global Competitiveness Report 2007-2008
at the press conference, which is published by World Economic Forum (WEF).
Ukraine’s position worsened: the country moved from 69th to 73rd position in
2006.

Dubrovskiy said that the fall in the rating is linked with the fact that
over the past year there was GDP growth per capita, although the economy’s
efficiency did not improve. He said that there are no serious reforms of the
economy in Ukraine.

He said that the Competitiveness Report is drawn up for governments and not
for private investors. He said that the Ukrainian government has been very
interested in this rating over the past years.

According to WEF, the United States confirmed its position as the most
competitive economy in the world. WEF provides the competitiveness research
on yearly basis covering 131 countries. The report is the most comprehensive
analysis of competitiveness factors of national economies.

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========================================================
7.  PROCESS OF UKRAINE’S ADMISSION IN WTO MIGHT END IN
AUTUMN 2008 IN FAVORABLE CONDITIONS, OFFICIAL SAYS

Interfax Ukraine, Kyiv, Ukraine, Mon, November 5, 2007

KYIV – The process of Ukraine’s admission to the World Trade Organization
may be completed in the fall of 2008, Volodymyr Baluta, Ukraine’s official
representative at the headquarters of the WTO, has said.

“In June 2008, Ukraine may end the preparation process for obtaining
membership. If early in the fall the council [of the WTO] ratifies the
agreement on Ukraine’s admission in the WTO, Ukraine will become a member

of the WTO in 30 days, the department for public relations of the secretariat
of the Cabinet of Ministers quoted Baluta as saying.

As earlier reported, the process of Ukraine’s admission in the WTO started
in 1993. Of all of the neighbors of Ukraine, only Russia and Belarus are not
members of the WTO.

According to a posting on the Web site of the Ukrainian government, in
February 2008 there will be a meeting of the working group and a special
addendum will be drafted later concerning commitments on duties on goods,
the regime of access to the markets of goods and services and the limitation
of the budget subsidies to Ukrainian agribusinesses.

According to the posting, if Ukraine reaches agreement with the WTO in
March, the finalized draft report on Ukraine will be ready by the end of
April 2008.

The check of the final report will take another month and the preparations
for the meeting of the General Council of the WTO will take another 15 days.

“If the last country stalling the admission in the WTO has ungrounded claims
against an applicant, this is a matter for the attention of such members of
the WTO as the United States and the countries of the EU.

If Kyrgyzstan refuses to sign the bilateral protocol with Ukraine, Ukraine
may be admitted to the WTO without a protocol with Kyrgyzstan,” the posting
quoted Deputy Economy Minister Valeriy Piatnytsky as saying.

The posting further reads that Kyrgyzstan recognized its claims against
Ukraine as ungrounded during an unofficial meeting of the working group on
Ukraine’s accession to the WTO on October 25.

The posting reads that the question of $27 million of Ukrainian technical
aid to Kyrgyzstan as the redemption of the debt of the Soviet times will be
negotiated outside the question of Ukraine’s admission in the WTO.

“The Kyrgyz side agreed with its claims against Ukraine being ungrounded and
proposed instead to introduce zero duties on farm produce imports.Ukraine
promised to retain the current zero [duty] regime of bilateral trade,” the
posting reads. After the meeting on October 25 there are still three issues left

to be settled within a month, the posting said.
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
NOTE: Send in a letter-to-the-editor today. Let us hear from you.
========================================================
8.  LONG-TERM PERSPECTIVES OF UKRAINE ENTRY IN WTO
OUTWEIGHS POSSIBLE DOMESTIC NEGATIVES SAYS OFFICIAL

Ukrainian News Agency, Kyiv, Ukraine, Tuesday, November 6, 2007

KYIV – The Foreign Affairs Ministry of Ukraine says that the long-term
positives of Ukraine’s accession to the World Trade Organizationoutweighs

possible domestic negatives.

First Deputy Foreign Minister Volodymyr Khandohii said this, addressing
conference “Diplomacy and Business: Dialogue of Partners.”

‘We believe that the long-term character of positive is much greater than
local negatives that will partially involve some enterprises of our economic
system as a result of Ukraine’s accession to the WTO,’ he said.

Khandohii recognized the possibility of some risks for Ukraine at the first
stages, after joining the WTO.  ‘It may lead to a worsening of the situation
in certain regions,’ he added.

At the same time, Khandohii pointed out a special importance of
restructuring of the Ukrainian economy and improvement of investment
climate.

In his opinion, entry in the WTO will create the necessary conditions for
Ukraine’s entry in the zone of free trade with the European Union, and will
open Ukrainian market for investments.

Khandohii also expressed the importance of Ukraine’s entry in the free trade
zone for deepening economic relations with the European countries that are
not members of the European Union.

‘The point at issue is to fix Ukraine in Europe’s business space, and
today’s entry in the WTO provides the chance of doing so,’ he added.

As Ukrainian News reported, the United States’ Ambassador to Ukraine William
Taylor says that the new Ukrainian parliament should accelerate adoption of
a decision on admission of Ukraine into the World Trade Organization.

Ukraine’s representative to the WTO headquarters in Geneva (Switzerland)
Volodymyr Baluta has forecast that Ukraine will join the organization in the
fall of 2008.

The Ukrainian Cabinet announced that it had reached agreement on a WTO
accession protocol with Kyrgyzstan, which was the last country with which
Ukraine needed to reach the agreement.  The Cabinet of Ministers is aiming
to complete preparation of a final report on admission of Ukraine into the
WTO in late November.
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9. AZAROV ORDERS UKRAINIAN DELEGATION TO AGREE WITH
KYRGYZSTAN’S CONDITIONS AT TALKS ON JOINING WTO

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

KYIV – First Vice Premier and Finance Minister Mykola Azarov has ordered

a Ukrainian delegation, which holds talks on joining the World Trade
Organization (WTO) with Kyrgyzstan in Geneva, to agree with the Kyrgyz
conditions.

“I can say that I ordered our delegation to agree with all conditions, which
proposes Kyrgyzstan concerning joining the World Trade Organization,” he
told the press on October 29.

Azarov said that the two countries have almost a zero turnover, and the
country would loose or win few things from signing an agreement with
Kyrgyzstan under any conditions.

He said that Kyrgyzstan has already said that the country does not link
Ukraine’s joining the World Trade Organization with settling debt
commitments between the two countries, and it is ready to concentrate on
problems of the bilateral agreement. “There is a possibility to sign a
bilateral agreement in a month or two,” he said.

As reported, on October 23, Ukrainian Economy Minister Anatoliy Kinakh said
Ukraine would sign an agreement with Kyrgyzstan as part of its accession to
the World Trade Organization by the end of 2007.

The minister noted that Ukraine had already drafted a draft of the
respective memorandum, in which the country is ready to cooperate on
humanitarian issues, technical aid, and joint participation in investment
projects with Kyrgyzstan.

The Ukrainian government has many times reviewed forecasts for Ukraine’s
accession to the World Trade Organization, last time the forecast for the
second half of 2007 was made in summer.

The endorsement of necessary bills and the signing of bilateral agreements
on the access to the goods and services market with WTO member states, apart
from Kyrgyzstan, were completed in late 2006.

Ukraine’s Economy has forecast that the country would join the World Trade
Organization by 2008. In May, Ukraine’s parliament adopted a number of laws
necessary for the country’s accession to the World Trade Organization.
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10.  UKRAINE’S CONSENTING TO KYRGYZ DEMANDS ON WTO
ACCESSION COULD PROVOKE ADDITIONAL CONDITIONS
FROM OTHER TRADE PARTNERS, SAYS EXPERT

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

KYIV – If Ukraine agrees to all of the terms from Kyrgyzstan for gaining
membership of the World Trade Organization, which concern the settlement of
debts, this could provoke a number of additional demands from other trade
and economic partners, president of the anti-crisis research center Yaroslav
Zhalilo has said.

“It is unnecessary to make concessions only to Kyrgyzstan. If Kyrgyzstan
wants to set a zero import rate for some goods, this means that we also
agree to such a rate for all of our trade partners,” he said in an interview
with Deutsche Welle on Wednesday.

Zhalilo said that Ukraine would join WTO countries only in the autumn of
2008, adding that a date of Ukraine’s gaining access to the organization
would depend on the government forming its future policies.
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11. WORLD BANK IMPROVES 2007 GDP FORECAST FOR UKRAINE 
Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

KYIV – The World Bank expects that GDP growth in Ukraine in 2007 will be
6.7%, while earlier the forecast was 6%.

According to a World Bank report, the index of consumer prices is expected
to grow by 12.5% in 2007, though the bank’s previous forecast was 9.7%.

According to the bank, in 2008, 2009 and 2010, Ukraine’s GDP is expected to
grow by 5.5%, 5% and 5% respectively. Inflation in these years is expected
to be 9.6%, 8.3% and 7.4% respectively.

Earlier this year, in July, the World Bank reviewed its forecast for
Ukraine’s real GDP growth in 2007 upwards from 5.5% to 6%, while the
inflation forecast was changed from 10.9% to 9.7%.

Ukraine’s real GDP growth was 7.1% in 2006, while in 2005 it was 2.7%. The
government forecasts a GDP growth slowdown to 6.5% in 2007, along with a
fall in inflation from 11.6% to 7.5%.

The Ukrainian and international expert centers that draw up consensus
economic projections under the aegis of Ukraine’s Economy Ministry have

also improved their GDP forecast: in October their forecast for GDP growth
for 2007 was 7%, while in July it was 6.9%, according to a posting on the
Ministry’s official Web site.

However, the ministry said that the inflation forecast for 2007 had risen in
October to 11.6% from 8.6% in July.

According to an October consensus projection, GDP growth in 2008 will be
6.4% with 9.8% inflation, while in July 2007 these figures were 6.4% and
7.9% respectively.

The forex exchange rate by late 2007 will be UAH 5.05/$1, while in July it
was forecasted at UAH 5.07/$1, and by late 2008 it will be UAH 5.06/$1

(UAH 5.11/$1).

At the same time, World Bank experts stress that it would be expedient to
make the exchange rate of the hryvnia, Ukraine’s national currency, more
flexible, as the revaluation of the hryvnia could slow the pace of inflation
in the country.

Although Ukraine was possibly not ready for a shift to a free floating
exchange rate, the revaluation of the hryvnia could, under current
conditions, treat the fever on the markets, an expert said.

Describing Ukraine’s banking sector, Ruslan Piontkovsky, an economist of

the Ukrainian office of the World Bank, said that difficulties in accessing
foreign financial resources would slow the development of the Ukrainian
banking system in 2008.

“The pace of the growth in domestic credits from foreign finance will slow.
Next year and in future we will probably see slowed growth in banking
indicators,” he said at a press conference on November 1.

He said the Ukrainian banking system would grow faster than in other
countries but slower than in Ukraine in this, and previous years.
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12.  PEPSIAMERICAS & PEPSICO JOINTLY ACQUIRE REMAINING
INTEREST OF LEADING JUICE COMPANY, SANDORA, IN UKRAINE 

Business Wire, MN & NY, Tuesday November 6, 2007 

MINNEAPOLIS & PURCHASE, N.Y.- PepsiAmericas, Inc. and PepsiCo today
announced that they have completed the joint purchase of the remaining 20
percent of Sandora, LLC (“Sandora”), the leading juice company in Ukraine.

The acquisition for a total purchase price of $136.7 million completes the
transaction and provides PepsiAmericas and PepsiCo with a strong platform
for growth.

PepsiAmericas and PepsiCo originally purchased an 80 percent interest in
Sandora through a joint venture in August 2007. PepsiAmericas holds a 60
percent interest in the joint venture, and PepsiCo holds 40 percent.

The transaction is not expected to have an impact on PepsiAmericas’ nor
PepsiCo’s previously announced earnings per share guidance for 2007.
PepsiAmericas consolidates the joint venture into its financial results on a
one-month lag basis.
ABOUT SANDORA
Sandora has established itself as the leader in the high growth juice
category with a range of distinctly positioned brands that represent
approximately half of the total juice volume consumed in Ukraine. With over
3,500 employees, Sandora has a powerful sales and distribution organization
and two modern production facilities located in Nikolaev.
ABOUT PEPSIAMERICAS
PepsiAmericas is the world’s second-largest anchor bottler in the Pepsi
system and in the U.S. serves a significant portion of a 19 state region,
primarily in the Midwest.

Outside the U.S., the company has operations in Europe and Caribbean,
specifically in Poland, Hungary, the Czech Republic, Republic of Slovakia,
Romania, Ukraine, Puerto Rico, Jamaica, the Bahamas, and Trinidad and
Tobago.

The company also has distribution rights in Moldova, Estonia, Latvia,
Lithuania and Barbados. The company serves areas with a total population of
more than 150 million people. PepsiAmericas manufactures, distributes and
markets a broad portfolio of PepsiCo and other national and regional
beverage brands. For more information, please visit www.pepsiamericas.com.
ABOUT PEPSICO
PepsiCo (NYSE:PEP – News) is one of the world’s largest food and beverage
companies, with 2006 annual revenues of more than $35 billion. The company
employs approximately 168,000 people worldwide, and its products are sold in
approximately 200 countries. Its principal businesses include: Frito-Lay snacks,

Pepsi-Cola beverages, Gatorade sports drinks, Tropicana juices and Quaker
foods.

PepsiCo is listed on the Dow Jones North America Sustainability Index and
Dow Jones World Sustainability Index. For more information, please visit
www.pepsico.com.
CAUTIONARY STATEMENT 
This release contains forward-looking statements of expected future
developments, including expectations regarding anticipated earnings
associated with the Sandora acquisition.

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13.  WNISEF BOARD MEETING & BRIEFING IN WASHINGTON
Have raised a follow-on private equity fund of $130 million

U.S.-Ukraine Business Council (USUBC), Wash, D.C. Mon, Nov 5, 2007

WASHINGTON – The Board of Directors of the Western NIS Enterprise
Fund (WNISEF) met in Washington, DC on October 30, 2007.  While in
Washington the top management of WNISEF, along with the board,
provided financial highlights from the past year at an informal luncheon
briefing attending by officials of the U.S. government, Ukraine Embassy,
think-tanks. businesses and other organizations interested in Ukraine.

Natalie Jaresko, President and Chief Executive Officer said, “In 1995 when
Ukraine and Moldova were in the early years of their transition to a market
economy, WNISEF set upon a path to help these economies build a strong
private sector. A great deal has changed in the region since that time.

“A substantial M&A market has developed in Ukraine; foreign direct
investment and fixed capital investment overall are rising dramatically. The
banking sector of both Ukraine and Moldova is growing rapidly along with
consumer disposable income.

“This year we opened a new chapter in our effort to fulfill our mission. We
succeeded in raising a follow-on private equity fund of $132 million in less
than a year based on the team’s experience and expertise, as well as the
region’s promise.”

Mark Iwashko, Executive Vice President and Chief Investments Officer
stated, “WNISEF has completed its twelfth full year of operations in
the region with over $130 million invested in 31 companies in Ukraine and
Moldova since inception and a second, private $132 million fund almost
fully invested.

Our track record is proof to the marketplace that profitable investments
can be undertaken in this region and, as a result, create the human,
technological and investment capital needed to sustain these market
economies.”

WNISEF was established by the U.S. Congress and funded by the U.S.
government via U.S. Agency for International Development (USAID).

WNISEF is managed by Horizon Capital, a private equity fund manager
that originates and manages investments in mid-cap companies with
outstanding growth and profit potential in Ukraine and Moldova.

Horizon Capital team currently manages two funds, Emerging Europe
Growth Fund, LP (EEGF) and Western NIS Enterprise Fund (WNISEF).

Horizon Capital Advisors, LLC-Emerging Europe Growth Fund is
a member of the U.S.-Ukraine Business Council (USUBC). Natalie
Jaresko, Managing & Founding Partner, is a member of the USUBC
board of directors.  USUBC was represented at the WNISEF briefing
by its president, Morgan Williams.
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LINK: www.wnisef.org; LINK http://www.horizoncapital.com.ua/
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14.  UPS JOINS THE U.S.-UKRAINE BUSINESS COUNCIL (USUBC)

U.S.Ukraine Business Council (USUBC), Wash, D.C. Wed, Nov 7, 2007

WASHINGTON – The Executive Committee of the U.S.-Ukraine
Business Council (USUBC) is pleased to announce that UPS has
just been approved as the forty-ninth member of the USUBC and
is the twenty-seventh new USUBC member this year.

USUBC met with Arnold F. Wellman, Vice President, Corporate
Public Affairs, Domestic/International, in Washington. Mr. Wellman
confirmed the very strong business interest UPS has in Ukraine and
the desire of UPS to become a member of USUBC.

Morgan Williams, SigmaBleyzer, president of the USUBC said
Mr. Wellman will represent UPS on the USUBC board of directors.

The USUBC welcomes UPS into our rapidly growing membership.
UPS has over 300 employees in Ukraine and provides services to
many Ukrainian cities.

UPS was founded in Seattle, Washington on August 28, 1907 and
thus are celebrating 100 years of service.

Mr. Wellman has been to Ukraine many times and just recently
returned from a one week trip there. Arnold many times goes to the
Ukrainian village of Nizankowice, on the far western border near
Poland, where he works on a People-To-People project UPS has
implemented to support the development of the local school and
also to provide computers and satellite Internet connection.

UPS also has a People-To-People project in the neighboring small
villages of Lipa and Sierakosce, Poland. Last year, 80 UPS employees
from 11 countries built a fully functioning 38-foot by 42-foot computer
lab, complete with high-tech computers, printers, software, and training
for students, teachers, and residents in Lipa.

The People-To-People project is a part of UPS’ unique strategy to
personally get to know and understand the residents of a rural
community in a country where the company is doing business.

UPS has adopted a distinctly different approach to entering a new
market by encouraging its employees to immerse themselves in the
local culture as they work side-by-side with residents of the community
to improve their way of life.

The UPS Foundation enables nonprofit organizations to serve
communities more effectively around the world.  The UPS
Foundation’s global giving focus addresses three areas:  literacy,
hunger and volunteerism (www.community.ups.com).
TWENTY-SEVENTH NEW MEMBER FOR THE USUBC —-
UPS is the 27th new member for the U.S.-Ukraine Business Council
(USUBC) in the last eleven months and brings the Council’s total
membership to forty-nine. Information about the USUBC can
be found on the website: www.usubc.org

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
Ukraine Monthly Macroeconomic Report From SigmaBleyzer:
http://www.sigmableyzer.com/index.php?action=publications 
========================================================
15.  CAPITAL FLIGHT: UKRAINE’S GAS PRICE CONTROLS

PUSH U.S. FIRM CARDINAL OUT

Behind the Breaking News, Briefing: By Tammy Lynch, Senior Fellow
Behind the Breaking News, Volume VI, Number 1,
Institute for the Study of Conflict, Ideology and Policy,
Boston, MA, Thursday, 1 November 2007

In the midst of Ukraine’s ongoing political negotiations to create a new
government, a number of worrying signs for the country’s potential investors
have gone almost unnoticed internationally.

During the last two weeks, an independent US energy firm chose to leave the
country, while a military-style raid on a major oil refinery called into
question the country’s ability to enforce the rule of law.
CARDINAL RESOURCES
On 30 October, Cardinal Resources plc announced plans to sell its Ukrainian
assets.  The US-owned corporation was one of the first independent oil and
gas exploration firms to invest heavily in Ukraine 10 years ago, drawing
largely from US investors.

Its experience speaks volumes about the difficulties of working in an
environment that provides no legitimate avenues for influence on government
decisions and no clear rule of law.

According to Cardinal CEO Robert Bensh, his company’s exit from the country
is necessary because government price controls and increased fees make it
impossible to earn a profit – or even to break even. The company, he said,
“can’t generate any revenue because of capped prices.”  (1)

Bensh said the sale of the company’s interests was the only viable option
available, with bankruptcy protection being the company’s sole  alternative.
(2)  The Kuwait Energy Corporation (KEC), which bought Cardinal’s assets for
$71 million, will take over the company’s share in the operation of four gas
fields and three licenses in Ukraine.

According to those close to the operation, Cardinal had intended to invest
roughly $100 million in further exploration, in an attempt to increase
Ukraine’s domestic gas production.  The country now depends on Russia’s
Gazprom for 85% of its gas.  KEC likely will move forward with these plans,
after a pause to allow more favorable conditions to develop.

Investors are waiting, said Bensh, and are hopeful for more favorable
conditions under the new government, which should be confirmed by
mid-November. Regulations have “stopped most foreign investment” in the
energy field, leaving the country “18 months behind” where it would have
been, he said. (4)
DECREE 31
Cardinal’s difficulties began in December 2006, when Ukraine’s government
included a new regulation for international and domestic businesses in its
2007 state budget.

The regulation specifies that all companies in joint-ventures with
state-owned enterprises must sell their products to one state-designated
company at a fixed price. (5)

In February 2007, Ukraine’s government enacted the widely condemned “Decree
31.”  This measure forces energy companies like Cardinal to sell its product
to the state-owned Naftohaz Ukrainy, at a price set by Naftohaz Ukrainy.

The price offered was approximately $1.50 mcf (1 mcf=1,000 cubic feet).
This price is almost 300 times lower than the market price of around $4 mcf
for which Cardinal sold its product in 2006, before the new regulations.  It
is also below Cardinal’s production costs of $1.70 mcf. (6)

At the same time, the cabinet raised taxes and royalties on profits for most
companies operating in Ukraine to 30%-50% of gross profits.  It, therefore,
became impossible for Cardinal and other similar companies to break even,
let alone to make a profit.

In response, Cardinal repeatedly met with Ukraine’s officials, including
Fuel and Energy Minister Yuriy Boiko, to urge them to rescind Decree 31 and
return to market pricing. Cardinal representatives also say they sought
assistance from US government officials, but to no avail.

Another oil and gas exploration firm, Europa Oil and Gas plc, went to court
following the passage of Decree 31.  The company won its case based on
Ukrainian legislation governing foreign investment that guarantees the right
to sell at market prices.

The court ruled that the company could sell its gas at market prices, but it
has been reported that the government is simply ignoring the ruling. (7)

In response, several production companies attempted to stop selling their
gas domestically, pumping it into storage instead.  Cardinal received
information, however, that its gas has been taken from storage by Naftohaz
Ukrainy.  The company has been unable to confirm this report. (8)

Bensh and others interviewed for this article suggest several reasons for
the government’s actions:

First, Decree 31 was passed during the pre-election season.  By capping gas
prices, Yanukovych could guarantee low domestic prices for a limited time.
The increased taxes also could be used to help maintain budget expenses,
which ballooned prior to the election.

Second, some suggest that companies like Cardinal and Europa have been
caught in a larger struggle between Ukrainian business interests for control
of both Ukrnafta, Cardinal’s state-owned joint venture partner, and the
country’s overall gas network. The gas network is Ukraine’s most lucrative
asset, generating up to a quarter of the country’s GDP.
UKRNAFTA
In 2006, Ukrnafta produced 70% of Ukraine’s total oil and gas condensate and
16% of its natural gas output, according to a May 2007 report from Dragon
Capital.   (9)

Although the state owns a 50% + 1 share in Ukrnafta, it has been de facto
controlled by Pryvatbank (a subsidiary of the Pryvat Group), which
technically owns only 42%.

The CEO of Pryvatbank/Group, Ihor Kolomoisky, controls the Ukrnafta board
and most of its assets. This is thanks to former President Leonid Kuchma,
who reportedly allowed Pryvat “free rein in directing Ukrnafta,” and who
allowed Kolomoisky to install personnel loyal to him. (10)

Those close to the situation suggest that Yanukovych’s government may have
attempted to dilute Kolomoisky’s control over Ukrnafta through various
techniques, in order finally to assert the state’s majority interest.  Those
techniques appear to include minimizing Ukrnafta’s profits through Decree
31.

According to Ukrainian investment firm Concorde Capital, Ukrnafta has
suffered significantly from the price caps imposed by Decree 31 and by an
increase in their tax and royalty payments to 50%.

Like Cardinal, Europa and others, Ukrnafta has been unable to profit from
sales of its product. The company reported a 48% year on year drop in 9M
EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization).
(11)
KOLOMOISKY VS. FIRTASH
This drop in revenue has allowed fellow oligarch Dmitro Firtash to gain a
foothold in Kolomoisky’s interests. Firtash controls the gas distribution
company Ukrgazenergo – a subsidiary of gas intermediary RosUkrEnergo

– and Ukrnafta’s direct competitor. His interests are primarily co-owned with
Russia’s Gazprom.

Firtash has pushed in the last year to dominate Ukraine’s entire gas system,
from extraction to production to distribution.  The government’s new
regulations have (possibly unintentionally) assisted him, as his
international gas sales have cushioned his companies from the cap on
domestic prices. (12)

All of this reportedly has forced Kolomoisky into a deal.  Firtash now is
said to have taken over the controlling share of Ukrnafta.   This
information could not be confirmed.

If it is true, one company, backed by Russia, may now control Ukraine’s
entire gas system, with only the pipelines remaining clearly under state
control.  The most important effect of Decree 31 may be a lessening of the
already limited competition that existed in the gas sector.
THE POLITICAL RESPONSE
This is an issue that likely will be one of the first on the agenda of the
new Ukrainian government of Yulia Tymoshenko.  At an investor event in
September, Tymoshenko suggested that the state must create more effective
competition in the energy field.

She also stated that she would initiate a complete overhaul of business
regulations, with many simply being removed.  In particular, when asked
about “Decree 31,” she said, “Without question, that has to go.  It can’t
remain.  It’s not a complicated issue.”  Further, “We need market
mechanisms.” (13)

Tymoshenko and her allies also have expressed concern at the increasing
number of “corporate raids” on large companies, and the effect of these
raids on the energy market.  The raids have affected at least two of the
country’s oil refineries, as businesses fight for control of production
capacity.
THE RAID ON KREMENCHUG
Just two weeks ago, a group of “private security guards in camouflage
uniforms” arrived at the Kremenchug Oil Refinery, located in Ukraine’s
Poltava Oblast, and physically took control of the plant.

The CEO who has run the plant since 2004 was removed, while the former

CEO (from 2004) was reinstated. The Ukrtatnafta corporation, which is largely
owned by Russia’s Republic of Tatarstan and which controls the plant,
immediately stopped supplying the refinery with oil. (14)

Since the refinery provides up to 50% of all domestic oil products, the
price for petrol and other oil products in Ukraine has begun to increase.

Pavlo Ovcharenko, the CEO reinstalled by armed guards, claims he was
reinstated to the position thanks to a court order.  That court—located in
another oblast—reportedly ruled that 18% of the shares in Ukrtatnafta, which
are controlled by companies friendly to Tatarstan’s interests, should be
transferred to the state, giving it control.
CORPORATE RAIDING AND CORRUPTION
In its report “Corruption, Democracy and Investment in Ukraine,” The
Atlantic Council of the United States identified “raiding” as one of the key
areas of corruption in the country. (15) Various sources suggest that, in
the last two years, from 2,000-3,000 raids have occurred against major
corporate entities.

 In essence, the money (or to be blunt, bribes) reportedly paid for court
decisions and for the passivity of law enforcement officials, which
facilitates the raids, undermines the country’s entire system of rule of
law.

During a telephone conference call on 28 October, former (and likely future)
Finance Minister Viktor Pynzenyk (BYUT) identified both arbitrary
regulations and corporate raiding as the largest detriments to foreign
investment in Ukraine.

“The goal [of the new government] is to give all investors access, and we
would also like to introduce legislation to prevent further spreading of
raiders’ attacks, against which ordinary investors are defenseless.” (16)

Despite all of these concerns, foreign investors continue to express
interest in Ukraine, and the economy continues to perform well, given the
pressures on it, growing at least 6% per year.

The number of small and medium businesses in the country is steadily
increasing, as they generally are untouched by the battles raging over
Ukraine’s largest assets, while market mechanisms show signs of taking root
in many sectors.

Cardinal Resources’ Robert Bensh said he is “encouraged” by the country’s
prospects.  Most who have suffered losses because of arbitrary decisions or
unworkable fees also seem to believe that these issues can be addressed,
even though valuable time and momentum already has been lost.

Large investors say they are waiting, but not turning away.  It will be up
to Ukraine’s next government to ensure that this optimism is not misplaced.
———————————————————————————————–
SOURCE NOTES:
(1) Bensh telephone interview with author, 26 Oct 07.
(2) Ibid.; (3) Ibid.; (4) Ibid.
(5) Taras Kuzio, “Yanukovych and gas price capping,” Kyiv Post, 15 Aug 07.
(6) Interview with Robert Bensh by Morgan Williams, US-Ukraine Business
Council, in the Action Ukraine Report, 12 Aug 07.
(7) Bensh, ibid and Kuzio, ibid.; (8) Bensh, ibid.
(9) Dragon Capital, Ukrnafta: Ukraine Equity Guide, May 07.
(10) Zeyno Baran, “Energy Reform in Ukraine: Issues and Recommendations,”
The Nixon Center, Mar 05.
(11) Concorde Capital, Ukrnafta: Under Review Alert, 29 Oct 07.
(12) Bensh, ibid.; (13) “Contract with Investors,” Yulia Tymoshenko,

Investor/Press Event, Kyiv, 10 Sep 07.
(14) Bloomberg, 1153 EDT, 19 Oct 07 via www.bloomberg.com.
(15) “Corruption, Democracy and Investment in Ukraine,” Policy Paper, The
Atlantic Council of the United States, Oct 07.
(16) Conference Call with Viktor Pynzenyk, hosted by Concorde Capital, 28
Oct 07.
———————————————————————————————
LINK: http://www.bu.edu/iscip/bbn.html
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16.  POLISH KITCHENWARE CO MOVES INTO UKRAINIAN MARKET

By Volodymyr Obolonsky, The Ukrainian Times
Kyiv, Ukraine, Monday, November 5, 2007

KYIV – The firm Zelmer-Ukraine, which is the subsidiary of the Polish
kitchenware manufacturer Zelmer, has started operating in Kiev.
Among Zelmer products are more than 40 models of vacuum cleaners,

microwave ovens, coffee makers, juicers and mixers.

Owing to high quality and reliability the Polish kitchenware find a market
in CEE countries. The receipts from export of Zelmer products amount to a
third. Established 70 years ago, the Polish enterprise has set up
subsidiaries in the Czech Republic, Slovakia, Romania and Russia.

According to the head of a Zelmer sales department, the tasks that face the
Kiev representative office are to promote Zelmer products on the Ukrainian
market, establish the system of servicing household appliances and organize
their production in Ukraine.
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17.  UKRAINE AGAIN POSTPONES INCREASE IN GRAIN EXPORTS 

Ukrainian News Agency, Monday, November 5, 2007

KYIV – The Cabinet of Ministers has postponed the start of exports of

1.203 million tons of grain from November 1, 2007, to December 31, 2007.

Ukrainian News learned this from resolution No.1287 of October 31 by the
Cabinet of Ministers, the wording of which was made available to the agency.

The document amends government resolution No.1179 of September 26
introducing that the export of 1.203 tons of grain was permitted from
November 1, 2007 to March 31, 2008. The resolution amends only the start

of grain exports.

The volume of allowed grain exports remains the same – 1.203 million tons,
as well as the date of the end of the exports – March 31, 2008.

As Ukrainian News earlier reported, the Cabinet of Ministers has permitted
to export 1.203 million tons of grain from November 1, 2007 to March 31,
2008.

In particular, the Cabinet of Ministers allowed export of 600,000 tons of
corn, 400,000 tons of barley, 200,000 fodder wheat of the sixth. Earlier,
the Cabinet of Ministers fixed quota for grain exports of 12,000 for
2007/2008 marketing year.

In particular, quotas were introduced in the volume of 3,000 tons for
exports of each culture: wheat, mixture of wheat and rye [meslin], barley,
corn and rye as of July 1 – October 1.
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18.  UKRAINE’S LARGEST RETAIL OPERATOR FOZZY

GROUP BUYS KIT SUPERMARKET CHAIN IN ZAPOROZHIE

Property Xpress, Sofia, Bulgaria, Thursday, November 1, 2007

KIEV – Ukraine’s largest retail operator Fozzy group signed last week an
agreement on the acquisition of Zaporozhie-based Kit supermarket chain.

This is the group’s second large-scale supermarket chain purchase within
a month, www.retai.net reports.

Velikaya Kishenya, Fourchet and Eco-Market were also bidders for taking over
the USD 30 mln Kit chain of 24 stores (17 in Zaporozhie, one in Berdyansk
and six more to be opened soon in different cities in the district).

 Kit supermarket network offers four store sizes: premium class
(Kit-Favorite supermarkets), the classical Kit, Hit mini market and cash &
carry Euro Kit. Middle and Middle + class clients are targeted by the chain.

The first Kit supermarket was opened in August 1999. The company registered
EUR 44 mln turnover for 2005, while the turnover for 2006 was unofficially
estimated at USD 78 mln. The company’s General Director Tim Samarskiy, a
member of Zaporozhie City Council, is the main shareholder of the chain.

According to experts, the reason for the Kit network acquisition is the
tough competition on the Zaporozhie market. The transaction allows Fozzy
Group, operator also of four Silpo stores in Zaporozhie and one in each of
cities like Berdyansk, Militopol and Dneprorudniy, to become leader of the
local market.
———————————————————————————————-
LINK: http://www.propertyxpress.com/getnews/0000003593
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19.  SWEDISH RETAILER IKEA BUYS LAND IN KIEV
Plans four mega commercial centers in Ukraine’s regions.

Property Xpress, Sofia, Bulgaria, Tuesday, October 30, 2007

KIEV – IKEA, Swedish largest furniture retailer, has acquired a 20 ha
land lot in the Ukrainian capital. According to market players the deal is
estimated at USD 50 to 80 mln. The land is in Kiev’s Podolsk section,
Building reports.

IKEA branch promised to comment on the transaction later. Earlier, Per
Kaufmann, General Director at IKEA for Russia and CIS, noted that the
company will acquire its first parcel for construction of a commercial
center near Odessa.

As indicated in Property Xpress, by the end of this autumn, IKEA will sign
a contract with the European Bank of Reconstruction and Development
(EBRD) on receiving a USD 100 mln loan.

According to the documentation, the loan is a part of a USD 414 mln plan
for construction of four mega commercial centers in Ukraine’s regions.

Anchor tenants in these commercial centers will be IKEA furniture outlets.
The entire project is due for completion within two years. IKEA Group,
founded in 1943, has a commercial center network of 223 outlets in 24
countries. Besides this, 30 stores, managed by private franchisees, operate
in 16 countries.
———————————————————————————————
LINK: http://www.propertyxpress.com/getnews/0000003568
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20.  UKRAINE: SETTING THE INVESTMENT AGENDA

Bloc of Yulia Tymoshenko (BYuT) Newsletter Issue 52
Kyiv, Ukraine, Tuesday, November 6, 2007

Despite its growing economy, Ukraine still languishes behind many former
Soviet bloc countries in Eastern Europe when it comes to attracting
entrepreneurs. According to a report published in the Economist, Ukraine
lies in 70th place out of 82 countries surveyed.

Understanding the need to make Ukraine a more attractive proposition to
investors, Viktor Pynzenyk of the Bloc of Yulia Tymoshenko (BYuT) and leader
of the Reforms and Order Party took time to convey to western investors the
main thrust of BYuT’s economic policies.

The former finance minister held a conference call hosted at the offices of
Concorde Capital, one of Ukraine’s leading investment banks.

The call attracted representatives from more than 60 western funds and came
hot on the heels of a similar call hosted by Bear Stearns earlier last
month. Both interactions underline the investment community’s thirst for
information as it prepares to come to grips with the impending new
administration.

Business New Europe described it as “a slick performance by Pynzenyk, who
was on message to sell a transfer of power that should end in November with
Tymoshenko taking control as Ukraine’s new prime minister.”
PRIVATISATION POLICIES
Once questions on the timing and likely make-up of the new government were
out of the way the question on most people’s minds was privatisation policy
and whether a Tymoshenko-led coalition government would embark upon a
wholesale re-privatisation programme?

According to Concorde Capital: “On the topic of privatisation Pynzenyk’s
goal was clear: the only criterion for those wishing to take part in public
tenders was price, with assets going to the highest bidder. One of the main
goals of the new government will be providing greater access to all who wish
to take part in privatisation tenders.”

On the issue of re-privatisations, Mr Pynzenyk was equally emphatic. “Even
back in 2005, Yulia Tymoshenko’s Cabinet had no plans to revise the outcomes
of privatisations. Nor does Yulia Tymoshenko have plans like that today.

“What the government will do is to take corrective measures through the
courts and challenge certain privatisation projects,” he said. Mr Pynzenyk
made it clear that it should be a non-political issue with the matter left
to the courts to examine some cases where the tender process did not
correspond to the law.

The great irony is that Yulia Tymoshenko has never advocated a mass
privatisation programme. A news report in 2005 which suggested she advocated
reprivatising 3,000 companies was a cynical misrepresentation of the point
she was making, which was that unless there was clarity on the issue there
could be 3,000 disputes going through the courts which would harm investment
prospects.

Ironically, she was campaigning for the very thing her party has always
stood for: clear policy and the protection of property rights in accordance
with the rule of law.

Mr Pynzenyk’s tone underlined a maturity in the Orange camp that was not
lost on the audience. “Tymoshenko is pitching a new pragmatic stance and has
backed off from her fiery rhetoric,” commented Business New Europe.

Going forward Mr Pynzenyk promised that a Tymoshenko-administration would
end the crony-capitalism that characterised the Yanukovych-administration.
The entire process of privatisations and the sale of licenses will be
subject to open tenders and fair competition.
SIMPLIFY THE SALE OF LAND
This process will also be extended to the sale of land which Mr Pynzenyk
pledged would be “radically simplified” with land sold only after
pre-defining its purpose.

This will come as a relief to many and in particular to backers of
greenfield construction projects who will be able to invest with greater

confidence.

On the thorny issue of the sale of agricultural land, Mr Pynzenyk said that
the present moratorium was meant to be short-lived whilst the government
made important changes to agricultural property legislation. Rules for
altering land and the creation of a single unified land registry were
mentioned as regulations that must be adopted.
FAIR TAXATION
One of the objectives of the new administration will be to increase foreign
direct investment into Ukraine. Mr Pynzenyk recommended to “abolish all
taxes on investment” so as to create an even playing-field in which “all
investors should enjoy an equal standing.”

This would rule out special economic zones which, in the past, have been
havens for fraud and corruption. Also planned is a change in the way taxes
are collected with greater focus on businesses that deviate from the rules.

“Those companies that pay taxes in good faith should never see the face

of a tax inspector on their doorstep,” said Mr Pynzenyk.

In answer to a question on the exchange rate, Mr Pynzenyk said that he saw
significant appreciation potential for the hryvna, which he thought should
no longer be pegged to the dollar if the country wants to avoid inflation.
He advocates a more liberal exchange rate with an emphasis on inflation
targeting.

He endorsed the Central Bank’s policy in this respect and outlined the need
to slow external borrowing and focus more on the domestic market where

bank liquidity is high and has put heavy upward pressure on inflation.

The conference call underlined BYuT’s commitment to attracting foreign
investment and conveyed a strong message that a Tymoshenko-led
administration would have a positive impact on the investment climate.

Furthermore, it strengthened the arm of the growing band of revisionists by
dispelling the spin that has been skilfully applied in the past to black
paint Ms Tymoshenko’s economic and fiscal credibility.

Speaking after the call Mr Pynzenyk said, “It’s really quite simple when it
comes down to it; stability, transparency and accountability, that’s what we
stand for.”
———————————————————————————————–
Questions or comments? E-mail us at nlysova@beauty.com.ua
For the latest English-language news from BYuT visit www.ibyut.com

———————————————————————————————–
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21.  MCCONNELL: MY OPTIMISM IS THE PEOPLE OF
UKRAINE, ESPECIALLY THE YOUNG PEOPLE OF UKRAINE,
THEY WANT SOMETHING BETTER FOR THEIR COUNTY

COMMENTS: By Robert McConnell, Attorney
2007 Convention Gala of the Ukrainian-American Bar Association
Washington, D.C., Saturday, September 22, 2007
Action Ukraine Report (AUR) #888, Article 21
Washington, D.C., Wednesday, November 7, 2007

Thank you for that introduction Andrij (Steckiw) – – I must admit that it
has been a number of years since I joined you at one of these events.

And as I reflected on those years in the early 1990s when I was a regular
attendee at UABA functions I was also reminded of the early days of
Ukraine’s coming out from behind the Iron Curtain.

As Judge Futey and Taras Szmagala and some of the others here tonight know,
my wife Nadia – who is in Kyiv tonight – and I, along with several others
brought the first republic-specific delegation of officials from the Soviet
Union to the United States in 1991 – it was a delegation of 13 members of
the Rada for two weeks in the United States for a program on the American
System of Governance.

During that trip one of the sessions was in the United States Supreme
Court – lunch with Justice Sandra O’Connor followed in one of the Court’s
wonderful conference rooms then-Solicitor General of the United States,
Ken Starr.

Ken explained the role the Solicitor General plays as a bridge of sorts in
the intra-branch relationship between the Executive and the Judiciary in our
system.  In his talk he used an example of a case he had recently argued
before the Court.
REKINDLED UKRAINIAN PRIDE
To put this story in perspective remember that Ukraine was still part of the
Soviet Union, Ukraine’s blue and yellow flag was not yet legal but it was
being displaying in Kyiv and across Ukraine more and more.

Rekindled Ukrainian pride was emerging and the flag was a big part of that
phenomena.  All of the deputies present were proud of that blue and yellow
flag.

The example Ken used was a recent flag burning case he had argued.
Essentially he gave the delegation a summarized version of his case to the
Court – why the Court should uphold the law making the burning of the
United States flag a criminal offense.

He talked about the importance of the flag to the nation, about how it was
in the fabric of our society, how after an all night battle in Baltimore
harbor “by the dawn’s early light” the flag was still there, how the
pictures of the flag raising over Iwo Jima lifted the nation and made us
believe the war in the Pacific could be won.  Our flag was sacred and not
to desecrated.

You could watch the faces of the deputies – – you could see that they were
“into” Ken’s argument, approved of every point and emotion.

But then Ken said, “But the Court has ruled and it ruled that I was wrong.”
You could see the deputy’s faces fall. Ken explained that the Court ruled

that the principal of freedom for which the flag stood was more important
than the symbol itself.

You could watch the deputies.  Intellectually you could see that they
understood the point but they didn’t like it, their emotions were in
dissent.

I think reflecting on that story is relevant today maybe as much as it was
in the early 1990s.   It was an example of the power of the rule of law and
the rule of law continues to be elusive in Ukraine – painfully so.
A STORY FROM THE ORANGE REVOLUTION
With the voting in the parliamentary elections coming up in a few days I
offer tonight a few reflections on the political situation and possibly a
few ideas for the Association.  But first I reflect on one – just one –
story from what was popularly called the Orange Revolution.

As we all know, upon the conclusion of the initial Presidential election in
2004 the ruling party declared its candidate, Viktor Yanukovych, the winner.

Tens of thousands of peaceful demonstrators filled the streets of Kyiv
protesting the rigged election and the country’s general and rampant
corruption – and abuse of authority by those in power.

Soon many Ukrainian television reporters were on strike, protesting
government pressure to slant the news coverage.  The major media bosses
blacked out coverage of the huge popular demonstrations.

It seemed as if no one was left with access  or the courage – to speak out
and tell the nation the truth on the largest media outlets in the country.

But as The Wall Street Journal reported, the Kuchma government had not
counted on Natalia Dmytruk – as Bohdan Futy and Terry Szmagala know,
you can’t count of my pronunciation of Ukrainian names – you are simply
going to have to accept my version.

Ms. Dmytruk, a sign-language interpreter at Ukrainian state television
network, “. adopted guerilla tactics to break the information blockade.
Conspiring with her makeup artist, (she) tied an orange ribbon inside her
sleeve.

Then, after interpreting the news broadcast for the deaf, (she) bared her
wrist. ‘Everything you have heard so far on the news was a total lie,’ she
told viewers in sign language. ‘Yushchenko is our true president.  Goodbye,
you will probably never see me here again.'”

Ms. Dmytruk was immediately greeted with hugs from her colleagues and
word spread rapidly.  The station’s technicians and the staffs of the daily
children’s show and other non-political programs decided to join the strike
over media coverage.

Happily the forces of democracy gained ground and essentially backed by the
Rada and the Constitutional Court there was, as we all know, a revote and
Viktor Yushchenko became Ukraine’s president.
THE HEROES OF THE ORANGE REVOLUTION
My point here is that Ms. Dmytruk and thousands like her who stood up to
the corrupt authorities were the heroes of the Orange Revolution.  The
beneficiaries of their demands for change may have been the politicians on
the stage of the Maidan, but the heroes were the citizens of Ukraine.

They showed a shocking collective drive toward self-determination and a
refusal to accept the top-down power structure that had essentially carried
forward from Soviet days.

The popular mandate for the Orange leadership was therefore to govern on
the basis of the rule-of-law, a mandate the new president and government
pledged to respect in their bid to build a country worthy of its rich
European heritage.  The world applauded and anticipation grew inside

and outside Ukraine.

I believe it is fair to say Ukrainian-Americans were euphoric over the
anticipated release of what was believed to be the long suffering and
hostage Ukrainian potential.

Well, as we have seen – and as we really should have anticipated – nation
building is not that easy, nor is systemic corruption shed so quickly.
LEGAL REFORM WAS A KEY PRIORITY
Legal reform was a key Orange priority.  Yet nothing was done – nothing.

As a result, the first year of the new presidency saw inconvenient court
rulings, such as the one by the Supreme Court annulling the removal of the
Kyiv oblast governor, not only ignored but used as a pretext for attacking
the credibility of a widely corrupt legal system.

And this continual criticism was never counterbalanced by any positive moves
to improve the performance of the courts through systematic reforms.

In the Rada – OH, in the Rada – the obvious public corruption is the type of
thing we would see here on Saturday Night Live.

The constitution forbids deputies voting any voting cards but their own –
and yet national television coverage of the Rada sessions often show very
few deputies present during voting and party and faction leaders standing in
front of the voting machines voting – card, after card, after card.

How can the citizens of Ukraine take seriously the rule of law when law
makers themselves offer not even a public pretext of adherence to
constitutional restrictions?

It is shameful and certainly not limited to any party or faction.  This
blatant disregard for the laws governing voting is universal in the Rada.
So, the great and exciting promises of the Maidan remain unfulfilled.

Without pointing fingers and analyzing who did and didn’t do what and where
fault might lie the reality is that corruption remains, lines blur between
good and bad, right and wrong, personal egos and personal agendas reign
supreme in a patchwork of alliances that are hard to believe and constantly
shifting.  And, for emphasis here, I reiterate – a legitimate rule of law at
best remains elusive.

Among the political elite there is ambivalence toward the constitution, an
almost comical disregard for the nation’s laws and any real pretence of
governance according to law.  Orange has morphed into blue and then into a
kaleidoscope of confusing and contradictory political colors.

This is all fed by the continuing thrashing about of Ukraine’s government
and politicians – the internal jousting of the original Orange coalition –
and to me the bazaar return to power of Viktor Yanukovych.
DISAPPOINTMENT, FEELING OF BETRAYAL
Obviously there is disappointment and a feeling of betrayal among those who
took to the streets, slept in tents, froze through the nights and spread out
across Ukraine to campaign and monitor the Presidential revote.

And here in the United States you can see and you can feel that a very
similar fatigue that has set in within the community and here in Washington.
Exciting promises dashed has a way of doing that.

And, I believe it is quite fair to say that the upcoming parliamentary
elections offer little to no hope of breathing life into the promises of the
Maidan, and they certainly offer no promise of a renewed effort to establish
governance under any true rule of law.

All parties to the latest political crisis have shown few qualms in using
courts at all levels as an instrument in the pursuit of narrow
party-political goals instead of striving to ensure the development of the
courts as genuine arbiters of Ukraine’s still relatively fragile democracy.
I AM OPTIMISTIC, UKRAINE IS CHANGING
But, despite all I have said and how I have sounded here, I am optimistic.

Ukraine is changing.  One of the lasting political gains of the Orange
Revolution is that all political forces now understand that they do have to
sell themselves to the public – voters matter.

Given where Ukraine was this is a critical early step toward democracy and
it now is a permanent feature of the political fabric of Ukraine.

A next step is forcing those elected, through the institutions of civil
society and the rule of law, to implement the promises made.  This will be
more difficult.  And, I believe there is a definite role for
Ukrainian-American lawyers in helping Ukraine meet the challenges of this
effort.
NOT A TIME TO CLAIM “UKRAINE FATIGUE”
This is not a time to claim “Ukraine fatigue” and withdraw from the great
cause that has been the dream of many of you and so many of your parents
and grandparents.

As an American with no hyphen I also believe strongly that we cannot
withdraw from this great cause because the existence of a free, independent
and democratic Ukraine is in the United States’ national security interests.

You know back in early 1991 at one of your meetings another McConnell,
Nadia, spoke to you.  Not too long before we had established the
U.S.-Ukraine Foundation and set up offices here and in Ukraine.

Nadia suggested working together on programs relating to constitutional
reform and the rule off law.  Obviously since that time the Association –
and the Foundation – have carried out any number of programs and individual
members of the Association have been deeply involved in democratic
institution building programs in Ukraine.
NOT A SPORT, THERE ARE NO TIME OUTS
Yet I want to emphasize that building and maintaining a democracy and
governance under the rule of law is not a sport, there are no time outs,
there is no time clock.  There is no end. Here in the United States there is
a constant ebb and flow within our system.

There are groups like the Federalist Society that continually foster
wide-ranging debate on the great and on-going legal issues of the day –
making sure that our Constitution is honored and that the Constitution is a
part of all discussions about the evolutionary trends within the distinct
areas of our law. As one of our Founding Fathers said, “You now have

a democracy if you can keep it.”

This business of government – democratic government – whether here in the
United States or in emerging Ukraine is a serious undertaking that is never
easy. So why when I see so challenges and so much corruption and

ambivalence toward the rule of law in Ukraine do I remain optimistic?

As I said, elections are contested and politicians now have to pay attention
to the voters, they have to convince the electorate to vote for them.
MY OPTIMISM IS THE PEOPLE OF UKRAINE
But the real reason for my optimism is the people of Ukraine, especially the
young people of Ukraine.  They went to the streets and they see what is
going on and they want something better for their country.

When I monitored polling places in Eastern Ukraine, in Mr. Yanukovyich’s
hometown, during the 2004 revote we found a number of young college-age
students serving on the election commissions.

In fact in a number of polling stations we found college age Yushchenko
supporters who had traveled from central and western Ukraine and who had
been elected chairmen of the local election commissions.  Why?

Because, we were told, they came into town days before the revote,
introduced themselves, showed their credentials and showed that they clearly
understood all of the details of the election law and satisfied everyone
that all they wanted as a fair and honest vote. Honest, and thoughtful citizen

involvement – another key to successful democracy.

I see young people in Ukraine, following political events and seeing clearly
the continuing need for change.  I see lawyers persevering and trying to tug
and pull the processes toward governance under the law.

I see young Ukrainians here in Washington – interns, Fulbright scholars,
students – bright, inquisitive young people who have a grasp of what is
happening in Ukraine and can see clear comparisons from the perspective
gained during their time in the West.

And, most important, we see these young people not beaten down by Ukraine
fatigue but energized by their vision of what can be.  They are returning to
Ukraine and taking with them the knowledge and experiences they have
gained – – anxious to put those experiences to work in their country.
UKRAINE IS THEIR COUNTRY
And – it is important for us to remember – Ukraine is their country.  The
decisions about what the people of Ukraine want in and from their government
are theirs to make.  We should only assist and support their efforts – but –
we should assist and support and share our experiences.

You, the members of the Ukrainian-American Bar Association should – and I
believe have an obligation to – share your talents and experiences with
those who thirst for support, guidance, counsel and positive reinforcement.

Most of you – perhaps all of you – have seen the appreciation of the young
Ukrainians who listen to discussions of the law, its meaning, and its
indispensable value to fair and honest governance.   You need to be there
for them.

Surely there are any number of programs you can add to your arsenal from
your individual and collective experiences here.  I mentioned the Federalist
Society and its constant programs about the great legal issues of the day.

I don’t know how our continuing legal education-type programs might best
be adapted to the Ukrainian situation, but I must believe a thoughtful
national debate about the constitution and the rule of law could teach and

excite – yes, excite Ukraine.

Just think – what the printing and circulation of the Federalist Papers and
stimulating national debate over those papers did for the growth of our
nation?

I did not come here to design programs.  But I do want to call for continued
involvement and voluntary commitment from the Association and each of you.

The cause is just; the need is great; and the rewards can truly extend beyond

your beloved Ukraine to the United States and to the world.

Thank you (in Ukrainian)
God bless America And Slava Ukrainia. 

————————————————————————————————
NOTE: Robert A. McConnell, attorney, is co-founder of the U.S.-
Ukraine Foundation (USUF) and Vice President of Hawthorne & York
International Ltd. He is a former top official of the U.S. Department of
Justice.  He has spent endless hours over the past 20 years or more
working on behalf of an independent, democratic, prosperous Ukraine.
————————————————————————————————
FOOTNOTE: Subheadings inserted editorially by the Action Ukraine Report.

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22.  INTERNATIONAL 75TH COMMEMORATION EXHIBITION,

HOLODOMOR 1932-1933, TO BE HELD IN KYIV, AT UKRAINIAN
HOUSE FROM TUESDAY, NOV 20 TO THURSDAY, DEC 6

Action Ukraine Report (AUR) #888, Article 22
Kyiv, Ukraine, Wednesday, November 7, 2007

KYIV, Ukraine – The “We Accuse: Holodomor Genocide 1932-1933”
International Exhibition for the 75th Commemoration of the Holodomor

1932-1933 (induced starvation, death for millions, genocide) will be held
in Kyiv at the Ukrainian House from Tuesday, November 20 through
Thursday, December 6, 2007.

The Administration of President Viktor Yushchenko is in charge of the
exhibition which is under the direction of Ivan Vasiunyk, First Deputy

Head of the Presidential Secretariat, and Vasyl Vovkun, production
and artistic director.

The international commemorative and educational exhibition will feature
four individual Holodomor presentations which will be displayed for

seventeen days in the Ukrainian House in the center of Kyiv.
 
Historical and educational presentations will be made by the:
 
[1] Ukrainian National Institute of Memory, Ihor Yukhnovsky,
     Director;
 
[2] Ukraine 3000 International Charity Fund, Kateryna Yushchenko,
     Head of the Supervisory Board;
 
[3] Security Service of Ukraine (SBU), Valentyn Nalyvaichenko,
     Acting Chief, and by the 
 
[4] Holodomor Education and Exhibition Art Collection, Morgan
     Williams, SigmaBleyzer, Founder and Trustee. 
 
The National Institute of Memory will display their newly created
set of sixty-four panels/posters that tell the story of the Holodomor
in documents, historical data, testimonies, photographs and other
historical information. 
 
The Ukraine 3000 International Charity Fund will display a large
number of posters about the Holodomor created by students and
artists this year in response to a Holodomor poster contest organized
by the Ukraine 3000 Fund.  People attending the exhibition will be
able to vote for the posters they think are the most outstanding. 
 
The Security Service of Ukraine (SUB) will display their set of
over 60 panels/posters created from material in their archives about
the Holodomor such as historical decrees, letters, government
documents, photographs, and other items from the SBU archives.
 
The Holodomor Education and Exhibition Art Collection will display
over 100 original art works depicting the “Holodomor Through the
Eyes of Ukrainian Artists.”  The original artworks will include oil on
canvas paintings, black and white drawings, linocuts, paint on board
poster art and other graphical materials. 
 
Many of the artworks were created between 1989 and 1993, the first
years artists in Ukraine were ever allowed to deal with such subjects
as the major crimes of communism. Some of the poster art will
include works by students at the Art Academy in Kyiv created in
2006 and 2007 under the direction of Professor Vitaliy Shostia, a
program sponsored by the Holodomor Education and Exhibition
Art Collection. 
 
High school students from the Poltava Oblast will also have
some Holodomor works on display.  Movies and documentaries
will be shown throughout the seventeen day exhibition. Books
about the Holodomor will also be on display.  The exhibition will
be the largest Holodomor exhibition ever held in Ukraine and is
open to the public. 
 
Ukrainian President Viktor Yuschenko has called on the international
community and governments around the world to condemn the crimes
committed by the Stalin regime and to declare the Holodomor of
1932-1933 as a genocide against the Ukrainian people.
 
‘The crimes of the Stalin regime – the 1932-1933 famine-genocide in
Ukraine, the major terror of the 1930s – should be fully condemned by
the international community. It is the duty of all countries, political and
public forces that accept the values of democracy,’ Yuschenko said.
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23.  NOT TOO LATE: THREE MESSAGES IN UNESCO
RESOLUTION COMMEMORATING HOLODOMOR VICTIMS

By Mykola SIRUK, The Day Weekly Digest #33
Kyiv, Ukraine, Tuesday, November 6, 2007

On Nov. 1, 2007, the 34th General Conference of UNESCO, consisting of

193 countries, unanimously adopted the resolution “Remembrance of
Victims of the Great Famine (Holodomor) in Ukraine.”

Recalling the 1932-33 Holodomor, which claimed millions of innocent
Ukrainian lives, the UNESCO General Conference stated that the Holodomor
tragedy, caused by the cruel actions and policies of the totalitarian
Stalinist regime, should be a warning to the present and future generations
with the goal of upholding democratic values, human rights, and rule of law.

The Ukrainian media instantly noted that the word “genocide” is missing from
the text of the resolution. It is common knowledge that Ukraine insists that
the 1932-33 Holodomor be recognized worldwide as genocide of the Ukrainian
people.

During a press conference held by President Viktor Yushchenko of Ukraine,
attended by journalists from five Ukrainian print publications, The Day’s
correspondent asked the Ukrainian head of state to comment on the UNESCO
resolution and say whether he thinks it is in line with the Ukrainian vision
of the tragic events that occurred 75 years ago.
PRESIDENT VIKTOR YUSHCHENKO
“It is not too late. We must understand that informing the entire world
about the tragedy – the great famine of 1932-33 – is not a matter of one
calendar year. We should understand clearly that this issue entails very
many challenges that the Ukrainian nation is facing.

What happened yesterday (Nov. 1. – Ed.) in fact proves that the work that
Ukraine and its political forces and diplomacy have done in the past two
years has been duly recognized by 193 countries that passed a unanimous
decision yesterday. \

“It is very important for me that for the first time the world community has
passed such a high- level joint decision on recognizing the Great Famine of
1932-33.

This is the most important victory of yesterday. Other, more specific,
details of this tragedy are our future work. Excuse me, but if it took our
society 73 years to have a parliament that recognizes this as the Holodomor,
can we reproach the world?

“For 73 years we were afraid to say clearly that this is so, but now are
demanding that 193 countries do what the nation itself, Ukrainians
themselves, the leaders themselves did not have enough courage to do.

“I think we have received three messages.
[1] First, we have proved to the world that this is not an exclusive tragedy
of the Ukrainian nation: this is a tragic page that should be known and
commemorated throughout the world.

[2] Second, it is significant that the UNESCO General Conference is also
marking the 75th anniversary of this tragedy.

[3] Third, it is important that with this resolution UNESCO has recommended
that the signatory countries make sure that this course of history, this
truth, will be part of curricula and educational programs in every country
of the world so that they will better understand the tragic nature of this
event in Ukraine.

“I think these are the three strongest messages of which we can be proud.
For, above all, this is about our tragic history and the ideas that we would
like the world to accept.”
PROFESSOR STANISLAV KULCHYTSKY
We requested a comment from our regular contributor Stanislav Kulchytsky,
whose book “Why Did He Exterminate Us? Stalin and the Ukrainian \

Holodomor” was published this year in The Day’s Library Series.

“Online publications reacted to this event on the day it took place. Ukraine’s
Internet space is almost entirely filled with Russian mass media, so the
headlines typically said, ‘UNESCO fails to recognize the 1932-33 famine as
genocide.’ So The Day’s expert should comment on both the event and the
first reactions to it.

“This event was predictable. The international community expressed sympathy
with the Ukrainian people because this tragedy is now known to a certain
number of people who are shaping public opinion in every country.

“This is a major achievement for our diplomats, journalists, statesmen, and
academics. This is another step in understanding the tragic history of our
people by those who until very recently could not even find Ukraine on a
map.

“Following standard procedure, our diplomats drew up a draft UNESCO
resolution. The actual resolution included the most important provision of
the draft: an appeal to UNESCO member states to disseminate information
about the Holodomor by including it in educational and research programs so
that the generations to come will learn the lessons of this tragedy.

“It is also important that the recommended appeal was in the form of a
UNESCO resolution.

“In 2003 the UN marked the 70th anniversary of the Holodomor by adopting a
lower-status document – a joint statement by a group of countries. The
Ukrainian delegation’s attempts to grant the document resolution status were
thwarted at the time.

“Very soon, on the 75th anniversary of the Holodomor, Ukrainian diplomats
will again be urging the UN to recognize it as an act of genocide.

“We have a year during which the president of Ukraine intends to proclaim a
year in honor of the memory of Holodomor victims. I think we will do a lot
during that year to convey the magnitude of this tragedy to the Ukrainian
public and people in other countries.

Will these efforts be enough to convince Russian politicians and ordinary
people that the 1932-33 famine in the Soviet Union had a qualitatively
different form – the Holodomor – in Ukraine? I doubt it, and not because we
will be insufficiently convincing.

So far Russia and a large number of Ukrainians who support the Party of
Regions do not want to enter into a dialogue on this issue. This
unwillingness is linked with today’s circumstances, not with a different
viewpoint on the events of the 1930s. This is the main obstacle.

“What should be done in this situation? That which the UNESCO conference
unanimously advised us in the Holodomor resolution: to disseminate
information on the Holodomor by making it part of educational and research
programs.

“If the UN fails to recognize the Holodomor as genocide in 2008, which is
quite possible because of Russia’s negative position, we will go on working.

“All of us, in both Ukraine and Russia, must learn from the lessons of the
past. The past must not ruin our future, the lives of our children,
grandchildren, and great-grandchildren.”
————————————————————————————————-

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24.  GERMANY READY TO ASSIST IN DELIVERING TO
ITS CITIZENS
INFORMATION ABOUT 1932-1933 FAMINE 

Ukrainian News Agency, Kyiv, Ukraine, Tuesday, November 6, 2007

KYIV – Germany is ready to assist in delivering information about the

1932-1933 Famine in Ukraine to its citizens.

Ukrainian News learned this from the press service of the Ministry of
Foreign Affairs, which referred to a meeting between First Deputy

Minister of Foreign Affairs Volodymyr Ohryzko and Minister of State
of the Federal Ministry of Foreign Affairs of Germany Gernot Erler in
Germany.

According to the report, the officials agreed on the German ministry’s
assistance in the conduct of joint measures at parliamentary, academic
and non-governmental institutions with the aim of delivering objective
information about the 1932-1933 Famine to the public.

Additionally, the officials discussed the process of building a
parliamentary majority and the new government in Ukraine, Ukraine’s
entry to the European Union and NATO, bilateral relations.

Erler indicated hope for the soonest appointment of the Ukrainian
government and continuation of active cooperation in the areas
prioritized by both sides.

He further emphasized on Germany’s readiness to deepen bilateral
dialogue in implementation of Ukraine’s key foreign policy priorities.

As Ukrainian News earlier reported, on November 1, the 34th session
of the General Conference of UNESCO adopted a resolution on

commentating the victims of the 1932-33 Famine in Ukraine.

The Foreign Affairs Ministry presented the draft of the resolution on
infirming member-states of UNESCO about the Holodomor of 1932-33

in Ukraine to UNESCO for consideration on October 4.

President Viktor Yuschenko declared 2008 as the year of commemoration
of the Holodomor victims. The Ukrainian parliament declared the

Holodomor of 1932-33 in Ukraine as an act of genocide against the
Ukrainian people in 2006.

Ukraine will honor the memories of the victims of famines and political
repression on November 24. Between 3 million and 7 million people died

during the 1932-33 Famine in Ukraine, according to various estimates.
Moreover, some historians are saying there were famines in Ukraine in
1921-1923 and 1946-1947.
————————————————————————————————
LINK: http://www.ukranews.com/eng/article/78297.html
————————————————————————————————
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
25.  HOLODOMOR: WAS IT ETHNOCIDE?

OPINION & ANALYSIS: By Andrei Marchukov, PhD (History),
Staff Researcher, Russian Academy of Sciences’ Institute of Russian History.
RIA Novosti, Moscow, Russia, October 16, 2007

MOSCOW – The Soviet famine of 1932-33 was an act of genocide against
Ukrainians. Kiev has been forcing this point on the world, the United
Nations and Moscow for several years now, in a vast and aggressive
campaign.

The Famine (Holodomor, in Ukrainian) is an all-pervading ideological
concept, a tool of public indoctrination. It is not only a tribute to the
victims’ memory but also a pressing political demonstration by present-day
Ukrainian leaders, spearheaded against Russia as much as against the
communist past.

The matter returned to the United Nations on October 15, when Ukraine
submitted to a UNESCO conference a resolution demanding the greatest
possible information about the Great Famine. In fact, this information is
not withheld, even though the world does not regard the Famine as a
deliberate genocidal act.

While fully recognizing the Ukrainian tragedy, there is no explicit proof
that the famine was provoked by the Kremlin and intended to exterminate the
Ukrainian nation.

The holodomor concept first arose amongst the Ukrainian Diaspora. Many
books and press publications appeared in the West in the 1940s-70s
describing the Famine as a Kremlin plot to kill off Ukrainians and undermine

the survivors’ spirit. Public attention to the holodomor skyrocketed in the
1980s.

This was the time when President Ronald Reagan was referring to the U.S.S.R.
as the Evil Empire. Ukrainian emigres added fuel to the fire with their
reminiscences and analyses of the holodomor.

In 1984, the U.S. Congress established an ad hoc commission to investigate
the causes of the Great Famine in Ukraine in 1932-33. Its 1988 Report to
Congress described the famine as “man-made” and denied any causal
connection with drought.

“Joseph Stalin and those around him committed genocide against Ukrainians
in 1932-1933,” the report says. Perestroika, with its outspoken spirit,
brought the concept to Ukraine. Mourning the millions starved to death went
hand-in-hand with wrathful denunciations of genocide.

Today’s propaganda aims to make the holodomor part of the Ukrainian
world-view. President Viktor Yushchenko called on politicians of his
generation to “preserve historical memory and spare no efforts to make the
world qualify the Famine of 1932-33 as genocidal”.

Why is such sensation whipped up over bygones? On the one hand, Ukrainian
propaganda has found a satanic enemy, the epitome of Absolute Evil, and is
now out to develop a guilt complex in Russians to make them feel morally and
materially responsible for the tragedy.

On the other hand, it seeks to make Ukrainians feel like innocent victims,
and spread this assumption worldwide. Tellingly, Ukrainian leaders are ever
more frequently referring to the Famine as the “Ukrainian Holocaust” – thus
putting the U.S.S.R. on a par with Nazi Germany.

Cardinal Lubomir Husar, head of the Ukrainian Greek Catholic Church,
concisely described the goal of the campaign: “Memory of the holodomor is
what our nation shall stand on.” Words of equal aptitude belong to former
President Leonid Kuchma: “Ukrainian national consolidation has a long way
to travel yet. We have made Ukraine. Now is the time to make Ukrainians.”

“Making Ukrainians” implies a new national ethic and mentality, with the
idea of Ukrainians and Russians as two nations apart. What several Ukrainian
generations firmly believed in has been turned on its head.

The young regard their country’s recent past as a time of colonialism, when
Ukrainians were ruthlessly exterminated. It is hard to find a more graphic
example than the Famine.

Was it really genocide or ethnocide against Ukrainians? The U.S.S.R. owed
the terrible famine of 1932-33 to agricultural collectivization.

The rapid creation of a thoroughly new type of farming went together with
the cruel dispossession of well-to-do farmers, so-called “kulaks”. Peasant
resistance inevitably followed.

Bloated grain procurement quotas envisaged total confiscations-seed, food
and fodder grain. The 1932 quota for Ukraine was 400 million poods, or 6.4
million metric tons, but even the severest possible confiscations brought
only 261 million poods, so extra procurements were launched, with searches,
ruinous fines-and firing squads. Peasants were dying of starvation as early
as October 1932, and the famine went on up to the next year’s end.

Those two years saw 2.9-3.5 million deaths from starvation in Ukraine alone,
according to various estimates. Yet it was not ethnocide proper.

Registry office statistics for 1933 show death rates in urban localities no
higher than average, in contrast to an exorbitant death toll in the
countryside not only in Ukraine but all over the Soviet Union. People were
doomed not on the grounds of ethnicity, but merely because they lived in
rural areas.

Grain shortages were exacerbated by a rapid increase of the urban
population. It swelled by 12.4 million nationwide in the four years 1929-32,
and by 4.1 million in Ukraine within 1931, mainly because persecuted
peasants fled their villages.

Nothing could have been easier for the regime than to starve townspeople,
who depended on food supplies from elsewhere for their survival. Yet, it
was not done. The regime made do with harsh food rationing.

Peasantry as a social class was the victim of the cruel policy. This point
clearly follows from the geography of the Great Famine.

It spread throughout the Soviet breadbasket areas-Ukraine, the middle and
lower reaches of the Volga, the North Caucasus, the central part of the
Black Earth Zone, the Urals, part of Siberia, and Kazakhstan – with a total
population of 50 million. The Famine killed 6-7 million people nationwide.
All Soviet peoples were victims.

Arguments cited to prove that the famine was a deliberate act of genocide do
not hold water. Still, many Ukrainians do not want to turn the tragic page
of history. This is understandable. If they did, public attention would turn
to their own, present-day, policy and its dire fruit.

The Ukrainian population shrank by 4.3 million in 1991-2003-3.6 million
died, and over 1.2 million emigrated, while only 500,000 former emigres
returned.

If we extrapolate the figures to the end of 2006, the population decline
exceeds 5.4 million-this without wars, famine, or the Kremlin’s imperialism.
Don’t these statistics give food for uneasy thought?
——————————————————————————————–
NOTE: Andrei Marchukov, PhD (History), is staff researcher of the Russian
Academy of Sciences’ Institute of Russian History. The opinions expressed
in this article are the author’s and do not necessarily represent those of
RIA Novosti.
———————————————————————————————-
LINK: http://en.rian.ru/analysis/20071016/84171679.html

———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
26.  DISTINCTIONS AMONG GENOCIDES

COMMENTARY: By David A. Mittell, Jr.
Providence Journal, Providence, RI, Thu, November 1, 2007

THE EFFORT by some in the U.S. House to answer the historical dispute
about whether the death of at least a million Christian Armenians in
the predominantly Muslim Ottoman Turkish Empire in 1915 “rates” as a
genocide is an unfortunate chapter in a deeply unfortunate contemporary
phenomenon: treating mass murders like competitions, and ranking them
as if they were U.S. News & World Report’s annual rating of colleges.

In Greek, holocaust means “burnt whole.” The Holocaust — capitalized —
denotes Hitler’s attempt to exterminate European Jewry during World War
II. Genocide, from Greek (genos, “race”) and Latin (cidium, “murder”),
means the attempt to kill an entire race or people. The point can be made
(I will deal with it below) that a million acts of murder do not constitute
a genocide if they are not directed against a race, ethnic group, religious
population or social class.

 In sheer numbers of those killed, the greatest mass murder of the 20th
Century was Mao Zedong’s Great Leap Forward, from 1956 to 1959,
when an estimated 30 million rural Chinese died in agricultural
collectivization and from the removal of the able-bodied from villages.

Yet today, most Westerners are willing to philosophically accept Robert
Frost’s observation that “the longest peace in China ends in strife.”

The worst most historians will say of Mao is that he was a butcher, and
some still accept him as one of the great men of his age. Benignity on
the part of intellectuals may reflect their racism: In part, they
excuse Mao because the Great Leap Forward was just Chinese killing
Chinese.

 Mass murders that directly compete with the Jewish Holocaust for
remembrance are the Armenian catastrophe of 1915 and the Ukrainian
Holodomor of 1932-33. (Ukrainian, holod: “hunger” and mor: “plague.”).

The best account of 1915 probably remains “The Murder of a Nation,”
written on the spot by the American ambassador to Turkey, Henry
Morgenthau Sr. (father of Franklin Roosevelt’s Treasury secretary).

In World War I, the “Central Powers” – of Austria, Germany and Turkey –
were opposed by the “Triple Entente” of Britain, France and Russia. By
1915, Turkish Armenians were suspected of being pro-Russian, and
were accused of committing atrocities in Turkish villages whose young
men had been drafted.

The decision was taken to disarm Armenians and remove them to “safe”
areas. Some Armenians were actually given train tickets. But, as
Morgenthau writes, Armenian soldiers in the Turkish army were disarmed
and put into “labor battalions,” where many perished from cold and
hunger. The civilian population was put on a death march to the Syrian
Desert.

The atrocities en route were committed by fanatic Muslim Kurds
and Turks, but were planned by “Young Turk” atheists, who would
organize the post-Ottoman government. The present-day Turkish wish to
ascribe all things to the Ottoman regime is based on false assertions.

Before the war, the Ottoman government had visited similar privations
on Greeks, of whom more than 100,000 were removed from their ancestral
homes on the Mediterranean coast. Morgenthau wrote: “It was probably
for the reason that the civilized world did not protest . . . that the
Turks decided to apply the same methods on a larger scale . . . to the
Armenians, Syrians, Nestorians, and others.” Hitler would use the
civilized world’s lack of protest about the destruction of the
Armenians to ridicule the idea that anyone would care what he did to
the Jews.

The most compelling survivor’s account of the Ukrainian Holodomor is
Miron Dolot’s 1985 “Execution by Hunger.” Under Lenin, the USSR had
attacked kulaks – unacceptably rich peasants – by confiscating all
grain, then partly redistributing it.

The policy had the effect of making the rural population compliant in
surrendering its food and complicit in reporting hoarders. Stalin revived
the policy, and when Ukrainians resisted agricultural collectivization, he
withheld the government’s meager return-of-rations – leading to an
estimated 7 million deaths from starvation.

Stalin later purged the Ukrainian Communist Party and destroyed most
of the republic’s cultural elite. But he did have a purpose beyond killing
Ukrainians: subservience. Kazakhstan, southern Russia and the Volga
German Republic experienced many of the same horrors.

 Today, the legitimacy of the Armenian and Ukrainian agonies as
genocides is opposed by defenders of the uniqueness of the Jewish
Holocaust on both principled and unprincipled grounds. The principled
ground is (it is argued) that however evil the purposes and methods of
the Turks and Soviets, they did not set out to kill Armenians and
Ukrainians only because of their birth.

Hitler, by contrast, contrived for Germans to despise and ultimately murder
Jews simply because of who they were, and without any political purpose
other than using innocents to unify Germany in a frenzy of hatred. I agree
with that distinction.

The illegitimate grounds are: As to Armenians, 1) denial of the facts
and, 2) (worse) an unwillingness by some Jewish organizations to offend
modern Turkey, which has a pro-Israeli foreign policy.

As to Ukrainians, the Holodomor was always categorically denied by the
Soviets and by Western apologists, such as Walter Duranty, of The New
York Times, who received an unrescinded Pulitzer Prize for his lies.
The Soviets also perpetrated the myth that Ukrainians – not they – were
anti-Semites and had been Nazi collaborators.

There were, of course, collaborators in Ukraine, as in every occupied
country. Prof. Omer Bartov, of Brown University, has researched this in
“Erased, Vanishing Traces of Jewish Galicia in Present-day Ukraine.” It
is not a pretty picture. But it is beside the point of 7 million dead.

Ordinarily I think words are important. But the descendants of the dead
should not be quarreling about semantics. Let us say that Armenians,
Chinese, Jews and Ukrainians were all victims of genocides. Then let us
admit that among genocides there are distinctions.
———————————————————————————————
NOTE:  David A. Mittell is a member of the editorial board of
The Providence Journal.
———————————————————————————————
http://www.projo.com/opinion/columnists/content/CL_mitt1_11-01-07_ON7LGPC_v30.3595d3f.html

———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
27.  CHILDREN OF VICTIMS OF REPRESSION: NKVD CHILD

By Gennady Sakharov, Source: www.maidan.org.ua
Kharkiv Human Rights Protection Group (in English)
Kharkiv, Ukraine, Monday, October 29, 2007

This year marks 70 years since the largest-scale repressions of the former
USSR. The repressions were planned with quotas for the numbers of arrested
and executed “enemies of the people” to be fulfilled and exceeded. Some top
officials in Ukrainian regions actually asked for the numbers to be
increased.

People became victims for speaking “the wrong language”, with charges
trumped up over alleged spying and nationalist organizations. They looked
for enemies everywhere and found them.

There are people today who try to prove that there was no Holodomor
[Famine of 1932-1933] in Ukraine and that the repressions under Stalin were
a necessary step to protect the Soviet regime against saboteurs, spies and
other enemies.  Let such arguments be on the conscience of those who
circulate them.

There are ever less witnesses of those events.  Each account from people
who lived through those times is particularly to be valued.

I spoke with Ida Vasilivna Borodai [Styopkina] in her flat in a five-storey
block on Kirov Avenue. She is eighty years old, but has a good memory and
told us about the events in her life in detail.

She spoke of how she became an “NKVD child” as they called the children
of parents who had been repressed and who were themselves kept in special
children’s homes.

In 1937 Ida lived with her parents in the large village Andriyivka in the
Kharkiv region. Her parents were village teachers. During the night of 22
September NKVD men came to their house and carried out a search.

Ida’s mother took the half-asleep nine-year-old from one room to another.
When the search was ended, the men took her father away. One said: “Say
goodbye to your daughter”.

He kissed his daughter and left. He left for ever, since as Ida Vasilivna
later discovered after her father had long been rehabilitated, he was
convicted in 1937 and executed for “his part in a counterrevolutionary
nationalist spying organization”.

The main “crime” of village teacher Vasyl Fedorovych Borodai in the eyes of
the NKVD was clearly that he belonged to the village intelligentsia and he
spoke Ukrainian.

The village teachers often met, played the bourgeois game of “preference” [a
card game] and discussed events in the country. Perhaps somebody expressed
a view considered seditious at the time.

There was an informer present, one of those “secret employees” whom the
NKVD had in all places of work, particularly among the intelligentsia. And
as was also customary, they manufactured a case about a nationalist
organization in Andriyivka.

That night eight teachers from the school were arrested. Soon they arrested
Ida’s mother. That very day they came and took Ida away from school. The
teacher told her she had to leave the class because people were waiting for
her.

The stranger waiting there was polite and kind. He took her to the police
station where in a large room there were around forty children since the
NKVD had taken other families from the village as well as teachers’
children.

The children were told that they would be taken to their parents, were put
in open trucks with benches to sit on and in a cold winter night taken to
the Balakliya district centre.

There the children were held in a building with forty to fifty children in
each room.  From there they were taken to Kharkiv. On the way the children
saw columns of people being led by armed convicts. They were stopped at one
point by a person shouting: “Who’s in the truck?”  The answer was: “NKVD
children”.

They brought the children to an NKVD reception and distribution centre where
the children were held in groups of forty – fifty. They weren’t allowed
outside, there was nowhere to wash and neither their underwear nor clothes
were changed. The windows looked out into the courtyard.

It was effectively a transit camp for children. In a month the children were
placed in children’s homes. They were taken to the railway station and given
a packed meal for the journey.

Among the 300 children in Ida’s children’s home, there were Russians,
Ukrainians, Belarusians, Germans and Jewish children. All were children of
those repressed.  The children did not go hungry and the staff treated them
well.

In the winter of 1939 Ida’s mother was released from prison in Kharkiv where
she had spent more than a year without any investigation or trial. They’d
demanded that she “confess” to subversive activities, to helping her
nationalist husband and had intimidated her. The conditions in the prison
were terrible.

Perhaps they realized that they wouldn’t get any incriminating information
from her, or they’d already over-fulfilled their quotas.

They also released two other women teachers from Andriyivka, whose
husbandshad also been executed. The women came and collected their
children.  It should be mentioned that not all children in the home were so
lucky.

Andriyivka following their release, and in fact there was nowhere to return
to – all their property had been confiscated, and the homes devastated. The
Borodai family lost their library which had been collected by not just one
generation.

Ida and her mother ended up in the village of Shevelyovka in the Balakliya
district which was populated by settlers from Russia.  They had a very hard
time, labelled enemies of the people and Hitler supporters.

With one bag of possessions they moved to another village Vovchy Yar where
nobody knew them. They lived in poverty, supplementing their diet from the
vegetable garden. Ida’s mother again worked as a teacher.
————————————————————————————————
http://khpg.org/en/index.php?id=1193710521

———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
28.  ALLA ROGERS & YEVHEN PROPOPOV ART EXHIBITION
 
Action Ukraine Report (AUR) #888, Article 28
Kyiv, Ukraine, Wednesday, November 7, 2007
 
KYIV – An art exhibition featuring the paintings of Alla Rogers
and sculpture by Yevhen Prokopov will open at The Ukrainian
National Museum of Fine Arts in Kyiv on Friday, November 9
at 5:00 p.m. The exhibition will be open until December 19, 2007.
 
The Museum is at 6, Hrushevskoho str. Kyiv. Contact: tel:
8(044) 278-1357 email: namu@i.com ua.
———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
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AUR#888 Nov 7 U.S. Amb Taylor Speaks Out In Kyiv; Lies, Damn Lies and Ukraine’s WTO Bid; Pepsi; UPS; Cardinal; Ikea; UNESCO; NKVD Child;

========================================================
ACTION UKRAINE REPORT – AUR           
An International Newsletter, The Latest, Up-To-Date
In-Depth Ukrainian News, Analysis and Commentary


Ukrainian History, Culture, Arts, Business, Religion,
Sports, Government, and Politics, in Ukraine and Around the World       
 
U.S. AMBASSADOR WILLIAM TAYLOR SPEAKS OUT:
Corruption, Judicial System Reform, Investment Climate Improvement, 
Energy Dependency, Non-Transparent Mediator, NATO, WTO
[Articles One, Two, Three and Four]
                        
ACTION UKRAINE REPORT – AUR – Number 888
Mr. E. Morgan Williams, Publisher and Editor, SigmaBleyzer
WASHINGTON, D.C., WEDNESDAY, NOVEMBER 7, 2007
 
INDEX OF ARTICLES  ——
Clicking on the title of any article takes you directly to the article.               
Return to Index by clicking on Return to Index at the end of each article
JUDICIAL SYSTEM, IMPROVEMENT OF INVESTMENT CLIMATE
Ukrainian News Agency, Kyiv, Ukraine, November 5, 2007
 
2U.S. AMBASSADOR TAYLOR SAYS TRANSPARENT NATURAL
GAS CONTRACT WILL REDUCE ENERGY DEPENDENCY ON RUSSIA 
Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

3U.S. AMBASSADOR TAYLOR FORECASTING UKRAINE TO TAKE
FINAL DECISION CONCERNING ACCESSION TO NATO BY 2010

Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

4U.S. AMBASSADOR TAYLOR BELIEVES NEW PARLIAMENT
SHOULD ACCELERATE ADOPTION OF DECISION ON WTO ENTRY 
Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

5.  LIES, DAMN LIES AND UKRAINE’S WTO BID
Commentary: by John Marone, Kyiv Post Staff Journalist
Eurasian Home, Moscow, Russia, Tuesday, October 30, 2007

6
UKRAINE’S JOINING WTO TO INCREASE COMPETITIVENESS

OF ECONOMY, SAYS SENIOR ECONOMIST OF CASE THINK TANK
Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

7PROCESS OF UKRAINE’S ADMISSION IN WTO MIGHT END IN
AUTUMN 2008 IN FAVORABLE CONDITIONS, OFFICIAL SAYS
Interfax Ukraine, Kyiv, Ukraine, Mon, November 5, 2007

8.  LONG-TERM PERSPECTIVES OF UKRAINE ENTRY IN WTO
OUTWEIGHS POSSIBLE DOMESTIC NEGATIVES SAYS OFFICIAL
Ukrainian News Agency, Kyiv, Ukraine, Tuesday, November 6, 2007

9AZAROV ORDERS UKRAINIAN DELEGATION TO AGREE WITH
KYRGYZSTAN’S CONDITIONS AT TALKS ON JOINING WTO

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

10UKRAINE’S CONSENTING TO KYRGYZ DEMANDS ON WTO
ACCESSION COULD PROVOKE ADDITIONAL CONDITIONS
FROM OTHER TRADE PARTNERS, SAYS EXPERT

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

11WORLD BANK IMPROVES 2007 GDP FORECAST FOR UKRAINE 

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

12PEPSIAMERICAS & PEPSICO JOINTLY ACQUIRE REMAINING
INTEREST OF LEADING JUICE COMPANY, SANDORA, IN UKRAINE
 
Business Wire, MN & NY, Tuesday November 6, 2007

13WNISEF BOARD MEETING & BRIEFING IN WASHINGTON
Have raised a follow-on private equity fund of $130 million
U.S.-Ukraine Business Council (USUBC), Wash, D.C. Mon, Nov 5, 2007

14UPS JOINS THE U.S.-UKRAINE BUSINESS COUNCIL (USUBC)
U.S.Ukraine Business Council (USUBC), Wash, D.C. Wed, Nov 7, 2007

15CAPITAL FLIGHT: UKRAINE’S GAS PRICE CONTROLS

PUSH U.S. FIRM CARDINAL OUT
Behind the Breaking News, Briefing: By Tammy Lynch, Senior Fellow
Behind the Breaking News, Volume VI, Number 1,
Institute for the Study of Conflict, Ideology and Policy,
Boston, MA, Thursday, 1 November 2007

16POLISH KITCHENWARE CO MOVES INTO UKRAINIAN MARKET
By Volodymyr Obolonsky, The Ukrainian Times
Kyiv, Ukraine, Monday, November 5, 2007

17UKRAINE AGAIN POSTPONES INCREASE IN GRAIN EXPORTS 
Ukrainian News Agency, Monday, November 5, 2007

18UKRAINE’S LARGEST RETAIL OPERATOR FOZZY GROUP

BUYS KIT SUPERMARKET CHAIN IN ZAPOROZHIE
Property Xpress, Sofia, Bulgaria, Thursday, November 1, 2007

19UKRAINE: SWEDISH RETAILER IKEA BUYS LAND IN KIEV
Property Xpress, Sofia, Bulgaria, Tuesday, October 30, 2007

20UKRAINE: SETTING THE INVESTMENT AGENDA
Bloc of Yulia Tymoshenko (BYuT) Newsletter Issue 52
Kyiv, Ukraine, Tuesday, November 6, 2007

 
WANT SOMETHING BETTER FOR THEIR COUNTY
Presentation: by Robert McConnell, Attorney
2007 Convention Gala of the Ukrainian-American Bar Association
Washington, D.C., Saturday, September 22, 2007
Action Ukraine Report (AUR) #888, Article 21
Washington, D.C., Wednesday, November 7, 2007
 
HOUSE FROM TUESDAY, NOV 20 TO THURSDAY, DEC 6
Action Ukraine Report (AUR) #888, Article 22
Kyiv, Ukraine, Wednesday, November 7, 2007
 
23NOT TOO LATE: THREE MESSAGES IN UNESCO RESOLUTION
COMMEMORATING HOLODOMOR 1932-1933 VICTIMS
By Mykola SIRUK, The Day Weekly Digest #33
Kyiv, Ukraine, Tuesday, November 6, 2007
 
24GERMANY READY TO ASSIST IN DELIVERING TO ITS
CITIZENS INFORMATION ABOUT 1932-1933 FAMINE 
Ukrainian News Agency, Kyiv, Ukraine, Tuesday, November 6, 2007
 
25HOLODOMOR: WAS IT ETHNOCIDE?
Opinion & Analysis: by Andrei Marchukov, PhD (History),
Staff Researcher, Russian Academy of Sciences’ Institute of Russian History.
RIA Novosti, Moscow, Russia, October 16, 2007
 
26DISTINCTIONS AMONG GENOCIDES
Commentary: by David A. Mittell, Jr.
Providence Journal, Providence, RI, Thu, November 1, 2007
 
 
28ALLA ROGERS & YEVHEN PROPOPOV ART EXHIBITION
Action Ukraine Report (AUR) #888, Article 28
Kyiv, Ukraine, Wednesday, November 7, 2007
========================================================
1
U.S. AMBASSADOR TAYLOR: NEW CABINET’S PRIMARY TASKS
TO BE FIGHT AGAINST CORRUPTION, REFORMATION OF
JUDICIAL SYSTEM, IMPROVEMENT OF INVESTMENT CLIMATE

Ukrainian News Agency, Kyiv, Ukraine, November 5, 2007

KYIV – US Ambassador to Ukraine William Taylor considers that the

primary issues for the new Ukrainian Cabinet of Ministers are fight against
corruption, reformation of the judicial system and improvement of the
investment climate. He disclosed this in a statement at the open lecture
entitled “Ukraine as Young Democracy.”

“All political forces, which took part in the elections promised to improve
political and investment climate in the country. It is higher time to do
that: decrease state regulation, launch fight against corruption and reform
the judicial system,” he said.Taylor marked that Ukrainian three largest

parties are sharing this position.

He also called problems of the judicial system and corruption as
difficulties all young democracies face. “The fight against corruption in all

sectors will be an important test of new government on the way to Europe,”
Taylor said.
He also marked permanence of the US government position: readiness to
cooperate with any new Ukrainian government.

The ambassador marked importance of improvement of the investment climate

in Ukraine in the frames of preparations for Euro 2012. To prepare for Euro
2012, considerable sums are needed. The state budget won’t manage to find
the funds. It is necessary to attract investments, he said.

Taylor considers that the fight against corruption and reformation of the
judicial systems will assists attraction of more investors to Ukraine. As
Ukrainian News earlier reported, the early Verkhovna Rada elections took
place on September 30.

On October 15, the Yulia Tymoshenko Bloc and the Our Ukraine People’s
Self-Defense Bloc agreed to create the coalition at the Verkhovna Rada of
the sixth convocation.

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2.  U.S. AMBASSADOR TAYLOR SAYS TRANSPARENT NATURAL
GAS CONTRACT WILL REDUCE ENERGY DEPENDENCY ON RUSSIA 

Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

KYIV U.S. Ambassador to Ukraine William Taylor has said that a transparent
contract on natural gas supplies will reduce Ukraine’s energy dependency on
Russia. He presented the assessment during an open lecture entitled “Ukraine
as a young democracy.”

“The current contract of gas supplies is not transparent and depends on a
mediating company between Ukraine and Russia. I believe that an opportunity
to reduce the energy dependency of Ukraine can be transparent contracts on
commercial basis,” he said. Taylor said he didn’t understand why Ukraine
needed a non-transparent mediator.

According to him, there were other ways to reduce the energy dependency of
Ukraine on other states, including the necessity to develop own sources of
energy, alternative energy, diversification of fuel supplies to Ukrainian
NPPs. “Now all sources of nuclear fuel are in Russia. This cannot be so,” he
said.

Taylor said Ukraine was working to produce own nuclear fuel. Such designs,
in his opinion, will facilitate competition in the sector and reduce
Ukraine’s dependency on one source of nuclear fuel.

As Ukrainian News earlier reported, Premier Viktor Yanukovych gave Fuel and
Energy Minister Yurii Boiko until November 7-10 to complete talks with
Russian gas monopoly Gazprom on gas prices for 2008.

Ukraine is not buying natural gas of Russian origin in 2007 because it has
reached agreement with Uzbekistan on annual delivery of 7 billion of gas
through RosUkrEnergo Company (the exclusive supplier of gas to Ukraine,
reached agreement with Kazakhstan on annual delivery of 8.5 billion cubic
meters of gas, and signed contracts with Turkmenistan for delivery of 42.5
billion cubic meters of gas per year.

Since 2007, Ukraine has received natural gas at the price of USD 130 per
thousand cubic meters on the border of Ukraine and Russia, which is 36.8%
more than the gas price supplied in 2006 (USD 95 per thousand cubic meters).

Ukrhaz-Energo joint enterprise buys natural gas from RosUkrEnergo Company

at the Ukrainian-Russian border and sells it to Ukrainian industrial
enterprises and heating utilities as well as to the Naftohaz Ukrainy
national joint-stock company for meeting the requirements of the population,
the fuel and energy complex, and the state sector. RosUkrEnergo buys all its
gas from Gazprom Company, the Russian gas monopoly.
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3. U.S. AMBASSADOR TAYLOR FORECASTING UKRAINE TO TAKE
FINAL DECISION CONCERNING ACCESSION TO NATO BY 2010

Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

KYIV U.S. Ambassador to Ukraine William Taylor forecasts that Ukraine

will take final decision concerning its accession to NATO in 1-2 years. He
disclosed this in a statement at an open lecture entitled Ukraine as Young
Democracy. “It will take Ukraine 1-2 years to take final decision,” he said.

Taylor also marked that Ukraine has to decide itself and nobody intends to
make Ukraine enter NATO. He said that the Ukrainians have to have time to
understand how NATO has changed since Warsaw Pact.

“What does to be a NATO member mean? Does it mean deployment military

bases on its territory? No. It is deployment of nuclear weapon on its territory?
No. Does it mean forceful participation in wars? No,” Taylor said.

He marked that NATO takes all decisions only via consensus and taking of

the decisions depends on agreement of all 26 countries. Besides, he added
that despite the time it will take Ukraine to make the decision, NATO always
welcomes Ukraine to join it.
As Ukrainian News earlier reported, President Viktor Yuschenko believes
that the issue of Ukraine’s membership of NATO should be resolved via a
referendum.

In December 2006, Yuschenko said that he opposed organization of a
referendum on Ukraine’s membership of NATO until Ukraine received an
invitation to join NATO.

In October 2007, Yuschenko called on Ukraine’s European partners to
facilitate the accession to the NATO Membership Action Plan.

NATO’s Deputy Assistant Secretary-General for Public Diplomacy Stefanie
Babst has forecast that Ukraine will join the Action Plan on NATO Membership
in 2009.

On September 19, 2006, the Ukrainian parliament adopted a resolution
supporting Prime Minister Viktor Yanukovych’s position that Ukraine is not
ready to join the NATO Membership Action Plan. The parliament’s resolution

also states that the issue of NATO membership will be decided only via a
national referendum.
Yanukovych said at a meeting of the Ukrainian-NATO Commission in Brussels
(Belgium) that broadening cooperation with NATO was a pressing issue for
Ukraine but added that only 12-25% of Ukrainian citizens presently support
accession of Ukraine to NATO.
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4.  U.S. AMBASSADOR TAYLOR BELIEVES NEW PARLIAMENT
SHOULD ACCELERATE ADOPTION OF DECISION ON WTO ENTRY 

Ukrainian News Agency, Kyiv, Ukraine, Monday, November 5, 2007

KYIV – The United States’ Ambassador to Ukraine William Taylor believes

that the new Ukrainian parliament should accelerate adoption of a decision
on admission of Ukraine into the World Trade Organization (WTO). Taylor
stated this in an open lecture entitled “Ukraine as a Young Democracy.”

“There is a decision that the new parliament should adopt soon, particularly
the final decision on accession to the WTO,” he said.

Taylor believes that all the political forces in the previous parliament
supported the laws necessary for accession to the WTO and hopes that the
new parliament will adopt the final decisions.

“It will be very positive for Ukraine, for its economy, and a very important
consequence will be the start of a serious discussion on inclusion of
Ukraine in a free trade zone with the European Union.

“This will demonstrate to the world Ukraine’s readiness to move into
Europe,” Taylor said. He also noted the existence of a consensus in

Ukraine on issues of European integration.

As Ukrainian News earlier reported, Ukraine’s representative at the WTO’s
headquarters in Geneva (Switzerland) Volodymyr Baluta has forecast that
Ukraine will join the organization in the fall of 2008.

The Cabinet has announced that it has reached agreement on a WTO accession
protocol with Kyrgyzstan, which is the last country with which Ukraine
needed to reach an agreement. The Cabinet of Ministers is aiming to complete
the preparation of the final report on admission of Ukraine into the WTO in
late November.

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U.S.-Ukraine Business Council (USUBC): http://www.usubc.com
========================================================
5.  LIES, DAMN LIES AND UKRAINE’S WTO BID

COMMENTARY: By John Marone, Kyiv Post Staff Journalist
Eurasian Home, Moscow, Russia, Tuesday, October 30, 2007

If Ukraine’s efforts to join the World Trade Organization are any indication
of the country’s overall commitment to economic reform, then we’re all
being fed a plate of lies.

The working group monitoring Kyiv’s WTO bid held an informal meeting in
Geneva on October 25, followed by the usual rosy progress report issued by
the Ukrainian government.

The web site of the Cabinet of Ministers carried a statement on October 26
indicating that a breakthrough had been reached with Kyrgyzstan on the
signing of an agreement on mutual access to the market of goods and
services.

The tiny Central Asian republic is the last country with which Ukraine has
to sign a bilateral agreement as a requirement for WTO entry. The obstacle
to achieving this has supposedly been a $25 million debt going back to
Soviet times that Kyrgyzstan claims to be owed.

“Kyrgyzstan has admitted that its claims on Ukraine are unfounded and
instead agreed to a zero import duty on agricultural products in exchange
for signing the bilateral protocol on access to the market of goods and
services,” the Cabinet statement reads.

As a result, according to the government, the next, official meeting of the
working group will be the last, clearing the way for final approval of
Ukraine’s WTO bid by a 43-nation general meeting in February.

Unfortunately, nobody told the Kyrgyz about this.

The AKIpress news agency website based in Bishkek ran a report on
October 27, in which it quoted the country’s Ministry of Industry, Economic
Development and Trade as accusing the Ukrainian government of trying to
use the media to force a WTO settlement.

“It is greatly unfortunate that Ukraine has been striving to resolve issues
solely in its own favour throughout the negotiating process and in a
coercive way without taking into account Kyrgyzstan’s legal trade and
economic interests,” the Kyrgyz government statement reads.

Kyrgyzstan’s ambassador to Kyiv confirmed his government’s position and
denied that his country had dropped its monetary claims on Ukraine.

Ukraine has been negotiating WTO entry for the past 13 years, signing one
bilateral treaty after another while getting feedback in Geneva on its reform

efforts. The WTO boasts 150 member states, but only 43 have a say on
Ukraine’s entry, and Kyrgyzstan is one of them.

By early 2006, when the United State recognized Ukraine as a market economy
and cancelled the largely symbolic Jackson-Vanik amendment, Kyiv looked like
it had made it over the hump.

A year earlier, President Viktor Yushchenko had come to power with promises
of greater European integration.EU officials have made WTO membership a
condition to Ukraine’s obtaining a free-trade agreement.

Experts point out other benefits of WTO membership such as the promotion
of efficiency and badly needed foreign investment.

However, opening the doors to international competition also poses a threat
to vested Ukrainian interests, companies content with holding a monopoly
over a captive consumer audience.

In addition, there is Russia, which has proposed that the two “brotherly”
nations join together.

According to WTO entry rules, if Ukraine were to get in first, it could hold
Russia’s bid hostage to outstanding bilateral trade issues such as Russia’s
export tax on oil, which punishes energy-dependent Ukrainian consumers.

Some observers have accused Russia of using its influence over the otherwise
insignificant Kyrgyzstan to hold up Ukraine’s WTO bid.

But this is too convenient an excuse for Kyiv. Considering all the economic
benefits of WTO entry, would it really be such a burden to pay out $25
million to Bishkek?

The motivation of Ukrainian businessmen with influence if not seats in
parliament to keep out foreign competition should not be underestimated.

One need only do a quick cost comparison of what consumers are forced
to pay in the Ukrainian capital for food, clothing, mobile communications,
etc. in order to guess what kind of profits are at risk from a freer market.

Why improve efficiency and customer service when you can just keep out the
competition by buying a seat in the legislature?

The drive to join the WTO has turned into a forced march through the mud
without wheels, regardless of who is in control of the government.

Ukraine’s representative at the WTO headquarters in Geneva, Volodymyr
Baluta, said his country would enter the WTO in fall 2008.  Following the
approval of a final report in November, then a vote by a WTO general meeting
in February, it’s just a matter of a couple of months, Baluta would have us
believe.

“In June 2008, Ukraine will be able to complete all preparations. And if in
early fall the council ratifies the agreement on Ukraine’s joining to the
World Trade Organization, Ukraine will become its member in 30 days,”
he was quoted as saying in a government statement.

But Ukraine’s parliament still has to give final approval, and lawmakers
have been the main obstacles in the first place. But you wouldn’t guess this

by the statements released by the government over the last year and a half.

The last official working group meeting was held on July 23, after which the
Economy Ministry said everything was moving along as planned. The same
picture was drawn in May, when the parliament was said to have approved
final amendments to WTO-related bill passed late last year.

The problem with such bills is that they always fall short of the working
group’s approval and thus have to be reworked, revoted and revisited in
Geneva, while months are lost in the process.

Yushchenko first promised WTO membership in the fall of 2006, only to push
the deadline back to the end of this year. But the president has been hard
pressed to push through any of the reforms he promised during the country’s
much touted Orange Revolution.

And with the Orange parties winning only a slim majority in the last
elections, their ability to pass much liberal bills looks equally dim until
the next presidential poll in 2009.

By that time, the effects of the country’s consumer spending spree and
certain favorable external circumstances will have been reduced to show
the economy for what it really is.

And all the lies, damn lies and WTO waffle won’t be able to cover it up.
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http://www.eurasianhome.org/xml/t/opinion.xml?lang=en&nic=opinion&pid=898

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6.  UKRAINE’S JOINING WTO TO INCREASE COMPETITIVENESS
OF ECONOMY, SAYS SENIOR ECONOMIST OF CASE THINK TANK

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

KYIV – Ukraine’s joining the World Trade Organization (WTO) would increase
the competitiveness of the country’s economy, according to senior economist
of CASE Ukraine Center for Social and Economic Research, Vladimir
Dubrovskiy.

“In the context of joining the World Trade Organization, this would raise
[Ukraine’s] competitiveness,” he said at a press conference at
Interfax-Ukraine on Wednesday.

He said that some representatives of domestic business are against the
country’s joining the World Trade Organization, as they would face stiffer
competition after joining.

In turn, CASE Ukraine CEO Dmytro Boyarchuk said that any international
integration improves the country’s competitiveness.

Asked whether some economic sectors could die after Ukraine’s joining the
World Trade Organization, he said that some spheres could replace some
owners with more efficient ones, and no more. If the sector is in demand, it
would exist, he said.

CASE Ukraine experts introduced The Global Competitiveness Report 2007-2008
at the press conference, which is published by World Economic Forum (WEF).
Ukraine’s position worsened: the country moved from 69th to 73rd position in
2006.

Dubrovskiy said that the fall in the rating is linked with the fact that
over the past year there was GDP growth per capita, although the economy’s
efficiency did not improve. He said that there are no serious reforms of the
economy in Ukraine.

He said that the Competitiveness Report is drawn up for governments and not
for private investors. He said that the Ukrainian government has been very
interested in this rating over the past years.

According to WEF, the United States confirmed its position as the most
competitive economy in the world. WEF provides the competitiveness research
on yearly basis covering 131 countries. The report is the most comprehensive
analysis of competitiveness factors of national economies.

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7.  PROCESS OF UKRAINE’S ADMISSION IN WTO MIGHT END IN
AUTUMN 2008 IN FAVORABLE CONDITIONS, OFFICIAL SAYS

Interfax Ukraine, Kyiv, Ukraine, Mon, November 5, 2007

KYIV – The process of Ukraine’s admission to the World Trade Organization
may be completed in the fall of 2008, Volodymyr Baluta, Ukraine’s official
representative at the headquarters of the WTO, has said.

“In June 2008, Ukraine may end the preparation process for obtaining
membership. If early in the fall the council [of the WTO] ratifies the
agreement on Ukraine’s admission in the WTO, Ukraine will become a member

of the WTO in 30 days, the department for public relations of the secretariat
of the Cabinet of Ministers quoted Baluta as saying.

As earlier reported, the process of Ukraine’s admission in the WTO started
in 1993. Of all of the neighbors of Ukraine, only Russia and Belarus are not
members of the WTO.

According to a posting on the Web site of the Ukrainian government, in
February 2008 there will be a meeting of the working group and a special
addendum will be drafted later concerning commitments on duties on goods,
the regime of access to the markets of goods and services and the limitation
of the budget subsidies to Ukrainian agribusinesses.

According to the posting, if Ukraine reaches agreement with the WTO in
March, the finalized draft report on Ukraine will be ready by the end of
April 2008.

The check of the final report will take another month and the preparations
for the meeting of the General Council of the WTO will take another 15 days.

“If the last country stalling the admission in the WTO has ungrounded claims
against an applicant, this is a matter for the attention of such members of
the WTO as the United States and the countries of the EU.

If Kyrgyzstan refuses to sign the bilateral protocol with Ukraine, Ukraine
may be admitted to the WTO without a protocol with Kyrgyzstan,” the posting
quoted Deputy Economy Minister Valeriy Piatnytsky as saying.

The posting further reads that Kyrgyzstan recognized its claims against
Ukraine as ungrounded during an unofficial meeting of the working group on
Ukraine’s accession to the WTO on October 25.

The posting reads that the question of $27 million of Ukrainian technical
aid to Kyrgyzstan as the redemption of the debt of the Soviet times will be
negotiated outside the question of Ukraine’s admission in the WTO.

“The Kyrgyz side agreed with its claims against Ukraine being ungrounded and
proposed instead to introduce zero duties on farm produce imports.Ukraine
promised to retain the current zero [duty] regime of bilateral trade,” the
posting reads. After the meeting on October 25 there are still three issues left

to be settled within a month, the posting said.
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NOTE: Send in a letter-to-the-editor today. Let us hear from you.
========================================================
8.  LONG-TERM PERSPECTIVES OF UKRAINE ENTRY IN WTO
OUTWEIGHS POSSIBLE DOMESTIC NEGATIVES SAYS OFFICIAL

Ukrainian News Agency, Kyiv, Ukraine, Tuesday, November 6, 2007

KYIV – The Foreign Affairs Ministry of Ukraine says that the long-term
positives of Ukraine’s accession to the World Trade Organizationoutweighs

possible domestic negatives.

First Deputy Foreign Minister Volodymyr Khandohii said this, addressing
conference “Diplomacy and Business: Dialogue of Partners.”

‘We believe that the long-term character of positive is much greater than
local negatives that will partially involve some enterprises of our economic
system as a result of Ukraine’s accession to the WTO,’ he said.

Khandohii recognized the possibility of some risks for Ukraine at the first
stages, after joining the WTO.  ‘It may lead to a worsening of the situation
in certain regions,’ he added.

At the same time, Khandohii pointed out a special importance of
restructuring of the Ukrainian economy and improvement of investment
climate.

In his opinion, entry in the WTO will create the necessary conditions for
Ukraine’s entry in the zone of free trade with the European Union, and will
open Ukrainian market for investments.

Khandohii also expressed the importance of Ukraine’s entry in the free trade
zone for deepening economic relations with the European countries that are
not members of the European Union.

‘The point at issue is to fix Ukraine in Europe’s business space, and
today’s entry in the WTO provides the chance of doing so,’ he added.

As Ukrainian News reported, the United States’ Ambassador to Ukraine William
Taylor says that the new Ukrainian parliament should accelerate adoption of
a decision on admission of Ukraine into the World Trade Organization.

Ukraine’s representative to the WTO headquarters in Geneva (Switzerland)
Volodymyr Baluta has forecast that Ukraine will join the organization in the
fall of 2008.

The Ukrainian Cabinet announced that it had reached agreement on a WTO
accession protocol with Kyrgyzstan, which was the last country with which
Ukraine needed to reach the agreement.  The Cabinet of Ministers is aiming
to complete preparation of a final report on admission of Ukraine into the
WTO in late November.
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9. AZAROV ORDERS UKRAINIAN DELEGATION TO AGREE WITH
KYRGYZSTAN’S CONDITIONS AT TALKS ON JOINING WTO

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

KYIV – First Vice Premier and Finance Minister Mykola Azarov has ordered

a Ukrainian delegation, which holds talks on joining the World Trade
Organization (WTO) with Kyrgyzstan in Geneva, to agree with the Kyrgyz
conditions.

“I can say that I ordered our delegation to agree with all conditions, which
proposes Kyrgyzstan concerning joining the World Trade Organization,” he
told the press on October 29.

Azarov said that the two countries have almost a zero turnover, and the
country would loose or win few things from signing an agreement with
Kyrgyzstan under any conditions.

He said that Kyrgyzstan has already said that the country does not link
Ukraine’s joining the World Trade Organization with settling debt
commitments between the two countries, and it is ready to concentrate on
problems of the bilateral agreement. “There is a possibility to sign a
bilateral agreement in a month or two,” he said.

As reported, on October 23, Ukrainian Economy Minister Anatoliy Kinakh said
Ukraine would sign an agreement with Kyrgyzstan as part of its accession to
the World Trade Organization by the end of 2007.

The minister noted that Ukraine had already drafted a draft of the
respective memorandum, in which the country is ready to cooperate on
humanitarian issues, technical aid, and joint participation in investment
projects with Kyrgyzstan.

The Ukrainian government has many times reviewed forecasts for Ukraine’s
accession to the World Trade Organization, last time the forecast for the
second half of 2007 was made in summer.

The endorsement of necessary bills and the signing of bilateral agreements
on the access to the goods and services market with WTO member states, apart
from Kyrgyzstan, were completed in late 2006.

Ukraine’s Economy has forecast that the country would join the World Trade
Organization by 2008. In May, Ukraine’s parliament adopted a number of laws
necessary for the country’s accession to the World Trade Organization.
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10.  UKRAINE’S CONSENTING TO KYRGYZ DEMANDS ON WTO
ACCESSION COULD PROVOKE ADDITIONAL CONDITIONS
FROM OTHER TRADE PARTNERS, SAYS EXPERT

Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

KYIV – If Ukraine agrees to all of the terms from Kyrgyzstan for gaining
membership of the World Trade Organization, which concern the settlement of
debts, this could provoke a number of additional demands from other trade
and economic partners, president of the anti-crisis research center Yaroslav
Zhalilo has said.

“It is unnecessary to make concessions only to Kyrgyzstan. If Kyrgyzstan
wants to set a zero import rate for some goods, this means that we also
agree to such a rate for all of our trade partners,” he said in an interview
with Deutsche Welle on Wednesday.

Zhalilo said that Ukraine would join WTO countries only in the autumn of
2008, adding that a date of Ukraine’s gaining access to the organization
would depend on the government forming its future policies.
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11. WORLD BANK IMPROVES 2007 GDP FORECAST FOR UKRAINE 
Interfax Ukraine, Kyiv, Ukraine, Monday, November 5, 2007

KYIV – The World Bank expects that GDP growth in Ukraine in 2007 will be
6.7%, while earlier the forecast was 6%.

According to a World Bank report, the index of consumer prices is expected
to grow by 12.5% in 2007, though the bank’s previous forecast was 9.7%.

According to the bank, in 2008, 2009 and 2010, Ukraine’s GDP is expected to
grow by 5.5%, 5% and 5% respectively. Inflation in these years is expected
to be 9.6%, 8.3% and 7.4% respectively.

Earlier this year, in July, the World Bank reviewed its forecast for
Ukraine’s real GDP growth in 2007 upwards from 5.5% to 6%, while the
inflation forecast was changed from 10.9% to 9.7%.

Ukraine’s real GDP growth was 7.1% in 2006, while in 2005 it was 2.7%. The
government forecasts a GDP growth slowdown to 6.5% in 2007, along with a
fall in inflation from 11.6% to 7.5%.

The Ukrainian and international expert centers that draw up consensus
economic projections under the aegis of Ukraine’s Economy Ministry have

also improved their GDP forecast: in October their forecast for GDP growth
for 2007 was 7%, while in July it was 6.9%, according to a posting on the
Ministry’s official Web site.

However, the ministry said that the inflation forecast for 2007 had risen in
October to 11.6% from 8.6% in July.

According to an October consensus projection, GDP growth in 2008 will be
6.4% with 9.8% inflation, while in July 2007 these figures were 6.4% and
7.9% respectively.

The forex exchange rate by late 2007 will be UAH 5.05/$1, while in July it
was forecasted at UAH 5.07/$1, and by late 2008 it will be UAH 5.06/$1

(UAH 5.11/$1).

At the same time, World Bank experts stress that it would be expedient to
make the exchange rate of the hryvnia, Ukraine’s national currency, more
flexible, as the revaluation of the hryvnia could slow the pace of inflation
in the country.

Although Ukraine was possibly not ready for a shift to a free floating
exchange rate, the revaluation of the hryvnia could, under current
conditions, treat the fever on the markets, an expert said.

Describing Ukraine’s banking sector, Ruslan Piontkovsky, an economist of

the Ukrainian office of the World Bank, said that difficulties in accessing
foreign financial resources would slow the development of the Ukrainian
banking system in 2008.

“The pace of the growth in domestic credits from foreign finance will slow.
Next year and in future we will probably see slowed growth in banking
indicators,” he said at a press conference on November 1.

He said the Ukrainian banking system would grow faster than in other
countries but slower than in Ukraine in this, and previous years.
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12.  PEPSIAMERICAS & PEPSICO JOINTLY ACQUIRE REMAINING
INTEREST OF LEADING JUICE COMPANY, SANDORA, IN UKRAINE 

Business Wire, MN & NY, Tuesday November 6, 2007 

MINNEAPOLIS & PURCHASE, N.Y.- PepsiAmericas, Inc. and PepsiCo today
announced that they have completed the joint purchase of the remaining 20
percent of Sandora, LLC (“Sandora”), the leading juice company in Ukraine.

The acquisition for a total purchase price of $136.7 million completes the
transaction and provides PepsiAmericas and PepsiCo with a strong platform
for growth.

PepsiAmericas and PepsiCo originally purchased an 80 percent interest in
Sandora through a joint venture in August 2007. PepsiAmericas holds a 60
percent interest in the joint venture, and PepsiCo holds 40 percent.

The transaction is not expected to have an impact on PepsiAmericas’ nor
PepsiCo’s previously announced earnings per share guidance for 2007.
PepsiAmericas consolidates the joint venture into its financial results on a
one-month lag basis.
ABOUT SANDORA
Sandora has established itself as the leader in the high growth juice
category with a range of distinctly positioned brands that represent
approximately half of the total juice volume consumed in Ukraine. With over
3,500 employees, Sandora has a powerful sales and distribution organization
and two modern production facilities located in Nikolaev.
ABOUT PEPSIAMERICAS
PepsiAmericas is the world’s second-largest anchor bottler in the Pepsi
system and in the U.S. serves a significant portion of a 19 state region,
primarily in the Midwest.

Outside the U.S., the company has operations in Europe and Caribbean,
specifically in Poland, Hungary, the Czech Republic, Republic of Slovakia,
Romania, Ukraine, Puerto Rico, Jamaica, the Bahamas, and Trinidad and
Tobago.

The company also has distribution rights in Moldova, Estonia, Latvia,
Lithuania and Barbados. The company serves areas with a total population of
more than 150 million people. PepsiAmericas manufactures, distributes and
markets a broad portfolio of PepsiCo and other national and regional
beverage brands. For more information, please visit www.pepsiamericas.com.
ABOUT PEPSICO
PepsiCo (NYSE:PEP – News) is one of the world’s largest food and beverage
companies, with 2006 annual revenues of more than $35 billion. The company
employs approximately 168,000 people worldwide, and its products are sold in
approximately 200 countries. Its principal businesses include: Frito-Lay snacks,

Pepsi-Cola beverages, Gatorade sports drinks, Tropicana juices and Quaker
foods.

PepsiCo is listed on the Dow Jones North America Sustainability Index and
Dow Jones World Sustainability Index. For more information, please visit
www.pepsico.com.
CAUTIONARY STATEMENT 
This release contains forward-looking statements of expected future
developments, including expectations regarding anticipated earnings
associated with the Sandora acquisition.

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13.  WNISEF BOARD MEETING & BRIEFING IN WASHINGTON
Have raised a follow-on private equity fund of $130 million

U.S.-Ukraine Business Council (USUBC), Wash, D.C. Mon, Nov 5, 2007

WASHINGTON – The Board of Directors of the Western NIS Enterprise
Fund (WNISEF) met in Washington, DC on October 30, 2007.  While in
Washington the top management of WNISEF, along with the board,
provided financial highlights from the past year at an informal luncheon
briefing attending by officials of the U.S. government, Ukraine Embassy,
think-tanks. businesses and other organizations interested in Ukraine.

Natalie Jaresko, President and Chief Executive Officer said, “In 1995 when
Ukraine and Moldova were in the early years of their transition to a market
economy, WNISEF set upon a path to help these economies build a strong
private sector. A great deal has changed in the region since that time.

“A substantial M&A market has developed in Ukraine; foreign direct
investment and fixed capital investment overall are rising dramatically. The
banking sector of both Ukraine and Moldova is growing rapidly along with
consumer disposable income.

“This year we opened a new chapter in our effort to fulfill our mission. We
succeeded in raising a follow-on private equity fund of $132 million in less
than a year based on the team’s experience and expertise, as well as the
region’s promise.”

Mark Iwashko, Executive Vice President and Chief Investments Officer
stated, “WNISEF has completed its twelfth full year of operations in
the region with over $130 million invested in 31 companies in Ukraine and
Moldova since inception and a second, private $132 million fund almost
fully invested.

Our track record is proof to the marketplace that profitable investments
can be undertaken in this region and, as a result, create the human,
technological and investment capital needed to sustain these market
economies.”

WNISEF was established by the U.S. Congress and funded by the U.S.
government via U.S. Agency for International Development (USAID).

WNISEF is managed by Horizon Capital, a private equity fund manager
that originates and manages investments in mid-cap companies with
outstanding growth and profit potential in Ukraine and Moldova.

Horizon Capital team currently manages two funds, Emerging Europe
Growth Fund, LP (EEGF) and Western NIS Enterprise Fund (WNISEF).

Horizon Capital Advisors, LLC-Emerging Europe Growth Fund is
a member of the U.S.-Ukraine Business Council (USUBC). Natalie
Jaresko, Managing & Founding Partner, is a member of the USUBC
board of directors.  USUBC was represented at the WNISEF briefing
by its president, Morgan Williams.
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LINK: www.wnisef.org; LINK http://www.horizoncapital.com.ua/
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14.  UPS JOINS THE U.S.-UKRAINE BUSINESS COUNCIL (USUBC)

U.S.Ukraine Business Council (USUBC), Wash, D.C. Wed, Nov 7, 2007

WASHINGTON – The Executive Committee of the U.S.-Ukraine
Business Council (USUBC) is pleased to announce that UPS has
just been approved as the forty-ninth member of the USUBC and
is the twenty-seventh new USUBC member this year.

USUBC met with Arnold F. Wellman, Vice President, Corporate
Public Affairs, Domestic/International, in Washington. Mr. Wellman
confirmed the very strong business interest UPS has in Ukraine and
the desire of UPS to become a member of USUBC.

Morgan Williams, SigmaBleyzer, president of the USUBC said
Mr. Wellman will represent UPS on the USUBC board of directors.

The USUBC welcomes UPS into our rapidly growing membership.
UPS has over 300 employees in Ukraine and provides services to
many Ukrainian cities.

UPS was founded in Seattle, Washington on August 28, 1907 and
thus are celebrating 100 years of service.

Mr. Wellman has been to Ukraine many times and just recently
returned from a one week trip there. Arnold many times goes to the
Ukrainian village of Nizankowice, on the far western border near
Poland, where he works on a People-To-People project UPS has
implemented to support the development of the local school and
also to provide computers and satellite Internet connection.

UPS also has a People-To-People project in the neighboring small
villages of Lipa and Sierakosce, Poland. Last year, 80 UPS employees
from 11 countries built a fully functioning 38-foot by 42-foot computer
lab, complete with high-tech computers, printers, software, and training
for students, teachers, and residents in Lipa.

The People-To-People project is a part of UPS’ unique strategy to
personally get to know and understand the residents of a rural
community in a country where the company is doing business.

UPS has adopted a distinctly different approach to entering a new
market by encouraging its employees to immerse themselves in the
local culture as they work side-by-side with residents of the community
to improve their way of life.

The UPS Foundation enables nonprofit organizations to serve
communities more effectively around the world.  The UPS
Foundation’s global giving focus addresses three areas:  literacy,
hunger and volunteerism (www.community.ups.com).
TWENTY-SEVENTH NEW MEMBER FOR THE USUBC —-
UPS is the 27th new member for the U.S.-Ukraine Business Council
(USUBC) in the last eleven months and brings the Council’s total
membership to forty-nine. Information about the USUBC can
be found on the website: www.usubc.org

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
Ukraine Monthly Macroeconomic Report From SigmaBleyzer:
http://www.sigmableyzer.com/index.php?action=publications 
========================================================
15.  CAPITAL FLIGHT: UKRAINE’S GAS PRICE CONTROLS

PUSH U.S. FIRM CARDINAL OUT

Behind the Breaking News, Briefing: By Tammy Lynch, Senior Fellow
Behind the Breaking News, Volume VI, Number 1,
Institute for the Study of Conflict, Ideology and Policy,
Boston, MA, Thursday, 1 November 2007

In the midst of Ukraine’s ongoing political negotiations to create a new
government, a number of worrying signs for the country’s potential investors
have gone almost unnoticed internationally.

During the last two weeks, an independent US energy firm chose to leave the
country, while a military-style raid on a major oil refinery called into
question the country’s ability to enforce the rule of law.
CARDINAL RESOURCES
On 30 October, Cardinal Resources plc announced plans to sell its Ukrainian
assets.  The US-owned corporation was one of the first independent oil and
gas exploration firms to invest heavily in Ukraine 10 years ago, drawing
largely from US investors.

Its experience speaks volumes about the difficulties of working in an
environment that provides no legitimate avenues for influence on government
decisions and no clear rule of law.

According to Cardinal CEO Robert Bensh, his company’s exit from the country
is necessary because government price controls and increased fees make it
impossible to earn a profit – or even to break even. The company, he said,
“can’t generate any revenue because of capped prices.”  (1)

Bensh said the sale of the company’s interests was the only viable option
available, with bankruptcy protection being the company’s sole  alternative.
(2)  The Kuwait Energy Corporation (KEC), which bought Cardinal’s assets for
$71 million, will take over the company’s share in the operation of four gas
fields and three licenses in Ukraine.

According to those close to the operation, Cardinal had intended to invest
roughly $100 million in further exploration, in an attempt to increase
Ukraine’s domestic gas production.  The country now depends on Russia’s
Gazprom for 85% of its gas.  KEC likely will move forward with these plans,
after a pause to allow more favorable conditions to develop.

Investors are waiting, said Bensh, and are hopeful for more favorable
conditions under the new government, which should be confirmed by
mid-November. Regulations have “stopped most foreign investment” in the
energy field, leaving the country “18 months behind” where it would have
been, he said. (4)
DECREE 31
Cardinal’s difficulties began in December 2006, when Ukraine’s government
included a new regulation for international and domestic businesses in its
2007 state budget.

The regulation specifies that all companies in joint-ventures with
state-owned enterprises must sell their products to one state-designated
company at a fixed price. (5)

In February 2007, Ukraine’s government enacted the widely condemned “Decree
31.”  This measure forces energy companies like Cardinal to sell its product
to the state-owned Naftohaz Ukrainy, at a price set by Naftohaz Ukrainy.

The price offered was approximately $1.50 mcf (1 mcf=1,000 cubic feet).
This price is almost 300 times lower than the market price of around $4 mcf
for which Cardinal sold its product in 2006, before the new regulations.  It
is also below Cardinal’s production costs of $1.70 mcf. (6)

At the same time, the cabinet raised taxes and royalties on profits for most
companies operating in Ukraine to 30%-50% of gross profits.  It, therefore,
became impossible for Cardinal and other similar companies to break even,
let alone to make a profit.

In response, Cardinal repeatedly met with Ukraine’s officials, including
Fuel and Energy Minister Yuriy Boiko, to urge them to rescind Decree 31 and
return to market pricing. Cardinal representatives also say they sought
assistance from US government officials, but to no avail.

Another oil and gas exploration firm, Europa Oil and Gas plc, went to court
following the passage of Decree 31.  The company won its case based on
Ukrainian legislation governing foreign investment that guarantees the right
to sell at market prices.

The court ruled that the company could sell its gas at market prices, but it
has been reported that the government is simply ignoring the ruling. (7)

In response, several production companies attempted to stop selling their
gas domestically, pumping it into storage instead.  Cardinal received
information, however, that its gas has been taken from storage by Naftohaz
Ukrainy.  The company has been unable to confirm this report. (8)

Bensh and others interviewed for this article suggest several reasons for
the government’s actions:

First, Decree 31 was passed during the pre-election season.  By capping gas
prices, Yanukovych could guarantee low domestic prices for a limited time.
The increased taxes also could be used to help maintain budget expenses,
which ballooned prior to the election.

Second, some suggest that companies like Cardinal and Europa have been
caught in a larger struggle between Ukrainian business interests for control
of both Ukrnafta, Cardinal’s state-owned joint venture partner, and the
country’s overall gas network. The gas network is Ukraine’s most lucrative
asset, generating up to a quarter of the country’s GDP.
UKRNAFTA
In 2006, Ukrnafta produced 70% of Ukraine’s total oil and gas condensate and
16% of its natural gas output, according to a May 2007 report from Dragon
Capital.   (9)

Although the state owns a 50% + 1 share in Ukrnafta, it has been de facto
controlled by Pryvatbank (a subsidiary of the Pryvat Group), which
technically owns only 42%.

The CEO of Pryvatbank/Group, Ihor Kolomoisky, controls the Ukrnafta board
and most of its assets. This is thanks to former President Leonid Kuchma,
who reportedly allowed Pryvat “free rein in directing Ukrnafta,” and who
allowed Kolomoisky to install personnel loyal to him. (10)

Those close to the situation suggest that Yanukovych’s government may have
attempted to dilute Kolomoisky’s control over Ukrnafta through various
techniques, in order finally to assert the state’s majority interest.  Those
techniques appear to include minimizing Ukrnafta’s profits through Decree
31.

According to Ukrainian investment firm Concorde Capital, Ukrnafta has
suffered significantly from the price caps imposed by Decree 31 and by an
increase in their tax and royalty payments to 50%.

Like Cardinal, Europa and others, Ukrnafta has been unable to profit from
sales of its product. The company reported a 48% year on year drop in 9M
EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization).
(11)
KOLOMOISKY VS. FIRTASH
This drop in revenue has allowed fellow oligarch Dmitro Firtash to gain a
foothold in Kolomoisky’s interests. Firtash controls the gas distribution
company Ukrgazenergo – a subsidiary of gas intermediary RosUkrEnergo

– and Ukrnafta’s direct competitor. His interests are primarily co-owned with
Russia’s Gazprom.

Firtash has pushed in the last year to dominate Ukraine’s entire gas system,
from extraction to production to distribution.  The government’s new
regulations have (possibly unintentionally) assisted him, as his
international gas sales have cushioned his companies from the cap on
domestic prices. (12)

All of this reportedly has forced Kolomoisky into a deal.  Firtash now is
said to have taken over the controlling share of Ukrnafta.   This
information could not be confirmed.

If it is true, one company, backed by Russia, may now control Ukraine’s
entire gas system, with only the pipelines remaining clearly under state
control.  The most important effect of Decree 31 may be a lessening of the
already limited competition that existed in the gas sector.
THE POLITICAL RESPONSE
This is an issue that likely will be one of the first on the agenda of the
new Ukrainian government of Yulia Tymoshenko.  At an investor event in
September, Tymoshenko suggested that the state must create more effective
competition in the energy field.

She also stated that she would initiate a complete overhaul of business
regulations, with many simply being removed.  In particular, when asked
about “Decree 31,” she said, “Without question, that has to go.  It can’t
remain.  It’s not a complicated issue.”  Further, “We need market
mechanisms.” (13)

Tymoshenko and her allies also have expressed concern at the increasing
number of “corporate raids” on large companies, and the effect of these
raids on the energy market.  The raids have affected at least two of the
country’s oil refineries, as businesses fight for control of production
capacity.
THE RAID ON KREMENCHUG
Just two weeks ago, a group of “private security guards in camouflage
uniforms” arrived at the Kremenchug Oil Refinery, located in Ukraine’s
Poltava Oblast, and physically took control of the plant.

The CEO who has run the plant since 2004 was removed, while the former

CEO (from 2004) was reinstated. The Ukrtatnafta corporation, which is largely
owned by Russia’s Republic of Tatarstan and which controls the plant,
immediately stopped supplying the refinery with oil. (14)

Since the refinery provides up to 50% of all domestic oil products, the
price for petrol and other oil products in Ukraine has begun to increase.

Pavlo Ovcharenko, the CEO reinstalled by armed guards, claims he was
reinstated to the position thanks to a court order.  That court—located in
another oblast—reportedly ruled that 18% of the shares in Ukrtatnafta, which
are controlled by companies friendly to Tatarstan’s interests, should be
transferred to the state, giving it control.
CORPORATE RAIDING AND CORRUPTION
In its report “Corruption, Democracy and Investment in Ukraine,” The
Atlantic Council of the United States identified “raiding” as one of the key
areas of corruption in the country. (15) Various sources suggest that, in
the last two years, from 2,000-3,000 raids have occurred against major
corporate entities.

 In essence, the money (or to be blunt, bribes) reportedly paid for court
decisions and for the passivity of law enforcement officials, which
facilitates the raids, undermines the country’s entire system of rule of
law.

During a telephone conference call on 28 October, former (and likely future)
Finance Minister Viktor Pynzenyk (BYUT) identified both arbitrary
regulations and corporate raiding as the largest detriments to foreign
investment in Ukraine.

“The goal [of the new government] is to give all investors access, and we
would also like to introduce legislation to prevent further spreading of
raiders’ attacks, against which ordinary investors are defenseless.” (16)

Despite all of these concerns, foreign investors continue to express
interest in Ukraine, and the economy continues to perform well, given the
pressures on it, growing at least 6% per year.

The number of small and medium businesses in the country is steadily
increasing, as they generally are untouched by the battles raging over
Ukraine’s largest assets, while market mechanisms show signs of taking root
in many sectors.

Cardinal Resources’ Robert Bensh said he is “encouraged” by the country’s
prospects.  Most who have suffered losses because of arbitrary decisions or
unworkable fees also seem to believe that these issues can be addressed,
even though valuable time and momentum already has been lost.

Large investors say they are waiting, but not turning away.  It will be up
to Ukraine’s next government to ensure that this optimism is not misplaced.
———————————————————————————————–
SOURCE NOTES:
(1) Bensh telephone interview with author, 26 Oct 07.
(2) Ibid.; (3) Ibid.; (4) Ibid.
(5) Taras Kuzio, “Yanukovych and gas price capping,” Kyiv Post, 15 Aug 07.
(6) Interview with Robert Bensh by Morgan Williams, US-Ukraine Business
Council, in the Action Ukraine Report, 12 Aug 07.
(7) Bensh, ibid and Kuzio, ibid.; (8) Bensh, ibid.
(9) Dragon Capital, Ukrnafta: Ukraine Equity Guide, May 07.
(10) Zeyno Baran, “Energy Reform in Ukraine: Issues and Recommendations,”
The Nixon Center, Mar 05.
(11) Concorde Capital, Ukrnafta: Under Review Alert, 29 Oct 07.
(12) Bensh, ibid.; (13) “Contract with Investors,” Yulia Tymoshenko,

Investor/Press Event, Kyiv, 10 Sep 07.
(14) Bloomberg, 1153 EDT, 19 Oct 07 via www.bloomberg.com.
(15) “Corruption, Democracy and Investment in Ukraine,” Policy Paper, The
Atlantic Council of the United States, Oct 07.
(16) Conference Call with Viktor Pynzenyk, hosted by Concorde Capital, 28
Oct 07.
———————————————————————————————
LINK: http://www.bu.edu/iscip/bbn.html
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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16.  POLISH KITCHENWARE CO MOVES INTO UKRAINIAN MARKET

By Volodymyr Obolonsky, The Ukrainian Times
Kyiv, Ukraine, Monday, November 5, 2007

KYIV – The firm Zelmer-Ukraine, which is the subsidiary of the Polish
kitchenware manufacturer Zelmer, has started operating in Kiev.
Among Zelmer products are more than 40 models of vacuum cleaners,

microwave ovens, coffee makers, juicers and mixers.

Owing to high quality and reliability the Polish kitchenware find a market
in CEE countries. The receipts from export of Zelmer products amount to a
third. Established 70 years ago, the Polish enterprise has set up
subsidiaries in the Czech Republic, Slovakia, Romania and Russia.

According to the head of a Zelmer sales department, the tasks that face the
Kiev representative office are to promote Zelmer products on the Ukrainian
market, establish the system of servicing household appliances and organize
their production in Ukraine.
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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17.  UKRAINE AGAIN POSTPONES INCREASE IN GRAIN EXPORTS 

Ukrainian News Agency, Monday, November 5, 2007

KYIV – The Cabinet of Ministers has postponed the start of exports of

1.203 million tons of grain from November 1, 2007, to December 31, 2007.

Ukrainian News learned this from resolution No.1287 of October 31 by the
Cabinet of Ministers, the wording of which was made available to the agency.

The document amends government resolution No.1179 of September 26
introducing that the export of 1.203 tons of grain was permitted from
November 1, 2007 to March 31, 2008. The resolution amends only the start

of grain exports.

The volume of allowed grain exports remains the same – 1.203 million tons,
as well as the date of the end of the exports – March 31, 2008.

As Ukrainian News earlier reported, the Cabinet of Ministers has permitted
to export 1.203 million tons of grain from November 1, 2007 to March 31,
2008.

In particular, the Cabinet of Ministers allowed export of 600,000 tons of
corn, 400,000 tons of barley, 200,000 fodder wheat of the sixth. Earlier,
the Cabinet of Ministers fixed quota for grain exports of 12,000 for
2007/2008 marketing year.

In particular, quotas were introduced in the volume of 3,000 tons for
exports of each culture: wheat, mixture of wheat and rye [meslin], barley,
corn and rye as of July 1 – October 1.
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18.  UKRAINE’S LARGEST RETAIL OPERATOR FOZZY

GROUP BUYS KIT SUPERMARKET CHAIN IN ZAPOROZHIE

Property Xpress, Sofia, Bulgaria, Thursday, November 1, 2007

KIEV – Ukraine’s largest retail operator Fozzy group signed last week an
agreement on the acquisition of Zaporozhie-based Kit supermarket chain.

This is the group’s second large-scale supermarket chain purchase within
a month, www.retai.net reports.

Velikaya Kishenya, Fourchet and Eco-Market were also bidders for taking over
the USD 30 mln Kit chain of 24 stores (17 in Zaporozhie, one in Berdyansk
and six more to be opened soon in different cities in the district).

 Kit supermarket network offers four store sizes: premium class
(Kit-Favorite supermarkets), the classical Kit, Hit mini market and cash &
carry Euro Kit. Middle and Middle + class clients are targeted by the chain.

The first Kit supermarket was opened in August 1999. The company registered
EUR 44 mln turnover for 2005, while the turnover for 2006 was unofficially
estimated at USD 78 mln. The company’s General Director Tim Samarskiy, a
member of Zaporozhie City Council, is the main shareholder of the chain.

According to experts, the reason for the Kit network acquisition is the
tough competition on the Zaporozhie market. The transaction allows Fozzy
Group, operator also of four Silpo stores in Zaporozhie and one in each of
cities like Berdyansk, Militopol and Dneprorudniy, to become leader of the
local market.
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LINK: http://www.propertyxpress.com/getnews/0000003593
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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19.  SWEDISH RETAILER IKEA BUYS LAND IN KIEV
Plans four mega commercial centers in Ukraine’s regions.

Property Xpress, Sofia, Bulgaria, Tuesday, October 30, 2007

KIEV – IKEA, Swedish largest furniture retailer, has acquired a 20 ha
land lot in the Ukrainian capital. According to market players the deal is
estimated at USD 50 to 80 mln. The land is in Kiev’s Podolsk section,
Building reports.

IKEA branch promised to comment on the transaction later. Earlier, Per
Kaufmann, General Director at IKEA for Russia and CIS, noted that the
company will acquire its first parcel for construction of a commercial
center near Odessa.

As indicated in Property Xpress, by the end of this autumn, IKEA will sign
a contract with the European Bank of Reconstruction and Development
(EBRD) on receiving a USD 100 mln loan.

According to the documentation, the loan is a part of a USD 414 mln plan
for construction of four mega commercial centers in Ukraine’s regions.

Anchor tenants in these commercial centers will be IKEA furniture outlets.
The entire project is due for completion within two years. IKEA Group,
founded in 1943, has a commercial center network of 223 outlets in 24
countries. Besides this, 30 stores, managed by private franchisees, operate
in 16 countries.
———————————————————————————————
LINK: http://www.propertyxpress.com/getnews/0000003568
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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20.  UKRAINE: SETTING THE INVESTMENT AGENDA

Bloc of Yulia Tymoshenko (BYuT) Newsletter Issue 52
Kyiv, Ukraine, Tuesday, November 6, 2007

Despite its growing economy, Ukraine still languishes behind many former
Soviet bloc countries in Eastern Europe when it comes to attracting
entrepreneurs. According to a report published in the Economist, Ukraine
lies in 70th place out of 82 countries surveyed.

Understanding the need to make Ukraine a more attractive proposition to
investors, Viktor Pynzenyk of the Bloc of Yulia Tymoshenko (BYuT) and leader
of the Reforms and Order Party took time to convey to western investors the
main thrust of BYuT’s economic policies.

The former finance minister held a conference call hosted at the offices of
Concorde Capital, one of Ukraine’s leading investment banks.

The call attracted representatives from more than 60 western funds and came
hot on the heels of a similar call hosted by Bear Stearns earlier last
month. Both interactions underline the investment community’s thirst for
information as it prepares to come to grips with the impending new
administration.

Business New Europe described it as “a slick performance by Pynzenyk, who
was on message to sell a transfer of power that should end in November with
Tymoshenko taking control as Ukraine’s new prime minister.”
PRIVATISATION POLICIES
Once questions on the timing and likely make-up of the new government were
out of the way the question on most people’s minds was privatisation policy
and whether a Tymoshenko-led coalition government would embark upon a
wholesale re-privatisation programme?

According to Concorde Capital: “On the topic of privatisation Pynzenyk’s
goal was clear: the only criterion for those wishing to take part in public
tenders was price, with assets going to the highest bidder. One of the main
goals of the new government will be providing greater access to all who wish
to take part in privatisation tenders.”

On the issue of re-privatisations, Mr Pynzenyk was equally emphatic. “Even
back in 2005, Yulia Tymoshenko’s Cabinet had no plans to revise the outcomes
of privatisations. Nor does Yulia Tymoshenko have plans like that today.

“What the government will do is to take corrective measures through the
courts and challenge certain privatisation projects,” he said. Mr Pynzenyk
made it clear that it should be a non-political issue with the matter left
to the courts to examine some cases where the tender process did not
correspond to the law.

The great irony is that Yulia Tymoshenko has never advocated a mass
privatisation programme. A news report in 2005 which suggested she advocated
reprivatising 3,000 companies was a cynical misrepresentation of the point
she was making, which was that unless there was clarity on the issue there
could be 3,000 disputes going through the courts which would harm investment
prospects.

Ironically, she was campaigning for the very thing her party has always
stood for: clear policy and the protection of property rights in accordance
with the rule of law.

Mr Pynzenyk’s tone underlined a maturity in the Orange camp that was not
lost on the audience. “Tymoshenko is pitching a new pragmatic stance and has
backed off from her fiery rhetoric,” commented Business New Europe.

Going forward Mr Pynzenyk promised that a Tymoshenko-administration would
end the crony-capitalism that characterised the Yanukovych-administration.
The entire process of privatisations and the sale of licenses will be
subject to open tenders and fair competition.
SIMPLIFY THE SALE OF LAND
This process will also be extended to the sale of land which Mr Pynzenyk
pledged would be “radically simplified” with land sold only after
pre-defining its purpose.

This will come as a relief to many and in particular to backers of
greenfield construction projects who will be able to invest with greater

confidence.

On the thorny issue of the sale of agricultural land, Mr Pynzenyk said that
the present moratorium was meant to be short-lived whilst the government
made important changes to agricultural property legislation. Rules for
altering land and the creation of a single unified land registry were
mentioned as regulations that must be adopted.
FAIR TAXATION
One of the objectives of the new administration will be to increase foreign
direct investment into Ukraine. Mr Pynzenyk recommended to “abolish all
taxes on investment” so as to create an even playing-field in which “all
investors should enjoy an equal standing.”

This would rule out special economic zones which, in the past, have been
havens for fraud and corruption. Also planned is a change in the way taxes
are collected with greater focus on businesses that deviate from the rules.

“Those companies that pay taxes in good faith should never see the face

of a tax inspector on their doorstep,” said Mr Pynzenyk.

In answer to a question on the exchange rate, Mr Pynzenyk said that he saw
significant appreciation potential for the hryvna, which he thought should
no longer be pegged to the dollar if the country wants to avoid inflation.
He advocates a more liberal exchange rate with an emphasis on inflation
targeting.

He endorsed the Central Bank’s policy in this respect and outlined the need
to slow external borrowing and focus more on the domestic market where

bank liquidity is high and has put heavy upward pressure on inflation.

The conference call underlined BYuT’s commitment to attracting foreign
investment and conveyed a strong message that a Tymoshenko-led
administration would have a positive impact on the investment climate.

Furthermore, it strengthened the arm of the growing band of revisionists by
dispelling the spin that has been skilfully applied in the past to black
paint Ms Tymoshenko’s economic and fiscal credibility.

Speaking after the call Mr Pynzenyk said, “It’s really quite simple when it
comes down to it; stability, transparency and accountability, that’s what we
stand for.”
———————————————————————————————–
Questions or comments? E-mail us at nlysova@beauty.com.ua
For the latest English-language news from BYuT visit www.ibyut.com

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21.  MCCONNELL: MY OPTIMISM IS THE PEOPLE OF
UKRAINE, ESPECIALLY THE YOUNG PEOPLE OF UKRAINE,
THEY WANT SOMETHING BETTER FOR THEIR COUNTY

COMMENTS: By Robert McConnell, Attorney
2007 Convention Gala of the Ukrainian-American Bar Association
Washington, D.C., Saturday, September 22, 2007
Action Ukraine Report (AUR) #888, Article 21
Washington, D.C., Wednesday, November 7, 2007

Thank you for that introduction Andrij (Steckiw) – – I must admit that it
has been a number of years since I joined you at one of these events.

And as I reflected on those years in the early 1990s when I was a regular
attendee at UABA functions I was also reminded of the early days of
Ukraine’s coming out from behind the Iron Curtain.

As Judge Futey and Taras Szmagala and some of the others here tonight know,
my wife Nadia – who is in Kyiv tonight – and I, along with several others
brought the first republic-specific delegation of officials from the Soviet
Union to the United States in 1991 – it was a delegation of 13 members of
the Rada for two weeks in the United States for a program on the American
System of Governance.

During that trip one of the sessions was in the United States Supreme
Court – lunch with Justice Sandra O’Connor followed in one of the Court’s
wonderful conference rooms then-Solicitor General of the United States,
Ken Starr.

Ken explained the role the Solicitor General plays as a bridge of sorts in
the intra-branch relationship between the Executive and the Judiciary in our
system.  In his talk he used an example of a case he had recently argued
before the Court.
REKINDLED UKRAINIAN PRIDE
To put this story in perspective remember that Ukraine was still part of the
Soviet Union, Ukraine’s blue and yellow flag was not yet legal but it was
being displaying in Kyiv and across Ukraine more and more.

Rekindled Ukrainian pride was emerging and the flag was a big part of that
phenomena.  All of the deputies present were proud of that blue and yellow
flag.

The example Ken used was a recent flag burning case he had argued.
Essentially he gave the delegation a summarized version of his case to the
Court – why the Court should uphold the law making the burning of the
United States flag a criminal offense.

He talked about the importance of the flag to the nation, about how it was
in the fabric of our society, how after an all night battle in Baltimore
harbor “by the dawn’s early light” the flag was still there, how the
pictures of the flag raising over Iwo Jima lifted the nation and made us
believe the war in the Pacific could be won.  Our flag was sacred and not
to desecrated.

You could watch the faces of the deputies – – you could see that they were
“into” Ken’s argument, approved of every point and emotion.

But then Ken said, “But the Court has ruled and it ruled that I was wrong.”
You could see the deputy’s faces fall. Ken explained that the Court ruled

that the principal of freedom for which the flag stood was more important
than the symbol itself.

You could watch the deputies.  Intellectually you could see that they
understood the point but they didn’t like it, their emotions were in
dissent.

I think reflecting on that story is relevant today maybe as much as it was
in the early 1990s.   It was an example of the power of the rule of law and
the rule of law continues to be elusive in Ukraine – painfully so.
A STORY FROM THE ORANGE REVOLUTION
With the voting in the parliamentary elections coming up in a few days I
offer tonight a few reflections on the political situation and possibly a
few ideas for the Association.  But first I reflect on one – just one –
story from what was popularly called the Orange Revolution.

As we all know, upon the conclusion of the initial Presidential election in
2004 the ruling party declared its candidate, Viktor Yanukovych, the winner.

Tens of thousands of peaceful demonstrators filled the streets of Kyiv
protesting the rigged election and the country’s general and rampant
corruption – and abuse of authority by those in power.

Soon many Ukrainian television reporters were on strike, protesting
government pressure to slant the news coverage.  The major media bosses
blacked out coverage of the huge popular demonstrations.

It seemed as if no one was left with access  or the courage – to speak out
and tell the nation the truth on the largest media outlets in the country.

But as The Wall Street Journal reported, the Kuchma government had not
counted on Natalia Dmytruk – as Bohdan Futy and Terry Szmagala know,
you can’t count of my pronunciation of Ukrainian names – you are simply
going to have to accept my version.

Ms. Dmytruk, a sign-language interpreter at Ukrainian state television
network, “. adopted guerilla tactics to break the information blockade.
Conspiring with her makeup artist, (she) tied an orange ribbon inside her
sleeve.

Then, after interpreting the news broadcast for the deaf, (she) bared her
wrist. ‘Everything you have heard so far on the news was a total lie,’ she
told viewers in sign language. ‘Yushchenko is our true president.  Goodbye,
you will probably never see me here again.'”

Ms. Dmytruk was immediately greeted with hugs from her colleagues and
word spread rapidly.  The station’s technicians and the staffs of the daily
children’s show and other non-political programs decided to join the strike
over media coverage.

Happily the forces of democracy gained ground and essentially backed by the
Rada and the Constitutional Court there was, as we all know, a revote and
Viktor Yushchenko became Ukraine’s president.
THE HEROES OF THE ORANGE REVOLUTION
My point here is that Ms. Dmytruk and thousands like her who stood up to
the corrupt authorities were the heroes of the Orange Revolution.  The
beneficiaries of their demands for change may have been the politicians on
the stage of the Maidan, but the heroes were the citizens of Ukraine.

They showed a shocking collective drive toward self-determination and a
refusal to accept the top-down power structure that had essentially carried
forward from Soviet days.

The popular mandate for the Orange leadership was therefore to govern on
the basis of the rule-of-law, a mandate the new president and government
pledged to respect in their bid to build a country worthy of its rich
European heritage.  The world applauded and anticipation grew inside

and outside Ukraine.

I believe it is fair to say Ukrainian-Americans were euphoric over the
anticipated release of what was believed to be the long suffering and
hostage Ukrainian potential.

Well, as we have seen – and as we really should have anticipated – nation
building is not that easy, nor is systemic corruption shed so quickly.
LEGAL REFORM WAS A KEY PRIORITY
Legal reform was a key Orange priority.  Yet nothing was done – nothing.

As a result, the first year of the new presidency saw inconvenient court
rulings, such as the one by the Supreme Court annulling the removal of the
Kyiv oblast governor, not only ignored but used as a pretext for attacking
the credibility of a widely corrupt legal system.

And this continual criticism was never counterbalanced by any positive moves
to improve the performance of the courts through systematic reforms.

In the Rada – OH, in the Rada – the obvious public corruption is the type of
thing we would see here on Saturday Night Live.

The constitution forbids deputies voting any voting cards but their own –
and yet national television coverage of the Rada sessions often show very
few deputies present during voting and party and faction leaders standing in
front of the voting machines voting – card, after card, after card.

How can the citizens of Ukraine take seriously the rule of law when law
makers themselves offer not even a public pretext of adherence to
constitutional restrictions?

It is shameful and certainly not limited to any party or faction.  This
blatant disregard for the laws governing voting is universal in the Rada.
So, the great and exciting promises of the Maidan remain unfulfilled.

Without pointing fingers and analyzing who did and didn’t do what and where
fault might lie the reality is that corruption remains, lines blur between
good and bad, right and wrong, personal egos and personal agendas reign
supreme in a patchwork of alliances that are hard to believe and constantly
shifting.  And, for emphasis here, I reiterate – a legitimate rule of law at
best remains elusive.

Among the political elite there is ambivalence toward the constitution, an
almost comical disregard for the nation’s laws and any real pretence of
governance according to law.  Orange has morphed into blue and then into a
kaleidoscope of confusing and contradictory political colors.

This is all fed by the continuing thrashing about of Ukraine’s government
and politicians – the internal jousting of the original Orange coalition –
and to me the bazaar return to power of Viktor Yanukovych.
DISAPPOINTMENT, FEELING OF BETRAYAL
Obviously there is disappointment and a feeling of betrayal among those who
took to the streets, slept in tents, froze through the nights and spread out
across Ukraine to campaign and monitor the Presidential revote.

And here in the United States you can see and you can feel that a very
similar fatigue that has set in within the community and here in Washington.
Exciting promises dashed has a way of doing that.

And, I believe it is quite fair to say that the upcoming parliamentary
elections offer little to no hope of breathing life into the promises of the
Maidan, and they certainly offer no promise of a renewed effort to establish
governance under any true rule of law.

All parties to the latest political crisis have shown few qualms in using
courts at all levels as an instrument in the pursuit of narrow
party-political goals instead of striving to ensure the development of the
courts as genuine arbiters of Ukraine’s still relatively fragile democracy.
I AM OPTIMISTIC, UKRAINE IS CHANGING
But, despite all I have said and how I have sounded here, I am optimistic.

Ukraine is changing.  One of the lasting political gains of the Orange
Revolution is that all political forces now understand that they do have to
sell themselves to the public – voters matter.

Given where Ukraine was this is a critical early step toward democracy and
it now is a permanent feature of the political fabric of Ukraine.

A next step is forcing those elected, through the institutions of civil
society and the rule of law, to implement the promises made.  This will be
more difficult.  And, I believe there is a definite role for
Ukrainian-American lawyers in helping Ukraine meet the challenges of this
effort.
NOT A TIME TO CLAIM “UKRAINE FATIGUE”
This is not a time to claim “Ukraine fatigue” and withdraw from the great
cause that has been the dream of many of you and so many of your parents
and grandparents.

As an American with no hyphen I also believe strongly that we cannot
withdraw from this great cause because the existence of a free, independent
and democratic Ukraine is in the United States’ national security interests.

You know back in early 1991 at one of your meetings another McConnell,
Nadia, spoke to you.  Not too long before we had established the
U.S.-Ukraine Foundation and set up offices here and in Ukraine.

Nadia suggested working together on programs relating to constitutional
reform and the rule off law.  Obviously since that time the Association –
and the Foundation – have carried out any number of programs and individual
members of the Association have been deeply involved in democratic
institution building programs in Ukraine.
NOT A SPORT, THERE ARE NO TIME OUTS
Yet I want to emphasize that building and maintaining a democracy and
governance under the rule of law is not a sport, there are no time outs,
there is no time clock.  There is no end. Here in the United States there is
a constant ebb and flow within our system.

There are groups like the Federalist Society that continually foster
wide-ranging debate on the great and on-going legal issues of the day –
making sure that our Constitution is honored and that the Constitution is a
part of all discussions about the evolutionary trends within the distinct
areas of our law. As one of our Founding Fathers said, “You now have

a democracy if you can keep it.”

This business of government – democratic government – whether here in the
United States or in emerging Ukraine is a serious undertaking that is never
easy. So why when I see so challenges and so much corruption and

ambivalence toward the rule of law in Ukraine do I remain optimistic?

As I said, elections are contested and politicians now have to pay attention
to the voters, they have to convince the electorate to vote for them.
MY OPTIMISM IS THE PEOPLE OF UKRAINE
But the real reason for my optimism is the people of Ukraine, especially the
young people of Ukraine.  They went to the streets and they see what is
going on and they want something better for their country.

When I monitored polling places in Eastern Ukraine, in Mr. Yanukovyich’s
hometown, during the 2004 revote we found a number of young college-age
students serving on the election commissions.

In fact in a number of polling stations we found college age Yushchenko
supporters who had traveled from central and western Ukraine and who had
been elected chairmen of the local election commissions.  Why?

Because, we were told, they came into town days before the revote,
introduced themselves, showed their credentials and showed that they clearly
understood all of the details of the election law and satisfied everyone
that all they wanted as a fair and honest vote. Honest, and thoughtful citizen

involvement – another key to successful democracy.

I see young people in Ukraine, following political events and seeing clearly
the continuing need for change.  I see lawyers persevering and trying to tug
and pull the processes toward governance under the law.

I see young Ukrainians here in Washington – interns, Fulbright scholars,
students – bright, inquisitive young people who have a grasp of what is
happening in Ukraine and can see clear comparisons from the perspective
gained during their time in the West.

And, most important, we see these young people not beaten down by Ukraine
fatigue but energized by their vision of what can be.  They are returning to
Ukraine and taking with them the knowledge and experiences they have
gained – – anxious to put those experiences to work in their country.
UKRAINE IS THEIR COUNTRY
And – it is important for us to remember – Ukraine is their country.  The
decisions about what the people of Ukraine want in and from their government
are theirs to make.  We should only assist and support their efforts – but –
we should assist and support and share our experiences.

You, the members of the Ukrainian-American Bar Association should – and I
believe have an obligation to – share your talents and experiences with
those who thirst for support, guidance, counsel and positive reinforcement.

Most of you – perhaps all of you – have seen the appreciation of the young
Ukrainians who listen to discussions of the law, its meaning, and its
indispensable value to fair and honest governance.   You need to be there
for them.

Surely there are any number of programs you can add to your arsenal from
your individual and collective experiences here.  I mentioned the Federalist
Society and its constant programs about the great legal issues of the day.

I don’t know how our continuing legal education-type programs might best
be adapted to the Ukrainian situation, but I must believe a thoughtful
national debate about the constitution and the rule of law could teach and

excite – yes, excite Ukraine.

Just think – what the printing and circulation of the Federalist Papers and
stimulating national debate over those papers did for the growth of our
nation?

I did not come here to design programs.  But I do want to call for continued
involvement and voluntary commitment from the Association and each of you.

The cause is just; the need is great; and the rewards can truly extend beyond

your beloved Ukraine to the United States and to the world.

Thank you (in Ukrainian)
God bless America And Slava Ukrainia. 

————————————————————————————————
NOTE: Robert A. McConnell, attorney, is co-founder of the U.S.-
Ukraine Foundation (USUF) and Vice President of Hawthorne & York
International Ltd. He is a former top official of the U.S. Department of
Justice.  He has spent endless hours over the past 20 years or more
working on behalf of an independent, democratic, prosperous Ukraine.
————————————————————————————————
FOOTNOTE: Subheadings inserted editorially by the Action Ukraine Report.

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========================================================
22.  INTERNATIONAL 75TH COMMEMORATION EXHIBITION,

HOLODOMOR 1932-1933, TO BE HELD IN KYIV, AT UKRAINIAN
HOUSE FROM TUESDAY, NOV 20 TO THURSDAY, DEC 6

Action Ukraine Report (AUR) #888, Article 22
Kyiv, Ukraine, Wednesday, November 7, 2007

KYIV, Ukraine – The “We Accuse: Holodomor Genocide 1932-1933”
International Exhibition for the 75th Commemoration of the Holodomor

1932-1933 (induced starvation, death for millions, genocide) will be held
in Kyiv at the Ukrainian House from Tuesday, November 20 through
Thursday, December 6, 2007.

The Administration of President Viktor Yushchenko is in charge of the
exhibition which is under the direction of Ivan Vasiunyk, First Deputy

Head of the Presidential Secretariat, and Vasyl Vovkun, production
and artistic director.

The international commemorative and educational exhibition will feature
four individual Holodomor presentations which will be displayed for

seventeen days in the Ukrainian House in the center of Kyiv.
 
Historical and educational presentations will be made by the:
 
[1] Ukrainian National Institute of Memory, Ihor Yukhnovsky,
     Director;
 
[2] Ukraine 3000 International Charity Fund, Kateryna Yushchenko,
     Head of the Supervisory Board;
 
[3] Security Service of Ukraine (SBU), Valentyn Nalyvaichenko,
     Acting Chief, and by the 
 
[4] Holodomor Education and Exhibition Art Collection, Morgan
     Williams, SigmaBleyzer, Founder and Trustee. 
 
The National Institute of Memory will display their newly created
set of sixty-four panels/posters that tell the story of the Holodomor
in documents, historical data, testimonies, photographs and other
historical information. 
 
The Ukraine 3000 International Charity Fund will display a large
number of posters about the Holodomor created by students and
artists this year in response to a Holodomor poster contest organized
by the Ukraine 3000 Fund.  People attending the exhibition will be
able to vote for the posters they think are the most outstanding. 
 
The Security Service of Ukraine (SUB) will display their set of
over 60 panels/posters created from material in their archives about
the Holodomor such as historical decrees, letters, government
documents, photographs, and other items from the SBU archives.
 
The Holodomor Education and Exhibition Art Collection will display
over 100 original art works depicting the “Holodomor Through the
Eyes of Ukrainian Artists.”  The original artworks will include oil on
canvas paintings, black and white drawings, linocuts, paint on board
poster art and other graphical materials. 
 
Many of the artworks were created between 1989 and 1993, the first
years artists in Ukraine were ever allowed to deal with such subjects
as the major crimes of communism. Some of the poster art will
include works by students at the Art Academy in Kyiv created in
2006 and 2007 under the direction of Professor Vitaliy Shostia, a
program sponsored by the Holodomor Education and Exhibition
Art Collection. 
 
High school students from the Poltava Oblast will also have
some Holodomor works on display.  Movies and documentaries
will be shown throughout the seventeen day exhibition. Books
about the Holodomor will also be on display.  The exhibition will
be the largest Holodomor exhibition ever held in Ukraine and is
open to the public. 
 
Ukrainian President Viktor Yuschenko has called on the international
community and governments around the world to condemn the crimes
committed by the Stalin regime and to declare the Holodomor of
1932-1933 as a genocide against the Ukrainian people.
 
‘The crimes of the Stalin regime – the 1932-1933 famine-genocide in
Ukraine, the major terror of the 1930s – should be fully condemned by
the international community. It is the duty of all countries, political and
public forces that accept the values of democracy,’ Yuschenko said.
————————————————————————————————
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========================================================
23.  NOT TOO LATE: THREE MESSAGES IN UNESCO
RESOLUTION COMMEMORATING HOLODOMOR VICTIMS

By Mykola SIRUK, The Day Weekly Digest #33
Kyiv, Ukraine, Tuesday, November 6, 2007

On Nov. 1, 2007, the 34th General Conference of UNESCO, consisting of

193 countries, unanimously adopted the resolution “Remembrance of
Victims of the Great Famine (Holodomor) in Ukraine.”

Recalling the 1932-33 Holodomor, which claimed millions of innocent
Ukrainian lives, the UNESCO General Conference stated that the Holodomor
tragedy, caused by the cruel actions and policies of the totalitarian
Stalinist regime, should be a warning to the present and future generations
with the goal of upholding democratic values, human rights, and rule of law.

The Ukrainian media instantly noted that the word “genocide” is missing from
the text of the resolution. It is common knowledge that Ukraine insists that
the 1932-33 Holodomor be recognized worldwide as genocide of the Ukrainian
people.

During a press conference held by President Viktor Yushchenko of Ukraine,
attended by journalists from five Ukrainian print publications, The Day’s
correspondent asked the Ukrainian head of state to comment on the UNESCO
resolution and say whether he thinks it is in line with the Ukrainian vision
of the tragic events that occurred 75 years ago.
PRESIDENT VIKTOR YUSHCHENKO
“It is not too late. We must understand that informing the entire world
about the tragedy – the great famine of 1932-33 – is not a matter of one
calendar year. We should understand clearly that this issue entails very
many challenges that the Ukrainian nation is facing.

What happened yesterday (Nov. 1. – Ed.) in fact proves that the work that
Ukraine and its political forces and diplomacy have done in the past two
years has been duly recognized by 193 countries that passed a unanimous
decision yesterday. \

“It is very important for me that for the first time the world community has
passed such a high- level joint decision on recognizing the Great Famine of
1932-33.

This is the most important victory of yesterday. Other, more specific,
details of this tragedy are our future work. Excuse me, but if it took our
society 73 years to have a parliament that recognizes this as the Holodomor,
can we reproach the world?

“For 73 years we were afraid to say clearly that this is so, but now are
demanding that 193 countries do what the nation itself, Ukrainians
themselves, the leaders themselves did not have enough courage to do.

“I think we have received three messages.
[1] First, we have proved to the world that this is not an exclusive tragedy
of the Ukrainian nation: this is a tragic page that should be known and
commemorated throughout the world.

[2] Second, it is significant that the UNESCO General Conference is also
marking the 75th anniversary of this tragedy.

[3] Third, it is important that with this resolution UNESCO has recommended
that the signatory countries make sure that this course of history, this
truth, will be part of curricula and educational programs in every country
of the world so that they will better understand the tragic nature of this
event in Ukraine.

“I think these are the three strongest messages of which we can be proud.
For, above all, this is about our tragic history and the ideas that we would
like the world to accept.”
PROFESSOR STANISLAV KULCHYTSKY
We requested a comment from our regular contributor Stanislav Kulchytsky,
whose book “Why Did He Exterminate Us? Stalin and the Ukrainian \

Holodomor” was published this year in The Day’s Library Series.

“Online publications reacted to this event on the day it took place. Ukraine’s
Internet space is almost entirely filled with Russian mass media, so the
headlines typically said, ‘UNESCO fails to recognize the 1932-33 famine as
genocide.’ So The Day’s expert should comment on both the event and the
first reactions to it.

“This event was predictable. The international community expressed sympathy
with the Ukrainian people because this tragedy is now known to a certain
number of people who are shaping public opinion in every country.

“This is a major achievement for our diplomats, journalists, statesmen, and
academics. This is another step in understanding the tragic history of our
people by those who until very recently could not even find Ukraine on a
map.

“Following standard procedure, our diplomats drew up a draft UNESCO
resolution. The actual resolution included the most important provision of
the draft: an appeal to UNESCO member states to disseminate information
about the Holodomor by including it in educational and research programs so
that the generations to come will learn the lessons of this tragedy.

“It is also important that the recommended appeal was in the form of a
UNESCO resolution.

“In 2003 the UN marked the 70th anniversary of the Holodomor by adopting a
lower-status document – a joint statement by a group of countries. The
Ukrainian delegation’s attempts to grant the document resolution status were
thwarted at the time.

“Very soon, on the 75th anniversary of the Holodomor, Ukrainian diplomats
will again be urging the UN to recognize it as an act of genocide.

“We have a year during which the president of Ukraine intends to proclaim a
year in honor of the memory of Holodomor victims. I think we will do a lot
during that year to convey the magnitude of this tragedy to the Ukrainian
public and people in other countries.

Will these efforts be enough to convince Russian politicians and ordinary
people that the 1932-33 famine in the Soviet Union had a qualitatively
different form – the Holodomor – in Ukraine? I doubt it, and not because we
will be insufficiently convincing.

So far Russia and a large number of Ukrainians who support the Party of
Regions do not want to enter into a dialogue on this issue. This
unwillingness is linked with today’s circumstances, not with a different
viewpoint on the events of the 1930s. This is the main obstacle.

“What should be done in this situation? That which the UNESCO conference
unanimously advised us in the Holodomor resolution: to disseminate
information on the Holodomor by making it part of educational and research
programs.

“If the UN fails to recognize the Holodomor as genocide in 2008, which is
quite possible because of Russia’s negative position, we will go on working.

“All of us, in both Ukraine and Russia, must learn from the lessons of the
past. The past must not ruin our future, the lives of our children,
grandchildren, and great-grandchildren.”
————————————————————————————————-

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========================================================
24.  GERMANY READY TO ASSIST IN DELIVERING TO
ITS CITIZENS
INFORMATION ABOUT 1932-1933 FAMINE 

Ukrainian News Agency, Kyiv, Ukraine, Tuesday, November 6, 2007

KYIV – Germany is ready to assist in delivering information about the

1932-1933 Famine in Ukraine to its citizens.

Ukrainian News learned this from the press service of the Ministry of
Foreign Affairs, which referred to a meeting between First Deputy

Minister of Foreign Affairs Volodymyr Ohryzko and Minister of State
of the Federal Ministry of Foreign Affairs of Germany Gernot Erler in
Germany.

According to the report, the officials agreed on the German ministry’s
assistance in the conduct of joint measures at parliamentary, academic
and non-governmental institutions with the aim of delivering objective
information about the 1932-1933 Famine to the public.

Additionally, the officials discussed the process of building a
parliamentary majority and the new government in Ukraine, Ukraine’s
entry to the European Union and NATO, bilateral relations.

Erler indicated hope for the soonest appointment of the Ukrainian
government and continuation of active cooperation in the areas
prioritized by both sides.

He further emphasized on Germany’s readiness to deepen bilateral
dialogue in implementation of Ukraine’s key foreign policy priorities.

As Ukrainian News earlier reported, on November 1, the 34th session
of the General Conference of UNESCO adopted a resolution on

commentating the victims of the 1932-33 Famine in Ukraine.

The Foreign Affairs Ministry presented the draft of the resolution on
infirming member-states of UNESCO about the Holodomor of 1932-33

in Ukraine to UNESCO for consideration on October 4.

President Viktor Yuschenko declared 2008 as the year of commemoration
of the Holodomor victims. The Ukrainian parliament declared the

Holodomor of 1932-33 in Ukraine as an act of genocide against the
Ukrainian people in 2006.

Ukraine will honor the memories of the victims of famines and political
repression on November 24. Between 3 million and 7 million people died

during the 1932-33 Famine in Ukraine, according to various estimates.
Moreover, some historians are saying there were famines in Ukraine in
1921-1923 and 1946-1947.
————————————————————————————————
LINK: http://www.ukranews.com/eng/article/78297.html
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
25.  HOLODOMOR: WAS IT ETHNOCIDE?

OPINION & ANALYSIS: By Andrei Marchukov, PhD (History),
Staff Researcher, Russian Academy of Sciences’ Institute of Russian History.
RIA Novosti, Moscow, Russia, October 16, 2007

MOSCOW – The Soviet famine of 1932-33 was an act of genocide against
Ukrainians. Kiev has been forcing this point on the world, the United
Nations and Moscow for several years now, in a vast and aggressive
campaign.

The Famine (Holodomor, in Ukrainian) is an all-pervading ideological
concept, a tool of public indoctrination. It is not only a tribute to the
victims’ memory but also a pressing political demonstration by present-day
Ukrainian leaders, spearheaded against Russia as much as against the
communist past.

The matter returned to the United Nations on October 15, when Ukraine
submitted to a UNESCO conference a resolution demanding the greatest
possible information about the Great Famine. In fact, this information is
not withheld, even though the world does not regard the Famine as a
deliberate genocidal act.

While fully recognizing the Ukrainian tragedy, there is no explicit proof
that the famine was provoked by the Kremlin and intended to exterminate the
Ukrainian nation.

The holodomor concept first arose amongst the Ukrainian Diaspora. Many
books and press publications appeared in the West in the 1940s-70s
describing the Famine as a Kremlin plot to kill off Ukrainians and undermine

the survivors’ spirit. Public attention to the holodomor skyrocketed in the
1980s.

This was the time when President Ronald Reagan was referring to the U.S.S.R.
as the Evil Empire. Ukrainian emigres added fuel to the fire with their
reminiscences and analyses of the holodomor.

In 1984, the U.S. Congress established an ad hoc commission to investigate
the causes of the Great Famine in Ukraine in 1932-33. Its 1988 Report to
Congress described the famine as “man-made” and denied any causal
connection with drought.

“Joseph Stalin and those around him committed genocide against Ukrainians
in 1932-1933,” the report says. Perestroika, with its outspoken spirit,
brought the concept to Ukraine. Mourning the millions starved to death went
hand-in-hand with wrathful denunciations of genocide.

Today’s propaganda aims to make the holodomor part of the Ukrainian
world-view. President Viktor Yushchenko called on politicians of his
generation to “preserve historical memory and spare no efforts to make the
world qualify the Famine of 1932-33 as genocidal”.

Why is such sensation whipped up over bygones? On the one hand, Ukrainian
propaganda has found a satanic enemy, the epitome of Absolute Evil, and is
now out to develop a guilt complex in Russians to make them feel morally and
materially responsible for the tragedy.

On the other hand, it seeks to make Ukrainians feel like innocent victims,
and spread this assumption worldwide. Tellingly, Ukrainian leaders are ever
more frequently referring to the Famine as the “Ukrainian Holocaust” – thus
putting the U.S.S.R. on a par with Nazi Germany.

Cardinal Lubomir Husar, head of the Ukrainian Greek Catholic Church,
concisely described the goal of the campaign: “Memory of the holodomor is
what our nation shall stand on.” Words of equal aptitude belong to former
President Leonid Kuchma: “Ukrainian national consolidation has a long way
to travel yet. We have made Ukraine. Now is the time to make Ukrainians.”

“Making Ukrainians” implies a new national ethic and mentality, with the
idea of Ukrainians and Russians as two nations apart. What several Ukrainian
generations firmly believed in has been turned on its head.

The young regard their country’s recent past as a time of colonialism, when
Ukrainians were ruthlessly exterminated. It is hard to find a more graphic
example than the Famine.

Was it really genocide or ethnocide against Ukrainians? The U.S.S.R. owed
the terrible famine of 1932-33 to agricultural collectivization.

The rapid creation of a thoroughly new type of farming went together with
the cruel dispossession of well-to-do farmers, so-called “kulaks”. Peasant
resistance inevitably followed.

Bloated grain procurement quotas envisaged total confiscations-seed, food
and fodder grain. The 1932 quota for Ukraine was 400 million poods, or 6.4
million metric tons, but even the severest possible confiscations brought
only 261 million poods, so extra procurements were launched, with searches,
ruinous fines-and firing squads. Peasants were dying of starvation as early
as October 1932, and the famine went on up to the next year’s end.

Those two years saw 2.9-3.5 million deaths from starvation in Ukraine alone,
according to various estimates. Yet it was not ethnocide proper.

Registry office statistics for 1933 show death rates in urban localities no
higher than average, in contrast to an exorbitant death toll in the
countryside not only in Ukraine but all over the Soviet Union. People were
doomed not on the grounds of ethnicity, but merely because they lived in
rural areas.

Grain shortages were exacerbated by a rapid increase of the urban
population. It swelled by 12.4 million nationwide in the four years 1929-32,
and by 4.1 million in Ukraine within 1931, mainly because persecuted
peasants fled their villages.

Nothing could have been easier for the regime than to starve townspeople,
who depended on food supplies from elsewhere for their survival. Yet, it
was not done. The regime made do with harsh food rationing.

Peasantry as a social class was the victim of the cruel policy. This point
clearly follows from the geography of the Great Famine.

It spread throughout the Soviet breadbasket areas-Ukraine, the middle and
lower reaches of the Volga, the North Caucasus, the central part of the
Black Earth Zone, the Urals, part of Siberia, and Kazakhstan – with a total
population of 50 million. The Famine killed 6-7 million people nationwide.
All Soviet peoples were victims.

Arguments cited to prove that the famine was a deliberate act of genocide do
not hold water. Still, many Ukrainians do not want to turn the tragic page
of history. This is understandable. If they did, public attention would turn
to their own, present-day, policy and its dire fruit.

The Ukrainian population shrank by 4.3 million in 1991-2003-3.6 million
died, and over 1.2 million emigrated, while only 500,000 former emigres
returned.

If we extrapolate the figures to the end of 2006, the population decline
exceeds 5.4 million-this without wars, famine, or the Kremlin’s imperialism.
Don’t these statistics give food for uneasy thought?
——————————————————————————————–
NOTE: Andrei Marchukov, PhD (History), is staff researcher of the Russian
Academy of Sciences’ Institute of Russian History. The opinions expressed
in this article are the author’s and do not necessarily represent those of
RIA Novosti.
———————————————————————————————-
LINK: http://en.rian.ru/analysis/20071016/84171679.html

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
26.  DISTINCTIONS AMONG GENOCIDES

COMMENTARY: By David A. Mittell, Jr.
Providence Journal, Providence, RI, Thu, November 1, 2007

THE EFFORT by some in the U.S. House to answer the historical dispute
about whether the death of at least a million Christian Armenians in
the predominantly Muslim Ottoman Turkish Empire in 1915 “rates” as a
genocide is an unfortunate chapter in a deeply unfortunate contemporary
phenomenon: treating mass murders like competitions, and ranking them
as if they were U.S. News & World Report’s annual rating of colleges.

In Greek, holocaust means “burnt whole.” The Holocaust — capitalized —
denotes Hitler’s attempt to exterminate European Jewry during World War
II. Genocide, from Greek (genos, “race”) and Latin (cidium, “murder”),
means the attempt to kill an entire race or people. The point can be made
(I will deal with it below) that a million acts of murder do not constitute
a genocide if they are not directed against a race, ethnic group, religious
population or social class.

 In sheer numbers of those killed, the greatest mass murder of the 20th
Century was Mao Zedong’s Great Leap Forward, from 1956 to 1959,
when an estimated 30 million rural Chinese died in agricultural
collectivization and from the removal of the able-bodied from villages.

Yet today, most Westerners are willing to philosophically accept Robert
Frost’s observation that “the longest peace in China ends in strife.”

The worst most historians will say of Mao is that he was a butcher, and
some still accept him as one of the great men of his age. Benignity on
the part of intellectuals may reflect their racism: In part, they
excuse Mao because the Great Leap Forward was just Chinese killing
Chinese.

 Mass murders that directly compete with the Jewish Holocaust for
remembrance are the Armenian catastrophe of 1915 and the Ukrainian
Holodomor of 1932-33. (Ukrainian, holod: “hunger” and mor: “plague.”).

The best account of 1915 probably remains “The Murder of a Nation,”
written on the spot by the American ambassador to Turkey, Henry
Morgenthau Sr. (father of Franklin Roosevelt’s Treasury secretary).

In World War I, the “Central Powers” – of Austria, Germany and Turkey –
were opposed by the “Triple Entente” of Britain, France and Russia. By
1915, Turkish Armenians were suspected of being pro-Russian, and
were accused of committing atrocities in Turkish villages whose young
men had been drafted.

The decision was taken to disarm Armenians and remove them to “safe”
areas. Some Armenians were actually given train tickets. But, as
Morgenthau writes, Armenian soldiers in the Turkish army were disarmed
and put into “labor battalions,” where many perished from cold and
hunger. The civilian population was put on a death march to the Syrian
Desert.

The atrocities en route were committed by fanatic Muslim Kurds
and Turks, but were planned by “Young Turk” atheists, who would
organize the post-Ottoman government. The present-day Turkish wish to
ascribe all things to the Ottoman regime is based on false assertions.

Before the war, the Ottoman government had visited similar privations
on Greeks, of whom more than 100,000 were removed from their ancestral
homes on the Mediterranean coast. Morgenthau wrote: “It was probably
for the reason that the civilized world did not protest . . . that the
Turks decided to apply the same methods on a larger scale . . . to the
Armenians, Syrians, Nestorians, and others.” Hitler would use the
civilized world’s lack of protest about the destruction of the
Armenians to ridicule the idea that anyone would care what he did to
the Jews.

The most compelling survivor’s account of the Ukrainian Holodomor is
Miron Dolot’s 1985 “Execution by Hunger.” Under Lenin, the USSR had
attacked kulaks – unacceptably rich peasants – by confiscating all
grain, then partly redistributing it.

The policy had the effect of making the rural population compliant in
surrendering its food and complicit in reporting hoarders. Stalin revived
the policy, and when Ukrainians resisted agricultural collectivization, he
withheld the government’s meager return-of-rations – leading to an
estimated 7 million deaths from starvation.

Stalin later purged the Ukrainian Communist Party and destroyed most
of the republic’s cultural elite. But he did have a purpose beyond killing
Ukrainians: subservience. Kazakhstan, southern Russia and the Volga
German Republic experienced many of the same horrors.

 Today, the legitimacy of the Armenian and Ukrainian agonies as
genocides is opposed by defenders of the uniqueness of the Jewish
Holocaust on both principled and unprincipled grounds. The principled
ground is (it is argued) that however evil the purposes and methods of
the Turks and Soviets, they did not set out to kill Armenians and
Ukrainians only because of their birth.

Hitler, by contrast, contrived for Germans to despise and ultimately murder
Jews simply because of who they were, and without any political purpose
other than using innocents to unify Germany in a frenzy of hatred. I agree
with that distinction.

The illegitimate grounds are: As to Armenians, 1) denial of the facts
and, 2) (worse) an unwillingness by some Jewish organizations to offend
modern Turkey, which has a pro-Israeli foreign policy.

As to Ukrainians, the Holodomor was always categorically denied by the
Soviets and by Western apologists, such as Walter Duranty, of The New
York Times, who received an unrescinded Pulitzer Prize for his lies.
The Soviets also perpetrated the myth that Ukrainians – not they – were
anti-Semites and had been Nazi collaborators.

There were, of course, collaborators in Ukraine, as in every occupied
country. Prof. Omer Bartov, of Brown University, has researched this in
“Erased, Vanishing Traces of Jewish Galicia in Present-day Ukraine.” It
is not a pretty picture. But it is beside the point of 7 million dead.

Ordinarily I think words are important. But the descendants of the dead
should not be quarreling about semantics. Let us say that Armenians,
Chinese, Jews and Ukrainians were all victims of genocides. Then let us
admit that among genocides there are distinctions.
———————————————————————————————
NOTE:  David A. Mittell is a member of the editorial board of
The Providence Journal.
———————————————————————————————
http://www.projo.com/opinion/columnists/content/CL_mitt1_11-01-07_ON7LGPC_v30.3595d3f.html

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
27.  CHILDREN OF VICTIMS OF REPRESSION: NKVD CHILD

By Gennady Sakharov, Source: www.maidan.org.ua
Kharkiv Human Rights Protection Group (in English)
Kharkiv, Ukraine, Monday, October 29, 2007

This year marks 70 years since the largest-scale repressions of the former
USSR. The repressions were planned with quotas for the numbers of arrested
and executed “enemies of the people” to be fulfilled and exceeded. Some top
officials in Ukrainian regions actually asked for the numbers to be
increased.

People became victims for speaking “the wrong language”, with charges
trumped up over alleged spying and nationalist organizations. They looked
for enemies everywhere and found them.

There are people today who try to prove that there was no Holodomor
[Famine of 1932-1933] in Ukraine and that the repressions under Stalin were
a necessary step to protect the Soviet regime against saboteurs, spies and
other enemies.  Let such arguments be on the conscience of those who
circulate them.

There are ever less witnesses of those events.  Each account from people
who lived through those times is particularly to be valued.

I spoke with Ida Vasilivna Borodai [Styopkina] in her flat in a five-storey
block on Kirov Avenue. She is eighty years old, but has a good memory and
told us about the events in her life in detail.

She spoke of how she became an “NKVD child” as they called the children
of parents who had been repressed and who were themselves kept in special
children’s homes.

In 1937 Ida lived with her parents in the large village Andriyivka in the
Kharkiv region. Her parents were village teachers. During the night of 22
September NKVD men came to their house and carried out a search.

Ida’s mother took the half-asleep nine-year-old from one room to another.
When the search was ended, the men took her father away. One said: “Say
goodbye to your daughter”.

He kissed his daughter and left. He left for ever, since as Ida Vasilivna
later discovered after her father had long been rehabilitated, he was
convicted in 1937 and executed for “his part in a counterrevolutionary
nationalist spying organization”.

The main “crime” of village teacher Vasyl Fedorovych Borodai in the eyes of
the NKVD was clearly that he belonged to the village intelligentsia and he
spoke Ukrainian.

The village teachers often met, played the bourgeois game of “preference” [a
card game] and discussed events in the country. Perhaps somebody expressed
a view considered seditious at the time.

There was an informer present, one of those “secret employees” whom the
NKVD had in all places of work, particularly among the intelligentsia. And
as was also customary, they manufactured a case about a nationalist
organization in Andriyivka.

That night eight teachers from the school were arrested. Soon they arrested
Ida’s mother. That very day they came and took Ida away from school. The
teacher told her she had to leave the class because people were waiting for
her.

The stranger waiting there was polite and kind. He took her to the police
station where in a large room there were around forty children since the
NKVD had taken other families from the village as well as teachers’
children.

The children were told that they would be taken to their parents, were put
in open trucks with benches to sit on and in a cold winter night taken to
the Balakliya district centre.

There the children were held in a building with forty to fifty children in
each room.  From there they were taken to Kharkiv. On the way the children
saw columns of people being led by armed convicts. They were stopped at one
point by a person shouting: “Who’s in the truck?”  The answer was: “NKVD
children”.

They brought the children to an NKVD reception and distribution centre where
the children were held in groups of forty – fifty. They weren’t allowed
outside, there was nowhere to wash and neither their underwear nor clothes
were changed. The windows looked out into the courtyard.

It was effectively a transit camp for children. In a month the children were
placed in children’s homes. They were taken to the railway station and given
a packed meal for the journey.

Among the 300 children in Ida’s children’s home, there were Russians,
Ukrainians, Belarusians, Germans and Jewish children. All were children of
those repressed.  The children did not go hungry and the staff treated them
well.

In the winter of 1939 Ida’s mother was released from prison in Kharkiv where
she had spent more than a year without any investigation or trial. They’d
demanded that she “confess” to subversive activities, to helping her
nationalist husband and had intimidated her. The conditions in the prison
were terrible.

Perhaps they realized that they wouldn’t get any incriminating information
from her, or they’d already over-fulfilled their quotas.

They also released two other women teachers from Andriyivka, whose
husbandshad also been executed. The women came and collected their
children.  It should be mentioned that not all children in the home were so
lucky.

Andriyivka following their release, and in fact there was nowhere to return
to – all their property had been confiscated, and the homes devastated. The
Borodai family lost their library which had been collected by not just one
generation.

Ida and her mother ended up in the village of Shevelyovka in the Balakliya
district which was populated by settlers from Russia.  They had a very hard
time, labelled enemies of the people and Hitler supporters.

With one bag of possessions they moved to another village Vovchy Yar where
nobody knew them. They lived in poverty, supplementing their diet from the
vegetable garden. Ida’s mother again worked as a teacher.
————————————————————————————————
http://khpg.org/en/index.php?id=1193710521

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
28.  ALLA ROGERS & YEVHEN PROPOPOV ART EXHIBITION
 
Action Ukraine Report (AUR) #888, Article 28
Kyiv, Ukraine, Wednesday, November 7, 2007
 
KYIV – An art exhibition featuring the paintings of Alla Rogers
and sculpture by Yevhen Prokopov will open at The Ukrainian
National Museum of Fine Arts in Kyiv on Friday, November 9
at 5:00 p.m. The exhibition will be open until December 19, 2007.
 
The Museum is at 6, Hrushevskoho str. Kyiv. Contact: tel:
8(044) 278-1357 email: namu@i.com ua.
———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
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AUR#887 Nov 4 Ukraine Remembers, The World Acknowledges: Holodomor 1932-33, Induced Starvation, Death for Millions, Genocide; Holocaust; Torah

=========================================================
ACTION UKRAINE REPORT – AUR           
An International Newsletter, The Latest, Up-To-Date
In-Depth Ukrainian News, Analysis and Commentary


Ukrainian History, Culture, Arts, Business, Religion,
Sports, Government, and Politics, in Ukraine and Around the World       
 
UKRAINE REMEMBERS –
THE WORLD ACKNOWLEDGES
75th Commemoration Of The Holodomor 1932-1933
Induced Starvation, Death for Millions, Genocide.
November 24, 2007 to November 22, 2008
 
ACTION UKRAINE REPORT – AUR – Number 887
Mr. E. Morgan Williams, Publisher and Editor, SigmaBleyzer
WASHINGTON, D.C., SUNDAY, NOVEMBER 4, 2007
 
INDEX OF ARTICLES  ——
Clicking on the title of any article takes you directly to the article.               
Return to Index by clicking on Return to Index at the end of each article
1.  UNESCO GENERAL CONFERENCE PASSES RESOLUTION TO
HONOR MEMORY OF VICTIMS OF UKRAINE’S GREAT FAMINE
According to media, the word “genocide” was removed from the final text
Interfax Ukraine News, Kyiv, Ukraine, Thu, November 1, 2007
 

2UKRAINIAN PRESIDENT WELCOMES UNESCO RESOLUTION
TO HONOR VICTIMS OF UKRAINE’S GREAT FAMINE OF 1932-1933
Expressed confidence it would one day be recognized as genocide
Press office of President Victor Yushchenko
Kyiv, Ukraine, Friday, November 2, 2007

3UNESCO CALLS ON ITS MEMBER-COUNTRIES TO HONOR
MEMORIES OF VICTIMS OF 1932-1933 FAMINE IN UKRAINE
Ukrainian News Agency, Kyiv, Ukraine, November 1, 2007

4.  “WE ACCUSE: HOLODOMOR GENOCIDE 1932-1933” THE

Serhii Bobok, Ukrainian News Agency, Kyiv, Ukraine, Oct 23, 2007

1932-1933 AS GENOCIDE AGAINST UKRAINIANS
Ukrainian News Agency, Kyiv, Ukraine, Wed, October 31, 2007

12FAMINE OF THE 1930’S WAS NOT GENOCIDE AGAINST

Interfax Ukraine Focus, Kyiv, Ukraine, Thursday, October 25, 2007

13UKRAINE’S FOREIGN MINISTRY CRITICIZES RUSSIAN
AMBASSADOR VIKTOR CHERNOMYRDIN’S STATEMENTS

ABOUT UPA SOLDIERS AND 1932-1933 FAMINE IN UKRAINE
Ukrainian News Agency, Kyiv, Ukraine, Saturday, November 3, 2007

14UKRAINE LASHES BACK AT RUSSIAN AMBASSADOR

OVER HISTORY DURING WWII AND SOVIET-ERA FAMINE
NIA Novosti, Moscow, Russia, Saturday, November 3, 2007
 
15 ‘CHILDREN, LEARN TO VALUE STALIN,’ RUSSIAN PUPILS TOLD
FEATURE: Agence France Presse (AFP),
Moscow, Russia, Saturday, November 3, 2007
 
OF 1932-1933 APPROVED BY KYIV CITY PLANNING COUNCIL
Approximate cost of the project will amount to over UAH 80 million.
Ukrainian News Agency, Kyiv, Ukraine, Wed, October 17, 2007
 
Office of the President of Ukraine (in Ukrainian)
Kyiv, Ukraine, Friday November 2, 2007
Action Ukraine Report #887, Article 15 (In English)
Washington, D.C., Sunday, November 3, 2007

18AUSTRALIA – HOLODOMOR COMMEMORATIONS
NOVEMBER 17 THROUGH DECEMBER 2, 2007
Nation-wide Observances will be held in all capital cities.
Stefan Romaniw, Australian Federation of Ukrainian Organizations

Australia, Saturday, November 3, 2007

19JOIN THE SOLEMN MARCH TO HONOR THE UP TO 10

1933 BEING HELD IN NEW YORK CITY, SAT, NOV 17, 2007
National March of Remembrance, National Committee to Commemorate
the 75th Anniversary of the Ukrainian Genocide of 1932-1933
New York/Washington, Friday, October 12, 2007   

20THE UKRAINIAN HOLODOMOR & THE DENIAL OF GENOCIDES

International Conference, Rome, Italy, Friday, November 9, 2007
Professor Federigo Argentieri, John Cabot University
International Conference: Organized by Guarini Institute for
Public Affairs-John Cabot University With the cooperation of
Comitati Pro Libertatibus and the Italian Association for the
Study of Central and Eastern European History (AISSECO)
Rome, Italy, November 1, 2007 
 
21YUSHCHENKO’S PUSH FOR A HOLODOMOR DENIAL LAW
ANALYSIS: Peter Dickinson, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 29, 2007
 
OBLAST TO BE REVEALED IN EARLY 2008
The Day Weekly Digest #30, Kyiv, Ukraine, Tue, October 30, 2007
 
TO RESTORE HISTORICAL TRUTH ABOUT SOVIET-ERA FAMINE
New Europe, Brussels, Belgium, Monday, October 29, 2007
 
OSTROV, Provider: Research Center of Donbass Social Perspectives
Donetsk, Ukraine, Tuesday, October 30, 2007
 
FOR INSUFFICIENT WORK OVER PERPETUATION OF MEMORY
OF VICTIMS OF 1932-1933 FAMINE 
Ukrainian News Agency, Kyiv, Ukraine, October 23, 2007
 
Ukrainian News Agency, Kyiv, Ukraine, Friday, October 26, 2007
 
& MONUMENTS WITH SOVIET NAMES IS TOTALITARIANISM
Ukrainian News Agency, Kyiv, Ukraine, Fri, November 2, 2007
 
28HOLOCAUST SURVIVOR WILL REVISIT CAVE IN UKRAINE
THAT HID FAMILY FROM CERTAIN DEATH
More than 60 years after surviving the Holocaust by hiding,
Yetta Katz will return to the caves where she spent 344 days.
Holocaust Survivor’s Journey: By Jennifer Lebovich
Miami Herald, Miami, Friday, Sat, Nov. 03, 2007
 
29UKRAINE PRESIDENT ORDERS RETURN OF 700 TORAH
SCROLLS CONFISCATED BY COMMUNIST GOVERNMENT 
By Anshel Pfeffer, Haaretz Correspondent,  Israel, Sun, Oct 28, 2007
 
30UKRAINE: UGLY FACE OF EMERGING EXTREMISM
Peter Dickinson, Business Ukraine Magazine
Business Ukraine, Kyiv, Ukraine, Monday, October 29, 2007
========================================================
1UNESCO GENERAL CONFERENCE PASSES RESOLUTION TO
HONOR MEMORY OF VICTIMS OF UKRAINE’S GREAT FAMINE
According to media, the word “genocide” was removed from the final text

Interfax Ukraine News, Kyiv, Ukraine, Thu, November 1, 2007

KYIV – The General Conference of UNESCO unanimously passed on
November 1 a resolution entitled “Remembrance of the Victims of the Great
Famine (Holodomor) in Ukraine”, the press service of the Ukrainian Foreign
Ministry reported on Thursday.

The 34th UNESCO General Conference noted that in the former Soviet Union,
millions of men, women and children fell victims to the cruel actions and
policies of the totalitarian regime.

The documents reads the Great Famine of 1932-1933 in Ukraine (Holodomor)
took from 7 million to 10 million innocent lives and became a national
tragedy for the Ukrainian people.

The resolution of the UNESCO General Conference presented sympathy to the
victims of the Great Famine of 1932-1933 in Ukraine and victims of famines
that also took place in Russia, Kazakhstan and other regions of the former
USSR, the Ukrainian press service said.

The resolution was drafted by Ukraine in co-authorship with other 45 member
states of UNESCO.  According to a number of Ukrainian media, the word
“genocide” was removed from the final text of the resolution.

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2.  UKRAINIAN PRESIDENT WELCOMES UNESCO RESOLUTION
TO HONOR VICTIMS OF UKRAINE’S GREAT FAMINE OF 1932-1933
Expressed confidence it would one day be recognized as genocide

Press office of President Victor Yushchenko
Kyiv, Ukraine, Friday, November 2, 2007

KYIV – President Victor Yushchenko welcomes yesterday’s resolution by
UNESCO to honor the victims of Ukraine’s Great Famine of 1932-1933.

“This resolution shows that the job which has been done by Ukraine, [its]
political forces and diplomats has been recognized in 193 countries of the
world,” he said on Friday in an interview with “Dzerkalo Tyzhnya,” “Silski
Visti,” “Ukrayina Moloda” and “Fakty.”

“The international community has for the first time made such a large-scale
consolidated decision regarding the recognition of the Great Famine of
1932-1933.”

The president expressed confidence Ukraine’s Soviet-era famine would one
day be recognized as genocide against the Ukrainian nation.

Speaking of Ukraine’s efforts to persuade parliaments around the world to
pass such resolutions, Yushchenko said: “We deliver dozens of speeches,
the Memory Institute holds dozens of conferences and there is no parliament
in the world which has not received my message regarding the recognition
of the Holodomor as genocide.”
———————————————————————————————–
LINK: http://www.president.gov.ua/en/news/data/1_20274.html

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3.  UNESCO CALLS ON ITS MEMBER-COUNTRIES TO HONOR
MEMORIES OF VICTIMS OF 1932-1933 FAMINE IN UKRAINE

Ukrainian News Agency, Kyiv, Ukraine, November 1, 2007

KYIV – The General Conference of UNESCO has called on the member-
countries of the organization to honor the memories of the victims of the
1932-1933 famine in Ukraine.

The press service of the Ukrainian Foreign Affairs Ministry announced this
in a statement, a text of which Ukrainian News obtained.

According to the statement, the 34th session of the General Conference of
UNESCO adopted a resolution on honoring the memories of the victims of
the 1932-1933 famine in Ukraine on November 1.

According to the resolution, the tragedy of the famine should be a warning
to the present and future generations to abide by democratic values, human
rights, and the law.

It expresses condolences to the victims of the 1932-1933 famine in Ukraine
as well as the victims of the famines that occurred in Russia, Kazakhstan,
and other former Soviet republics.

Moreover, the General Conference welcomed the initiative of Ukraine to
organize the commemorations on the occasion of the 75th anniversary of
the 1932-1933 famine in Ukraine and encouraged UNESCO member-states
to take part in those events.

UNESCO also requests that its director-general promote awareness of
remembrance of the 1932-1933 famine in Ukraine by incorporating this
knowledge into the educational programs aimed at inculcating the lessons
of this tragic event in future generations.

As Ukrainian News earlier reported, the Foreign Affairs Ministry presented
the draft of the resolution on infirming member-states of UNESCO about the
1932-1933 famine in Ukraine to UNESCO for consideration on October 4.

President Viktor Yuschenko has declared 2008 as the year of remembrance
of the victims of the 1932-1933 famine in Ukraine.

The Ukrainian parliament declared the 1932-1933 famine in Ukraine as an
act of genocide against the Ukrainian people in 2006.

Ukraine will honor the memories of the victims of famines and political
repression on November 25.

Between 3 million and 7 million people died in the 1932-1933 famine in
Ukraine, according to various estimates.

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4.  “WE ACCUSE: HOLODOMOR GENOCIDE 1932-1933” THE
HOLODOMOR 1932-1933 75TH COMMEMORATION EXHIBITION
WILL BE HELD IN KYIV AT THE UKRAINIAN HOUSE FROM
TUESDAY, NOVEMBER 20 TO THURSDAY, DECEMBER 6

Action Ukraine Report (AUR) #887, Article 4
Kyiv, Ukraine, Sunday, November 4, 2007

KYIV, Ukraine – The “We Accuse: Holodomor Genocide 1932-1933”
International Exhibition for the 75th Commemoration of the Holodomor

1932-1933 (induced starvation, death for millions, genocide) will be held
in Kyiv at the Ukrainian House from Tuesday, November 20 through
Thursday, December 6, 2007.

The Administration of President Viktor Yushchenko is in charge of the
exhibition which is under the direction of Ivan Vasiunyk, First Deputy

Head of the Presidential Secretariat, and Vasyl Vovkun, production
and artistic director.

The international commemorative and educational exhibition will feature
four individual Holodomor presentations which will be displayed for

seventeen days in the Ukrainian House in the center of Kyiv.
 
Historical and educational presentations will be made by the:
 
[1] Ukrainian National Institute of Memory, Ihor Yukhnovsky,
     Director;
[2] Ukraine 3000 International Charity Fund, Kateryna Yushchenko,
     Head of the Supervisory Board;
[3] Security Service of Ukraine (SBU), Valentyn Nalyvaichenko,
     Acting Chief, and by the 
[4] Holodomor Education and Exhibition Art Collection, Morgan
     Williams, SigmaBleyzer, Trustee. 
 
The National Institute of Memory will display their newly created
set of sixty-four panels/posters that tell the story of the Holodomor
in documents, historical data, testimonies, photographs and other
historical information. 
 
The Ukraine 3000 International Charity Fund will display a large
number of posters about the Holodomor created by students and
artists this year in response to a Holodomor poster contest organized
by the Ukraine 3000 Fund.  People attending the exhibition will be
able to vote for the posters they think are the most outstanding. 
 
The Security Service of Ukraine (SUB) will display their set of
over 60 panels/posters created from material in their archives about
the Holodomor such as historical decrees, letters, government
documents, photographs, and other items from the SBU archives.
 
The Holodomor Education and Exhibition Art Collection will display
over 100 original art works depicting the “Holodomor Through the
Eyes of Ukrainian Artists.”  The original artworks will include oil on
canvas paintings, black and white drawings, linocuts, paint on board
poster art and other graphical materials. 
 
Many of the artworks were created between 1989 and 1993, the first
years artists in Ukraine were ever allowed to deal with such subjects
as the major crimes of communism. Some of the poster art will
include works by students at the Art Academy in Kyiv created in
2006 and 2007 under the direction of Professor Vitaliy Shostia, a
program sponsored by the Holodomor Education and Exhibition
Art Collection. 
 
High school students from the Poltava Oblast will also have
some Holodomor works on display.  Movies and documentaries
will be shown throughout the seventeen day exhibition. Books
about the Holodomor will also be on display.  The exhibition will
be the largest Holodomor exhibition ever held in Ukraine and is
open to the public. 
 
Ukrainian President Viktor Yuschenko has called on the international
community and governments around the world to condemn the crimes
committed by the Stalin regime and to declare the Holodomor of
1932-1933 as a genocide against the Ukrainian people.
 
‘The crimes of the Stalin regime – the 1932-1933 famine-genocide in
Ukraine, the major terror of the 1930s – should be fully condemned by
the international community. It is the duty of all countries, political and
public forces that accept the values of democracy,’ Yuschenko said.
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========================================================
5.  UKRAINIAN PRESIDENT YUSHCHENKO PROCLAIMS 2008
AS YEAR OF MEMORY OF HOLODOMOR 1932-1933 VICTIMS
 

Serhii Bobok, Ukrainian News Agency, Kyiv, Ukraine, Oct 23, 2007
 
KYIV – Ukrainian President Viktor Yuschenko has proclaimed 2008 as the
year of memory of the Holodomor 1932-33 victims.

The President announced this in Kharkiv when speaking at the second

meeting of the Coordination council for preparation of events on the 75th
anniversary of the Holodomor 1932-33.

“The next year is proclaimed as the year of immortalizing memory of victims
of the Holodomor 1932-33,” told the President.

Yuschenko expressed confidence in that 2008 Kyiv and Kharkiv will build
new memorials devoted to the 75th anniversary of the tragedy will, the first
national museum of the Holodomor will be commissioned and many historical
works on this issue will appear.

As Ukrainian News earlier reported, when speaking in Kharkiv Yuschenko
criticized representatives of different layers of power for insufficient
work on immortalizing memory of the Holodomor 1932-33.

In 2006, the Verkhovna Rada declared the Holodomor 1932-33 as the

genocide of Ukrainian people. November 24 Ukraine honors memory of
victims of famines and political repressions.
In 1932-1933, the famine took lives of about 3-7 million people.
Moreover, according to information from different historians, there were
famines in 1921-23 and 1946-1947.
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6.  NATIONAL CONGRESS OF THE REPUBLIC OF ECUADOR
RECOGNIZED HOLODOMOR IN UKRAINE AS ACT OF GENOCIDE

ForUm, Kyiv, Ukraine, Wednesday, October 31, 2007

KYIV – On October 30 the National congress of the Republic of Ecuador
adopted a resolution by which the Holodomor of 1932-1933 in Ukraine was
recognized as an act of genocide of the Ukrainian people. Chairman of the
subcommittee on interparliamentary relations, bilateral and multilateral
relations of the foreign affairs Committee of the VRU of the fifth
convocation Oksana Bilozir informed.

As it is noted in the statement, the parliament of Ecuador also shows
solidarity with the Ukrainian people, noted that following of principles of
justice, freedom, democracy and mutual respect, which must be the basis in
the relations between the countries in order such phenomena as Holodomor
in Ukraine doesn’t repeat again.

Ecuador is the second country after Peru, the parliament of which recognized
Holodomor in Ukraine as an act of genocide of the Ukrainian people. 11
countries have already recognized Holodomor in Ukraine.
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LINK: http://en.for-ua.com/news/2007/10/31/132042.html

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7.  UKRAINE URGES WORLD COMMUNITY AT UN TO INTRODUCE
INTERNATIONAL DAY COMMEMORATING VICTIMS OF GENOCIDE

Interfax Ukraine News, Kyiv, Ukraine, October 4, 2007

KYIV – Ukraine’s First Deputy Foreign Minister Volodymyr Khandohiy
urged the world community during the 62nd session of the UN General
Assembly to endorse a resolution introducing an international day
commemorating the victims of genocide, the ministry’s press service has
reported.

He raised the issue on the need for international recognition of Ukraine’s
famine of 1932-1933 as genocide against the Ukrainian people. Khandohiy also
expressed hope that the UN “as a collective and moral voice of the world
community and an effective instrument for observing human rights and
freedoms” would condemn the tragedy the Ukrainian people suffered in
1932-1933.

Furthermore, he stressed the need to step up the international legal
mechanisms and political instruments aimed at preventing the spread of
weapons of mass destruction.

Khandohiy said that frozen conflicts in GUAM (Georgia, Ukraine, Azerbaijan
and Moldova) countries threatened the sovereignty and territorial integrity
of the region’s states, and stressed the importance of taking practical
steps, including at the UN, to settle them.

Commenting on the Kosovo problem, he said that in order to resolve the
situation, all parties should refrain from acting unilaterally to resolve
the problem, not involving the UN.

Khandohiy said that hasty actions in resolving the Kosovo issue might
destabilize the situation in the Balkans and have a negative effect on the
whole system of international relations.

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========================================================
8. LIBYA TO CONSIDER ISSUE OF 1932-1933 FAMINE IN UKRAINE

Ukrainian News Agency, Kyiv, Ukraine, Thursday, October 25, 2007

KYIV – Libya intends to consider the issue of the 1932-1933 famine in
Ukraine at a session of the Libyan General People’s Congress.  The press
service of the Ukrainian Foreign Affairs Ministry announced this in a
statement, a text of which Ukrainian News obtained.

According to the statement, the Secretary of the Libyan General People’s
Committee for Foreign Liaison & International Cooperation, Suleiman
al-Shehoumi, promised during a meeting with Ukraine’s Ambassador to Libya
Hennadii Latyi on Wednesday, October 24, to put the issue to a debate in the
General People’s Congress.

The Ukrainian ambassador drew attention to the importance of informing the
international community about the tragedy suffered by the Ukrainian people
as a result of the 1932-1933 famine and expressed the hope that member-
countries of UNESCO will support the relevant resolution that Ukraine
proposed for consideration at a general conference of UNESCO.

Latyi also stressed the importance of the closeness of the two countries’
positions on international politics as well as the constructiveness of
Ukrainian-Libyan cooperation within international organizations.

They also paid significant attention to development of Ukrainian-Libyan
cooperation and the need to quickly sign several important bilateral
agreements.

The Ukrainian ambassador also informed Shehoumi about the problems
that Ukrainian citizens working in Libya are encountering.

Shehoumi assured Latyi that the leadership of the Libyan People’s Congress
would facilitate solution of the problems connected with the work of
Ukrainian citizens in Libya.

As Ukrainian News earlier reported, Ukraine has called on UNESCO
member-countries to support its resolution entitled “On Honoring the
Memory of the Victims of the 1932-1933 Famine in Ukraine.”

President Viktor Yuschenko has declared 2008 as the year of remembrance
of the victims of the 1932-1933 famine in Ukraine.

The Ukrainian parliament declared the 1932-1933 famine in Ukraine as an
act of genocide against the Ukrainian people in 2006.

Ukraine will honor the memories of the victims of famines and political
repression on November 25.  [Actually it is Saturday, November 24th]

Between 3 million and 7 million people died in the 1932-1933 famine in
Ukraine, according to various estimates. Moreover, according to several
historians, there were famines in Ukraine in the 1921-1923 and 1946-1947
periods.
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9.  UKRAINE TO SEEK ISRAELI RECOGNITION FOR 1930’S GENOCIDE

By Anshel Pfeffer, Haaretz, Israel, Sunday October 28, 2007

Ukrainian President Victor Yushchenko is expected to ask Israel to recognize
the genocide of the Ukrainian people in the 1930s by their communist
government when he visits here in about two weeks, sources said.

Israel is not expected to accede to the request, which has won the support
of Jewish community leaders in Ukraine, so as not to damage its relationship
with Vladimir Putin’s government at a sensitive time.

Millions of Ukrainians died of hunger from 1931 to 1932 following the
collectivization of farming in the Soviet Union by Joseph Stalin. Famine was
particularly severe in Ukraine, which was a regional breadbasket and was
strongly opposed to the move.

At the same time the communist government attempted to wipe out Ukrainian
intelligentsia and nationalists, with estimations of the number of victims
ranging from a million and a half to 10 million. Advertisement

A number of countries, including the United States, have recognized these
acts as genocide, however, Russia vigorously rejects this definition,
preferring to use the term “tragedy.”

Members of the Jewish community in Ukraine say Yushchenko also intends
to present a proposal in the parliament in Kiev to recognize the suffering
of the Jewish people in the Holocaust and the suffering of the Ukrainian
people.

The chairman of the General Council of Jewish organizations, Joseph Zisels,
who met with Yushchenko last Monday, said yesterday: “Israelis understand
more than anyone what genocide is and Yushchenko therefore expects that
Israelis will also recognize the Ukrainian genocide. We don’t think it is
the same as the Holocaust, but it is also a terrible tragedy with seven or
eight million murdered.”

Last week Yushchenko signed a presidential order to return to the Jewish
community 700 Torah scrolls that were confiscated from the community by
the communists.

The move is believed to be an attempt to soften up Jewish and Israeli public
opinion ahead of his visit. He is expected to bring some of the scrolls to
the Presidential Residence in Jerusalem during his visit.

An attempt to organize a visit by Yushchenko to Israel was made about six
months ago by Rabbi Moshe Azman, Ukraine’s Chabad rabbi, and Mordechai
Tzivin, an Israeli attorney active in international Jewish causes.

But Israeli government officials postponed the visit, among other reasons
because Yushchenko wanted to be in Israel on Holocaust Day and to
participate in a ceremony at the Yad Vashem Holocaust Memorial.
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LINK: http://www.haaretz.com/hasen/spages/917798.html

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10.  UKRAINE: PRES YUSHCHENKO CALLS ON INTERNATIONAL
COMMUNITY TO CONDEMN CRIMES OF STALIN’S REGIME
 
 
Ukrainian News Agency, Kyiv, Ukraine, Friday, November 2, 2007

KYIV – President Viktor Yuschenko has called on the international community
to condemn the crimes committed by the Stalin regime. Yuschenko made the
call at a meeting on perpetuation of the memories of victims of political
repression.

‘The crimes of the Stalin regime – the 1932-1933 famine in Ukraine the major
terror of the 1930s – should be fully condemned by the international
community. It is the duty of all countries, political and public forces that
accept the values of democracy,’ Yuschenko said.

He expressed compassion for all the peoples who were part of the former

USSR and suffered losses as a result of the policies of the Stalin regime.

Yuschenko called on all the former republics of the USSR to join forces to
establish the actual scale of the crimes of the Stalin regime.

‘We are obliged to clear our land of all totalitarian signs and monuments to
criminals who were involved in the destruction of millions of Ukrainians,’
Yuschenko said in his speech at the meeting.

He welcomed the Kyiv municipal council’s decision to name one of the streets
in Kyiv after Lesia Kurbas, who was a victim of a totalitarian regime.

Yuschenko believes that perpetuation of the memories of victims of political
repression is sacred. ‘Stalinism destroyed Ukraine with special thoroughness
and in special dimensions. These losses are definitely irreparable.
Systematic destruction of Ukraine-hood was perpetrated on our land,’
Yuschenko said.

As Ukrainian News earlier reported, Yuschenko welcomed the General
Conference of UNESCO’s resolution that calls on the member-countries of the
organization to honor the memories of the victims of the 1932-1933 famine in
Ukraine.
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11.  PRES YUSHCHENKO CALLS ON ROMANIA’S PARLIAMENTARY
AUTHORITIES TO ASSIST IN THE RECOGNITION OF HOLODOMOR
1932-1933 AS GENOCIDE AGAINST UKRAINIANS

Ukrainian News Agency, Kyiv, Ukraine, Wed, October 31, 2007

KYIV – President Viktor Yuschenko is calling on Romania’s parliamentary
authorities to assist in the recognition of the Holodomor of 1932-33 as

genocide against the Ukrainian nation.

The Presidential press service announced this in a statement, a copy of
which Ukrainian News has obtained. According to the statement, Tuesday
Yuschenko met Nicolae Vacaroiu President of the Senate of Romania, the upper
house of the Romanian Parliament, and Bogdan Olteanu president of the
Chamber of Deputies, the lower house of the Romanian Parliament.

At the meeting the sides discussed Ukraine’s domestic political situation,
interparliamentary cooperation, European and Euro-Atlantic integration of
Ukraine. Besides, the talkers discussed collaboration in the national
minorities issues.

Yuschenko expressed hope that the Romanian Parliament will be assisting,
within the scope of its competence, improvement of condition of the
Ukrainian national minority in Romania.

The President also called on the Romanian side to adjoin recognition of the
Holodomor of 1932-33 as genocide against the Ukrainian nation. Yuschenko
invited heads of the Romanian Parliament to pay a visit to Ukraine.

As Ukrainian News earlier reported, Yuschenko left for Romania to attend a
meeting of the Yuschenko-Basescu Ukrainian-Romanian commission.

In 2006, the Verkhovna Rada declared the Holodomor 1932-33 as the genocide
of Ukrainian people. November 24 Ukraine honors memory of victims of famines
and political repressions. In 1932-1933, the famine took lives of about 3-7
million people. Moreover, according to information from different historians,

there were famines in 1921-23 and 1946-47 in Ukraine.
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12.  FAMINE OF THE 1930’S WAS NOT GENOCIDE AGAINST

UKRAINIANS SAYS RUSSIAN OMBUDSMAN VLADIMIR LUKIN

Interfax Ukraine Focus, Kyiv, Ukraine, Thursday, October 25, 2007

MOSCOW – The famine in Ukraine in the 1930s was not genocide directed
exclusively against Ukrainians but was part of the then Soviet state’s tough
policy towards all nationalities of the former Soviet Union, ombudsman in
Russia Vladimir Lukin said at a press conference at Interfax’ main office
[Moscow] on Thursday.

“Attempts are being made to portray the great famine in Ukraine in the 1930s
as an exclusive action directed against Ukrainians, which is, of course,
absolutely untrue,” he said.

“This [famine] was the toughest action against all Soviet people, Ukrainians
were not alone in suffering from it,” Lukin added.

Earlier, UN coordinator in Kyiv Francis O’Donnell announced that the issue
of the 1932-1933 famine in Ukraine, known as Holodomor, was a very
important problem for the entire international community.

More and more countries officially recognize Holodomor as genocide,
he told reporters in Kyiv.

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13.  UKRAINE’S FOREIGN MINISTRY CRITICIZES RUSSIAN
AMBASSADOR VIKTOR CHERNOMYRDIN’S STATEMENTS
ABOUT UPA SOLDIERS AND 1932-1933 FAMINE IN UKRAINE

Ukrainian News Agency, Kyiv, Ukraine, Saturday, November 3, 2007

KYIV – The Ministry of Foreign Affairs is critical of the opinion statements
made by Russian Ambassador to Ukraine Viktor Chernomyrdin about the
Ukrainian Insurgent Army soldiers and the 1932-1933 Famine in Ukraine.
Ukrainian News learned this from the press service of the ministry.

According to the report, the ministry said that provision of expert
summarization about the country’s past and its inside political life does
not correspond to the established diplomatic practice.

‘We would like to note that Ukrainian politicians and academic elite, as
well as the public community, are able to make judgments about the
historical and social phenomena of their nation without additional comments
which are based on ideological and stereotypical principles,’ the report
reads.

The Ukrainian Ministry of Foreign Affairs requests Chernomyrdin to refrain
from statements and actions that can have a negative influence on the
development of good neighbor relations between Ukraine and Russia.

As Ukrainian News earlier reported, Chernomyrdin said that official
recognition of Ukrainian Insurgent Army (UPA) soldiers as WWII veterans
would negatively influence Ukraine-Russia relations.
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14.   UKRAINE LASHES BACK AT RUSSIAN AMBASSADOR

OVER HISTORY DURING WWII AND SOVIET-ERA FAMINE

NIA Novosti, Moscow, Russia, Saturday, November 3, 2007

KIEV – Ukraine’s Foreign Ministry dismissed statements by the Russian
ambassador about a Ukrainian WWII army and Soviet-era famine as being
against diplomacy.

In an interview with Russia’s Vremya Novostei popular daily Friday, Viktor
Chernomyrdin spoke critically of the attempts to romanticize the Ukrainian
Insurgent Army (UPA), which has been said to cooperate with the Nazis in
WWII.

He also slammed President Viktor Yushchenko’s initiative to prosecute those
who deny the 1932-33 famine in Ukraine known as Holodomor.

“Ukrainian political and scientific elite and the public can well qualify
historical events of their nation without any additional commentaries based
on ideological and stereotyped principles,” the Ukrainian Foreign Ministry
said.

The UPA was formed in 1942 on the initiative of the Organization of
Ukrainian Nationalists (OUN). UPA operated mostly in western Ukraine,
historically opposed to Russian domination, and fought against the Soviet
Army.

UPA is known to have cooperated with the Nazis, even though at the end of
the war, it fought against them and the Soviet Army altogether.

In 2007, President Yushchenko signed a decree to celebrate the date of UPA
formation as a state holiday. He also awarded a title of the Hero of Ukraine
posthumously to UPA leader Roman Shukhevich.
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LINK: http://en.rian.ru/world/20071103/86547995.html

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========================================================
Ukraine Monthly Macroeconomic Report From SigmaBleyzer:
http://www.sigmableyzer.com/index.php?action=publications 
========================================================
15.  ‘CHILDREN, LEARN TO VALUE STALIN,’ RUSSIAN PUPILS TOLD

FEATURE: Agence France Presse (AFP)
Moscow, Russia, Saturday, November 3, 2007

MOSCOW – Former Soviet dictator Joseph Stalin is back in fashion in
Russia as the Kremlin condones history textbooks that honour the
Soviet leader (1878-1953) as renovator of the country. “Children, learn
to value Stalin,” the Gazeta newspaper recently summed up the message
by the textbook’s authors. Stalin, the synonym for state-ordered terror
and torture, still has his followers, especially among the communists.

However, even non-communists seem to long for someone like Stalin,
public opinion polls suggest. Historians and human rights activists
complain about an unprecedented misrepresentation of history and
accuse President Vladimir Putin of ignoring it.

“Many now present Stalin as an efficient manager, who did a good thing
with his collectivization, industrialization and the Second World War
victory,” the head of the Moscow Helsinki Group for Human Rights,
80-year-old Lyudmila Alekseyeva, said.

This “dangerously flattering picture” ridiculed millions of innocent
victims of the regime, she said.

Russian human rights official Vladimir Lukin is deeply concerned that
one of the “country’s most terrible and ruthless criminals is put on a
pedestal.”

The Academic Education Society for the Arts recently approved two
books which were intended to turn pupils into “real patriots,” Russian
media reported.

The historian Aleksandr Filippov in his book “A Modern History of
Russia: 1945-2006,” has called Stalin “one of the USSR’s most
successful leaders,” whose repression helped to get the country out of
a crisis.

“The modernization of the country needed a responsible power system,”
the book says. “This is a scandal,” individual scholars and teachers said.

The authors’ collective around Filippov is trying to justify the mass
terror with hindsight and rehabilitate its perpetrators, they claim.

During a meeting with representatives of the Kremlin, the Education
Ministry and authors, historian Andrei Sakharov criticized the book as
a “serious methodical mistake.”

“History follows the state’s motto: everything that secures power must
also be good for the people,” the director of the Institute for Russian
History said.

Stalin, who also determined the history of Germany before, during and
after Hitler’s period in power, continues to be well regarded by many
Russians, according to a survey by polling firm WZIOM, which is close
to the government.

Almost half the Communists – second-largest power in the Russian
parliament – dream of a “new Stalin.”

In the nationalist Liberal Democratic Party of populist Vladimir
Zhirinovsky 23 per cent feel the same way, and 14 per cent of the
Kremlin’s United Russia do so too. Only 40 per cent of those
questioned categorically rejected a return of Stalinism.

With the 90th anniversary of the October Revolution coming up on
November 7, which will be celebrated by thousands of communists,
leading members of the opposition have compared the situation in
Russia with that of 1917.

“Our present-day parliament has no rights, just like back then under
the tsar,” Kremlin critic and former chess world champion Garry
Kasparov said.

In addition, there was corruption, bureaucracy, a lack of internal
mechanisms for a modernization of the country, and political solitude,
Jablonko opposition party leader Grigori Yavlinski said.

Human rights organizations such as Memorial will this year hold a
number of commemorative events for the millions of victims of the so-
called Great Terror under Stalin 70 years ago.

Putin has also distanced himself from the cruelties. However, critics
have accused the former civil service head of not fighting hard enough
for a public condemnation of the crimes.

The Russian president has so far not reacted to calls for a state- run
commemorative and research centre for the victims of Stalin’s terror
regime.
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LINK: http://www.earthtimes.org/articles/show/135533.html
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16.  DESIGN OF MEMORIAL COMPLEX TO FAMINE VICTIMS

OF 1932-1933 APPROVED BY KYIV CITY PLANNING COUNCIL
Approximate cost of the project will amount to over UAH 80 million.

Ukrainian News Agency, Kyiv, Ukraine, Wed, October 17, 2007

KYIV – The Kyiv city planning council has approved design of the memorial
complex to the victims of 1932-1933 Famine on 15A Sichnevoho Povstannia
Street in Pecherskyi district of the capital. Kyiv chief architect Vasyl
Prysiazhniuk disclosed this at a meeting of the council.

The project was worked out by Project Systems Company. Prysiazhniuk

marked it is necessary to specify proportions of a campanile, condition of
elements of the complex and elements of art features.

The concept of the memorial complex foresees construction of 26-meter-high
campanile, roads of four granite slabs with two angels on the sides, which
would lead to a small round lake, where it is planned to locate museum to
Famine victims.

The campanile and the museum will be made in the style of left Dnipro River
architecture. There will be a circle of 24 stones around the campanile with
internal paintings dedicated to bible and four mosaics.

Each of the stones will bear 1,000 spikelets, which symbolize the number of
Ukrainian victims. The campanile will be opened letting each person to light
candle in memory of the tragedy.

According to representative of the customer, the approximate cost of the
project will amount to over UAH 80 million [approx. $16 million.]

As Ukrainian News earlier reported, the city council of Kyiv had approved
architectural feasibility study regarding placement of the monument to
American historian, analyst of Famine 1932-1933 in Ukraine James Mace in the
Sichnevoho Povstannia Street, Pecherskyi District of Kyiv. According to
various estimates, about 3-7 million people died during the 1932-1933 famine
in Ukraine.

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17.  DECREE OF THE PRESIDENT OF UKRAINE No. 1056/2007
Commemorating in 2007 the Day of Memory for Victims of Holodomor

 
Office of the President of Ukraine (in Ukrainian)
Kyiv, Ukraine, Friday November 2, 2007
Action Ukraine Report #887, Article 15 (In English)
Washington, D.C., Sunday, November 3, 2007

To ensure adequate organization and conduct of events related to the Day

of Memory for the victims of Holodomor on November 24, 2007, I hereby
decree:

1. To set up an Organizing committee to prepare and mark in 2007 the Day
of Memory for the Holodomors victims. To appoint Ivan Vasiunyk, first

deputy head of presidential secretariat, and Dmytro Tabachnyk, Vice-Premier
of Ukraine, co-heads of the Organizing committee.

Within three days, the Organizing committee co-heads are to agree with the
prime minister their proposals on the Organizing committee line-up.

2. The Organizing committee must approve within one week a plan of
events to be held to prepare for and commemorate in 2007 the Day of

Memory for the victims of Holodomors.

3. A one-minute silence shall be observed at 16.00 on November 24, 2007
to remember the victims of the genocide of the Ukrainian people, by stopping
the work of central and local executive bodies, industrial companies,
institutions and organizations (except the organizations where stoppages of
work are technologically excluded). All public and private vehicles in
cities and towns shall stop and blow their horns for one minute.

The Ukrainian state flags on the territory of the country shall be lowered
to half mast on November 24, 2007. Entertainment events in concert halls,

on radio and TV must be restricted.

4. The Council of Ministers of the Crimean Autonomous Republic, the state
administrations of the Kyiv oblast and cities Kyiv and Sevastopol are to lay
mourning wreaths made from rye and wheat ears at the graves of Holodomor
victims and remember them by observing a minute of silence, candle lighting,
holding remembrance events and other mourning events.

5. The Cabinet of Ministers shall:
– jointly with the Kyiv city administration accelerate designing and
erecting in Kyin the Memorial to the victims of Holodomors in Ukraine;

– allot funding in the finalized 2008 budget for the Memorial construction
and research on the history of Holodomors by the Ukrainian Institute of the
National Memory;

– accelerate designing and erecting a monument to the 1932-1933 Holodomor
victims in Washington, DC as well as similar monuments and remembrance
plaques in other countries.

6.  The Ministry of Foreign Affairs shall:
– oblige its foreign missions to hold the events to mark in 2007 the Day of
Memory for the Holodomor victims, inviting foreign diplomats stationed in
Ukraine to participate in commemoration events inside the country;

–  render any assistance to the International Coordinating Committee of the
World Ukrainian Congress in preparing and conducting by public diaspora
organizations the events to commemorate the Holodomor victims.

7. The State Committee on television and radio broadcasting shall provide
wide coverage of events held in preparation and remembrance in Ukraine

and worldwide of the Day of Memory for the Holodomors victims.

8. The decree comes into force on publication.

President of Ukraine Viktor Yushchenko
November 2, 2007
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LINK: http://www.president.gov.ua/documents/6934.html
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18.  AUSTRALIA – HOLODOMOR COMMEMORATIONS
NOVEMBER 17 THROUGH DECEMBER 2007
Nation-wide Observances will be held in all Australian capital cities.

Stefan Romaniw, Australian Federation of Ukrainian Organizations

Australia, Saturday, November 3, 2007

PERTH ———
Nov 17 – opening of “Ukrainian Migrants in Western Australia: That was

Then and This is Now” – Holodomor Exhibition  at the Perth Town Hall.
Nov 24 – Combined Panachyda at the UOAC (followed by a showing of the
“Ukrainian Migrants in Western Australia: That was Then and This is Now”
Holodomor Exhibition in the UOAC church hall…
VICTORIA ———-
75th Anniversary of the Ukrainian Genocide – Famine 1932-1933
Ukraine Remembers the World Acknowledges
Association of Ukrainians in Victoria appeals to all to commemorate
and acknowledge the 75th Anniversary of the Great Famine – Genocide
1932-1933.
Mourning Service & Requiem Concert of Religious Songs
Sunday, December 2, 2007 at 4:00 p.m.; Ukrainian Catholic Cathedral
of Sts. Peter & Paul, 35 Canning Street, North Melbourne
NEW SOUTH WALES —–
WE MUST NOT FORGET THE HOLODOMOR OF 1932-1933
Programme of the NSW/Sydney/ Observance on Saturday December 1st,
10.00am  Solemn Panachyda – Requiem Ecumenical Service   St. Mary’s
Cathedral (45 min)
Encompassing Ecumenical Prayer service with Homily, and Declaration
of Commencement of the Year of Holodomor 32-by the Chair of the
Australian Federation of Ukrainian Organisations, AFUO / SUOA.
10.50 am  March  through Hyde Park  ( a distance of less than 200 m)
11.00 am  Public Rally  in  Hyde Park  at Archibald Fountain
 Addresses by public figures, reminiscences of Holodomor survivors,
expressions of solidarity
12.00 pm  Conclusion of Rally , viewing of  Exhibition
4.00  pm  All Exhibition stands and platforms to be removed

SOUTH AUSTRALIA ———-

November 24, 2007, Program to be available soon.
Full National program will shortly be available on www.ozeukes.com.
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19.  JOIN THE SOLEMN MARCH TO HONOR THE UP TO 10
MILLION VICTIMS OF THE UKRAINIAN GENOCIDE OF 1932-
1933 BEING HELD IN NEW YORK CITY, SAT, NOV 17, 2007

National March of Remembrance
National Committee to Commemorate the
75th Anniversary of the Ukrainian Genocide of 1932-1933
New York/Washington, Friday, November 2, 2007   

NEW YORK – One of the darkest pages in Ukraine’s history is the

Genocide of 1932-33, during which up to 10 million innocent victims
were starved to death through a deliberate Soviet policy to crush the
nationally conscious Ukrainian peasantry.

The Ukrainian Genocide ranks among the worst cases of man’s
inhumanity towards man, and is perhaps the most extreme example
of the use of food as a weapon.

Starting Point: St. George Ukrainian Catholic Church
(7th Street between 2nd and 3rd Avenues, New York City)
March begins at 11:45AM, Friday, November 17, 2007
Final Destination: St. Patrick’s Cathedral
Solemn Requiem Service at 2PM
To commence the 75th Anniversary of the Holodomor!
SATURDAY, NOVEMBER 17th 2007, NEW YORK CITY
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NOTE: For further information contact Tamara Olexy at ucca@ucca.org.

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20.  UKRAINIAN HOLODOMOR & THE DENIAL OF GENOCIDES
International Conference, Rome, Italy, Friday, November 9, 2007
 
Professor Federigo Argentieri, John Cabot University
International Conference: Organized by Guarini Institute for
Public Affairs-John Cabot University With the cooperation of
Comitati Pro Libertatibus and the Italian Association for the
Study of Central and Eastern European History (AISSECO)
Rome, Italy, November 1, 2007 
 
ROME, Italy – An international conference entitled, “The Ukrainian
Holodomor and the Denial of Genocides, is being held in Rome, Italy
on Friday, November 9, 2007. 
PROGRAM:
 9:30: Welcoming and opening addresses
10:00: First session (Chair: prof. Eric Terzuolo, JCU)
— Prof. Taner Akçam (University of Minnesota)
   Turkey and the Armenian Genocide
— Prof. Federigo Argentieri (John Cabot University)
  Hiding, Denying, Minimizing – The Slow and Difficult
  Truth About the Ukrainian Famine
— Dr Frediano Sessi (independent author)
  La negazione della Shoah (in Italian)
Discussant: Dr Dario Fertilio, („Corriere della Sera”), Milan
13:15   Lunch break
15:00: Second session (Chair: Prof. F.Argentieri)
— Prof. Roman Serbyn, (Université du Québec a Montréal)
   Is there a “Smoking Gun” for the Holodomor?
— Prof. Georgiy Kasianov (Kyïv-Mohyla Academy),
  The Great Famine of 1932-33: Academia and Politics 
— Dr. Mykola Ryabchuk, (co-editor of Krytyka, Kyïv)
   Holodomor, Politics of Memory and Political Infighting
   in Contemporary Ukraine 
Discussant:  Prof. Olena Ponomareva, La Sapienza (in Italian)
17:00 Coffee Break
17:00 Concluding Round Table Discussion, chaired by Ambassador
Luigi Vittorio Ferraris, President of AISSECO
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21. YUSHCHENKO’S PUSH FOR A HOLODOMOR DENIAL LAW

ANALYSIS: Peter Dickinson, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 29, 2007

President Yushchenko announced last week his intention to push for laws
criminalising the denial of the Ukrainian Holodomor terror famine of the
1930s. This would be the latest step initiated by Yushchenko in addressing
the crimes of the Soviet era, but it also threatens to infringe on freedom
of speech

Since becoming Ukraine’s third president in 2005, Viktor Yushchenko has
made a fresh appraisal of the country’s history and the crimes of the
Communist regime one of his broad policy objectives.

This has seen previously muted remembrance services enter the national
consciousness and led to the benchmark November 2006 parliamentary vote
which saw lawmakers overwhelmingly support a bill to recognise the famine
as an act of genocide against the Ukrainian people.

The next step, it seems, is to be the introduction of legislation making it
a criminal offense to cast doubt on this version of events.

During an official visit to Kharkiv last week, President Yushchenko declared
his intention, as soon as the new parliament convenes, to call for the
introduction of laws making it a crime to deny the 1932-33 famine.
A EUROPEAN TREAD
Such legislation would be very much in line with the general trend towards
genocide denial laws already in place in many European Union member states.

These existing laws currently focus on denial of the Holocaust, or genocide
of European Jewry during WWII. Austria, Belgium, the Czech Republic,
France, Germany, Lithuania, Poland, Romania and Slovakia have all made
denying the Holocaust a criminal offense punishable by anything from fines
to serious prison time.

Other forgotten or unrecognised genocides of the 20th century are also
coming up for reappraisal, not least the murder of an estimated 1.5 million
Armenians in Ottoman Turkey during the First World War.

A preliminary vote by the American House of Representatives earlier this
month branding the deaths an act of genocide provoked international
political repercussions that are now threatening to impact on the precarious
peace of northern Iraq. A similar vote in France in 2006 led to a major
diplomatic row between the two countries.
FEARS OVER ALIENATING RUSSIA
Given the sensitivity to charges of crimes against humanity in today’s
Russia, the self-appointed successor state of the Soviet Union, many
Western nations are cautious about offering any official acknowledgement
of the Holodomor.

Numerous resolutions have been passed sympathetic to the claims of
genocide, but international legislation recognising the Holodomor remains
largely elusive.

President Yushchenko has called on foreign governments to recognise it as
genocide in time for the beginning this November of a year of memorial
events to mark the 75th anniversary of the tragedy, but few appear ready to
do so.

Denial laws similar to those in place across the EU governing denial of the
Jewish Holocaust could only be introduced once official recognition for
Ukraine’s Holodomor has been granted.

However, with recognition within Ukraine already achieved in November
2006, there are no legal constraints which could act as barriers to the
introduction of denial laws domestically.
REOPENING THE DEBATE?
In light of the highly charged political debate surrounding the Ukrainian
Holodomor, it will not be long before any new denial legislation is put to
the test.

Apologists for the Soviet regime have repeatedly claimed that the famine,
while acknowledged as a real historical event, was in fact a product of a
number of factors and was not a systematic genocide perpetrated specifically
against the Ukrainian people.

With support in Ukraine relatively high for pro-Russian politicians and
resistance to attacks on the Soviet past still robust, there will likely be
no shortage of activists and academics prepared to test any new denial laws
by contradicting the official government line over the Holodomor publicly.

Whereas Holocaust denial is largely the preserve of minority extremist
groups in most Western countries, millions of Ukrainians still refuse to
adopt the official government position that the Soviet authorities willfully
ordered the destruction of the Ukrainian population. The size of this
constituency would appear to pave the way for large scale opposition to the
plan.

The irony is that any new laws will doubtless be attacked as infringements
on Ukraine’s new-found freedoms of speech by the same political forces
which previously fought to curtail press and public freedoms.

Advocacy groups throughout the Muslim world have successfully attacked
Western perceptions regarding freedom of speech by pointing out the
contradictions inherent in Europe’s widespread Holocaust denial laws, and
there is every reason to believe that Kremlin loyalists in Ukraine and
across the former Soviet Union would use any new Holodomor denial
legislation to undermine the moral stance of the pro-democracy camp.

Sergiy Ilyin, a spokesman for the Ukrainian Communist Party in Donetsk,
slammed the idea of Holodomor denial laws, commenting, “Yushchenko has
no right to impose his way of thinking on entire nations. There was famine
but to see the hand of Moscow in engineering it is wrong.

“Genocide cannot be recognised in this way. If governments can do this, then
the policy of the United States towards the indigenous American Indian
population can equally be labeled an act of genocide.”
LEGAL COMMUNITY HESITANT
Lawyers are also unsure over the plans to introduce anti-denial legislation.

Sergei Konnov, the Senior Partner at Kyiv’s Konnov & Sozanovsky law firm,
comments, “If the President wants everyone in Ukraine to have the same
opinion about the Holodomor then he should try to educate people about the
historic facts, but not punish those who do not agree that it was the result
of Moscow policy against Ukraine.

“By all means explain the facts to anyone in doubt but don’t send them to
court. Criminalising denial of the Holodomor would demonstrate that Ukraine
is still not ready to be a truly civilised country. Or at least its leaders
are not.”

Konnov’s colleague Ronald G. Marks adds, “In a democracy, the people
‘hold the stick’, and in some countries they have used it to ‘beat’ the
politicians into passing anti-holocaust denial laws.

“I can’t imagine a democracy in which the president would force the
population into living under such a law, where there is no demonstrable
evidence that a compelling majority have demanded such a restriction on
civil liberty.”

Beyond the argument about the need for Holodomor denial legislation is the
issue of priorities, and there is a further debate about how urgent the
issue is given the very real practical problems facing the country.

Alex Frishberg of Frishberg & Partners attorneys summed up this sentiment,
commenting, “Ukraine’s President should be focusing on economic and
corruption issues (particularly in the judicial sphere) rather than seeking
to appease the nationalists with a populist measure like this.
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LINK: http://www.businessukraine.com.ua/yushchenko-s-push-for-a-denial
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22.  UKRAINE: TRUTH ABOUT HOLODOMOR IN KHERSON

OBLAST TO BE REVEALED IN EARLY 2008

The Day Weekly Digest #30, Kyiv, Ukraine, Tue, October 30, 2007

KYIV – In February 2008 the residents of Kherson oblast will become widely
acquainted with the latest materials on the Holodomor tragedy of 1932-33.

This announcement was made by the governor of Kherson oblast Borys
Sylienkov, as he commented on the Oct. 24 session of the Coordinating
Council, which has been tasked with preparing measures dedicated to the
75th anniversary of the Holodomor, Liga reports.

Sylienkov said that the work of the Coordinating Council, created by
presidential decree on March 14, 2007, has enabled researchers to reveal the
whole truth about the Holodomor of 1932-33, which “raged in Kherson region
too.

Ukrainian society must consolidate around its own history,” said the
governor, who added that “for 75 years the Communist Party concealed the
tragic truth and spread propaganda that there was no Holodomor in our
region.

Thanks to the president’s position, confirmation of tens of thousands of
deaths as a result of the genocide of 1932-33 was found in the archives.
Many unmarked graves were discovered.

We have published information about the Holodomor in the Kherson lands
based on evidence provided by eyewitnesses and disseminated it among
local communities,” the governor of Kherson oblast emphasized.

According to Sylienkov, the truth about the events connected to the
Holodomor must be conveyed first and foremost to the communities of
southern and eastern Ukraine.

“Following in the footsteps of historians and researchers in Kharkiv oblast,
the residents of Kherson oblast will be widely familiarized with materials
on the study of the Holodomor of 1932-33,” he summarized.

On Oct. 23 President Yushchenko arrived on a working visit to Kharkiv
oblast, where he chaired a session of the Coordinating Council to prepare
measures dedicated to the 75th anniversary of the Holodomor.

The main goal of the council is to draft proposals for coordinating tributes
to the Holodomor victims, which will be organized by the Ukrainian
government, and academic and social institutions.
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LINK: http://www.day.kiev.ua/190507/
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23.  2008 DECLARED AS NATIONAL YEAR OF HOLODOMOR

REMEMBRANCE BY PRESIDENT OF UKRAINE, STATES NEED
TO RESTORE HISTORICAL TRUTH ABOUT SOVIET-ERA FAMINE

New Europe, Brussels, Belgium, Monday, October 29, 2007

BRUSSELS – Ukrainian President Viktor Yushchenko said he was going to
propose a bill criminalising the denial of the Holodomor and Holocaust,
instructing Ukraine’s central and local authorities to hold events on
November 24, 2007 to honour the victims of the Soviet-era famine and mark
its 75th anniversary, according to a press statement from the Mission of
Ukraine to the EU, released to New Europe on October 2.

Ukrainians all around the world will again light candles to pay tribute to
the victims of the 1932-1933 Great Famine and political repressions, he
added.
NATIONAL YEAR OF HOLODOMOR REMEMBRANCE
The year 2008 should be declared as a national year of Holodomor
remembrance, Yushchenko said during the second meeting of the

Holodomor Commemoration Coordinating Council in Kharkiv on
October 23.

Yushchenko said it was important to restore the historical truth about the
country’s Soviet-era famines. “Time demands that we honour the historical
truth, with no wrath but in sorrow,” he said, adding that the Ukrainian
people’s appreciation of those tragic events was a test showing whether
Ukrainians will ever become a real nation.

The head of state underlined that the Ukrainian villages had more victims
because of Famine then of the IIWW, Interfax reported.Yushchenko said
Ukraine must “take key steps” in honouring the victims of those man-made
famines in 2007-2008, seventy-five years after them.

“If we don’t say a truth about years of 1932-33, it would be very difficult
for us to find an answer what is good or what is evil”.
NATIONAL MEMORY BOOK
He said it was crucial to publish a National Memory Book with the names of
each victim and each village and town hit by the famine.

This book must become a “core” of the Holodomor Memorial which is expected
to be unveiled next autumn, he said.In 1932-1933 an unprecedented famine
struck Ukraine – a country, which was previously known as the “Breadbasket
of Europe”.

Unlike in numerous cases of famines in European history, caused by natural
disasters, bad harvest, or consequences of wars, Ukrainian famine of
1932-1933 was an artificial measure, undertaken by the regime of Joseph
Stalin within the implementation of the Soviet project.

This policy implied practical elimination of national ideas and identities
that could have impeded the creation of the Soviet state on the vast
territories of many nations, which had been earlier seized by Russian empire
and failed to maintain their independence in the struggle with the
Bolsheviks – the virtual successors of tsarist imperialism.

Ukraine, which after long sanguinary battles for the statehood was captured
by Bolsheviks and joined the Soviet Union as Ukrainian Socialistic Soviet
Republic in 1922, still remained a country with strong national traditions
and European social model.

The 20 years of the last century were marked by a new wave of Ukrainian
cultural revival under the paradoxical leadership of the Communist party of
Ukraine.

The national traditions of Ukrainian society and autonomist tendencies
demonstrated by the leadership of Soviet Ukraine could not have possibly
coexist with the Stalinist vision of the Soviet future.
FAMINE WAS NO ACCIDENT
Thus, Ukraine was condemned.The Famine of 1932-1933 was by no means

an accident. Quite opposite, it was the result of systemic totalitarian state
terror by starvation – in other words, the result of genocide.

The mass physical extermination of Ukrainian farmers by artificially caused
starvation to death was a deliberate act of political system against
innocent civilians, the statement said.

It led not only to disappearance of a whole stratum of wealthy and
economically independent farmers-entrepreneurs, but whole generations

of rural population, it explained.

In 1932 the Soviet dictator Josef Stalin ordered his government to seize
crops from Ukrainian peasants in a campaign to collect money for
industrialisation and militarisation of USSR.

Kremlin raised Ukraine’s grain procurement quotas by 44 percent. In
practice, this meant that the harvest, which was extremely rich that year,
was to be completely deprived from the peasants in order to execute the
directives of Moscow.
CREATING COLLECTIVE FARMS
This was also a way to destroy traditional agriculture culture and create
kolkhoz type agriculture. This resulted in famine with between seven to 10
million Ukrainians, mostly peasants, starving to death in the very country
known as “the breadbasket of Europe.”

At the same time the grain was exported to obtain funds for military buildup
and speedy industrialisation.Only in 1933 Soviet regime dumped 1.7 million
tonnes of grain on Western markets.

Soviet officials, with the aid of regular troops and secret police units,
waged a merciless war against peasants. Even indispensable seed grain was
forcibly confiscated from households.

Any man, woman, or child caught taking even a handful of grain from a
collective farm was to be executed or deported. Those who did not appear

to be starving were often suspected of hoarding grain.
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24.  DONETSK OBLAST GOVERNOR CONSIDERS DISASSEMBLING
MONUMENTS AND MEMORIAL SIGNS TO THOSE WHO

PARTICIPATED IN THE ORGANIZATION OF THE HOLODOMOR 
OSTROV, Provider: Research Center of Donbass Social Perspectives
Donetsk, Ukraine, Tuesday, October 30, 2007

KYIV – The Donetsk oblast governor, Vladimir Logvinenko, gave

an assignment to the heads of regional administrations and city executive
councils to prepare and submit for consideration the issue on dismantling
of monuments and memorial signs devoted to persons who participated
in the organization of Golodomor in 1932-1933 in Ukraine.

This was talked about at the governors’ meeting with heads of regional
administration, chief of law-enforcement bodies of the Donetsk oblast.

Vladimir Logvinenko noted that for the due honoring of Golodomor victims,
there shouldn’t be preserving of old soviet paraphernalia of Bolshevik
system.

 Due to that, the city heads and regional administrations have been
scheduled to consider at their sessions ‘Issues connected with installation
of memorial signs, crosses and other objects in places of mass people’s
death because of famine.

The next issue was disassembling of monuments and memorials for the people
who participated in organization and performing the Famine of 1932-1933 in
Ukraine, renaming streets, squares, avenues, parks and settlements of the
Donetsk oblast, which are related to such people.
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LINK: http://ostro.org/index.php?Array

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25. UKRAINE PRES YUSHCHENKO CRITICIZES AUTHORITIES
FOR INSUFFICIENT WORK OVER PERPETUATION OF
MEMORY OF VICTIMS OF 1932-1933 FAMINE 

Ukrainian News Agency, Kyiv, Ukraine, October 23, 2007

KHARKIV – President Viktor Yuschenko has criticized authorities for
insufficient work over perpetuation of memory of 1932-1933 Famine.

The president disclosed this in Kharkiv taking floor at the second meeting
of the Coordination Council for the issues on preparations for the 75th
anniversary of 1932-1933 Famine.

“You do not correspond to requirements of the society,” Yuschenko said
addressing participants of the meeting. He marked that worthy perpetuation
of memory of the Famine is one of the obligations of the power.

“There has not been a more considerable tragedy than Ukrainian Famine in the
whole world,” the president said. He also marked that the Famine took lives
of more people than the number of people killed in WWII.

According to the president, the Famine brought not only death to Ukrainian
lands, but also fear people have lived with for 75 years, earthliness,
amorality and lawlessness. “Why don’t ministries having any reference to
this tragedy work?” he said.

Yuschenko made an example of Kharkiv region, where monuments to

Famine victims are not located in all districts.
At the same time, the president marked insufficiency of efforts of archives,
schools, historians, press and film industry on perpetuation of memory of
the tragedy.

“Tomorrow, a decree will be drafted to make order in the district, where
nothing has been done,” Yuschenko said. The president urged all

representatives of the government to take all necessary measures to fully
pay tribute to the memory of Famine victims.

As Ukrainian News earlier reported, in 2006, the Verkhovna Rada declared the
1932-1933 Famine as the genocide of Ukrainian people. On November 25[date
should be November 24] , Ukraine pays tribute to the victims of famines and
political repressions.

In 1932-1933, the famine took lives of 3-7 million people. Besides, a number
of historians say that there were other famines in 1921-1923 and in
1946-1947.
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26.  HEAD OF PRESIDENTIAL SECRETARIAT VIKTOR BALOHA
WARNS REGIONAL GOVERNORS THEY MAY BE REPLACED IF
THEY IGNORE PRESIDENTS ORDER TO PERPETUATE MEMORY
OF THE VICTIMS OF THE 1932-1933 FAMINE IN UKRAINE
Ukrainian News Agency, Kyiv, Ukraine, Friday, October 26, 2007

KYIV – The Presidential Secretariat’s head Viktor Baloha has warned regional
governors that they may be replaced if they ignore President Viktor
Yuschenko’s directive on perpetuating the memory of the victims of the
1932-1933 famine in Ukraine. The presidential press service announced this
in a statement, a text of which Ukrainian News obtained.

At the same time, Baloha considers fair and timely the disciplinary measures
that were taken against the regional governors that are not satisfactorily
implementing Yuschenko’s decree on preparation for measures for
commemorating the 75th anniversary of the famine.

According to Baloha, Yuschenko said during a meeting of the coordinating
council on preparation for a ceremony that will honor the victims of the
famine that certain senior regional officials were indifferent to this
historical tragedy.

“They attempted to throw dust in the eyes of the President, but this attempt
was in vain. The criticism that he voiced in Kharkiv regarding regional
leaders did not hang in the air. The reprimands that were issued today
should serve as a palpable inoculation against apathy,” the press service
quoted Baloha as saying.

Baloha also believes that painstaking work is necessary for restoration of
historical justice. At the same time, Baloha warned regional governors

against imitation of work on measures for preparation for the anniversary
of the famine.

“Any window dressing or insincerity will require adequate personnel
decisions. The tragedy of the people is not a reason for loud reports. The
pain and sorrow of those cruel years should be recognized by the current

and future generations of Ukrainians,” Baloha said.

He also said that Yuschenko intended to personally oversee the preparation
for commemoration of the anniversary of the famine.

“If bureaucrats allow themselves to have a depreciating attitude to
presidential directives and orders, they will not get away with reprimands
alone,” Baloha said.

As Ukrainian News earlier reported, Yuschenko has asked the heads of 10
regional administrations to bring to account officials in charge of
preparation of the events commemorating the 75th anniversary of the
1932-1933 famine in Ukraine.

Yuschenko earlier criticized officials for insufficient work on perpetuation
of the memory of the 1932-1933 famine. Yuschenko has declared 2008 as

the year of remembrance of the victims of the 1932-1933 famine in Ukraine.

Ukraine will honor the memories of the victims of famines and political
repression on November 25. Between 3 million and 7 million people died in
the 1932-1933 famine in Ukraine, according to various estimates. Moreover,
according to several historians, there were famines in Ukraine in the
1921-1923 and 1946-1947 periods.
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27.  COMMUNIST PARTY SAYS RENAMING OF STREETS

& MONUMENTS IN UKRAINE WITH SOVIET NAMES IS
TOTALITARIANISM

Ukrainian News Agency, Kyiv, Ukraine, Fri, November 2, 2007

KYIV – The Communist Party believes that the renaming of streets, squares,
and monuments that bear Soviet names is a manifestation of totalitarianism.
The press service of the party announced this in a statement, a text of
which Ukrainian News obtained.

The press service said that the Presidential Secretariat’s head Viktor
Baloha sent to regional and district administrations on October 6 the letter
No. 02.02/3262 in which he demanded that the administrations provide the
Presidential Secretariat with a list of population centers, monuments,
streets, squares, parks, and squares named after events and activists of the
Soviet era.

According to information from the Communist Party, the heads of regional
administrations have demanded that the relevant districts and cities provide
such information by 12:00 on November 5.

Serhii Hmyria, a parliamentary candidate for the Communist Party, suggested
that officials who failed to fulfill this demand would be dismissed.

The Communist Party believes that the Presidential Secretariat demanded a
list of facilities with Soviet names with the aim of renaming them.

‘According to the laws of Ukraine, only members of one territorial community
or another have the right to decide which names that are acceptable for
which monuments. Why then are Yuschenko and his restless deskman

attempting to usurp this integral constitutional right of citizens,’ the statement
said.

The Communist Party believes that the actions of the Presidential
Secretariat and President Viktor Yuschenko should be taken to the people’s
court.

As Ukrainian News earlier reported, the Kyiv municipal administration’s
commission for renaming of streets and erection of monuments and memorial
plaques is initiating renaming of 131 streets with Soviet names.
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28. HOLOCAUST SURVIVOR WILL REVISIT CAVE IN

UKRAINE THAT HID FAMILY FROM CERTAIN DEATH
More than 60 years after surviving the Holocaust by hiding,
Yetta Katz will return to the caves where she spent 344 days.

Holocaust Survivor’s Journey: By Jennifer Lebovich
Miami Herald, Miami, Friday, Sat, Nov. 03, 2007

MIAMI – The depths of a Ukrainian cave shielded Yetta Katz and her

family from almost certain death during the Holocaust.

She spent 344 days — from May 5, 1943, to April 12, 1944 — in the dank
space, sleeping between her sister and mother for warmth and cooking
meager meals of potato soup.
TRAVEL TO CAVE IS PART OF A FILM DOCUMENTARY
In May, Katz, now 84, is set to travel back to the Ukraine and Priest’s
Grotto, the 77-mile-long cave where her family and a few others lived out
the war, as part of a film documentary.

”I am very sad to go to the city where my friends were, where my neighbors
were,” Katz said at her Hallandale Beach condominium, where she spends
half the year. The rest of the time she lives in Montreal.

“It’s a terrible thing to go through such a horror. I don’t feel good to go
there. It will hurt me a lot. . . I don’t know how I will go in those
caves.”

Before the war, Katz (born Stermer) lived in Korolowka, Ukraine, with her
mother, father, three brothers and two sisters. When the war broke out,
about 500 Jewish families came under German occupation.

As the Nazis began killing Jews in the town, Katz’s family went into hiding.
They took spots under the roof of the family’s home and in other villages.

Then the Nazis rounded up the Jews from two towns into a ghetto, but
Katz’s mother, Esther, believed this meant death for her family. She told
her oldest son to find a place in nearby caves, a tourist attraction before
the war.

But the first cave where they made a home for 150 days had no potable
water or ventilation to cook, and living out the winter was trying.

As the spring thaw came, Germans found potatoes and onions near the cave
that the men had tried to haul back at night, giving away the secret of the
families inside.
FLED THROUGH TUNNEL
The Gestapo came, threatening to kill those inside, and they fled through
an emergency tunnel the family had dug.

The families, including small children, searched for a new place — some
hiding under the roof of a farmhouse — while the young men in the group
went looking for somewhere else to conceal them. A local hunter told the
men a fox had run into a hole in a field and there might be a spot to hide.

”They went with ropes and candles to see what was there,” Katz said. They
came upon a spot of earth and began to dig. It turned out to be Priest’s
Grotto, one of the largest caverns in the world.

”They got so excited for the first time in six months,” she said. The men
took the families — 38 people in all — to the cave.

Each family brought some things for survival — her family brought a pot, a
small stove, tools and candles. It was the last time Katz saw the light of
outside for nearly a year.

Recently, Katz has had flashbacks of her horrific experience because the
hurricane shutters on the condo next door block the afternoon sun and part
of the view of the sky. ”For so many days I didn’t see the daylight, now
not to see the sun,” she said.

”It’s terrible,” she said. ”I’ve suffered so much. I didn’t see the
daylight.” While in the cave, they slept more than 20 hours a day,
cooking the few potatoes and water they had into soup.  Sometimes, Katz
would sing Polish songs.

The men would go out foraging every five or six weeks, bringing back grain
and wood. ”We weren’t scared, we were together,” Katz said.

“What could we do? All our village had been killed. We didn’t think about
it. We couldn’t worry what would happen. We were together.”

They lived in the cave until April 12, 1944, when a Ukrainian family living
in the woods left a message in a bottle at the cave: The Russians had come.

”We came out, full of mud, and walked to the city. All of the houses were
broken,” she said, pausing for a moment. Tears come to her eyes as she
points to glossy photos of her children and grandchildren from her
grandson’s wedding.

“Because of my brothers, I survived and my two grandchildren got married.”
After the war, her family went to a displaced person’s camp in Germany.

That’s where she met her husband, Abraham Katz, who died 18 years ago.
They married in Munich, Germany, and she had her daughter, Faye Gallat,
in 1947. Two years later the family moved to Montreal.
MIRACLES
”So many miracles and coincidences occurred for them to survive,” said her
son, Saul Katz. Katz’s children will make the trip back to the Ukraine with
her in May.

When the families left the cave, they left behind some of their
belongings — shoes, keys, pots and pottery. In 1993, New Yorker Christos
Nicola was exploring with a Ukrainian caver when he found some of the shoes,
a millstone and earthen steps in the cave, indicating people might have
lived there.

He heard stories from local farmers that Jews lived in the cave during the
war and spent years trying to find out if people really lived there and
tracking down the families. About 10 years later, a relative of one of the
survivors contacted Nicola over the Internet.

Since then, Nicola has recorded hours of interviews with them and cowrote
the book “The Secret of Priest’s Grotto: A Holocaust Survival Story,”
telling the story of life in the cave.

”They only had light in the form of kerosene or candles two or three times
a day for no longer then a few minutes,” said Nicola, who has gone inside
the caves with family members of those who survived.

“Temperature of 52 degrees, 100 percent humidity. If you’re not properly
dressed [a person] can become hypothermic . . . People ask how they
survived. They taught themselves. They weren’t afraid to think outside of
the box.”
——————————————————————————————–
Four Photos: Jared Lazarus/Miami Herald Staff: Holocaust survivor Yetta
Katz, 84, of Hallandale Beach, hid in underground caves in the Ukraine for
two years during World War II. Here, she wipes away tears when talking
about how her neighbor’s room addition on the balcony (in the background)
blocks her view and light, and makes her feel like she’s in a cave again.
———————————————————————————————-
Jennifer Lebovich: jlebovich@MiamiHerald.com
———————————————————————————————-
LINK: http://www.miamiherald.com/news/broward/story/294188.html
———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
29.  UKRAINE PRESIDENT ORDERS RETURN OF 700 TORAH
SCROLLS CONFISCATED BY COMMUNIST GOVERNMENT 

By Anshel Pfeffer, Haaretz Correspondent,  Israel, Sun, Oct 28, 2007

Ukrainian President Viktor Yushchenko signed last week a presidential order
to return an estimated 700 Torah scrolls confiscated from Jewish communities
during the Soviet Union’s Communist rule. The decision is seen as an attempt
to mollify Jewish and Israeli opinion in advance of a visit to Israel by
Yushchenko next week.

The issue of state-held Torah scrolls has touched many nerves over the last
year. The Jewish communities in Kiev and Zhitomir have been using scrolls on
loan from the government, but, a few months ago, the state archive in Kiev
demanded the return of the scrolls, citing misuse.

Ukrainian Chief Rabbi Moshe Asman, who has connections in the President’s
office, intervened, and the local synagogues were allowed to continue using
the scrolls. Simultaneously, efforts were made to recover all the estimated
700 scrolls confiscated by the Communist authorities in Ukraine, culminating
in Yushchenko’s order on Wednesday.

Yushchenko incurred the anger of Jewish activists two weeks ago after
honoring a Ukrainian nationalist who was also a virulent anti-Semite, and
his latest step is seen as an attempt to improve relations before his visit
to Israel next month.

The countries of the Soviet Union, especially Russia and Ukraine, still hold
considerable cultural and religious treasures – both those confiscated by
the Communists and those that were pillaged by the Nazis during World
War Two and captured later on by the Red Army.

Israeli attorney Mordehai Tzivin, who is active in cases of restitution of
Jewish cultural property, said that “we should praise President Yushchenko
for taking the feelings of the Jewish people in consideration, this was a
brave move by him. We hope that other nations of the former Soviet bloc
will take the same attitude and return the Jewish treasures they are still
holding.”
———————————————————————————————

LINK: http://www.haaretz.com/hasen/spages/917483.html
———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
30.  UKRAINE: UGLY FACE OF EMERGING EXTREMISM

Peter Dickinson, Business Ukraine Magazine
Business Ukraine, Kyiv, Ukraine, Monday, October 29, 2007

For centuries Ukrainian nationhood was suppressed and even erased.
Its renaissance over the past twenty years is to be broadly welcomed,
but urgent action needs to be taken to rein in an extremist fringe
which has interpreted this renewed sense of identity as license for
appalling excesses

Last week’s Champions League football clash between Dynamo Kyiv and
Manchester United saw yet more violent clashes between visiting fans
and local hooligans. Manchester supporters were apparently identified
at isolated locations and systematically attacked by well-organised
gangs of skinheads who inflicted serious injuries, leaving many fans
in need of hospital treatment.

This follows on from similar scenes of coordinated violence that
accompanied the visits of the Scottish national football team and
Glasgow Celtic over the past year.
HOOLIGAN SMOKESCREEN FOR XENOPHOBIA
Football violence in itself is not a Ukrainian disease, of course,
but given the extent of similar unprovoked attacks on physically
recognisable foreigners in Ukraine over the past few years, it is clear
that a dangerous culture of xenophobic violence is emerging from
the shadows.

Earlier this month on the same day that ultra-nationalists joined a mass
march in favour of recognising the WWII-era UPA Ukrainian Insurgent

Army, a Bangladeshi man was brutally murdered in Kyiv in an apparent
racially motivated attack, while three Chinese girls were stabbed in a
separate incident.

Ukrainian officials are loathe to admit that this rising tide of violence
against foreigners is racially or nationalistically motivated, preferring
to categorise all such attacks as common hooliganism, but the organised
nature of the violence and numerous eye-witness accounts of individual
attacks, citing large groups of teenagers screaming racial epithets,
would seem to confirm that this is a far bigger and more sinister issue
than simple youthful excess.
RECRUITING THE DISAFFECTED
Kyiv’s skinhead community, although embryonic compared to the alarming
underground culture in neighbouring Russia, is growing, and the number
of ultra-nationalistic pseudo-political organisations that offer
the shield of respectability to angry young men is also on the rise.

They do not have to struggle hard to find potential recruits in the
ideological laboratory that is today’s Ukraine.

Young Ukrainians with few personal prospects and a smoldering resentment
at the perceived third-class status they are afforded in western Europe
make for enthusiastic recruits, while the highly uneven distribution of
Ukraine’s new-found wealth only adds to the resentment.

The lack of any previous interaction with non-Europeans has also served
to heighten racial tensions since the appearance of an international
community in the 1990s.
EMBASSIES FORCED TO TAKE ACTION
Taken together, these factors make for a potent, potentially deadly
cocktail and the results have been explosive. No matter how long
the Ukrainian government turns a blind eye to the problem, there is no
denying that it has already impacted on perceptions of the country.

International organisations in Kyiv now routinely notify staff and
other members of the international community ahead of planned marches
by nationalist groups.

Many embassies have taken to advising non-white members of staff
to avoid certain areas and try not to get caught alone at night
anywhere in the city.

Non-European ambassadors who previously relished the strolling culture
of the Ukrainian capital are now reluctant to set foot outside without
protection.

It is only a matter of time before the wider world starts to view Ukraine
through the prism of racial hatred and xenophobia.

Ultimately this damaging trend could pose a threat to the opportunities
presented by Euro 2012. The coming football championships represent
a chance for Ukraine to demonstrate just how progressive and European
this country really is, and also guarantees a captive audience.

However, no matter how well the infrastructure renovation plans proceed,
if visitors are subjected to violent attacks and racial assaults, then
Ukraine will be slaughtered in the international media as a backward,
savage land to be avoided at all costs. That may well be exactly what
the thugs would like to see, but it is up to the authorities to make sure
that the interests of decent Ukrainians are protected.
———————————————————————————————–
LINK: http://www.businessukraine.com.ua/ugly-face-of-emerging-extremism
———————————————————————————————-
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AUR#886 Nov 1 Investing In Independence; Champagne Factory; Kosmo Retail Chain; Tourism; Current-Account Blowout; President’s Website

=======================================================
ACTION UKRAINE REPORT – AUR           
An International Newsletter, The Latest, Up-To-Date
In-Depth Ukrainian News, Analysis and Commentary

Ukrainian History, Culture, Arts, Business, Religion,
Sports, Government, and Politics, in Ukraine and Around the World       
                        
ACTION UKRAINE REPORT – AUR – Number 886
Mr. E. Morgan Williams, Publisher and Editor, SigmaBleyzer
WASHINGTON, D.C., THURSDAY, NOVEMBER 1, 2007
 
INDEX OF ARTICLES  ——
Clicking on the title of any article takes you directly to the article.               
Return to Index by clicking on Return to Index at the end of each article
1.  INVESTING IN INDEPENDENCE
Agreement reached with Vanco for Black Sea oil and gas field
Oleksii Savytsky, The Day Weekly Digest #32,
The Day, Kyiv, Ukraine, Tuesday, October 30, 2007
 
Maria Aksyonova, Staff Writer, Kyiv Post, Kyiv, Ukraine, Thu, Nov 1, 2007

4UKRAINE: AMC PERMITS SIGMABLEYZER FUNDS TO
BUY KOSMO CONSUMER GOODS RETAIL CHAIN
Interfax Ukraine Economic, Kyiv, Ukraine, Wed, October 24, 2007

5LVIV: CASHING IN ON THE TOURISM BOOM
Anna Melnichuk, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 22, 2007

6UKRAINE: HANDS OFF THE MARKET
Government needs to be told again and again: Stay out of the market.
Editorial: Kyiv Post, Kyiv, Ukraine, Thu, Nov 1, 2007

7 U.S. SECURITIES AND EXCHANGE COMMISSION SUES
UKRAINIAN NATIONAL OVER IMS HEALTH OPTIONS TRADES
Dow Jones Newswires, New York, NY, Mon, October 29, 2007

8REZIDOR HOTEL GROUP TO MANAGE THREE TO FIVE-STAR

HOTELS IN ALL LARGEST UKRAINIAN CITIES IN FUTURE
Interfax Ukraine Economic, Kyiv, Ukraine, Wed, October 31, 2007

9FEATHERING UKRAINE’S AGRICULTURAL FUTURE
ANALYSIS: By Jim Davis, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 29, 2007

 
Plans call for the yard to be sold to Ukrainian company Donbass.
Associated Press (AP), Warsaw, Poland, Monday October 29, 2007
News Analysis: The Economist Intelligence Unit Limited
New York, New York, Monday, Oct 15, 2007

12DUTCH CHRISTIANS’ AID GOODS ROT IN UKRAINE HOSPITAL
By BosNewsLife Special Reporting Unit with BosNewsLife
reporters in the Netherlands, Hungary and Ukraine
BosNewsLift, Budapest, Holland, Tuesday, 30 October 2007

 
COMPETITIVENESS RATING IN 2007, LOSING 4 PLACES
Interfax Ukraine Business, Kyiv, Ukraine, Wed, October 31, 2007

14UKRAINE ENERGY: CURRENT-ACCOUNT BLOWOUT
Current account deficit in the first nine months of the year expanded
to US$2.5bn, nearly ten times as much as in the year-earlier period.
Country Briefing: EIU IndustryWire – News Analysis
The Economist Intelligence Unit Limited
New York, New York, Tuesday, October 30, 2007

15UKRAINE: NOTHING BUT LOVE FOR THE MOTHERLAND
Looking at economic relationships with other countries
Analysis: By Boris Lastochkin-Smirnov, Mirror Weekly #40 (669),
Kyiv, Ukraine, Saturday, 27 Oct – 2 Nov, 2007

16UKRAINE: DOMESTIC AND EXTERNAL PROBLEMS
Inflation Rates, Price of Gas, Russian Relations, NATO, EU
Political Review, Ukrainian News Agency, Kyiv, Ukraine, Wed, Oct 31, 2007

17.  THE GROUP OF STATES AGAINST CORRUPTION

(GRECO) PUBLISHES ITS REPORT ON UKRAINE
Concludes that corruption in Ukraine constitutes a real threat
to the principles of democracy and the rule of law.
Council of Europe, Strasbourg, France, Monday, October 29, 2007
 
18UKRAINE PRESIDENT’S WEB SITE ATTACKED; RUSSIAN
NATIONALIST GROUP CLAIMED RESPONSIBILITY
Associated Press, Kiev, Ukraine, Tue, October 30, 2007

19UKRAINE: AGAIN ON POISON STORY
Associated Press (AP), Kyiv, Ukraine, Monday, October 29, 2007

20UKRAINE: OUTLINE OF THE FUTURE PARLIAMENT

Political Review, Ukrainian News Agency, Kyiv, Ukraine, Wed, Oct 31, 2007
 
21UKRAINE: RIGHTING WRONGS OR REWRITING HISTORY?
LVIV’S CENTRAL ROLE IN MEMORY POLITICS
Analysis: Paul Johnson, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 22, 2007
 
22REMEMBERING SOVIET & TODAY’S POLITICAL PRISONERS
Commentary: By Halya Coynash
Kharkiv Human Rights Protection Group
Kharkiv, Ukraine,  Monday, October 29, 2007
 
23UGLY TRUTH BEHIND THE GREEN FENCE
The Ukrainian Observer, Kyiv, Ukraine,  Sund, October 28, 2007
 
24A MONUMENT TO UKRAINIAN SERFDOM
CATHERINE II AS A MIRROR OF UKRAINIAN STATEHOOD
The Day Weekly Digest, Kyiv, Ukraine, Tue, October 30, 2007
 
25UKRAINE TO SEEK ISRAELI RECOGNITION FOR 1930s GENOCIDE
By Anshel Pfeffer, Haaretz, Israel, Sunday October 28, 2007
 
26NATIONAL CONGRESS OF THE REPUBLIC OF ECUADOR
RECOGNIZED HOLODOMOR IN UKRAINE AS AN ACT OF GENOCIDE
ForUm, Kyiv, Ukraine, Wed, October 31, 2007
========================================================
1
 INVESTING IN INDEPENDENCE
Agreement reached with Vanco for Black Sea oil and gas field

Oleksii Savytsky, The Day Weekly Digest #32,
The Day, Kyiv, Ukraine, Tuesday, October 30, 2007

KYIV- Ukraine has taken an important step toward energy safety. Our
government and Vanco International Ltd., a subsidiary of the Vanco
Energy Company, have reached an agreement on the conditions for oil
and gas production in a Black Sea oil and gas field near Kerch.

The agreement was signed by Vanco’s president and founder Gene Van
Dyke and Ukraine’s Deputy Prime Minister Andrii Kliuiev in the presence
of President Viktor Yushchenko.

“For Ukraine this is a project of strategic importance and a uniquely
positive precedent for developing, first of all, the foundations of
a national energy strategy as well as cooperation with leading
international investors,” the president said.

At the meeting before the signing ceremony Yushchenko praised the
agreement, declaring that in the context of bolstering our country’s
energy safety this document has multifaceted value.

In his opinion, it is also a good incentive  to step up large-scale
exploration of the Ukrainian part of the Black Sea continental shelf.

The agreement was the culmination of a tender that attracted the U.S.-
based Hunt Oil Company of Ukraine, Shell, Exxon Mobil, Turkey’s Turkiye
Petrolleri, Britain’s Alphex One Limited, and Ukraine’s Ukrnafta. Shell
and Exxon Mobil competed jointly, as did Turkiye Petrolleri and Alphex
One.

The winner was Vanco International Ltd.

The subsequent negotiations on exploration and extraction in the Ukraine-
owned part of the deep-sea fields in the Black Sea were launched in April
2006.

According to Van Dyke, it was not easy to reach an agreement, but both
sides are satisfied with the end results and are discussing details.
The exploration will start next year.

“We will get to work right away and follow a detailed exploration program,
including an all-around 3D seismic study followed by deep-sea drilling,”
he said. Three wells are scheduled for drilling within the next three
years.

As far as the main conditions of the production-sharing agreement are
concerned, i.e., the division of production, Van Dyke says that the
approximate shares are as follows: 65 percent of the total production
is reserved for the Ukrainian government and 35 percent for Vanco
Energy, which will sell its share to Ukraine.

However, the press service of the Ministry of the Environment and Natural
Resources says that this ratio will be valid only for the development
stage. Once exploitation work begins, the production will be divided
50-50.

“We believe that this field has potentially huge deposits. Geologically,
the Black Sea is very similar to the Caspian Sea, where a lot of oil
and gas is being extracted.

However, the average depth of the Black Sea is two kilometers, and drilling
devices designed to work at such great depths became available only four or
five years ago,” says Van Dyke. The 12,960-square- meter field near Kerch
has an estimated 10.8 billion cubic meters of hydrocarbons.

“If our drilling is successful, it will yield two to three billion barrels
of oil, which is around 400 million tons,” says the president of Vanco
Energy.

These are all estimates, he adds, because drilling at such great depths
poses a great risk. In the event of failure, Ukraine will not suffer any
losses.

“Drilling a well is a $1 million-per-day business. If the well turns out
to be dry, we will lose $90 million. A few years ago we drilled a well
in Turkey’s part of the Black Sea, and after we had spent $25 million
we discovered it was dry. It takes two to three billion dollars to develop
a field like this one. So this business is very risky, and you can’t insure
the risk.” According to Van Dyke, up to 50 percent of deep-sea wells are
unsuccessful.

Even so, Van Dyke’s years of experience and his undisguised delight with
the agreement offer hope for a positive result because both sides to the
agreement have stated that in the best-case scenario Ukraine may become
an independent energy country.

Specialists at Vanco Energy say that if their efforts are successful,
the project will require $20 billion more in investments. The president’s
press service says that Ukraine expects the agreement to attract $15 billion
of investments and yield 200 million tons of hydrocarbons within 30 years.

The state budget is expected to receive over 200 billion hryvnias if
the project is successful.
——————————————————————————————–
LINK:
http://www.day.kiev.ua/190509/
——————————————————————————————-
NOTE:  Vanco is a member of the U.S.-Ukraine Business Council
(USUBC) in Washington, D.C., 
http://www.usubc.org
.
————————————————————————————————-

[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
2.  VIKTOR YUSHCHENKO: UKRAINE MUST SATISFY HALF OF ITS
DEMAND IN HYDROCARBONS THROUGH INTERNAL EXTRACTION

Ukrinform, Kyiv, Ukraine, Tuesday, October 30, 2007

KYIV – Ukraine must seriously get involved in developing its own oil and
gas drilling, in particular, drilling on land, re-opening old fields, which
contain yet 40-50% of their resources and starting efficient drilling in the
Black Sea shelf, President Viktor Yushchenko said in a Sunday interview
to a tv channel, by way of commenting on Ukraine’s provision with energy
sources.

According to the president, the agreement, which was signed with the
VANCO company is the first project to explore and drill on the Black Sea
shelf at some two km depth.

Viktor Yushchenko noted that there are all grounds to speak about
Ukraine’s starting oil and gas extraction from one of unique fields in a
couple of years. “This is a key contribution to forming energy security of
Ukraine,” the president is confident.

According to the president, the priority task is covering half of Ukraine’s
demand in oil and gas through extraction from this field.
———————————————————————————————–
LINK: http://www.ukrinform.com/eng/

————————————————————————————————
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
3.  GERMAN GROUP SNAPS UP KYIV CHAMPAGNE FACTORY
 
Maria Aksyonova, Staff Writer, Kyiv Post, Kyiv, Ukraine, Thu, Nov 1, 2007

Leading German wine producer Henkell & Sohnlein has taken a majority stake
in Ukraine’s largest champagne producer further strengthening its already
strong position in Eastern Europe.

On Oct. 17, the German company acquired another 25.7 percent share of
Kyiv-based Kyivsky Zavod Shampanskich Vyn Stolitschniy, boosting its

overall holding to 51.9 percent.

The factory produces 16 million bottles of Sovetskoye and Ukrainskoye
champagne annually, which constitutes a 25 percent share of the Ukrainian
sparkling wines market. In 2006, the company made just over $20 million by
increasing its production volume by 9 percent.

Since the 1990’s, Henkell & Sohnlein has expanded east from Germany
throughout the former communist bloc. The purchase of the Kyiv factory

is a strategic one, company officials said.

“Today the sparkling wine market leaders in Austria, Hungary, the Czech
Republic, Slovakia, and Romania are members in the Henkell & Sohnlein

Group.

In this context, the acquisition in Kyiv is an important and strategic one
because it adds a successful, market leading company in a very important
European market for sparkling wine to the H&S Group,” said Jan Rock,

press spokesman for the Henkell & Sohnlein Group.

“[The Ukrainian factory’s] sales of 16 million bottles of sparkling wine,
together with Henkell & Sohnlein’s worldwide sales of 133 million bottles
will hopefully increase our foreign turnover considerably,” Rock said.

H&S currently has subsidiary companies in nine European countries with total
revenues for 2006 of $738 million, a 1.5 percent increase from 2005, with
revenues of $727 million.

The cost of the acquisition has not been disclosed. The German company
acquired its first stake in the Kyiv champagne factory this summer.

H&S plans to invest more in the Kyiv factory and will take over sales and
distribution of the premium sparkling wine Ukrainskoye. In return, Kyivskiy
Zavod Shampanskich Vyn Stolitschniy will distribute Henkell & Sohnlein’s
internationally established brands on the Ukrainian market.

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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4.  UKRAINE: AMC PERMITS SIGMABLEYZER FUNDS TO
BUY KOSMO CONSUMER GOODS RETAIL CHAIN

Interfax Ukraine Economic, Kyiv, Ukraine, Wed, October 24, 2007

KYIV – The Antimonopoly Committee of Ukraine (AMC) has permitted SBF
Southeast European Holdings B.V. (Amsterdam), part of SigmaBleyzer group,

to buy over 50% of Kyiv-based Sumatra-Ltd., which owns the Kosmo retail
chain, which sells cosmetics, perfumes and pharmaceutical products, the
committee’s press service told Interfax-Ukraine on Tuesday.

The press service said that the chain has stores in Kyiv, Zhytomyr, Kyiv,
Mykolaiv, Poltava, Khmelnytsky and Cherkasy regions.

Sumatra-Ltd. was founded in December 1997. As of August 2007, the Kosmo
retail chain comprised 51 stores in seven regions of Ukraine.

Sumatra-Ltd. said that it plans to invest $40 million in the development of
the Kosmo chain and Kosmo Farma drugstore chain in 2008-2009, opening
another 200 stores in all regions of Ukraine.

The company said that its sales in 2006 grew by 50% year-on-year, and in
January through June 2007 they grew by 65% year-on-year.

In February 2007, SigmaBleyzer, a leading private equity firm focused on
Ukraine and Southeastern Europe, closed its fourth fund, SigmaBleyzer
Southeast European Fund IV (SBF IV).

The fund was closed at EUR 250 million ($326 million), the maximum amount
allowed by the partnership agreement, and 25% above its target, making it
the largest private equity fund in Ukraine and one of the largest funds in
Southeastern Europe.

SBF IV included a significant number of limited partners (LPs) from the
company’s previous funds, as well as new investors. A total of 40 LPs
invested in the new fund, with investments ranging from a few million euros
to 20% of the fund, which was provided by the largest LP in SBF IV, the
European Bank for Reconstruction and Development.

Other investors in the fund include Goldman Sachs, UBS, LVMH, Bank
Austria, InvestKredit and other large financial institutions and family
funds.

SBF IV will make investments of EUR 10-70 million, with larger investments
possible through a series of co-investment agreements with its LPs.

In 1996, SigmaBleyzer created the first Ukrainian Growth Fund (UGF). Since
that time, UGF has grown into a family of three funds consisting of UGF I,
UGF II, and UGF III. SigmaBleyzer has offices in Bulgaria, Romania, Ukraine,
the Netherlands, and the United States.
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NOTE:  SigmaBleyzer is a member of the U.S.-Ukraine Business
Council (USUBC) in Washington, D.C. Website: http://www.usubc.org.
————————————————————————————————

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5.  LVIV: CASHING IN ON THE TOURISM BOOM
Lviv is fast emerging as the country’s tourism hotspot, reflecting both the
growth in popularity across Europe of city break holidays and the rising
profile of post-Orange Ukraine

Anna Melnichuk, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 22, 2007

Last week the EU issued a USD 1 million grant to help finance the
development of the tourism industry in Lviv.

The money will be used to provide bilingual road signs (Ukrainian and
English), establish information points and introduce a series of
multilingual plaques around town offering background information on
historical landmarks to allow the thousands of non-Ukrainian speaking
foreign tourists pouring into the city to get more out of their trips.

This show of support is an indication of just how big Lviv’s tourism
potential is thought to be, and how important a role the European Union
thinks it could end up playing in the development of the region.
RISE OF THE CITY BREAK
Since the early 1990s eastern Europe has witnessed huge growth in the
tourism industry, with cities previously stuck for decades behind the Iron
Curtain once more accessible to relatively wealthy Western tourists and
offering refreshingly cheap weekends in environments often comparatively
unspoilt by the mores of modern commercialism.

Cities such as Prague, Krakow and Budapest have built a strong tourism
industry on the basis of this trend, but for over a decade Ukraine seemed to
have missed the boat.

Indeed, talk of Ukraine’s potential as a tourist destination would have been
considered laughable a few years ago, when the country’s biggest tourist
pulls were internet brides and the macabre appeal of the Chernobyl nuclear
power plant.

However, the charms of weekend city breaks in Lviv and Kyiv have now
replaced these more dubious attractions, and the country is fast emerging as
an original and exciting destination on the eastern European tourist trail.

The lifting of visa restrictions for EU citizens in early 2005 has played a
major role in helping Ukraine claim a small but growing slice of the
lucrative international tourist trade, and while Kyiv remains a natural
choice for most first-time visitors to Ukraine, more and more intrepid
explorers are opting to include Lviv in their itinery.

Current local government statistics estimate that around 180,000 tourists
have visited Lviv in the past year. They have come mainly from Poland,
Germany, Austria and France. However, officials claim that this figure is
only a tip of the iceberg, saying that the real number is actually many
times higher.

These new waves of tourists have yet to benefit from much improved
infrastructure, but work is ongoing on Lviv’s legendarily bumpy cobbled
streets.

A new wave of hotels has appeared in the past few years to accommodate
the tourist trade, and the city’s thriving café society has risen to the
challenge admirably, now offering everything from bohemian retreats and
artsy coffee shops to western-style Irish pubs.
POLAND’S LOST CITY
The vast majority of today’s tourists come from neighbouring Poland, drawn
by Lviv’s deep cultural and historic ties to Poland, the former colonial
master, and to the quaint charm of a Polish-looking city that has yet to
experience the wholesale modernisation that has transformed many
contemporary Polish urban centres.

Relations with the Poles were not always so fruitful. With the collapse of
the Habsburg Empire at the end of the First World War, Lviv was the scene
of a bitter conflict between the local Ukrainian and Polish communities over
control of the city.

In 1918, Lviv was declared the capital of the independent Republic of
Western Ukraine, but troops from the resurgent Polish state seized the city,
and Lviv, or Lwow as it was called in Polish, was returned to Poland, where
it was the third largest Polish city of the Second Republic after Warsaw and
Lodz until the Red Army took control in 1939.

Decades later Pope John Paul II appealed for a reconciliation between the
two nations, while Poland offered vocal backing to Ukraine’s pro-democracy
movement in 2004, adding their moral weight to the Orange Revolution.

In 2005 leaders of the two countries cemented these improved bilateral
relations when they attended a joint prayer ceremony to reopen the Polish
Cemetery of Eagles in Lviv’s Lychakivske cemetery, which holds the remains
of more than 3,000 Polish soldiers killed by Bolsheviks and Ukrainian forces
in the years following the Russian revolution of 1917.
A TASTE OF SOVIET EUROPE
Geography has helped build up interest in Lviv’s tourism potential, as it is
conveniently located just over the EU’s eastern border and can be reached by
coach for day trips.

It is also a comfortingly European city, being in many ways the estranged
sibling of Mittel Europa pearls such as Prague, Bratislava and other
intricate architectural treasures of the Habsburg domains.

Lviv’s historic centre is a tourist’s delight, with a wide variety of
churches including Dominican, Carmelite, Jesuit, Benedictine, and Bernadine
dominations, while the remains of ancient castles also dot the central
cityscape.

Unfortunately most of Lviv’s original gothic architecture was destroyed by
fire in the 16th century, but there remain numerous buildings constructed in
the renaissance, baroque, and classic styles still adorning the old town
city centre.

It is also a city begging to be explored, full of winding side streets and
hidden courtyards, while above street level delicately carved figurines
stare out from wedding cake facades and secret courtyards contain little
pockets of peace and quiet in the midst of the busy downtown traffic.

Everywhere in Lviv you will also encounter lions: lions on the city’s crest
and shield, sleeping lions, nasty guard lions, unruffled lions, and
mysterious, distant lions. These lions are very much part of the city’s
folklore.

Lviv was originally founded as a fort in the mid 13th century by Prince
Danylo of Galicia, which was a former principality of Kyivan Rus. He named
his new settlement after his son, Lev (Lion in old Slavonic), and it has
been a city of lions ever since, albeit under a variety of different names.
CULTURED AND CONFIDENT
Whether under Austrian empresses or Polish kings, the citizens of Lviv have
always considered themselves quintessentially European, and this mentality
has survived fifty years of Soviet rule.

As long ago as the mid-17th century Lviv was a leading regional city of
learning, and one of the oldest universities in Eastern Europe, Lviv
National University (today named after the Ukrainian writer Ivan Franko),
was founded in 1661. Original lectures were held in Latin, German, Polish
and Ukrainian.
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http://www.businessukraine.com.ua/cashing-in-on-the-tourism-boom

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========================================================      
6.  UKRAINE: HANDS OFF THE MARKET
Government needs to be told again and again: Stay out of the market.

EDITORIAL: Kyiv Post, Kyiv, Ukraine, Thu, Nov 1, 2007

Prime Minster Viktor Yanukovych’s stern warning to sunflower oil exporters
last week suggests that his government is incapable of learning from past
mistakes.

Instead of recognizing that inflation is to be expected when social payments
are increased just before elections, Yanukovych’s Party of Regions has
looked to pin inflation on business and political opponents.

Ukraine is the world’s second largest sunflower oil producer after Russia.
Export restrictions on this staple are not a solution to higher prices
because they ultimately create additional problems.

The last time the Yanukovych government imposed export restrictions (on
grain last year), farmers were hit the worst, as they were unable to fetch
the best prices for their produce.

Multinational traders also incurred hundreds of millions of dollars in
losses. Farmers unable to secure higher revenues will be unable to reinvest
into their operations.

Furthermore, the international business community will have additional proof
that Ukraine is unpredictable and chaotic – an image the country’s
detractors would like to promote.

As we have emphasized in the past: Soviet-style management of the economy
is bad for business, bad for the market, bad for the country and bad for the
farmers. The Ukrainian government needs to be told again and again: Stay out
of the market.
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LINK: http://www.kyivpost.com/opinion/editorial/27717/
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========================================================
7.  U.S. SECURITIES AND EXCHANGE COMMISSION SUES
UKRAINIAN NATIONAL OVER IMS HEALTH OPTIONS TRADES

Dow Jones Newswires, New York, NY, Mon, October 29, 2007

NEW YORK -The Securities and Exchange Commission sued a Ukrainian
national on Monday, alleging he made unlawful trades in options of IMS
Health Inc. (RX) hours before a negative earnings announcement that sent
its shares down 28%.

The regulator, in a lawsuit filed in federal court in Manhattan on Monday,
alleged that Oleksandr Dorozhko purchased out-of-the-money and at-the-
money put options of shares of IMS Health on Oct. 17.

The purchases came hours before the Norwalk, Conn., company announced
after the market close that its third-quarter diluted earnings were 29 cents
a share, 28% below Wall Street expectations.

Dorozhko, who lives in Uzhgorod, Ukraine, allegedly gained access to
material nonpublic information about IMS Health’s third-quarter results by
hacking into computer networks or, otherwise, improperly obtaining
electronic access to systems that contained information about the company’s
imminent earnings announcement, the SEC said.

“Defendant Dorozhko bet nearly a year’s worth of his income that the price
of IMS Health stock would drop dramatically within two days,” the SEC said.

The day after the announcement, IMS Health’s stock fell 28% to $21.20, the
steepest decline in the stock’s trading history, the SEC said. That same
day, Dorozhko sold all of his put options, realizing proceeds of more than
$328,000 and profits of more than $280,000, the SEC said.

Dorozhko is an independent engineering consultant in the energy industry
with a net income of about $45,000 to $50,000 and a net worth of $100,000 to
$250,000, the SEC said, citing documents provided by Interactive Brokers
LLC, where he opened his trading account. Contact information for Dorozhko
wasn’t immediately available on Monday.
———————————————————————————————-
By Chad Bray, Dow Jones Newswires, chad.bray@dowjones.com
———————————————————————————————–

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========================================================
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8.  REZIDOR HOTEL GROUP TO MANAGE THREE TO FIVE-STAR
HOTELS IN ALL LARGEST UKRAINIAN CITIES IN FUTURE

Interfax Ukraine Economic, Kyiv, Ukraine, Wed, October 31, 2007

KYIV –  Rezidor Hotel Group, an international hotel business operator with
headquarters in Brussels, plans in future to manage hotels in all of the
largest Ukrainian cities, Group Vice President for Business Development
Arild Hovland has told the press.

“Talks [on the management of hotels] are being held in cities like Odesa,
Lviv, Donetsk, Kharkiv, Dnipropetrovsk and Zaporizhia,” he said at a press
conference in Kyiv on Tuesday.

He said that the group is considering a possibility to manage three-, four-
and five-star hotels under the Radisson SAS Hotels & Resorts and Park Inn
brands.

Hovland also said that Rezidor Hotel Group plans to realize its plans
irrespective of hosting the European Football Championship 2012 by Ukraine,
as the group sees large potential in Ukraine.

At present, Rezidor Hotel Group manages two projects in Ukraine – the
Radisson SAS Hotel in Kyiv – and soon it will open a second Radisson SAS
Hotel near Kyiv’s Boryspil airport.

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9.  FEATHERING UKRAINE’S AGRICULTURAL FUTURE
Agricultural industry no longer domain of Soviet-style collective farm
bosses, with savvy young MBA-wielding managers introducing branding
concepts & integrated approaches to what was once Ukraine’s most
profitable sector

ANALYSIS: By Jim Davis, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 29, 2007

After a decade in which there was a very high level of migration from
Ukraine’s farms to its cities, the country is hardly the same place that it
was when independence was declared just over 16 years ago. Today the city
dweller is likely to spend more time worrying about the price and venue of
his or her next holiday than about the price of bread.

It is not only the city dwellers who have changed, but those remaining
actively engaged in Ukraine’s agricultural sector have advanced at a pace
that could hardly have been imagined in the days of collectivised
agriculture.

The most progressive farms are likely to use European – or American – made
tractors and combines, some precision-guided by Global Positioning System
(GPS) attachments that rival what might have been installed on a nuclear
submarine just a few years ago.

Agriculture and food processing in Ukraine are not only changing at warp
speed, in the process of change the whole sector is becoming more vertically
integrated and better managed by a new generation who can discuss IPOs and
return on investment just as authoritatively as they do crop rotation and
fertilisation.

The process remains far from universal, but very quickly Ukraine is adapting
to true 21st century agriculture and food production.
SIZE MATTERS
During the Soviet era and the early years of independence, collective farms
and their immediate successors would range from 5,000 to 15,000 hectares,
with many private farmers doing their best to make a living on the 50
hectare allotments that were first given just after independence.

Today in Ukraine there are any number of agricultural operations that have
aggregated well over 100,000 hectares each with hundreds of tractors and
combines.

More importantly, the reading materials for those who lead these operations
are more likely to be the Financial Times or The Wall Street Journal, rather
than Silkskiy Visti.

This is the result of not only a new approach to agriculture but a whole new
generation who understand management and marketing in a way that could not
have been imagined just a few years ago.

Perhaps most interesting of all is that many of the most effective of these
leaders are young – and native to Ukraine or other parts of the former
Soviet Union.
YOUNG AND FAR-SIGHTED
Where farm managers in the past may have come out of the National
Agricultural University and other strictly agriculture-related higher
educational institutions, today’s top managers in the field may just as
likely have an education that includes an MBA from a European or American
university.

For example, only a few months ago Alexei Sizov was named CEO of Agrarian
Investments, LLC, a major agricultural firm which he is leading in a new
direction.

Sizov, a banker with a background that includes work throughout the CIS with
Renaissance Capital and JP Morgan, now has the firm concentrating its crop
planting in a dual use mode, i.e. every planting decision is made based on
the potential for the crop’s use as a human food and also as a biofuel feed
stock.

Sizov believes that this route provides options for the company to choose
between markets for its farm produce, thereby enhancing options for
profitability, never a certain thing in agriculture.

However, just as the firm’s cropping plans must support two options, Sizov
himself does double duty, first as the top overall manager of the firm, but
just as importantly as a trained banker who is doing his best to lead
Ukraine’s banks toward offering better “off-the-shelf” solutions to
financing problems for agricultural businesses.

Sizov, who had been quite critical of the flexibility of Ukrainian banks in
the past, told Business Ukraine that he believes he is seeing a greater
receptiveness to his ideas by Ukrainian banks.

“We have been working more closely with banks for our own benefit, but also
we believe some of the banking products that we may be able to develop will
benefit all companies in our field,” Sizov said.
ON THE SWEET SIDE
While some farm-related companies engage in a wider range of crops, some
prefer to limit their operations to an area where they have greater
expertise. Dr. Sergei Feofilov, a highly regarded independent agricultural
economist, pointed to Astarta-Kyiv as an example of one such company.

Sugar profitability has been a very erratic thing in Ukraine, partly because
of limited investment at the refinery level, and partly because of political
meddling. Many in the sugar business point to former Prime Minister Pavlo
Lazarenko as one who made a number of politically oriented decisions which
it has taken years to overcome.

In spite of many ups and downs, sugar production has been a part of Ukraine
for almost 200 years. In fact, in 19th century Ukraine, it was not wheat but
sugar that was the country’s main cash crop, with Ukraine-grown beets
producing almost all of the sugar for the tsarist empire and much of Europe.
In all of Europe there was no place as well-suited to beet production as
Ukraine’s Right Bank.

By the 1840s, sugar production was well-established and was the basis for
some of the largest fortunes of that era. Family names that are well-known
today – Tereshchenko, Symyrenko and Brodsky – became famous when these
families were among those who came to be known as the “sugar barons.”

However, sugar’s better days have passed and it may take time and more
investment before sugar plays a great role again in Ukraine.

In a recent newspaper interview, Astarta’s General Director Viktor Ivanchyk
was quoted as summing up the sugar situation as follows, “My forecast is
that in the market there will be not 5-7 large companies as it is today, but
only companies that own one or a few plants and provide themselves with
their own sugar beet will remain. Only companies that will occupy a larger
share of the market will be more effective.”
PUTTING THE PIECES TOGETHER
Ivanchyk’s remarks reflect a view that is widely held by economists and
sugar experts among whom the consensus is that only those with the money
to invest and consolidate have a real future in sugar.

There are a half-dozen or more other agricultural operators perhaps worthy
of mention, but among that group one seems to stand out as the best example
of putting together all the pieces for a vertically integrated and highly
profitable future.

If someone had gone to a public relations firm and asked for help in picking
a catchy and saleable name for a company, Myronivsky Hliboprodukt (MHP)
would hardly have been in the top 100 possibilities.

However, in spite of its tongue-twisting name, MHP has built itself into a
world-class operation that is vertically integrated to a greater degree than
most agricultural corporations in the world.

Begun in 1998 with the even less riveting name of Myronivsky Factory for
Production of Grain and Mixed Fodder, MHP became one of the leading
Ukrainian grain trade enterprises in 1999-2000.

However, almost immediately after the company’s foundation it chose to
direct its efforts toward the production of poultry meat, based on the
Peremoga Nova plant.

It is in chicken meat production that MHP has excelled and under the
leadership of founder Yury Kosyuk built itself into a huge and efficient
producer.

In 2000, after a nine-year period of decreases, Ukraine’s statistics showed
growth in chicken meat production volumes. In 2001, MHP ceased its activity
as a grain trader and concentrated on production of poultry meat with
gradual integration of the entire production process within the company.

The concept was at once simple and quite complicated. What MHP did
successfully, perhaps more successfully than anyone has ever done in
Ukraine, was to identify old Soviet-era facilities with potential, negotiate
partnerships and buy-outs, as well as through investment and reconstruction
managed to restore and modernise the acquired operations to efficiency and
potential profitability.
BRANDING AND BUILDING
If there is a single word that encapsulates the MHP success story, it is
branding. The company discovered branding early on in its corporate life and
has engaged in brand-building with chicken and other products with great
success.

Of course, branding can only work when there is a good product supporting
the brand. In 2002, MHP began a two-year programme during which all of its
poultry plants were upgraded with modern equipment.

The company began introduction of uniform poultry growing technology, and
uniform quality standards were applied to market-ready products. This was
combined with an investment project designed to expand existing capacities
with the ultimate aim of doubling the volume of market-ready products.

In December 2001, MHP created the Nasha Ryaba trademark as the retail brand
for its fresh chicken products with the branded product first appearing in
the marketplace in February 2002.

Within a year, the company introduced a franchising programme for Nasha
Ryaba products and by the end of 2003 had opened approximately 900 MHP
company sales points in all regions of Ukraine exclusively for the sale of
Nasha Ryaba fresh chicken meat.
CLOSING THE CYCLE
In addition to its branding success, MHP has developed production facilities
that make it possible to structure the enterprise as an integrated complex
with a closed cycle of meat production.

This made possible maximum control over product quality and costs of
production. In particular, the company expanded its ability to provide its
own mixed feed, thereby exercising maximum cost control.

Further development of its feed capacities made it possible for MHP to bring
into being a second major brand with creation of a beef production complex
aimed at the premium beef market. The brand has been known as Sertyfikovany
Angus and is easily spotted on store shelves by its distinctive packaging.

To further expand its closed cycle concept, in 2004 MHP began sunflower
seed processing, allowing the use of soy protein in feeds for animal herds
and also providing sunflower oil to the market separately.

During the entire early 2000s period, MHP was constantly searching out new
facilities that could bring new depth to its closed cycle operations, always
looking to bring greater efficiencies and lower costs to its operations.

Each new acquisition led to new opportunities for brand development.
Beginning in 2003, MHP began production of goose liver and products from
goose meat based at its Snyatynska Nova plant.

Production of pork, sausages and beef for the premium market also began at
the Druzhba Narodiv plant and production of pure bred Angus cattle at its
Kyivska farm operation got underway.

Recognising a new market segment in Ukraine’s burgeoning middle class, in
January 2006 MHP completed an entire new plant exclusively to produce Legko
brand frozen meat chicken, beef and pork dinners that require only brief
microwave heating to be table ready.
A BRIGHT FUTURE
MHP expects to produce over 200,000 tonnes of chicken this year, and
350,000 tonnes annually by 2010. Based on its previous performance, there
seems no reason to doubt that the goals will be realised.

The leadership at MHP appears to have learned two very important lessons.
First, people do not want just unbranded commodities and products. They
want, and are willing to pay for, products with name brands that they trust.

Second, MHP chose to concentrate on chicken meat production because of
a simple fact, the birth to market cycle. With beef this takes an average of
two years. For pigs, the same cycle is about six months. But for chickens,
the cycle from birth to market is only two months.

Chicken meat is not only good business, it is business that can and often
does give the producer a return in a much shorter time frame. Chickens are
not the only answer, but they have proved an answer for some and those who
turn out a quality chicken product are likely to reap rewards.

There will always be challenges in Ukraine’s agricultural sector, but good
business can be done and it can be done profitably, as MHP and other
progressive producers are proving.
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LINK: http://www.businessukraine.com.ua/feathering-ukraine-s-future

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10.  POLAND: GDANSK SHIPYARD WORKERS RALLY TO
PROTECT ENDANGERED HISTORIC YARD

Plans call for the yard to be sold to Ukrainian company Donbass.

Associated Press (AP), Warsaw, Poland, Monday October 29, 2007

WARSAW, Poland – About 200 workers at Poland’s historic Gdansk
shipyard demonstrated Monday to demand the quick privatization of
their struggling workplace, with some burning tires and setting off
firecrackers in front of management offices.

Workers dressed in blue overalls and yellow plastic helmets held
banners reading “We want a modern yard and a European level of wages.”

They expressed fear that Civic Platform, a pro-business party that won
Oct. 21 elections, could slow down a plan for the sell-off of the
state-run shipyard, the birthplace of the Solidarity movement that
helped overthrow communism.

Many workers believe that privatization is the only way to save the
shipyard — and their jobs. Plans call for the yard to be sold to
Ukrainian company Donbass.

The pro-market Civic Platform staunchly supports privatization, but in
the case of the Gdansk shipyard, wants to examine the existing plan to
ensure greater transparency once it takes power next month.

A Civic Platform lawmaker said the workers have nothing to fear.
“Privatization of the yard is necessary and under no circumstances
will it be jeopardized,” said Tomasz Aziewicz.

Poles have a strong emotional attachment to the Gdansk shipyard, a
symbol of the demise of communism. It was there that electrician Lech
Walesa led strikes in 1980 that led to the birth of Solidarity and the
communist regime’s eventual collapse in 1989.

During the 1990s, the yard’s owners struggled with the threat of
bankruptcy. More recently, it has been at the center of a dispute
between Poland and the European Union, which has pressured Warsaw to
shut down two of three slipways — ship assembly areas — because the
shipyard is losing money and being kept alive with state subsidies.

The EU has rules preventing its member states from keeping inefficient
companies alive artificially.
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11.  UKRAINE RETAIL: $500M INVESTMENT FOR RETAIL
BRYSNYTSYA CHAIN

News Analysis: The Economist Intelligence Unit Limited

New York, New York, Monday, Oct 15, 2007

Diversified holding group SCM Holdings has announced that it plans to invest
around up to US$200m by 2013 to expand its recently launched retail chain,
Brusnytsya, across Ukraine to as many as 500 stores.

SCM entered the retail sector earlier this year with the opening of its
first Brusnytsya outlets in the Donetsk region in eastern Ukraine. Currently
the company operates nine stores through its subsidiary Ukrainskiy Retail.

SCM explained that it plans to operate 20 stores by end-year, and that by
end-2008 its retail network would reach 80 stores across the country. In the
first phase, Brusnytsya stores are being built in a smaller format of
300-400 sq metres. Phase two calls for the construction of supermarkets of
800-1,200 sq metres.

SCM is Ukraine’s largest holding company and one of the country’s largest
domestic investors. For the 2006 period, SCM posted consolidated pre-tax
profit of US$1bn. Sales reached over US$6.7bn, a nearly 19% rise over the
previous year. The group’s assets reached over US$11.4bn at end-2006.

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12.  DUTCH CHRISTIANS’ AID GOODS ROT IN UKRAINE HOSPITAL

By BosNewsLife Special Reporting Unit with BosNewsLife
reporters in the Netherlands, Hungary and Ukraine
BosNewsLift, Budapest, Holland, Tuesday, 30 October 2007

AMSTERDAM/BUDAPEST/UZHHOROD – Aid goods of Dutch Christians
intended for a hospital in Ukraine where babies suffer of starvation and
disease rot in a local storage facility, according to a document released
Tuesday, October 30.

An internal letter of the Dutch-based organization Oost Europa Zending
(OEZ), or ‘East Europe Mission’, obtained by Christian news Website
www.manna-vandaag.nl and its partner BosNewsLife, said goods are not
delivered to patients because local staff members fear they may be stolen.

“After a couple of days we discovered a room where everything had been
stored what OEZ had given,” wrote Willemine and Gertjan de Jong, a recently
married couple who just returned from an OEZ mission journey, about the
situation of the hospital in the Ukrainian town of Vinogradiv, near Hungary.

Project leader Edwin Brokaar was quoted as saying, “There are so many
clothes dumped in the depot, enough to dress the babies for another ten
years.”
DOCTORS AFRAID
Doctors and nurses claim they are reluctant to use the goods because they
must for them if items are stolen by colleagues or others, BosNewsLife
learned.

“That’s nonsense because the products are delivered totally free-of-charge,”
countered Willemine and Gertjan de Jong in their letter to close friends and
supporters.

A head sister, who was not identified, allegedly said the goods were not
opened “because we think about tomorrow” as there could be shortages,
concerns apparently fuelled by decades of mismanagement when Ukraine was
still part of the Soviet Union.

Problems also occurred at the Ukrainian border, the OEZ volunteers said. “We
set off with 16 people in two mini busses carrying goods.Everything went
fine till we reached Ukrainian customs officials who complained about one
missing stamp in our car papers. We were forced to abandon the vehicles at
the Hungarian site of the border.”
INFANTS SUFFER
It came at a harrowing moment for the hospital, where aid workers eventually
arrived and discovered dozens of babies, many of them “weak and
malnourished,” the letter said.

Among the babies Maxim, “a white Gypsy boy” of 10 months. “He looked
like a child from Africa suffering hunger, except that he was white,” the De
Jongs claimed.

Another baby, identified as 16-month-old Victor “could not yet sit” and was
suffering because “his head was not straight because he was always laying
wrong.”

The team managed to bring “70 banana boxes” of which “11 were full of care
products” including special soaps, baby lotion and baby oil, according to
the letter. It was not immediately clear if all products arrived at the
intended destination.

The problems of OEZ in Ukraine are no isolated incidents, BosNewsLife
established. An official with the Budapest-based Hungarian Maltese Charity
Service told BosNewsLife his Catholic oriented aid group had similar
troubles in Ukraine’s Trans-Carpathian region, where several Christian aid
groups are active.
GROUP THREATENED
He said staff members were threatened in Uzhhorod, the main town in the area
bordering Hungary. “When we parked our bus in a parking lot there, we were
told we had to pay 500 dollars or otherwise they couldn’t guarantee the
vehicle would not be stolen. Our driver was forced to stay the night in the
bus,” explained Maltese spokesman Istvan Kuzmanyi.

Christians in Uzhhorod have linked these cases to a climate of rampant
corruption, with the apparent involvement of local officials. In an open
letter published earlier by BosNewsLife alleged victims of corruption urged
President Viktor Yushchenko to start realizing the ideals of the Orange
Revolution, which helped sweep him to power, nearly three years ago.

“Mr. President, we dream with you of a different Ukraine. A Ukraine where
the rule of law is respected. A Ukraine that will find its rightful place in
Europe as a full fledged member of the European Union,” ‘The Concerned
Citizens of Uzhhorod-Zakarpatskaya’ region wrote.

Yet, with winter approaching, Dutch and other Christian organizations remain
uncertain how to tackle human misery in a region where local authorities
seem unable, or unwilling, to improve the free-flow of apparently
desperately needed aid.

Gertjan de Jong, a Dutch journalist, and his wife Willemine said they may
abandon their comforts at home and base themselves as full-time missionaries
in Ukraine to oversee aid deliveries, “if that’s Gods calling.” (With
additional reporting by Agnes R. Bos and Stefan J. Bos).
————————————————————————————————–
http://www.bosnewslife.com/news/3249-dutch-christians-aid-goods-rot-in-ukraine
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
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========================================================
13.  UKRAINE RANKS 73RD IN WORLD ECONOMIC FORUM’S’

COMPETITIVENESS RATING IN 2007, LOSING 4 PLACES

Interfax Ukraine Business, Kyiv, Ukraine, Wed, October 31, 2007

KYIV – Ukraine has slid from 69th in 2006 to 73rd in 2007 in the rating of
global competitiveness index calculated by the World Economic Forum.
According to the Global Competitiveness Report 2007-2008 published by

the World Economic Forum, the United States tops the overall ranking.

Switzerland is in second position followed by Denmark, Sweden, Germany,
Finland and Singapore, respectively.  Among the emerging markets in the lead
are China (34th) and India (48th), while among the Latin American countries
the best performer was Chile (26th), and in the Middle East – Israel (17th).
Russia slid from 58th to 59th.

The rankings are calculated from both publicly available data and the
Executive Opinion Survey, a comprehensive annual survey conducted by the
World Economic Forum together with its network of Partner Institutes
(leading research institutes and business organizations) in the countries
covered by the Report. This year, over 11,000 business leaders were polled
in a record 131 countries.

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
14.  UKRAINE ENERGY: CURRENT-ACCOUNT BLOWOUT
Current account deficit in the first nine months of the year expanded
to US$2.5bn, nearly ten times as much as in the year-earlier period.

Country Briefing: EIU IndustryWire – News Analysis
The Economist Intelligence Unit Limited
New York, New York, Tuesday, October 30, 2007

Ukraine’s current account deficit in the first nine months of the year
expanded to US$2.5bn, nearly ten times as much as in the year-earlier
period.

This is despite export growth of around 30% over this period; import growth
has risen even faster, driven by strong domestic demand and higher prices
for imported gas.

With yet-higher gas prices on the way next year and prices for metals,
Ukraine’s main export, set to fall, the economy is undergoing a structural
shift–from having a sizeable surplus on the current account to a sizeable
deficit.

Ukraine’s current-account deficit in the first nine months of the year stood
at US$2.5bn, according to preliminary data from the National Bank of Ukraine
(NBU, the central bank) released in late October. This was equal to 2.6% of
GDP.

By contrast, over the first three quarters of 2006 the current account
deficit was just US$263m. The NBU noted that the deterioration was a
function of strong domestic demand and “very low” domestic supply; it also
pointed to increases in the price of imported fuel.

Ukraine’s cheerleaders will point out that the nine-month data mark an
improvement, for the current-account deficit in the first half of the year
was equal to 3.4% of GDP.

However, this ignores the fact that the third quarter is customarily the
best for Ukraine in current account terms–it was in both 2005 and 2006.
Indeed, in 2006 the third quarter was the only one in which the current
account was in surplus.
THE EXPANDING TRADE DEFICIT
Despite strong growth in exports, the goods-trade deficit has continued to
widen, reaching US$5.96bn in January-August, according to the latest customs
data.

Export growth is running at an impressive 30% year on year, compared with
8.1% growth in the same period of 2006, but import growth is stronger still
at 33.8%. And because imports in value terms were already larger than
exports, the trade deficit has pushed out still further.

Nearly all of the main export sectors are thriving, but the driving force is
the metals sector. As a result of a strengthening since mid-2006 in global
demand and price conditions, nominal growth in exports of metals accelerated
sharply, to 31.9% year on year in the first eight months of 2007, raising
the share of metals in total export revenue to over 43%.

As a result of rates of expansion approaching 50% year on year thus far,
machinery and equipment goods are now the second-largest export category
after metals, as demand in Russia for such goods has picked up strongly.
Mineral product exports are the main exception, as exports of crude oil and
gas have virtually ground to a halt.

In the first eight months, mineral fuel exports are down 2.1% year on year.
Nevertheless, electricity exports continue to rise strongly, owing to the
resumption of supplies to Russia.

On the import side, double-digit growth has continued across many sectors,
including mineral products (largely natural gas, crude oil and petroleum
products), which account for almost one-third of total imports. In
January-August, imports of mineral fuels rose by 28.7% year on year.

These have been boosted by the 37% increase in the cost of gas supplies from
Russia as of January 2007. Gas imports were up by nearly 38% year on year in
nominal terms in January-August.

Non-energy imports are being boosted by Ukraine’s growing investment and
consumption needs. Strong demand for machinery and equipment saw growth in
electronics imports accelerate to 34.4% year on year in January-August.

Imports of transport goods were up by 54.5% in January-August, as successive
years of robust wage and credit growth has fuelled demand for new
foreign-made cars.
SALVATION FROM ABROAD
The current account deficit is already well in excess of the US$1.6bn
shortfall recorded for the whole of 2006.

This is largely because of the rapidly widening deficit on trade in goods,
although the services surplus also declined year on year in the first half
of 2007 (the most recent period for which full data is available), to
US$453m from US$725m in the first half of 2006, and the income deficit
increased, to US$950m from US$616m.

Imports of financial services have been rising rapidly as the domestic
financial sector develops, and the income deficit has been boosted by a
combination of increasing dividend payments on foreign direct investment
(FDI), and growing debt-servicing payments on foreign loans and Eurobonds in
the Ukrainian banking and corporate sectors.

These trends were only partly offset by an increase in the current transfers
surplus, to US$1.7bn in the first half of 2007 from US$1.4bn a year
previously.

In contrast with the worsening current-account position, the combined
capital and financial account strengthened sharply in the first half of
2007, posting a US$5.9bn surplus, compared with a US$930m deficit in the
first half of 2006.

In addition to the established trend of rising FDI and foreign borrowing by
the banking and corporate sectors, this is believed to have been prompted by
an influx of off-shore funds into the country for election purposes.

Net FDI inflows increased to US$3.3bn in the first half of 2007, from
US$2.6bn a year earlier. At US$1.8bn, the quarterly inflow in the second
quarter was the highest ever.

Manufacturing remains the largest recipient of cumulative FDI since
independence, accounting for almost one-quarter of the total, led by the
metallurgy subsector.

However, financial services are currently attracting the largest investment
inflows: FDI into this sector nearly doubled year on year in the first half
of 2007, to over US$1.2bn, accounting for 35% of inflows into the country.

In cumulative terms, the financial sector is now the second-largest
recipient of FDI, receiving 15% of the total. The trade and real estate
sectors account for smaller shares, of 9% and 8% respectively.
RISKIER TERRAIN
The current account deficit recorded in 2006 was the first such annual
deficit for Ukraine in seven years.

This year, the Economist Intelligence Unit forecasts that the deficit will
expand to 2.8% of GDP. In 2008, the deficit on trade in goods is expected to
rise even more sharply–and will drag the current account deficit with it.

There are two main reasons for this: [1] the near-certainty of a sizeable
rise in the price paid for imported Russian and Central Asian gas; and an
anticipated drop in steel prices.

Strong growth in import volumes, linked to a continued rise in incomes, will
also contribute to the larger deficit. As a result, we forecast that the
current account deficit will swell to 4.4% of GDP in 2008 and 4.7% of GDP in
2009.

This amounts to a structural shift in Ukraine’s economy, which as recently
as 2004 posted a current-account surplus equal to 10.6% of GDP. On the basis
of current trends, the years 2006 and 2007 will mark the transition from a
sizeable current-account surplus to a sizeable deficit.

In this new environment, there are increased risks for Ukraine. The first is
that steel prices will drop further than we anticipate, and that Russia will
push gas prices higher than expected, and as a result the trade deficit will
rocket.

[2] The second is that foreign direct investment will not hold up well
enough to finance the expanding current-account deficit, thus necessitating
a depletion in the NBU’s currency reserves and/or a greater reliance on
foreign credits.

On the plus side, for Ukraine’s policy-makers, the shift towards a
current-account deficit should ease the upward pressure on the hryvnya and
so ease the concerns of the country’s exporters. Nevertheless, given the
increased reliance on FDI and the heavy dependence on metals prices, Ukraine
is moving into riskier territory.
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
15.  UKRAINE: NOTHING BUT LOVE FOR THE MOTHERLAND
Looking at economic relationships with other countries

ANALYSIS: By Boris Lastochkin-Smirnov, Mirror Weekly #40 (669),
Kyiv, Ukraine, Saturday, 27 Oct – 2 Nov, 2007

Back in the 1980s there was a popular joke in the then-USSR about a lecture
on love. The lecturer says: “There are several types of love.

The first type is love between a man and a woman – it’s too simple and
trivial, so I won’t elaborate on it. The second type is love between a man
and a man – it’s forbidden in our state, so there is nothing to talk about.

“The third type is love between a woman and a woman – it’s forbidden, too,
so we won’t delve into it. Now there’s the most important type of love, and
we will dwell on it today: it is love for the Motherland.”

Countries are like people, and there are several types of relationships
among them. Leaving out the much hackneyed political type, we would like to
dwell on Ukraine’s economic relationships with other countries. How adequate
is the correlation between the political and economic vectors of these
relationships?

The following analysis of such basic economic indices as commodity turnover,
export, and import over the past decade suggests some paradoxical
conclusions.

Ukraine’s declared pro-European policy ought to be based on increasing
economic cooperation with EU countries, and official figures suggest that
the commodity flow is growing year by year.

In 1996 the 25 EU countries’ share in Ukraine’s commodity turnover was
22.8%. In mid-2007 this figure was 32.7%. Exports grew from 21% to 29.9%
and imports grew from 24.3% to 35.1%.

However, the picture does not look so optimistic at a closer look. Ukraine’s
exports reached their maximum in 2003, when they stood at 34.1%. Then there
were three years of decline. By mid-2007 exports to the EU had dropped by
4.2%.

At the same time, imports from the EU keep growing. Their share in Ukraine’s
total imports increased from 33.7% in 1996 to 35.1% in mid-2007. Some
experts attribute the increase to growing supplies of “modern European
equipment”, but figures are impartial.

According to the State Statistics Committee, the share of machines,
equipment, and vehicles in Ukraine’s imports from the EU grew from 37.6% in
2003 to 44% in 2006, totaling $7.1 billion. Supplies of mechanical equipment
totaled $2.9 billion; of electric machines and equipment – $1.6 billion; of
vehicles – $2.2 billion.

Even without statistics it is obvious that the number of imported cars on
the streets and electrical appliances in stores has grown considerably in
the last couple of years. It is certainly good for consumers, but not good
in macroeconomic terms.

Since 2004, the share of EU countries in Ukraine’s foreign trade has been on
the decline: 33.9% in 2003; 31.1% in 2004; 29.9% in 2005; 31.8% in 2006;
32.7% in mid-2007. Regrettably, Ukraine’s foreign trade increases at the
expense of imports rather than exports.

Another paradox is that the cold spell in Ukrainian-Russian political
relations has had a very positive effect on their trade relations. Since
1996 Russia’s share in Ukraine’s total exports has dropped from 38.7% to
25.4% and imports – from 50.1% to 28.5%.

Between 2003 and mid-2007 its share in Ukraine’s exports grew by 6.7% – from
18.7% to 25.4%. At the same time, its share in Ukraine’s imports dropped by
9.1% – from 37.6% in 2003 to 28.5% in mid-2007.

According to the Institute of Economics and Prognostication of the National
Academy of Sciences, the share of mid- and hi-tech products in Ukraine’s
exports to Russia exceeds its total exports by ten percent.

And finally, there is a serious question, though it may seem irrelevant: who
says that the European course is the only right one for Ukraine and there is
no alternative?

By all economic appearances, the European Union (overburdened with internal
contradictions and problems) is unlikely to remain a powerful player on the
global economic field in a couple of decades. Human history teaches that a
nation should either be strong or be friends with the strong.

Quite a few countries demonstrate spectacular rates of economic growth, but
four countries stand out: Brazil, Russia, India, and China – now abbreviated
as BRIC. Ukraine’s economic relations with them (except Russia) are rather
weak and relations with China and Brazil show a depressing downward trend.

The share of exports to China dropped from 3.7% in 2003 to 1.2$ in 2006
while Chinese imports grew from 2.1% to 4.8%.

Trade turnover with Brazil is ridiculously low – less than $500M in each of
the past four years, and its share in Ukraine’s commodity turnover shrank
from 1% in 2003 to 0.4% in 2006.

Things are a bit better with India: the share of Ukrainian exports there
grew to 1.9% in 2006 from 0.8% in 2003 and the total trade turnover almost
doubled – from 0.7% to 1.3%.

One Ukrainian diplomat asked a good rhetorical question: supposing we direct
our economic course toward those countries, but are they waiting for us with
open arms? The answer is obvious: no. And it is obvious that nobody will
wait for Ukraine as long as it stands pat waiting for painless gains.

Ukraine has a unique chance: since it is not a member of the EU, it has no
formal membership obligations and so has a certain freedom of maneuver –
both political and economic.

In the 19th century Europe lived waiting for a bright future – “with liberty
and justice for all”. In the 21st century it turns out that the world is
ruled by pragmatism, and Kyiv hears this truth from both the East and the
West.

So where should we move? Even if we find an answer to this question, it is
much harder to answer the question “how”.

Ukraine has about fifty trade missions at diplomatic representations in
countries that are its trade partners. The Chamber of Accounts recently
checked their activity and made a paradoxical conclusion: they had no
serious influence on the development of Ukraine’s foreign trade.

Experts explain it by poor planning and double subordination of the
missions – to the Foreign Ministry and the Economy Ministry.

The question of planning is philosophical rather than practical. Seeing
those soaring prices for essential food products, ordinary consumers are
hardly interested in knowing how much grain the Agrarian Policy Ministry
planned to harvest this year.

Or take, for instance, the notorious planning for the police: news reports
make everyone wonder whether the number of criminals grows or investigators
work better.

The most recent example is the September 30th parliamentary election. The
Regions Party had planned to win with the biggest number of votes and so it
did, outstripping all its rivals. But did it help the party much?

[The Yulia Tymoshenko Bloc and the Our Ukraine – People’s Self-Defense Bloc
taken together got a narrow majority of 228 seats in the parliament, leaving
the Regions Party in the opposition minority – A.B.]

In the early years of the Soviet Union it was even planned “how many books
per year a proletarian writer must produce”. Can anybody remember at least
one of those authors today?

Actually, one can plan anything, but work in a trade mission abroad is a
very serious and highly intellectual kind of activity. There is no direct
correlation between the volume of work fulfilled and the volume of trade
achieved.

It is one of the natural laws, just like in a war when soldiers die both in
attacks and in retreats. There are numerous examples of long and serious
preparatory work preceding a breakthrough. Therefore, “poor planning” is no
explanation.

As far as the “double subordination” is concerned, Ukrainian trade missions
are not to blame. After all, Truffaldino in the famous comedy served two
masters on his own initiative and to his own ends.

Why not use the positive experience of other countries? In her first report
to the newly appointed Russian prime minister on October 4, the new minister
of economic development Elvira Nabibullina noted proudly that Russia’s
economic interests abroad were secured by 39 trade representations that were
“financially separate from embassies”.

She identified only five strategic objectives for the next three years:
[1] strategic planning of socioeconomic development;
[2] facilitation of economic diversification and removal of
     infrastructural limitations;
[3] creation of comfortable environments for business;
[4] higher efficiency of government institutions;
[5] effective integration with the global economic community.

That sounds quite laconic and clear, without recondite pre-election promises
or hollow populism for street vendors. The fifth objective is backed by a
newly developed program for enhancing Russia’s international image.

Why not read that 100-page document to the Ukrainian leaders? Why not learn
from others? The Chamber of Accounts notes in its report that the trade
missions “failed to prevent negative trends in international trade in 1997
and 1998″.

Everybody knows that those were the years of a devastating default that
broke out in Southeast Asia and swept across the world like a tsunami,
shaking even the strongest economies. Now we know the name of the scapegoat
who “failed to prevent it” – the Ukrainian trade missions abroad .

There is one more instrument of facilitating international trade that
Ukraine has but does not use: bilateral intergovernmental commissions for
trade and economic cooperation. Ukraine has about sixty such commissions –
mostly with its major trading partners.

Take, for instance, Turkmenistan – an extremely important partner. In July
Ashgabat hosted a session of the Turkmen-Russian commission.

Notably, besides the official governmental delegations, a special flight
delivered top managers of 60 big Russian companies, including Gazprom,
Lukoil, Souyzneftegaz, TNK-BP, Itera, TMK, KamAZ, and Rosoboronexport.

Ukraine and Turkmenistan have a bilateral commission as well. Moreover, it
was set up at the presidential level. The problem is it was set up on paper
only: it has not held a single session yet.

Russia and other neighboring countries use quite successfully such
instruments as economic partnership between the central government and
private entities.

Delegations that include government officials and regional authorities and
successful businesspeople make widely advertised promo tours, drawing
attention to Russia as a lucrative trading partner.

And finally, here are some more eloquent figures. Eight Ukrainian companies
have representatives in Austria while Austrian companies have more than 200
representatives in Ukraine. The proportion is about the same with many other
countries that have business with Ukraine.

According to the State Statistics Committee, as of July 1, 2007 there were
1,633 economic entities with Russian capital in Ukraine and 81 economic
entities with Ukrainian capital in Russia. Russia’s population exceeds
Ukraine’s three times while its GDP exceeds Ukraine’s nine times.

If Ukraine wants a real breakthrough, it should be more active and even
aggressive in its efforts to break through to international markets.

Otherwise, Ukrainians are doomed to have nothing but their “love for the
Motherland”.
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LINK: http://www.mw.ua/1000/1600/60925/
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
16.  UKRAINE: DOMESTIC AND EXTERNAL PROBLEMS
Inflation Rates, Price of Gas, Russian Relations, NATO, EU

Political Review, Ukrainian News Agency, Kyiv, Ukraine, Wed, Oct 31, 2007

Over the survey period, the government of Viktor Yanukovych endeavored to
suppress the unprecedented hike of consumer prices and restrain inflation.
In September, inflation rate hit seven-year maximum of 2.2%, whereas the
government assured that the indicator would stay within 0.6%.

Hike in foodstuffs prices had played its part in the surge of inflation.
Foodstuffs in Ukraine constitute about 60% in the structure of inflation.

October is anticipated to repeat the September’s inflation indicator.
Outlooks of international organizations and experts are alarming: according
to calculations of the International Monetary Fund, inflation will surge to
11.5% this year.

The Cabinet has nothing to do but revise macroeconomic indicators, despite
its initial optimistic statements. As over the firs nine months of the
current year, the inflation rate has gone above the annual government
forecast of 7.5% reaching 8.6%. The Economy Minister states that maximum
permissible inflation is 10%, whereas analysts warn it may exceed 14%.

Thus, economic achievements of the Yanukovych’s government are under serious
doubts. If previously, advancing inflation and growing consumer prices could
be explained by the elections, now this is not the case. Yuschenko rebuked
the Cabinet of Ministers for price increase.

The government has decided to restrain prices by tested but ineffective
administrative and non-market means – foodstuff interventions, quoted
exports, and tighter control over price formation policy of local
authorities.

In the surveyed period, the government introduced registration of change in
the wholesale and retail prices for foodstuffs in an attempt to improve the
system of state control over prices.

Now producers and realtors of foodstuffs are bound to inform local
authorities within ten days if price is revised higher by over than 1% and
explain the reason.

This mechanism is unlikely to yield positive results, as the government,
while trying to preserve the semblance of market relations, did not envisage
ways of influencing producers, who unreasonably lift prices for products.

Not accidentally, Yanukovych rebuked the Economy Ministry in a week after
its introduction. In the situation of growing prices for sunflower oil the
premier found nothing better than offering to ban exports.
PRICE OF IMPORTED GAS
Another problem, which, most likely, will not be faced by the incumbent
government, but the new one, is imported gas price rise. Tymoshenko’s
opponents would rather entrust this problem to her.

Today they disseminate statements describing harm to the economy, which may
be caused by her governing, predicting revaluation of hryvnia,
re-privatization, re-division of property, worsening relations with Russia,
etc.

The Minister of Economy has forecasted that the government of Yanukovych
hopes to arrange with the northern neighbor on USD 150 per thousand cubic
meters of gas.

Russian President, meditating about pragmatic relations between Ukraine and
his country, concluded that transition to market relations in the sector of
the energy resources will be “easy, calm, friendly, making no hurt to
Ukrainian partners.”

Still, experts fear that Gazprom will raise gas price to USD 180, which will
automatically make entire branches of Ukrainian economy unprofitable.

Positions of the government in gas talks with Russia have been shaken, after
Ukraine was forced to concede to the debt of USD 2 billion demanded by
Gazprom for imported gas.

Although Ukrainian officials strongly denied any liabilities before Russia
pointing to mediators, they quickly agreed to pay the debt partly by gas
from the Ukrainian underground gas storage facilities, and partly by money.

The Presidential Secretariat referred to statements of Gazprom about debt as
“apparent political pressure on Ukraine and preparation of ground for talks
on gas price.” The President’s entourage offers to return to direct gas
imports without mediators.

Gas has become the reason of other troubles in Ukraine – striking man-caused
accident in Dnipropetrovsk housing estate. Gas blast caused by malfunction
of gas-distributing point killed 23 people and completely destroyed two
sections of the building. The Tymoshenko Bloc at once put the blamed for the
accident on the government: “the government is guilty 300%.”

According to Tymoshenko, such strategic units like oblhaz, miskhaz should
not be transferred in private hands by the state or should be carefully
supervised. Meanwhile, private owners of the like strategic units economize
on upgrading and technical support of networks.

Such accidents happen as a result. Russian businessmen Veksleberg, who
indirectly holds shares of Dniprohaz, assured that victims would be paid
compensations of UAH 500,000.
RELATIONS BETWEEN UKRAINE AND RUSSIA
A new sharp angle emerged in relations between Ukraine and Russia. The
activists of the Eurasian Youth Union performed an act of vandalism on
Hoverla Mountain having defiled state symbols – arms, flag and granite board
dedicated to the Constitution of Ukraine. SBU has quickly found the
offenders.

Vandalism was ordered by Russian citizen Pavel Zarifulin and Aleksandr Dugin
accompanied by three executors of the order one of which is a Russian
citizen. Dugin was earlier barred from entry in Ukraine. After profanation
of the state symbols Ukraine resumed non-grata policy, which was suspended
following the arrangement between the two states.

Both Dugin and Zarifulin were declared persona non-grata. Legalization of
youth organization was banned in Ukraine. “Those who broke symbols on
Hoverla. they are all ethnic Ukrainians and are of Ukrainian nationality,”
Zarifulin tried to deny the results of the SBU’s investigation.

Leader of the Eurasian Youth Union explained that accident on Hoverla was
provoked by the “initiatives of the President concerning Roman Shukhevych.”

In the surveyed period, Yuschenko posthumously conferred the ‘Hero of
Ukraine’ title on the leader of the Ukrainian rebel army (UPA) on his 100th
anniversary. Russian-leaning political organizations’ reaction was
inadequate.

Communists named vandalism on Hoverla as “a beginning of the response of the
Ukrainian society to the President’s endeavors to impose pro-fascist
neo-Nazi policy.” They were also indignant at “efforts on rehabilitation of
pro-fascistic organizations like OUN-UPA.”

The Eurasian Youth Union also warned against possible appointment of Yulia
Tymoshenko to the post of prime minister. Allegedly, if this happens, the
Union will fail to “restrain Ukrainian activists from direct preventive
actions against the leaders of this pseudo state.”

The Party of Regions viewed vandalism as provocation of BYT leader. “The
implication of the provocation is, quite probably, an attempt to invoke
sympathy for Tymoshenko among Ukrainian patriots,” Anna Herman said. Her
colleague Vadym Kolesnichenko insists that incident on Hoverla should not be
linked with relations between Russia and Ukraine.

However, Russian embassy assumes that measures will be taken as a response
to the declaration of its citizens “persona non-grata”. Russian ambassador
says vandalism was a “bad joke.”
PROGRESS IN NATO AND EU INTEGRATION
Meanwhile, Ukraine continues its progress in NATO and the EU integration.
Russian foreign ministry reiterated that Ukraine’s intended joining to NATO
“will adversely affect the entire complex of Russian-Ukrainian bilateral
relations.”

During the summit of the council of defense ministers of south-eastern
Europe, which was held in Kyiv, Ukraine has joined to the agreement on
multi-national peace keeping forces of South-East Europe. The council of
ministers of the South-East Europe nations was created to ensure security
and ease integration into NATO.

During the meeting, the President called on the European partners to assist
Ukraine in its aspirations to join the Action Plan on membership in the
North Atlantic Treaty Organization. He stressed that Ukraine is clearly
targeted at membership in the EU and NATO.

Yuschenko was said that NATO would be able to examine the issue on joining
of Ukraine to the Action Plan only after receiving official application,
which may follow, say, at the next summit of NATO in April 2008 in
Bucharest.

Meanwhile, leader of the Communist Party reminded the President that
“Ukrainian people do not favor the idea of joining NATO, which is proved by
every public poll without exceptions and sociology surveys.” Regarding the
moods, the US defense minister considers that the issue of Ukraine’s
integration into NATO is not in the nearest perspective.

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17. THE GROUP OF STATES AGAINST CORRUPTION

(GRECO) PUBLISHES ITS REPORT ON UKRAINE
Concludes that corruption in Ukraine constitutes a real threat
to the principles of democracy and the rule of law.

Council of Europe, Strasbourg, France, Monday, October 29, 2007

STRASBOURG – The Group of States against Corruption (GRECO) has
published today its Joint First and Second Round Evaluation Report on
Ukraine, which joined GRECO in 2006.

The report focuses on general anti-corruption policies, specialisation of
law enforcement bodies in fighting corruption, independence of the
judiciary, immunity from prosecution for corruption offences, the
deprivation of benefits drawn from corrupt acts, measures to counter
corruption in public administration and the prevention of legal persons –
such as commercial companies – from being used as shields for corruption.

The report was drawn up by a team of GRECO evaluators following a one
week visit to Ukraine, during which the team held thorough discussions with
officials and civil society representatives.

Information collected during the on-site visit indicates that Ukraine is
perceived as being considerably affected by corruption, the problem being
systemic and wide scale, affecting the whole society, its public
institutions, including the judiciary, at central and local levels.

GRECO concludes that corruption in Ukraine constitutes a real threat to the
principles of democracy and the rule of law. The fight against corruption
can therefore not be treated in isolation from democratic reforms. GRECO
stresses that the President’s Concept Paper “On the way to Integrity” is a
good basis for this reform process.

GRECO addresses 25 recommendations to Ukraine. They aim at the
establishment of a mechanism for the implementation of an overall anti-
corruption policy, including an action plan against corruption.

More particularly, the recommendations deal with problems relating to the
independence of the judiciary and the procuracy, access to information held
by public authorities, procurement procedures, reform of the public
administration and of the civil service, codes of ethics, reporting of
corruption, auditing of central and local bodies and liability of legal
persons for corruption offences.

GRECO will monitor the implementation of the recommendations to Ukraine
towards the end of 2008, through its specific compliance procedure.
—————————————————————————————————
http://www.coe.int/t/dg1/greco/evaluations/round2/GrecoEval1-2(2006)2_Ukraine_EN.pdf
—————————————————————————————————-
GRECO website: http://www.coe.int/t/dg1/greco/default_EN.asp
Council of Europe Press Division, pressunit@coe.int
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18.  UKRAINE PRESIDENT’S WEB SITE ATTACKED; RUSSIAN
NATIONALIST GROUP CLAIMED RESPONSIBILITY

Associated Press, Kiev, Ukraine, Tue, October 30, 2007

KIEV- Hackers from several countries launched a massive attack and
temporarily disabled the Web site of Ukraine’s Western-leaning President
Viktor Yushchenko, his office said Tuesday. A Russian nationalist group
claimed responsibility.

The attacks from servers in Russia, the U.K., Kazakhstan, the U.S., Israel
and Ukraine began Sunday night and continued through Tuesday afternoon,

the presidential press service told The AP.

Over 18,000 attacks have been carried out, temporarily blocking access to
the site. The Web page couldn’t be accessed Tuesday night.

A radical Russian nationalist youth group, the Eurasian Youth Movement,
claimed responsibility for the attacks in their blog, saying it was their
retaliation for Yushchenko’s office’s alleged attack of their own Web site,
which had been disabled.

The group also accused Yushchenko of adhering to fascist ideology and of
attacking the organization’s Moscow office. Yushchenko’s office denied the
claims.

The Eurasian Youth Movement is strongly critical of the West and opposes
what it calls a U.S. encroachment on Russia’s traditional sphere of
influence.

The group has opposed Yushchenko’s campaign to bring Ukraine into the
European Union and the North Atlantic Treaty Organization, considering this
ex-Soviet republic part of Russia’s realm. Its leader Alexander Dugin has
been barred from entering Ukraine.

Earlier this month, the group claimed responsibility for desecrating a
monument to Ukraine’s independence erected on top of the country’s highest
mountain – an act that drew widespread anger and condemnation from
Ukrainians.
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19.  UKRAINE: AGAIN ON POISON STORY

Associated Press (AP), Kyiv, Ukraine, Monday, October 29, 2007

KYIV- Ukraine’s President Viktor Yushchenko stripped two key figures
in his nearly lethal dioxin poisoning of honorary rank Monday, taking
way away their benefits and prestigious titles, the presidential office
said.

Yushchenko, who was an opposition leader at the time, fell severely ill
during the fiercely contested 2004 presidential election campaign after
having dinner with top security officials Ihor Smeshko and Volodymyr
Satsyuk.

The illness left his face pockmarked and discolored and he was later
diagnosed as having suffered massive dioxin poisoning.

No arrests have been made and the probe is still under way. But many
observers point the finger at Russia – both because Yushchenko was running
against a Kremlin-backed candidate and because Russia is one of four
countries that produces the specific formula of dioxin used to poison him.

On Monday, Yushchenko annulled a January 2004 decree issued by his
predecessor Leonid Kuchma which elevated Smeshko, then Ukraine’s
Security Service chief, to the rank of an extraordinary and plenipotentiary
ambassador.
TODAY IN EUROPE
He also canceled Kuchma’s August 2004 decree which gave Satsyuk,
Smeshko’s deputy at the time, a general’s rank, dismissing both
decrees as “groundless,” according to the presidential Web site.

Yushchenko has complained that Russia was hampering the investigation
by refusing to provide dioxin samples and hand over key suspects.

Ukrainian authorities have not named any suspects, but Yushchenko has
said several of them are hiding out in Russia.

The Kremlin backed Yushchenko’s rival, Viktor Yanukovych, in the 2004
presidential election, which deepened rifts between Moscow and the West.

Yanukovych was initially declared the winner. Massive street protests –
dubbed the Orange Revolution – broke out, and the Supreme Court threw
out the results on grounds of fraud. Yushchenko won a court-ordered
repeat vote.

Yushchenko has hinted that he knows those responsible for the poisoning.
While refraining from naming the alleged culprits until the investigation
is over, he has intimated that the poisoning could have been masterminded
from outside the country.
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20.  UKRAINE: OUTLINE OF THE FUTURE PARLIAMENT

Political Review, Ukrainian News Agency, Kyiv, Ukraine, Wed, Oct 31, 2007
Before the ink dried on the coalition agreement between BYT and OU-PSD, it
was slammed by the President and his team. NSDC secretary and head of the
Presidential Secretariat have accused members of the coalition of
interference with authorities of the President in the energy, military and
defense sectors.

Baloha, in particular, pointed out several campaigning promises of BYT in
the agreement, implementation of which may have negative effect. The matter
concerns abolishment of conscription and reimbursement of devaluated
savings.

According to him, only magician David Copperfield may fulfill them, but not
responsible politicians. Yuschenko made it clear that he joined to
indignation of his subordinate and told that transfer to contract-based army
is possible only in 2010, because it is a long process that needs hefty
funding.

To confirm his words, the President announced two conscriptions in 2008, in
this, demonstrating inability of BYT leader to fulfill her promises. Yulia
Tymoshenko failed to convince that formation of contract army is possible
with only UAH 50 million spent. Some parliament candidates from OU-PSD also
agree that many provisions of the coalition agreement should be itemized and
revised.

BYT again was astonished and hurt. “We thought we agree with people who have
relevant authorities,” BYT stated. It is not surprising that Yulia
Tymoshenko usually prefers to agree directly with the President.

However, in the question of coalition Yuschenko and his allies – Baloha and
Pliusch – are supporters of the broad coalition. Baloha criticized
arrangements of BYT and OU-PSD and reminded them that the coalition is not
numerous enough, and therefore a vote might not be fruitful if at least
three MPs are absent.

There is information that despite the signed agreements, talks on creation
of broad coalition with the Party of Regions are under way.

That is why the Party of Regions feels so confident and does not doubt it
will not only form the government but also head it as the party-election
winner. Viktor Yanukovych insists that one-color coalition will be instable
and proposes his loyalists to wait a bit.

Member of the Regions Party Chornovil predicts political turmoil up to
presidential election. “Interim stabilization in politics is possible if
broad coalition is created,” he noted. OU-PSD believes that such statements
of their rivals testify that they are not sure of their future actions.

Allegedly, the Regions Party understands that creation of the coalition of
democratic forces is an accomplished fact, subsequently they have to be in
opposition, and they are not psychologically prepared to it. That is why
they are trying to delay the process in order to make it more complicated or
even frustrate it.

As it was last year, when lobby talks with Moroz allowed the Party of
Regions to create the anti-crisis coalition. Thus, one cannot be sure that
the democratic coalition will rule in the new parliament.

It is too unstable, fragile and has too many strong opponents who will make
every avenue to ruin it, if not prior to its creation in the parliament,
then after. Still, leader of BYT strongly believes that the coalition will
be stable because she and her team have made enormous concessions to the
President.

In the surveyed period, OU-PSD and BYT failed to involve the Bloc of Lytvyn
into their coalition. However persistent was OU-PSD in calling on Volodymyr
Lytvyn to make a decision, he does not haste.

BYT is not very eager to share posts with Lytvyn to persuade him join the
team. Oleksandr Turchynov says that majority consisting even of 228 MPs can
fulfill the program OU-PSD and BYT.

Parliament candidate Shkil (BYT) proposes another form of cooperation with
Lytvyn – situational alliance in some votes. The insignificance of advantage
of the majority over the opposition does not seem to be a problem for
Tymoshenko Bloc despite the fact it is so small that the opposition may
easily level it.

The Party of Regions believes that even though the “orange” coalition is
created “it will live only a couple of months and will split from inside.”

They hope that the “orange” will quarrel and the broad coalition will come
into being. The open unwillingness of the President and a part of OU-PSD to
see Yulia Tymoshenko in the post of the prime minister encourages the Party
of Regions most of all.

Parliament candidate Kyseliov from the Party of Regions doubts that
“Yuschenko will allow himself to repeat his mistake and agree to appoint
Tymoshenko as prime minister”.

So far, the President did not commit to nominate Tymoshenko and each time
invents new terms for the democratic coalition. For instance, vote for a
number of laws before appointment of the prime minister.

There are 12 of them: the most important are cancellation of deputy immunity
and privileges and introduction of imperative mandate, the law on
opposition, local state administrations, amending the law on the Cabinet of
Ministers and local self-governance.

The Bloc of Yulia Tymoshenko has agreed to vote for these laws before
nomination of the prime minister and appointment of the government. It’s
going to be a package vote, which contradicts the regulations of the
Verkhovna Rada. Package vote was held only once in 2004 when political
reform was approved.

The Party of Regions categorically objects to violations of the law and
threatens to freeze work of the Verkhovna Rada if non-created coalition
starts voting for a package of laws before appointing the parliament
leadership, formation of parliamentary committees and the government.

The Party of Regions prefers to consider each bill separately in the first
and the second reading making amendments and propositions.

Thereby it can delay creation of the “orange” coalition testing its
firmness. After all, the decision to vote 12 laws at once is conditioned not
only by the absence of actual agreement in the coalition, but also by the
critically small advantage over the opposition.

Besides, frustrated vote suggests breach of arrangements and, therefore,
allows the President and his party to take up creation of the broad
coalition with the Party of Regions.

The latter has stated that it is ready to start full-fledged negotiations on
creation of a broad coalition soon after the process of forming of the
“orange” coalition collapses. The broad coalition would “unite political
forces loyal to the President and supporters of the incumbent prime
minister.”

The party assumes it will have to live a week with coalition between OU-PSD
and BYT as it did last year. And it has all grounds to think so, because
some parties-members of OU-PSD have already protested against “dictatorship
of Tymoshenko in the coalition.”

Meanwhile, work of the sixth convocation parliament is delayed up to mid
November, deputy CEC chair forecasts. Regardless, the Central Electoral
Commission has eventually announced the election returns, their promulgation
is delayed.

First, communist Hmyria and then four other political forces, which have not
got into the parliament (PSPU, Party of Free Democrats, Socialist Party and
All-Ukrainian Party of People’s Trust) challenged election returns in the
High Administrative court. It suspended promulgation of the election returns
in official newspapers Holos Ukrainy and Uriadovyi Kurier due on October 20.

The parliament cannot gather until the returns are published. Claims of all
political forces were combined into one procedure – on declaring illegal
activity and inactivity of the CEC with respect to establishment of the
election returns.

Claims to the CEC referred to violation of rights of citizens who could not
vote duet to abolishment of absentee ballots and inaccurate electoral roll.
Apart from that, votes of 3 million of Ukrainians working abroad were
allegedly rigged in favor of the “orange” team.

Theoretically, the claimants insisted on recount of votes, but such
development of events gave a dim chance only to the Socialist Party to enter
the parliament. They simply buried the court under various petitions. Though
they did not much expect to succeed, as well as their colleagues.

First of all, because the Ukraine’s judicial branch of power has been ruined
by the President and his team. “Courts make political resolutions,”
communists say.

Despite the illusory success, claimants diligently stick to each legal
procedure aiming exclusively to delay start of parliament’s work and
creation of the coalition and the government.

Former deputy from the Socialist Party doubts that 228 signatures will
appear under the coalition agreement despite its existence. Time works
against Tymoshenko but for the Party of Regions.

The more time goes by, the higher is the probability that the agreement will
not be signed by each deputy. That is why the Tymoshenko Bloc accused the
Party of Regions of involvement in the judicial proceeding. Claims were even
printed using the same printer, lawyer from the bloc claims.

OU-PSD attempted to achieve publication of the election returns, referring
to unplanned consumption of budget funds and to the fact that neither of the
court’s decisions will affect the results, but were refused.

However, outsiders of the election lost the chance to get to the parliament.
The High Administrative Court did not see violations in activity of the CEC
and permitted publication of the election returns.
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21.  UKRAINE: RIGHTING WRONGS OR REWRITING
HISTORY? LVIV’S CENTRAL ROLE IN MEMORY POLITICS

ANALYSIS: Paul Johnson, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 22, 2007

The unveiling of a new monument to controversial nationalist idol Stepan
Bandera in Lviv is just the latest example of the leading role the city
plays in the revisionist trend at the root of Ukraine’s ideological divide

Since independence in 1991 Lviv has become a focus of Ukrainian nationalism,
with calls for recognition of WWII-era anti-Soviet guerrillas prominent
among the many claims championed by patriots in the west Ukrainian city.

October 13 saw the official unveiling of a statue depicting guerrilla leader
and inspiration Stepan Bandera in what is yet another local offensive in the
on-going battle for Ukrainian historical justice and closure with the Soviet
past.

While many Ukrainians favour a conciliatory approach to the country’s
history of Russian domination, throughout west Ukraine there is a far more
strident tendency towards opposition to Moscow.

Lviv has repeatedly acted as the focal point of protest actions and
political movements which portray Russia as an imperial invader seeking the
subjugation of the Ukrainian nation.
BROTHER NATION OR ETERNAL ENEMY?
Russophobia is so potent a force in Lviv that in the years following
independence the city had a radio station with a breakfast jingle that ran,
“Wake up, wake up! Moscow has been awake for an hour already!”

This anti-Russian sentiment can also be seen in the decision to rename a
Lviv street General Dudayev Street in honour of the fallen Chechen commander
and in the earlier renaming of the city’s central Peace Street as Stepan
Bandera Street.

The Russian cultural centre in Lviv, meanwhile, has also been regularly the
victim of hooligan attacks, with a bust of Russian bard Oleksandr Pushkin
often defaced.

This tendency is a product of the city’s cosmopolitan history, which allowed
a sense of Ukrainian nationalism to take root while elsewhere in Russian and
later Soviet dominated Ukraine such sentiments were ruthlessly suppressed.

Unlike the rest of Ukraine, the western regions of the country had had no
experience of rule from Moscow until they were unceremoniously annexed by
the Kremlin in 1939 as part of Hitler’s pact with Stalin to carve up eastern
Europe into spheres of influence.

In the wake of the Soviet occupation tens of thousands were rounded up and
deported or subjected to summary execution. As a result many west Ukrainians
initially welcomed the troops of the German army in 1941 when Hitler
unleashed his invasion of the Soviet Union.

Similar scenes of welcome were recorded throughout the western extremities
of the USSR as subject peoples celebrated what they thought of as liberation
from the godless Soviet yoke.

However, once the reality of Nazi occupation became apparent many west
Ukrainians committed themselves to a guerrilla campaign of partisan warfare,
using the woods and mountains of the region as cover to mount a war of
attrition on both Nazi and, later on, Red Army troops.

This forgotten aspect of WWII involved countless atrocities against the
civilian population of the region, and it remains a subject of extreme
sensitivity to this day, with supporters of the guerrillas claiming that
veterans of the campaign should be honoured as heroes, while detractors
continue to label them as fascists and collaborators with the invading
Germans.

At core this debate centres on relations with Russia, and whether the Soviet
forces of the time should be regarded as foreign invaders or an army of
liberation.

Most Ukrainians outside the west of the country, having long since grown
accustomed to Russian and then Soviet rule, preferred to adopt the latter
point of view, and are adamant that west Ukrainian guerrillas deserve no
respect for the role they played in fighting their own countrymen.

In west Ukraine itself the veterans of the guerrilla campaign have long been
lionized by much of the general population, and since independence they have
taken to parading in uniform on a regular basis.

In 2005 President Yushchenko attempted to initiate a process of
reconciliation between Red Army veterans and the aging veterans of the west
Ukrainian insurgent army, but was strongly rebuffed by the old Soviet
soldiers, who insisted that honouring the guerrillas demeaned the war dead
and the nation.

Each October surviving members of the insurgent army gather in Kyiv to mark
the anniversary of their foundation, where they are joined by younger
generations of supporters, many of them from Lviv itself.

These annual events have become a flashpoint on the Ukrainian calendar, with
supporters of pan-Slavic parties and those sympathetic to Ukraine’s Russian
ties gathering to form rival demonstrations and attempting to physically
attack the west Ukrainian nationalists.
RELIGIOUS UNDERTONES
At the time of the Soviet occupation west Ukraine boasted religious freedoms
unheard of in Russian-dominated rump Ukraine, with a flourishing Greek
Catholic Church commanding the loyalty of the majority of the population.

However, the secret police battalions who followed the occupying Red Army
troops soon targeted this eastern offshoot of the Roman Catholic Church, and
a policy of oppression was soon instigated.

Throughout the Soviet period this Greek Catholic Church was doomed to remain
outlawed, making it the largest underground religious movement in the world
at the time.

Priests were incarcerated in gulag concentration camps and churches turned
over for use by party officials as museums of atheism or warehouses for
sundry stockpiles.

In contrast the Russian Orthodox Church, although frowned upon by the Soviet
authorities, was allowed to continue a piecemeal existence, with regular
services and a relatively unmolested priesthood.

This slanted anti-religious policy served to enrage already simmering
Russophobia throughout west Ukraine and make the Greek Catholic Church a
focus for Ukrainian patriots determined to throw off the shackles of Moscow
rule.
ORANGE EXCITEMENT FEEDING EXTREMISM
This confrontational approach to Ukraine’s often shared and interwoven joint
history with neighbouring Russia was strengthened by the events of 2004,
when Lviv served as one of the engines of the Orange Revolution, proving
thousands of observers all over the country and sending trainloads of
supporters to join the masses on Maidan.

Since 2004 the politics of division have been exploited by Ukraine’s warring
partiers, further entrenching long-held beliefs that might otherwise have
been expected to lessen with the passing of time.

At present Lviv is working hard to reinvigorate the city’s appeal as a
tourist destination and centre of European culture, but the battle for the
soul of modern Ukraine looks likely to tarnish the city’s image as a focus
of culture, learning and ethnic tolerance for the foreseeable future.
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http://www.businessukraine.com.ua/righting-wrongs-or-rewriting-s
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22.  REMEMBERING SOVIET & TODAY’S POLITICAL PRISONERS

COMMENTARY: By Halya Coynash
Kharkiv Human Rights Protection Group
Kharkiv, Ukraine,  Monday, October 29, 2007

On 30 October 2007 – the Day of Soviet Political Prisoners – please stop for
a moment or two.

There are many reasons.  One is that in this seventieth anniversary of the
Terror of 1937, we surely need a moment’s silent remembrance.

Anna Akhmatova’s words “I would like to name them all .” have haunted more
than one generation.  We name our own relatives, the famous, the notorious .
And yet there were millions, and here and now it would be unseemly to name
just one or two.

 
Spare a moment then in memory of all the victims.

The Day of Soviet Political Prisoners was more however.  It was first
commemorated on 30 October 1974 by prisoners in the Soviet political labour
camps.  Hunger strikes were held in the Mordovan and Perm political labour
camps, as well as in the Vladimir Prison.

On the same day, a press conference was given in Andrei Sakharov’s flat by
the Initiative Group for the Defence of Human Rights in the USSR.  News had
been smuggled out of the camps about the planned actions to affirm the
honour, dignity and rights of all political prisoners.

From then on this day was marked by protest actions until the last Soviet
political prisoners were released, not long before the collapse of the
Soviet Union.

A letter which Yevhen Sverstyuk, himself a former political prisoner,
quotes, says it much better than we can: “You deserve to be honoured for
you stood up for our dignity, and in that you  were successful.”

There were very many people, many unfortunately no longer with us, who
sacrificed a great deal.  As human beings they gained immeasurably and they
gave us an example we are all too often cravenly loath to appreciate, let
alone follow.

Once again it would be inappropriate to name some and not others.  For all
those then, our deepest respect.

There is one last reason.  Here and now in 2007, the situation in Ukraine
has thankfully improved, however in many of the former Soviet republics
there are a number of political prisoners.

The pretexts and cosmetic appearances in some countries have changed, the
bitter reality, however, has not.  Mikhail Trepashkin, Igor Sutyagin and
Valentin Danilov are just three of a greater number of political prisoners
in Russia.

In Belarus there are many more, some of whom like the opposition politician
Alexander Kozulin are serving long sentences for their opposition to
Lukashenko’s dictatorship.

Here we are not reeling off a whole list because the number can seem
overwhelming, whereas each individual needs our support, our clear and
unrelenting protest.

In the 1970s and 1980s during the Days of Soviet Political Prisoners there
were protest actions in many countries aimed at pushing the Soviet
authorities to release both specific prisoners and all imprisoned for their
convictions.

While any person remains imprisoned in the countries of the former Soviet
Union, this day should be not merely a day of remembrance, but one of
active protest.
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LINK:
http://khpg.org/en/index.php?id=1193710341
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23.  UGLY TRUTH BEHIND THE GREEN FENCE

The Ukrainian Observer, Kyiv, Ukraine, Sunday, October 28, 2007

KYIV- The mysteries of Soviet times are open wounds for many.

For some in Ukraine, Poland and Russia, healing has at least begun with
the reburial on Saturday of what is thought to be only a few of
the thousands killed by Stalin’s NKVD and buried in mass graves in
the forest near Bykovnya, a small village only a few miles from Kyiv.

Saturday’s reburial ceremonies involved only 1,998 bodies, of which 474
were Polish. The total number killed and dumped in the forest burial
ground is thought to exceed 30,000.some suggest 100,000 or more.

According to the accounts of villagers and others who lived in the area,
the process began with the appearance of a high green fence and a guardhouse
in the mid-1930s. During this, one of the most repressive periods of Soviet
history, the villagers knew enough to speculate in silence.

When it was learned much later that the fenced area in the forest held
thousands, perhaps many thousands of dead, officials first claimed
the bodies were victims of the German occupiers during World War II.

The ugly truth really emerged only after Ukrainian independence.

Villagers interviewed said the trucks delivered their cargo to the area
behind the green fence for years before the Germans arrived. For those
who lived in the area and saw the trucks roll by day after day, they have
no doubt that the bodies, many found with bullet holes in the backs
of the skulls, were victims of Stalin’s secret police.

According to local folklore, when suspects arrested by the NKVD demanded
to know what law they had broken, their interrogators in Kyiv would tell
them, ”You’ve been arrested under Statute 23.” For the interrogators,
this was a grisly joke. For those being questioned, it was a terrifying
answer, for 23 was the number of the tramline that ran to Bykovnya.

For some, Saturday’s ceremony may provide some sense of closure, but many
thousands of questions remain unanswered and are likely to remain so.
This is particularly true for the Polish people.

Andrzej Przewoznik, general secretary of Poland’s Council for the Protection
of Monuments to Struggle and Martyrdom, is among those who believe that,
just as in the infamous Katyn wood where 15,000 Polish officers were
massacred, Bykovnya is one of the places where Stalin tried to rip
the heart out of the Polish nation.

Leaders of the Memorial Society, an independent group that has set out
to honor the victims of Stalin, have identified eight such mass graves
from the 1930’s and 1940’s. Some, like the graveyard at Kurapaty, near
Minsk in Belarus, have been officially acknowledged as NKVD execution
places. The searches and reburials are likely to go on for a very
long time.
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LINK: http://www.ukraine-observer.com/

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24.   A MONUMENT TO UKRAINIAN SERFDOM
CATHERINE II AS A MIRROR OF UKRAINIAN STATEHOOD

The Day Weekly Digest, Kyiv, Ukraine, Tue, October 30, 2007

Frankly speaking, the event I am going to describe is one of those
that demonstrate the true solidity, value, and strength of Ukrainian
independence and Ukrainian statehood per se.

On Oct. 27 Odesa witnessed the long-advertised ceremony of unveiling
the so-called Monument to the Founders of the City, with a statue of
Catherine II of Russia in the center (the ceremony had been repeatedly
postponed due to the resistance of the local patriotically minded
community).

Incidentally, a number of historians are correctly refuting her status
as  a city founder.

Quite a few residents of Odesa regard the whole project as a Ukrainophobic
one, aimed at inciting interethnic animosity, accompanied by clashes
between protesters and Berkut riot squads, the latter apparently acting
under orders from the municipal authorities to guard this monument
to the Russia’s ruling bloodthirsty she- wolf (in the words of Taras
Shevchenko) who ordered destruction of the Zaporozhian Sich and turned
the Ukrainian peasants into serfs.

One can spend a long time pondering the issue of the “consolidating”
effects of such projects – as is practiced by Party of Regions functionaries
who are saying, “Let ’em build a monument to Stepan Bandera in Lviv and
Catherine II in Odesa, for we have a democracy, don’t we?”

The Day asked its experts these questions: “How could such a project
become a reality in Ukraine, in its 17th year of national independence,
and what do you think it really means? Who is to assume political
responsibility for the events that have taken place in conjunction with
the unveiling of this monument?”
PROF YURII SHAPOVAL, Ph.D. (HISTORY):
Russians first asserted their position in Khadjibey, shortly to be
renamed Odesa, “to the accompaniment of the Zaporozhian hopak dance.”

I am not quoting from Oleh Tiahnybok, whom some persist in advertising
as the number one expert on the “right kind” of Ukrainian history, but
from Major General Jose de Ribas [known in Russia as Osip Mikhailovich
Deribas]

The monument unveiled in Odesa is dedicated to a German woman by the
name of Sophie Friederike Auguste, Prinzessin (princess) von Anhalt-Zerbst,
destined to become Russia’s empress Catherine II.

This brings me back to [Russia’s Generalissimo] Count Aleksandr Suvorov,
who helped transform the small Khadjibey fortress into a big port city,
yet this process involved Ukrainian Cossacks. On July 4, 1794, Suvorov
wrote in a special report addressed to Field Marshal Peter Rumyantsev-
Zadunaisky that it would be worth enlisting the experience and skills
of Cossacks that had not fled to the Kuban area in order to put together
a local team of sailors.

Twelve Cossack chaika boats constituted the bulk of the Odessa flotilla.
The Russian military leader, who was at the time staying in the Polish
town of Nemirow [today: Nemyriv in Ukraine] dispatched 76 Cossacks to
Odesa (all of them members of his headquarters’ security detail).

All told, there were more than 600 Ukrainian Cossacks among some one
thousand first settlers in Odesa. And now we have a monument to
Catherine II in Odesa.

Here one finds not only inadequate historical knowledge, but also an
irresponsible attitude on the part of those who seem to have forgotten
that they are living in an independent Ukrainian nation- state.

The esteemed ranking bureaucrats of Odesa apparently don’t know enough
about Catherine II, so why didn’t they ask experts at the National
Academy’s Institute of History of Ukraine?

They could have made inquiries at the history faculty of Odesa University.
Why haven’t they asked for expert opinions before unleashing a war of
monuments, let alone a war against monuments.

Another trouble is that over all these years, after Aug. 24, 1991, no one
has been punished – even formally – for authorizing the construction of
anti-Ukrainian monuments in this country.

Hence the unveiling of a monument to a German woman in Odesa, who
hated Ukraine, regarding it as a source of freethinking and a threat to her
cherished alles ist in Ordnung system in the Russian empire.
———————————————————————————————-
LINK: http://www.day.kiev.ua/190492/
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
25. UKRAINE TO SEEK ISRAELI RECOGNITION FOR 1930s GENOCIDE

By Anshel Pfeffer, Haaretz, Israel, Sunday October 28, 2007

Ukrainian President Victor Yushchenko is expected to ask Israel to recognize
the genocide of the Ukrainian people in the 1930s by their communist
government when he visits here in about two weeks, sources said.

Israel is not expected to accede to the request, which has won the support
of Jewish community leaders in Ukraine, so as not to damage its relationship
with Vladimir Putin’s government at a sensitive time.

Millions of Ukrainians died of hunger from 1931 to 1932 following the
collectivization of farming in the Soviet Union by Joseph Stalin. Famine was
particularly severe in Ukraine, which was a regional breadbasket and was
strongly opposed to the move.

At the same time the communist government attempted to wipe out Ukrainian
intelligentsia and nationalists, with estimations of the number of victims
ranging from a million and a half to 10 million.

A number of countries, including the United States, have recognized these
acts as genocide, however, Russia vigorously rejects this definition,
prefering to use the term “tragedy.”

Members of the Jewish community in Ukraine say Yushchenko also intends
to present a proposal in the parliament in Kiev to recognize the suffering
of the Jewish people in the Holocaust and the suffering of the Ukrainian
people.

The chairman of the General Council of Jewish organizations, Joseph Zisels,
who met with Yushchenko last Monday, said yesterday: “Israelis understand
more than anyone what genocide is and Yushchenko therefore expects that
Israelis will also recognize the Ukrainian genocide. We don’t think it is
the same as the Holocaust, but it is also a terrible tragedy with seven or
eight million murdered.”

Last week Yushchenko signed a presidential order to return to the Jewish
community 700 Torah scrolls that were confiscated from the community by
the communists.

The move is believed to be an attempt to soften up Jewish and Israeli public
opinion ahead of his visit. He is expected to bring some of the scrolls to
the Presidential Residence in Jerusalem during his visit.

An attempt to organize a visit by Yushchenko to Israel was made about six
months ago by Rabbi Moshe Azman, Ukraine’s Chabad rabbi, and Mordechai
Tzivin, an Israeli attorney active in international Jewish causes.

But Israeli government officials postponed the visit, among other reasons
because Yushchenko wanted to be in Israel on Holocaust Day and to
participate in a ceremony at the Yad Vashem Holocaust Memorial.
————————————————————————————————
LINK: http://www.haaretz.com/hasen/spages/917798.html
———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
26.  NATIONAL CONGRESS OF THE REPUBLIC OF ECUADOR
RECOGNIZED HOLODOMOR IN UKRAINE AS AN ACT OF GENOCIDE

ForUm, Kyiv, Ukraine, Wed, October 31, 2007

KYIV – On October 30 the National congress of the Republic of Ecuador
adopted a resolution by which the Holodomor of 1932-1933 in Ukraine was
recognized as an act of genocide of the Ukrainian people. Chairman of the
subcommittee on interparliamentary relations, bilateral and multilateral
relations of the foreign affairs Committee of the VRU of the fifth
convocation Oksana Bilozir informed.

As it is noted in the statement, the parliament of Ecuador also shows
solidarity with the Ukrainian people, noted that following of principles of
justice, freedom, democracy and mutual respect, which must be the basis in
the relations between the countries in order such phenomena as Holodomor in
Ukraine doesn’t repeat again.

Ecuador is the second country after Peru, the parliament of which recognized
Holodomor in Ukraine as an act of genocide of the Ukrainian people. 11
countries have already recognized Holodomor in Ukraine.

———————————————————————————————–
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
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AUR#886 Nov 1 Investing In Independence; Champagne Factory; Kosmo Retail Chain; Tourism; Current-Account Blowout; President’s Website

=======================================================
ACTION UKRAINE REPORT – AUR           
An International Newsletter, The Latest, Up-To-Date
In-Depth Ukrainian News, Analysis and Commentary

Ukrainian History, Culture, Arts, Business, Religion,
Sports, Government, and Politics, in Ukraine and Around the World       
                        
ACTION UKRAINE REPORT – AUR – Number 886
Mr. E. Morgan Williams, Publisher and Editor, SigmaBleyzer
WASHINGTON, D.C., THURSDAY, NOVEMBER 1, 2007
 
INDEX OF ARTICLES  ——
Clicking on the title of any article takes you directly to the article.               
Return to Index by clicking on Return to Index at the end of each article
1.  INVESTING IN INDEPENDENCE
Agreement reached with Vanco for Black Sea oil and gas field
Oleksii Savytsky, The Day Weekly Digest #32,
The Day, Kyiv, Ukraine, Tuesday, October 30, 2007
 
Maria Aksyonova, Staff Writer, Kyiv Post, Kyiv, Ukraine, Thu, Nov 1, 2007

4UKRAINE: AMC PERMITS SIGMABLEYZER FUNDS TO
BUY KOSMO CONSUMER GOODS RETAIL CHAIN
Interfax Ukraine Economic, Kyiv, Ukraine, Wed, October 24, 2007

5LVIV: CASHING IN ON THE TOURISM BOOM
Anna Melnichuk, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 22, 2007

6UKRAINE: HANDS OFF THE MARKET
Government needs to be told again and again: Stay out of the market.
Editorial: Kyiv Post, Kyiv, Ukraine, Thu, Nov 1, 2007

7 U.S. SECURITIES AND EXCHANGE COMMISSION SUES
UKRAINIAN NATIONAL OVER IMS HEALTH OPTIONS TRADES
Dow Jones Newswires, New York, NY, Mon, October 29, 2007

8REZIDOR HOTEL GROUP TO MANAGE THREE TO FIVE-STAR

HOTELS IN ALL LARGEST UKRAINIAN CITIES IN FUTURE
Interfax Ukraine Economic, Kyiv, Ukraine, Wed, October 31, 2007

9FEATHERING UKRAINE’S AGRICULTURAL FUTURE
ANALYSIS: By Jim Davis, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 29, 2007

 
Plans call for the yard to be sold to Ukrainian company Donbass.
Associated Press (AP), Warsaw, Poland, Monday October 29, 2007
News Analysis: The Economist Intelligence Unit Limited
New York, New York, Monday, Oct 15, 2007

12DUTCH CHRISTIANS’ AID GOODS ROT IN UKRAINE HOSPITAL
By BosNewsLife Special Reporting Unit with BosNewsLife
reporters in the Netherlands, Hungary and Ukraine
BosNewsLift, Budapest, Holland, Tuesday, 30 October 2007

 
COMPETITIVENESS RATING IN 2007, LOSING 4 PLACES
Interfax Ukraine Business, Kyiv, Ukraine, Wed, October 31, 2007

14UKRAINE ENERGY: CURRENT-ACCOUNT BLOWOUT
Current account deficit in the first nine months of the year expanded
to US$2.5bn, nearly ten times as much as in the year-earlier period.
Country Briefing: EIU IndustryWire – News Analysis
The Economist Intelligence Unit Limited
New York, New York, Tuesday, October 30, 2007

15UKRAINE: NOTHING BUT LOVE FOR THE MOTHERLAND
Looking at economic relationships with other countries
Analysis: By Boris Lastochkin-Smirnov, Mirror Weekly #40 (669),
Kyiv, Ukraine, Saturday, 27 Oct – 2 Nov, 2007

16UKRAINE: DOMESTIC AND EXTERNAL PROBLEMS
Inflation Rates, Price of Gas, Russian Relations, NATO, EU
Political Review, Ukrainian News Agency, Kyiv, Ukraine, Wed, Oct 31, 2007

17.  THE GROUP OF STATES AGAINST CORRUPTION

(GRECO) PUBLISHES ITS REPORT ON UKRAINE
Concludes that corruption in Ukraine constitutes a real threat
to the principles of democracy and the rule of law.
Council of Europe, Strasbourg, France, Monday, October 29, 2007
 
18UKRAINE PRESIDENT’S WEB SITE ATTACKED; RUSSIAN
NATIONALIST GROUP CLAIMED RESPONSIBILITY
Associated Press, Kiev, Ukraine, Tue, October 30, 2007

19UKRAINE: AGAIN ON POISON STORY
Associated Press (AP), Kyiv, Ukraine, Monday, October 29, 2007

20UKRAINE: OUTLINE OF THE FUTURE PARLIAMENT

Political Review, Ukrainian News Agency, Kyiv, Ukraine, Wed, Oct 31, 2007
 
21UKRAINE: RIGHTING WRONGS OR REWRITING HISTORY?
LVIV’S CENTRAL ROLE IN MEMORY POLITICS
Analysis: Paul Johnson, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 22, 2007
 
22REMEMBERING SOVIET & TODAY’S POLITICAL PRISONERS
Commentary: By Halya Coynash
Kharkiv Human Rights Protection Group
Kharkiv, Ukraine,  Monday, October 29, 2007
 
23UGLY TRUTH BEHIND THE GREEN FENCE
The Ukrainian Observer, Kyiv, Ukraine,  Sund, October 28, 2007
 
24A MONUMENT TO UKRAINIAN SERFDOM
CATHERINE II AS A MIRROR OF UKRAINIAN STATEHOOD
The Day Weekly Digest, Kyiv, Ukraine, Tue, October 30, 2007
 
25UKRAINE TO SEEK ISRAELI RECOGNITION FOR 1930s GENOCIDE
By Anshel Pfeffer, Haaretz, Israel, Sunday October 28, 2007
 
26NATIONAL CONGRESS OF THE REPUBLIC OF ECUADOR
RECOGNIZED HOLODOMOR IN UKRAINE AS AN ACT OF GENOCIDE
ForUm, Kyiv, Ukraine, Wed, October 31, 2007
========================================================
1
 INVESTING IN INDEPENDENCE
Agreement reached with Vanco for Black Sea oil and gas field

Oleksii Savytsky, The Day Weekly Digest #32,
The Day, Kyiv, Ukraine, Tuesday, October 30, 2007

KYIV- Ukraine has taken an important step toward energy safety. Our
government and Vanco International Ltd., a subsidiary of the Vanco
Energy Company, have reached an agreement on the conditions for oil
and gas production in a Black Sea oil and gas field near Kerch.

The agreement was signed by Vanco’s president and founder Gene Van
Dyke and Ukraine’s Deputy Prime Minister Andrii Kliuiev in the presence
of President Viktor Yushchenko.

“For Ukraine this is a project of strategic importance and a uniquely
positive precedent for developing, first of all, the foundations of
a national energy strategy as well as cooperation with leading
international investors,” the president said.

At the meeting before the signing ceremony Yushchenko praised the
agreement, declaring that in the context of bolstering our country’s
energy safety this document has multifaceted value.

In his opinion, it is also a good incentive  to step up large-scale
exploration of the Ukrainian part of the Black Sea continental shelf.

The agreement was the culmination of a tender that attracted the U.S.-
based Hunt Oil Company of Ukraine, Shell, Exxon Mobil, Turkey’s Turkiye
Petrolleri, Britain’s Alphex One Limited, and Ukraine’s Ukrnafta. Shell
and Exxon Mobil competed jointly, as did Turkiye Petrolleri and Alphex
One.

The winner was Vanco International Ltd.

The subsequent negotiations on exploration and extraction in the Ukraine-
owned part of the deep-sea fields in the Black Sea were launched in April
2006.

According to Van Dyke, it was not easy to reach an agreement, but both
sides are satisfied with the end results and are discussing details.
The exploration will start next year.

“We will get to work right away and follow a detailed exploration program,
including an all-around 3D seismic study followed by deep-sea drilling,”
he said. Three wells are scheduled for drilling within the next three
years.

As far as the main conditions of the production-sharing agreement are
concerned, i.e., the division of production, Van Dyke says that the
approximate shares are as follows: 65 percent of the total production
is reserved for the Ukrainian government and 35 percent for Vanco
Energy, which will sell its share to Ukraine.

However, the press service of the Ministry of the Environment and Natural
Resources says that this ratio will be valid only for the development
stage. Once exploitation work begins, the production will be divided
50-50.

“We believe that this field has potentially huge deposits. Geologically,
the Black Sea is very similar to the Caspian Sea, where a lot of oil
and gas is being extracted.

However, the average depth of the Black Sea is two kilometers, and drilling
devices designed to work at such great depths became available only four or
five years ago,” says Van Dyke. The 12,960-square- meter field near Kerch
has an estimated 10.8 billion cubic meters of hydrocarbons.

“If our drilling is successful, it will yield two to three billion barrels
of oil, which is around 400 million tons,” says the president of Vanco
Energy.

These are all estimates, he adds, because drilling at such great depths
poses a great risk. In the event of failure, Ukraine will not suffer any
losses.

“Drilling a well is a $1 million-per-day business. If the well turns out
to be dry, we will lose $90 million. A few years ago we drilled a well
in Turkey’s part of the Black Sea, and after we had spent $25 million
we discovered it was dry. It takes two to three billion dollars to develop
a field like this one. So this business is very risky, and you can’t insure
the risk.” According to Van Dyke, up to 50 percent of deep-sea wells are
unsuccessful.

Even so, Van Dyke’s years of experience and his undisguised delight with
the agreement offer hope for a positive result because both sides to the
agreement have stated that in the best-case scenario Ukraine may become
an independent energy country.

Specialists at Vanco Energy say that if their efforts are successful,
the project will require $20 billion more in investments. The president’s
press service says that Ukraine expects the agreement to attract $15 billion
of investments and yield 200 million tons of hydrocarbons within 30 years.

The state budget is expected to receive over 200 billion hryvnias if
the project is successful.
——————————————————————————————–
LINK:
http://www.day.kiev.ua/190509/
——————————————————————————————-
NOTE:  Vanco is a member of the U.S.-Ukraine Business Council
(USUBC) in Washington, D.C., 
http://www.usubc.org
.
————————————————————————————————-

[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
2.  VIKTOR YUSHCHENKO: UKRAINE MUST SATISFY HALF OF ITS
DEMAND IN HYDROCARBONS THROUGH INTERNAL EXTRACTION

Ukrinform, Kyiv, Ukraine, Tuesday, October 30, 2007

KYIV – Ukraine must seriously get involved in developing its own oil and
gas drilling, in particular, drilling on land, re-opening old fields, which
contain yet 40-50% of their resources and starting efficient drilling in the
Black Sea shelf, President Viktor Yushchenko said in a Sunday interview
to a tv channel, by way of commenting on Ukraine’s provision with energy
sources.

According to the president, the agreement, which was signed with the
VANCO company is the first project to explore and drill on the Black Sea
shelf at some two km depth.

Viktor Yushchenko noted that there are all grounds to speak about
Ukraine’s starting oil and gas extraction from one of unique fields in a
couple of years. “This is a key contribution to forming energy security of
Ukraine,” the president is confident.

According to the president, the priority task is covering half of Ukraine’s
demand in oil and gas through extraction from this field.
———————————————————————————————–
LINK: http://www.ukrinform.com/eng/

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
3.  GERMAN GROUP SNAPS UP KYIV CHAMPAGNE FACTORY
 
Maria Aksyonova, Staff Writer, Kyiv Post, Kyiv, Ukraine, Thu, Nov 1, 2007

Leading German wine producer Henkell & Sohnlein has taken a majority stake
in Ukraine’s largest champagne producer further strengthening its already
strong position in Eastern Europe.

On Oct. 17, the German company acquired another 25.7 percent share of
Kyiv-based Kyivsky Zavod Shampanskich Vyn Stolitschniy, boosting its

overall holding to 51.9 percent.

The factory produces 16 million bottles of Sovetskoye and Ukrainskoye
champagne annually, which constitutes a 25 percent share of the Ukrainian
sparkling wines market. In 2006, the company made just over $20 million by
increasing its production volume by 9 percent.

Since the 1990’s, Henkell & Sohnlein has expanded east from Germany
throughout the former communist bloc. The purchase of the Kyiv factory

is a strategic one, company officials said.

“Today the sparkling wine market leaders in Austria, Hungary, the Czech
Republic, Slovakia, and Romania are members in the Henkell & Sohnlein

Group.

In this context, the acquisition in Kyiv is an important and strategic one
because it adds a successful, market leading company in a very important
European market for sparkling wine to the H&S Group,” said Jan Rock,

press spokesman for the Henkell & Sohnlein Group.

“[The Ukrainian factory’s] sales of 16 million bottles of sparkling wine,
together with Henkell & Sohnlein’s worldwide sales of 133 million bottles
will hopefully increase our foreign turnover considerably,” Rock said.

H&S currently has subsidiary companies in nine European countries with total
revenues for 2006 of $738 million, a 1.5 percent increase from 2005, with
revenues of $727 million.

The cost of the acquisition has not been disclosed. The German company
acquired its first stake in the Kyiv champagne factory this summer.

H&S plans to invest more in the Kyiv factory and will take over sales and
distribution of the premium sparkling wine Ukrainskoye. In return, Kyivskiy
Zavod Shampanskich Vyn Stolitschniy will distribute Henkell & Sohnlein’s
internationally established brands on the Ukrainian market.

———————————————————————————————–
————————————————————————————————
[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
4.  UKRAINE: AMC PERMITS SIGMABLEYZER FUNDS TO
BUY KOSMO CONSUMER GOODS RETAIL CHAIN

Interfax Ukraine Economic, Kyiv, Ukraine, Wed, October 24, 2007

KYIV – The Antimonopoly Committee of Ukraine (AMC) has permitted SBF
Southeast European Holdings B.V. (Amsterdam), part of SigmaBleyzer group,

to buy over 50% of Kyiv-based Sumatra-Ltd., which owns the Kosmo retail
chain, which sells cosmetics, perfumes and pharmaceutical products, the
committee’s press service told Interfax-Ukraine on Tuesday.

The press service said that the chain has stores in Kyiv, Zhytomyr, Kyiv,
Mykolaiv, Poltava, Khmelnytsky and Cherkasy regions.

Sumatra-Ltd. was founded in December 1997. As of August 2007, the Kosmo
retail chain comprised 51 stores in seven regions of Ukraine.

Sumatra-Ltd. said that it plans to invest $40 million in the development of
the Kosmo chain and Kosmo Farma drugstore chain in 2008-2009, opening
another 200 stores in all regions of Ukraine.

The company said that its sales in 2006 grew by 50% year-on-year, and in
January through June 2007 they grew by 65% year-on-year.

In February 2007, SigmaBleyzer, a leading private equity firm focused on
Ukraine and Southeastern Europe, closed its fourth fund, SigmaBleyzer
Southeast European Fund IV (SBF IV).

The fund was closed at EUR 250 million ($326 million), the maximum amount
allowed by the partnership agreement, and 25% above its target, making it
the largest private equity fund in Ukraine and one of the largest funds in
Southeastern Europe.

SBF IV included a significant number of limited partners (LPs) from the
company’s previous funds, as well as new investors. A total of 40 LPs
invested in the new fund, with investments ranging from a few million euros
to 20% of the fund, which was provided by the largest LP in SBF IV, the
European Bank for Reconstruction and Development.

Other investors in the fund include Goldman Sachs, UBS, LVMH, Bank
Austria, InvestKredit and other large financial institutions and family
funds.

SBF IV will make investments of EUR 10-70 million, with larger investments
possible through a series of co-investment agreements with its LPs.

In 1996, SigmaBleyzer created the first Ukrainian Growth Fund (UGF). Since
that time, UGF has grown into a family of three funds consisting of UGF I,
UGF II, and UGF III. SigmaBleyzer has offices in Bulgaria, Romania, Ukraine,
the Netherlands, and the United States.
———————————————————————————————-
NOTE:  SigmaBleyzer is a member of the U.S.-Ukraine Business
Council (USUBC) in Washington, D.C. Website: http://www.usubc.org.
————————————————————————————————

[return to index] [Action Ukraine Report (AUR) Monitoring Service]
========================================================
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5.  LVIV: CASHING IN ON THE TOURISM BOOM
Lviv is fast emerging as the country’s tourism hotspot, reflecting both the
growth in popularity across Europe of city break holidays and the rising
profile of post-Orange Ukraine

Anna Melnichuk, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 22, 2007

Last week the EU issued a USD 1 million grant to help finance the
development of the tourism industry in Lviv.

The money will be used to provide bilingual road signs (Ukrainian and
English), establish information points and introduce a series of
multilingual plaques around town offering background information on
historical landmarks to allow the thousands of non-Ukrainian speaking
foreign tourists pouring into the city to get more out of their trips.

This show of support is an indication of just how big Lviv’s tourism
potential is thought to be, and how important a role the European Union
thinks it could end up playing in the development of the region.
RISE OF THE CITY BREAK
Since the early 1990s eastern Europe has witnessed huge growth in the
tourism industry, with cities previously stuck for decades behind the Iron
Curtain once more accessible to relatively wealthy Western tourists and
offering refreshingly cheap weekends in environments often comparatively
unspoilt by the mores of modern commercialism.

Cities such as Prague, Krakow and Budapest have built a strong tourism
industry on the basis of this trend, but for over a decade Ukraine seemed to
have missed the boat.

Indeed, talk of Ukraine’s potential as a tourist destination would have been
considered laughable a few years ago, when the country’s biggest tourist
pulls were internet brides and the macabre appeal of the Chernobyl nuclear
power plant.

However, the charms of weekend city breaks in Lviv and Kyiv have now
replaced these more dubious attractions, and the country is fast emerging as
an original and exciting destination on the eastern European tourist trail.

The lifting of visa restrictions for EU citizens in early 2005 has played a
major role in helping Ukraine claim a small but growing slice of the
lucrative international tourist trade, and while Kyiv remains a natural
choice for most first-time visitors to Ukraine, more and more intrepid
explorers are opting to include Lviv in their itinery.

Current local government statistics estimate that around 180,000 tourists
have visited Lviv in the past year. They have come mainly from Poland,
Germany, Austria and France. However, officials claim that this figure is
only a tip of the iceberg, saying that the real number is actually many
times higher.

These new waves of tourists have yet to benefit from much improved
infrastructure, but work is ongoing on Lviv’s legendarily bumpy cobbled
streets.

A new wave of hotels has appeared in the past few years to accommodate
the tourist trade, and the city’s thriving café society has risen to the
challenge admirably, now offering everything from bohemian retreats and
artsy coffee shops to western-style Irish pubs.
POLAND’S LOST CITY
The vast majority of today’s tourists come from neighbouring Poland, drawn
by Lviv’s deep cultural and historic ties to Poland, the former colonial
master, and to the quaint charm of a Polish-looking city that has yet to
experience the wholesale modernisation that has transformed many
contemporary Polish urban centres.

Relations with the Poles were not always so fruitful. With the collapse of
the Habsburg Empire at the end of the First World War, Lviv was the scene
of a bitter conflict between the local Ukrainian and Polish communities over
control of the city.

In 1918, Lviv was declared the capital of the independent Republic of
Western Ukraine, but troops from the resurgent Polish state seized the city,
and Lviv, or Lwow as it was called in Polish, was returned to Poland, where
it was the third largest Polish city of the Second Republic after Warsaw and
Lodz until the Red Army took control in 1939.

Decades later Pope John Paul II appealed for a reconciliation between the
two nations, while Poland offered vocal backing to Ukraine’s pro-democracy
movement in 2004, adding their moral weight to the Orange Revolution.

In 2005 leaders of the two countries cemented these improved bilateral
relations when they attended a joint prayer ceremony to reopen the Polish
Cemetery of Eagles in Lviv’s Lychakivske cemetery, which holds the remains
of more than 3,000 Polish soldiers killed by Bolsheviks and Ukrainian forces
in the years following the Russian revolution of 1917.
A TASTE OF SOVIET EUROPE
Geography has helped build up interest in Lviv’s tourism potential, as it is
conveniently located just over the EU’s eastern border and can be reached by
coach for day trips.

It is also a comfortingly European city, being in many ways the estranged
sibling of Mittel Europa pearls such as Prague, Bratislava and other
intricate architectural treasures of the Habsburg domains.

Lviv’s historic centre is a tourist’s delight, with a wide variety of
churches including Dominican, Carmelite, Jesuit, Benedictine, and Bernadine
dominations, while the remains of ancient castles also dot the central
cityscape.

Unfortunately most of Lviv’s original gothic architecture was destroyed by
fire in the 16th century, but there remain numerous buildings constructed in
the renaissance, baroque, and classic styles still adorning the old town
city centre.

It is also a city begging to be explored, full of winding side streets and
hidden courtyards, while above street level delicately carved figurines
stare out from wedding cake facades and secret courtyards contain little
pockets of peace and quiet in the midst of the busy downtown traffic.

Everywhere in Lviv you will also encounter lions: lions on the city’s crest
and shield, sleeping lions, nasty guard lions, unruffled lions, and
mysterious, distant lions. These lions are very much part of the city’s
folklore.

Lviv was originally founded as a fort in the mid 13th century by Prince
Danylo of Galicia, which was a former principality of Kyivan Rus. He named
his new settlement after his son, Lev (Lion in old Slavonic), and it has
been a city of lions ever since, albeit under a variety of different names.
CULTURED AND CONFIDENT
Whether under Austrian empresses or Polish kings, the citizens of Lviv have
always considered themselves quintessentially European, and this mentality
has survived fifty years of Soviet rule.

As long ago as the mid-17th century Lviv was a leading regional city of
learning, and one of the oldest universities in Eastern Europe, Lviv
National University (today named after the Ukrainian writer Ivan Franko),
was founded in 1661. Original lectures were held in Latin, German, Polish
and Ukrainian.
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http://www.businessukraine.com.ua/cashing-in-on-the-tourism-boom

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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6.  UKRAINE: HANDS OFF THE MARKET
Government needs to be told again and again: Stay out of the market.

EDITORIAL: Kyiv Post, Kyiv, Ukraine, Thu, Nov 1, 2007

Prime Minster Viktor Yanukovych’s stern warning to sunflower oil exporters
last week suggests that his government is incapable of learning from past
mistakes.

Instead of recognizing that inflation is to be expected when social payments
are increased just before elections, Yanukovych’s Party of Regions has
looked to pin inflation on business and political opponents.

Ukraine is the world’s second largest sunflower oil producer after Russia.
Export restrictions on this staple are not a solution to higher prices
because they ultimately create additional problems.

The last time the Yanukovych government imposed export restrictions (on
grain last year), farmers were hit the worst, as they were unable to fetch
the best prices for their produce.

Multinational traders also incurred hundreds of millions of dollars in
losses. Farmers unable to secure higher revenues will be unable to reinvest
into their operations.

Furthermore, the international business community will have additional proof
that Ukraine is unpredictable and chaotic – an image the country’s
detractors would like to promote.

As we have emphasized in the past: Soviet-style management of the economy
is bad for business, bad for the market, bad for the country and bad for the
farmers. The Ukrainian government needs to be told again and again: Stay out
of the market.
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LINK: http://www.kyivpost.com/opinion/editorial/27717/
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7.  U.S. SECURITIES AND EXCHANGE COMMISSION SUES
UKRAINIAN NATIONAL OVER IMS HEALTH OPTIONS TRADES

Dow Jones Newswires, New York, NY, Mon, October 29, 2007

NEW YORK -The Securities and Exchange Commission sued a Ukrainian
national on Monday, alleging he made unlawful trades in options of IMS
Health Inc. (RX) hours before a negative earnings announcement that sent
its shares down 28%.

The regulator, in a lawsuit filed in federal court in Manhattan on Monday,
alleged that Oleksandr Dorozhko purchased out-of-the-money and at-the-
money put options of shares of IMS Health on Oct. 17.

The purchases came hours before the Norwalk, Conn., company announced
after the market close that its third-quarter diluted earnings were 29 cents
a share, 28% below Wall Street expectations.

Dorozhko, who lives in Uzhgorod, Ukraine, allegedly gained access to
material nonpublic information about IMS Health’s third-quarter results by
hacking into computer networks or, otherwise, improperly obtaining
electronic access to systems that contained information about the company’s
imminent earnings announcement, the SEC said.

“Defendant Dorozhko bet nearly a year’s worth of his income that the price
of IMS Health stock would drop dramatically within two days,” the SEC said.

The day after the announcement, IMS Health’s stock fell 28% to $21.20, the
steepest decline in the stock’s trading history, the SEC said. That same
day, Dorozhko sold all of his put options, realizing proceeds of more than
$328,000 and profits of more than $280,000, the SEC said.

Dorozhko is an independent engineering consultant in the energy industry
with a net income of about $45,000 to $50,000 and a net worth of $100,000 to
$250,000, the SEC said, citing documents provided by Interactive Brokers
LLC, where he opened his trading account. Contact information for Dorozhko
wasn’t immediately available on Monday.
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By Chad Bray, Dow Jones Newswires, chad.bray@dowjones.com
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NOTE: Send in a letter-to-the-editor today. Let us hear from you.
========================================================
8.  REZIDOR HOTEL GROUP TO MANAGE THREE TO FIVE-STAR
HOTELS IN ALL LARGEST UKRAINIAN CITIES IN FUTURE

Interfax Ukraine Economic, Kyiv, Ukraine, Wed, October 31, 2007

KYIV –  Rezidor Hotel Group, an international hotel business operator with
headquarters in Brussels, plans in future to manage hotels in all of the
largest Ukrainian cities, Group Vice President for Business Development
Arild Hovland has told the press.

“Talks [on the management of hotels] are being held in cities like Odesa,
Lviv, Donetsk, Kharkiv, Dnipropetrovsk and Zaporizhia,” he said at a press
conference in Kyiv on Tuesday.

He said that the group is considering a possibility to manage three-, four-
and five-star hotels under the Radisson SAS Hotels & Resorts and Park Inn
brands.

Hovland also said that Rezidor Hotel Group plans to realize its plans
irrespective of hosting the European Football Championship 2012 by Ukraine,
as the group sees large potential in Ukraine.

At present, Rezidor Hotel Group manages two projects in Ukraine – the
Radisson SAS Hotel in Kyiv – and soon it will open a second Radisson SAS
Hotel near Kyiv’s Boryspil airport.

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9.  FEATHERING UKRAINE’S AGRICULTURAL FUTURE
Agricultural industry no longer domain of Soviet-style collective farm
bosses, with savvy young MBA-wielding managers introducing branding
concepts & integrated approaches to what was once Ukraine’s most
profitable sector

ANALYSIS: By Jim Davis, Business Ukraine magazine
Kyiv, Ukraine, Monday, October 29, 2007

After a decade in which there was a very high level of migration from
Ukraine’s farms to its cities, the country is hardly the same place that it
was when independence was declared just over 16 years ago. Today the city
dweller is likely to spend more time worrying about the price and venue of
his or her next holiday than about the price of bread.

It is not only the city dwellers who have changed, but those remaining
actively engaged in Ukraine’s agricultural sector have advanced at a pace
that could hardly have been imagined in the days of collectivised
agriculture.

The most progressive farms are likely to use European – or American – made
tractors and combines, some precision-guided by Global Positioning System
(GPS) attachments that rival what might have been installed on a nuclear
submarine just a few years ago.

Agriculture and food processing in Ukraine are not only changing at warp
speed, in the process of change the whole sector is becoming more vertically
integrated and better managed by a new generation who can discuss IPOs and
return on investment just as authoritatively as they do crop rotation and
fertilisation.

The process remains far from universal, but very quickly Ukraine is adapting
to true 21st century agriculture and food production.
SIZE MATTERS
During the Soviet era and the early years of independence, collective farms
and their immediate successors would range from 5,000 to 15,000 hectares,
with many private farmers doing their best to make a living on the 50
hectare allotments that were first given just after independence.

Today in Ukraine there are any number of agricultural operations that have
aggregated well over 100,000 hectares each with hundreds of tractors and
combines.

More importantly, the reading materials for those who lead these operations
are more likely to be the Financial Times or The Wall Street Journal, rather
than Silkskiy Visti.

This is the result of not only a new approach to agriculture but a whole new
generation who understand management and marketing in a way that could not
have been imagined just a few years ago.

Perhaps most interesting of all is that many of the most effective of these
leaders are young – and native to Ukraine or other parts of the former
Soviet Union.
YOUNG AND FAR-SIGHTED
Where farm managers in the past may have come out of the National
Agricultural University and other strictly agriculture-related higher
educational institutions, today’s top managers in the field may just as
likely have an education that includes an MBA from a European or American
university.

For example, only a few months ago Alexei Sizov was named CEO of Agrarian
Investments, LLC, a major agricultural firm which he is leading in a new
direction.

Sizov, a banker with a background that includes work throughout the CIS with
Renaissance Capital and JP Morgan, now has the firm concentrating its crop
planting in a dual use mode, i.e. every planting decision is made based on
the potential for the crop’s use as a human food and also as a biofuel feed
stock.

Sizov believes that this route provides options for the company to choose
between markets for its farm produce, thereby enhancing options for
profitability, never a certain thing in agriculture.

However, just as the firm’s cropping plans must support two options, Sizov
himself does double duty, first as the top overall manager of the firm, but
just as importantly as a trained banker who is doing his best to lead
Ukraine’s banks toward offering better “off-the-shelf” solutions to
financing problems for agricultural businesses.

Sizov, who had been quite critical of the flexibility of Ukrainian banks in
the past, told Business Ukraine that he believes he is seeing a greater
receptiveness to his ideas by Ukrainian banks.

“We have been working more closely with banks for our own benefit, but also
we believe some of the banking products that we may be able to develop will
benefit all companies in our field,” Sizov said.
ON THE SWEET SIDE
While some farm-related companies engage in a wider range of crops, some
prefer to limit their operations to an area where they have greater
expertise. Dr. Sergei Feofilov, a highly regarded independent agricultural
economist, pointed to Astarta-Kyiv as an example of one such company.

Sugar profitability has been a very erratic thing in Ukraine, partly because
of limited investment at the refinery level, and partly because of political
meddling. Many in the sugar business point to former Prime Minister Pavlo
Lazarenko as one who made a number of politically oriented decisions which
it has taken years to overcome.

In spite of many ups and downs, sugar production has been a part of Ukraine
for almost 200 years. In fact, in 19th century Ukraine, it was not wheat but
sugar that was the country’s main cash crop, with Ukraine-grown beets
producing almost all of the sugar for the tsarist empire and much of Europe.
In all of Europe there was no place as well-suited to beet production as
Ukraine’s Right Bank.

By the 1840s, sugar production was well-established and was the basis for
some of the largest fortunes of that era. Family names that are well-known
today – Tereshchenko, Symyrenko and Brodsky – became famous when these
families were among those who came to be known as the “sugar barons.”

However, sugar’s better days have passed and it may take time and more
investment before sugar plays a great role again in Ukraine.

In a recent newspaper interview, Astarta’s General Director Viktor Ivanchyk
was quoted as summing up the sugar situation as follows, “My forecast is
that in the market there will be not 5-7 large companies as it is today, but
only companies that own one or a few plants and provide themselves with
their own sugar beet will remain. Only companies that will occupy a larger
share of the market will be more effective.”
PUTTING THE PIECES TOGETHER
Ivanchyk’s remarks reflect a view that is widely held by economists and
sugar experts among whom the consensus is that only those with the money
to invest and consolidate have a real future in sugar.

There are a half-dozen or more other agricultural operators perhaps worthy
of mention, but among that group one seems to stand out as the best example
of putting together all the pieces for a vertically integrated and highly
profitable future.

If someone had gone to a public relations firm and asked for help in picking
a catchy and saleable name for a company, Myronivsky Hliboprodukt (MHP)
would hardly have been in the top 100 possibilities.

However, in spite of its tongue-twisting name, MHP has built itself into a
world-class operation that is vertically integrated to a greater degree than
most agricultural corporations in the world.

Begun in 1998 with the even less riveting name of Myronivsky Factory for
Production of Grain and Mixed Fodder, MHP became one of the leading
Ukrainian grain trade enterprises in 1999-2000.

However, almost immediately after the company’s foundation it chose to
direct its efforts toward the production of poultry meat, based on the
Peremoga Nova plant.

It is in chicken meat production that MHP has excelled and under the
leadership of founder Yury Kosyuk built itself into a huge and efficient
producer.

In 2000, after a nine-year period of decreases, Ukraine’s statistics showed
growth in chicken meat production volumes. In 2001, MHP ceased its activity
as a grain trader and concentrated on production of poultry meat with
gradual integration of the entire production process within the company.

The concept was at once simple and quite complicated. What MHP did
successfully, perhaps more successfully than anyone has ever done in
Ukraine, was to identify old Soviet-era facilities with potential, negotiate
partnerships and buy-outs, as well as through investment and reconstruction
managed to restore and modernise the acquired operations to efficiency and
potential profitability.
BRANDING AND BUILDING
If there is a single word that encapsulates the MHP success story, it is
branding. The company discovered branding early on in its corporate life and
has engaged in brand-building with chicken and other products with great
success.

Of course, branding can only work when there is a good product supporting
the brand. In 2002, MHP began a two-year programme during which all of its
poultry plants were upgraded with modern equipment.

The company began introduction of uniform poultry growing technology, and
uniform quality standards were applied to market-ready products. This was
combined with an investment project designed to expand existing capacities
with the ultimate aim of doubling the volume of market-ready products.

In December 2001, MHP created the Nasha Ryaba trademark as the retail brand
for its fresh chicken products with the branded product first appearing in
the marketplace in February 2002.

Within a year, the company introduced a franchising programme for Nasha
Ryaba products and by the end of 2003 had opened approximately 900 MHP
company sales points in all regions of Ukraine exclusively for the sale of
Nasha Ryaba fresh chicken meat.
CLOSING THE CYCLE
In addition to its branding success, MHP has developed production facilities
that make it possible to structure the enterprise as an integrated complex
with a closed cycle of meat production.

This made possible maximum control over product quality and costs of
production. In particular, the company expanded its ability to provide its
own mixed feed, thereby exercising maximum cost control.

Further development of its feed capacities made it possible for MHP to bring
into being a second major brand with creation of a beef production complex
aimed at the premium beef market. The brand has been known as Sertyfikovany
Angus and is easily spotted on store shelves by its distinctive packaging.

To further expand its closed cycle concept, in 2004 MHP began sunflower
seed processing, allowing the use of soy protein in feeds for animal herds
and also providing sunflower oil to the market separately.

During the entire early 2000s period, MHP was constantly searching out new
facilities that could bring new depth to its closed cycle operations, always
looking to bring greater efficiencies and lower costs to its operations.

Each new acquisition led to new opportunities for brand development.
Beginning in 2003, MHP began production of goose liver and products from
goose meat based at its Snyatynska Nova plant.

Production of pork, sausages and beef for the premium market also began at
the Druzhba Narodiv plant and production of pure bred Angus cattle at its
Kyivska farm operation got underway.

Recognising a new market segment in Ukraine’s burgeoning middle class, in
January 2006 MHP completed an entire new plant exclusively to produce Legko
brand frozen meat chicken, beef and pork dinners that require only brief
microwave heating to be table ready.
A BRIGHT FUTURE
MHP expects to produce over 200,000 tonnes of chicken this year, and
350,000 tonnes annually by 2010. Based on its previous performance, there
seems no reason to doubt that the goals will be realised.

The leadership at MHP appears to have learned two very important lessons.
First, people do not want just unbranded commodities and products. They
want, and are willing to pay for, products with name brands that they trust.

Second, MHP chose to concentrate on chicken meat production because of
a simple fact, the birth to market cycle. With beef this takes an average of
two years. For pigs, the same cycle is about six months. But for chickens,
the cycle from birth to market is only two months.

Chicken meat is not only good business, it is business that can and often
does give the producer a return in a much shorter time frame. Chickens are
not the only answer, but they have proved an answer for some and those who
turn out a quality chicken product are likely to reap rewards.

There will always be challenges in Ukraine’s agricultural sector, but good
business can be done and it can be done profitably, as MHP and other
progressive producers are proving.
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LINK: http://www.businessukraine.com.ua/feathering-ukraine-s-future

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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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10.  POLAND: GDANSK SHIPYARD WORKERS RALLY TO
PROTECT ENDANGERED HISTORIC YARD

Plans call for the yard to be sold to Ukrainian company Donbass.

Associated Press (AP), Warsaw, Poland, Monday October 29, 2007

WARSAW, Poland – About 200 workers at Poland’s historic Gdansk
shipyard demonstrated Monday to demand the quick privatization of
their struggling workplace, with some burning tires and setting off
firecrackers in front of management offices.

Workers dressed in blue overalls and yellow plastic helmets held
banners reading “We want a modern yard and a European level of wages.”

They expressed fear that Civic Platform, a pro-business party that won
Oct. 21 elections, could slow down a plan for the sell-off of the
state-run shipyard, the birthplace of the Solidarity movement that
helped overthrow communism.

Many workers believe that privatization is the only way to save the
shipyard — and their jobs. Plans call for the yard to be sold to
Ukrainian company Donbass.

The pro-market Civic Platform staunchly supports privatization, but in
the case of the Gdansk shipyard, wants to examine the existing plan to
ensure greater transparency once it takes power next month.

A Civic Platform lawmaker said the workers have nothing to fear.
“Privatization of the yard is necessary and under no circumstances
will it be jeopardized,” said Tomasz Aziewicz.

Poles have a strong emotional attachment to the Gdansk shipyard, a
symbol of the demise of communism. It was there that electrician Lech
Walesa led strikes in 1980 that led to the birth of Solidarity and the
communist regime’s eventual collapse in 1989.

During the 1990s, the yard’s owners struggled with the threat of
bankruptcy. More recently, it has been at the center of a dispute
between Poland and the European Union, which has pressured Warsaw to
shut down two of three slipways — ship assembly areas — because the
shipyard is losing money and being kept alive with state subsidies.

The EU has rules preventing its member states from keeping inefficient
companies alive artificially.
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[return to index] [Action Ukraine Report (AUR) Monitoring Service]
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11.  UKRAINE RETAIL: $500M INVESTMENT FOR RETAIL
BRYSNYTSYA CHAIN

News Analysis: The Economist Intelligence Unit Limited

New York, New York, Monday, Oct 15, 2007

Diversified holding group SCM Holdings has announced that it plans to invest
around up to US$200m by 2013 to expand its recently launched retail chain,
Brusnytsya, across Ukraine to as many as 500 stores.

SCM entered the retail sector earlier this year with the opening of its
first Brusnytsya outlets in the Donetsk region in eastern Ukraine. Currently
the company operates nine stores through its subsidiary Ukrainskiy Retail.

SCM explained that it plans to operate 20 stores by end-year, and that by
end-2008 its retail network would reach 80 stores across the country. In the
first phase, Brusnytsya stores are being built in a smaller format of
300-400 sq metres. Phase two calls for the construction of supermarkets of
800-1,200 sq metres.

SCM is Ukraine’s largest holding company and one of the country’s largest
domestic investors. For the 2006 period, SCM posted consolidated pre-tax
profit of US$1bn. Sales reached over US$6.7bn, a nearly 19% rise over the
previous year. The group’s assets reached over US$11.4bn at end-2006.

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12.  DUTCH CHRISTIANS’ AID GOODS ROT IN UKRAINE HOSPITAL

By BosNewsLife Special Reporting Unit with BosNewsLife
reporters in the Netherlands, Hungary and Ukraine
BosNewsLift, Budapest, Holland, Tuesday, 30 October 2007

AMSTERDAM/BUDAPEST/UZHHOROD – Aid goods of Dutch Christians
intended for a hospital in Ukraine where babies suffer of starvation and
disease rot in a local storage facility, according to a document released
Tuesday, October 30.

An internal letter of the Dutch-based organization Oost Europa Zending
(OEZ), or ‘East Europe Mission’, obtained by Christian news Website
www.manna-vandaag.nl and its partner BosNewsLife, said goods are not
delivered to patients because local staff members fear they may be stolen.

“After a couple of days we discovered a room where everything had been
stored what OEZ had given,” wrote Willemine and Gertjan de Jong, a recently
married couple who just returned from an OEZ mission journey, about the
situation of the hospital in the Ukrainian town of Vinogradiv, near Hungary.

Project leader Edwin Brokaar was quoted as saying, “There are so many
clothes dumped in the depot, enough to dress the babies for another ten
years.”
DOCTORS AFRAID
Doctors and nurses claim they are reluctant to use the goods because they
must for them if items are stolen by colleagues or others, BosNewsLife
learned.

“That’s nonsense because the products are delivered totally free-of-charge,”
countered Willemine and Gertjan de Jong in their letter to close friends and
supporters.

A head sister, who was not identified, allegedly said the goods were not
opened “because we think about tomorrow” as there could be shortages,
concerns apparently fuelled by decades of mismanagement when Ukraine was
still part of the Soviet Union.

Problems also occurred at the Ukrainian border, the OEZ volunteers said. “We
set off with 16 people in two mini busses carrying goods.Everything went
fine till we reached Ukrainian customs officials who complained about one
missing stamp in our car papers. We were forced to abandon the vehicles at
the Hungarian site of the border.”
INFANTS SUFFER
It came at a harrowing moment for the hospital, where aid workers eventually
arrived and discovered dozens of babies, many of them “weak and
malnourished,” the letter said.

Among the babies Maxim, “a white Gypsy boy” of 10 months. “He looked
like a child from Africa suffering hunger, except that he was white,” the De
Jongs claimed.

Another baby, identified as 16-month-old Victor “could not yet sit” and was
suffering because “his head was not straight because he was always laying
wrong.”

The team managed to bring “70 banana boxes” of which “11 were full of care
products” including special soaps, baby lotion and baby oil, according to
the letter. It was not immediately clear if all products arrived at the
intended destination.

The problems of OEZ in Ukraine are no isolated incidents, BosNewsLife
established. An official with the Budapest-based Hungarian Maltese Charity
Service told BosNewsLife his Catholic oriented aid group had similar
troubles in Ukraine’s Trans-Carpathian region, where several Christian aid
groups are active.
GROUP THREATENED
He said staff members were threatened in Uzhhorod, the main town in the area
bordering Hungary. “When we parked our bus in a parking lot there, we were
told we had to pay 500 dollars or otherwise they couldn’t guarantee the
vehicle would not be stolen. Our driver was forced to stay the night in the
bus,” explained Maltese spokesman Istvan Kuzmanyi.

Christians in Uzhhorod have linked these cases to a climate of rampant
corruption, with the apparent involvement of local officials. In an open
letter published earlier by BosNewsLife alleged victims of corruption urged
President Viktor Yushchenko to start realizing the ideals of the Orange
Revolution, which helped sweep him to power, nearly three years ago.

“Mr. President, we dream with you of a different Ukraine. A Ukraine wher