Tag Archives: Prime Minister

On ship-owners, bishops and Golden Dawn

The crucial journalistic question on Golden Dawn has been one for the past year. Who funds Golden Dawn?

For a long time there have been rumours that one or some ship-owners were behind them but no one has managed to document something tangible. It seems that this is changing.

Greek financial portal sofokleousin.gr has published a very interesting article a while ago. Though the portal quotes well-informed sources who spoke under the condition of anonymity, it mentions that there is an ongoing investigation of the Financial Crime Unit (SDOE) on the funding of neonazi party Golden Dawn.

The investigation, according to the article, has shown so far that several ship-owners, businessmen and even bishops are behind the far-right party and its criminal activities.

The article also says that among the party’s funders there are people beyond any suspicion, though some of the involved businessmen are serving a sentence in prison while others have trials pending. The data found so far imply a link between the members/local Golden Dawn offices and businessmen who have night clubs or are involved with sports (I guess some football team – not the cleanest sport in Greece). The data are already being used to document crimes like blackmail, threats or even paid assassinations.

The Financial Crime Unit has already asked the opening of several bank accounts so that they can document these investigated financial links with facts and proofs

According to the article, the investigation has showed that among the clergy there are even some bishops (!!!). The Prime Minister’s office has been briefed about the investigation, says sofokleousin.gr, and the PM’s advisers are doing their best to avoid any early leaks to the press.

Which they just failed to do.

Cirque de Grèce

Saw this today and thought that it’s funny. These are two very important reasons why I decided to post it here.

Unemployment (by Absent)

It’s inspired by a poster of “Alegria” (a show by Cirque du Soleil) which has filled Athens’ ad spaces these days. The guy is our Prime Minister, Antonis Samaras and the word is “Anergia” which means Unemployment in Greek.

20120914-201357.jpg

One more note left behind

A man shot himself yesterday in the very center of Athens. He is the latest in hundreds of suicides during and because of the crisis. Dimitris Christoulas  chose the place (Syntagma Square) and the time (rush hour) to pass his message. Many have called Christoulas “the Greek Bouazizi“. Christoulas’ message was handwritten on the note below.

The handwritten note that was found on Dimitris Christoulas

Here’s a translation of it:

The collaborationist Tsolakoglou government has annihilated my ability  for my survival, which was based on a very dignified pension that I alone (without any state sponsoring) paid for 35 years.

Since my advanced age does not allow me a way of a dynamic reaction (although if a fellow Greek was to grab a Kalashnikov, I would be the second after him), I see no other solution than this dignified end to my life, so I don’t find myself fishing through garbage cans for my sustenance.

I believe that young people with no future, will one day take up arms and hang the traitors of this country at Syntagma square, just like the Italians did to Mussolini in 1945 (Piazza Loreto in Milan).

Note: Georgios Tsolakoglou was a Greek military officer who became the first Prime Minister of the Greek collaborationist government during the Axis Occupation in 1941-1942.

Exercising the Power of Nightmares

Greek Prime Minister Papademos gave a long introductory speech to his cabinet meeting last Friday (10/02/12). Considering his previous speeches and announcements, he devoted a big part of his speech by describing what would happen to Greece and Greeks should we end up in a disorderly bankruptcy.

Lucas Papademos, Greek PM

Here’s a hasty translation of that part:

A disorderly bankruptcy would throw our country into a disastrous adventure. Circumstances would create economic chaos and uncontrollable social explosion.The adverse consequences of a disorderly bankruptcy would be multiple and extremely painful for the Greek economy and society.

The state will be unable to pay salaries, pensions, to cover basic functions, such as hospitals and schools, while we will still have a primary deficit of 5.2 billion euros. Which means that the state revenues would be insufficient to cover our expenses, even if we would stop serving our debt.

Direct spending cuts which would have to go in case of a disorderly bankruptcy would result in real wages and pensions collapse, especially since it would be even more difficult to collect taxes.

The import of basic goods such as medicines, oil, machinery, etc., would be particularly problematic, as the country, both public and private sectors, will lose all access to borrowing and liquidity will shrink. Businesses would close en masse, unable to raise finance.

The living conditions of Greeks in the case of a disorderly bankruptcy would collapse and the country would drift into a long spiral of recession, instability, unemployment and destitution.

These developments will lead, sooner or later, at the exit from the euro. From the core country of the Eurozone, Greece would become a weak country on the fringes of Europe.

The full speech (in Greek) can be found here.

Never before has he spent so many words to describe what his vision of Greece is. Never before has he used more words to inform us how the situation can improve. Never before, during his duty, has he told us where exactly we are led with this new round of measures. For the first time he chose to describe the worst case scenario, a psychological blackmail trick that has been abused repeatedly during George Papandreou’s two years in power.

It’s not a new or unique phenomenon in politics. British film maker Adam Curtis described it in his 3-part documentary called “The Power of Nightmares”.

In the past, says Curtis, politicians were competing each other by offering a better future. Citizens were choosing the best and more feasible future and would vote it in elections. In the past decade or so this has changed. Politicians are now competing by offering the least worse future for the citizens, who live in a state of fear of what could happen to them.

Lucas Papademos just joined the group.

To watch all three hour-long parts of Adam Curtis’ Power of Nightmares, click here. Adam Curtis’ blog at BBC is available here.

Politics, media and pimps

Yesterday the socialist party leader and ex-Prime Minister, George Papandreou, made another confusing move. Attending PASOK’s political council, he stated that he will quit politics by not setting himself as a candidate for PM in the next elections and either for the leadership of his party. Paradoxically Papandreou suggested that the Socialists’ internal election to chose their leader should take place after the general elections. Which means that Papandreou will lead the party in the elections but, in case of a victory, he is not going to be the Prime Minister.

Funnily, that wasn’t the most interesting part of his speech. Among other things, he made a short account of his administration and accused the Lambrakis Media Group (DOL) of undermining his government. The reason for DOL’s behaviour, according to Papandreou, was that the former prime minister had advised the National Bank of Greece not to lend the media group 10 million euros. As he said, the issue shouldn’t have reached him in the first place and, after being informed that DOL didn’t satisfy the economic criteria for the loan, he instructed NBG not to proceed in the lending.

DOL’s chairman, Stavros Psycharis, replied immediately to the accusation with this short announcement.  “It’s true that DOL asked for a loan from the National Bank of Greece, of which it is a customer for the past 90 years. The National Bank rejected the request officially. Unofficially they told us that it was not approved by the Prime Minister’s office. It’s obvious that any intervention from banks against newspapers which don’t satisfy government interests, is a fascist mentality. Obviously, when power is lost, memory is lost too, even for very recent events. The PASOK leader-in-retirement is kindly requested to state the circumstances under which we met for the last time at the Prime Minister’s office and the reasons for which we were asked to enter the building through the back door. He should also say who asked what from whom!”

This is the beautiful and prudent world of Greek politics and media, an interwoven set of business and political interests which, for decades, were serving one another forming the so-called establishment. Of course, he was not the first Prime Minister who ever said such a thing publicly. Back in 2004, his predecessor, Kostas Karamanlis, gave his famous speech on Greece’s five “pimps” who were thought to undermine his project. An article of that day describes the event in a very detailed way and I found it twice interesting to read it under today’s circumstances in Greece.

“We will not allow five pimps and five interest groups to push us around… They can easily be dealt with,” Karamanlis told a gathering of about 30 of his party’s members of Parliament in a Monastiraki restaurant best known for its kebab and ebullient owner and namesake, Bairaktaris. The meeting on Wednesday, in which generous portions of food and wine are said to have been consumed, was a private affair. It was, of course, not as private as a chat in his home or office, meaning that what was said could find its way into the public domain. And so the next day Karamanlis’ purported declaration had been leaked to the media. The government commented half-heartedly that the prime minister does not use such language and actually confirmed the gist of what he had said.

In a country where politics never sleep, where words are cheap and where memorable and colorful statements become slogans, Karamanlis’ purported words soon took on a momentum of their own. It was not only as if he had actually used these particular words at the dinner at Bairaktaris but as if he had declared them in full view of the public. He could, of course, always deny paternity but the statement will stick to him and will be part of his legacy. What now remains to be seen is what he meant by this statement. But what is even more significant is whether this signaled the start of a clash of titans or whether it was a verbal flare sent up into the dark sky to illuminate public life for a while before disappearing into the sea of grand, meaningless gestures.

On the surface, the meaning of the declaration is clear. Karamanlis was telling his troops that they should be ready to kick some enemy butt as part of an irresistible force.

Here you can read more about that event. In the meantime, a question instead of an epilogue. If the ruling elite is the pimp, who are the whores?

 

A poll for Papademos

PM Lucas Papademos at the Greek Parliament

A new opinion poll is presented today by Sunday’s Ethnos newspaper. It’s questions (and the results as a consequence) are constructed in a way to show that Lucas Papademos is the best we (can) have. Here are the results and some comments from me (in italics).

The participants were asked to choose between two politicians on who is the most appropriate for Prime Minister.

Current PM Lucas Papademos scored 54,3% against New Democracy leader Antonis Samaras, who got 21,7%, while 24% denied to give an answer.

Against PASOK’s George Papandreou, Lucas Papademos was preferred by 71,8% to only 3,8%. Another 24,4% did not reply.

Between Antonis Samaras and George Papandreou the score was 38,3% to 10,7%. The remaining 51% did not reply.

This looked a bit dodgy to me as I haven’t seen this practice for a long time. Placing Papademos in a dilemma against worn out politicians, bearing their sins from the past, makes him look like the Messiah. Indirectly what I can see is the need for new political parties rather than the legimization of the technocrats around Europe. He is not the Messiah, he’s a very naughty boy.

On whether the co-operation government under Lucas Papademos is a positive or negative development for our country, 40,4% replied “Positive”, 16,6% replied “rather positive”, 9% replied “rather negative” and 37,7% gave a negative answer while 6,8% did not reply.

35,7% of the interviewees had a positive view of Papademos, 27% had a “rather positive” view, 10,4% was rather negative and the stance for the 19,3% was simply negative. A no-reply was given by 7,6%.

Surprisingly there was a question on whether the interviewee wished that the new government’s efforts suceed. An 83,6% replied “Yes”, a 4,4% did not want to give an answer and a whole 12% wished that their efforts will not suceed.

You might wander, why on earth are there Greeks who wish to see their country failing? well, this is a characteristic of this nation since antiquity, it never unites until it’s inevitable or until there is a common foreign ennemy. A reason for wanting this government to fail might also be a need to show that technocrats’ governments are not efficient. In any case, it’s not just the “irresponsible” citizens/interviewees who think that way. One simply has to see behind the current government’s (of cooperation?) sluggishness and he’ll discover Ministers sabotaging one another in view of the next elections. An illegitimate government that feels that way and has its mind in the elections.

Back to the poll, 13,2% would like to see Papademos becoming a politician with one of the existing political parties after the end of the current administration, a 35,3% wishes to see him stepping down from politics and a 30,5% wants Papademos to found a new party. The rest 21% had no opinion on the matter.

As for popularity, here’s the ranking.

Lucas Papademos: 62,7% positive/rather positive view and 29,7% negative/rather negative view.

Fotis Kouvelis (Democratic Left): 47,3% positive/rather positive view and 44,7% negative/rather negative view.

Giannis Dimaras (Panhellenic Citizens’ Chariot): 36,8% positive/rather positive view and 52,4% negative/rather negative view.

Alexis Tsipras (SYRIZA): 35,5% positive/rather positive view and 62,4% negative/rather negative view.

Antonis Samaras (New Democracy): 31,4% positive/rather positive view and 66% negative/rather negative view.

Giorgos Karatzaferis (LAOS): 27,5% positive/rather positive view and 70,5% negative/rather negative view.

Aleka Papariga (Communist Party): 24,3% positive/rather positive view and 72,6% negative/rather negative view.

Dora Bakoyannis (Democratic Alliance): 19% positive/rather positive view and 78,5% negative/rather negative view.

George Papandreou (PASOK): 15,6% positive/rather positive view and 83,7% negative/rather negative view.

Europe’s worst nightmare

Another article, this time from New York Times’ Landon Thomas Jr., talking about the possibility of a military coup in Greece (see this and this for previous mentions).

It would be Europe’s worst nightmare: after weeks of rumors, the Greek prime minister announces late on a Saturday night that the country will abandon the euro currency and return to the drachma.

Instead of business as usual on Monday morning, lines of angry Greeks form at the shuttered doors of the country’s banks, trying to get at their frozen deposits. The drachma’s value plummets more than 60 percent against the euro, and prices soar at the few shops willing to open.

Soon, the country’s international credit lines are cut after Greece, as part of the prime minister’s move, defaults on its debt.

As the country descends into chaos, the military seizes control of the government.

To read the rest of the article click here.

Greece, a Baklava Republic

An interesting overview of today’s Greece, by Vanessa Andris for the Huffington Post.

It is not at all unreasonable that any intelligent person trying to make sense of Greece’s recent maniacal antics is now desperately asking, “What is this, a banana republic?”

Well my friend, no, not exactly. This is a Baklava Republic.

Welcome to a country stuck in its own syrup. A place where a prime minister, Mr. Papandreou, calls for a public referendum on a bailout deal without even notifying the finance minister who has spent months negotiating the deal with the lenders and his fellow Greek ministers. A republic where one egomaniac, Antonis Samaras, can autocratically hold an entire terrified nation and trembling world markets hostage by refusing to sign an agreement- which he publicly says he agrees to.

Greece, a country which a year ago seemed centuries ahead of the Arab Spring is now regressing so quickly into the most hideous practices of Baklava Republics that any kind of spring for them seems light years away.

The Greeks have exasperated their supporters and all but exhausted even the EU, the stakeholder with maybe the most to lose from their demise. They have displayed such primitive responses to difficulties that no one in the global community really wants to deal with them anymore.

In one year, and particularly in the last month of unpredictable counter-productive episodes, the Greeks have virtually alienated themselves from the civilized world they themselves fathered centuries ago.

If you think that what Sarkozy and Obama said about Netanyahu while their microphones were on was bad, imagine what they and the EU and IMF might rightfully be saying about the Greeks. And note the Baklava parallels between the Greek and Israeli leadership, starting with a lack of transparency and ending with complete impossibility.

Since the debt crisis began, we have watched our beloved Greece, dizzy with fatigue and despair, teetering on the fulcrum of its future, leaning first northwest like an insecure sophomore posturing to fit in with the polished seniors of the EU.

Then suddenly like all people under stress, reverting to her primal training on how to survive. Swooning now east to circle around the Mediterranean tragically re-identifying herself with cousins from ancient civilizations that have made minimal progress in their development; Turkey, Iran, Iraq, Syria, Lebanon, Israel, Palestine, Jordan, Egypt, and even Libya.

These are the Baklava Republics, a continuum of countries related by variations on one pastry, characterized by a pathetic lack of process skills, rule of law as it serves individual agendas, leaders incapable and disinterested in self-regulation, and proud of their willingness to destroy any and everything in the name of defending their dignity.

A string of countries differentiating themselves from the rest of world with a combination of primary commitment to face-saving, a need to create drama, and a defiance of reality so insanely illogical and destructive that people world-wide see them as nuts.

Not sure whether a given country could be considered a Baklava Republic? Here’s a litmus test: Are the leaders instantly insulted by anything that can be construed as questioning their honesty or good intentions? Is their best defense acting as if they have been monumentally offended? Do they regularly elevate issues to fight or flight dramas?

From Samaras to Ahmadinejad, we see the masters of Baklava Republic tactics regularly enact a predictable but no less maddening three-act drama.

Act One: Outrage: A question about duplicitous behavior is met with incredulous anger; “You dare to question me?”

Act Two: Arrogance: “You have insulted me and anyone who would be so ill-mannered is so far beneath me that they are unworthy of my cooperation.”

Act Three: Threat: “I am a victim, rightfully volatile now because of your behavior. Either provide me a face-saving way to get out of this or I will sabotage this process, set fire to the whole country, commit mass invasions, and/or make my child a suicide martyr. It’s dignity or death.” (Additional Baklava Republic specialty: Add concocted conspiracy theory and implication that the alleged perpetrator is evil, sinful, or crazy to Act Two).

To read the whole article click here.

The run-up to the Greek economic crisis (Part 4)

This is the 4th part of Greek journalist Pavlos Papadopoulos’ article on the run-up to the current Greek economic crisis, published by “To Vima” newspaper (16/10/2011). The first part of the article is here, the second part is here and the third part is here.

“Neither Papandreou nor any of us believe in the Memorandum” says a Minister. “I’ll remind you that the Medium-Term Program was fifth in the row when discussed at the Cabinet, right after the legislation for companion dogs. The whole government is in denial”. This denial led to a blackmail, using the drachma. On Friday 6 May 2011 Papaconstantinou traveled to Luxembourg for a secret meeting with several powerful euro zone Finance Ministers, presided by the Eurogroup head, Jean Claude Juncker.

According to the most probable version the cause of that meeting was that, some days earlier, Papandreou had implied at a talk with German officials that the Memorandum’s policy and the German strictness on its implementation could make Greece return to the drachma. This indirect threat annoyed the Germans. It is alleged that Wolfgang Schaeuble himself leaked the information to Der Spiegel Magazine, which posted it in its web edition that Friday evening, after the closure of euro zone banks, in order to drag the Greek government into a disorderly retreat.

Despite the upheaval that was caused in Athens, Papandreou delayed for two hours (!) to allow the then government spokesman Giorgos Petalotis to issue a rudimentary rebuttal. He first wanted to learn the European partners’ reaction to the “Greek ultimatum”. The reaction was not a polite one. Papaconstantinou was attacked by Juncker and and Schaeuble, while Jean Claude Trichet left the meeting within a few minutes. The “Greek blackmail” collapsed but it inspired Schaeuble to examine the famous “Plan B”, which is a “euro zone without Greece”. Despite all these, the Greek demands for a new bailout program with decreased interest rates and a prolongation of the deadlines for loan repayments were accepted. It was exchanged with a deeper “domestic devaluation” (of prices and incomes) through a Medium-Term Program which almost led to the fall of the government.

George Papandreou with Dominique Strauss Kahn

Papandreou maintained a secret communication channel with Dominique Strauss Kahn, looking for a platform for IMF intervention in Europe. Within the Papandreou family the IMF is thought to be an organization with a positive impact around the world. Papandreou’s brother, Nikos Papandreou, who participates decisively in the administration of the country (though always in backstage), was a supporter of the recourse to the IMF. The Papandreous believed that an advanced “international” model of administration should be applied to Greece. They have underestimated the fact that IMF means submission.

The Pushkin Cafe in Moscow

While the prime ministerial mind was lying in Washington D.C., where the IMF headquarters are, Moscow brought Greece closer to… Tel Aviv. The first secret meeting between Papandreou and the Israeli PM, Benjamin Netanyahu, took place at the Russian capital’s Pushkin Café. Greece would provide Israel an alliance and the gateway it needed to push the Leviathan deposit’s natural gas towards Europe. The energy diplomacy with Israel (which couldn’t start paying off but in 5-10 years) was considered a basic component of the strategy for the avoidance of bankruptcy (!). So this is why time was passing by and the government was taking zero efficiency measures, the government’s staffing was carried out through open.gov (unless Nikos Papandreou was intervening in order to promote persons of his own influence into key-posts) and the Ministers were in a constant state of confusion when it came to strategy and responsibilities.

George Papandreou in Davos (January 2010 - photo by Reuters)

The real shock for the Prime Minister came at Davos, at the end of January 2010. “The Hungarian Prime Minister approached me and told me to take measures” Papandreou said to the Cabinet meeting that he called right after his return. “Things are different compared to how they were a month ago” added Papaconstantinou. The Social Democrat Hungarian Prime Minister, Ferenc Gyurcsany, had recent experience with the IMF and wanted to share it with Papandreou. Some time later, he would be defeated at the elections by the Right. After Davos, the atmosphere within the Greek government was like a funeral. They had realized that they “lost” the time. Likewise they also lost the banks. “For a long time they believed that the warnings from bankers were only about the banks’ interests” say sources from the banking sector. They were too late to realize that the state’s exclusion from the markets is accompanied by a similar exclusion of the banks, having as a result the postponing of lending to individuals and corporations which slows down the economic activity, spreads poverty and increases unemployment.

The European Mechanism which was presented in 25 March caused the markets’ attack to Greece instead of making them not to do so. Why would the markets lend a state when they can much more safely lend the Mechanism that would then lend the state? Greek bond yields skyrocketed in mid-April 2010. On Friday 23 April, the Prime Minister had a planned visit to the tiny island of Kastellorizo, which had to do with issues of regional development. During Wednesday and Thrusday before the trip the telephones in the Maximou Mansion and the Finance Ministry didn’t stop ringing. Heads of governments and Finance Ministers of big states were calling Papandreou and Papaconstantinou. They were demanding that Greece recourses to the Mechanism because the crisis was hitting bank trust towards their own countries jeopardizing their future.

“Are we going to cancel the trip to Kastellorizo?” Papandreou was asked by his associates. “Why should we cancel it? Life goes on” he replied and added “I will make the announcements from Kastellorizo”. The circumstances necessitated a purple tie. In a surreal scenery, with a small fishing boat sailing in the picturesque port, the Prime Minister called forth metaphors from the Odyssey.

He wasn’t wrong. The odyssey for Greece had just started and he was aware of it. This is why he avoided signing the Memorandum. He wanted to avoid an odyssey of an agreement which could chase him forever. The new “social contract” was signed only by Finance Minister Papaconstantinou. Probably the only Minister who really believed that the Memorandum could actually save Greece…

The Memorandum was signed only by George Papaconstantinou

End of Part 4 of 4.

The run-up to the Greek economic crisis (Part 3)

This is the 3rd part of Greek journalist Pavlos Papadopoulos’ article on the run-up to the current Greek economic crisis, published by “To Vima” newspaper (16/10/2011). The first part of the article is here and the second part is here.

“The Prime Minister regretted for not insisting to have the Memorandum voted by 180 MPs” says a Minister. This was a proposal that came from Mr. Venizelos and Mr. Pampoukis but the rest of the Cabinet members disagreed. Papandreou regretted for not adopting that proposal because, if he had done it and New Democracy wouldn’t vote for it, he could call for an early election. According to converging sources, Papandreou thought that the Memorandum couldn’t be implemented by a one-party government. This is not what he expected when he was counting on an “international solution” (see Part 2 for an explanation of the international solution).

The extraordinary political and social circumstances tested his psychological strength, his close associates were well aware of that. He was feeling trapped in power. In many occasions the men of his security team tried to prevent him from appearing in public which was something he could never think of. He gave considerable thought to the idea of calling an early election at the same time with the local elections in November 2010 but he hesitated once more due to the tight time constraints for the disbursement of the bailout installments.

On the morning of 15 June, the day the Medium-Term Program (the so-called Memorandum No2) was brought to the Greek Parliament, while the prime ministerial car was heading to the Maximou Mansion, some gathered citizens welcomed him with a rain of eggs (see video above). For Papandreou, that experience was decisive. He was personally hurt. He reckoned that the attack was an indisputable sign of destabilization, given the fact that at the same time in Syntagma riots were reaching a climax. When he arrived in his office he called Antonis Samaras. “The country is being dissolved. We must form a government of cooperation” he suggested. “The PM should be a third person” was the answer of New Democracy’s leader. “I have no problem” replied Papandreou with an emotionally charged voice and added “I will not become an obstacle to my country’s salvation”. For New Democracy it was a sudden “cold shower”. They didn’t want this development and they were not ready to govern. They leaked the information in order to provoke the expected reactions which would cancel the deal.

The Prime Minister’s associates called Nikos Papandreou who rushed to the Maximou Mansion and discussed with his brother. They were just the two of them for quite some time. Nobody knows what was discussed. People who know them insist that they are totally aligned politically and they always act after mutual consultation. According to some sources, the Andreas Papandreou’s second son also called Antonis Samaras, whom he knows personally through the friendship of the New Democracy leader with the Prime Minister. “If you form a government of cooperation, you’ll share the price” he allegedly said to Samaras. However, this specific information has not been officially confirmed.

While the drama of a soon-to-resign Prime Minister was evolving at the Maximou Mansion, the hesitant coup of Mr. Venizelos was unfolding at the Ministry of Defense. Already by Tuesday 14th of June, those who had visited the Minister of Defense were left with the impression that he was about to resign. An MP who visited him had the impression that the secretaries were collecting the Minister’s folders. Venizelos himself was implying in his discussions that he could even resign. Of course, he would never mention the word “resign”. “You tell me. What should I do?” was his meaningful question to his interlocutors. This stance inspired other PASOK MPs, as Paris Koukoulopoulos, Kostas Spiliopoulos, Nikos Salagiannis and Dimitris Lintzeris, who were promoting at the Parliament the idea of a government’s overthrow. This “rebellious atmosphere “ is said to have influenced PASOK MP Yannis Floridis who finally decided to resign irrespective of what the Venizelian wing would do. The day after Papandreou’s failure to form a government with Samaras, several MPs who were loyal to the Prime Minister were ordered to appear in front of tv cameras and remember the “ghost of Apostasy” (read more about the history of Apostasy/July events/Royal coup) in order to restrain the Venizelians’ attack. The 46-year-old ghost has once more served the Papandreou family. At the same time Papandreou proceeded to a government reshuffle and at 4am of the 17th of June, he appointed Venizelos to take the responsibility of the economy since, for the second time in two years, Lucas Papademos had declined to head the Ministry of Finance. A historic member of PASOK said for Venizelos: “An apostate in the morning, a vice-president in the evening”.

Greek Minister of Finance, Evangelos Venizelos

Venizelos was reassured by the Prime Minister that night that he could have as Deputy Minister the chairman of the National Bank of Greece, Vasilis Rapanos. However, instead of him, he got Pantelis Oikonomou who, as soon as he accepted the post, took all his speeches off his website. He was against the Memorandum in all of them. Another important point is that Venizelos demanded from the Prime Minister to strip Theodoros Pangalos from his responsibilities. He wanted to be the only vice-president in the government. The Prime Minister invented a “Solomon solution”: he formed a governmental commission without the participation of Pangalos. In that way, Venizelos was “first vice-president”. Thanks to his special political weight, his popularity and his rhetorical prowess, he “passed” the Medium-Term Program from the Parliament. Even if that was partly because he “checked” the intra-PASOK dissident MPs who he himself controls.

The “first vice-president” accepted the Ministry of Finance because he estimated that the Prime Minister would later be obliged to call for elections in which PASOK would be defeated and thus he would substitute Papandreou as the party leader. “I know that Evangelos wants elections but I won’t do him the favor” Papandreou is said to have commented to one of his associates during the summer. Most Ministers in their personal discussions they accuse Venizelos of postponing the implementation of the Medium-Term Program’s commitments while waiting for elections. With the possibility of having him as their leader in the near future though, they are very careful in their public statements. When, on the 2nd of September 2011, the troika demanded the immediate implementation of the reforms, Venizelos unexpectedly suspended the negotiations. The heads of the troika left Athens within a few hours.

The troika’s embargo against Greece lasted for 27 days. The delay of the bailout’s sixth installment was in no way agreed and the responsibility for bringing the state on the verge of a domestic cessation of payments lies completely to the Minister of Finance. Highly respected European sources say that the deviation from the agreed commitments has overthrown the, generous for Greece, deal of 21 July. The new negotiation, with an uncertain and (probably) worse outcome, is under way. According to Greek and foreign officials, Greece has been ostracized from that deal. Two years after PASOK’s election victory, the improvisations are continued and the uncertainty keeps intensifying…

End of Part 3 of 4 – to read the fourth part click here.