[speaking of the FTAA]

Bolivia's President Halts Controversial Gas Project
Strike Paralyzes Capital as Protests Spread

By Carlos Valdes
Associated Press
Tuesday, October 14, 2003; Page A16


LA PAZ, Bolivia, Oct. 13 -- Bolivia's president suspended on Monday a
controversial project to export natural gas through Chile to the United
States, hoping to defuse weeks of widening anti-government protests in
which about 40 people have been killed.

Despite the decision, thousands of demonstrators took to the streets and a
public transportation strike virtually paralyzed the capital.

President Gonzalo Sanchez de Lozada also faced criticism from his vice
president over the use of deadly force against the protesters.

"I cannot continue to support the situation we are living," Vice President
Carlos Mesa said, urging the president to change his policies. But Mesa
said he would not resign.

Another senior official, Development Minister Jorge Torres, did resign,
citing "insurmountable differences" with the president.

As calls mounted for Sanchez de Lozada's resignation, the embattled
president addressed the nation on radio and television after meeting with
top advisers and military leaders.

Sanchez de Lozada vowed "to defeat the sedition and restore order," and
called the massive protests "a plot encouraged from abroad aimed at
destroying Bolivia and staining our democracy with blood."

As the president spoke, marches and sporadic clashes continued in La Paz.
Witnesses said demonstrators threw rocks at the residence of former
president Jaime Paz Zamora, a close associate of Sanchez de Lozada's. The
presidential palace remained under heavy military guard.

For the most part, however, the marches appeared peaceful. Radio stations
urged soldiers and police to use restraint.

Protesters were reportedly blocking roads in several parts of the country.
During protests in El Alto, a La Paz suburb of 750,000 people, soldiers
killed at least five demonstrators, according to witnesses. The government
had earlier reported 11 deaths in El Alto. The government declared martial
law, sending soldiers with automatic weapons to patrol the streets.

In La Paz, many shops, banks and offices were closed as opposition leaders
called for the president's resignation.

"We will not stop until he goes away," said Roberto de la Cruz, a union
leader in El Alto.

Protest leader and former presidential candidate Evo Morales said Sanchez
de Lozada's resignation was "the only political solution to this crisis."

The president's decision to shelve the gas plan "is not enough for the
Bolivian people," Morales, a member of congress, told Chile's Radio
Cooperativa. "What the Bolivian people want is that the gas remain in
Bolivia, for the benefit of Bolivians."

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