Monday, Sep. 25, 1989

Greece Out of Office, Into the Dock?

In classical Greece the elected magistrates of Athens, called Archons, held secret ballots to banish leaders when they were accused of serious transgressions. Last week a similar process began in the Greek parliament after two government commissions recommended that criminal charges be brought against former Prime Minister Andreas Papandreou. The panels accused Papandreou of complicity in the Bank of Crete scandal and of ordering illegal wiretaps. Parliament is expected to refer the charges to a special criminal court.

The Bank of Crete scandal involves allegations by the bank's owner, George Koskotas, that he systematically looted the Athens-based institution of some $210 million, and then distributed much of the money to high-ranking members of the Socialist Party (PASOK), including the Prime Minister. The commission said it found enough corroboration of Koskotas' charges, which he first made publicly in exclusive interviews with TIME last March,* to recommend prosecution of Papandreou for bribe taking and receiving stolen money.

Vyron Polydoras, the secretary of the commission investigating the Koskotas charges, told TIME that while the case is not open and shut, "events point to Papandreou." The PASOK members on the commission had a different assessment. They issued a minority report saying the evidence was insufficient and "fabricated." Papandreou denounced the charges as a "settling of personal and political accounts" by the conservative-leftist coalition government that took office in July.

Papandreou was also accused by a second commission of running an extensive wiretapping operation out of the headquarters of the Greek secret service. According to the report, he routinely snooped on political opponents, journalists, even members of his own Cabinet.

FOOTNOTE: *Denying the accusations, Papandreou has filed a libel suit against TIME in a London court.