CNN
15 September 1998
 
Ex-Venezuelan leader warns of coup risks

                   CARACAS, Sept 15 (Reuters) - Former Venezuelan President Carlos
                  Andres Perez believes a military coup could topple his country's democracy
                  before December's presidential election, with an ex-paratrooper who once
                  tried to oust Perez leading in opinion polls.

                  "Discipline and hierarchy among the armed forces ... are completely upside
                  down. This is very serious and anything could happen, any time, including a
                  coup before the elections," the former head of state told Reuters in an
                  interview late Monday.

                  Perez himself faced two coup attempts in 1992, with the first one, in
                  February, led by now presidential front-runner Hugo Chavez. The first Latin
                  American leader to be convicted of corruption, Perez, 75, was forced out of
                  office in May 1993 seven months before completing his second term.

                  In the interview granted at the central Caracas flat where he is under house
                  arrest on new charges of embezzling state funds, Perez accused President
                  Rafael Caldera of nepotism with his appointment of his son-in-law, Gen.
                  Ruben Rojas, as army chief.

                  Perez said the June appointment, which deviated from the norms of military
                  promotions, put Rojas "practically above the defence minister," raising
                  concern among high-ranking military officials. He offered no concrete
                  examples.

                  In a speech earlier this month -- and in a clear reference to Chavez -- Rojas
                  said the army did "not back those who rose in arms against the Republic."

                  His comments raised eyebrows in political circles with allies of Chavez
                  seeing the remarks as a veiled threat and a clear interference in the electoral
                  process.

                  Perez, who was one of Latin America's most colourful and widely
                  recognised leaders, said risks of a coup were real because in the armed
                  forces "there are those who try to prevent Chavez from reaching the
                  presidency and those who are with him."

                  Chavez has a comfortable lead in opinion polls ahead of the Dec. 6
                  presidential vote. The rise of the former paratrooper, whose populist
                  message and anti-establishment slant worries foreign investors, has coincided
                  with a deepening economic crisis in Venezuela.

                  Chavez, 44, spent two years in jail and was pardoned by Caldera, a move
                  that Perez called "an unforgivable crime."

                  The former president himself was placed under house arrest in April for the
                  second time in four years on charges that he and a female companion
                  funnelled public funds into joint bank accounts in the United States.

                  Although barred from moving around the country freely, Perez still wields
                  considerable political influence. He has formed a new political party and is a
                  candidate for senator in his native Tachira state in the Nov. 8 legislative
                  elections.

                  The former president said a Chavez victory was a foregone conclusion
                  "given the popular backing of the Chavez phenomenon which anybody can
                  see in the streets."

                  He cautioned the retired military officer was trying to win in the ballot box
                  what he had failed to obtain by force, and that his shaky democratic
                  credentials showed he would likely trample constitutional rules.

                  ((-- Caracas newsroom, 582 505 2600, fax 582 861 3621,
                  caracas.newsroom+reuters.com))

                  Copyright 1998 Reuters Limited.