Sanctions sought against Noriega

Press, 5 March 1988, Page 10

Sanctions sought against Noriega

NZPA-Reuter Washington The United States Congress is pressing the Reagan Administration to take further steps to create a financial crisis for Panama that could topple the military leader, General Manuel Antonio Noriega. Six senators introduced legislation yesterday to impose a two-way trade embargo which would ban Panamanian exports into the United States and prevent American companies from exporting goods to Panama.

The legislation also called for a ban on bank transfers and the revocation of Panamanian air rights.

The Massachusetts Democrat, John Kerry, told reporters that most! j sanctions could be im-' posed unilaterally by the : White House and admitted “no one would be happier” than the sponsors of I

the bill if the Administration were to take action on its own.

But he said the Administration had been giving “mixed messages” on Panama. The United States cut aid to Panama last year and suspended the country’s sugar quota. On Wednesday, the State Department cancelled credentials for Panamanian diplomats in the United States who remain pledged to General Noriega.

Yesterday, it announced it had acted to bar General Noriega from obtaining millions of dollars in Panamanian accounts by telling American banks that an Ambassador loyal to the deposed President Eric Arturo Delvalle, and not General Noriega, had authority over the assets. Washington recognises Mr Delvalle as the country’s legitimate leader.