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December 16, 2001 Venezuela's Chavez Threatens to Nationalize Banks [Full text] CARACAS, Venezuela (AP) - President Hugo Chavez threatened on Saturday to nationalize banks that fail to observe legislation requiring them to lend at least 15 percent of their loan portfolio to small farmers. ``We can nationalize any bank that does not observe the law,'' Chavez said in a speech in Venezuela's National Assembly. ``Not only can we nationalize any bank, any banker that does not abide by the law could go to jail.''

Last month, Chavez' government used ``fast-track'' legislative powers to decree 49 laws affecting industries from oil to agriculture. Under the new legislation, banks must lend at least 15 percent, rather than the previous 8 percent, of their portfolios to poor farmers in need of credit.

Another contentious law opens the way for the expropriation of ``idle'' farmlands and the distribution of small plots to farmers.

Chavez made the statements during a ceremony to commemorate the second anniversary of the approval of the new constitution.

To protest the laws, Fedecameras, the country's leading association of businesses, brought Venezuela to a virtual halt with a one-day nationwide strike earlier this week. It is also challenging the laws in Venezuela's highest court and pushing for amendments in the legislature. Business groups fear the Land Law violates the right to private property and will scare off investors. Some bankers have said they would rather pay a fine for disregarding the new laws than provide more loans.

It was not immediately clear how much banks could be fined for ignoring the laws. Chavez, a leftist former paratrooper, claims the package of laws will consolidate his so-called ``revolution'' aimed at bringing social justice to Venezuela's poor majority. [End]


Mon Dec 9, 2:45 PM ET A porter passes under a flight board which display all local fights canceled at Simon Bolivar airport in Caracas, Venezuela, Monday, Dec. 9, 2002. Pressure increased on President Hugo Chavez Monday to call elections as some customs and tax agents joined an opposition strike that disrupted domestic flights, sparked long lines at gas stations and choked Venezuela's biggest source of income, oil. (AP Photo/Marcelo Hernande)

Hugo Chavez - Venezuela

1 posted on 12/10/2002 12:34:56 AM PST by Cincinatus' Wife
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To: Cincinatus' Wife
Chavez has to go. If he doesn't, a full blown communist regime will form after the hardening that will be caused by this revolution and strike. Now or never for freedom in Venzuela.
2 posted on 12/10/2002 2:33:21 AM PST by meenie
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To: Cincinatus' Wife
The Next Africa?

http://www.freerepublic.com/focus/news/803883/posts
6 posted on 12/10/2002 3:30:32 AM PST by backhoe
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