ACCESSION NUMBER:00000
FILE ID:96032501.txt
DATE:03/25/96
TITLE:25-03-96  WHITE HOUSE REPORT, MONDAY, MARCH 25

TEXT:
(China ties, DeVine/Bamaca deaths, spending bills, tobacco)  (750)

NEWS BRIEFING -- Press Secretary Mike McCurry covered these topics:

SINO-AMERICAN AGENDA CITED

McCurry disagreed with a questioner's use of the word "crisis" to
describe recent events linking the Taiwanese presidential election and
Beijing's extended military exercises in the Taiwan Strait; he said
the proper word is "tension." Beyond that, he suggested the two
countries are marking time on nonproliferation, trade and human
rights.

President Clinton, asked at a separate photo opportunity if tensions
over Taiwan are subsiding, told reporters he is "encouraged by some
statements that came out of both sides in the aftermath of the
election." He added his "hope" that tension will ease.

McCurry said differences between the United States and the People's
Republic remain as the two sides "work through a very difficult and
important agenda in what is arguably one of the most important
relationships we have in the world. The important thing is how
effectively we manage the differences and manage them peacefully."

He pointed out Beijing's apparent desire to cooperate in that view,
noting that the Chinese foreign minister, Qin Qichen, has "very
graciously" adjusted his schedule to accommodate Secretary of State
Warren Christopher's need to be in Moscow for the Clinton summit
meeting with Russian President Boris Yeltsin. Christopher and Qin are
to meet in The Hague next month for one of their periodic explorations
of ties.

McCurry said the U.S. delegation on proliferation issues has returned
from Beijing and will be making its report to senior policy makers
later in the week. Meanwhile, the Export-Import Bank, which froze
consideration of new loan applications at Christopher's request last
month, has said it has no plan to accept new applications until the
proliferation issue -- involving Chinese supply of nuclear technology
to Pakistan -- is resolved.

He told a questioner the administration is "concerned" by China's
announced intention to disband Hong Kong's elected legislature and
replace it with appointed officials. He said Hong Kong has been on the
bilateral agenda for some time, adding the administration hopes
Beijing "will seek ways to demonstrate its commitment to Hong Kong's
high degree of autonomy as we approach July 1, 1997. Stable governing
structures are going to be critical to Hong Kong's long-term future."
He said Beijing's actions will be "critical to the nature of the
transition that will take place" when Great Britain's long-term lease
expires.

GUATEMALAN REPORT COMING

McCurry said the Intelligence Oversight Board "is very much in the
final stages" of its investigation into the murder of an American
citizen in Guatemala in 1990, and the execution of a Guatemalan
guerrilla leader married to a U.S. lawyer. The press secretary added
that there are "a few matters outstanding" on which further data is
being sought. He said the report will come in the first half of the
year, but would not be more specific.

The "New York Times" reported March 24 investigators have determined
that two Guatemalan presidents as well as defense officials covered up
details of the two deaths, which it said were ordered by a Guatemalan
colonel on the payroll of the Central Intelligence Agency. Presidents
Vinicio Cerezo and Jorge Serrano helped to keep information about the
death of Michael DeVine from U.S. officials, "The Times" said, adding
Serrano was involved in a high-level meeting which tolerated the 1992
death of Efraim Bamaca, who was married to Jennifer Harbury; Harbury
staged several hunger strikes to gain information about the case.

SPENDING ARGUMENT CONTINUES

McCurry charged Congress with the "de facto, slow motion shut-down" of
the government through its practice of passing continuing resolutions
(CRs) for departments and agencies without regular appropriations
bills for fiscal year 1996. With the CRs restricting spending to
roughly 75 per cent of likley appropriations totals, McCurry pointed
out, many programs are stifled for lack of funds, making for
inefficient government. He said discussions at the staff level on the
remaining spending bills continue.

CLINTON SLAMS YOUTH SMOKING

The president told about 40 state attorneys general that smoking "is
the most serious public health problem that our young people face,"
and he urged them to implement curbs on cigarette vending machines and
in other ways discourage sale of tobacco to minors. "We believe we
must act much more strongly to make cigarettes less accessible and to
make children less subject to the lures of advertising," Clinton said.
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