GUL RECEIVES PALESTINIAN FOREIGN MINISTER SHAATH
Foreign Minister Abdullah Gul yesterday received his visiting Palestinian counterpart Nabil Shaath to discuss a number of issues. Speaking afterwards, Gul said that they had discussed the Israeli-Palestinian dispute and possible ways to resolve it. “We also exchanged views on the road map presented in recent months to reach a resolution in the region,” said Gul. For his part, Shaath praised Turkey as a strong country in the Middle Eastern region, adding that he hoped economic ties between Turkey and Palestine could be strengthened. In related news, Gul confirmed yesterday that he would visit the United States on next Thursday. /Turkiye/

DENKTAS: “I MAY OPEN UP MARAS TO GREEK CYPRIOT SETTLEMENT”
Turkish Republic of Northern Cyprus (TRNC) President Rauf Denktas signalled yesterday that in a further gesture of conciliation, he could open up the TRNC’s Maras military zone to Greek Cypriot settlement. Greek Cypriots, whom we are “ready to accept as neighbors,” could repair their former residences in the Maras (Varosha/Famagusta) eastern coastal area, said Denktas. He added, however, that he had yet to make a final decision on the matter, saying he would first consult with his colleagues. Last week Denktas proposed opening Maras in return for TRNC access to the Greek Cypriot Lefkosa (Nicosia) airport, but he made no mention of that proposed deal yesterday. /Aksam/

PEARSON: “I WISH SULAIMANIYAH HAD NEVER HAPPENED”
US Ambassador to Ankara Robert Pearson yesterday expressed regret over an incident earlier this month in which US forces detained 11 Turkish soldiers in Sulaimaniyah, northern Iraq. “I wish the Sulaimaniyah incident had never happened,” Pearson told the Turkish-US Business Council at a banquet. Relations between Ankara and Washington are like a ship that has set sail, and nothing will block its steady course, added Pearson, whose tenure as ambassador is due to end soon. /Milliyet/

BABACAN: “APPRECIATION OF THE TURKISH LIRA SHOWS THE PEOPLE’S CONFIDENCE IN IT”
The recent great gains in the value of the Turkish lira against other currencies show the nation’s trust in Turkish money, said State Minister for the Economy Ali Babacan yesterday. Babacan made the remarks in Ankara, where he was listening to a group of tradesmen voice their concerns over the lira’s recent appreciation. Speaking alongside International Monetary Fund Turkey Desk Chief Riza Moghadam, who accompanied him on his visit to the group, Babacan said that Turkey’s floating exchange rate precluded intervention in the lira. Asked about the fifth review of the nation’s IMF-supported economic program, Babacan stated that it would be completed in a few days, but declined to give further details. The upcoming sixth review has reportedly been postponed to this fall. Babacan added that problems of the real sector needed to be resolved in order to ensure further economic development. /Turkiye/

BOUCHER: “BOTH THE US AND TURKEY REGRET THE UNFORTUNATE SULAYMANIYAH INCIDENT”
The detention of 11 Turkish special forces by US troops in Sulaymaniyah earlier this month was an “unfortunate incident,” and both the US and Turkey have expressed regret over it, US State Department spokesman Richard Boucher told reporters yesterday. Asked whether the US felt any “guilt” for the incident, as the statement released Tuesday by the General Staff on behalf of the Turkish-US joint inquiry did not include any US apology, Boucher replied, “The statement expresses the joint [US-Turkish] conclusions, sentiments, feelings, thoughts and the joint appraisal of the situation.” He also quoted from the English text of the statement: “The US had noted Turkish concerns about American treatment of Turkish military personnel during the detention, and the Turkish side had noted US concerns about reported activities of Turkish personnel in northern Iraq.” Perhaps alluding to new committees to help resolve Turkish-US differences in the incident’s wake, Boucher later said, “We have worked out with Turkey ways of dealing with any issue that might arise [over northern Iraq] … we recognize the importance and sensitivity of Turkey … If there is something the Turks want to raise with us about what’s going on in northern Iraq, I am sure they will through the appropriate channels.” Boucher also confirmed that Foreign Minister Abdullah Gul was expected to visit Washington next Thursday and meet with Secretary of State Colin Powell. /Hurriyet, http://www.state.gov /

PARLIAMENT’S INTERNAL AFFAIRS COMMISSION APPROVES REPENTANCE DRAFT LAW FOR PKK/KADEK MILITANTS
Parliament’s Internal Affairs Commission yesterday approved a repentance draft law designed to encourage militants of the terrorist group PKK/KADEK to lay down their arms. The terrorist group is still believed to have an estimated 5,000 trained fighters in and around Turkey, especially in now US-controlled northern Iraq. Commenting on the repentance law, Justice Minister Abdulkadir Aksu said the draft was not an “amnesty” law, adding that under the law militants who renounce their cause and surrender would be granted reduced prison sentences in line with their degree of involvement in terrorist activities. Aksu stressed however that convicted terrorist leader Abdullah Ocalan and other high-level militants of the group would not be eligible for the new law. /Cumhuriyet/

TURKMEN PROTEST EXCLUSION FROM IRAQ’S US-APPOINTED GOVERNING COUNCIL
Iraqi Turkmen Front (ITF) leader Sanan Ahmet Aga protested yesterday the US failure to appoint any ITF representatives to Iraq’s new interim Governing Council, calling the exclusion of the Turkmen, the country’s third-largest ethnic group, “completely unacceptable.” Aga stated that to date the ITF had participated in all meetings of the Iraqi opposition groups, adding that it deserved at least three seats on the council. “There are over 3 million Turkmen in Iraq,” said Aga. “The US must immediately reverse its unfair treatment of our people.” /Cumhuriyet/

FOURTH TURKISH TEXTILE FAIR OPENS IN NEW YORK
The Fourth Turkish Textile Products Fair opened yesterday in New York City. On the first day of the event, over 1,000 US prospective companies came to see the Turkish producers’ wares. /Cumhuriyet/

JUDICIAL RECESS TO BEGIN TOMORROW
Turkey’s courts are due tomorrow to begin their summer judicial recess. Special courts will be available to hear urgent cases, while others will be heard after Sept. 8, when the new judicial year begins. /Anatolia News Agency/