European Stars and Stripes (Newspaper) - September 25, 1985, Darmstadt, Hesse                                Wednesday september 25, 1985 the stars and stripes Page 9 French defense chief linked to ship s sinking May have Given order to neutralize Rainbow Warrior paper says piracy. New zealand .uthorilic1. Have Bee Paris a a French newspaper said tuesday that Charles Herne the de sense minister who resigned Over revelations that French spies Sank the Rainbow War rior May have Given a verbal order to neutralize the Greenpeace ship. The respected be Monde newspaper said the alleged order apparently was made without the knowledge of president fran Cois Mitterrand or Premier Laurent Fabius. Be Monde reported that the order was Given on the political level by or. A Cru himself responding to a pressing demand of adm. Henri pages who at the time headed the French nuclear testing Center at muru Roa. The article in be Monde which a led the French Prejs with revelations about the Greenpeace affair quoted Bernard Tricot the civil servant who furnished the govern ment s initial report on the affair As saying  Monde s scenario was possible. The front Page article in  Monde came under a headline Reading who gave the order to neutralize the flagship of Green peace july 10 in the port of Auckland the article said that the army s chief of staff at that time Cannou Lacaze and Gen. Jean Saulnick the chief of staff at the presidential Elysee Palace were kept in formed but the Premier and the president of the Republic were not informed on sunday Fabius admitted that French spies had mined and sunk the Rainbow Warrior on july 10 in the Harbor at auck land new zealand before it set off on a Mission to Survey France s nuclear testing site at muru Roa atoll. A photographer was killed in the attack. The article said there Wras no written order to sink the Rainbow Warrior and that the Oral order itself docs not forcibly imply the technical translation Given to it by the dose the general directorate for Exter Nal Security the spy Agency involved in the sinking. Technical translation is a reference to the sinking of the boat. Tricot s report aug. 26 revealed that five agents were in new zealand on a surveil Lance Mission but cleared France of any involvement in the sinking. Two French spies Are awaiting trial in Auckland on charges of murder and con seeking the extradition from France of three other secret agents. I c Monde revealed last week that a third team actually had carried out the sinking and the news Magazine express identified by name the team members. Herne who has consistently denied that he ordered the Rainbow Warrior s sinking resigned Friday. The head of the dose adm. Pierre Lacostic was tired following the revelation. In a related development tuesday in new zealand state owned television re ported that the two jailed French agent May be released As part of an agreement Between France and new zealand. From Palace to preschool three year old Prince William the son of Prince Charles and Princess Diana is greeted tuesday by Jane Mynor outside the kindergarten she runs in her London borne. Minors school is in netting Hill a five minute drive from Kensington Palace. It occupies three basement rooms and has eight teachers and 36 children. William b the first heir to the British throne to attend a private kindergarten. Mercouri says Greece cannot be anti american Washington a greek minister of culture Molina Mercouri took Issue with american conservatives monday maintaining that Greece is not anti american and urging More cultural exchanges Between the two countries. We arc not. We cannot and we never will be anti  said Mercouri who labelled such charges dangerous  Mercouri formerly an actress who starred in the mov c never on sunday said she wants to hold a month of America cultural Exchange in Greece next year involving the Best that America produces in Art music and poet  Mircouri said she had received no invitation from the White House to Confer with president Reagan also a former actor. I Don t know if we have Many things to discuss about films but i think we have Many things to discuss about greek american  she said. She said greek Premier Andreas Papandreou would visit the United states in three weeks for ceremonies commemorating the United nations0th birthday. Stavros Frangoqoulos a greek embassy spokesman said there arc no plans for Papandreou to meet Reagan. Relations Between the two nato countries have been strained since 1983, when an agreement was signed allow ing Greece to close four american military bases in 1988. The . Military has four main bases in Greece along with a dozen smaller communications facilities. Papandreou has publicly slated his intention to close the american bases but state department officials have said such intentions were not communicated through Normal diplomatic channels and they hold out Hopes that the Premier s statements were designed primarily for Domestic political consumption. The officials said the base agreement with Greece was the same As with other countries and could be extended by Mutual agreement. Report examines effects of devalued Dollar German ministry foresees cheaper . Imports Bonn a a gradual Dolla devaluation should Lead to cheaper imports from the United Stales As Well As a reduced How of european capital into american Banks the German economics ministry said tues  a study of effects of the decision by five Industrial nations sunday to bring Down the Dollar s value the ministry said the move should encourage lower interest rates outside the United states. But the report ordered by economics minister Martin bang Mann warned that the . Budget deficit threatened to spoil the picture by keeping . Interest rates High and thus counteracting the Down Ward trend of interest rates elsewhere. In View of the capital needed in the .a. To finance its deficit the danger of climbing interest rates remains the report said. Completely decoupling German interest rates from the . Interest rates is not possible it observed. Former economics minister Otto Lamsdorff echoed the same concern tues Day in a radio interview. He said the . Budget deficit is the focal Point of the  when the american budget deficit is reduced then interest rates and the Dollar course will sink Lamsdorff told the co Logne based deutschland Funk radio. Lamsdorff said the planned drive to bring Down the Dollar agreed to sunday in new York by ministers and Central Bankers from the United states France Germany Japan and Britain is Only a cosmetic a  both Lamsdorff and Bangemann Are members of the free democratic party the Junior coalition partner in the government of Chancellor Helmut Kohl. Bangemann s report said the decision to drive the Dollar lower could Lead to cheaper . Imports especially crude Oil raw materials and textiles. It could also help Stabi Lize prices the report said. But it also could Lead to increased com petition from . Products on International markets the report noted. A sinking Dollar and declining imports into the United states will also reduce pres sures from within America for protectionist measures against imports the report said. Bangemann s study said Germany s Economy is Well prepared to Deal with a declining flow of exports to the United states. Only about 10 percent of All Ger Man exports goes to America while about 60 percent of the exports goes to european countries it said. Finance minister Gerhard Stoltenberg monday praised the . Agreement to intervene to bring Down the Dollar saying it was a praiseworthy step  but editorial comment tuesday in Ger Man newspapers was cautious to sceptical. This was a decision made five minutes before Midnight the conservative Frank Furter All Gemeiner said. In the last weeks new insecurity has spread through the financial markets along with the concern that fatal developments could take place. The most important result of the meet ing of five remains the readiness of the Large Industrial countries above All Ameri Ca not to let things Jet worse and to work together the new Sapir said in a front Page editorial