Moscoso backs down on lawsuit over Chen claim

Former Panamanian president Mireya Moscoso on Friday told Taiwan's ambassador in Panama that she had changed her mind and would not sue two People First Party (PFP) lawmakers and a pan-blue media mogul for defamation.

PFP caucus whip Liu Wen-hsiung (劉文雄) and PFP Legislator Tsai Chung-han (蔡中涵) on Wednesday held a news conference and alleged that President Chen Shui-bian (陳水扁) had presented a check of US$1 million to Moscoso as a birthday gift and as a "settlement fee" for Chen's "improper dealings," possibly referring to sexual harassment.

Liu and Tsai said their allegation was based on comments made by UFO Radio chairman Jaw Shaw-kong (趙少康) on his radio program.

The former Panamanian pres-ident was furious after receiving a phone call from former Panamanian minister of foreign affairs Harmodio Arias about the allegations, and said at the time that she would sue the lawmakers and Jaw for damaging her reputation.

But on Friday Moscoso, through Arias, told Taiwan's ambassador to Panama David Hu (胡正堯) that she had decided not to sue and would instead issue a written statement under oath to rebut the claims that had been made. The declaration was to be sent to Taiwan's Ministry of Foreign Affairs.

The ambassador also said Arias had told him that after consulting with her lawyer, Moscoso found it would be impractical for her to sue the lawmakers from Panama.

Hu said that on behalf of Chen and Taiwan's government, he had asked Arias to convey his regret to Moscoso that the unsubstantiated allegations had been aired.

Liu yesterday was low key when asked for comment on Moscoso's decision not to sue him.

Insisting that he "didn't really say negative things" about Moscoso, Liu said that "Chen would stop making excessive explanations and obscuring the main issues."

"We should carefully review our diplomatic budget and stop creating problems for our allies," said Liu, who along with Tsai and Jaw were sued by Chen on Thursday for defamation over the allegations.

Instead of seeking financial compensation if the court finds for him, Chen asked that the verdict be published and that the three men apologize in Chinese-language newspapers for three consecutive days.

Unlike Liu, Jaw yesterday remained adamant he would sue Chen in return if Chen did not say within two days who was being referred to when quoting a verse on Thursday that mentioned "devils."

"Now that you [Chen] have sued me, I will not back down and I will take you on to the very end," Jaw said while campaigning for New Party legislative candidate Lai Shih-pao (賴世葆) in Taipei.

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