ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Thursday, December 19, 1996 TAG: 9612190073
SECTION: NATIONAL/INTERNATIONAL PAGE: A-1 EDITION: METRO
DATELINE: LIMA, PERU
SOURCE: Associated Press
Ringed by army sharpshooters on rooftops, leftist rebels tested Peru's nerves Wednesday with a vow to start the one-by-one killing of hundreds of diplomats and other VIPs held hostage. But they let their deadline pass as negotiations went on.
The dramatic standoff at the Japanese ambassador's residence moved into a second night, with the Tupac Amaru rebels insisting on freedom for 300 imprisoned comrades, changes in government policy, and money and safe passage to the jungle for the hostage-takers.
The rebels, who infiltrated a Tuesday night party dressed as waiters and seized the guests, said at noon Wednesday they were going to start killing hostages within 20 minutes and had picked the first victim: Peru's foreign minister, Francisco Tudela.
The deadline passed, and there was no sign that any killings had occurred. The hostages had been divided into groups and put in separate rooms, each guarded by guerrillas with hand grenades.
Rebel commander Emilio Huertas released four more hostages late Wednesday afternoon- the ambassadors of Canada, Greece and Germany and a Peruvian official.
At the same time, Huertas told a Lima television station, ``We can't wait any longer.''
The rebel attack presented an excruciating choice for President Alberto Fujimori, who has cracked down on guerrilla violence to reduce the threat of terrorism and attract foreign investment, especially by the Japanese.
Allowing the occupation to continue or caving in to rebel demands would undermine his tough anti-guerrilla policy. But strong action against the occupiers would go directly against Japanese calls to put the safety of the hostages first. The embassy is Japanese territory, and Fujimori would technically need Japanese permission to send in troops.
Huertas demanded that Fujimori speak with the rebels, who said they were holding 490 people. About 170 were released early in the standoff.
Soldiers and police surrounded the compound, which covers an entire block and sits behind a 15-foot concrete wall topped by a 10-foot electrical fence. Police sharpshooters patrolled nearby roofs.
One of the ambassadors released Wednesday, Heribert Woeckel of Germany, said they were freed to bolster communication between the guerrillas and the government.
``We have been released to serve as a contact and bridge with the Peruvian government and look for a negotiated solution that will put an end to the hostage situation,'' Woeckel said.
The other freed ambassadors were Anthony Vincent of Canada and Alkiviades Karokis of Greece. The Peruvian was identified as Armando Lecaros, director of the bilateral policy for the ministry.
Those who remained hostages included at least a dozen ambassadors from countries such as Japan, Brazil, Cuba, South Korea, Austria and Venezuela. Peru's foreign and agriculture ministers, six legislators, the president of the Supreme Court and dozens of Japanese business people also were inside. U.S. Ambassador Dennis Jett and his deputy left the reception about a half-hour before the assault.
An American woman who was released said her husband and six other Americans were inside. She asked not to be identified. The U.S. Embassy reported four of the Americans worked for the U.S. Agency for International Development.
Twenty-three rebels entered the compound at the start of a reception Tuesday night honoring Japanese Emperor Akihito's birthday. They set off explosions and exchanged gunfire with police for almost an hour. Two hostages and a rebel were reported wounded.
Among those released earlier were Fujimori's mother and sister.
The Red Cross representative, Michel Minnig, was allowed to enter the compound Wednesday morning to mediate between the rebels and authorities. Later in the day, other Red Cross officials brought water, bread and cheese into the residence at the request of the rebels. They also carried in a portable X-ray machine, presumably to assist those reported wounded in the compound.
LENGTH: Medium: 80 lines ILLUSTRATION: PHOTO: AP. Michael Minnig, chief of the Red Cross in Peru,by CNBcarries medicine Wednesday for the hostages. color.