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22 June 2000 - AP

PHILIPPINE REBELS REUNITE HOSTAGES

By OLIVER TEVES, Associated Press Writer

MANILA, Philippines (AP) - Muslim rebels have reunited their 21 hostages in the southern Philippines, nearly two weeks after separating them because of fears of a military rescue attempt, the government's chief negotiator said Wednesday.

``We just got the report that they have regrouped the hostages,'' Robert Aventajado said.

He said the captives are under the control of two Abu Sayyaf rebel commanders at a mountain hide-out on Jolo island.

The rebels seized the captives - three Germans, two French, two Finns, two South Africans, a Lebanese, nine Malaysians and two Filipinos - from a Malaysian resort near Jolo on April 23.

The rebels moved the Western hostages to another location 13 days ago, leaving the Asian captives at a jungle camp in Talipao.

The move came after Aventajado said the government had not ruled out a military rescue if talks with the rebels failed. The rebels also demanded Aventajado be removed as chief negotiator.

Aventajado later clarified his remarks, saying the negotiators were not advocating any military action. On Saturday the rebels agreed to continue dealing with him.

Official negotiations remain suspended as part of a ``cooling off period'' declared by the government after the rebel demands began escalating, Aventajado said.

Presidential Executive Secretary Ronaldo Zamora has said the rebels are demanding at least $1 million for each captive.

Talks between the government and the rebels have focused so far on the guerrillas' political demands, including a separate Islamic state in the southern Philippines. Aventajado has often reiterated the government's policy of not paying ransom to kidnappers.

The rebels also are demanding the protection of traditional fishing grounds from large trawlers, many of which are foreign-owned, and the formation of a commission to examine the problems of Filipino Muslims living in neighboring Malaysia.

The Abu Sayyaf is the smaller but more radical of two Muslim secessionist groups fighting for a homeland in the southern Philippines.

The larger group, the Moro Islamic Liberation Front, has indefinitely postponed peace talks scheduled to resume June 28 because of a military offensive against their forces. The rebels say the attack hampered their efforts to consult members on a proposed political settlement offered by the government.

Armed forces vice chief of staff Lt. Gen. Jose Calimlim has accused the rebels of stalling the talks to gain time to rearm after a series of battle setbacks.

President Joseph Estrada said Wednesday he will extend a June 30 deadline for a peace deal only if the rebels abandon the goal of seceding from the country and halt attacks.

An MILF spokesman, Eid Kabalu, said the group does not accept Estrada's condition or recognize the deadline for the peace talks.

Despite having 20 projects near areas of intense fighting between rebels and the military, the Philippines' major international donors have reported no major setbacks with development projects in the impoverished south, officials say.

To affirm their support, donor countries and multilateral agencies announced a fresh pledge of $2.6 billion for the Philippines on Tuesday, with $375 million allocated for projects in the southern region of Mindanao.

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