Panama Police Break Up Protests by Doctors and Teachers

As the government of Panama outlined emergency wage programs Tuesday designed to help it ride out a severe cash shortage, police under the command of the country’s military ruler, Manuel A. Noriega, battled physicians and health workers demonstrating against him at two hospitals and tear-gassed schoolteachers protesting in front of the Education Ministry.

It was the second straight day of violence here in the capital.

At the General Hospital of the government’s Social Security Institute, the country’s largest hospital, police fired birdshot into at least two windows and wounded 23 protesting doctors and orderlies, according to witnesses. Anti-Noriega physicians, nurses and other hospital personnel fought back by throwing stones and Molotov cocktails--soft drink bottles filled with medicinal alcohol and gauze--at the riot police.

Police Storm Hospital

The morning melee, an unusual display of daring by Gen. Noriega’s foes, lasted three hours. It ended after police drove a truck-mounted water cannon through the front gate.

Later in the day, the U.S. Southern Command issued a “Bravo” alert to American servicemen and their dependents in Panama, wire services reported. The alert advised them to stay close to their residences whenever possible and reduce time spent in public areas.

The protests and government crackdown came in the wake of a severe cash shortage in Panama. The dollar crunch began earlier this month when Washington froze Panamanian government funds held in American banks.

Noriega has been indicted on drug smuggling charges by two U.S. grand juries. U.S. officials have said they hope to pressure the general to step down by making it impossible for the government here to pay the salaries of public workers.

The United States froze the money following the ouster of civilian President Eric A. Delvalle, who is in hiding. Delvalle lost his job after trying to remove Noriega from his post as head of the 15,000-member Panamanian military.

On Tuesday, the Panamanian government moved to expel an American diplomat, U.S. Embassy spokesman Terrence Kneebone. The Foreign Ministry gave him 48 hours to leave. However, U.S. officials here and in Washington said Kneebone will remain. The officials said they consider the expulsion invalid because Washington still recognizes Delvalle and not his successor, Manuel Solis Palma, as Panama’s president.

Kneebone would not comment on his situation. It was unclear why he was singled out, but diplomats here pointed out that Kneebone, in a letter to a newspaper last week, had rebutted Panamanian officials’ charges that the United States was planning to invade this country.

The conflict at the General Hospital began after physicians and health workers blocked the Trans-Isthmian Highway connecting Panama City with the city of Colon on the Caribbean coast.

Students Retaliate

Riot police, called Dobermans, dispersed them with water cannon and tear gas. The workers and physicians, joined by students from the adjoining University of Panama, retaliated with rocks and firebombs.

“We cannot just stand here and accept punishment,” said a physician at the hospital.

As workers streamed from the hospital grounds after the violence ended, some were arrested, witnesses said. It could not be determined how many were picked up or for how long they were held.

Later, Dobermans tossed tear gas on the grounds of the children’s section of Santo Tomas Hospital on Panama City’s waterfront and fired birdshot at gathering protesters. One doctor was slightly wounded, and some tear gas seeped into the children’s wing.

“It is unbelievable that the police would use tear gas at a hospital,” said Eduardo Narvaez, the wounded doctor. Physicians have been prominent in opposing Noriega’s rule during the eight months of turmoil here.

Riot police also routed schoolteachers who massed to denounce Noriega at the Education Ministry. The police threw tear gas and fired birdshot, but there were no reports of injuries. Some bystanders and teachers set fire to trash barriers on side streets near the ministry.

To keep such opposition from spreading among other workers, the Panamanian government has been trying to arrange payments of salaries to public employees.

The government has not indicated how many dollars it has on hand, but there are apparently not enough greenbacks available to cover its biweekly payroll of about $30 million. About 125,000 people work for the government in Panama, where dollars are legal tender.

Government officials told public employees Tuesday that they will receive partial salaries today based on a sliding scale. The lower a worker’s salary, the greater percentage he will receive. Employees who make $200 a month or less will be paid in full; those who earn more than $1,000 will receive nothing, according to officials interviewed by The Times.

“The checks have been ordered. We hope the workers will accept the plan,” said minister of commerce Mario Rognoni. He said the government expects to avoid having to pay more than half of its payroll under the plan. Full payment will be made after the crisis ends, he added.

It was unclear just where the workers would cash their checks if they chose to accept them. Banks, including the government-owned National Bank of Panama, have been closed for two weeks.

Western diplomats said that Panama has been trying to obtain money held in European banks to shore up reserves, but that so far no bank has turned over the money. Rognoni would not detail government efforts to find money, but said they had been unsuccessful.

“We thought the freeze on our money would just affect banks in the United States. We are finding that Uncle Sam has a long arm,” he commented.

Several key unions of government workers said they would continue a work slowdown until their members were paid in full and in cash. Electrical, water, port and telephone workers all staged strikes or slowdowns Tuesday, as did employees of a government-owned cement plant.

“We do not want a percentage of our money. We want it all,” said Ernesto Meza, an official of the dockworkers’ union at Balboa, one of two major ports closed down by striking workers.

Union leaders have been cautious in their public comments about strikes and slowdowns. Publicly, they say they are acting only in response to the pay crisis; privately, they say they hope their actions will help bring down Noriega.

“We are afraid like everyone else, so we do not dare say anything,” said an official of the electrical workers’ union.

No Reports of Mutiny

It was not clear whether soldiers received all or part of their salaries Tuesday. In any case, there were no reports of rebellion among the troops under Noriega’s command.

Commerce Minister Rognoni said the government is anxious to overcome the crisis shortly in the hope of marshaling international support for the current government.

Government television Tuesday called on Latin American legislators to come to Panama and witness preparations for next year’s presidential elections. Officials of military-backed political parties visited Brazil last week and told South American politicians Panama will hold free elections in 1989.

Latin governments have been reserved in their comments on the crisis. None have broken relations with Panama, nor have any followed the U.S. lead in recognizing Delvalle’s fictional rule. On the other hand, except for Cuba and Marxist-led Nicaragua, none has publicly rallied around either Noriega or nominal President Solis.