Nicaragua Extends Cease-Fire, Calls for New Talks With Contras

President Daniel Ortega on Thursday extended for another month a cease-fire with U.S.-backed Contras and called for a new round of peace talks in late July.

But Ortega, in a toughly worded speech broadcast on local radio, suggested that his Sandinista government is losing patience with alleged Contra violations of the truce in effect since April 1 and branded the rebels “delinquents, terrorists and mercenaries.”

Announcing that the army will hold its fire until July 31 to allow more time for talks, he said, “What would be more fitting in these circumstances would be to make these criminals pay for their crimes.”

Ortega also lashed out at the Reagan Administration, which he accused of trying to sabotage peace efforts and plot ways of continuing efforts to topple Nicaragua’s ruling Sandinista National Liberation Front.

He said that a visit to the region by Secretary of State George P. Shultz is part of a U.S. campaign to isolate Nicaragua. Shultz has described Nicaragua as the “rotten apple” of Central America.

“Shultz does not bring a message of peace,” Ortega said, addressing a gathering of 1,200 military officials who met earlier to discuss strategy with Defense Minister Humberto Ortega, the president’s brother. “It is a message loaded with hatred for the Nicaraguan people.” He proposed that new peace talks be held with the Contras here from July 26-29. The rebels have said they are willing to continue observing the cease-fire but have insisted that any future negotiations take place outside Nicaragua.