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New York City truck attack suspect followed Islamic State plans

Amaya Lopez-Silvero, 20, and Elliot Levy, 21, embrace by a makeshift memorial for victims of Tuesday's attack lay outside a police barricade on the bike path next to West Street a day after a man driving a rented pickup truck mowed down pedestrians and cyclists on a bike path alongside the Hudson River in New York City, New York, U.S.

By Gina Cherelus and Barbara Goldberg

NEW YORK (Reuters) – An Uzbek immigrant suspected of killing eight people in New York City by crashing a truck through a crowd on a bike path followed online plans from Islamic State and left a note saying the militant group would “endure forever,” police said on Wednesday.

Police said they had interviewed Sayfullo Saipov, 29, who is in hospital after an officer shot him, ending the riverfront rampage. They said he appeared to have been planning the attack for weeks and that investigators recovered notes and knives at the scene.

“The gist of the note was that the Islamic State would endure forever,” New York Deputy Police Commissioner John Miller told a news conference. “He appears to have followed almost exactly the instructions that ISIS has put out on its social media channels to its followers.”

The attack was the deadliest on New York City since Sept. 11, 2001, when suicide hijackers crashed two jetliners into the World Trade Center, killing more than 2,600 people. A further 12 people were injured, some critically, in Tuesday’s attack.

Similar assaults using vehicles as weapons took place in Spain in August and in France and Germany last year.

Saipov allegedly used a pickup truck rented from a New Jersey Home Depot Inc store to run down pedestrians and bicyclists on the path before slamming into the side of a school bus.

He then exited the vehicle brandishing what turned out to be a paint-ball gun and a pellet gun before a police officer shot him in the abdomen.

Saipov reportedly lived in Paterson, New Jersey, a one-time industrial hub about 25 miles (40 km) northwest of lower Manhattan.

TRUMP: ‘SEND HIM TO GITMO’

U.S. Senator Lindsey Graham urged authorities to treat Saipov as an enemy combatant, a move that would allow investigators to question the man without him having a lawyer present.

U.S. President Donald Trump said he would be open to transferring Saipov to the military prison at Guantanamo Bay, Cuba, where other suspects including alleged Sept. 11 plotters are held.

“Send him to Gitmo. I would certainly consider that,” Trump told reporters. “We also have to come up with punishment that’s far quicker and far greater than the punishment these animals are getting right now.”

New York State Governor Andrew Cuomo said that Saipov had been radicalized while living in the United States.

The majority of the 18 Islamic State-inspired attacks carried out in the United States since September 2014 were the work of attackers who developed radical views while living in the United States, said Alexander Meleagrou-Hitchens, research director at George Washington University’s Program on Extremism.

Sayfullo Saipov, the suspect in the New York City truck attack is seen in this undated handout photo obtained by Reuters November 1, 2017. New York PD/Handout via REUTERS

ARGENTINE FRIENDS AMONG DEAD

Six victims were pronounced dead at the scene and two more at a nearby hospital, Police Commissioner James O’Neill said.

Five of the dead were Argentine tourists, visiting New York as part of a group of friends celebrating the 30th anniversary of their high school graduation, the government there said. Belgium’s foreign minister said a Belgian citizen was also among those killed.

New York City Mayor Bill de Blasio said police will be out in force to protect the city’s marathon on Sunday, one of the world’s top road races, which draws some 51,000 runners and 2.5 million spectators from around the globe.

A pair of ethnic Chechen brothers killed three people and injured more than 260 with homemade bombs at the 2013 Boston Marathon, memories that were stirred for some runners by Tuesday’s attack.

“It was unsettling to hear the news,” said Neil Gottlieb, 48, who crossed the finish line in Boston shortly before the blasts and plans to run the New York City race on Sunday. “You simply can’t stop a truck and that’s the issue in my mind and my wife’s mind.”

Uzbekistan’s President Shavkat Mirziyoyev said his government would do all it could to help investigate the “extremely brutal” attack.

Last week an Uzbekistan citizen living in Brooklyn was sentenced to 15 years in prison for conspiring to support Islamic State.

Saipov had not been the subject of any U.S. investigation, Miller said. He had been in contact with a person who was the subject of a Federal Bureau of Investigation probe, a U.S. government source told Reuters on Wednesday.

Trump, who has pressed for a ban on travelers entering the United States from some predominantly Muslim countries, criticized the U.S. visa system, blaming Democrats including U.S. Senator Chuck Schumer of New York for the diversity visa system that admitted Saipov. He said he wanted a “merit based” immigration program.

“We do not want chain migration, where somebody like him ultimately will be allowed to bring in many, many members of his family,” Trump told reporters.

Schumer shot back at Trump: “Instead of politicizing and dividing America, which he always seems to do at times of national tragedy, (Trump) should be bringing us together and focusing on the real solution, anti-terrorism funding, which he proposed to cut in his most recent budget,” Schumer said on the Senate floor.

(Additional reporting by Jonathan Allen and Melissa Fares in New York, Joseph Ax in Patterson, New Jersey and Mark Hosenball and Tim Ahmann in Washington; Writing by Scott Malone; Editing by Paul Tait and Bill Rigby)

Ousted Catalan leader accepts new election, says ‘long road’ to independence

By Robert-Jan Bartunek and Raquel Castillo

BRUSSELS/MADRID (Reuters) – Catalonia’s ousted leader Carles Puigdemont on Tuesday agreed to the snap election called by Spain’s central government when it took control of the region to stop it breaking away, but he said the fight for independence would go on.

Puigdemont, speaking at a news conference in Brussels, also said he was not seeking asylum in Belgium after Spain’s state prosecutor recommended charges for rebellion and sedition be brought against him. He would return to Catalonia when given “guarantees” by the Spanish government, he said.

Puigdemont’s announcement that he would accept the regional election on Dec. 21 signaled the Madrid government had for now at least gained the upper hand in the protracted struggle over Catalonia, a wealthy northeastern region that already had considerable autonomy.

Resistance to Madrid’s imposition of direct control on Catalonia failed to materialize at the start of the week and the secessionist leadership is in disarray.

But a poll released on Tuesday showed that support for the creation of an independent state of Catalonia rose to an almost three-year high in October.

Spain’s Constitutional Court on Tuesday blocked the unilateral declaration of independence made by the regional parliament on Friday – a largely symbolic move that gained no traction and led to the assembly’s dismissal by Prime Minister Mariano Rajoy less than an hour after it was made.

“I ask the Catalan people to prepare for a long road. Democracy will be the foundation of our victory,” Puigdemont said in Brussels, where he showed up after dropping out of sight over the weekend.

Rajoy, who has taken an uncompromising stance throughout the crisis, is gambling on anti-independence parties taking power in the regional parliament and putting the brakes on the independence drive. Puigdemont will hope a strong showing for the independence camp will reboot the secessionists after a tumultuous several weeks.

Puigdemont did not say when he would return to Spain and denied he was fleeing from justice, but he could be called to testify before the court on the rebellion and sedition charges as soon as the end of the week. He did not specify what guarantees he sought.

The Spanish government said at the weekend Puigdemont was welcome to stand in the election. The judicial process was a separate matter, it said.

The Supreme Court also began processing rebellion charges against Catalan parliament speaker Carme Forcadell and other senior leaders on Tuesday.

CATALONIA SPLIT

The political crisis, Spain’s gravest since the return of democracy in the late 1970s, was triggered by an independence referendum held in Catalonia on Oct. 1.

Though it was declared illegal by Spanish courts and less than half Catalonia’s eligible voters took part, the pro-secessionist regional government said the vote gave it a mandate for independence.

The United States, Britain, Germany and France have all backed Rajoy and rejected an independent Catalan state, although some have called for dialogue between the opposing sides.

Puigdemont, Vice President Oriol Junqueras and other Catalan leaders had said previously they would not accept their dismissal. But their respective parties, PdeCat and Esquerra Republicana de Catalunya, said on Monday they would take part in the election, a tacit acceptance of direct rule from Madrid.

The struggle has divided Catalonia itself and caused deep resentment across the rest of Spain, although separatist sentiment persists in the Basque Country and some other areas.

Two recent opinion polls showed support for independence may have started to wane.

But an official regional survey published on Tuesday showed some 48.7 percent of Catalans believe the region should be independent, up from 41.1 pct in June and the highest since December 2014.

Based on 1,338 interviews, the Centre d’Estudis d’Opinio poll was the first survey released since the independence declaration though the bulk of it was taken before then, between Oct. 16 and Oct. 29.

DIM HOPES

Despite his dash to the European Union’s power center, Puigdemont’s hopes of engaging the bloc in his cause seem forlorn. Member states have asserted their support for Spanish unity and EU institutions in Brussels say they will deal only with Madrid and that the dispute remains an internal matter.

“Our position remains unchanged,” EU Commission spokeswoman Mina Andreeva said in Brussels on Tuesday.

But some analysts say the dispute is not going to disappear anytime soon despite the present state of play.

“Spain is heading for a period of disruption, and like the UK and Brexit, having its policy agenda dominated by one political issue while other key challenges fade into the background,” said Raj Badiani, an economist at IHS Markit in London.

“A more tangible impact from the crisis could evolve from early 2018, with the uncertainty set to build as Catalans push harder for a legally binding referendum.”

Influential Catalan business lobbies have backed direct rule and called on firms to stay in the region. The crisis has prompted more than 1,000 businesses to switch their legal headquarters from Catalonia, which contributes about a fifth of Spain’s economy, the fourth-largest in the euro zone.

Spain’s IBEX fell slightly as Puigdemont began speaking in Brussels but then rose again.

For some in Barcelona, the overwhelming emotion appears to be exasperation.

“It’s a farcical and completely ridiculous situation,” said Ernesto Hernandez Busto, a 42-year-old editor. “This extreme nationalism, this separatism, has taken Catalonia to the most absurd situation and the worst inconvenience we have had in the last 40 years.”

(Additional reporting by Paul Day and Sonya Dowsett in Madrid, Writing by Angus MacSwan, Editing by Janet Lawrence and John Stonestreet)

Spain awaits next move by ousted Catalan leader from Belgium

By Raquel Castillo and Angus MacSwan

MADRID (Reuters) – Spain’s foreign minister said on Tuesday he would be surprised if Belgium granted political asylum to Catalan secessionist leader Carles Puigdemont, who turned up there after Madrid’s dismissal and takeover of Catalonia’s regional government.

By Tuesday, the Madrid government had gained the upper hand in the protracted struggle over Catalonia’s independence drive.

Resistance to Madrid’s imposition of direct control on the autonomous region failed to materialize at the start of the week on Monday. The secessionist leadership is in disarray, and attention is now turning to a regional election called by Prime Minister Mariano Rajoy for Dec. 21 as a way out of the crisis.

But Puigdemont, whose parliament declared an independent Catalan republic on Friday before being removed by Rajoy, remains a thorn in Madrid’s side. He was due to make a statement later on Tuesday in Brussels, where he was seen by journalists on Tuesday after having dropped out of sight for 24 hours.

Spain’s prosecutor called for charges of rebellion and other crimes to be laid against him, which carry combined sentences of more than 30 years in prison. Spain’s Supreme Court also began proceedings for rebellion against the Catalan parliament speaker and other senior lawmakers, a court spokesman said on Tuesday.

Any request for asylum in Belgium could lead to a diplomatic dispute between the two European Union nations. But Spanish Foreign Minister Alfonso Dastis appeared to play down that prospect for now.

“We have no certainty of what he is doing,” he told Cadena Ser radio. “We would be a bit surprised, given the situation regarding the right of asylum in Europe, but the actions of ex-president Puigdemont are not easy to foresee.”

Any decision would be up to Belgian courts, not the government, Dastis said. “If Belgium grants asylum to Puigdemont, it will not be a normal situation. Let’s leave it there for now.”

In Belgium, Puigdemont’s lawyer Paul Bekaert, a veteran human rights advocate, told Reuters his client was considering seeking asylum but it was not certain.

“We have not yet decided. We have a lot of time to decide,” Bekaert said. “We will see in the coming weeks what we are doing.”

While Belgium has an unusual track record in refusing to extradite Europeans wanted by other EU states, the main reason Puigdemont had come was to address a wider audience for Catalonia’s grievances against Madrid, Bekaert said.

European nations including Britain, Germany and France have backed Rajoy and rejected an independent Catalan state, although some have called for dialogue between the opposing sides.

The Spanish government has also said Puigdemont was welcome to take his chances and stand in the Dec. 21 election.

UNCERTAINTY TO BUILD

The political crisis, Spain’s gravest in the four decades since the return of democracy in the late 1970s, was triggered by an independence referendum in Catalonia on Oct. 1.

Though it was declared illegal by Spanish courts and less than half Catalonia’s eligible voters took part, the pro-secessionist regional government said the vote gave it a mandate for independence.

Some prominent ousted Catalan leaders, including Puigdemont and Vice President Oriol Junqueras, had said they would not accept their dismissal. But their respective parties, PdeCat and Esquerra Republicana de Catalunya, said on Monday they would take part in the Dec. 21 election, a tacit acceptance of direct rule from Madrid.

Two opinion polls showed support for independence may have started to wane. A Sigma Dos survey published in El Mundo showed 33.5 percent of Catalans were in favor of independence, while a Metroscopia poll published by El Pais put that number at 29 percent. That compared with 41.1 percent in July, according to an official survey carried out by the Catalan government.

Opponents of secession say a majority of Catalans want to remain part of Spain and did not take part in the referendum.

But some analysts say the dispute is not going to disappear anytime soon despite the present state of play.

“A more tangible impact from the crisis could evolve from early 2018, with the uncertainty set to build as Catalans push harder for a legally binding referendum.”

The government’s move to impose direct rule received the backing of several influential Catalan business lobbies, which called on firms to stay in the region. The chaos has prompted an exodus of businesses from Catalonia, which contributes about a fifth of Spain’s economy.

Credit rating agency Fitch late on Monday said the escalation of tensions in Catalonia significantly worsened the outlook for Spain’s economic growth and could prompt negative action on the country’s rating.

In Barcelona, some people displayed exasperation.

(Additional reporting by Paul Day and Sonya Dowsett in Madrid, Lucasta Bath and Clement Rossignol in Belgium; Editing by Janet Lawrence)

Catalan police call for neutrality as Spain exerts control

By Jesús Aguado and Sonya Dowsett

MADRID/BARCELONA (Reuters) – Catalonia’s police force told its officers to remain neutral in the struggle over the region’s fight for independence on Saturday, a step toward averting possible conflict as the Madrid government starts to impose direct control.

Spanish Prime Minister Mariano Rajoy dismissed the Catalan government, took over the administration and called a new election after the regional parliament made a unilateral declaration of independence on Friday, aggravating Spain’s worst political crisis in four decades.

The declaration of Catalonia as a separate nation was almost immediately rendered futile by Rajoy’s actions, while other European countries, the United States and Mexico also rejected it and expressed support for Spain’s prime minister.

But emotions are running high and the next few days will be tricky for Madrid as it embarks on enforcing direct rule. Rajoy designated Deputy Prime Minister Soraya Saenz Santamaria to oversee the process.

The regional parliament’s vote, which was boycotted by three national opposition parties, capped a battle of wills between the independence movement, headed by the now-sacked Carles Puigdemont and the Madrid government.

The separatists say a referendum on Oct. 1 gave them a mandate for independence. However, less than half of eligible voters turned out for the ballot, which Madrid declared illegal and tried to stop.

Opinion polls show that more than half of the 5.3 million people eligible to vote in the wealthy northeastern region, which is already autonomous, do not want to break from Spain.

In an effort to defuse tensions, the regional police force urged its officers not to take sides, an internal note seen by Reuters showed.

There have been doubts over how the Mossos d’Esquadra, as the Catalan police are called, would respond if ordered to evict Puigdemont and his government.

The force is riven by distrust between those for and against independence and is estranged from Spain’s national police forces, Mossos and national officers have told Reuters. Some Catalan officers stood between national police and those trying to vote during the banned referendum.

“Given that there is it is likely to be an increase in gatherings and rallies of citizens in all the territory and that there are people of different thoughts, we must remember that it is our responsibility to guarantee the security of all and help these to take place without incident,” said the memo, which had no name attached to it.

Government buildings, the headquarters of national political parties, ports, airports, courts, and the Bank of Spain were being guarded, the Interior Ministry said. Units of the regional force could be replaced if events made that necessary, it said.

The Madrid government also sacked the Mossos’ chief, Josep Lluis Trapero, the official gazette announced on Saturday.

Trapero became a hero to the secessionists after his force took a much softer stance than national police in enforcing the ban on the referendum.

Spain’s High Court banned Trapero from leaving the country and seized his passport as part of an investigation for alleged sedition, although it did not order his arrest.

Prosecutors say he failed to give orders to rescue national police trapped inside a Barcelona building during pro-independence protests last month.

In Barcelona, thousands of independence supporters packed the Sant Jaume Square in front of the regional headquarters on Friday night, waving Catalan flags and singing traditional songs in the Catalan language as bands played.

Some analysts say that street confrontation is possible as Madrid enforces control, but there was no trouble overnight and the streets of Barcelona were quiet on Saturday.

Emmanuel Torcal, a 52-year-old businessman walking his dog, said he was sympathetic to independence but worried about the escalation and possible consequences.

“I sympathize but I have my life, my work, and this is affected. But I am Catalan and I say if we have to go, let’s go.”

The main secessionist group, the Catalan National Assembly, has urged civil servants not to follow orders from the Spanish government and to mount “peaceful resistance” while a pro-independence trade union, the CSC, called a strike.

The government said it would ensure a minimum service.

MADRID SAYS VIVA ESPANA

About 1,000 people took part in a pro-unity rally in Madrid on Saturday and others turned out in the northern city of Valladolid — an indication of the resentment the independence drive has caused in the rest of Spain.

Rosa Cano, a 26-year-old architect demonstrating in Madrid’s Plaza de Colon, said: “The most important thing is the unity of Spain and we have to fight for that. The declaration of independence was a joke.”

Aitor Sanchez, a 30-year-old worker, said he was saddened the government had taken control of Catalonia but it had no choice.

“These are delicate moments in our country. But I believe we must respect the law.”

The chaos has prompted a flight of business from Catalonia, which contributes about a fifth of Spain’s economy, the fourth-largest in the euro zone. Tourism in hugely popular Barcelona has been hit, and markets have shown signs of concern.

European leaders have also denounced the push, fearing it could fan separatist sentiment around the continent.

Catalonia has a litany of historic grievances, exacerbated during the 1939-1975 Franco dictatorship, when its culture and politics were suppressed.

The new regional election will be held on Dec. 21. But it is not certain whether this can resolve the crisis as it could increase the numbers of independence supporters in parliament.

(Reporting by Sonya Dowsett and Jesús Aguado, writing by Angus MacSwan, additional by Andrés González and Tomás Cobos, editing by Alexander Smith)

Catalonia declares independence from Spain, direct Madrid rule looms

By Sam Edwards and Julien Toyer

BARCELONA/MADRID (Reuters) – Catalonia’s parliament declared independence from Spain on Friday in defiance of the Madrid government, which at the same time was preparing to impose direct rule over the region.

Although the declaration was in effect a symbolic gesture as it will not be accepted by Spain or the international community, the moves by both sides take Spain’s worst political crisis in four decades to a new level.

Spanish Prime Minister Mariano Rajoy immediately called for calm and said the rule of law would be restored.

The motion passed in the regional parliament in Barcelona — which was boycotted by opposition parties — said Catalonia constituted an independent, sovereign and social democratic state. It called on other countries and institutions to recognize it.

It also said it wanted to open talks with Madrid to collaborate on setting up the new republic.

“It is not going to be easy, it is not going to be free, it is not going to change in a day. But there is no alternative to a process towards the Catalan Republic,” lawmaker Marta Rovira of the Junts pel Si pro-independence alliance said in a debate leading to the vote.

After the debate, lawmakers from members of three main national parties — the People’s Party, the Socialists and Ciudadanos, walked out.

Members of the pro-independence parties and the far-left Podemos then voted in 70-10 in favour in a secret ballot aimed at hindering any attempt by the central government to lay criminal charges on them.

Spanish shares and bonds were sold off when the result of the vote was announced.

Catalan leader Carles Puigdemont left the chamber to shouts of “President!”.

Meanwhile in Madrid the upper house of Spain’s parliament, the Senate, was due to approve Article 155, the law that allowing the central government to take over the autonomous region.

“Exceptional measures should only be adopted when no other remedy is possible,” Spanish Prime Minister Mariano Rajoy said in an address to the Senate. “In my opinion there is no alternative. The only thing that can be done and should be done is to accept and comply with the law.”

The Catalan leadership was ignoring the law and making a mockery of democracy, he said.

“We are facing a challenge unprecedented in our recent history,” said Rajoy, who has staked out an uncompromising position against Catalonia’s campaign to break away from Spain.

After the Senate vote, Rajoy was expected to convene his cabinet to adopt the first measures to govern Catalonia directly. This could include sacking the Barcelona government and assuming direct supervision of Catalan police forces.

But how direct rule would work on the ground – including the reaction of civil servants and the police – is uncertain.

Some independence supporters have promised to mount a campaign of civil disobedience, which could lead to direct confrontation with security forces.

The crisis developed after an independence referendum on Oct. 1 was declared illegal by Madrid. Although it endorsed independence, it drew only a 43 percent turnout as Catalans who oppose independence largely boycotted it.

WORRIED, NERVOUS

In Barcelona, crowds of independence supporters were swelling on downtown streets, shouting “Liberty” in the Catalan language and singing traditional Catalan songs.

“I’m worried, I’m nervous like everybody. But freedom is never free,” said Jaume Moline, 50, musician.

Montserrat Rectoret, a 61-year-old historian, said: “I am emotional because Catalonia has struggled for 40 years to be independent and finally I can see it.”

The crisis has split Catalonia and caused deep resentment around Spain – national flags now hang from many balconies in the capital in an expression of unity.

It has also prompted a flight of business from the wealthy northeastern region and alarmed European leaders who fear the crisis could fan separatist sentiment around the continent.

Catalonia is one of Spain’s most prosperous regions and already has a high degree of autonomy. But it has a litany of historic grievances, exacerbated during the 1939-1975 Franco dictatorship, when its culture and politics were suppressed.

(Reporting by Paul Day and Julien Toyer, writing by Angus MacSwan, editing by Mark Heinrich)

Catalan leader Puigdemont set to call regional election

Protestors carrying Catalan seperatist flags gather outside the Generalitat Palace, the regional government headquarters, in Barcelona, Spain, October 26, 2017. REUTERS/Yves Herman

By Sam Edwards and Julien Toyer

BARCELONA/MADRID (Reuters) – Catalan president Carles Puigdemont is set to call a snap regional election, political allies said, a move that could help break a one-month deadlock between the Madrid government and separatists seeking a split from Spain.

The uncertainty remained high however as Puigdemont who had announced he would deliver an address at 1.30 p.m. (1130 GMT), first delayed it by one hour and then canceled it, triggering speculation he could still change his mind.

Several members of his pro-independence coalition said he would dissolve the regional parliament and call the vote. The regional broadcaster said he would deliver a speech in the assembly at 5 p.m., as had initially been planned.

Barcelona-based La Vanguardia said he would call the vote for Dec. 20 and was taking the decision in a bid to persuade the government of Prime Minister Mariano Rajoy not to enforce direct rule in the region, which he might do as soon as Friday.

The Catalan secessionist drive is Spain’s worst political crisis since the military dictatorship of Francisco Franco ended in 1975. It has fractured society and hundreds of companies have left the region.

It is also the most serious challenge to the integrity of a Western European country since an independence referendum in Scotland in 2014, when voters in the end chose to stay part of the United Kingdom.

European leaders fear it could spur secessionist ambitions in other parts of the continent.

But cracks appeared late on Wednesday in the independence coalition as some members backed an election while others said there was no alternative to independence.

Within minutes of Thursday’s developments, several pro-secession lawmakers and mayors announced they were stepping down.

“I don’t share the decision to call an election. I am resigning as a lawmaker and a member of PdeCat (Puigdemont’s Catalan Democratic Party),” said Jordi Cuminal on Twitter.

Several hundred people also took to the streets and gathered on Placa Sant Jaume, in front of the Catalan government’s headquarters in central Barcelona.

“Puigdemont traitor,” a big banner read.

Far-left party CUP, a key support for Puigdemont’s minority government, said it would oppose a vote.

“Until now, pro-independence supporters had one problem: the Spanish state. If elections are called, they will have two,” it said on twitter.

MARKETS REBOUND

Demand for Spanish debt and shares jumped when it emerged Puigdemont could call an election.

Spain’s 10-year government bond yield – which moves inversely to price – fell 6 basis points to 1.58 percent on the news. The stock index IBEX rose 1.9 percent to a four-week high.

“This news is positive for Spain because it looks like Puigdemont is looking for ways other than declaring independence,” said ING strategist Martin van Vliet.

“It sounds like he is calling these elections so that Madrid does not have to invoke article 155,” that would allow central government to suspend the wealthy region’s autonomy.

It is not yet clear whether Rajoy will impose direct rule as planned or simply seek the Senate’s authorisation to do so but stop short of making it effective.

His government said earlier this week that calling a snap election would not be enough, and Puigdemont would also have to withdraw an ambiguous declaration of independence he made on Oct. 10.

An election could either strengthen Puigdemont’s mandate if pro-independence parties won, or allow him a graceful exit if they did not.

An opinion poll published by the El Periodico newspaper on Sunday showed a snap election would probably have results similar to the last ballot, in 2015, when a coalition of pro-independence parties formed a minority government.

(Additional reporting by the Madrid newsroom; Editing by Angus MacSwan and Robin Pomeroy)

Crisis over Catalan independence nears crucial few days

By Paul Day and Angus MacSwan

MADRID (Reuters) – Catalan separatist leader Carles Puigdemont is likely to go to Madrid on Thursday to explain his position on independence from Spain and try to stop the national government imposing direct control on the region.

The timing of Puigdemont’s appearance before the Senate suggests he is now unlikely to formally declare independence or call a snap regional election on Thursday, as many analysts had expected. He could still do this on Friday before the Senate strips him of his powers and imposes direct rule from Madrid.

An appearance at a Senate debate could pit Puigdemont face to face with Prime Minister Mariano Rajoy who is vehemently opposed to independence for Catalonia.

The political crisis, Spain’s worst since democracy was restored four decades ago, has become increasingly fraught at the prospect of civil disobedience and even confrontation if Madrid goes ahead with taking direct control of Catalonia in the next few days.

The conflict has caused deep resentment elsewhere in Spain, dented the prosperous region’s economy, and worried other European leaders who see it as fanning separatist sentiment elsewhere on the continent.

Secessionists in Catalonia say an independence referendum on Oct. 1 — which attracted a 43 percent turnout but was mostly boycotted by those Catalans who want to remain in Spain — has given them a mandate for statehood.

The Madrid government declared the referendum illegal and has spurned Puigdemont’s calls for dialogue, instead opting to take control of a region which now has a large measure of autonomy.

It has, however, invited Puigdemont to debate in the Senate.

“President Puigdemont is willing to attend the Senate to explain the allegations, explain his political position, and explain how we have arrived here,” a lawmaker for PDCat (Catalan Democratic Party) said on Wednesday.

Thursday would be the most convenient day, he said.

However, Puigdemont is unlikely to make much headway against a government which vehemently opposes full independence and is using all its legal and political power to stop it.

On Friday, the Senate is due to strip him of his powers and impose direct rule, although the actual steps could be taken gradually in order not to inflame the situation.

ROCK AND A HARD PLACE

Catalonia said on Monday it was confident its officials, including the police, would defy attempts by Madrid to enforce direct rule.

A senior Catalan politician said on Tuesday secessionist leaders may call a snap election to try to break the deadlock. The Catalan parliament meets on Thursday and Friday.

Some Spanish political and business leaders, along with most Catalan newspapers, have urged Puigdemont to call a regional election before he is stripped of his authority. They say direct rule from Madrid would be a humiliation for Catalonia and pose a serious risk of civil unrest.

Calling an election could either strengthen Puigdemont’s mandate if pro-independence parties won, or allow him a graceful exit if they did not.

Justice Minister Rafael Catala said that if Puigdemont appeared before the Senate, it would help resolve the crisis. Madrid has so far refused to meet him until he drops his call for independence.

“If his appearance is within the constitution and the law we’ll be delighted…but if it’s just to ratify his position on Catalonia’s independence, sadly we will not be able to do anything else than continuing with the measures already set by the government,” Catala said.

Analyst Antonio Barroso of Teneo Intelligence said Puigdemont was caught between radicals and moderates in the Catalan establishment.

Radical elements want him to make the Catalan parliament declare independence unilaterally on Thursday or Friday. This would provoke a tough government reaction, playing into their hands, he said.

More moderate voices have said that if he calls an early election, he could stop the imposition of direct rule.

Puigdemont is likely to repeat his call for a dialogue between the Catalan authorities and Madrid and remain ambiguous on his next steps, Barroso said.

“Both sides are engaged in a game to tag each other with the blame for what happens next,” he said.

(Reporting by Paul Day,; Writing by Angus MacSwan; Editing by Julien Toyer and Richard Balmforth)

Snap election not enough to solve crisis, Spain tells Catalan leader

By Paul Day

MADRID (Reuters) – Catalonia’s leader cannot solve its political crisis with Madrid just by calling regional elections, Spain’s justice minister said on Tuesday, dampening hopes of a quick fix for a dispute that has rattled investors and fractured the country.

The Spanish government says it will impose direct rule on Catalonia from Friday to counter an illegal independence push, invoking never-before-used powers to fire the government of the northeastern region that is critical to the country’s economy.

The Catalan parliament will meet on Thursday to agree on a response to Madrid, something many analysts said could pave the way for a formal declaration of independence.

Secessionists in Catalonia say that an independence referendum held on Oct. 1 – which drew only a 43 percent turnout and was mostly shunned by Catalans who wish to remain in Spain – has accorded them a mandate to claim statehood.

Catalonia said on Monday it was confident all officials including police would defy attempts by Madrid to enforce direct rule, raising fears among Spain’s European allies of separatist contagion affecting other parts of the continent.

Spanish political leaders, influential business lobbies and most Catalonia newspapers have urged Puigdemont to call a regional election before he is stripped out of his authority.

They say direct rule from Madrid, which was the norm during the dictatorship of Francisco Franco, would be a humiliation for Catalonia and pose a serious risk of social and economic unrest.

Puigdemont has remained silent on the matter of elections. Some of his senior advisers have said holding a vote is a possibility while others have ruled it out. His pro-secession allies are also divided.

The Spanish government said a snap election would be a first step but Puigdemont would also have to withdraw an ambiguous declaration of independence he made earlier this month.

“When the government proposes an option so extreme as Article 155 (powers to cancel Catalonia’s autonomous status), it’s because we believe that there has been a serious failure by Puigdemont to meet his obligations,” Justice Minister Rafael Catala said during a radio interview.

“Everything is not fixed just by calling an election.”

Catala said that if Puigdemont appeared before the Spanish Senate, which plans to authorize direct rule on Friday, it would be a positive step in finding a solution to the conflict.

The Madrid government has refused to meet with the Catalan leader until he drops the call for independence, however, and Catala said any appearance by Puigdemont had to be within a legal and constitutional framework.

“If his appearance is within the constitution and the law we’ll be delighted…But if it’s just to ratify his position on Catalonia’s independence, sadly we will not be able to do anything else than continuing with the measures already set by the government,” said Catala.

(Writing by Julien Toyer; editing by Jesus Aguado and Mark Heinrich)

Spain to sack Catalan government in bid to end secessionist crisis

By Isla Binnie and Julien Toyer

MADRID (Reuters) – The Spanish government will sack Catalonia’s secessionist leadership and force the region into a new election, it decided on Saturday, unprecedented steps it said were needed to prevent the region breaking away.

The plan, which requires parliamentary approval, is Madrid’s bid to resolve the country’s worst political crisis in four decades, but it risks an angry reaction from independence supporters, who planned street protests later in the day.

Outlining the cabinet’s decision, Prime Minister Mariano Rajoy said Catalonia, which accounts for a fifth of Spain’s economy, was already in worrying economic shape as a result of the regional government’s push for independence.

“We will ask the Senate, with the aim of protecting the general interest of the nation, to authorize the government … to sack the Catalan president and his government,” Rajoy told a news conference.

Spain’s upper house of parliament is scheduled to vote on the plan next Friday.

It is the first time since Spain’s return to democracy in the late 1970s that the central government has invoked the constitutional right to take control of a region.

Direct rule will give Madrid full control of the region’s finances, police and public media and curb the powers of the regional parliament after it allowed an independence referendum that Madrid declared illegal.

Rajoy said he did not intend to use the special powers for more than six months and he would call a regional election as soon as the situation was back to normal.

“Our objective is to restore the law and a normal cohabitation among citizens, which has deteriorated a lot, continue with the economic recovery, which is under threat today in Catalonia, and celebrate elections in a situation of normality,” Rajoy said.

Catalan President Carles Puigdemont, was due to deliver an address at 9 p.m. (1900 GMT) after meeting with his government, his office said. He was also due to join the protests in Barcelona.

Puigdemont made a symbolic declaration of independence on Oct. 10, and on Thursday he threatened to press ahead with a more formal one unless the government agreed to a dialogue.

The Catalan parliament is expected to decide on Monday whether to hold a plenary session to formally proclaim the republic of Catalonia.

Catalan media have said Puigdemont could decide to dissolve the regional parliament himself immediately after independence is proclaimed and call elections before the Spanish senate makes direct rule effective.

Under Catalan law, those elections would take place within two months.

UNSUSTAINABLE

Pro-independence parties said the move from the center-right government of the People’s Party (PP) showed the Spanish state was no longer democratic.

“The Spanish government has carried out a coup against a democratic and legal majority,” Marta Rovira, a lawmaker from Catalan government party Esquerra Republica de Catalunya, tweeted.

Anti-capitalist party CUP, which backs the pro-independence minority government in the regional assembly said: “Taken over but never defeated. Popular unity for the Republic now. Not a single step back.”

Catalan authorities said about 90 percent of those who voted in the referendum on Oct. 1 opted for independence. But only 43 percent of the electorate participated, with opponents of secession mostly staying at home.

The main opposition in Madrid, the Socialists, said they fully backed the special measures and had agreed on holding regional elections in January.

“Differences with the PP on our territorial unity? None!” said socialist leader Pedro Sanchez.

Rajoy also received the backing of King Felipe, who said at a public ceremony on Friday that “Catalonia is and will remain an essential part” of Spain.

The independence push has brought on Spain’s worst political crisis since a failed military coup in 1981 several years after the end of the Franco dictatorship. It has met with strong opposition across the rest of Spain, divided Catalonia itself, and raised the prospect of prolonged street protests

It has also led Madrid to cut growth forecasts for the euro zone’s fourth-largest economy and prompted hundreds of firms to move their headquarters from Catalonia. Rajoy on Saturday urged firms to stay in the region.

Madrid has insisted that Puigdemont has broken the law several times in pushing for independence.

“The rulers of Catalonia have respected neither the law on which our democracy is based nor the general interest,” the government said in a memorandum to the Senate. “This situation is unsustainable.”

Pro-independence groups have mustered more than 1 million people onto the streets in protest at Madrid’s refusal to negotiate a solution.

Heavy-handed police tactics to shut down the independence referendum were condemned by human rights groups, and secessionists accused Madrid of taking “political prisoners” after two senior independence campaigners were jailed on charges of sedition.

Hacking group Anonymous on Saturday joined a campaign called “Free Catalonia” and took down the website of Spain’s constitutional court.

Spain’s national security department had said on Friday it was expecting such an attack to take place, though nobody was available on Saturday to confirm it.

(Editing by Angus MacSwan and Robin Pomeroy)

Spain plans new elections in Catalonia to end independence bid: opposition

By Sonya Dowsett and Inmaculada Sanz

MADRID (Reuters) – The Spanish government has secured opposition support for dissolving Catalonia’s parliament and holding new elections there in January in its bid to defuse the regional government’s push for independence.

The Socialists, the main opposition, said on Friday they would back special measures to impose central rule on the region to thwart the secessionist-minded Catalan government and end a crisis that has unsettled the euro and hurt confidence in the euro zone’s fourth-largest economy.

Prime Minister Mariano Rajoy, who wants opposition support to be able to present a united front in the crisis, has called an emergency cabinet meeting on Saturday to pave the way for Madrid establishing central control in the region.

The government on Friday would not confirm whether January elections formed a part of the package, with Rajoy saying only that the measures would be announced on Saturday.

However a government spokesman saw regional elections as likely. “The logical end to this process would be new elections established within the law,” said government spokesman Inigo Mendez de Vigo at a weekly government press conference.

It will be the first time in Spain’s four decades of democracy that Madrid has invoked the constitution to effectively sack a regional government and call new elections.

Rajoy wants as broad a consensus as possible before taking the step, which has raised the prospect of more large-scale protests in Catalonia, where pro-independence groups have been able to bring more than one million people out onto the streets.

Catalan leader Carles Puigdemont, a former journalist who is spearheading the secession campaign, has refused to renounce independence, citing an overwhelming vote in favor of secession at a referendum on Oct.1.

Catalan authorities said around 90 percent voted for independence though only 43 percent of voters participated. Opponents of secession mostly stayed home.

ECONOMIC CONFIDENCE HURT

Spanish courts have ruled the referendum unconstitutional, but Puigdemont says the result is binding and must be obeyed.

The prolonged standoff has caused hundreds of companies to move their headquarters outside Catalonia and prompted the Spanish government to cut its economic growth forecast. The region accounts for a fifth of Spain’s economy.

Later on Friday, Moody’s was scheduled to review Spain’s sovereign rating, days after warning that political tensions between Madrid and the rebel leadership in Catalonia were credit-negative for the sovereign.

In a test of investor appetite for Spanish stocks, housebuilder Aedas <AEDAS.MC> dropped over 6 percent in its debut on the Madrid stock exchange on Friday, although it later regained losses to trade close to its listing price.

The uncertainty surrounding the future of the region has rattled the euro. On Thursday, European Union leaders including Germany’s Angela Merkel and France’s Emmanuel Macron offered their support for Rajoy at an EU leaders summit in Brussels.

The EU says it will not act as a mediator and the crisis is for Madrid and Barcelona to resolve.

After Rajoy announces the direct control measures on Saturday, Spain’s upper house will have to approve them in a session which could take place on Oct. 27, a Senate spokeswoman said on Friday.

Actions could range from dismissing the Catalan parliament and government, to a softer approach of removing specific heads of department. Direct rule from Madrid would be temporary while regional elections are held to form a new government.

Madrid on Friday stressed the move was not about taking autonomy away from Catalonia but temporarily imposing direct rule until a government was elected that would act within the law.

Socialist politician Carmen Calvo, a member of cross-party talks to establish what measures the government should take to impose direct rule on Catalonia, told TVE state television that January regional elections would form part of the package.

She gave no further details apart from saying the Socialists wanted a light-touch intervention.

(Additional reporting by Raquel Castillo and Isla Binnie; Writing By Sonya Dowsett; Editing by Richard Balmforth)

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