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DATE=7/21/2000 TYPE=CORRESPONDENT REPORT TITLE=PHILIPPINES HOSTAGES (L) NUMBER=2-264643 BYLINE=KONRAD MULLER DATELINE=MANILA CONTENT= VOICED AT: INTRO: In the southern Philippines, the Islamic extremist Abu Sayyaf group has freed four more Malaysian hostages, but 33 people remain captive. As Konrad Muller reports from Manila, it is the latest sign that the three-month old hostage drama may be winding down. TEXT: Looking worn, the four Malaysians were freed on Jolo island early Friday and flown to Manila to be met by the Malaysian ambassador. They were among the 21 mostly foreign hostages taken from a Malaysian diving resort in April. A total of seven people had been expected to be released - all Malaysians. But local media sources suggest that plan was scotched due to squabbling among the rebels about ransom. It is reported the rebel leaders were seeking several hundred thousand dollars for each Malaysian released. But the Malaysian government denies paying any ransom. /// OPT /// A leading Philippine newspaper has also quoted unidentified sources as claiming that around one million dollars was paid for the freedom of the 57-year old German, Renate Wallert. Sick with hypertension, she was released Monday, the first western hostage freed. /// END OPT /// The Philippine government has also denied that any money has been paid for the releases, stressing its no-ransom policy. But government negotiators have been authorized to discuss giving development aid to impoverished southern districts - where Abu Sayyaf is rooted. The recent releases have given renewed hope that the three-month long ordeal is now moving toward a peaceful solution. /// OPT /// A sixteen year old Filipino boy, abducted separately, was also released Thursday. /// END OPT /// The Abu Sayyaf is still holding an estimated 33 hostages. In addition to the remaining 14 largely foreign nationals taken from Malaysia, the captives are thought to include 13 Filipino Christian evangelists, one German and three French journalists, and two Philippine schoolteachers. The Abu Sayyaf appears to have dropped an earlier demand for an independent Islamic state in the south of the country. It is allegedly seeking one million dollars for each of the nine remaining western hostages. NEB/HK/KM/JO/PLM 21-Jul-2000 02:15 AM EDT (21-Jul-2000 0615 UTC) NNNN Source: Voice of America .





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