Fiji solution may be near

12:10 PM

It appears coup leader George Speight will get the immunity he demanded in a deal with the new military government of Fiji.

Military spokesman Eroni Volavola says a verbal agreement is awaiting signatures and Speight will not be prosecuted.

Mr Volavola says he believes Speight's hostages - deposed prime minister Mahendra Chaudhry and other members of parliament - will be released today.

President Ratu Sir Kamisese Mara stepped aside last night, allowing the military, led by Commodore Frank Bainimarama, to take control of Fiji.

Mr Volavola says the President's resignation paved the way to a breakthrough with Speight and his supporters.

The President is staying aboard a ship in Suva harbour.

A 48-hour curfew imposed by the Fiji military late yesterday was lifted this morning.

The Foreign Affairs Minister of New Zealand, Phil Goff, says he is stunned by what appears to be a back down by the army, which last night said it planned to show George Speight no mercy.

He says it is utterly unacceptable and sends the wrong message.

He says by committing an act of violence, taking the Government hostage and killing an un-armed policeman, the terrorists have been rewarded with concessions on every demand they have made.

Tourists and expatriates are leaving Suva, and many are also leaving Fiji.

- IRN

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