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Venezuelan Judge drops strike-related charges, revokes arrest warrants *** CARACAS, Venezuela - A judge struck down charges against seven former oil executives related to a two-month strike against President Hugo Chavez, lawyers for the executives said Monday. A Caracas court of appeals also revoked arrest warrants against the executives, who were fired from the state oil monopoly for leading a strike to force Chavez's resignation or early elections, said lawyers Juan Martin Echeveria and Jesus Loreto. A lower court had charged the seven with interrupting and "damaging the means used to supply" fuel. The appeals court dropped the charges after ruling that the lower court had committed procedural violations, Echeveria told reporters.

The executives went into hiding after the lower court ordered their arrest Feb. 26. Echeveria said he advised the executives not to emerge from hiding yet because they might be seized by authorities unaware of the appeals' court decision. Last week, secret police stormed an opposition march in an attempt to arrest Petroleos de Venezuela executive Juan Fernandez, who made a surprise appearance. The police clashed with protesters, and Fernandez escaped. "We see a light in Venezuela's administration of justice," Echeveria said. ***

Venezuelan ex-oil executives emerge from hiding; prosecutors to appeal court ruling dropping strike charges***The seven had been accused of interrupting and damaging the country's fuel supply. An appeals court dropped the charge Monday. Prosecutors said they would appeal that ruling in the Supreme Court. The executives were among 15,000 workers — almost half the work force — sacked from the PDVSA for joining a walkout to demand Chavez's resignation or early elections. The strike, which fizzled last month, paralyzed the world's fifth-largest oil exporting industry and cost Venezuela US$6 billion. Private economists expect Venezuela's economy to shrink 40 percent in the first three months of the year, after contracting 9 percent in 2002.

The government says oil production has risen to 3 million barrels a day, almost what it was before the strike. Fired executives insisted Tuesday it was 2.4 million barrels. Also Tuesday, PDVSA failed to restart the El Palito refinery's main gasoline producing unit, which shut down last week because of a mechanical failure. It could take another few days to restart the catalytic cracker, a delay that could force Venezuela to continue importing gasoline, pro-government union activist Jose Arias said. PDVSA officials were not immediately available for comment.

Foes say Chavez is persecuting opponents, trampling over the country's democratic institutions and fomenting class hatred. The former army paratrooper accuses his opponents of trying to overthrow a democratically elected president and bring Venezuela back under the control of two corrupt traditional parties that ruled for 40 years until his 1998 election.

Also Tuesday, strike leader Carlos Ortega waited for the Venezuelan government to grant him safe conduct to Costa Rica, where he has been given asylum. Venezuelan officials have indicated the government would grant the safe conduct. ………….Co-strike leader Carlos Fernandez, the president of Venezuela's biggest business association, is under house arrest awaiting trial for rebellion and instigation. A judge struck down a treason charge.***