Apr 12, 2002 By Jorge Rueda Associated Press Writer 4 min read

CARACAS, Venezuela (AP) – More than 150,000 people marched toward the presidential palace Thursday to demand President Hugo Chavez’s ouster as striking oil, labor and business leaders spurned a government bid to end Venezuela’s political crisis. In a highly unusual announcement, Venezuela’s military high command went on national television to deny persistent rumors, spawned by this week’s labor unrest, that Chavez was in military custody or had been asked by the army to resign.

Chavez has not been seen in public since a general strike began earlier this week. Strike leaders have openly appealed to the armed forces to join them in their campaign to oust the president, and two lower-ranking generals rebelled on Wednesday.

“The president is in his offices. … I deny all rumors about the alleged resignation of the high command,” said the armed forces commander in chief, Gen. Lucas Rincon. He was flanked by the military high command.

Rincon said that despite isolated clashes between pro- and anti-government supporters, “the situation is normal across the country.” He urged Venezuelans to “maintain calm” and to “dialogue for the well-being of the nation.”

Rincon spoke as thousands of flag-waving, whistle-blowing citizens marched toward the presidential palace to demand Chavez’s resignation.

National Guard troops cordoned off a several-block area around the palace as thousands of Chavez supporters, some armed with sticks, were summoned to the site by government television.

Caracas Mayor Freddy Bernal and National Assembly President Willian Lara accused Carlos Ortega of the Venezuelan Labor Confederation and Pedro Carmona of the Fedecamaras business chamber, who called a general strike Tuesday, of provoking violence.

“Ortega is playing with fire,” Bernal said. “If you’re provoking, have no doubt that we will apply the law,” he said, referring to a state of emergency that Chavez can decree to quell unrest.

More than 150,000 government opponents were marching, said fire department Col. Rodolfo Brisero.

What began as a 24-hour general strike to demand that Chavez replace managers at the Petroleos de Venezuela oil monopoly became a determined campaign to oust the president. Both Carmona and Ortega demanded Thursday that Chavez resign.

“There is no accommodation possible. What we’re seeking is Chavez’s resignation,” said Gregorio Rojas, Fedecamaras’ treasurer. He said the opposition was trying to persuade the armed forces to force Chavez to step down and establish a “transition government” that would call new elections.

Defense Minister Jose Vicente Rangel insisted the military fully backs Chavez, a former army officer who staged a failed coup in 1992. The United States has said it opposes any coup against Chavez, a leftist who was democratically elected in 1998 and whose term ends in 2006.

Rojas said strike organizers responded to a government offer to meet with dissenting oil executives Thursday by first demanding that Chavez personally attend. Calls for Chavez’s ouster followed, and talks were postponed.

A PDVSA source said that dissident staff stepped up demands and now want a public apology from Chavez and the resignations of the company board, Oil Minister Alvaro Silva and Deputy Minister Bernardo Alvarez.

Chavez was last seen in public Tuesday, when he condemned the strike organized by Fedecamaras and the 1 million-member Venezuelan Workers Confederation as a brazen attempt to oust him.

The strife has seriously affected oil exports in Venezuela, the world’s fourth-largest oil exporter and the No. 3 supplier to the United States.

The International Energy Agency warned that Venezuela’s crisis and political uncertainties in the Middle East could upset the oil market.

OPEC has said it has no plans to pump more oil to replace supplies being withheld by Iraq to protest Israel’s offensive against Palestinians.

The 950,000 barrel-per-day Paraguana refinery ran at less than 50 percent capacity, and loading of tankers proceeded slowly, with at least 20 vessels anchored at main ports. The 130,000-barrel per day El Palito refinery won’t reach full capacity until the weekend. Industry officials said gasoline supplies to major Venezuelan cities could be threatened if the slowdown continues.

PDVSA management charged the board appointments were based on political considerations and not merit. They originally demanded that five of the new directors be removed. After six weeks of protests, Chavez fired seven more executives Sunday and sent 12 others into early retirement.