Paraguay Inaugurates New Leader
 

           By The Associated Press

          ASUNCION, Paraguay (AP) -- Raul Cubas Grau took the presidential
          oath of office Saturday, promising to rejuvenate Paraguay's foundering
          economy and attack the ``scourges of drug trafficking and piracy.''

          The ceremony, which took place in the red-carpeted congressional
          chamber, marked this South American nation's first transition between
          elected civilians since a 34-year dictatorship led by Gen. Alfredo
          Stroessner ended in 1989.

          After taking the red, white and blue sash and the gold cane that symbolize
          Paraguay's presidency, Cubas, a 54-year-old engineer, said he would
          overhaul the public banking system and take steps to end corruption.

          ``We will begin a frontal assault against poverty, implement social
          programs, fight drug trafficking and recover the international credibility of
          our country,'' Cubas said in his inaugural address to Congress.

          Cubas succeeded President Juan Carlos Wasmosy, who was barred by
          law from seeking a second consecutive term. At one time, Cubas served
          as Wasmosy's economics minister.

          But enmity between the two has become so strong that Wasmosy did not
          even place the presidential sash directly on Cubas' shoulders Saturday.
          Instead, a congressional leader handed over the sash and gold cane.

          Seven Latin American presidents looked on while Cubas assumed the
          presidency. A cathedral Mass followed.

          Cubas originally was the vice-presidential nominee of the Colorado Party,
          but presidential nominee Gen. Lino Cesar Oviedo was imprisoned in the
          middle of the campaign. Oviedo is now serving a 10-year sentence for
          refusing Wasmosy's order to resign as commander of the army in 1996.

          Cubas easily defeated Domingo Laino of the opposition Democratic
          Alliance in May 10 elections in this nation of 5.7 million people. The
          Colorado Party has dominated Paraguayan politics since 1947.

          In his speech, Cubas also pledged to fight the piracy of intellectual
          property and said he would try to create more manufacturing jobs, which
          this South American nation has lost by the tens of thousands this decade.

          Cubas was to unveil his economic policies Monday.

          Wasmosy said he was proud of his ``place in history'' as the first elected
          civilian since Stroessner's fall.

          ``I am sorry I was not able to develop my government program to the
          fullest and leave the country more prosperous. But even so, I am proud to
          have guided this country in the hour of peril,'' he said Saturday.