Yeltsin Quits, Is Granted Immunity

By BARRY RENFREW, AP

MOSCOW (AP) - Pleading for forgiveness, Boris Yeltsin resigned Friday as president, clearing the way for his hand-picked successor to take Russia into a new age and fix the mistakes he admitted having made through eight chaotic years.

Prime Minister Vladimir Putin, the country's most popular politician, took control of the government and will serve as acting president until elections are held in 90 days - just two weeks after his supporters scored a surprise triumph in parliamentary elections.

One of Putin's first acts was to sign a grant of immunity to Yeltsin, inviting speculation that a deal had been made to entice Yeltsin into early retirement.

Looking grim and emotional, Yeltsin said he was stepping down immediately to give Putin the best chance of winning the presidential elections. Putin, already the top candidate to replace

Yeltsin, now has a huge advantage that his rivals probably won't be able to counter.

``I am stepping down ahead of term,'' Yeltsin said during an address on state television, speaking in front of a gaily decorated New Year's tree and a blue, red and white Russian flag with a golden Russian eagle.

``I understand that I must do it, and Russia must enter the new millennium with new politicians, with new faces, with new intelligent, strong, energetic people, and we who have been in power for many years must go,'' he said, making a surprise announcement during what was supposed to be a New Year's address. Yeltsin, who has ruled Russia with a strong hand since 1991 and was due to step down in June, said he deeply regretted not meeting people's expectations in the post-Soviet period.

``I want to beg forgiveness for your dreams that never came true. And also I would like to beg forgiveness for not having justified your hopes,'' said Yeltsin, who rarely admits errors. ``I beg your forgiveness for having failed to jump in one leap from the gray, stagnant, totalitarian past to the light, rich and civilized future.''

Putin, a former KGB officer, quickly assumed control of the government and said he would continue as prime minister. Yeltsin turned over to Putin the so-called nuclear suitcase controlling Russia's nuclear arsenal and the pen he used to sign key measures.

The transition of power is likely to be smooth, with no destabilizing effects. Russia has a decade of democratic elections under its belt, and political parties were already preparing for the presidential vote.

In Washington, President Clinton paid tribute to Yeltsin for dismantling the communist system and putting a democratic structure in place.

``I liked him because he was always forthright with me,'' Clinton said. ``He always did exactly what he said he would do. And he was willing to take chances to try to improve our relationship.''

Putin quickly signed a decree giving Yeltsin immunity from criminal prosecution, a lifetime pension and a government country home, bodyguards and medical care for him and his family. But while the immunity will be seen by some as a key reason for Yeltsin's decision, the deal did not include his family, which has been linked to corruption allegations in recent months. Previous prime ministers, who also had their eye on the presidency, had talked of such a deal for Yeltsin, who is also concerned about Communist efforts to jail him for breaking up the Soviet Union.

The timing of Yeltsin's resignation probably had more to do with parliamentary elections less than two weeks ago, in which pro-Putin centrist parties did unexpectedly well in parliamentary elections.

With the backing of the state media and showing strength in public opinion polls, Putin has a huge advantage in the presidential election, expected to be held on March 26. Putin's confident handling of the war in Chechnya and no-nonsense manner appeals to many Russians, who want take charge leadership to tackle the nation's enormous economic, political and social problems.

Putin said Friday there would be no change in government policies, including foreign relations. But he said efforts to modernize and strengthen the weakened military would continue and the state would ensure stability.

``The freedom of speech, the freedom of worship, the freedom of the press, the freedom of property rights - these fundamentals of civilized society - will be reliably protected by the state,'' Putin said in a New Year's address to the nation.

Many in the West view Putin's rise with concern, and domestic critics claim he wants to restore authoritarian controls because of his KGB past. He makes no secret of wanting to revive Russia as a great power, but has also sought to preserve the ties Yeltsin cultivated with the West.

Yeltsin's resignation shocked ordinary Russians, but caused little commotion. Most people were busy with preparations for New 

Year's Eve, the country's most important holiday. The news dominated Russian newscasts, but with few exceptions television stations did not interrupt their holiday programs for detailed coverage.

The Russian stock market jumped to a 15-month high on the news, with dealers saying hopes of strong new leadership would boost the economy.

``To be honest, I didn't think anything of Yeltsin lately,'' said 27-year-old teacher Lena Matrosova. ``He was doing nothing as president. There was just this person we had, but he did not mean anything.''

Yeltsin's political opponents welcomed the president's resignation.

``The Yeltsin party of power has fallen,'' said Communist leader Gennady Zyuganov, who came in second in 1996 presidential elections.

Plagued for years by heart and other health problems, Yeltsin was often ill and out of sight during his second term. But he continued to dominate Russian politics nonetheless. He easily defeated a Communist-led effort in May to impeach him and had dismissed four prime ministers in the last two years.

Yeltsin said he saw no point in staying in power for the last six months of his term because Putin was well-suited to take over.

He said he was confident Russia would not return to its authoritarian past. ``I shouldn't be in the way of the natural course of history,'' Yeltsin said. ``To cling to power for another six months when the country has a strong person worthy of becoming president - why should I stand in his way? Why should I wait? It's simply not in my character.''

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