24 Sep 2009

Libyan leader Muammar Gadhafi has reportedly met with Swiss President Hans-Rudolf Merz on the sidelines of the annual UN General Assembly meeting, amid rising tensions.

The Swiss finance ministry said on Thursday that Merz had received an assurance over the freedom of two Swiss men detained in Libya last year over alleged visa violations.

The meeting in New York on Wednesday evening "focused on the normalization of bilateral relations between Libya and Switzerland," the ministry statement said, confirming media reports.

The arrest came in July 2008 shortly after Bern detained one of Gadhafi's sons, Hannibal, for abusing two servants in Switzerland, angering the Libyan leader to the point where he filed a motion asking the UN to abolish the country and divide its land between France, Italy, and Germany, according to a Daily Mail article published in early September.

The two servants, a Moroccan and a Tunisian, have since dropped their compliant with an out-of-court settlement and Hannibal and his wife were freed on bail after two days in detention, but the issue provoked a diplomatic crisis.

"Both sides reiterated their desire to swiftly implement the agreement concluded between the two states on August 20, 2009," the statement said, referring to an accord in August, when Merz apologized for Hannibal's arrest despite being criticized at home.

Libya retaliated by removing its assets from Swiss banks, leaving a mere 628 million Swiss francs from an estimated 5.7 billion in 2007. It also froze all business dealings with the country.

At Wednesday's meeting, Merz spoke of "Libya's wish to develop bilateral international relations with mutual interests and mutual respect," Jana news agency reported.

presstv