CORRUPTION AN ISSUE AS ANTIGUA READIES FOR POLLS

ST.JOHN'S, Antigua, March 7 (Reuters) - People in Antigua and Barbuda, a
Caribbean island nation said by the United States to be a money-laundering
and drug-smuggling haven, vote Tuesday in general elections likely to keep
in power the family that has ruled for more than two decades.

Lester Bird, the incumbent prime minister, is seeking a sixth straight term
in office for the Antigua Labour Party (ALP). He is touting a strong
economy based on tourism and off-shore financial services, and promises a
programme of development projects.

"We are happy that we have performed," Bird said.

But the main opposition says the government is riddled with corrupt
officials and mismanaging the economy. It also charges nepotism -- in 1994
Bird succeeded his father Vere Bird, who had headed the government since
1976 and was himself frequently accused of corruption during his tenure.

The United Progressive Party (UPP), led by trade unionist Baldwin Spencer,
promised in its manifesto to work "fervently and tirelessly to eradicate
corruption within all ranks of government."

"The people are dissatisfied with the nature of governance in the country,"
Spencer said.

With 17 parliamentary seats at stake, U.S. pollster Target Market Research
predicted a comfortable victory for the ALP with about 58 percent of the
votes. Local analysts said the result may be closer.

Although the former British colony with a population of 64,000 people is
one the world's smaller countries, it is under close scrutiny from the
United States.

The U.S. State Department, in its latest report on illegal narcotics
trafficking, said Antigua remained a money-laundering centre and key drug
smuggling transit point for South American cocaine destined for the United
States and Europe.

Individuals had infiltrated government to weaken fledgling anti-money-
laundering and off-shore business legislation. Internet gambling was still
unregulated despite government promises to clamp down, the report said.

A total of 42 candidates -- 17 from the ALP, 16 from the UPP along with six
Independents and three candidates from three small parties - are contesting
the poll.