Chavez wins referendum: gov’t sources

By Saul Hudson and Ana Isabel Martinez

CARACAS (Reuters) - Venezuelan President Hugo Chavez appeared headed for victory on Sunday in a referendum on allowing the leftist to rule for as long as he keeps winning elections, government-linked sources said, citing exit polls.

Three exit polls showed Chavez won by between six and eight percentage points in a vote where turnout was low, the two sources said.

If confirmed, it would be by far the slimmest victory margin in the career of a man who wants to rule for life and turn the major oil exporter into a socialist state.

Most pre-vote opinion surveys predicted a close vote on a package of constitutional changes that the opposition and even some former longtime allies say is authoritarian.

The reforms would allow Chavez to run for reelection indefinitely, control foreign currency reserves, appoint loyalists over regional elected officials and censor the media if he declares an emergency.

Pollsters had said a low turnout would favor Chavez, who activated a state-backed get-out-the-vote campaign against an underfunded, fragmented opposition. The left-wing leader, a fierce critic of the United States, has never lost a national vote and had predicted he would win by at least 10 points.

"SENT BY GOD"

"The reform is very important for the country, we want to support our president," said Marlene Vanegas, 70, who described herself as a "full-time revolutionary" and Chavez loyalist. "he was sent to us by God."

The opposition, which Chavez has soundly defeated in almost yearly votes, had pointed to some pre-referendum polls showing it could win.

"In my opinion, these are not the (real) numbers. The government is wrong," said Delsa Solorzano, a member of the New Time party at the opposition’s referendum headquarters in Caracas.

Foreign investors worry that the opposition could contest the result if it suspects fraud, sparking political turbulence after a campaign marred by violent street clashes.

"(The vote) will deepen divisions and polarization," said Jesus Ghersi, 25, an engineering student serving as an official poll watcher for the opposition.

Many Venezuelans believed the vote was a pivotal moment for the OPEC nation.

"We decide the future," the El Nacional newspaper said in a headline that covered much of its front-page on Sunday.

CUBA-INSPIRED SOCIALISM

Chavez wants the new constitution endorsed to give him a mandate to create a Cuba-inspired socialist state. After his landslide reelection a year ago, he decreed sweeping nationalizations, and promises more state intervention in the economy if he wins the referendum.

Opposition leaders complain his policies are a throwback to failed systems such as the Soviet Union and communist Cuba.

"If they approve this reform, as of midnight tonight we have turned into a communist country. I’m convinced of that," said Elias Martinez, 55, an actor.

Fueled by record oil prices, the economy is booming and consumers are flush with cash. But state controls over prices and currency exchange have distorted the free market, causing periodic shortages of basic goods such as milk and eggs.

Chavez accused the opposition of plotting with the United States to cry fraud if he wins and call demonstrators onto the streets to provoke a coup. The opposition denies the charge, which he also made before last year’s uncontested result.

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