(Adds Ukrainian Interior Minister)
* Reuters reporters say military helicopter opens fire in
Slaviansk, gunfire heard
* Separatists say helicopter shot down
* Ukrainian interior minister says separatists using heavy
weapons, one pilot killed
* Action comes hours after Russia revives Red Square May Day
By Maria Tsvetkova
MOSCOW/DONETSK, Ukraine, May 2 Ukraine launched
a "large-scale operation" to retake the eastern town of
Slaviansk, pro-Russian separatists there said on Friday, in an
escalation of violence in what has become the worst
confrontation between Russia and the West since the Cold War.
Ukrainian Interior Minister Arsen Avakov said a pilot had
been killed and others wounded after separatists used
anti-aircraft missiles against Kiev's forces. He accused the
separatists of employing mercenaries.
Armed groups seeking union with Russia have seized a number
of government buildings in towns in eastern Ukraine. The action
in Slaviansk appeared to mark the first significant military
response by Kiev.
A Reuters photographer said he saw a military helicopter
open fire on the outskirts of the town and a reporter heard
gunfire. Separatists said they were under attack and that at
least one helicopter had been shot down.
On his Facebook page, Avakov posted: "Against Ukraine's
special forces, terrorists used heavy artillery, including
grenade launchers and portable anti-aircraft missile launchers.
One pilot is dead and there are wounded."
Vyacheslav Ponomaryov, the self-declared mayor of the town,
was quoted by Russia's Interfax news agency as saying two
helicopters had been shot down and one pilot had been detained.
The clashes around Slaviansk came only hours after Russia
staged a huge May Day parade on Moscow's Red Square on Thursday
- its first since the Soviet era - with workers holding banners
proclaiming support for President Vladimir Putin after the
seizure of territory from neighbouring Ukraine.
On Wednesday, Ukraine's leaders - who came to power in
February when the previous Moscow-backed president was toppled
after months of protests - conceded they were "helpless" to
counter the fall of government buildings and police stations in
the Donbass coal and steel belt. Donbass is the source of around
a third of Ukraine's industrial output.
Separatists had also stormed the prosecutor's office in the
city of Donetsk, throwing rocks, firecrackers and teargas at
riot police defending officials they accused of working for the
Western-backed government in Kiev.
Rebels in the city, capital of a province of about 4 million
people, have declared a "People's Republic of Donetsk" and
called a referendum on secession for May 11, undercutting a
planned presidential election in Ukraine two weeks later.
Having seized buildings in the capital of the easternmost
province, Luhansk, on Tuesday, gunmen took control at dawn on
Wednesday in the nearby towns of Horlivka and Alchevsk.
The International Monetary Fund warned that if Ukraine lost
territory in the east it would have to redesign a $17 billion
bailout of the country, probably requiring additional financing.
Citing the situation in the east, acting Ukrainian President
Oleksander Turchinov has signed a decree reinstating compulsory
military service for men aged between 18 and 25.
The Kiev government, along with its Western allies, accuses
Moscow of orchestrating the uprising. The United States and
European Union have imposed sanctions in response to Russia's
annexation of Crimea and involvement in eastern Ukraine.
Russia denies having any part in the rebellion, but has
warned it reserves the right to intervene to protect ethnic
Russians and has massed tens of thousands of troops on its
western frontier with Ukraine.
Putin has described the break-up of the Soviet Union as a
tragedy and overturned years of post-Cold War diplomacy in March
by declaring Moscow's right to intervene in former Soviet
republics to protect Russian speakers.
The U.S. and EU sanctions, while not hitting Russian
industry directly, have hurt the economy by scaring investors
into pulling out capital. The IMF cut its outlook for Russian
economic growth this year to just 0.2 percent on Wednesday and
said Russia was already "experiencing recession".
U.S. aluminium producer Alcoa said its Chief
Executive Klaus Kleinfeld had cancelled plans to attend Putin's
St. Petersburg International Economic Forum later this month.
Kiev ordered the expulsion of Russia's military attaché on
Thursday, saying it had caught him "red-handed" receiving
classified information from a colonel in Ukraine's armed forces
on the country's cooperation with NATO.
A spokeswoman for Ukraine's security service, the SBU, said
the attaché had been handed over to the Russian embassy and
ordered to leave, although she was not sure if he had left yet.
NATO said on Thursday it was looking at ways to bring former
Soviet state Georgia, which Russia invaded in 2008, "even
closer" to the military alliance. Russian forces defend two
breakaway Georgian regions, comprising a fifth of its territory.
Moscow strongly opposes Georgia joining NATO.
Last week, France and Germany assured Georgia that a deal
bringing it closer to the EU would be sealed soon.
Romania, formerly part of the Soviet bloc but now a NATO
member, called on Thursday for the United States and the Western
alliance to boost their military presence there.
Moscow mayor Sergei Sobyanin told Rossiya 24 TV that more
than 100,000 people had marched through Red Square on Thursday,
saying there was a "patriotic uplift" in Russia. Russian
television also showed footage of a May Day parade in Crimea's
The intervention in Ukraine has been enormously popular in
Russia. One opinion poll on Wednesday showed 82 percent support
for Putin, his highest rating since 2010.
(Additional reporting by Natalia Zinets, Nigel Stephenson,
Thomas Grove, Alexei Anishchuk, Alexander Winning, Vladimir
Soldatkin, Margarita Antidze, Natalia Zinets, Allison Martell,
Radu Marinas and Matt Robinson; Writing by Alex Richardson;
Editing by Paul Tait)