April 21 (Bloomberg) -- Teodoro Petkoff, who spent his youth as a communist guerilla in Venezuela's wilds and served as a cabinet minister in his 60s, called for a country ``without fear'' as he opened a campaign to unseat President Hugo Chavez.

Petkoff, 74, said Chavez has created a nation enveloped in fear that has led to mounting crime, unemployment and corruption. Petkoff, who announced his presidential bid last night, said he would also maintain the social programs Chavez started, but improve them by rooting out ``corruption and political discrimination.''

``Chavez has created a society controlled by fear,'' Petkoff said during a news conference today in Caracas. ``A fear of crime, a fear of the police, a fear of property being seized, a fear of corruption.''

Petkoff, the founder of opposition newspaper Tal Cual, is the fourth candidate seeking to unseat Chavez. As the paper's front-page columnist, he keeps up a critical drumbeat on Chavez with increasing focus on political freedoms such as the right to private property and an unfettered press. Petkoff also argues Chavez has failed to create jobs because his policies discourage private investment, even as government spending soars on record oil prices. As a result, poverty in the world's fifth-largest oil exporter remains widespread, he says.

``Poverty in Venezuela is worse than ever,'' said Petkoff, who called himself an advocate for the poor throughout his life. ``I didn't discover poverty because Chavez pointed it out to me.''

His effort to unseat Chavez is Petkoff's third presidential bid. Julio Borges of the First Justice Party, Roberto Smith of the Venezuela First party and William Ojeda of the Only One People's party have also announced their candidacies for the Dec. 3 election.

Uphill Battle

Petkoff faces an uphill struggle, according to a Consultores 21 poll released on March 13. Chavez would win against Petkoff by 72 percent to 28 percent, and against Borges by 62 percent to 38 percent, the poll, which surveyed 1,500 Venezuelan between Jan. 27 and Feb. 7 found.

``A lot of intellectuals, middle class and upper class, have been egging him on to run against Chavez,'' said Patrick Esteruelas, an analyst with New York-based research company Eurasia Group. ``He is one of the few visible figures who has some clout, and he hasn't been afraid to challenge Chavez in the past.''

A former guerrilla who once swallowed human blood to fake illness as part of a successful attempt to escape from a maximum security prison, Petkoff, the son of Bulgarian immigrants, graduated from Venezuela's Central University with a degree in economics.

Student Resistance

While studying, Petkoff joined the student resistance against dictator Marcos Perez Jimenez, and was arrested several times. He subsequently went underground and fought against the government of Romulo Betancourt, before joining the communist party.

The guerrilla movement robbed banks, kidnapped businessmen and fought soldiers. Petkoff left the communist party in 1971, creating the Socialist Party.

``Petkoff, as a former guerilla, has important leftist credentials,'' said Esteruelas. ``Chavez won't have an easy time characterizing him as a traditional leader.''

Petkoff returned to national prominence in the April 1996 when he joined the foundering government of former President Rafael Ramirez as planning minister. The architect of the Venezuela Agenda, Petkoff pushed the government to end foreign exchange controls and make an agreement with the International Monetary Fund. He also supported the opening of the country's oil industry to private investment, a move that Chavez has strongly criticized.

Help for Poor

Petkoff said as president he would seek to issue government coupons to aid the country's poorest citizens, which would complement existing government programs. He also pledged to create jobs by concentrating on energy ventures that would process, refine and market Venezuela's oil and natural gas, the country's automobile industry and tourism. He proposed that the country's constitution be reformed to allow for the creation of a post of prime minister, in addition to a president.

``I'm in this to win,'' he said.

Petkoff, does bring some handicaps to the race, analysts said. He doesn't have a political party to back him, and his age is also a factor.

``He has one of the highest rejection levels among Venezuelan politicians,'' said Welch. ``His personality can be abrasive.''

To contact the reporter on this story: Peter Wilson in Caracas at pewilson@bloomberg.net