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Insurgents free military observer

UKRAINE (NEWSCHANNEL 3) - Pro-Russia insurgents have freed one of eight European military observers being held prisoner in eastern Ukraine.

Major Thomas Johnasson from Sweden was released Monday because of medical issues related to his diabetes.

The mayor of the town where the group is being held is accusing them of being spies and says he wants to trade them for militants being held by Ukraine's government.

Earlier, all eight appeared in public for the first time and under armed guard, saying they have not been mistreated.

Holly: "The mayor told us today that you are prisoners of war - is that also your understanding?"

Colonel Axel Schneider: "We are not prisoners of war - we are the guests of Mayor Ponomaryov and he treated us as such."

Germany's foreign minister has condemned the appearance as "revolting" and said it was a quote "breach of all the rules" and violated the men's dignity.

He is also calling on Russia to pressure the separatists to release all of the prisoners as soon as possible.