International involvement in the ethnic conflicts of Armenia would be disastrous, said panelists last night before an audience of approximately 400 at the Kennedy School of Government.

The panel, titled "Case Study Armenia: United States Foreign Policy, Values and the Humanitarian Impulse," was sponsored by The Armenian Children's Milk Fund.

No answer to the country's problems is likely in the near future, panelists said.

"A compromise solution is neither apparent nor imminent," said moderator Marvin Kalb, Murrow professor of press and public policy at the Kennedy School.

But, panel members said, the situation will become far worse if there is outside intervention.

"In my view, we are perhaps farther away from a solution than we were a year ago," said Ambassador John Maresca, U.S. special negotiator on Nagorno-Karabagh. "The truly scary thing about this conflict is that it could draw in Russia or Turkey or Iran or all three."

There has already been "on both sides a certain degree of outside participation," Maresca said, but so far, "militarily [it] has not been a factor."

Garnik Nanagulian, deputy chief of mission of the Armenian embassy, said he shared Maresca's fear of outside involvement.

"Whatever is to be done must be done very quickly," Nanagulian said. "A greatdanger is internationalization of thebattlefield."

Nanagulian cited allegations in Britishnewspapers that an oil company, Mega Oil, isproviding money to the Azeris to carry on the war.

The panelists also discussed the humanitarianaid situation in Armenia.

The U.S. gave more per capita aid to Armeniathan to any other former Soviet republic, saidWilliam B. Taylor Jr., the senior director forprograms at the office of the coordinator of U.S.assistance to the newly independent states.

For every citizen, Armenia has received about$100 and 160 pounds of food, Taylor said.

Though aid so far has been generous, the amountis likely to decline in the future, said WilliamB. Walsh Jr., president and chief executive of thehumanitarian group Project HOPE.

"If we want to sustain the humanitarian spirit[in Armenia]...there must be better cooperationbetween European and American efforts," Walshsaid