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ASEAN Adopts Uniform Policies to Develop
ICT Sign Manila Declaration
MANILA (PNA) - For the first time, the Association of Southeast
Asian Nations (ASEAN) countries have agreed to adopt a uniform policies
and undergo collaborative projects intended to exploit fully the
region's competitive edge in information and communications technology
(ICT). These initiatives were the result of the 3rd Telecommunications
Senior Officials Meeting (TELSOM) and 2nd ASEAN Telecommunications
Meeting (TELMIN) held recently at the Makati Shangri-La. Also, the
ASEAN ministers signed the Manila Declaration 2002, a cooperative
pact to exploit the competitive edge of member-countries in ICT.
Here for the TELSOM and TELMIN were Dato Haji Abdullah Bakar, Brunei
Darussalam; Koy Kim Sea, Cambodia; Lukman Hutagalung, Indonesia;
Khannguen Khamvongsa, Lao PDR; ATUK Dr. Halim Shafie, Malaysia;
Khin Maung Oo, Myanmar; William Hioe, Singapore; Rianchai Reowilaisuk,
Thailand; Gnguyen Minh Hong, Socialist Republic of Vietnam. Host
was the Philippines through the Department of Transportation and
Communications (DoTC) WITH Undersecretary for ICT Virgilio Pe?a
as chairman. In the draft "Manila Declaration 2002,'' it was agreed
that telecommunications has progressed into a broader ICT and is
among the biggest engines of economic growth bringing in substantial
trade and investment flow in the region, hence the need for cooperation
among the ASEAN member nations. The Manila Declaration stated that
the ASEAN leaders "are mindful'' that the rapid advancement and
convergence of ICT "require sharing of information and experiences''
to create a "framework responsive to technology development amongst
economies.'' The ministers acknowledged the importance of narrowing
the development gap between the older and newer ASEAN members to
achieve a "successful integration in the region.'' Pe?a said these
initiatives aim to address five ICT-related issues, namely, establishment
of regional information infrastructure; human resources development
(HRD) especially for developing countries in handling this infrastructure;
addressing digital divide and enabling universal access; promoting
trade and investment; and promoting positive Internet use. The ministers
likewise committed to create market conditions and formulate policies
to foster competition in the ICT sector. In addition, they may forge
partnerships in ICT activities, policy development and program implementation.
The collaborative initiatives that were outlined in this year's
TELSOM declaration are as follows" * Develop programs that will
strengthen ICT human resources within ASEAN and retain within the
region the skills to sustain growth and development of the ICT industry,
Pursue the setup of an ASEAN Network Security Coordinating Council
as a focal point for a well-coordinated management and information
and network security issues including protection of misuse of ICT.
Initiate discussions with the private sector on fair and more sustainable
international charging arrangements for Internet services. Promote
intra-ASEAN trade and investment through the identification and
elimination of impediments, fostering pro-business policies on ICT
trade and investment and establishing regulatory environments which
are transparent, predictable and non-discriminatory. Accelerate
the establishment of the ASEAN information infrastructure by strengthening
the development of national information infrastructures of member
countries and existing interoperability and interconnectivity, thus
enhancing global competitiveness. Implement joint activities with
the private sector, academe and other organization in the area of
HRD and research and development (R&D) of ICT. * Collaboration between
ASEAN ICT centers of excellence for joint R&D initiatives in software
and content development in particular exploring the open source
platform. Establish a database of best practices and applicable
standards and frameworks related to the ICT sector to enhance ASEAN
competitiveness. Facilitate transformation of ASEAN into a knowledge-based
economy by improving the adoption and use of ICT products and services
through universally accessible ICT networks. Undertake activities
aimed at promoting positive use of the Internet through formulation
of common regional guidelines and the development of websites for
information exchange in areas such as e-commerce, e-learning, teleworking
and e-community. Develop common ASEAN position to address international
and regional telecom and IT issues of common concerns to World Trade
Organization (WTO), World Intellectual property Organization (WIPO)
and other organization. The next TELSOM will be held in Singapore.
Aside from internal meetings, ASEAN telecom officials are also planning
to hold joint consultative meetings with Japan, Korea and China.
The ASEAN was established on Aug. 8, 1962 in Bangkok by the five
original member countries, namely, Indonesia, Malaysia, the Philippines,
Singapore and Thailand. Brunei Darussalam joined on Jan. 8, 1984,
Vietnam on July 28, 1995, Laos and Myanmar on July 23, 1997 and
Cambodia on April 30, 1999. The ASEAN region has a population of
about 500 million, a total area of 4.5 million square kilometers,
a combine gross domestic product of US$737 billion, and a total
trade of US$720 billion. (by Lynda B. Valencia)
From http://www.mb.com.ph/ 09/02/2002
Central Asian States Seek New Voice After
UN Summit
The United Nations' World Summit on Sustainable Development ended
in Johannesburg on September 4 without a bold statement, after leaders
from hundreds of countries tried to gather issues from ecology to
development into a worldwide action plan. For all UN members, and
for the fragile former Soviet republics in particular, the existence
of such a conference reinforced a truth that drives policy. The
upcoming anniversary of the terrorist attacks on the United States
emphasizes the same truth: to survive and grow, countries must control
risks from within and beyond their borders. Since the ideology that
fueled the attacks and the natural resources that threaten the ecology
are both abundant in Central Asia, the summit raises questions about
how Central Asian republics can help the world assess and mitigate
risks. Those questions are even harder to answer than the ones that
came up in the summit. Summit participants sought a formula through
which poor nations like Uzbekistan and Tajikistan could achieve
the living standards common in developed nations, without those
nations' reliance on fossil fuels. More immediately, they sought
to understand how chronic poverty inspires religious extremism and
how extremism encourages terrorism. Participants often cited the
Ferghana Valley, which runs through parts of Uzbekistan, Tajikistan
and Kyrgyzstan, a prime example of the sort of place where poverty
can link to terrorism. To prevent terrorism, as to prevent environmental
disaster and encourage growth, the heads of these states may have
to move aggressively against the risks of letting poverty fester.
As many analysts in the past year have done, conference participants
linked poverty to wider issues of democracy and human rights. Poverty-hit
masses who live in undemocratic states cannot find any legal channels
to express themselves democracy, and can come to see terrorist networks
as the only agencies that can fight their own governments. Terrorist
networks may encourage poor and politically repressed people to
view violence as a form of dissent. When those networks reach international
proportions, as al Qaeda has, they threaten democratic as well as
autocratic states. So conference participants discussed ways to
make poverty less stubborn. They established close links between
citizens' wealth and the health of their environment. This logical
path indicates why the conference could not produce any triumphal
treaty. Even if countries committed themselves to democracy and
sustainable growth, demented or homicidal terrorists would still
be able to wreak havoc as long as they could find sympathizers to
finance their work. So Central Asian governments, facing desperately
poor populations may have to provide economic incentives to steer
citizens away from extremism. This would entail land reform, programs
to wipe out corruption and clarify investment climates, establishing
independent courts and ending political persecution. The summit
declaration emphasizes that "democracy, the rule of law, respect
for human rights and freedoms, and achievement of peace and security
are essential for the full achievement of sustainable development.
Together these objectives are indivisible and mutually reinforcing."
In Central Asia, selective use of legislation is common. To satisfy
the spirit of the UN declaration and to discourage extremism from
gaining political or financial strength, regional governments could
bolster stability by streamlining the functions of the state apparatus
and providing for multiparty democracy and pluralism. Unfortunately,
the region's economic strategy does not necessarily imply a need
for swift political reform. The Johannesburg summit's failure to
force hard targets for worldwide adoption of renewable fuels must
have gladdened delegates from Kazakhstan, Azerbaijan, Turkmenistan
and other states that hope to reap profits from Caspian Basin energy
exports. The region looks likely to provide oil and gas importers-
including the US, India and China- with an alternative source of
fossil fuels to keep the Persian Gulf states in check. Beyond the
basin, Central Asia's potential for developing and exporting renewable
energy seems modest at best. Tajikistan and Kyrgyzstan have developed
some hydropower facilities, but the Johannesburg summit ended up
leaving hydropower outside the category of renewable energy. [For
more information, see the Eurasia Insight archives.] This semantic
distinction hints at how remote an accord that could meaningfully
include Central Asia remains. The call by the European Union to
form a global coalition of "like-minded countries and regions" for
solar and wind energy could motivate new alliances between Europe
and countries without mature oil industries. It is undeniable, though,
that Central Asia's poor citizens need more than renewable energy.
Presidents in the region can cite their vast energy resources as
pools of short-term growth. While they do, though, they risk contracting
the so-called "Dutch disease," in which a country sinks its capital
into a single resource at the expense of other sectors. As with
the challenge of fighting poverty, each Central Asian economy must
wring what economic benefit they can from their current system while
steadily and visibly establishing a multifaceted, transparent and
sustainable one to replace it. The complexity of that task makes
it likely that globalization, the process by which companies bring
jobs and growth to foreign countries, will be part of any broad
economic advance. Many analysts say that the summit's procedures
and lack of ultimate unity reflects the clash of different paradigms
of globalization. Interventionist representatives like the Europeans
tussled with Americans, who often view globalization as an alternative
to certain forms of regulation. Both the share and role of Central
Asia in this process have yet to be defined. Globalization does
not spell the end of geography and ethnicity yet, and Central Asian
republics will need to respect ethnic and historic interests in
order to build stability. Yet the globalization of terrorism makes
Central Asian presidents fearful rather than hopeful, and articulates
international relations in terms of security. The summit offered
no formula for reconciling security with sustainability and democracy.
The need for more thought and debate on that crucial challenge will
undoubtedly give Central Asia a more prominent voice in future summits.
From http://www.eurasianet.org/ 09/06/2002
ASEAN States Go Ahead with Liberalization
Plan
The Association of Southeast Asian Nations (ASEAN) countries concluded
on Friday the eighth transportation ministers annual meeting here,
vowing to liberalize the movement of people and goods within the
region. At the end of the two-day meeting, the ministers produced
a memorandum of understanding (MOU) on air freight services, which
has been hailed as the first step toward the full liberalization
of air freight services in the ASEAN region. Indonesian Minister
of Transportation Agum Gumelar said that the MOU allowed the designated
airlines of each ASEAN member country to operate all cargo services
up to 100 tons weekly with no limitations on frequency and aircraft
types. "The results of the meeting will ensure and accelerate the
mobility of people and goods within ASEAN countries, which could
later boost trade, investment and tourism in the region," Agum told
a press conference here. Also attending the press conference were
ministers from other ASEAN countries, including Ling Liong Sik from
Malaysia, Hla Myint Swe from Myanmar, Zakaria Sulaiman from Brunei
Darussalam and Yeo Cheow Tong from Singapore. In their two-day meeting
here, the ministers also agreed to simplify procedures on the movement
of dangerous goods within the ASEAN member countries. Meanwhile,
an official at the Ministry of Transportation acknowledged that
in the past, procedures and requirements for the movement of dangerous
goods within ASEAN were complicated, inhibiting the movement of
such goods. An example of goods categorized as dangerous are explosives.
So for the sake of accelerating the establishment of a free trade
area, the procedures must be simplified, said Kalalo Nugroho, head
of law and international cooperation at the ministry. "It includes
the scrapping of unnecessary documents," said Kalalo said. However,
the agreement could not be immediately implemented as the ASEAN
countries still need time to draft new regulations before the agreement
takes effect. The theme of this year's transportation ministers
meeting focused on facilitating an Asian Free Trade Area (AFTA)
within the region. AFTA was launched in January this year, with
ASEAN founding nations like Malaysia, Indonesia, Brunei Darussalam,
the Philippines, Singapore and Thailand lowering their tariffs on
a wide range of products traded among them to below 3 percent. This
year's meeting was also the first meeting between ASEAN and China's
transportation ministers. China was represented by its minister
of communications, Huang Zhendong. The involvement of China in this
year's ASEAN transport ministerial meeting was a follow-up of the
ASEAN and China Summit in Brunei in November 2001. In the summit,
ASEAN and China agreed to set up a free trade area within 10 years,
which could give birth to a market of 1.8 billion consumers and
create the largest free trade block in the world. (by A'an Suryana)
From http://www.thejakartapost.com/ 09/21/2002
Eurasian Economic Community Premiers Fail
to Agree on Joint Customs, Tax Policies
At a meeting in Astana on 20 September, the prime ministers of
Belarus, Kazakhstan, Kyrgyzstan, Russia, and Tajikistan failed to
reach any agreement on the introduction of a single import tariff
and other measures aimed at speeding up economic integration between
their countries, RFE/RL's Kazakh and Kyrgyz services and Interfax
reported. Tajik Premier Oqil Oqilov expressed his disappointment
at the stalemate, arguing the "urgent need" for a transportation
union among the five states. Russian Prime Minister Mikhail Kasyanov
suggested that using Russian rubles rather than hard currency in
trade between the five countries would accelerate economic integration,
Interfax and akipress.org reported.
From http://www.rferl.org/ 09/23/2002
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Uighur Group Added to U.S.
List of Terrorist Organizations
The East Turkestan Islamic Movement, or ETIM, has become the first
branch of the Uighur separatist group to be added to the U.S. list
of terrorist organizations. U.S. Deputy Secretary of State Richard
Armitage publicly announced the decision during a trip to the Chinese
capital, Beijing. "After careful study, we judged that [ETIM] was
a terrorist group and that it committed acts of violence against
unarmed civilians, without any regard for who was hurt," Armitage
said. U.S. Embassy officials in Beijing, commenting on the decision,
said that the Xinjiang-based group had been planning attacks against
U.S. interests abroad, including the U.S. Embassy in Kyrgyzstan.
An article published on 29 August in the U.S. newspaper "The Washington
Post," reporting on the ETIM allegations, cited Kyrgyz Foreign Minister
Askar Aitmatov as saying there was reason to believe the Bishkek
embassy had in fact been targeted, but he gave no details. The U.S.
decision came as a surprise for many Uighurs and international observers.
Adding the little-known group to the U.S. terrorist list, they say,
may have a negative impact on other Muslim Uighurs living in China's
western Xinjiang province. Uighurs, who, according to the most recent
Chinese census, number some 7.2 million people, have been fighting
for independent statehood since 1759, when China invaded the Uighur
Kingdom of Eastern Turkestan, which they later (1876) renamed Xinjiang,
meaning "new territory." The largest Uighur revolt was brutally
suppressed by Chinese communists in 1945. But various Uighur organizations
in Xinjiang and abroad have continued their struggle for independence
-- a struggle the Chinese government has tried to characterize as
terrorist-based and a threat to international security. But Enver
Can, president of the Munich-based East Turkestan National Congress,
said Uighurs have never been religious extremists. Moreover, he
said there are dozens of various Uighur organizations around the
world, but that ETIM is virtually unknown. He questioned whether
ETIM is even large enough to warrant classification as an independent
Uighur group. "They are a small group of people who first fled to
Central Asia, to neighboring Central Asian republics. After [governments
there] began to deport some Uighurs back to China, the others who
remained crossed to Pakistan and Afghanistan. There they received
shelter and for different reasons, to settle their lives, they joined
one group or another in Afghanistan," Can said. Can, like many of
his fellow Uighurs, fears the U.S. decision to include ETIM on its
list of terrorist organizations will prompt the Chinese government
to step up its crackdown on Uighurs, suppressing their efforts at
a national and cultural revival in the name of fighting terrorism.
"Putting an almost nonexistent Uighur organization on a list of
foreign terrorist organizations would mean for China that it has
received a green light. Because, since 11 September, despite warnings
by President [George W.] Bush and [United Nations Human Rights Commissioner]
Mary Robinson, and despite the appeals of international human rights
organizations not to misuse the international struggle [against]
terrorism to crack down on Uighurs, China has been stepping up its
military presence in East Turkestan [Xinjiang]. [They are] intimidating
people; arresting, detaining, and sentencing thousands of Uiyghurs;
and censoring very much religious freedom, burning books. All this
means that China will do everything possible [to crack down on Uighurs]
if it sees tolerance [for its actions] from the West," Can said.
The U.S. decision on ETIM has caused serious concerns among international
human rights organizations. Maya Catsanis, Amnesty International's
press officer for the Asia-Pacific region, agrees that the inclusion
of a nonrepresentative Uighur group like ETIM on the U.S. terrorist
list may cause the already difficult plight of many Uighurs to deteriorate
further. She told RFE/RL the Chinese government had already begun
to use the international war on terrorism to justify its repression
of Uighurs. Catsanis described how the situation of Xinjiang Uighurs
has changed over the past year. "It certainly has gotten worse since
11 September. There are estimates that around 3,000 people were
detained between 11 September and the end of the year. Scores of
people, at least, have been sentenced to long prison terms for so-called
separatist offenses. There have been several executions, although
information about these executions is very difficult to obtain because
the Chinese government is no longer publishing who was executed
and when," Catsanis said. Catsanis said the U.S. government should
be very careful not to let its own antiterrorism campaign give free
rein to governments like China's to pursue their own campaigns against
Uighurs and other groups looking for independence or the right to
preserve their national and religious identity. "We certainly hope
that the U.S. government will be vigilant in who it decides is a
terrorist group and what is not a terrorist group. For the Chinese
government, it is a bit of a coup, the labeling of this particular
group. We would ask the U.S. government to be very, very, very careful
on the information they receive about who is a terrorist and what
it then does with that information. Because if it does proceed to
ban other groups which are not terrorist, and indeed just people
expressing their peaceful wish to secede, for example, from China,
then it could signal a green light for the Chinese government to
go ahead and increase its repression," Catsanis said. Uighur activists
and human rights defenders express deep concern that unless the
U.S. makes a clear distinction between ETIM and the broader Uighur
nationalist movement, the Chinese government will step up its propaganda
against so-called Uighur terrorism worldwide and increase its use
of violence to crack down on any kind of dissent among Uighurs in
its Xinjiang province. (by Zamira Eshanova/Bruce Pannier)
From http://www.eurasianet.org/ 09/01/2002
China: More Efficiency Urged for Money
Policy
China should try to improve the efficiency of its monetary policy
to maintain long-term economic growth of 6 to 8 per cent. Because
the country's capital market is not mature, financial institutions
play a major role in the movement of capital. But monetary policy
is not very efficient and the implementation of the policy faces
many barriers. As a result, the central People's Bank of China should
try to improve the method of basic money supply. The central bank
increases the basic money supply mainly through four channels: relending,
foreign-exchange trading, rediscounting, and trading treasury bonds.
Relending is an important channel to increase the basic money supply,
although its importance has decreased because the foreign-exchange
trading has expanded rapidly in recent years. But to optimize the
structure of the finance industry and economic development, the
central bank should focus on rediscounting and the trading of treasury
bonds to increase the basic money supply. In recent years, foreign-exchange
settlement has become another important channel for increasing the
basic money supply. However, too much foreign reserves means more
investment capital lying idle. The central bank should take full
advantage of rediscounting to increase the basic money supply. Given
the large amount of product stock, the imbalance between supply
and demand, and the relatively high unemployment rate, the central
bank should drop the ratio of banks' reserve deposits. The ratio
should be dropped to 4 per cent from the present 6 per cent to expand
the loan capacity of banks and the credit co-operatives. The fact
that not enough commercial bank loans can be issued suggests that
the central bank's policy to expand the basic money supply has met
barriers. The government should rectify the credit situation and
improve the ownership of banks and credit co-operatives to make
monetary policy more efficient. The demand for basic money supply
will surely keep on expanding in the coming years. LI ENQIANG, a
senior researcher with the Macroeconomic Research Institute under
the State Development Planning Commission.
From http://www1.chinadaily.com.cn/ 09/02/2002
Stock Fund Law Expected
The draft law on stock investment funds underwent a preliminary
reading by the Standing Committee of the Ninth National People's
Congress last week. The legal framework is crucial to the healthy
development of the country's fledging fund industry, which is anticipating
accelerated growth. After 10 years, there are 59 investment funds
so far with 100 billion yuan (US$12 billion) of assets, accounting
for 7 per cent of the country's capitalization of the domestic stock
market. As large institutional investors, the funds are believed
to play an important role in stabilizing the stock market - it has
often been hit by sharp fluctuations. They are expected to create
more investment alternatives for Chinese individuals who have deposited
most of their funds in banks for a small interest return. But problems
and even scandals have emerged in the fledging industry, including
unstandardized operations and imperfect internal management. And
some funds are engaged in short-term speculation of too many stocks,
showing no sign of being responsible. They have hurt investors'
confidence. The primary law for the fund industry will rebuild individual
investors' confidence as it pays special attention to the protection
of investors. The draft law demands that investment companies make
a timely disclosure of information on major issues, including investment
structure. The legislation will not only benefit domestic investors,
but also provide legal foundations for foreigners as the country
now allows them to set up joint venture fund management companies.
The law still needs time, but as it has entered the legislation
procedure, it is not expected to take too long. The sooner the better.
From http://www1.chinadaily.com.cn/ 09/02/2002
China Tightens Rules on Land Use
The Chinese Ministry of Supervision and the Ministry of Land and
Resources issued a joint circular on Sep.2 as part of their fight
against corruption involving the transfer of land-use rights. The
circular says that all transactions on land-use rights for profit,
such as tourism, recreation and real-estate development, should
be carried out through a public listing, bidding or auction. "The
practice is compulsory when more than two parties express an interest
for the land-use right," says the circular. Information on the land
in question should be published early enough so that as many potentially
interested parties as possible can compete fairly. The base price
should be kept secret for the sake of fair competition. "Government
officials found having improperly disclosed the base price should
be subject to administrative or criminal punishment," the circular
says. A national inspection is due at the end of this year on the
implementation of the circular.
From http://ce.cei.gov.cn/ 09/03/2002
Water Law Streamlines Management
Under China's newly revised water law, the country's vital water
resources will be brought under integrated administration and management,
it was announced at a press conference yesterday in Beijing. The
revised law, strategically important in the quest for sustainable
development, becomes effective on October 1. Water authorities throughout
China will control water supplies, the construction of key water
projects, and resource distribution and planning to optimize regional
water resources, control pollution and create a water-saving society,
a leading water official said at the press conference. The law was
revised about a month ago by the 29th session of the Standing Committee
of the Ninth National People's Congress, China's top legislature.
Jing Zhengshu, vice-minister of water resources, made it clear at
the press conference that, as of October 1, water authorities will
be the "only dragon" - that is, the only boss -as far as the administration
of water resources and water-related affairs is concerned. Urban
citizens may also have to pay much more for the water they use because
the new law allows advanced water pricing if users exceed their
water quotas. Those causing water pollution or building projects
in flood discharging channels will be either forced to improve the
resources or remove such buildings as well as pay heavy fines of
up to 100,000 yuan (US$12,048).
From http://www1.chinadaily.com.cn/ 09/06
Rules on Foreign Investment in Listed
Companies Drafted
Sources from the state department said the authorities have drafted
rules on foreign capital of buying stakes in domestically listed
companies. The rules will be issued at an appropriate time. It is
said the rules touch various aspects with strong maneuverability,
including profitability computation of foreign companies at the
time they acquired domestically listed companies and the ratio of
foreign stake in sensitive departments. The rules are in fact a
supplementary and improvement of previously issued rules by The
Ministry of Foreign Trade and Economic Cooperation and The China
Securities Regulatory Commission.
From http://ce.cei.gov.cn/f 09/11/2002
China to Popularize Mandarin by 2010
China will ensure that mandarin, the officially-endorsed standard
Chinese spoken language also known as "putonghua" (the common speech),
is commonly used throughout the country by 2010. By the middle of
this century, China would fully popularize the spoken language,
said Yang Guang, a senior official with the Ministry of Education,
here Thursday. Since 1998, China has set the third week of September
each year as the one to popularize mandarin, in an effort to standardize
its official spoken language. During the event from September 15
to 21, China will stage advertisements, television programs, contests
and art performances to promote the language. A survey by the China
Remin University has showed that the popularization rate of mandarin
is about 80 percent in urban China, as more than 90 percent of urban
residents are willing to use mandarin. But that popularization rate
is rather low in the remote areas and the places where minority
groups live, according to the survey. Within two or three years,
China's business hub of Shanghai will require its civil servants
to hold a putonghua proficiency certificate, so as to remain in
the civil service. China has thousands of different dialects in
use among its 1.3 billion people. Mandarin, which is based mostly
on the principal dialect spoken in and around Beijing, takes great
efforts for people in southern China to master.
From http://english.peopledaily.com.cn/ 09/13/2002
Jiang Urges Focus on Re-Employment Efforts
Government departments must focus on several priorities in dealing
with re-employment, Chinese President Jiang Zemin told a conference
in Beijing on Thursday aimed at helping laid-off workers get jobs.
The governments at various levels should work hard to develop economy,
which would bring more job opportunities for laborers, said Jiang.
In return, more employment would promote economic prosperity. Meanwhile,
the country should attach importance to the development of labor-intensive
industries while supporting the growth of hi-tech sectors. The governments
should also back small and medium-sized companies, which are able
to absorb more employees, he said. Enterprises dismissing redundant
workers should create more job opportunities for them instead of
throwing them out of society. Favorable policies and guidance should
be given to surplus laborers in villages. Government departments
must offer equal treatment, proper supervision and a sound service
for the farmers who go to towns and cities for new jobs, Jiang said.
Moreover, adequate measures should be taken to improve the social
welfare system, which guaranteed the success of social reforms and
re-employment efforts. Jiang said that the governments should increase
financial support to help laid-off workers become employed again.
It was a long-term work requiring patience, overall strategy and
extensive cooperation to attain final success. All government leaders
were required to devote their energy to the long-term strategic
task, Jiang said. Workers laid off from state-owned enterprises
had contributed to nation building and solving their job problems
should be the most important task of the entire employment focus,
Jiang stressed at the conference. He said it was "an unshirkable
responsibility of all levels of the CPC, the government and the
whole of society" to solve the re-employment problem for these workers
well. Employment in China would remain an important issue over a
long period owing to the gap between work opportunities and an oversupply
of labour and the quality of some workers, Jiang pointed out. He
said China faced a variety of employment problems, including job
pressure in urban areas and surplus rural labor force moving to
the towns. The crux of all these problems was the re-employment
of laid-off workers, which had become a major issue with bearing
on China's overall economic and social situation. The conference
was convened by the CPC Central Committee and the State Council.
Other top-ranking leaders Zhu Rongji, Li Ruihuan, Hu Jintao, Wei
Jianxing and Li Lanqing, all members of the Standing Committee of
the Political Bureau of the Central Committee of the Communist Party
of China (CPC), also attended the conference.
From http://english.peopledaily.com.cn/ 09/13/2002
China OKs Generic Anti - AIDS Drug
SHANGHAI, China (AP) -- A Chinese pharmaceutical company said Monday
it has received permission from regulators in Beijing to make a
generic copy of a powerful anti-AIDS drug patented in China by a
U.S. company. Desano Shanghai will be allowed to make a low-cost
version of dd1, a widely used drug that slows the effects of AIDS,
said Li Jinliang, the company's deputy manager. Bristol-Myers Squibb
holds a patent in China for dd1. A spokesman for the New York-based
pharmaceutical company said it only covers the drug in tablet form.
He said Desano Shanghai's generic version is exempt because it is
a powder. ``They are free to make this,'' Bristol-Myers Squibb spokesman
Robert Laverty said by telephone from New Jersey. Drug-patent lawyers,
however, said the approval may be part of Chinese efforts to pressure
foreign drug companies to lower their prices. They said Beijing
has in the past allowed domestic production as a way of forcing
foreign companies to the bargaining table. ``Many of these cases
have been threats to foreign pharmaceutical companies,'' said Gary
Gao, a lawyer at Duan and Duan Law Firm in Shanghai who has handled
drug-patent cases. Li, of Desano Shanghai, refused to say how his
company got permission. An official at the State Drug Administration
who refused to give his name confirmed that it had given Desano
Shanghai approval for generic production. Li said Desano Shanghai
expects to get permission to produce two more anti-AIDS drugs, but
wouldn't say which. Those approvals would allow it to make a generic
version of the ``cocktail'' treatments -- groups of drugs given
in rotating succession -- that have helped AIDS patients in the
West. He said the Chinese-made cocktail would sell for about $600
per year. The cost in the United States is about $10,000 per year.
China says it has more than 1 million people with AIDS, and Health
Ministry officials said this month that the number could reach 10
million by the end of the decade if more action isn't taken. Last
month, a Chinese manufacturer announced it will begin producing
a low-cost, generic version of the AIDS drug AZT. AZT, originally
made by Britain's GlaxoSmithKline, differs from dd1 because its
Chinese patent has already expired.
From http://www.nytimes.com/ 09/16/2002
Experts Urge Changes to Corporate Law
An urgent revision of China's corporate law in accordance with
international rules is needed to maintain the country's economic
progress, legal experts say. "Without an effective corporate law,
foreign capital as well as domestic capital will flow to other countries
with the fastening international capital movement," said Liu Junhai,
a legal researcher at the Chinese Academy of Social Sciences, during
the 21st Century Commercial Law Forum, hosted by Tsinghua University
at the weekend. Scholars from more than 10 countries and regions
participated in the event, entitled "Corporate Law Reform Under
Global Economic Competition." "Under the current corporate law there
are too many limitations on investment, especially foreign acquisition
in China, which has hindered the country's further attraction of
foreign investment," Liu said. He said in principle, a ratification
process concerning corporate activities should be replaced with
a registration system, making it easier for investors and corporate
managers to adjust their strategies. Wang Baoshu, a professor of
law at Tsinghua University, said the legal threshold to establish
a corporation is too high. While increasing the autonomy of corporate
management, the revision of corporate law should also stress transparency
of information to avoid corporate scandals.
From http://www1.chinadaily.com.cn/ 09/16/2002
China Implements New Copyright Law
Regulations aimed at strengthening the enforcement of an existing
law on copyright protection have just come into effect in China.
Under the law, anyone who has published works or produced audio
and video programs on the Chinese territory has the right to apply
for protection with the government administration. For people who
use other people's works, they must make payments to copyright holders
within two months, and anyone who infringes another person's copyright
will be fined no more than three times their illegally-obtained
business turnover.
From http://ce.cei.gov.cn/ 09/18/2002
Laws Revised to Meet Promises
As a key part of China's commitments to the World Trade Organization
(WTO), China will rectify its legal system step by step to guarantee
WTO rules are implemented effectively. In November 1999, the State
Council began the clear-up of domestic laws, administrative regulations
and policies that were at odds with WTO requirements. Since then,
the National People's Congress (NPC), China's top legislative body,
has revised 13 WTO-related laws. Similarly, some 37 administrative
regulations were enacted or modified by the State Council during
this period, and 12 were annulled. The number of newly created,
amended and abrogated ministerial provisions was more than 1,000.
At the end of last year, the Supreme People's Court also published
a list of outdated judicial interpretations that were rendered redundant
following China's WTO accession. It also produced new interpretations
on the hearing of cases related to foreign trade. Moreover, local
legislative bodies and governments have been required to abandon
or modify their local regulations and policies that are against
WTO requirements of non-discrimination and transparency. The change
in China's legal rules is mainly concerned with trade, services,
intellectual property rights and foreign investment. In a move to
promote China's foreign trade following WTO accession, the State
Council enacted the Regulations on the Import and Export of Goods,
which took effect this year. The new rule scrapped some previous
non-tariff measures like quotas and licences. The list of goods
that are still under government control is required to be made public.
The Law on Inspection of Import and Export Commodities was also
amended by the NPC in late April. The amendments slap higher health
and environment standards on imported and exported goods, and order
inspectors to protect trade secrets. With regard to market access
to services, China has promised to open more than 100 service sectors
to foreigners, which far exceeds the promise of most developing
economies to open between 1 and 20 service sectors. China has enacted
and adjusted a series of service-related legal rules to ensure foreign
investors in these service sectors can enjoy equal treatment. For
example, the State Council last year made an all-round modification
of the Regulations on the Administration of Foreign-funded Financial
Institutions, which was created in 1994. In a bid to meet the standard
of WTO's Agreement on Trade-Related Aspects of Intellectual Property
Rights (TRIPs), China has amended some key rules on intellectual
property this year, including the Law on Copyrights, the Law on
Trademarks and the Law on Patents. The new copyright law underlined
that computer software and the lease of films were independfent
items of property subject to protection by law. The patent law stipulates
that patent owners can go to the court if they are not satisfied
with decisions made by the Patent Examination Commission on their
patents. The trademark law provided special protection for renowned
brands. All the three laws have intensified the punishment of activities
that infringe on intellectual property rights, such as piracy. In
accordance with the Agreement on Trade-Related Investment Measures
(TRIMs), China amended three laws concerning foreign investment
this year: the Law on Chinese and Foreign Equity Joint Ventures,
the Law on Chinese and Foreign Contractual Co-operative Enterprises,
and the Law of Foreign-Capital Enterprises. The three revised laws
abandoned rules which hampered free trade such as requiring foreign
investors to buy raw materials from China as far as possible, and
having all or most of their products exported. The amendments also
stipulated that partners of Sino-foreign contractual co-operative
companies can choose to solve their disputes with either Chinese
or international arbitration tribunals. The old law forbade seeking
arbitration outside China. The revised investment-related laws are
widely appreciated by investors from other WTO member economies
which now enjoy a better legal environment when making money in
China. In order to remedy unfair trade measures further, China has
created new anti-dumping provisions and anti-subsidy provisions,
which are in line with WTO procedures and are practical. China will
continue to perfect the domestic legal environment to guarantee
its promises to the WTO will be honoured. Currently, the nation
is gearing up to finish making or revising certain rules including
the Law on Insurance, the Provisions on Import and Export Tariffs
and the Provision on the Protection of Intellectual Property Rights
in Customs. It is noticeable that China has enacted special provisions
on the record of local and ministerial regulations. The provisions
require all ministries and local law-making bodies to submit their
rules to designated recording agencies for examination. Any individuals
and organizations can file written motions with the State Council
to review local or ministerial rules that they think are at odds
with the law. Such a supervision mechanism guarantees that disparities
between China's legal rules and its promises to the WTO can be addressed
in time.
From http://www1.chinadaily.com.cn/ 09/19/2002
Regulation Issued for Cultural Preservation
The Chinese capital of Beijing has designed a comprehensive plan
for the preservation of historical sites and cultural relics dating
back to several ancient dynasties. "The Protection Layout for Beijing
as a Noted Historical and Cultural City" was issued recently as
a joint effort by the Beijing municipal government, experts and
scholars in various fields. The Protection Layout of Beijing, one
of the country's six ancient capitals along with Xi'an, Nanjing,
Luoyang, Kaifeng, and Hangzhou, is the most important cultural preservation
document in the city's history. To preserve the city as a whole,
the layout gives detailed requirements on 10 aspects, including
the ancient city water system, the traditional city axis, the prestigious
imperial palace, the world-famous "Hutong" or alleys, and ancient
trees. Forty historical and cultural sites were selected and sorted
out for special protection. They cover a total area of 2,617 hectares
(6,467 acres), or 42 percent of the ancient city's main area. The
6.8-sq-km Forbidden City, the imperial residence of emperors during
the Ming and Qing dynasties (1368--1911 AD), will be the main focus
of the preservation plan. The municipal government of Beijing hopes
to have the Forbidden City listed on the United Nations World Cultural
Heritage after giving it a thorough facelift. The layout also focuses
on the protection of rivers and lakes in and around Beijing municipality
and on restoring them to their ancient magnificence. These rivers
and lakes are deeply entwined in the city's evolution, according
to experts. The layout also sets ceilings on the height of buildings
to be built or rebuilt in the old city area, requiring a traditional
cyan-and-gray color and sloping-roofs for all types of architecture.
Moreover, the names of traditional streets and alleys will be protected
and must not be changed arbitrarily, the layout added.
From Xinhua News Agency 09/21/2002
Hong Kong: Exco Briefing on Subversion
Law
Secretary for Security Regina Ip will today brief members of the
Executive Council on the consultation paper on Hong Kong's proposed
``subversion law''. The proposals, drafted in accordance with Article
23 of the Basic Law, are expected to be released for public consultation
next month. Sources say the draft is ``less scary'' than some media
reports have suggested over the past week, and changes can be made
after the government collects views from the public. Reports have
said the consultation paper will include proposals that could make
expression of opinions an offence under the new law. But it's understood
the SAR has managed to persuade the Central Government to allow
Hong Kong to enact a subversion law based on ``lenient'' principles.
Business tycoon Li Ka-shing, a former Basic Law drafter, last night
came out in support of the government's move to enact the law. ``The
SAR government has been set up for five years. Now is a proper time
to enact laws under the Basic Law,'' he said at a Hong Kong Chiu
Chow Chamber of Commerce function. ``I believe the legislation will
not affect Hong Kong's investment environment. ''Article 23 of the
Basic Law stipulates ``the Hong Kong SAR shall enact laws on its
own to prohibit any act of treason, secession, sedition, subversion
against the Central People's Government, or theft of state secrets,
to prohibit foreign political organisations or bodies from conducting
political activities in the region.'' It also prohibits local political
bodies from establishing ties with foreign political bodies. The
Frontier, however, has urged the government not to enact subversion
laws and has even urged it delete the whole of Article 23 by seeking
an amendment to the Basic Law. After meeting Secretary for Justice
Elsie Leung about the legislation, Frontier legislator Cyd Ho said
the party had asked Leung to clarify to the public the methodology
of the consultative exercise and to provide an option in the consultation
paper of not enacting the laws. ``The government should lay down
the rules of the game when it starts the consultation exercise,''
she said. ``Whether it counts the quality or the quantity more,
the government should make it clear, because in the past it is so
used to distorting the consultation result to make it in favour
of the government line. ''Ho said enacting laws should also be made
a dispensable option in the consultation paper, saying she did not
want to see people criminalised because of their words. ``Apart
from that, I really hope the government won't repeat what happened
on the anti-terrorism legislation which can criminalise people who
have affiliation with terrorists or fail to report on terrorist
activities,'' she said. In the end, the Frontier would like to see
the Article 23 deleted from the Basic Law, Ho said.
From http://www.thestandard.com.hk/ 09/25/2002
Regulations on Anti Money Laundering to
Be Promulgated
The People's Bank of China, the nation's central bank, is preparing
the Regulations on Anti Money Laundering in Financial Institutions,
according to the bank's Governor Dai Xianglong. Dai made the remarks
during an anti money laundering conference, recently held in Beijing.
"Relevant regulations concerning the administration of payment dealings
reports, temporary regulations of suspicious forex, and large-scale
capital in financial institutions will be established to improve
the laws governing anti money laundering," he said. It's the first
time that China's banks have held such a conference to discuss these
issues. An analysis and supervision system of financial dealings
and information communication mechanism will be established, in
order to crack down on financial crimes such as money laundering.
To date, the main focus of the institution has been to standardize
account administration, strengthen forex management, and crack down
on illegal banks. During the conference banks were urged to administer
financial regulations such as the Regulations on the Real Name System
for Personal Bank Accounts, and strengthen training on anti money
laundering. In addition, international cooperation to crack down
on money laundering and the financing of terrorist activities was
also emphasized. China has so far promulgated a series of regulations
to standardize financial dealings. The regulations, which have already
been established by the People's Bank of China and State Administration
of Foreign Exchange, include Measures on Account Administration,
Measures on Domestic Forex Account Administration, the Circulation
on the Administration of Large-scale Cash Payment, and Measures
on Recordation of Large-scaled Cash Payments. Currently, the real
name system for personal bank account is already being carried out.
Commercial banks, on the other hand, have introduced their own regulations
on anti money laundering. Mr. Dai pointed out that, "Commercial
banks should prevent these financial crimes by improving and implementing
the financial dealings system in strict accordance with the regulations,
joining hands with the justice department to crack down on illegal
money laundering." As a financial supervision institution, the People's
Bank of China will monitor the implementation of the financial dealings
system, maintain depositors' rights, and assist other departments
to crack down on financial crimes. As early as September last year,
the People's Bank of China set up a leading team on anti money laundering,
to monitor such issues in China's banking industry. In July this
year, a special institution was set up to supervise suspicious large-scale
payments and financial dealings. Some commercial banks also established
relevant departments to monitor anti money laundering through their
own institutions.
From http://www.china.org.cn/ 02/25/2002
Premier Urges Attention to Detail in National
Tax System
Strengthening the taxation levy and its management is an urgent
task for local governments to increase revenue and push for sustainable
and sound economic development, Premier Zhu Rongji stressed yesterday.
Zhu also urged the need to cut down on unnecessary expenses and
the duplication of similar projects. The moves are essential if
the central government is to keep below its planned budget deficit
this year, which stands at 308.9 billion yuan (US$37 billion), 50
billion yuan (US$6 billion) higher than last year's deficit. Zhu
made the comments at a Beijing-based national conference on increasing
revenue and cutting government expenditure. Levies on value-added
tax, consumption tax, business tax, corporate tax and personal income
tax are listed by Zhu as the main targets of the belt tightening.
He said strict accounting and invoice management systems are required
to be conducted by private companies. Tax evasion was a serious
problem in recent years in some private and foreign-invested companies
as well as State-owned enterprises in some key industries. Facing
such a situation, Zhu urged the improvement of the taxation system
and the strengthening of the relevant subsidiary systems, such as
preferential policies on taxation for imported commodities. Meanwhile,
Zhu said the duplication of similar projects in electrolytic aluminium,
alloy iron and glass industries should be put to an end. He said
small-sized coal mines and factories making steel, glass, paper
and cement will continue to be closed and readjusted according to
law. It is forbidden to use State funds to build city malls, administrative
offices, training centres and interior high-grade entertainment
facilities. Vice-Premier Li Lanqing said the public security, justice,
auditing, banking, foreign trade departments and others should co-operate
with the finance, taxation and customs authorities to achieve the
goal of increasing revenue and reducing administrative costs. Zhu
said despite the slow increase in revenue and fast rise in expenditure
this year, China's economy has maintained a sound growth momentum
amid a global slowdown. He said this year's overall economic situation
is better than anticipated with remarkable achievements in some
fields, establishing the solid economic base.
From http://www1.chinadaily.com.cn/ 09/17/2002
Japanese Gov't to Clarify Terminology
in War Bills
TOKYO - The government has decided to clarify its definition of
"a military attack" in planned war contingency bills amid criticism
the envisioned legislation is ambiguous, government sources said
Sunday. The sources said the definition of "a situation when a military
attack is predicted" and "in a case of a potential danger of a military
attack" in the bills will be clarified to respond to criticism from
opposition parties and even some lawmakers in the ruling parties.
From http://www.japantoday.com/ 09/01/2002
Current Monetary Policy to Remain as It
Is
NAGOYA (Kyodo) BOJ Gov. Masaru Hayami told a news conference here
Friday that monetary conditions have eased sufficiently and he sees
no need to inject additional liquidity into the banking system.
"There is no need to increase fund provisions any further," Hayami
said, commenting on the advisability of providing additional credit
easing measures in response to stock market plunges. The central
bank chief said Japanese banks are unlikely to be thrown into crisis
even with the domestic stock market falling to recent lows. "The
BOJ will maintain its bold, easy policy and continue to provide
support on the monetary front to ensure an economic recovery will
be firmly in place," Hayami told a meeting of local business leaders
in Nagoya earlier in the day. However, he stopped short of saying
if he thought additional measures were needed. The Japanese economy
has almost stopped deteriorating, mostly thanks to an economic recovery
abroad that began in early spring, he said, adding that domestic
demand nevertheless remains weak. "Given that adjustment pressures
from excess labor and excess liabilities are still strong, it will
take more time for the Japanese economy to achieve a self-sustaining
recovery," he said. But there are growing uncertainties over the
world economy, he said, singling out the U.S. economy and its effect
on the financial and capital markets in Japan and abroad. Largely
reiterating comments made in a speech a day earlier in Osaka, Hayami
said Japanese banks risk acquiring fresh nonperforming loans, given
recent economic developments and ongoing economic structural reforms.
"I think risks for banks of acquiring new bad loans are not small
for the time being due to recent economic developments, structural
changes and intensifying competition among corporations," he said.
From http://www.japantimes.co.jp/ 09/07/2002
Gov't Drafts Public Protection Bill for
Emergencies
TOKYO - The government has drawn up draft legislation on protecting
the public in planned war contingency bills to be discussed in an
extra Diet session expected to start in mid-October, sources close
to the case said Sunday. The public protection bill will contain
200 provisions including one stipulating local governments must
develop plans to evacuate and rescue residents in case of foreign
military attack, according to the sources. The government intends
to put the bill's framework to the upcoming Diet, they said. The
bill will also include compensation measures by the central government
for damage caused by use of supplies and land provided by municipalities
in war contingencies and says the central government will pay for
public protection. The Cabinet Secretariat has been hearing the
opinions of government ministries and agencies on the legislation.
In early August, it ordered them to discuss basic ideas and draft
bills for public protection in reference to the Disaster Prevention
Basic Law. The bill will include the issuance of warnings in war
situations, information-gathering and coordination involving multiple
prefectures as the role of the state. In April, the government submitted
to the Diet a set of bills to govern Japan's response to a foreign
attack. The bills will allow the prime minister to instruct governors
or mayors and make executive orders in their place in the event
of a military emergency. Support for quick enactment, though, has
fallen as some ruling coalition lawmakers claim too much of the
emergency-measures bills remain vague, such as the definition of
a military attack, or how people's rights can be legally limited
in such attacks in light of Japan's war-renouncing Constitution.
They have also criticized the set of three bills for failing to
define how to evacuate people in the event of an attack.
From http://www.japantoday.com/ 09/08/2002
Terror Law May Get Sharp Teeth
The government eyes new anti-terror legislation that could see
Japanese troops in Afghanistan. Japanese troops, in addition to
other support activities, could find themselves on the ground in
Afghanistan under new legislation being considered, government sources
said Monday. The basic plan for Self-Defense Forces activities under
the current anti-terrorism law allows rear-area support for U.S.
Afghan operations, but it expires in November. Some sort of new
legislation is needed, especially if the United States undertakes
its threatened military-backed ``regime change'' in Iraq. Citing
a recent heightening of tension, including last week's attempt to
kill Afghan President Harmid Karzai and the July 6 assassination
of Afghan Vice President Abdul Qadir, the sources said Japanese
Self-Defense Forces could be needed to fill the void if Washington
redeploys its troops from Afghanistan to Iraq. Any attempt by the
government to put SDF boots on the ground in Afghanistan would be
generally controversial, and specifically run afoul of Japan's five-point
peacekeeping principle, which requires a cease-fire agreement be
in place, a condition not met in famously unstable Afghanistan.
Tokyo believes the Karzai administration, established only in December,
and the nascent democratization process could easily deteriorate
if more terrorist attacks take place. If U.S. troops-now in Afghanistan
as part of International Security Assistance Force (ISAF)-are redeployed,
SDF members and other assistance would be required to augment international
units to maintain stability in the country, Tokyo believes. Initially,
the government thought the current anti-terrorism special measures
law would suffice. Enacted last November, it allows the SDF to provide
logistics support for U.S.-led operations against terror following
the Sept. 11 attacks on the United States. Refueling U.S. Navy vessels
at sea is one such measure. Indeed, Gen Nakatani, director-general
of the Defense Agency, took this tack when he met U.S. Deputy Secretary
of State Richard Armitage in Tokyo last month, saying, ``There is
a high possibility of Tokyo cooperating if it is along the lines
of the anti-terrorism law.'' However, the law covers only Tokyo's
response to the Sept. 11 attacks, and officials decided a new law
would be required for Japanese troops to be further involved-such
as airlifting supplies to the landlocked nation. Ultimately, officials
came to the conclusion it would be futile to try and stretch legal
interpretations to allow a review of the basic plan to allow an
SDF deployment this time around.
From http://www.asahi.com/ 09/10/2002
Gov't Froze 347 Terrorist-Related Financial
Transactions
The government in the last 12 months froze 347 financial transactions
of terrorist-related organizations, mostly those connected to the
Taliban, officials said Wednesday. Tokyo has stepped up efforts
to freeze terrorists' financial transactions as the international
community has taken concerted efforts to deprive terrorists of funds
since the terrorist attacks on the United States on Sept. 11 last
year. Specifically, the government banned financial institutions
from remitting money to accounts held by individual terrorists and
organizations connected to them, in addition to banning contracts
on deposits, fund trusts and loans with terrorists and their affiliated
organizations. Of the 347 transactions, 322 were connected to the
Taliban, former rulers of Afghanistan, while 25 transactions were
linked to other terrorist organizations. In accordance with the
U.N. sanctions against the Taliban, the government banned all transactions
with organizations connected to the group. However, it later lifted
the freeze on 13 transactions, including those with Afghanistan's
central bank and Afghan government-affiliated financial institutions.
From http://mdn.mainichi.co.jp/ 09/11/2002
Public Safety Bill Added to Attack-Response
Plan
The government has drafted legislation for protecting the public
in the event of an attack that will be attached to war contingency
bills to be discussed in an extra Diet session expected to start
in mid-October, sources said. The public protection bill is expected
to contain some 200 provisions, including one stipulating that local
governments must develop plans to evacuate and rescue residents
in the event of an armed attack on Japan, according to the sources.
The government intends to submit the package to the upcoming Diet
session, they said. The protection bill would also include compensation
measures by the central government for damage caused by equipment
used to defend against attack and for land appropriated from residents
and municipalities in such emergencies. It says the central government
would pay to safeguard the public when prefectural and municipal
governments take measures to comply with the legislation. The Cabinet
Secretariat has been hearing the opinions of government ministries
and agencies on the legislation. In early August, it ordered them
to discuss basic ideas and draft bills for public protection, using
the Disaster Prevention Basic Law as a point of reference. The bill
would also include the issuance of attack warnings, information-gathering
and coordination involving many prefectures serving the function
of the state. In April, the government submitted to the Diet a set
of bills to govern how Japan would respond in the event of a foreign
attack. They would place governors and mayors under the supervision
of the prime minister, who would be able to issue executive orders
in their place in the event of an emergency. Quick enactment of
the bills fell through, however, because lawmakers in the ruling
coalition claim too much of the legislation remains vague, including
even the definition of a "military attack." Another lingering question
is how people's rights can be legally curtailed in such emergencies
in light of Japan's war-renouncing Constitution. Lawmakers have
also criticized three of the bills for failing to spell out how
people would be evacuated in the event of an attack. Mounting concerns
were also voiced by a number of municipal governments that, since
the war, have given little thought to such legislation. The central
government will need a lot of time to sell the planned legislation
to the public as well as local governments, and thus passage before
the extra Diet session's expected late December close is not a given,
experts say.
From http://www.japantimes.co.jp/ 09/11/2002
Japan Expands Short-Selling Rules, Sets
Guidelines for Banks
TOKYO - Japan's financial watchdog enacted new short-selling rules
today and was set to announce guidelines on how banks could trade
securities to boost the nation's flagging stock market, an official
said. The Financial Services Agency (FSA) implemented its pricing
rule on short-selling by brokerages which finance such trades through
three special companies that lend stocks and money to fund margin
transactions. Until this morning, trades that went through the firms
in Tokyo, Osaka and Nagoya were exempt from tightened rules adopted
in March. But now only orders of below 50 shares placed by individual
investors would avoid the regulations. The move closed a loophole
initially intended to help individual investors, but was instead
exploited by large institutional investors after the initial clampdown
by the FSA on the market-depressing act of short-selling. We've
heard that there were a lot of securities firms utilising this for
their trading business,' said Shigeru Ariizumi from the FSA's financial
markets division. 'And that's not what the original system intended.'
In March, the FSA disallowed short sales below a stock's last market
price when it was falling, to prevent bearish brokers from driving
a share's value down further.
From http://business-times.asia1.com.sg/l 09/17/2002
Cabinet to Call Shots on Deregulation
Zones
The Cabinet Secretariat will take sole charge of selecting areas
to participate in a planned special structural reform zone system
and deciding on deregulation measures to be offered to local governments
for implementation, according to the government's basic policy on
the system. The government's panel for the special structural reform
zone plan, chaired by Prime Minister Junichiro Koizumi, is expected
to officially approve the basic policy Friday. Based on this policy,
the government will draw up specific deregulation programs early
next month for implementation in the special zones. The government
plans to submit the legislation necessary to introduce the system
in the upcoming extraordinary Diet session. The idea of special
structural reform zones was first proposed in December by Taro Aso,
chairman of the Liberal Democratic Party Policy Research Council.
The government's Council on Economic and Fiscal Policy incorporated
the introduction of the system in its strategic plan unveiled in
June to reinvigorate the economy. The basic policy states that the
Cabinet Secretariat will discuss more than 400 proposals regarding
special economic zones already submitted by local governments. The
Cabinet Secretariat will be solely in charge of handling applications
for special zones to be submitted by local governments and officially
designating areas as special structural reform zones. The aim of
having the Cabinet Secretariat take control of designating special
structural reform zones and deciding on deregulation measures is
to eliminate resistance from recalcitrant government ministries
and agencies, observers said. The basic policy also stipulates that
deregulation will cover a broad range of subjects, and that local
governments in the designated areas will be free to choose from
among several deregulation plans which plan to implement. Further
deregulation will be considered upon request from the local governments.
It states that the central government will not grant subsidies and
other forms of financial assistance to local governments under the
system as some of them have requested. The local governments need
to exhibit an independent spirit, it added. The basic policy also
calls on local governments to be responsible for solving problems
raised by the introduction of a special deregulatory zone rather
than simply depending on the central government.
From http://www.yomiuri.co.jp/ 09/18/2002
Gov't to Raise Taxes to Curb Housing Speculation
The government yesterday announced a plan to hike property tax
and tighten capital gains tax rules in desperate efforts to bring
rampant house speculation under control. Unveiling a new series
of anti-speculation measures, the government also decided to develop
two or three new residential towns around Seoul City to increase
the supply of apartments. Subscribers to to-be-built apartments
will not be able to sign up for additional apartments until five
years after their first subscription. ``We've decided to take these
steps in a stepped-up fight against speculators and stabilize the
overheated housing market,'' said Kim Young-joo, deputy finance
and economy minister, in announcing the measures. The steps were
adopted during a vice ministerial meeting presided over by Vice
Finance and Economy Minister Yoon Jin-shik. The government plans
to strengthen the tax-exemption requirement for capital gains from
house transactions in Seoul and six cities in Kyonggi Province starting
next month. The six are Pundang, Ilsan, Pyongchon, Sanbon, Chungdong
and Kwachon, where, alongside the capital city, apartment prices
have recently surged on speculative buying. Single-home owners currently
enjoy exemption from capital gains tax if they sell their house
a minimum three years after buying it. The new tax exemption rules
call for single-home owners to possess their house for more than
three years and reside in the house at least one year. In addition,
the government has decided to raise property tax and global land
tax in order increase the financial burden of home ownership, thus
preventing people from purchasing houses and apartments for speculative
purposes. The envisaged tax hike will be enforced in the first half
of next year. Tax authorities also plan to conduct extensive inquiries
into 483 alleged speculators by the end of November, by tracing
the source of money they used to purchase houses and apartments.
Authorities threatened to begin the second round of tax probes late
this year to crack down on speculators found to engage in tax evasion.
The administration has also decided to speed up the development
of residential complexes in Pankyo, south of Seoul, and Hwasong,
southwest of the capital. It also pledged to build two or three
other new residential towns near the capital city to supply more
apartments to the public on a mid- and long-term basis. The government
also promised to take action to force financial institutions to
cut the extension of housing loans, saying that superfluous liquidity
has been partly blamed for sparking real estate speculation. Loan-loss
reserve ratios for loans secured by houses and apartments will be
hiked in Seoul and the six other cities in Kyoggi Province, which
were put on the watch list. Pension funds and other publicly managed
funds will also be encouraged to actively invest in stocks to boost
the local equity market, which is expected to absorb money from
real estate speculators. The government also decided to build more
apartments in northern Seoul in a bid to extinguish a heated speculative
trend in southern Seoul. Under the anti-speculation measures, it
would be almost impossible for subscribers of to-be-built apartments
to sign up for additional unfinished apartments until five years
after their first subscription. Stricter regulations were enforced
before the 1997 financial crisis in order to prevent homeowners
from subscribing to new apartments. But the government lifted the
regulations rules in 2000 to promote a boom in the housing market
under an economic stimulus package. Sources estimated that as many
as 1 million of 1.9 million potential subscribers will be virtually
disqualified from subscribing to new apartments.
From http://www.hankooki.com/ 09/04/2002
South Korea: 5-Day Workweek to Start in
July 2003
Starting July next year, a five-day workweek system is expected
to be implemented nationwide for the first time, with workers in
the public and finance sectors as well as in companies with more
than 1,000 employees being the first to benefit. However, the phased
implementation of the system until 2006 excludes workplaces with
less than 30 employees, and it has not yet been decided whether
Sunday wages should be retained or not. Labor Minister Bang Yong-suk
reported Tuesday to President Kim Dae-jung on the government draft
for the five-day workweek system. After smoothing out differences
with economy-related ministries, the Labor Ministry plans to present
the bill to the National Assembly tomorrow. According to the draft,
weekly working hours will be reduced to 40 from the current 44.
The new standards will be introduced in four stages. The public
and finance sectors as well as companies with 1,000 employees or
more will be the first to adopt the new workweek system, starting
in July next year. The system will expand from July of each following
year to cover workplaces with 500 or more employees, then firms
with 300 or more, 50 or more and finally to 30 or more. A separate
presidential decree will be made for the system's application to
smaller companies. The school week will be shortened accordingly,
at an unspecified point when most of the small companies have taken
the workweek. Last-minute differences on Sunday wages remain unresolved.
The Commerce, Industry and Energy Ministry and other economy-related
government bodies reportedly call for their abolition. But the Labor
Ministry wants them to be kept for the purpose of avoiding a sudden
drop in wage levels. The maximum paid overtime will temporarily
be expanded from the current 12 hours per week to 16 hours, for
the first three years. For the first four hours of overtime work,
employees get 25 percent more than the regular wage. If they work
a greater amount of hours, the current overtime bonus level of 50
percent will be retained. The holiday system will undergo a major
overhaul. The 12 annual days off and seniority-based annual leaves
of 10 to 20 days will be consolidated into a single vacation system.
Workers can take at least 15 days off annually, not counting Saturdays
or Sundays. Every two years of work grants the employee one more
day of yearly leave, which cannot be longer than 25 days in total.
Irregular workers are also entitled to leaves of up to 15 days a
year. The government's bill is the result of two years of strenuous
negotiations. Since talks at the Tripartite Commission, consisting
of labor, management and the government, broke down July 22, the
government decided to submit its own legislation. However, the bill
is seen as leaning toward management on the key issue of maintaining
wage levels, and strong labor protests are expected as a result.
One of the bill's clauses stipulates that the total sum received
by workers should not be reduced under the new system. Labor had
demanded more specific and detailed enforcement measures. As a result
of the new system, South Korean workers will officially have 138
days off a year, including weekends and other national holidays.
That total is similar to Japan, which has 137 holidays. The U.S.
has 163, and France 145. The state-run Korea Labor Institute estimated
businesses would shoulder a 2-3 percent rise in manpower costs if
the government's bill goes through. Despite approximately 70-percent
popular support for the shortening of working hours, however, the
legislation could have difficulties in the National Assembly. The
opposition Grand National Party, which holds the parliamentary majority,
said it would review the bill closely. (By Seo Soo-min)
From http://search.hankooki.com/ 09/04/2002
Increased Tax Deductions for Education
Spending
The government decided yesterday to rewrite income tax law to allow
wage earners to enjoy increased tax deductions on educational spending
for their children as well as payment for insurance premiums. Starting
next year, wage earners will receive a deduction of up to 5 million
won in equivalent income per college student when calculating taxable
income during the year-end tax refund application process. The deduction
represents an increase from the current 3-million-won ceiling for
college education spending. The sum will also be raised to 2 million
won per elementary, middle and high school student and 1.5 million
won per preschooler, from current figures of 1.5 million and 1 million
won, respectively. With the upward adjustment, wage earners are
expected to enjoy a 10-to-30-percent tax deduction in accordance
with the size of their annual incomes. Wage earners will also be
allowed to receive a reduction of up to 1 million won from their
taxable incomes in return for payment of auto, accident and life
insurance premiums. The current ceiling stands at 700,000 won. The
government has also decided to tighten gift-tax exemption rules
in a bid to prevent individuals from transferring wealth to their
spouses in order to pay fewer taxes. Under the revision bill, married
persons will be allowed to transfer a maximum 300 million won in
wealth to their spouses over a 10-year period without paying gift
taxes. Married couples are currently allowed to give each other
less than 500 million won for 10 years without paying gift taxes.
The Ministry of Finance and Economy said the bill will be presented
to the National Assembly soon so that the toughened rules can be
enforced starting Jan. 1. The ministry has come up with the revision
draft following a ruling by the Constitutional Court on Aug. 29
that the current tax law, which levies taxes on the combined asset
income of married couples, is unconstitutional. A ministry official
said wealthy couples may move to partition their wealth equally
in the wake of the ruling calling for imposition of taxes on husband
and wives separately. ``We've decided to lower the maximum sum for
gift tax exemption from 500 million won to 300 million won in a
move to prevent married couples from excessively transferring wealth
to their spouses to avoid progressive tax rates,'' he said. Combined
asset income taxes have been imposed on income earned in the form
of interest, dividend and rents since 1974.
From http://search.hankooki.com/ 09/06/2002
Labor, Management Sabotage 5-Day Workweek
System
Far from the expectations that labor would welcome the five-day
workweek plan, the government's bill has drawn and angry backlash
from labor groups. In addition, business has made it clear that
they will oppose the bill on a shorter working week. Union leaders
are threatening massive strikes in the coming months to stop the
government from implementing the revised labor law. The nation's
two umbrella unions announced they would soon decide on a strike
schedule. The Korean Confederation of Trade Unions (KCTU), said
it would hold industrial meetings and hold a central meeting next
Wednesday to decide on a future course of action to prevent the
regressive revision of the labor law being passed. KCTU, which was
recently involved in a rally at Kangnam St. Mary's Hospital in southern
Seoul, said the strikes would peak in November and continue up to
the presidential election the following month. The Federation of
Korean Trade Unions (FKTU) arranged a press conference Monday at
Seoul Station to declare its opposition to the government's plan
and announce future protests. The government drafted its own revision
of the labor law, including the introduction of a five-day workweek
after years of government-management-labor union tripartite efforts
failed to find a compromise acceptable to all parties. Union representatives
are strongly against leaving smaller companies with payrolls less
than 30 out of the five-day workweek implementation timetable, and
opposed to employees not receiving payment in lieu of leave. A number
of women's groups, including the Korea Women's Association United
(KWAU) and Korean Working Women's Network, also made their opposition
on the government's plan public. They said they oppose the government's
retrogressive revision of labor laws such as making monthly menstrual
leave an unpaid holiday and reducing the amount of annual leave.
The nation's big business organizations said yesterday in a joint-statement
the business community opposed the bill on the five-day workweek
system that the government had submitted to the Assembly. Five business
organizations - the Korea Employers Federation (KEF), the Federation
of Korean Industries (FKI), the Korea International Trade Association
(KITA), the Korea Chamber of Commerce in Korea and the Korea Federation
of Small and Medium Business (KFSB) - noted they can hardly accept
the number of holidays, the implementation schedule and accompanying
salary changes in the government's bill, all of which they claim
to fall behind global standards. "The shortened workweek has to
be considered under conditions like whether it complies with that
of advanced nations, whether it is designed to reflect the business
conditions of companies and whether it will maintain the nation's
industrial competitiveness," the statement said. "Under the bill,
combined monthly and annual leave is set at 15 to 25 days, but if
those holidays are added to the total annual holidays, including
public holidays, the number would reach 136 to 146 days, longer
than 129-139 days in Japan," the business interest groups' statement
said. According to the bill, public and financial organizations,
as well as companies with more 1,000 employees, will adopt the two-day
weekend from next July. The system will be adopted by July 2006
by all companies employing more than 30 workers, but the business
community claimed that it is too early for big firms to implement
the system from next July, saying it must be delayed to 2005. "The
government bill also breaks the internationally adopted labor rule
of no work no pay, as it delays unpaid Sundays under the proposed
five day workweek," the KEF added.
From http://www.hankooki.com/ 09/06/2002
Government OKs N.K. Aid Fund
The government approved Saturday the use of 201.4 billion won ($156.68
million) from state coffers to ship rice and fertilizer to North
Korea. The fund will be used to provide 400,000 tons of rice on
credit and a donated 100,000 tons of fertilizer to North Korea and
organize reunions of separated families. Of the total fund, 127.2
billion won will be used for the purchase of rice, 4.8 billion won
for the lease of cargo ships and 35.6 billion for other uses such
as transportation and distribution. In addition, 29.2 billion won
will be allotted for the purchase of fertilizer and 3.8 billion
won for the cost of its delivery. The remaining 800 million won
will be used for the fifth round of reunions of separated families
expected to take place Sept. 13 at the North's Mount Geumgang, the
ministry said.
From http://www.koreaherald.co.kr/ 09/09/2002
N. Korea Declares Border City a Special
Zone
SEOUL - North Korea announced on Thursday it had made the city
of Sinuiju on its border with China a ''special administrative region''
-- move South Korean media said was the first step toward creating
a new economic zone. The announcement in a terse report on North
Korea's official Korea Central News Agency (KCNA) followed the impoverished
communist state's introduction in July of price and wage changes
analysts said represented tentative market reforms. The economic
changes coincide with North Korea's most sustained diplomatic outreach
since 2000, with a first-ever summit with Japan this week and joint
work with South Korea on restablishing rail and road links between
the rival states. Sinuiju is on North Korea's Yalu River border
with China and is the final Korean peninsula stop on one of the
two North-South railroads that are being restored. Without stating
the purpose of the designation, KCNA said that the standing committee
of North Korea's parliament, the Supreme People's Assembly, had
decreed the city a special administrative region on September 12.''The
region shall be directly put under the central authority as a special
administrative unit of the DPRK,'' it said, using the acronym for
North Korea's official title, the Democratic People's Republic of
Korea. South Korea's Yonhap news agency said the move was ''the
first step toward the creation of a special economic zone'' in North
Korea along the lines of the coastal zones China set up in the 1980s
to transform its economy. North Korean leader Kim Jong-il toured
China's economic hub Shanghai in early 2001, and was later quoted
by his Chinese hosts as being strongly impressed by the dynamism
of the city. In July, Pyongyang scrapped ration coupons used for
decades and boosted prices closer to levels on its burgeoning black
market. The move prompted rice prices in the north to soar by 50
times. For the first time 22 million North Koreans face paying rent
and up to 70 times as much for diesel and other basic commodities.
Experts in the South say the North has also allowed farmers to cultivate
abandoned plots of land privately up to a maximum size of 1,320
square metres (14,190 square feet).Drought and other natural disasters
have ravaged North Korea since 1995, with estimates of the death
toll ranging from 100,000 to several million.
From http://famulus.msnbc.com/ 09/09/2002
Roh Moo-hyun to Enlarge Upon "Sunshine
Policy"
With inter-Korean relations on the fast track ahead of the Dec.
19 presidential election, major presidential contenders' policies
toward North Korea are in the making. Millennium Democratic Party
presidential nominee Roh Moo-hyun and independent contender Chung
Mong-joon publicized their overall views toward North Korea at a
forum on Tuesday, while the conservative Grand National Party's
standard-bearer Lee Hoi-chang presented his policy at a seminar
of conservative scholars late last month. The Korea Times offers
a brief look at each candidate's differing North Korea policies,
which will certainly be one of the hottest issues of the upcoming
election, as well as an important factor in the peace process on
the peninsula for the next five years.
From http://search.hankooki.com/ 09/11/2002
Overall Tax Reform to Boost Growth
The government should lower corporate and personal income tax rates
if it wishes Korean companies to invest more and consumers to spend
more. In addition, consumption taxes, capital gains taxes and special
value-added tax should also be lowered. In short, there ought to
be comprehensive overhaul of the entire tax code with an aim to
reduce the overall tax burden. In this process, government officials
should be discouraged from targeting specific activities or sectors
in approving cuts. Instead, reductions should be across-the-board
so that special interests are not served or that the misguided logic
of some bureaucrat or politician does not guide the choices. And
they should be permanent so that economic decision makers can build
them into their long-term planning horizons. To its credit, the
government oversaw a lowering of corporate tax rates this past January.
Companies with an annual taxable income of more than 100 million
won saw their taxes fall by one percentage point to 27 percent while
those with lower income, 85 percent of corporate taxpayers, must
pay a 15 percent levy. This lowered the average corporate tax rate
to 23.6 percent, down from 28.5 percent in 1994. Meanwhile, the
Korea Economic Research Institute (KERI) has for drastic cuts in
corporate tax rates in response to increasing global tax competition.
KERI proposed that the current corporate tax rate be cut by an additional
10 to 20 percent to allow Korean companies to be more competitive
and to enhance overall growth prospects. This proposal should be
taken seriously and implemented with great haste to offset further
uncertainties in the global situation. Although Korea's corporate
tax rates are not appreciably higher than most OECD members, they
are less competitive with competitors in the region. For example,
Taiwan's corporate tax rate is 25 percent while Hong Kong's is 16
percent and Singapore's levy is 25.5 percent. By comparison, Germany
lowered its corporate income tax rate to 25 percent from 40 percent
and Canada is moving towards a cut to 21 percent from 28 percent.
However, the Ministry of Finance and Economy (MOFE) was recently
joined by the Korea Institute of Public Finance (KIPF) to oppose
further cuts. However, the both the MOFE and KIPF relied upon spurious
logic in stating its opposition by suggesting that increased government
spending is more effective than tax cuts. In the first instance,
reduction of taxes on corporate income and capital gains would improve
the bottom line for companies and boost stockholders' wealth. This
would allow businesses and households to spend more. Better yet,
both of them could add to the pool of savings so that there would
be a natural decline in interest rates that could encourage long-term
commitments of spending in other sectors of the economy. It is wrong-headed
to suggest that greater savings is bad for durable growth. Concerns
have been expressed over whether lowering taxes will obstruct the
attainment of a balanced budget since they yield 16 trillion won,
about 20 percent of total revenues. The government has pledged to
achieve a balanced budget by 2003 to improve its fiscal horizon.
It should not be forgotten that tax cuts create new growth dynamics
that will raise revenues in later periods. As it is, the restructuring
in the wake of the turmoil of 1997-98 led to an increase in corporate
tax revenues due to improved bottom lines for businesses that led
to more profits. In all events, some of the short-run shortfalls
can be offset if Seoul rationalizes its budget expenditures to limit
waste and corruption. Massive loss of public funds from bank restructuring
is just another indication that politicians and bureaucrats use
poor judgment in husbanding tax revenues entrusted to them. If one
of the primary goals of policy makers is to induce sustainable growth,
steps should be taken to streamline Korea's complicated taxation
system. This would require eliminating earmarked taxes and "quasi-taxes"
(allotments and contributions and special-purpose taxes) to encourage
higher levels of investment. According to the OECD, Korea has a
range of pseudo-taxes that obscure tax neutrality and hinder efficiency.
Similarly, there could be greater haste in privatizing state-owned
or controlled financial institutions and to eliminate red tape.
Reduction of taxes is the right step towards long-term sustainable
growth. Easing companies' tax burdens will improve profitability
and help them gain a better competitive position. And when taxes
on gains from capital investment are reduced, international investors
will be more likely to make more capital available. By reducing
individual income taxes, a lower tax burden will motivate employees
to work harder. This would be a compensation for those in low- and
middle-income brackets who bore the brunt of economic restructuring
and will pay the bulk of the bills for Seoul's missteps. It is just
this consideration that should draw the attention of politicians
seeking to win electoral support. In the meantime, ignore bureaucrats
and politicians who scream like stuck pigs whenever there is talk
of lower tax revenues. American political humorist P.J. O'Rourke
once remarked that giving additional money to government officials
makes as much sense as giving car keys and whiskey to teenagers.
History suggests that most teenagers are likely to be more prudent.
(by Christopher Lingle)
From http://search.hankooki.com/ 09/15/2002
Summit Success as North Korea Opens Up
The historic North Korea-Japan summit has achieved significant
breakthroughs. Pyongyang yesterday revealed the fate of 11 Japanese
nationals it kidnapped 20 years ago and declared it was ready to
talk to the United States. At the meeting with Japan's Prime Minister,
Junichiro Koizumi, the North Korean leader, Kim Jong-il, also agreed
to extend the North's moratorium on missile tests beyond next year,
and indicated he would accept nuclear inspections. He also asked
Mr Koizumi to tell Washington he was "open for talks". The US has
named North Korea as part of its "axis of evil", with Iraq and Iran.
Both sides gave ground on bilateral issues. For the first time,
Mr Kim conceded the kidnappings took place, and revealed that four
of the 11 people abducted were still alive and said they were free
to return home. Mr Koizumi is also reported to have offered an apology
for Japan's colonial rule of the Korean Peninsula between 1920 and
1945. They agreed to resume talks on normalising relations. Mr Kim
apologised for the abductions and said he had punished those responsible.
The kidnappings topped the agenda for Mr Koizumi, the first Japanese
prime minister to visit the reclusive state. Many believed he had
staked his political career on success at the summit. Mr Kim confirmed
that of the 11 people abducted, six were dead from "natural causes
or disasters", and the whereabouts of one other were unknown. North
Korean agents kidnapped at least 11 Japanese nationals as part of
its Cold War espionage against Japan. They were allegedly used as
Japanese language teachers and their passports used to provide identities
for North Korean spies. There were harrowing scenes when families
of those kidnapped received news on their fate at a special Foreign
Ministry briefing. Yesterday's summit began with Mr Kim calling
for an end to hostility with Japan. "I believe the bilateral relations,
which have left the two countries far apart, though they are geographically
close, will become an old legacy of the 20th century." The Japanese
had insisted the summit should be business-like. Ceremony was minimal.
Mr Koizumi flew to Pyongyang yesterday morning, and was met by North
Korea's number two leader, Kim Yong-nam. The talks, held at the
Paekhwa Won - Garden of 100 Flowers - guesthouse, were expected
to go for four hours, but concluded after only 2 hours. (by Shane
Green)
From http://www.smh.com.au/ 09/18/2002
ASEM Vows to Support N.K. Reform
COPENHAGEN - Leaders of 25 Asian and European countries vowed Monday
to provide support for North Korea's economic reform in order to
help the reclusive communist country reach out to the international
community. They also strongly condemned all acts of terrorism, but
opposed a possible U.S. military strike against Iraq without consent
from the United Nations. The leaders adopted the declarations for
peace on the Korean Peninsula and for cooperation against international
terrorism after holding the first debate session of the Fourth Asia-Europe
Meeting (ASEM) that began its two-day run. North Korea's ongoing
efforts to open up to the outside world, confront terrorism, and
the current Doha round of trade liberalization talks dominated the
biennial summit conference, which grouped 15 European Union (EU)
nations and 10 East Asian countries, South Korean officials said.
"Leaders encouraged ASEM partners to continue their efforts to engage
North Korea in further exchanges and cooperation at the bilateral
or multilateral levels, with respect to all aspects including economic
reform," the Political Declaration for Peace on the Korean Peninsula
said. The statement also said engaging the North in the international
community through constructive dialogue would "greatly enhance the
prospects for peace and security not only in Northeast Asia, but
the world as a whole." North Korea recently started to introduce
some elements of a market economy system. Its latest development
is the designation of Sinuiju, a northwestern city on the border
with China, as a new special economic zone with independent legislative,
judicial and administrative authorities. The North has also been
active in improving relations with South Korea and Japan. Pyongyang
continued talks with Seoul in August after a long pause and held
the first-ever summit with Tokyo last week, in which their leaders
agreed to work together for the normalization of relations. The
ASEM leaders applauded the proven commitment towards a series of
inter-Korean cooperative projects, including the launching of construction
work for the reconnection of cross-border railways and roads, and
the visit by Japanese Prime Minister Junichiro Koizumi to the North,
the declaration said. It also said the leaders agreed that holding
a second inter-Korean summit would be of great value in sustaining
the momentum in the peace process on the Korean Peninsula, and hoped
that all outstanding issues, including nuclear and missile-related
matters, would be resolved through dialogue. But they expressed
concern over the explosive inter-Korean naval clash in the West
Sea in June and stressed the need to prevent the recurrence of such
an incident. In their declaration against terrorism, the leaders
pledged to work together to combat terrorism but emphasized that
"the fight against terrorism must be based on the principles of
the U.N. charter and basic norms of international law." Speaking
at the opening ceremony for ASEM in Bella Center, South Korean President
Kim Dae-jung reported the recent developments on the Korean Peninsula
and called for support from ASEM member countries for a project
to create an "iron silk road" connecting the divided Korean Peninsula
with Europe by rail. "The railroad will provide ASEM with a means
to realize its ideal of creating a viable Eurasian community," Kim
said in his speech. "The savings realized in transport time and
costs will be enormous." Kim attended a luncheon and dinner hosted
by Danish Prime Minister Anders Fogh Rasmussen and Queen Margrethe
II, respectively, for ASEM leaders during the day. Kim arrived here
Saturday after making a one-day stopover in the Netherlands. He
met Koizumi on Sunday and will hold the first summit talks between
South Korea and the EU before returning home Tuesday. ASEM includes
the 15 EU nations, South Korea, Japan, China and seven members of
the Association of Southeast Asian Nations - the Philippines, Malaysia,
Indonesia, Singapore, Thailand, Vietnam and Brunei. The two-day
ASEM will end Tuesday with the adoption of a chairman's statement.
The next summit will be held in Hanoi, Vietnam, in 2004.
From http://www.koreaherald.co.kr/ 09/24/2002
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ASEAN Seen to Forge FTA with Japan Ahead
of That with China
Because of the complementary economic relations of ASEAN and Japan,
ASEAN is expected to forge a free trade area (FTA) deal with Japan
ahead of the proposed FTA with China. Trade and Industry Secretary
Manuel A. Roxas II said the consensus at the close of the 34th ASEAN
Economic Ministers Meeting in Brunei held last week was to achieve
the FTA with Japan in less than ten years. The proposed ASEAN-China
FTA was proposed to be realized within ten years from the time the
Framework Agreement is signed in November this year. The Philippines
has favored an ASEAN-China FTA by 2012. "There was a strong clamor
among ASEAN members to forge closer economic partnership that may
include elements of an FTA and realize this as early as possible,"
Roxas said. Roxas said the relationship between ASEAN countries
and Japan is perceived to be complementary. "The Philippines' agricultural
products, for example, do not pose a direct threat to the agricultural
sector of Japan. They are our potential market," Roxas said. On
the other hand, ASEAN was apprehensive that China's huge agricultural
sector might overwhelm the largely agricultural-producing ASEAN
countries. Under the Early Harvest concept, wherein both ASEAN and
China will choose products where tariffs can be lowered earlier,
China has already pushed to limit the list to HS Chapters 1-8 (mostly
unprocessed agricultural products) and is willing to consider on
a product basis goods under HS Chapters 9-24 (processed agricultural
products). Meanwhile, ASEAN countries, particularly the Philippines,
are not keen on the proposed closer economic partnership (CEP) with
Australia and New Zealand given the region's experience on the harsh
non-tariff barriers imposed by these two countries. Trade and Industry
Secretary Manuel A. Roxas II, who attended the 34th ASEAN Economic
Ministers Meeting said that many ASEAN members urged Australia to
ease non-tariff barriers. "I was pleasantly surprise," said Roxas
said of the ASEAN countries reaction to the proposed CEP with the
Common Economic Relations (CER), the economic alliance with the
Australia and New Zealand. According to Roxas, the discussion was
lively as many ASEAN exporters have to contend with the stiff sanitary
and phytosanitary standards of the Australian market. (by Bernie
Cahiles-magkilat)
From http://www.mb.com.ph/ 09/16/2002
Brunei: Childcare Programme
Dr Lyn Fasoli is spearheading a pilot training programme at International
School Brunei for learning support staff to become qualified childcare
personnel. The course is also available to students who wish to
pursue careers in childcare. As parents return to work, under-school-aged
children are being looked after in a range of more and less desirable
situations. Most are cared for in private, unregulated arrangements
such as in-home amahs or baby sitters. These arrangements assist
parents to meet their working responsibilities, educational opportunities
and to pursue their careers. This is especially the case for mothers.
Without this , many mothers would be disadvantaged. But how well
do these arrangements meet the needs of the young children themselves?
Who benefits from the form of childcare received by the majority
of young children? A regulated centre-based childcare service has
been introduced in many countries in response to this issue. Regulation
of childcare offers the potential for ensuring that young children
receive high quality care in their early years. (by Md Ezam)
From http://www.brunei-online.com/ 09/23/2002
Indonesia: Coordinate Monetary Policy,
Supervision
According to Central Bank Law No. 23/1999, Bank Indonesia (BI)
will no longer be responsible for supervising banks by the end of
2002. This task will be transferred to a separate agency responsible
for the supervision of all types of financial institutions, including
banks, insurance agencies, securities companies and pension funds.
There is an ongoing process to establish the Financial Services
Authority, although its establishment might not be on schedule due
to the amendment process to the law.Particularly in banking supervision,
an agreement has been reached between BI and the government about
authority allocation. Basically, the central bank continues to have
the authority to supervise the macro-banking system, while the Financial
Services Authority would supervise banks individually or the micro-banking
system. The central bank concentrates on the monetary policy and
payment system. The Financial Services Authority would focus on
the banks' compliance in following prudential banking regulations
and sound banking examinations. This allocation of authority reflects
an apparent separation between the central bank and the Financial
Services Authority in banking supervision. When the separation is
accomplished, the remaining question will be how can the monetary
policy and micro-banking supervision be synchronized to achieve
sustainable monetary and banking stability? The broad objective
of a monetary policy is to achieve stable prices. Price stability
means that changes in the general level of prices in the economy
are relatively small and gradual, or in other words, prices do not
rise much from month to month and from year to year. In practice,
price stability equates to low and stable inflation. Central bank
conduct on the monetary policy fits within some sort of regime,
such as money targeting, exchange rate targeting or inflationary
targeting. The policy can be implemented by open market operations,
determination of interest rates and minimum reserves requirements.
The aims of micro-banking supervision are to insure banks comply
with banking law and regulations; to examine the soundness of banks;
and to prevent bank management from undertaking excessive risks
to the disadvantage of existing depositors and creditors. The expected
magnitude of micro-banking supervision is banking stability, in
which banks have good quality assets and liabilities, adequate liquidity
and capital solvency. Monetary policy and micro-banking supervision
are closely related. The transmission mechanism of monetary policy
instruments, e.g. the effect of short-term interest rates on inflation,
flows largely through the intermediation of the banking system.
Tradeoffs between monetary stability and micro-stability of the
banking system could occur when there is a conflict of interest
between the monetary policy and the micro-banking supervision. For
example, in a period of high inflation or exchange rate volatility,
in the view of the monetary authority, increasing the interest rate
is a proper policy to decrease the circulation of money, reduce
inflation or to stabilize the exchange rate. While from the view
of micro-banking supervision, a higher interest rate could have
an adverse effect on banking stability due to the possibility of
it deteriorating the banks' quality of assets, profitability, liquidity
and solvency. On the other hand, the monetary authority would prefer
to conduct an expansionary policy by providing more funds to the
economy and speeding up its recovery, hence it might demand a temporary
relaxation of the bank's lending standards. These tradeoffs occurred
during the nation's financial crisis in 1997 and 1999. Will a separation
between macro-banking (the monetary policy) and micro-banking supervision
be more effective in resolving the tradeoffs or, in the worst case,
to resolve the financial crisis? How can the monetary policy and
micro-banking supervision be synchronized? These questions are very
difficult to answer due to a lack of empirical evidence or test
cases in Indonesia. However, the practice conducted in the United
Kingdom, where, since 1997, there has been a separation between
the Bank Of England as the monetary authority and the Financial
Services Authority as the micro-banking supervisor, could become
a conceptual framework. In the UK, synchronization between the monetary
policy and micro-banking supervision is carried out by the Tripartite
Standing Committee arrangement that was established under the 1997
memorandum of understanding between the authority, the treasury
and the Bank of England. The memorandum not only contains the allocation
of authority, but also the assurance of a smooth and reliable flow
of information and crisis management protocol. Ensuring a smooth
and reliable flow of information is maintained by regular meetings
among representatives of the three institutions in the committee.
So far, the committee has worked very well in enabling a much fuller
and quicker exchange of information and views. The arrangements
have proved highly valuable in helping the UK to respond quickly
to the events of Sept. 11. In the immediate aftermath, a lot of
business was switched from New York to London, which required a
rapid response to the regulatory changes and adaptation to UK's
market infrastructure. For the most part, those changes were smoothly
handled under a tripartite overview. In crisis management protocol,
the Bank of England and the Financial Services Authority are committed
to informing each other as soon as they consider that there is a
threat to financial stability. Based on the allocation of authority,
the Financial Services Authority is the sole prudential supervisor;
hence, an assessment of solvency would largely depend on it. The
Bank of England would automatically take the lead in managing threats
to monetary stability. Both institutions would manage the situation
and coordinate the authorities' response and share the responsibility.
The form of the response would depend on the nature of the event
and would be determined at the time. In all cases, the Bank of England
and the Financial Services Authority would immediately inform their
course of action to the treasury, to give the minister of finance
the option to accept or refuse the action. Thereafter, they would
keep it informed about the developing situation. For a long time,
the UK has benefited greatly from a well-capitalized banking system
and its good track record in macroeconomics and price stability
has strengthened the fundamentals of the UK's financial market in
general. For Indonesia, where stability in the monetary and banking
systems remain fragile, the separation between the monetary authority
and micro-banking supervision has to be absolutely guaranteed by
a solid collaboration among the central bank, Financial Services
Authority and the government. A tripartite arrangement as implemented
in the UK could be a suitable model for it. (by Fajar Hidayat)
From http://www.thejakartapost.com/ 09/03/2002
Govt Moves to Increase Spending on Education
The Ministry of National Education and legislators are demanding
a hundred percent increase in the 2003 education budget, from Rp
13.6 trillion (US$15.2 billion) as proposed by President Megawati
Soekarnoputri, to about Rp 26 trillion, saying the rise is crucial
to achieve the goals of national education." The President had earlier
proposed to increase the budget from the current Rp 11.2 billion
to Rp 13.6 trillion, but it is still not enough to meet even the
minimum requirement to support development in the education sector,"
Minister of National Education Abdul Malik Fajar said here on Monday
after a hearing with House of Representatives Commission VI on people's
welfare. The hearing on Monday was held to set up a schedule for
the deliberation of the national education bill. The ministry and
legislators expect to approve the bill in May next year. "If this
country is determined to develop the education sector for the sake
of the people as amended by our Constitution, I hope the House will
consider raising the budget to about Rp 26 trillion," Malik told
The Jakarta Post after holding a hearing with House Commission VI.
The House has yet to agree to Megawati's proposal for the Rp 13.6
trillion budget, which is only 4 percent of the 2003 state budget.
The proposed increase, made last month at her state address on the
eve of the anniversary of Indonesia's independence, is far below
the 20 percent mandated by the fourth amendment of the Constitution.
Article 31 of the amended 1945 Constitution stipulates that the
state shall give priority to education by allocating a minimum of
20 percent of the total state and regional budgets for the country's
education. Legislator Heri Achmadi of the Indonesian Democratic
Party of Struggle (PDI Perjuangan) said the Commission had assigned
the House's Budget Commission to increase the education budget to
Rp 24 trillion, even though "the amount is not significant compared
to the number of Indonesian children who need to receive education."
"If the government could allocate some Rp 23 trillion in bailout
funds for Bank Mandiri, why did it fail to propose a higher budget
for education?" asked Heri, also deputy chairman of House Commission
VI, referring to the largest state-owned bank. According to Malik,
the increase proposed by his ministry and legislators will help
improve the quality of education, including in the restive areas
of Aceh, Ambon and Poso in South Sulawesi that need special attention.
Even in Java, which is close to the seat of the central government,
the picture is not at all rosy. In Garut, West Java, for example,
some 272,000 students have been forced to sit on the floor because
some 70 percent of the furniture at the regency's 1,500 elementary
schools has been damaged due to poor maintenance and natural disasters.
The regency needs around Rp 60 billion to rebuild 450 school buildings.
Farther from Jakarta, the picture is even bleaker. In Kendari, Southeast
Sulawesi, elementary school students in remote Tangkuna regency
have to collect Rp 2,000 every month to pay for their teachers'
salaries in an attempt to attract more teachers there. Poor pay,
remote locations and inadequate facilities have scared teachers
away from places like Tangkuna. Currently, there are only three
teachers there for around 100 students. Prolonged conflicts have
further worsened the situation. In Aceh, more than 100,000 school-age
children have missed school over the last three years due to the
armed conflict between security forces and the Free Aceh Movement
(GAM). According to data at the Aceh Education and Culture Office,
160 private and state elementary and high schools have been badly
damaged since 1999 and none have been repaired so far. Worse, the
government has failed to guarantee the safety of teachers in Aceh.
The Aceh chapter of the All-Indonesia Teachers Association (PGRI)
reported last week that 50 teachers had been killed and 200 others
physically assaulted in the past two years. During the three-year
sectarian conflict in Maluku, thousands of students attended classes
in makeshift structures in refugee camps because their schools had
been damaged. (by Muninggar Sri Saraswati and Tiarma Siboro)
From http://www.thejakartapost.com/ 09/17/2002
Gender Equality Introduced in Citizenship
Bill
Hopes are running high that the new citizenship bill will solve
disputes over citizenship, particularly for women and children,
as it recognizes the principles of gender equality. The bill, together
with the latest draft law on immigration, was assessed on Wednesday
by government officials, experts and non-governmental organizations
(NGOs) in order to collect more input before its submission to the
House of Representatives for further deliberation. It allows a male
foreigner who is married to an Indonesian woman to change his citizenship
to Indonesian, while an Indonesian woman married to a foreigner
has the right to retain her citizenship and to decide on the citizenships
of her children, who are under the age of 18. "These clauses have
been made possible because we have adopted the principles of gender
equality in the draft," Minister of Justice and Human Rights Yusril
Ihza Mahendra said after opening a workshop to review the two drafts
that his ministry sponsors. He said the old law passed in 1958 needed
revision because it was obsolete and made under the 1950 Constitution,
while the country upholds the 1945 Constitution. Indonesia recognizes
the principle of ius sanguinis, whereas the citizenship of a child
is the same as his parents. There are many legal disputes between
divorced couples of Indonesian women and their foreign ex-husbands
over the citizenship of their children. The resolution is considered
unfair as children were given their fathers' citizenships, although
the children were in the custody of their mothers. Another breakthrough
in avoiding an unclear citizenship status in the draft was the introduction
of dual citizenship for children of Indonesian parents born in a
country, which recognizes every birth in the territory as their
citizen. "When the children reach a particular age, say 18, they
have the right to decide which of the citizenships they will keep,"
Yusril added. The draft also allows individuals to restore their
Indonesian citizenship that was lost involuntarily for other reasons,
such as a political situation, marriage or foreign adoption. An
Indonesian may lose their citizenship if they join a foreign military
institution, voluntarily taking an official position in a foreign
institution or joining a public election in another country, with
the exception of Indonesians studying abroad in countries that impose
a military draft on foreign students, such as Singapore. Procedures
to obtain Indonesian citizenship The following procedure pertains
to foreigners who possess a permanent stay permit and a work permit
and those who intend to regain Indonesian citizenship: 1. Submit
an application to the Ministry of Justice and Human Rights through
the district court. 2. The application will be assessed by an interdepartmental
team comprising officials from the ministry's Directorate of Public
Institutions, Directorate of Immigration, the National Intelligence
Body and the State Secretary. 3. The minister of justice and human
rights will hand the result of the assessment over to the President,
who will later issue a decree legalizing the new citizenship. 4.
The new citizen will take an oath at the district court. (by Tertiani
ZB Simanjuntak)
From http://www.thejakartapost.com/ 09/19/2002
New Copyright Law to Boost Local Software
Industry
The adoption of a new copyright law, that will take effect next
year, will encourage more creativity, development and investment
in the local software industry, key players said on Thursday. Richard
Kartawijaya, an executive of the Association of Indonesian Software
and Telematic Developers (Aspiluki), said the association's 180
members were preparing moves to anticipate the lucrative domestic
market, with more protection. "The industry is promising here. Actually,
our technicians and products have entered the international market.
But most of them are reluctant to open businesses in Indonesia due
to the rampant piracy," he told a media briefing here. Under the
amended Law No. 19/2002 on Copyrights signed by President Megawati
Soekarnoputri in June, those involved in software piracy are subject
to a maximum punishment of five years imprisonment and a maximum
fine of Rp 500 million (US$55,493). The law will come into effect
in June, 2003. Richard added that currently there were around 400
software houses in Indonesia, 60 percent were located in Jakarta
and 10 percent in the West Java capital of Bandung. "Their quality
of products can be categorized as magnificent," he told the media
briefing. The media briefing was held by the Directorate General
for Intellectual Property of the Ministry of Justice and Human Rights,
together with Aspiluki and the Business Software Alliance (BSA),
a multinational association grouping big software companies such
as Adobe, Apple Computer, Compaq, Dell, IBM, Intel and Microsoft.
During the briefing, they announced that they would hold a seminar
on the "Importance to Foster Creativity in A Competitive and Conducive
Atmosphere by Using Legal Software" on Tuesday. BSA representative
for Thailand and Indonesia Jonathan Selvasegaram said the presence
of the new law showed that the government was serious in addressing
software piracy, which was still rampant. Last year, Indonesia was
named the third ranked country involved in software piracy in the
world after Vietnam and China. Quoting a 2001 survey, Selvasegaram
said nine out of 10 computers in Indonesia use unlicensed software.
The high rate of the use of pirated software is equal to $79 million,
added BSA Vice President and Asia Pacific Director Jeffrey J. Hardee.
Computer users in Indonesia are mostly businesses with a small number
of personal users. Software piracy takes many forms, such as the
copying of programs by users exceeding the quota allowed by the
license holder, the installment of unlicensed programs to new hardware
by the seller or the copying of programs available on the internet.
Richard argued that most of the piracy culprits were aware that
such practices were a crime against intellectual property but, up
to now, the existing law categorized the crime merely as a petty
crime and failed to deter the culprits. The new law, nevertheless,
categorized piracy as a serious crime, with threat of a five-year
jail term and Rp 500 million fine. Selvasegaram said that even with
the new law, BSA would not take drastic measures but take the role
to educate computer users on software copyrights. "The users should
be aware that the use of legitimate software will give more benefit
to the business," he added. (by Tertiani ZB Simanjuntak)
From http://www.thejakartapost.com/ 09/20/2002
Malaysia: Biggest Slice of Pie for Education
THE Prime Minister has proposed the setting up of an Education
Savings Fund to finance higher education in Budget 2003. Datuk Seri
Dr Mahathir Mohamad, who is also Finance Minister, said the fund
would help meet the parents' future educational expenses of their
children. "The Government will provide a matching grant for every
ringgit saved by children from low-income families with an initial
allocation of RM1bil. "I hope this programme will cultivate a savings
culture among children,'' he said. Education once again received
the largest share of the pie - RM29.6bil or 27% of the Budget allocation.
Dr Mahathir said although education had the largest allocation,
the amount appropriated for the National Higher Education Fund Corporation
was insufficient. He said added that although to date RM4.5bil had
been allocated, benefiting 380,000 students, the programme required
an additional RM3.5bil for the period up to 2005. "Therefore, a
loan programme will be created through financial institutions to
provide loans for students. Financial institutions will be required
to channel a portion of their loan portfolio for higher education,''
he said. Dr Mahathir also said pupils from poor families would receive
aid next year. He said the Government would spend RM470 per pupil
for food supplements, textbook loans and school uniforms annually.
"To reduce the burden of poor families, the Government will provide
a one-off allocation of RM120 in cash per student to buy their school
paraphernalia (including uniform). This will involve an annual expenditure
of RM87.8mil and will benefit 730,000 students," he said. Dr Mahathir
said the Government was also considering providing poor students
with tuition vouchers so that "not only students will benefit, diligent
teachers will also be able to earn additional income.'' He also
announced that single session schools would be increased and integrated
schools introduced where students could choose from three streams
- Pure Sciences, Technology and Islamic Studies. He said RM850mil
would be allocated to implement the single-session schools. Dr Mahathir
said the Government had decided to implement the teaching of Science
and Mathematics in English in schools. For this purpose, he said,
the Government would provide an RM5bil allocation for a period of
seven years from 2002 to 2008. He said a large portion of this allocation
would be for training teachers, providing a launching grant for
schools and teaching and educational aids, apart from basic facilities
and physical infrastructure, including ICT. Dr Mahathir said private
institutions would be allowed to hire foreign lecturers to promote
Malaysia as a centre of excellence in IT education. Education Minister
Tan Sri Musa Mohamad described the allocation for education as "very
workable." "Although the amount is still lower than what we proposed
to the Treasury, we are very happy with the allocation given. It
is the highest in the history of the country," he said.
From http://thestar.com.my/ 09/21/2002
Project to Raise Villagers' Income
THE Government will introduce a "One Village One Industry" programme
for the rural community, especially for the traditional farmers
and fishermen. This would allow them to earn salaries as well as
invest and own the industries, which would be professionally managed.
They would be involved in the development of small industries, which
would require between 10 and 100 workers. The programme would enable
rural communities to work at specific hours to ensure the production
of quality and marketable products. Their income would be increased
with the re-planning of villages, complete with retail and coffee
shops as well as other facilities and small factories to produce
the products. The allocation for rural development has been increased
by 36%, with RM2.56bil for infrastructure facilities. It would be
used to build and upgrade major roads, village roads and bridges
and to provide 90% of rural folks with electricity, water, health,
education, housing and telecommunication facilities. A total of
RM270mil would be used to complete 111 rural roads and to build
289 new ones while RM600mil would be spent to construct 6,000 village
roads. An additional RM30mil has also been allocated to repair nearly
1,400km of village roads. The Government has allocated RM300mil
to carry out 720 projects for electricity supply benefiting 103,000
households while RM250mil has been set aside to provide water supply
to 84,000 households nationwide. In addition, a sum of RM10.3mil
has been provided under a programme for water supply and rural environmental
cleanliness. The Government would also spend RM289.7mil to construct,
upgrade and repair 76 rural clinics while eight hospitals, 13 health
clinics, 60 rural clinics and two training schools for nurses, would
be fully operational.
From http://thestar.com.my/ 09/21/2002
Philippines: New AO Expands Doe Powers
to Undertake Policy Reforms
A newly-issued Administrative Order (AO) 38 is out to expand and
build up the powers of the Department of Energy (DoE) in pursuing
policy reforms in the sector - particularly in the oil and power
industries. The AO, signed by President Arroyo last August 23, provided
the creation of two new bureaus that will specifically focus on
the concerns of the oil and power industries - the Electric Power
Industry Administration Bureau (EPIAB) and Oil Industry Administration
Bureau or OIAB. Under the AO, the EPIAB will be tasked to supervise
the restructuring of the electric power industry, with a view to
establishing a competitive, market-based environment and encouraging
private sector participation. The EPIAB will also formulate plans
and programs that would ensure adequate, efficient and reliable
supply of electricity and as well as implement programs and strategies
on rural electrification. The oil industry bureau, on the other
hand, will formulate and implement policies, programs and regulations
on the downstream oil industry including the importation, exportation,
stockpiling, storage, shipping, transportation, refining, processing,
marketing and distributon of petroleum crude oils, products and
by-products. The OIAB will also be tasked to strictly monitor developments
in the downstream oil industry. The functions of these two new bureaus
used to be handled by the Energy Industry Administration Bureau
(EIAB). In issuing the AO, President Arroyo pointed out that the
energy department's role shall be strengthened to cope with the
developments in the implementation of policies in line with the
laws set forth for the energy industry, including the Downstream
Oil Deregulation Act, Philippine Clean Air Act and the Electric
Power Industry Reform Act. Republic Act 7638 or the Department of
Energy Act of 1992 created the department from only being an office
called Office of Energy Affairs under the Office of the President.
However, the AO will provide for the institutional strengthening
of the energy department by redefining the functions and services
of its bureaus, service units and offices, does not amend, supersede,
nor nullify the functions as provided in RA 7638 or in other laws
giving additional functions to the DoE. "The enactment of several
laws related to the energy sector has indeed expanded the functions
of the DoE. There is, therefore, a need to rise above the challenges
brought about by the liberalization of the country's oil and power
industries in order to fully serve the public's interest as well
as the investors in these areas," Energy secretary Vicente Perez
Jr. said. (by Myrna M. Velasco)
From http://www.mb.com.ph/ 08/31/2002
New Education Policy Aims for Universal
Primary Education, Gender Equality
The Asian Development Bank (ADB) today approved a new Education
Policy aimed at providing all children and adults in the Asia-Pacific
region with equitable access to an education that will empower them
to break out of the poverty cycle and participate effectively in
national development. The policy underpins ADB's support for the
United Nations Millennium Development Goals, which include enrolling
all children in primary school, promoting gender equality and empowering
women by 2015. Since investment in education is essential to ADB's
overarching goal of poverty reduction, the policy focuses on efforts
to promote educational development. The efforts aim to alleviate
the drastic situation in the Asia-Pacific region, where: 75 percent
of the world's illiterates live, two thirds of them women; Millions
drop out of primary school because of poverty and half of all children
never make it to secondary school; Nearly 40 percent of children
under 5 are malnourished and unlikely ever to achieve their potential.
ADB's average annual investment in education has been nearly 6 percent
of its total annual lending since 1991. Since 1970, it has invested
US$5.3 billion in education sector development, two thirds of this
since 1991. ADB plans to invest over US$1 billion in loans for education
projects in the period 2002 to 2004. The new priorities are to reduce
poverty, enhance the status of women, and provide skills for pro-poor
sustainable growth. To support this, the policy will give particular
attention to increasing equity and access, improving quality, strengthening
management, mobilizing resources, strengthening partnerships, and
applying innovative technologies, especially ICT (information and
communications technology). These goals will be applied in each
education sub sector. In literacy and nonformal education, there
will be more support for innovative and responsive programs, particularly
in collaboration with NGOs; Early childhood development programs
will also be expanded, with an emphasis on low-cost, community-based
provision; Basic education priorities include ensuring equitable
access and resource allocation, improving quality, and strengthening
community development; Secondary education investments will emphasize
cost-sharing, private sector provision, and special programs to
increase access by the poor and women; Higher education projects
will enhance the role of the private sector and strengthening government
capacity to monitor standards, and to support NGO-led provision
of skills training in income-generating activities for poor women.
"ADB support for education at all levels will concentrate on policies
and activities that directly contribute to overall programs of poverty
reduction," says Akira Seki, Director-General of ADB's Regional
and Sustainable Development Department. "However, the balance of
investments across education sub sectors will be determined according
to a particular country's situation." The policy paper paves the
way for the preparation of education sector strategies and road
maps for each country, to translate policy principles into specific
strategies and investment plans. ADB's earlier education sector
policy paper in 1988 emphasized the importance of investing in primary
and secondary education in the context of broader human and social
development.
From www.abd.org 08/30/2002
Thailand: Bid to Cease Primary Level
Entrance Exams
The Catholic Education Council and National Education Commission
will ask cabinet to require primary schools to abandon academic
entrance exams in favour of development tests. Council member Brother
Meesak Wongprachanukul said the parties would like to see the change
take effect from 2007 for the sake of children's natural development.
``Without a clear policy from the government, schools will remain
unaware of the negative impact of exams on young children and continue
to use the wrong method to recruit pupils. ``Parents rush their
children to tuition, and kindergartens force academic knowledge
onto pupils rather than encouraging their physical and emotional
development,'' he said. Primary schools should admit children unconditionally
and without exams. If applicants outnumbered seats, children would
be selected with development tests based on activities, interviews
and questionnaires. The clergyman said that primary schools under
the Education Ministry had scrapped entrance exams for first-grade
pupils, but most private schools and university demonstration schools
had not followed suit. Some well-known private schools did end entrance
exams this year, including St Gabriel's, St Dominic's, Assumption
Bang Rak and Assumption Thon Buri. St Dominic's assistant director
Suthana Tangtrakul said his school had started choosing first-grade
pupils on the basis of activities and interviews, and was now admitting
more lively and self-confident pupils. Visit Srivichairat, director
of St Gabriel's school, said parents were happy with the new method
in which children underwent tests of their creativity, human relations
and intelligence. The change was also influencing tuition schools
to replace academic courses with development-based programmes, he
said. Porntip Yawapraphas, a teacher at the Kasetsart University's
demonstration school, said her school had replaced exams with intelligence
tests. Entrance tests were necessary, because the school had as
many as 4,000-5,000 applicants a year. Politicians often pressured
the school to admit particular pupils. They threatened to limit
its budget allocation if the school resisted, she said. (by Sirikul
Bunnag)
From http://www.bangkokpost.com/ 09/14/2002
Bureaucratic Reform: Suspense
After racing the bureaucratic reform bill to the Royal Palace on
Tuesday, the Thaksin government yesterday ensured an opposition
petition that raises questions about the legislative draft was processed
at a snail's pace. As of late yesterday, the petition was still
being thrown back and forth between House Speaker Uthai Pimchaichon
and his deputy, Somsak Prissanananthakul. It has yet to be countersigned
and forwarded to the Constitution Court. The government was pinning
its hopes on early royal approval of the bill in order to scupper
the opposition's last-ditch efforts to delay its enactment by raising
constitutional questions. The Democrat-led bloc, on the other hand,
wants its petition to formally reach the court before His Majesty
the King signs the bill into law. Uthai, recuperating from a mild
heart complaint in Chon Buri, frustrated the opposition by at first
stating that Somsak could sign the petition on his behalf and then
changing his mind. Opposition representatives were camped in front
of Somsak's parliamentary office all day, and even though at one
point they managed to get the deputy House speaker's signature on
the petition, they were kept waiting by Uthai's flip-flop. "This
seems like an illegal or even unconstitutional conspiracy to block
our petition," said Democrat Withaya Kaewparadai, who was summoning
his party's legal experts to discuss the government's tactics. Jurin
Laksanavisit, the opposition's chief whip, insisted that the petition
was in fact formally submitted to Parliament before the bill was
sent to the Royal Palace on Tuesday evening. "Moreover, it took
only 10 minutes for Parliament to deliver the bill to palace officials,
but we have been waiting all day for our petition to be signed and
sent to the Constitution Court," he said. "The government's shadow
is hanging over the House of Representatives. The foot-dragging
by the House speaker is tantamount to failure to perform his constitutional
duty." Senator Kasem Rungthanakiat (Surin) said if it was indeed
a conspiracy between the government and parliamentary officials
to stall the opposition's petition, which was drawn up in accordance
with people's rights under the Constitution, an impeachment campaign
could be launched against the Thaksin administration. Uthai was
said to be stalling the matter further by seeking consultation with
legal aides. According to a source, he was "not sure" if the petition
could still be processed, as the bill had already been sent to HM
the King. Constitution Court President Issara Nititanprapas, however,
said that as long as the bill had not been officially signed by
HM the King, the court could deliberate on its constitutionality.
An urgent court session could take place as early as today once
the petition has been forwarded from Parliament. The bill would
empower the government to issue royal decrees to transfer the power
and jurisdiction of ministries and departments in order to facilitate
the large-scale bureaucratic reform the administration hopes to
kick-start on October 1. As royal decrees do not need to be endorsed
by Parliament, the opposition says this clause goes against constitutional
principles of checks and balances between the executive and legislative
branches. Another contentious clause would allow ministers affected
by the dissolution and transformation of ministries to remain Cabinet
members as they waited to be reassigned. The opposition says this
could violate constitutional rules on the appointments of ministers,
which need to be countersigned by HM the King.
From http://www.nationmultimedia.com/ 09/26/2002
Viet Nam Govt Boosts Its Investment
in Education
Some VND24.6 trillion, or 16.4 per cent of total Government spending
next year, will be allocated to education and training to meet increasing
demand. Around 22.1 million students will be enrolled during the
2002-2003 academic year, an increase of 2.4 per cent over the previous
year. The number of kindergarten students looks set to increase
by 9.5 per cent, primary and secondary school students by 0.4 per
cent, vocational school students by 69.6 per cent, and university
students by 6 per cent.
From http://vietnamnews.vnagency.com.Vn/ 09/05/2002
Competition Law to Be Laid Down in 2003
HA NOI - In a further push towards business policy reform and international
integration, Viet Nam will have its first competition laws late
in 2003 or early in 2004, Deputy Trade Minister Le Danh Vinh said
in a press briefing yesterday. Having completed the fifth draft,
the Ministry of Trade will submit the competition law for Government
perusal this December, said Vinh, who is also the head of the compiling
committee for it.The law will be put for further discussion and
revision, before it is presented to the National Assembly for approval,
expectedly in October next year. The Ministry of Trade has placed
the latest draft for discussion with UN officials at a two-day conference
on competition law and policy this week. "The Competition Law draft
is of very high quality, and it will be a challenge to get approval
as well as to implement it effectively," said UNDP Senior Economist
Robert Glofcheski. While many countries have separate laws such
as Competition Law, Anti-trust Law, and Law against Unfair Competition,
Viet Nam will incorporate all these aspects in its Competition Law,
according to Vinh. With nine chapters, the law lists four comprehensive
ranges of practice as against competition. The law will seek to
prevent businesses' anti-competition agreements, abuse of market
dominance or monopoly position, concentration of economic powers
and unfair competition. The law will also proscribe enterprises
in public utility or State monopoly sectors from abusing their status,
or operating beyond their assigned authority, affecting competition
and consumers' interests. The competition law will introduce competition
in many sectors where State-run monopolies are currently in place,
helping reduce prices and enhance quality of goods and services,
Vinh said. It also signals the consistency in Viet Nam's policy
of pursuing a multi-sectoral market economy, which have fetched
remarkable success to local agriculture and seafood industries,
he added.
From http://vietnamnews.vnagency.com.vn/ 09/14/2002
Government Works Hard to Root Out Opium
Planting in Nghe An
NGHE AN - The Government's efforts to root out opium plants in
the central province of Nghe An are believed to have paid off, although
changing the long-standing custom of the area's ethnic minority
residents has not proven easy. Before 1992, the province was home
to more than 4,500 households, in 23 communes that grew about 3,200ha
of opium plants - most of which were in Ky Son District, which alone
had 3,000ha in 16 communes. A US$3.8-million pilot project run by
the State and the United Nations that sought to eradicate the plants
by supporting ethnic minorities to grow other trees from 1995 to
1998 saw initial success. Since then, the State has poured VND1-2
billion annually to buy seedlings for local residents. Another VND200-400
million from the local budget has been given to those living in
a difficult state to farm and raise animals. Many farmers have opted
to grow Tam Hoa plums and raise cows and fish, which turn a profit.
However, life in some villages is still cash-strapped, and they
are not resolved to abandon the opium trade. Some villagers are
disheartened when their fruit trees produce no high economic value.
Tam Hoa plums, for instance, are ripe only for a short time - if
the traders can not enter the villages to buy them because of heavy
rain, tonnes of fruit will go to waste, greatly affecting the income
of growers. Local authorities have had to work harder to prevent
people from returning to the opium trade, and many are using the
mass media to encourage them to get rid of the opium plants. This
year the provincial television provided tapes in Mong language to
make the laws accessible to locals. In addition, the district's
working teams have made local visits to motivate villagers to focus
on production. "We encounter lots of difficulties in encouraging
people to eradicate the opium trade," said Moong Van Nghe, head
of the provincial ethnic and mountainous department. "We have to
build up careful plans for every step, as ethnic minority residents
live in communities and with old customs," Nghe explained. Meanwhile,
their educational attainment is very low compared to urban and non-minority
areas. And village heads are considered as those having highest
authority and prestige. That in mind, the provincial People's Committee
and cadres from relevant agencies often hold talks with village
heads to help them understand the law and the harmful effect of
drugs. Their efforts eventually reap success. However, local authorities
are aware that more work must be done until local residents totally
understand the need to avoid re-planting opium plants. The plants
replacing opium must be ones providing high economic returns. On
the other hand, investment is needed to develop infrastructure of
the mountainous areas. The province has supported locals a good
deal to help them stay out of poverty. They have been given medicines,
seedlings and books for their children. In addition they receive
subsidies worth VND100 million for the transport of plums - one
result of which has been the consumption of more than 200 tonnes
of plums. Under this year's plan, VND15 billion will be spent on
irrigation and reclaiming the water rice fields in Ky Son. Also,
the second phase, which will cost of the $2.3-million, of the UN
project is being carried out in the district to help locals boost
their socio-economic situation. Construction to upgrade local transport
is underway, as well.
From http://vietnamnews.vnagency.com.vn/ 09/20/2002
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Law Ministry Mulls Changesin Bar Council
Act
The Law Ministry is contemplating bringing some important changes
in some provision of the age-old Bar Council Act to upgrade legal
and judicial systems. "We want to make the important institution
a more democratic and neutral body as per demand of the different
bars, senior lawyers and other professional bodies of the lawyers,"
said Law Minister Moudud Ahmed yesterday. The Bar Council Act, which
was enacted in 1972, provides for enrolment certificate of the lawyers,
control of the professional behaviour, discipline and qualifications
of the lawyers. Suggestions put forward by different bars, other
professional bodies and senior lawyers include election procedure
and recasting the enrolment committee. A ministry source told UNB
that the demands, which are identical, include increase in the number
of members of the council, direct election to the post of vice-chairman,
nomination of judges and academics to the enrolment committee along
with elected council members. Under the existing law, present council
comprises 15 members. The Attorney General is ex-officio chairman
of the council while seven national and seven zonal members are
elected by the lawyers across the country. And a vice-chairman was
elected from among the 14 elected members. The council forms several
committees, the most important one being the enrolment committee
that gives enrolment certificate to the fresher in legal profession.
Suggestions also include election of zonal representatives by the
zonal lawyer-members of the Bar Council. The present enrolment committee
comprises five members. Demands raised by the bars are for two members
to be nominated by the Chief Justice from among retired or sitting
judges as well as inclusion of the Attorney General and two others
from among the council members and also from academics. Suggestion
is also for increasing functional powers of the Chairman. To a question,
Law Minister Modud Ahmed admitted to receiving suggestions from
different bars and individual lawyers and said these were being
considered. He said the ministry is not in a hurry and it would
take up the issues with the Bar Council, different bars, senior
lawyers and other professional bodies of lawyers. Moudud said changes
in the Bar Council Act are required to enhance efficiency of the
lawyers and of the judicial system.
From http://www.dailystarnews.com/ 09/09/2002
Bhutan: Civil and Criminal Procedure Code
for Police Officials
Speaking to over 50 police officials attending a three-day workshop
on the Civil and Criminal Procedure Code of Bhutan, the Chief Justice,
Lyonpo Sonam Tobgay said, "Police officers and the judiciary have
an important role to ensure fair justice to everybody." The Chief
Justice added, the law must encourage virtue and prevent vice and
immorality. Addressing the officers the chief of police, Colonel
Wangdi Tshering said that this would help police officers in carrying
out their duties according to the laws of the kingdom. The Code
upholds the due process of law, where trials and inquires are fairly
conducted, arrests and searchers are properly done. In Trashigang
for the first time district court officials and the police are also
discussing the code. Discussions focused on the judicial procedures
of arrest, summons, trials and judgments including the role of police
in these procedures. The Civil and Criminal Procedure Code of Bhutan
drafted by the high court, was adopted during the 79th session of
the National Assembly in 2001.
From http://www.kuenselonline.com/ 09/10/2002
India: HC Can't Ask Govt to Alter Sentence--SC
NEW DELHI: The Supreme Court has held that the high courts could
not order the state governments to commute the sentence of a convict
at their sweet will, pleasure, whim or fancy. Quashing a Delhi HC
order, which had asked the Delhi government to commute the sentence
awarded to a person in a food adulteration case, a Bench, comprising
Justice Doraiswamy Raju and Justice S V Patil, said discretion of
commutation of sentence rested with the government and it was not
for the HC to order it.
From http://timesofindia.indiatimes.com/ 09/06/2002
Jana Rules Out Amendment to Civil Procedure
Code
CHENNAI: Union Law Minister Jana Krishnamoorthy on Sunday ruled
out the possibility of bringing in yet another amendment to the
Civil Procedure Code, saying that the legislation relating to this
had already been passed by Parliament. "I do not think there is
a possibility to bring further amendments to CPC. I also wonder
whether it will be in accordance with Parliamentary practices,"
he said, replying to questions at Meenambakkam airport, on his arrival
from Delhi to participate in a private function here. Responding
to a question on the charges of some Congress leaders that Tamil
Nadu Chief Minister and AIADMK leader Jayalalithaa was keen on moving
closer to BJP, so as to extricate herself from the TANSI case, now
pending in the Supreme Court, he said, "As law minister, I cannot
comment on it". "It is her view", he said to another question on
Jayalalithaa's outburst that the Cauvery River Authority (CRA) meeting
had been convened on Sunday only to help Karnataka.
From http://timesofindia.indiatimes.com/ 09/08/2002
Delhi Govt's Legislation Derailed
NEW DELHI: The Delhi state government's decision to bring a separate
Bill on Metro Rail has come a cropper with the Centre making it
mandatory for all legislative proposals to be sent to the Lieutenant-Governor
for approval before they are introduced in the legislative assembly.
As the state government's Bill would be contradictory to the Centre's
Bill on the same subject, there are little chances that it would
be approved by the L-G. Despite realising this, the state government
has decided to draft the legislation and send it to the L-G. It
would propose guidelines on operation and maintenance of the Metro.
Delhi state transport minister Ajay Maken said the city government's
Bill on Metro may not be tabled in the Delhi legislative assembly,
but it would still serve its purpose. ''In their Delhi Metro Railways
(Operation and Maintenance) Bill 2001, the Centre has circumvented
the role of the Delhi state government,'' he said. ''Our Bill will
not have any legal standing as compared to the Centre's Bill on
the same subject, but we would still send it to L-G for the sake
of moral accountability to the people of Delhi,'' he added.
From http://timesofindia.indiatimes.com/ 09/17/2002
National Policy on Adolescence Proposed
NEW DELHI: The second most populous country in the world has around
260 million adolescents - individuals between the age group of 10
and 19 years, as per the WHO definition - which accounts for about
23 per cent of its population. In order to address the problems
faced by adolescents and to transform them into an asset for the
country, the Planning Commission has for the first time felt the
need for formulating a national policy on adolescents in India.
The Commission, in collaboration with the Urivi Vikram Charitable
Trust (UVCT), a non-governmental organisation (NGO) working for
the empowerment of young adults, has endeavoured to draft a policy
framework for adolescents in India. A core group led by former education
secretary Anil Bordia has been constituted to recommend various
schemes for the betterment of adolescents. The schemes, when finalised,
will be incorporated in the 10th Five Year Plan. Recently, the UVCT,
in association with the Commonwealth Association of Media Persons
for Social Development (CAMP), organised a regional meet on 'A National
Policy on Adolescents' in Delhi. The purpose of the meet was to
create an environment in which experts from various fields and young
adults could interact and address the problems faced them. The meet
was presided over by Planning Commission deputy chairperson K C
Pant. Pant said adolescence was an age which was full of promise
and pitfalls. According to him, adolescents should be provided the
right channels to utilise their energy and achieve their goals.
The efforts for formulating a national policy on adolescents had,
in fact, begun in July 1999, when the UVCT along with some government
agencies, NGOs, and representatives from the United Nations, came
forward to prepare a forum towards a 'National Policy for the Young
Adults'. The forum made some recommendation to the Planning Commission
in December 2000, which was immediately approved by the Commission
(by Naheed Ataulla).
From http://timesofindia.indiatimes.com/ 09/22/2002
Sri Lanka: New Laws for Easier Local and
Global Connectivity
The Government plans to establish a class licence scheme for international
telecommunications gateways and to fully liberalise local and international
leased lines. The class licence scheme will include requirements
for non-discriminatory operation of gateways, licence fees that
will not impose undue burdens on the operators and may include guarantees
against violation of licence conditions. The new arrangements will
lead to wider customer choice, lower prices, better quality and
faster network rollout. "This decision signifies the government's
clear commitment to ensuring that the citizens of Sri Lanka and
businesses will reap the full benefits of a choice of high quality,
low cost means to connect to the world," said Kumar Abeysinghe,
Secretary of the Ministry of Mass Communication. "Unless we liberalise,
we cannot create jobs for the youth of this country through call
centres and other IT enabled services," he added. Abeysinghe said
that "the market opening will ensure that Sri Lanka maintains a
competitive position in international telecom services that will
assist all businesses, attract additional investments in IT-enabled
services and help the several millions of Sri Lankans living abroad
to keep in touch with their families." The Government has provided
assistance to the Telecommunications Regulatory Commission to establish
an interconnection regime that will ensure that domestic network
operators are fairly compensated for their role in international
communications. The more domestic subscribers there are, the more
international calls will be made to Sri Lanka, resulting in additional
termination revenues among other benefits. The new interconnection
regime that will be developed by international consultants will
address several shortcomings and will ensure that the international
gateways will be fruitfully integrated into the overall telecom
sector. The provision of domestic and international leased lines
will be completely liberalised including the carriage of voice.
The Telecommunications Regulatory Commission will investigate the
de facto monopoly of undersea cables and formulate recommendations
for ending the monopoly. Although satellite access has been more
or less liberalized since 1999 in Sri Lanka, the Government intends
to formalise the liberalisation to eliminate the necessity for approvals
for obtaining satellite capacity. "The Government's focus on competition
and deregulation is critical to realisation of the Prime Minister's
vision of making Sri Lanka a regional hub," Abeysinghe said
From http://www.dailynews.lk/ 09/03/2002
National Policy on the Disabled
The Social Welfare Ministry plans to introduce a National Policy
on the Disabled. Social Welfare Minister Ravindra Samaraweera has
appointed a 12- member Committee to draft a National Policy on Disability.
Social Welfare Ministry Secretary Ms. Viji Jegarasasingam told the
"Daily News" yesterday that the Ministry is seeking the assistance
of Ministries, institutions and other agencies for chartering of
this new policy - the first time such a concept has been introduced
in this country. The concept of equality, the protection of fundamental
rights and responsibilities and removing barriers for marginalised
groups (disabled females, children and youth) will be some of the
main subjects covered by the draft. The public is invited to send
views and suggestions to the Ministry of Social Welfare, 5th Floor,
Sethsiripaya, Battaramulla. The National Secretariat for the Persons
with Disabilities was established under the provisions of the Protection
of Rights of the Persons with Disabilities Act.No.28 of 1996. The
committee consists of Cyril Siriwardene, S.L. Hettiarachchi and
Anil Jayawardene representing those who have mobility, visual and
communication disability respectively, Ms. N.G. Kamalawathie representing
women who have disability, H.P.N.Lakshman representing the interests
of children and youth, E.M.G. Tillekeratne, Chairman, Ceylon Association
for the Mentally Retarded, Prof.Nalaka Mendis, Executive Director,
National Council for Mental Health, G. Galekotuwa from NGO sector
with extensive experience of Community Based Rehabilitation (CBR),
Kalyananda Thiranagama, Executive Director, Lawyers for Human Rights
and Development, W.H.A.Soysa, Additional Secretary representing
the Secretary, Social Welfare and Ms.Yamuna Chithranganee representing
Social Services. The committee is chaired by Dr. Padmini Mendis,
a National and International consultant on disability. (by Nadira
Gunatilleke)
From http://www.dailynews.lk/ 09/25/2002
Maldives: Gayoom Calls for "Global Partnership"
to Promote Development, Protect Environment
MALE (HNS) - President Maumoon Abdul Gayoom on Tuesday called for
a "global partnership" to promote development while at the same
time protecting human welfare and the environment. "There is no
alternative to respecting mother earth and forging a global partnership
for promoting development and protecting human welfare," Gayoom
told a meeting of over 100 world leaders at the World Summit on
Sustainable Development in Johannesburg, South Africa. Time may
not be on our side, but science and technology and wisdom can be
made to be, and so can be simple common sense, said Gayoom who was
appointed Vice President of the heads of state and government meeting
at the World Summit on Sustainable Development which started Monday.
"Like those in Noah's great ark, we are all in this together," he
stressed. "We are not seeking a miracle. The world has the resources
and the capability to protect our planet and promote the well-being
of all humankind." Gayoom called on humanity to "put words into
deeds" and to implement the action plan adopted by the Rio Earth
Summit ten years ago. For that to happen, the Agenda 21, the Kyoto
Protocol on climate change and the Barbados Action Program along
with the Millennium Development Goals must be honored, he said.
"I do believe that urgent international action, backed by a strong
political will, can still save us from self-inflicted calamity,"
he said. Gayoom highlighted the environmental calamities occurring
almost everywhere in the world today. He pointed to the worst floods
over 200 years recently inundating the heart of Europe and the populous
areas in Asia and South America, and the severe droughts and famine
in Africa and Asia causing "untold misery to millions." "As if this
was not enough, a two-mile thick cloud of pollutants, known as the
Asian Brown Haze, is threatening the lives and the health of humans
and all forms of life in our (South Asia) region," he said, adding
that since nothing like these events has ever been on record, that
surely something must be "utterly wrong." "I regret that every time
I speak at a forum like this on the global environment or sustainable
development, I have to express some very disturbing thoughts. Believe
me, I have no other choice," he said. He elaborated that "the last
ten years since Rio have been the most disappointing." The achievements
are far outnumbered by the failures -- the dashed hopes, the missed
chances and the empty pledges that litter the road since Rio, he
said. Globalization has increased in pace and scale, with the promise
that a rising tide of prosperity will "lift all the boats," the
President said. "Sadly, most still remain moored to poverty, faced
with the threat of sinking," he said. Gayoom highlighted that over
1.2 billion people still live in "absolute poverty", and that nearly
three billion people do not have access to safe sanitation. Evidence
of human induced climate change is compelling, and regrettably,
the world still draws 90 percent of its commercial energy from fossil
fuels, he said. He highlighted that carbon dioxide levels are now
at their highest in over 400,000 years, with the 1990s as the warmest
decade recorded. This has resulted in 11 percent of world's reefs
now "permanently lost" as over the last century the mean sea level
has risen 10 to 20 centimeters, putting low lying nations at "great
risk." "Time, the most precious non-renewable resource, is running
out. How long can we pretend not to see it?" Gayoom asked. "The
outlook, indeed, is alarming." He said that the only question that
has to be answered is "do we have the will?" "I put the question
to you once again: Do we have the will?" he asked.
From http://www.haveeru.com.mv/ 09/03/2002
Nepal: State of Law and Order Will Decide
Emergency Extension-- Gautam
Minister without portfolio Rishikesh Gautam said Sunday that if
the law and order situation goes on deteriorating then the government
would be compelled to extend the state of emergency. Speaking at
a program organized by the Reporters' Club in the capital Sunday,
Gautam said the government was committed to hold the forthcoming
elections in a free, fair and impartial manner. There have been
conflicting views in the government regarding the extension of the
emergency. Prime Minister Sher Bahadur Deuba during his trip to
Belgium told the EU officials that emergency would be lifted during
the polls. But other Ministers in the Deuba cabinet have been hinting
that the decision on emergency extension has not been made yet.
The third phase of emergency declared in May came to an end on August
28. Following the expiry of emergency there have been a flurry of
bomb attacks on commercial centers and politicians. The Maoists
attacked a vehicle-reconditioning center in Teku Sunday morning
and damaged 22 vehicles. Attacks have been there every day after
the emergency lapsed last week.
From http://www.nepalnews.com/ 09/02/2002
Nepal: Move to Upgrade Criminal Justice
Head of a five member committee, Attorney General Prem Bahadur
Bista, Thursday submitted a report to the government recommending
a new and unified criminal offenses and procedural code. Receiving
the report, Law Minister Narendra Niwang said the government will
table the report in bill form in the next session of parliament.
The Bista committee suggested "drastic changes in the existing criminal
justice administration" in the updated code after compiling old
laws and acts on criminal offenses. The Bista committee was formed
last September.
From http://www.nepalnews.com/ 09/06/2002
Pak Bar Council Slams New Media Laws
ISLAMABAD: Condemning the introduction of code of ethics for the
country's media, Pakistan Bar Council has said there was no need
for promulgation of the defamation ordinance as it would affect
the freedom of the press. "Since the remedy with regard to criminal
liability was available under Sections 499 and 500 of Pakistan Penal
Code, there was no need of promulgation of the proposed ordinance
as it would amount to multifarious mess of laws and would also have
the effect of curtailing the independence and freedom of press,"
PBC's Legal Reforms Committee said after examining the draft law
referred to it by the government for comments. According to three
ordinances, approved by the Pakistan Cabinet on Aug 31 to regulate
the functioning of the press, journalists will be proceeded against
libel and slander in a court of law for defamation and if found
guilty would have to pay a minimum of Rs 50,000 for publishing defamatory
material and undergo simple imprisonment for three months if they
fail to pay it. While approving the new laws, the Pakistan government
claimed that the draft of these laws related to press were approved
in consultation with the All Pakistan Newspaper Society, Bar Councils,
Council for Islamic Ideology, Law Ministry and Shariat Court. The
PBC also condemned yesterday the Legal Framework Order by President
Pervez Musharraf amending Pakistan's Constitution saying it was
aimed at "perpetuation of dictatorial rule," local daily Dawn reported.It
said the Committee was of the considered view that the military
government had no right to amend the constitution, even on the pretext
of having been empowered by the Supreme Court to do so.
From http://timesofindia.indiatimes.com/ 09/03/2002
Ordinance for Election of FATA Senators
Promulgated
ISLAMABAD (PNS): President Gen. Pervez Musharraf Monday promulgated
the Senate (Election) (Amendment) Ordinance 2002 paving the way
for direct election of members of Senate from the Federally Administered
Tribal Areas (FATA). The Ordinance is, in fact, further amendment
to Senate (Election) Act 1975. The Ordinance shall come into force
at once. Simultaneously, though an Order No. 25 of 2002 Chief Executive
has enjoined upon the candidates from FATA for the Senate to qualify
the Article 62-63 and all other legalities and moralities to become
member of the august upper house parliament.
From http://www.paknews.com/ 09/10/2002
Implementation of Industrial Laws Ensured-Dawood
LAHORE (PNS): Federal Minister for Commerce and Industries, Abdul
Razzak Dawood has announced that government has planned to set up
a compliance initiative board to ensure enforcement of laws relating
to industry, commerce, imports and exports in letter and spirit
saying that the work on the plan is underway on fast track basis.
He was addressing a press conference on Thursday in the office of
Export Promotion Bureau. He informed that the objective behind the
establishment of the board is to prepare the departments concerning
industries, commerce and exports to face the situation resulting
from the full fledged implementation of WTO at the outset of 2005.
The board will create awareness among the concerned quarters about
the laws, he remarked. He maintained that the leading multinational
companies deal with those Pakistani companies which are abiding
by the laws of international standard. This is the need of the hour
that the maximum factories should enforce these laws to boost the
exports of the country, he stressed. About the composition of the
board he said that it would comprise representatives of garments,
leather products and other industries in addition of representatives
of labor ministry, environment ministry and interior ministry. He
held that all the quotas will be abolished after January 1, 2005
to create the congenial atmosphere for export competitiveness in
the country. All the companies will be out to ensure improvement
in the quality of their products at that time, he noted. This can
be possible only if these laws are enforced, he pointed out. Responding
to questions from journalists he said that the representative of
the interior ministry has been included in the board in the face
of the launching of custom trade partnership in US in the wake of
possible terror attacks. The participation of interior ministry
is must to meet this requirement, he indicated. When asked the impact
of enhancement in exports on the life of common man he said that
it is creating more job opportunities for the people adding that
government was taking positive steps to ensure bolster up exports.
From http://www.paknews.com/ 09/13/2002
SC Asks NAB to Obey Law
ISLAMABAD (PNS): The Supreme Court on Wednesday expressed dismay
over approach of the National Accountability Bureau (NAB) towards
the disposals of appeals in accountability references. A bench,
comprising Justice Munir A Shaikh, Justice Iftikhar Muhammad Chaudhary
and Justice Faqir Muhammad Khokhar, took strong exception to the
assertion by NAB counsel Afzal Siddiqui that the remissions in prison
sentence to an accused could not be given. Senior advocate Akram
Sheikh appeared on behalf of Khan Muhammad Mehar, who has been awarded
10 years rigorous imprisonment and Rs 140 million fine in an accountability
reference. He submitted before the court that the petitioner had
already served out his sentence and he was before the court only
for the suspension of punishment of fine. The counsel for the NAB
opposed the contention of the petitioner's counsel and submitted
that Mehar had only served two years RI and it would be a mockery
of the law if he was released now. He further submitted that the
petitioner was also not entitled to any remission in the sentence.
When Justice Munir A Sheikh observed that the petitioner might be
given remissions before the promulgation of the presidential ordinance
that barred such remissions, the NAB counsel submitted that even
those remissions were not allowed to the petitioner. To this Justice
Munir A Shaikh said the court will not allow such approach by the
NAB. Justice Shaikh added that when the Federal Investigation Agency
(FIA) was created by late Bhutto, people out of fear used to say
that anyone whose case went to the FIA was bound to lose his life
and now it was the same impression about the NAB. He said that the
court had given its judgment about the FIA that it was an investigation
agency and it was not entitled to punish the accused persons. Justice
Shaikh observed if remission in sentence is allowed under the law
then it must be given. The NAB counsel unconditionally withdrew
his comments. Justice Sheikh said that if NAB wanted to keep the
petitioner in jail then it should file a petition for the enhancement
of the sentence. He further took note that appeals in accountability
cases were not being heard by the high court benches. He also questioned
as to why there are only two benches at high court that sit only
for two days. Justice Faqir Muhammad Khokhar observed that delay
was also caused by the appellants. Justice Iftikhar Muhammad Chaudhary
said that special benches could be created for quick disposals of
appeals. Justice Khokhar observed the apex court can also monitor
the progress of disposal of cases on these benches. The court asked
the NAB counsel to come up with the calculation of remissions with
the help of jail authorities on next hearing on September 25.
From http://www.paknews.com/ 09/19/2002
Cabinet Approved Labor Policy, IRO 2002
ISLAMABAD: The Cabinet Saturday approved the Labor Policy 2002
and the Industrial Relations Ordinance 2002. It is almost after
a period of three decades that a new labor policy has been approved
and the most important legislation governing the industrial relations
within a country has been revised. The IRO are important milestones
in the overall reform agenda of the present government. The Labor
Policy 2002 and the Industrial Relations Ordinance (IRO) have been
finalized after evolving consensus through extensive dialogue with
all stakeholders including workers, employers, Provincial Government
and various Federal Ministries/Division. The main thrust of the
present policy is to replace the traditional adversarial relationship
with a mutual trust relationship between the employer and employee.
Therefore, it focuses on strengthening bilateralism through promotion
of social dialogue and supporting bilateral bodies such as Workers
Employers Bilateral Council of Pakistan (WEBCOP). The highlights
of the policy and action plan are to consolidate and simplify labor
laws, human resource development through vocational training, addressing
occupational safety and health issues, provision of improved social
safety net to workers and quality education to workers' children,
combating child labor and bonded labor and inter-ministerial coordination
to address the challenge of globalisation. The revision of the Industrial
Relations Ordinance 1969 as Industrial Relations Ordinance 2002
is a significant step towards the rationalization and simplification
of labor laws envisaged in the agenda of the Labor Policy. IRO 2002
has been drafted in the light of input received from all stakeholders,
most importantly the workers and employers.
From http://www.paknews.com/ 09/22/2002
Legislation for Reforms in Universities
Approved
ISLAMABAD (PNS): Federal Cabinet on Saturday accorded approval
for enactment of laws to introduce reforms in the universities across
the country. The meeting of the cabinet was held here under President
General Pervez Musharraf and was attended by all the four provincial
governors. The cabinet decided that restructuring of all the universities
in public sector will be carried out and new laws will be formulated
in this regard. A new model university ordinance will be promulgated
for all the universities at central and provincial level. The steering
committee for higher education will ensure implementation of the
plan to be worked out in this direction. Briefing reporters about
the meeting, Minister for Science and Technology, Dr Atta-ur-Rehman
said the president wants that there should be improvement in the
prevailing conditions of the universities and reforms are inevitable
to achieve this end. About increase in the financial grant to universities
he said that it has been increased from Rs 1 billion to Rs 8 billion.
The powers of vice chancellor and the administration have been divided,
he added. Giving more details, he said that a board comprising sixteen
members would be set up for the appointment and dismissal of the
Vice Chancellor. The whole educational system will be streamlined
therefore, University Grants Commission has been abolished Higher
Education Commission constituted. Commenting on Model University
Ordinance he said that under this ordinance, the autonomy and independence
of the universities will be ensured besides creating an environment
for the promotion of standard and higher education. The vice chancellor
will be vested with more powers and he or she will also act as the
Chief Executive, he remarked. Spelling out the characteristics of
the ordinance he said that following the promulgation of this ordinance
a change will set in the educational condition of the students and
standard of the education. It will lead to improvement in the condition
of the teachers and the administration of the universities, he continued.
Chairman Steering Committee for Education, Shams Lakha said that
the cooperation extended by the federal ministers, governors and
vice chancellors in suggesting the steps to ensure promotion of
higher education is highly appreciable. The Education Minister said
informed that additional seven billion rupees will be spent on the
universities in the next three years and government will meet all
the expenses of universities functioning in the public sector. The
universities will have to face no difficulties in fulfilling their
requirements owing to enhancement in funds and these will be able
to continue their educational activities in conducive environment,
he assured. Regarding the appointments and other matters of the
universities he said that all the appointments in the universities
would be made on merit and in transparent manner. The salaries of
the teachers will be determined in conformity with their performance,
he disclosed. Pleading the merits of the reforms he said that reform
government is bringing in will benefit the students and government
will extend financial assistance to the deserving candidates' aspirant
for seeking education. They will be provided equal opportunities
to seek education with other students. He held that the needy students
would be granted scholarships adding that the funds have been allocated
for this purpose. Government will meet their tuition fee and expenses
on the books and other expenditures. The students access to the
career management, jobs and industries will be ensured for the first
time. He maintained that the research activities would be promoted
which have been earlier neglected. Research Endowment Fund will
be set up in this regard which will work under Higher Education
Commission, he revealed. In order to improve the working of the
sate- run-newswire agency Associated Press of Pakistan (APP), the
Federal Cabinet Saturday approved its up-graduation as corporation.
The Information Board with Federal Information Secretary as chairman
will run the affairs of the Corporation. The Board will consist
of ten members including five from the government and five from
the private sector. Secretary Information Anwar Mahmood told the
media men in the PID Media Center that every effort would be made
to improve the efficiency of the Agency internally and externally.
From http://www.paknews.com/ 09/22/2002
Pak Passes Freedom of Information Ordinance
ISLAMABAD: Pakistan has passed a Freedom of Information ordinance,
2002 that seeks to ensure improved access to public records and
public accountability besides approving independence and autonomy
for the state-owned new agency, Associated Press of Pakistan (APP).
The federal cabinet met here on Saturday and approved the Freedom
of Information ordinance, 2002, which requires each public body
to ensure that all records are kept properly and the public provided
access to them. According to officials, the Cabinet chaired by President
Pervez Musharraf also approved the conversion of the Associated
Press of Pakistan (APP) into an autonomous corporation to streamline,
improve and enlarge it as a public information medium. Under the
new structure, APP would be managed by a Board of Directors with
five members each from the public and private sector. The secretary
of Pakistan's Information department would chair the Board, which
would also include media professionals, academics and President
of CPNE, the apex body of Pakistan Newspaper management. The acts
and subordinate legislation, such as rules and regulations, notifications,
by-laws, manuals would be duly published later, the officials said.
From http://timesofindia.indiatimes.com/ 09/22/2002
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Central Asia: Militarization Could Come
at Cost of Regional Stability
The international war against terrorism has resulted in the countries
of Central Asia focusing more on military preparedness and increasing
their military cooperation with the U.S., Russia, and China, among
others. While this is viewed by many as a necessary response to
immediate threats, RFE/RL examines whether this militarization could
contribute to the destabilization of the region in the long term.
Prague, 3 September 2002 (RFE/RL) -- The states of Central Asia
are modernizing their militaries as part of the global campaign
against terrorism. Uzbek President Islam Karimov was quoted by Interfax
last week as telling journalists that he plans to cut the country's
armed forces by up to 15,000 men by 2005 to create what he described
as a more "mobile and highly professional" army. The move followed
Kyrgyzstan's plan to complete the process of forming an entirely
professional army over the next two to three years. In early August,
the Kazakh Defense Ministry announced that Washington will be providing
financial assistance to help modernize its military, while the U.S.
ambassador to Tajikistan said Washington plans to provide training
to the Tajik Army. For the most part, this modernization is taking
place with outside assistance, from the U.S., Russia, and China,
in particular. These countries are investing tens of millions of
dollars in the region not only as part of the war against terrorism
but also to realize their own economic and geopolitical interests.
But analysts say this military buildup could come at a cost to regional
stability and to the resolution of long-term problems, such as poverty.
Stephen Blank is a professor of national-security affairs at the
Strategic Studies Institute at the U.S. Army War College in Pennsylvania.
Blank noted the military cooperation the Central Asian governments
are receiving from a variety of suitors. "You have the growing effort
among Central Asian states to build larger militaries to deal with
terrorism and to spend much more money as a result on militaries,
and thus to get training and assistance and advice from a number
of states from NATO, from the United States, in particular, [and]
from China. Obviously, the Russians are also trying to build military
linkages to Central Asia," Blank said. Blank said that in many cases,
the motives for providing this military assistance are as much economic
as geopolitical. "Russia is selling weapons to Central Asia in a
way to subsidize its own defense industry and to try to re-establish
a unified defense-industrial sector throughout the entire former
Soviet Union. The Russians are so desperate to sell weapons to anybody
that they are selling the weapons to Central Asia at below the cost
of production," Blank said. Moscow, which maintains 20,000 troops
in Tajikistan, is eager to revitalize its military ties to the region.
Russia and Tajikistan are negotiating a plan to establish a military
base for Russia's 201st Division near Dushanbe. Kyrgyzstan and Russia
signed an agreement in June on the status of Russian military personnel,
as well as a memorandum on the leasing of Kyrgyz military facilities.
The U.S., however, is challenging Russia's historical influence
in the region by also nurturing close military partnerships with
the Central Asian states. Uzbekistan and Kyrgyzstan are providing
military bases for use by U.S. troops supporting operations in Afghanistan,
while Kazakhstan and Tajikistan have opened their airspace. China
is also providing military assistance to Kyrgyzstan, Uzbekistan,
and Kazakhstan, Blank said, while also seeking to prevent them from
assisting Uighur separatists in the western Chinese province of
Xinjiang. Kazakhstan and China reportedly signed in March an agreement
under which Beijing will provide the Kazakh armed forces with $3
million worth of assistance, including communications and special-forces
equipment. Alex Vatanka is editor of "Jane's Sentinel: Russia and
the CIS," a security-assessment publication based in London. Vatanka
believes the increased militarization in the region is also a result
of a need by the Central Asian states to strengthen their own military
forces. "There is that fundamental need [by the countries of Central
Asia] to create indigenous armed forces, not necessarily so much
in terms of arms production but at least in creating a coherent
and effective, or at least functional, armed forces with proper
doctrines," Vatanka said. The militarization of the region comes
at a cost, however. Analysts note that an emphasis on military solutions
to the region's problems with terrorism, such as that posed by the
Islamic Movement of Uzbekistan (IMU), removes the focus from the
underlying causes for the extremism. In the case of Uzbekistan,
Vatanka said, "In the long term, the issue of how you spend the
nation's resources is obviously going to be a problem for President
[Islam] Karimov to consider because, on the one hand, he's trying
to pacify the IMU and the grassroots support for the IMU on the
ground, while at the same time not really tackling the issues that
lead to increased support for the IMU, i.e., poverty." Analysts
say more weapons in the region could increase the likelihood that
countries would resort to the military option in border or water
disputes, for example. "I can't really see any of the Central Asian
states having any, for instance, say, territorial ambitions that
could lead to interstate conflict in the region. But you cannot
discount the possibility that one day there could be issues that
could lead to conflict within these Central Asian states," Vatanka
said. For example, the International Crisis Group, based in Kyrgyzstan,
recently noted in a report that Uzbekistan carried out military
exercises that looked to some in Kyrgyzstan like practice runs aimed
at capturing its Toktogul water reservoir by force. Blank spoke
to RFE/RL about the dangers of militarization in the region. "First
of all, [this is] an attempt to put a priority on military solutions
to political problems, and placing the priority on military threats,
which unfortunately is the case. And you see this in a variety of
ways. Of course, there's the war on terrorism, which is a response
to the terrorism and insurgency that you've had in Central Asia
if you're going back to 1999. That's the most obvious case. But
others are Iran's attempts to use gunboat diplomacy in the Caspian,
and Russia's rejoinder by its massive military exercise in the Caspian,
which is clearly targeted, among other things, at Iran," Blank said.
Blank also pointed to the possibility that military assistance and
arm sales to Central Asian governments will be used for the purposes
of domestic repression. He also said the flow of weapons and money
into the region's defense sectors will only add to the so-called
"Kalashnikov culture," in which many members of the region's armed
forces, police, and government are believed to be involved in corruption,
especially the drug trade.
From http://www.rferl.org/ 09/03/2002
Eurasian Economic Community Premiers
Fail to Agree on Joint Customs, Tax Policies
At a meeting in Astana on 20 September, the prime ministers of
Belarus, Kazakhstan, Kyrgyzstan, Russia, and Tajikistan failed to
reach any agreement on the introduction of a single import tariff
and other measures aimed at speeding up economic integration between
their countries, RFE/RL's Kazakh and Kyrgyz services and Interfax
reported. Tajik Premier Oqil Oqilov expressed his disappointment
at the stalemate, arguing the "urgent need" for a transportation
union among the five states. Russian Prime Minister Mikhail Kasyanov
suggested that using Russian rubles rather than hard currency in
trade between the five countries would accelerate economic integration,
Interfax and akipress.org reported.
From http://www.rferl.org/ 09/23/2002
Council of Europe Sets Deadline
for Armenia to Abolish Death Penalty
A Council of Europe delegation that recently visited Yerevan set
a deadline of June 2003 for Armenia to ratify Protocol No. 6 of
the European Convention on Human Rights, parliament Foreign Relations
Committee Chairman Hovhannes Hovanisian said on 12 September, RFE/RL's
Yerevan bureau reported. That protocol bans the death penalty in
all circumstances except in times of war. The Armenian parliament
passed amendments earlier this summer to the Criminal Code that
would allow for handing down the death penalty for crimes committed
before the amendments came into force (see "RFE/RL Newsline," 21
and 25 June, 8 and 9 July, and 22 August 2002). The move was made
in response to public pressure to execute the five gunmen who shot
dead eight senior officials in the Armenian parliament in October
1999.
From http://www.rferl.org/ 09/13/2002
New Azerbaijani Directives on
State Secrets Amended
President Aliev has ordered the Azerbaijani government to draft
within one month a new law on state secrets, zerkalo.az reported
on 13 September. Aliev has also amended the controversial directives
issued last month aimed at precluding publication of information
that contains state secrets (see "RFE/RL Newsline," 29 August and
3 September 2002). Specifically, Aliev shortened from seven days
to 48 hours the period within which a specially created commission
must respond to media outlets' queries as to whether specific information
constitutes a state secret. He also abolished that commission's
right to demand that editors disclose on demand the source of their
information.
From http://www.rferl.org/ 9/13/2002
Azerbaijan: Journalists Clash
with Government over New State-Secrets Decree
The publication of a new presidential decree on state secrets at
the end of August led to immediate protests from journalists in
Azerbaijan. The decree, a supplement to the country's six-year-old
state-secrets law, raised concern on three counts. First, critics
say, it required journalists to ask a presidential commission whether
or not sensitive material is a state secret before publishing it.
The commission has a week to respond, which journalists say is another
problem, since articles could cease to be timely if the media has
to wait seven days before publishing. Perhaps the greatest worry
is that the decree appeared to give the commission the right to
demand that journalists reveal the sources of their information.
Following a meeting between government representatives and journalists
recently, President Heidar Aliev today issued a new decree that
looks like a partial victory for the press. For starters, the decree
shortens the committee's response time to 48 hours. Perhaps more
importantly, it clarifies that the committee can only request, not
demand, that journalists reveal their sources. John Boit is director
of the Baku office of Internews, a U.S.-based nongovernmental organization
working with the media. He said he is still concerned about the
original decree, which he said could have a "chilling effect" on
journalism in Azerbaijan. "It is a step toward self-censorship,
at the very least, and full censorship, at the very worst. If a
journalist has to come to the government to ask permission to print
something, I think that that is already an affront to free media,
and so that absolutely cannot be allowed," Boit said. Arif Aliev,
the head of the Yeni Nasil (New Generation) Journalists Union, said
the decree will make it "very difficult for journalists to work."
Aliev said the government's official list of subjects that could
be considered state secrets is too broad, and includes everything
from military and security issues to communication, transport, and
economic and trade matters. The union leader said journalists understand
that governments have a legitimate need to protect state secrets,
but added that it is not the media's job to guard them. "We accept
that there are state secrets, that governments should have their
secrets. But the government itself must keep those secrets. That
is their responsibility, and in this [decree], the responsibility
was partially transferred to journalists," Arif Aliev said. The
government's top legislative expert said the media's fears are overstated.
Shahin Aliev, who directs the Department of Legislation and Legal
Expertise in the Office of the President, said the decree may actually
make journalists' jobs easier. The decree does not impose new restrictions
on journalists, he said, but gives them new rights. "First of all,
this new regulation [does] not create any obligation for the journalists.
There are not any obligations. If [a] journalist [has] any doubt
that this information may be [a] state secret or maybe not, he [has]
the right to appeal to this special commission, the state-secrets
commission. But if journalists are sure that this information [is]
not [a] state secret, or if he knows that it is [a] state secret
and he wants to publish it, nobody can stop it. And [in] this case,
he will have full responsibility," Shahin Aliev said. Shahin Aliev
met leading journalists soon after the presidential decree was published
to try to allay their fears. He said the edict does not give the
state-secrets commission the legal power to demand that journalists
reveal their sources. "I explained to the journalists that it is
just [a] moral obligation, it is not [a] legal obligation. The mechanism
which exists in the decree is a kind of goodwill from the journalists'
side. Of course, journalists can refuse to [reveal] their sources,
and in this case, the commission will appeal to the court," Shahin
Aliev said. The new edict issued by President Aliev turns that clarification
into law. President Aliev's decree today also orders the cabinet
to draft a new law on state secrets in order to comply with Azerbaijan's
international obligations. The cabinet is also rewriting the list
of subjects that can be considered state secrets, Shahin Aliev said.
Both documents should be ready within a month. Such promises do
not reassure Boit of Internews. "I am still very wary of any list
of state secrets, and I think it also depends on the wording of
a document like that. If it's still very broad wording, then still
that document could be used against journalists in cases where,
for instance, information would not normally be considered a state
secret. So I am still very, very concerned about the list of state
secrets and how that could be used and applied against journalists."
Local journalists, too, are keeping a close eye on the progress
of state-secrets legislation. One media union is planning to demonstrate
outside the president's office on 16 September. Arif Aliev of the
New Generation union, for his part, said complaints from journalists
and international organizations have kept the decree from being
implemented so far, but that if it does go into effect, the union
will appeal for help from international organizations and join the
protests, as well. (by Richard Allen Greene)
From http://www.eurasianet.org/ 09/15/2002
Iran's President Fights Right
Wing with New Laws
In a dramatic move drawing attention throughout Central Asia, Iranian
President Mohammad Khatami submitted two bills to Parliament on
September 24 that could curb the political power of Iran's clerics.
The first bill will expand the President's constitutional powers
at the expense of the clerics' veto power. The second would make
elections more direct. The embattled Khatami pledged in an August
30 press conference that he would take a new approach to his feud
with clerics and their right-wing sympathizers in Parliament. "I
am announcing today that the President must be able to perform his
duties within the framework of the constitution," he said at the
time. Maneuvers by the Parliament have stalled Khatami's efforts
to broaden Iranian democracy, reformists say. The president himself
said he had made his decision to introduce the two bills after his
warnings had been repeatedly ignored by the conservatives. In his
press conference, Khatami singled out the hard-line Guardian Council,
a 12-member watchdog group appointed by the country's Supreme Leader
or Ayatollah, for a showdown over the two bills. "The Guardian Council
should not reject the bills because they are logical and none of
them are against the Constitution or the Islamic law," he said,
"unless it intends to violate the Constitution." He said he had
repeatedly warned them of the violations, but "unfortunately I have
had no success," he added. "My warnings have been ignored, and the
president's duties, which are clearly stated in the Constitution,
have been suspended." Observers say this is the first time in Khatami's
two-term presidency that he has so explicitly and forcefully confronted
his opponents. According to parliamentarian Elahe Koolai, who supports
the bills, Khatami is basing his strategy on article 113 of the
constitution. The article, which states "it is the President's duty
to ensure the implementation of the constitution and the prevention
of its violation," may leave a reformist president with few other
tools. According to Koolai, since no mention is made of how a president
can stop the putative violations, obstructionists have been able
to thwart the democratic process. Guardian Council spokespeople
have openly said that no reformist candidate will be able to enter
the next parliamentary elections in 2004. The Guardian Council has
also effectively vetoed a broad category of laws that would have
sharpened secular power. Many legal and constitutional experts agree
that one of the Iranian constitution's primary tensions comes from
its dual power structure, which invests political power in both
the democratically elected president and the cleric-appointed Guardian
Council. The constitution says it bases itself on the need to submit
to God's commands, which would seem to imply that holy men enjoy
extensive authority. If the secular president's bid to expand his
powers succeeds, or if the Guardian Council blocks it, the political
stalemate between reformists and traditionalists figures to change
dramatically. If the first bill passes, the president would be able
to fire the head of Parliament or of the judiciary. If it fails,
judging from earlier remarks he has made, Khatami might seek other
alternatives, up to and including resigning his post. Leaders of
the reformist-dominated Parliament mentioned referendum and mass
resignation as other options under consideration. Though Vice President
Mohammadali Abtahi strongly defended the bills shortly after presenting
them to parliament, some conservative outlets had condemned them
before September 24. The rightist Kayhan News called the president's
"new approach" a "dangerous precedent for the country. Surprisingly,
some writers invoked the idea of American influence, even suggesting
that the United States' Central Intelligence Agency had a hand in
drafting the bills. American President George W. Bush branded Iran
part of an "axis of evil" in January, and his government has declined
to speak supportively for Khatami in his battle with the rightists.
Most reform parties have come out in support of the bills, with
the Islamic Iran Participation Front showing particular enthusiasm.
The president's younger brother, Mohammed Reza Khatami, leads the
party, which dominates the reformist wing. Members of the reformist
party, after imprisonment of their colleagues and seizure of their
publications, had promised a showdown with conservatives in coming
months. Speaking to news organizations on September 24, the younger
Khatami again warned that the reformists might "leave the Establishment"
if hard-liners block the presidents' proposed bills. The Islamic
Iran Participation Front has failed to fulfill its promises in the
face of the unified conservative bloc, severely straining the reformists'
popularity. They are hoping that the president's new combative mood
will bring new vitality to their cause. Though the bills will probably
clear Parliament, it is hard to predict where they will go. Some
pragmatic members of the right have not spoken out against the bills,
perhaps biding time until Khatami's term ends or the population
grows disgusted with legislative wrangling. Months may go by before
the Guardian Council deliberates, rejects and returns the bills
to Parliament for revision. The Expediency Council and the Supreme
Leader, both tied to the Right, have every constitutional right
to weigh in and prolong the process. Many conservative leaders are
now favoring this path, believing it will defeat Khatami's effort
at little political cost to themselves. In that scenario, Khatami
would have to ramp up his confrontation with conservatives, and
observers do not know if his political will is large enough for
that challenge. Events beyond Iran may also affect the public appetite
for reform. If the United States or United Nations begin attacks
on Iraq or if tensions escalate between Tehran and Washington, the
conservatives may seize whatever political advantage Khatami's boldness
has given to the reform movement.
From http://www.eurasianet.org/ 09/24/2002
President Objects to an Item of
the International Convention on Terrorism
Today, on 11 September at a plenary session of mazhilis the deputies
agreed unilaterally with the president's objections concerning the
law "On Kazakhstan joining the international Convention against
financing terrorism", KZ-today correspondent reports from Astana.
Nursultan Nazarbaev, president of RK, forwarded a letter to the
Parliament, in which he supported the necessity of joining this
Convention. At the same time the head of state observed that separate
provisions of the Convention do not fully comply with the national
interests of the Republic. In particular, to protect the interests
of the country the president proposed to add the following item
to the law "On Kazakhstan joining the international Convention against
financing terrorism": Kazakhstan does not consider itself restricted
by provisions of item 1, article 24 of international Convention
against financing terrorism. Item 1, article 24, provides that in
the case of a dispute between the Convention member countries concerning
interpretation thereof, which cannot be settled by means of negotiations,
it will be resolved in arbitration. In the case that the dispute
is not settled within 6 months, any of the parties can apply to
international court. President of RK considers that, taking all
obligations against financing terrorism, Kazakhstan must have an
opportunity to settle occurring disputes not only through the court,
but by means of negotiations as well. Passing of international Convention
against financing terrorism provides a legal basis for international
investigations, arrests and court persecutions of individuals, involved
in financing terrorism. Today around 40 countries of the world have
signed the Convention. After discussing the president's proposal
by the mazhilis deputires it will be considered in the Senate and
the final decision must be made at a joint session of both chambers
of parliament.
From http://www.gazeta.kz/ 09/11/2002
Kazakhstan: International Compromise
Sought on Investment Law
A new version of Kazakhstan's proposed investment law shows the
results of long negotiations with foreign companies and an effort
to compromise on their most serious concerns. The latest draft of
investment legislation, published this week by the American Chamber
of Commerce in Kazakhstan and the U.S. Commerce Department, suggests
that Astana is trying to calm a controversy that has troubled foreign
oil companies for over a year. After 15 months of debate, Kazakhstan
is continuing to craft an investment statute that would limit breaks
for foreign firms that were granted under 1994 legislation in the
early days of independence. The new law, which has passed through
countless drafts, has been bogged down for months. Officials have
argued that changes must be made to curb unfair advantages for foreign
companies and create opportunities for Kazakh businesses. But investors
are concerned that the law could be used to reopen their contracts
and bar access to international arbitration for disputes. The 1994
law allowed foreign investors to take disputes to international
arbitration bodies, if they chose to do so. But last year, the government
proposed that disputes should be transferred outside Kazakh courts
only with the consent of "the state body." In February, a group
representing foreign companies appealed the entire draft law to
the International Center for Settlement of Investment Disputes,
Kazakhstan television reported. The latest version of the law, dated
19 June, tries to finesse the issue, saying that "the settlement
of disputes shall be carried out...at courts of the Republic of
Kazakhstan, as well as at international arbitration courts as agreed
by the parties." It does not say specifically that state approval
would be required for any international appeal. Instead, the language
leaves it open to interpretation by making it vague as to whether
agreement is needed only on the choice of international courts.
The phrasing varies only slightly from the original April 2001 version
that met with protest. The issue has been followed closely because
of Kazakhstan's success in attracting some $15 billion in cumulative
investment, primarily to the country's huge petroleum fields. But
as the country's success has grown, so have the doubts. Since last
year, the government has pursued a series of complaints against
foreign oil majors, saying that some have done too little local
hiring and contracting, while others have broken environmental rules.
Kazakh officials also point to generous investment "preferences,"
such as tax and customs breaks, that were written into early contracts.
They argue that big companies are now making excess profits because
Kazakhstan has since cut its tax rates for all firms. But Kazakhstan
has also created a powerful monopoly called KazMunaiGaz to manage
all its oil, gas, and transit interests. Analysts believe that the
draft law is aimed more at gaining power over the growing oil business
than distributing wealth. Many foreign companies have quietly renegotiated
their contracts under pressure to give back some of their more generous
incentives. But they have also insisted that the new law must not
compromise "contract stability." The latest draft would limit any
new tax preferences to five years. In recent months, President Nursultan
Nazarbaev and Foreign Minister Qasymzhomart Toqaev have repeatedly
pledged that existing contracts will remain intact. But concerns
have remained about provisions that would make it easier to nationalize
property or override contracts, or to deny recourse outside Kazakh
courts. Under the draft law, contracts could be altered in cases
of new international treaties or laws enacted "in order to provide
national and ecological security, health care, and ethics." It does
not define or limit the terms. Doubts about legal protections have
been aggravated by recent trials of dissidents and closing of newspapers
in the worst rash of repression in the past decade. Speaking last
week in Astana, the president of the European Bank for Reconstruction
and Development, Jean Lemierre, praised the investment environment
but added that "the practice of passing laws in Kazakhstan has provoked
a number of questions among investors," according to Interfax. Lemierre
spoke following a meeting of a foreign investors' council. In response
to questions about the rule of law, Nazarbaev said: "Naturally,
I am sad that there has been talk recently that the pace of democratic
reform in Kazakhstan is slowing down. I don't think that is the
case." He added, "There is no way that Kazakhstan is going to turn
away from democratic reforms, because this is the way that Kazakhstan
has selected as the way of its economic and political development."
Although business and democratic rights are often dealt with separately,
investors are likely to become uneasy with the recent trends in
Kazakhstan because both are affected by the balance between legal
protections and government power. In the case of the draft law,
vague language may not be reassuring in an environment which seems
to be protecting power at the expense of legal rights.
From http://www.eurasianet.org/ 09/14/2002
Draft Law on Computerization
A working group of mazhilis of parliament of RK started considering
the draft law on computerisation, KZ-today was advised in mazhilis
press service. Discussing this draft law by the government is due
to the development of national IT & T infrastrusture and Kazakhstan's
entry into the world information system. This document is the first
normative legal act in this area. Especial emphasis in the draft
law was made to define status, types, order of forming and using
information resources.
From http://www.gazeta.kz/ 09/17/2002
Draft Law on State Regulation of Oil Production
Tomorrow, on 24 September within the Committee for economic reform
and regional development, the working group of mazhilis of RK will
start considering the draft law on State regulation of oil production
and turnover for separate oil products, KZ-today was advised by
mazhilis press service of RK. According to the press service, Zeinulla
Kakimzhanov, minister of finance is supposed to participate there.
From http://www.gazeta.kz/ 09/23/2002
New Law Envisages Transparency
of Statistical Data
The ninth session Oliy Majlis (Uzbek Parliament), second convocation,
will consider the new edition of the Law on State Statistics, Narodnoe
Slovo reported. The existing law was adopted in 1993. According
to Tamara Rogoznikova, deputy head of State Statistics Department
under the Macroeconomics and Statistics Ministry, within the past
nine years ownership forms in the national economy and management
structure have notably changed, new relations between government
bodies and private sector have emerged. The state statistics should
become an obligatory element of the society's information system
and provide the economy and the public with data on real economic
situation. Development of the new law is also one of conditions
of Memorandum on economic and financial policy issues signed between
Uzbekistan and the International Monetary Fund in December 2001.
According to Roznikova, the new bill determines organisational order
of state statistics and regulates legal relations concerning gathering,
generalisation, distribution and storage of statistical information
on social and economic situation of the country. The law determines
the obligatoriness of a systematic development of a long-term programme
of statistical work with indication of strategic directions of statistical
activities. The law provides creation of Statistical Council under
authorised state statistics body. It can include representatives
of ministries, departments, scientific and business circles and
the public. The structure will serve to provision of statistical
information to users, increase of efficiency and trust of statistical
system. The bill outlines main principles of functioning of statistics
system in accordance with recommendations of the UN Statistics Commission.
These are principles of reliability and objectivity of statistical
data, openness of statistical information, its availability and
equal opportunity for all users to receive statistical data. An
important principle is also to observe transparency in statistics
- all methods used for gathering information and calculations should
be open. The bill has been worked out with consideration of the
principle of confidentiality of statistical data (prohibition of
disclosure of information supplied by respondents to statistics
organs). All data submitted by economic subjects can only be used
in statistical purposes for preparation of statistic reports. While
elaborating the bill Uzbek experts took into consideration the expreience
of foreign countries, model law of Eurostat (statistical body of
the European Union), as well as recommendations of the International
Monetary Fund and the World Bank.
From http://81.29.68.227/ 08/28/2002
Uzbek Deputies Developing New
Laws on Civil Society
More than 10 laws regulating development of civil society will
be renewed and developed in Uzbekistan, Narodnoye Slovo reported.
Such decision has been adopted at the session of sub-commission
for civil society of the Oliy Majlis (parliament) Commission for
democratic reforms and civil society. Seven working groups have
been created for preparation of bills and renewal of existing laws.
From http://81.29.68.227/ 09/17/2002
|
 |
| Australia: Justices Hammer Tampa Laws
THREE High Court judges lashed out yesterday at the Howard Government's
tough new post-Tampa laws, arguing that they interfered with the
court's independence. "We are here to do justice and you want to
take that away from us," Justice Michael Kirby told federal Solicitor-General
David Bennett QC, representing the Government before the court.
Mr Bennett was responding to arguments from lawyers for the wife
of asylum-seeker Ali Bakhtiyari and another man, that new laws banning
appeals to the High Court against immigration tribunal decisions
were unconstitutional. While it is difficult to predict the final
positions the seven judges will take, the reservations expressed
yesterday suggest the Government's asylum-seeker strategy could
be dealt a major blow by the nation's highest court. One senior
legal observer described the exchanges between the judges and Mr
Bennett as "the biggest bunfight between the executive and judiciary
the High Court has seen for years". The Government has accused asylum-seekers
of using appeals to the Federal and High courts to delay their deportation.
In the lead-up to last year's federal election, the Coalition -
with Labor's support - inserted clauses in the Migration Act specifying
that decisions of the minister, department or tribunals "must not
be challenged, appealed against, reviewed, quashed or called in
question in any court". Justice Michael McHugh said yesterday the
Constitution banned parliament from "legislating so as to unreasonably
interfere with the judicial power of the commonwealth". "This is
the Constitution we are dealing with . . . it's not a Dog Act,"
he said. Justice Mary Gaudron demanded to know why the new laws
banned the High Court and its judges from identifying parties in
immigration cases, when the same provision did not extend to news
reporting. Justice Gaudron's judgment is likely to be her last before
she leaves the court in February. Given the high-profile nature
of the cases, and the public's right to know and understand her
decision, Justice Gaudron said, she "might find it sensible, practicable,
desirable to use the names of these people in my judgment". "Can
you give me a note (explaining) by what power the Government can
direct me about how I may write my judgments?" she asked Mr Bennett.
"For my part, I can see no power of the parliament to direct me."
Roqia Bakhtiyari's lawyers argue that the post-Tampa laws breach
section 75(v) of the Constitution, which allows people to seek judicial
review of ministers' decisions in the High Court. The new laws also
place a 35-day time limit on any immigration appeals to the High
Court. Experts argue the time limit was placed in the Migration
Act in case the High Court ruled it could still review immigration
decisions. But Justice Kirby said the 35-day limit in effect deprived
visa applicants of their rights to go to the High Court. Many asylum-seekers
could not speak English, were in detention and could not readily
access lawyers and, when they did, received poor advice, he said.
"We've had enough cases to know that happens," Justice Kirby said
(by Benjamin Haslem).
From http://www.theaustralian.news.com.au/ 09/05/2002
Howard Defiant on Kyoto Rejection
Prime Minister John Howard has remained defiant over Australia's
refusal to ratify the Kyoto Protocol in the face of strong criticism
after China, Russia, India and Canada promised to sign on. Mr Howard
said yesterday he remained unconvinced that ratifying the legally
binding agreement to limit greenhouse gas emissions was in Australia's
best interest, although he left open the possibility of changing
his mind over the next few months. But senior government advisers
said it was highly unlikely that Australia would sign the protocol
in the near future. They dismissed suggestions that the government
had shifted its stance, pointing out that Mr Howard had always reserved
the right to ratify it in future if it was seen to be in the national
interest. But at this stage, ratifying the protocol is seen by the
government as imposing the risk of economic penalties on resource
exporters, which would not be faced by other countries signing it,
such as China and India. Although those countries agreed to ratify
the protocol, as developing countries they have not been given specific
targets for limiting greenhouse gas emissions, whereas Australia
as a developed country would be given a legally binding target and
would face penalties if it was breached. Mr Howard said Australia's
refusal to sign was based on "our own independent assessment of
our national interest" and in any case Australia was already close
to achieving the targets. He vehemently denied Australia was opposed
to ratifying the agreement simply because the United States was
opposed to it. The agreement, which would limit Australia's greenhouse
gas emissions to 108 per cent of 1990 levels on average over the
period 2008 to 2012, is now almost certain to come into force after
Russia, Canada, China and India at the Johannesburg Earth Summit
this week signalled their intention to ratify it. The previous opposition
of these countries has been a stumbling block to the protocol being
widely accepted as an international benchmark. Mr Howard has also
cited this and US opposition as key reasons for Australia's refusal
to ratify. Australia and the US are now isolated as the only two
signatory developing countries that have refused to ratify it. Defending
his government's stance, Mr Howard said Australia was a net exporter
of energy and ratification would mean the loss of important markets
to non-signatory countries such as Indonesia. The position was condemned
by scientists, environmentalists.Labor and the Democrats, who said
the government had backed itself into an internationally embarrassing
and environmentally irresponsible corner. Labor environment spokesman
Kelvin Thomson said Australia was out of step with the rest of the
world and risked missing important opportunities. Environment Minister
David Kemp last night was scheduled to outline Australia's position
to the summit, saying that despite the government's refusal to ratify,
Australia would still work hard to meet its emissions target (by
Louise Dodson, Josh Gordon)
From http://www.theage.com.au/ 09/05/2002
Tougher Laws for Violent Crime
Killers of police officers, teachers or health workers would be
jailed for at least 25 years and gang rapists for at least 15 years
in a get-tough strategy on violent crime launched in New South Wales
yesterday. Announced by Premier Bob Carr, the moves were condemned
by academics and civil libertarians as political opportunism. The
proposals cover 19 serious crimes including murder, attempted murder,
gang rape, sexual assault, drug trafficking and manufacture, armed
robbery, carjacking and possession of illegal handguns. The reforms
to the Crimes Act also demand that judges hand down these minimum
sentences or publicly justify their reasons. The amendments also
pave the way for the creation a NSW Sentencing Council, based on
a British model, that would monitor sentences handed out by courts
and "make sure they meet community expectations". Mr Carr said the
standard minimum sentences would give courts instructions about
the lowest penalty expectations, but allow judges to state their
case for sentencing deviations, depending on the circumstances.
"Judges will have to hand down this sentence unless there are aggravating
or mitigating factors that require a higher or lower sentence,"
Mr Carr said. "This avoids the fatal flaw of mandatory sentencing,
it makes sure a battered wife who kills a husband is dealt with
differently from the cold-blooded killer of a police officer." Last
month, District Court Judge Michael Finnane jailed the 20-year-old
ringleader of a gang of rapists to a total of 55 years for orchestrating
attacks on teenage girls in western Sydney. Mr Carr said at the
time that justice had been served and it was the was the type of
sentencing the community expected. David Brown, professor of criminal
law at the University of NSW, last night warned that mandatory sentences
of any sort - including minimum sentencing - increased the likelihood
of injustices by preventing judges from making the punishment fit
the crime and taking all circumstances into account. (by Paola Totaro,
Robert Wainwright)
From http://www.theage.com.au/ 09/05/2002
Water Reform Menace for States
STATES will lose millions of dollars in competition payments unless
they agree to a national code on property regulations, including
water rights, Deputy Prime Minister John Anderson warned yesterday.
Mr Anderson said the states had failed to meet their obligations
under the 1994 Council of Australian Governments agreement to reform
water and other property rights, and could no longer expect to receive
reform bonuses in return. He told the National Party federal council
that the lack of clear rights meant investment was paralysed and
new programs designed to help the environment were being stymied.
Mr Anderson said changes such as the NSW Native Vegetation Act had
wiped 20 per cent off the value of some properties in the northwest
of NSW. But because of unclear rules, farmers could not apply for
compensation. "The states do not appear to have grasped the moral
and political imperative that they should be prepared to use that
money, or part thereof at least, to provide compensation and adjustment
assistance to the affected industries, not just spend it in their
state capitals," he said. But Queensland Premier Peter Beattie said
Mr Anderson was talking a "lot of rot" in claiming that Queensland
and NSW favoured the cities over the regions when dealing with national
competition policy payments. "It's a beat-up. It's a lot of rot.
"I mean, one of the things we do is provide local governments with
their payments direct," Mr Beattie said. National Farmers Federation
president Peter Corish welcomed Mr Anderson's move. "The bottom
line is that a clear framework for resource security would provide
farmers with the certainty necessary to enable better environmental
and business management of natural resources," he said. But Democrats
spokesman John Cherry accused the NFF of creating a problem that
did not really exist. "What is needed is proper assessment of the
cost of conservation and compensation when required," he said. "But
the Democrats do not believe that farmers should be compensated
for what should be reasonable practice." Mr Anderson said the commonwealth
would lay down a proposal for national rules at the next COAG meeting
due in November. The states and territories will receive more than
$700 million in bonuses for introducing competition reform under
the 1994 COAG agreement. The ultimatum came as NSW Premier Bob Carr
outlined his own plan for "public-private partnership" to regenerate
the state's land and waterways over the next 50 years. "For farmers
this means water property rights, incentive payments for healthier
rivers, less regulation, freedom to meet targets in ways they think
best," he said, speaking at a Labor conference in Cooma, southern
NSW. "It means country people, not regulation, will be the agent
of change." "It means giving catchment management boards the legislative
and financial clout to fix the problem locally." (by Sid Marris,
Leisa Scott and Bernard Lane)
From http://www.theaustralian.news.com.au/ 09/16/2002
ASIC Laws 'Over Top'
AUSTRALIAN business leaders have attacked a proposal to grant sweeping
new powers to Australia's corporate watchdog, saying the proposal
could be "unconstitutional". The powers under which the Australian
Securities and Investments Commission can issue fines of up to $1
million are the most controversial reform of a corporate governance
reform package announced yesterday by Treasurer Peter Costello.
The package of 41 specific reforms governing auditing and corporate
disclosure practices was generally applauded by business and the
accountancy profession. But the lobbying to water down the ASIC-specific
proposal has already started. "We are pretty concerned," said John
Hall, chief executive officer of the Australian Institute of Company
Directors. "This is breaking a whole lot of new territory." Mr Costello
announced yesterday a proposal to allow the watchdog to hand out
infringement notices for companies found in breach of continuous
disclosure obligations. "ASIC would be prosecutor, judge and jury
and that's to be avoided," Mr Hall said. "On the face of it, it
seems to be enlarging ASIC's powers and the question must be raised
whether it is constitutionally enforceable." Continuous disclosure
requires that companies keep all investors fully informed on good
and bad news, so investors can buy and sell company shares in good
faith. But in the past 12 months tales of insider knowledge in which
directors have hidden from investors financial time bombs - Mr Costello
cited failed insurer HIH when announcing his reforms yesterday -
has rocked investors' confidence in sharemarkets Business's premier
lobbyist, the Business Council of Australia, generally welcomed
the reforms yesterday but pointedly refused to endorse the move
to grant more power to ASIC. "That is one of the area we would like
to go back and talk to our members more," BCA chief executive Katie
Lahey said. "We would like some time to digest that one." Generally,
the reforms are in line with a trend sweeping the world but stop
short of more draconian measures in the US. Australia's reforms
include protection for corporate whistle-blowers and a tightening
of audit practices, including a mandatory audit committee to be
established for Australia's top 500 corporations. The Australian
Shareholders Association said the reforms, including the ASIC proposal,
struck a reasonable balance and called for bipartisan support to
ensure they win Senate approval. After public debate on the measures,
legislation is expected to be introduced early next year. ASIC's
supporters, meanwhile, remain concerned about the watchdog's budget
to match its ever-increasing profile. Domenic Martino, chief executive
of consulting and accountancy group Deloitte, called for increased
funding for the regulatory bodies, including ASIC and the Financial
Reporting Council, which oversees the audit profession. "ASIC is
facing additional reporting and regulatory requirements and we want
to see that they are appropriately funded," Mr Martino said. A spokesman
for Mr Costello said the last budget had increased ASIC's funding
by $90.8 million over four years and taken its expanded workload
into account, but this would be reviewed if there were "a pressing
need"(by Geoff Elliott and Andrew White).
From http://www.theaustralian.news.com.au/ 09/19/2002
Micronesian Voters Keep Current Constitution
Palikir --All 14 proposed amendments to the Federated States of
Micronesia constitution were defeated at the polls. The referendum
drew a little over 15,000 voters, about 25% of the 67,000-plus registered
voters. Although some proposed amendments got majority support they
failed to reach the 75% of votes needed to pass. Strong support
was given to a proposed amendment "to establish national educational
standards and funding to support them." Equally strong was the opposition
to a proposed amendment seeking "to provide allowance for former
Presidents and Vice Presidents." Official results, showing the percentage
of votes in favour, included:o 67.7% to provide for a minimum of
four justices for the Supreme Court;o 56.5% to allow citizens to
hold dual citizenships;o 55.7% to establish state jurisdiction over
land and water;o 53% to create the Office of the Independent Prosecutor;o
37.7% to provide an allowance for former Presidents and Vice Presidents;o
65% to establish national educational standards and funding to support
them;o 52.2% to provide for concurrent national and state power
to levy a value-added tax;o 58.2% to change distributions of tax
revenue between the National/State Governments;o 45.7% to increase
the number of Congress members and limit length of terms;o 53.7%
to provide for the direct election of the President and the Vice
President;o 57.2% to establish the number of votes needed to override
a Presidential Veto. The constitution now remains in its current
form until the next caucus for a constitutional convention, in 10
years.
From http://www.pacificislands.cc/ 09/09/2002
New Zealand: Judges to Go Under Spotlight
Attorney-General Margaret Wilson has commissioned an independent
review of how judges are appointed, sacked and managed. Former Prime
Minister Sir Geoffrey Palmer will conduct the review, due by November.
Ms Wilson said it was an attempt to achieve "best practice" in a
complex area of public law and she did not expect any law change
as a result. Sir Geoffrey would hold discussions with relevant office
holders and agencies, including the Ministry of Justice and Department
for Courts, the Crown Law Office and the State Services Commission.
The draft terms of reference call for a report on judicial administration,
"concerning the lack of a co-ordinated approach to the appointment,
administration, servicing and termination of judicial and quasi-judicial
appointments". Ms Wilson said poor co-ordination "has not occasioned
any disasters, but it could be better managed". One issue was how
to handle complaints against judges while preserving their independence
from political interference. The last National Government had introduced
a bill to address the issue of sacking judges after district court
judge Martin Beattie was acquitted on 45 fraud charges relating
to $10,000 in travel expenses. He was transferred to sit on the
Accident Compensation Appeal Authority. Ms Wilson said she had allowed
the bill to lapse because she did not feel comfortable with it.
She denied rumours in Auckland legal circles that she was planning
a review of Crown Law and the Solicitor-General's office. A review
could be set up later to look at the cost of legal advice to all
Government agencies, which last year paid $40 million to advisers.
Ms Wilson said she wanted a "whole of Government approach" through
better co-ordination between departments. (by Vernon Small)
From http://www.nzherald.co.nz/ 09/03/2002
Court Ponders Intent of Law on Sentencing
The Sentencing Act 2002 was a well-perused document by the end
of its first serious test, in the Court of Appeal at Wellington
yesterday. The Crown is appealing against a ruling by Justice Salmon
in the Court of Appeal in Whangarei this year that he could not
impose a minimum non-parole period when sentencing Haden Karl Brown
to nine years' jail for attempted murder and arson. Brown attacked
his mother, Sue, with a hammer, leaving her with brain damage, and
then tried to set fire to her house. He was suffering from a chronic
depressive disorder at the time. Five judges are hearing the appeal,
and there was much debate in court yesterday over the act's wording
and intent. John Pike, for the Crown, said Brown's "ferocious violence"
qualified for a minimum non-parole period because it was outside
the range of offending of a particular kind. But he acknowledged
a difficulty in establishing what "an ordinary offence" was. The
judges also questioned whether judges sentenced offenders in the
expectation they may serve only the minimum one-third before being
eligible for parole. Brown's lawyer, Gerard Winter, said that compiling
lists defining what was outside the ordinary was potentially dangerous.
The court reserved its decision.
From http://www.nzherald.co.nz/ 09/04/2002
New Minister Wants Action on Women's Policy
The new Minister of Women's Affairs, Ruth Dyson, believes that
her ministry needs to strengthen its link to the women of New Zealand.
"It has become a little too Wellington-focused and a little departmentally
focused," she told the Herald this week. "We need to make sure that
the issues we're discussing in the capital that are of concern to
women are indeed affirmed by women around the country." In briefing
papers, the ministry has called for the Government to undertake
a "radical rethink" of family policies and income and employment
guidelines. Ms Dyson says she understands a frustration in the lack
of focus on women's specific policies. "I think we've been pretty
consistent in ensuring that women's perspectives are recognised
in our overall policies, but I don't think we're good enough when
it comes to specific strategies." Her priorities include a focus
on pay equity. Submissions on the discussion document Next Steps
to Pay Equity close on November 30. The fact that New Zealand still
has a large number of women-dominated occupations where comparable
pay is lower than male-dominated occupations is "not acceptable
in society". "When you look at the starting rates for nurses and
the starting rates for police ... it does rather reinforce the point
somewhat," she says. Also on the agenda is a review of the Parental
Leave scheme, as resources permit. "We need to keep that on the
agenda so we can extend that to people who currently aren't entitled
to get it." This includes those who have had more than one employer
in the previous year, and to the self-employed. Another priority
is looking at financial barriers to more participation in paid work.
"One of the biggest frustrations that particularly women on benefits
have in moving towards independence is the social security abatement:
they can only earn $80 a week, then they start losing money." But
Labour says it will need a lot of convincing to agree to income-splitting,
a policy that United Future is pushing. The system allows a one-income
couple with children to divide their tax in two. Ms Dyson, whose
first elected position in the Labour Party was onto the Labour Women's
Council, said female participation at work had greatly improved.
"But what we didn't think about was: How do we share the rest of
the work? We haven't got that balance of paid and unpaid work right."
From http://www.nzherald.co.nz/ 09/07/2002
Developer Faces Mass Lawsuit
New Zealand's biggest terraced housing developer is facing a multi-million-dollar
lawsuit and repairs to more than 350 homes in the most far-reaching
case of leaky building syndrome to date. The Weekend Herald has
learned that more than 150 owners at the $30 million Sacramento
development in Botany Downs are preparing to sue Taradale Developments
for faults which include leaks throughout the site and rotting stairs
with mushroom-sprouting mould. Homeowners at three other Taradale
sites in Auckland and on the North Shore are calling for investigations
into previously unreported leaks which experts fear may turn out
to be as bad as Sacramento's. Auckland Mayor John Banks warned yesterday
that all ratepayers could end up paying for "Flash Freds and jerry-built
developments", as the councils which approved them were dragged
into costly legal disputes. The latest revelations come as thousands
of worried homeowners and an equally nervous building industry wait
for the findings of an independent inquiry next week. The 40-page
report for the Building Industry Authority, due to be made public
on Tuesday, is expected to confirm an interim finding in May that
New Zealand faces "a major systemic breakdown" in the building industry
unless action is taken fast. Two major changes to the Building Code
- a compulsory water-draining cavity inside outer walls and a return
to greater use of chemically treated timber, which is more resistant
to rot - are being considered. Experts have already estimated that
one in 10 new homes is at risk of rotting and the repair bill could
easily top $1 billion. This week the founding director of leading
leak investigation firm Prendos, Greg O'Sullivan, told the Weekend
Herald that his firm alone was dealing with about 2000 apartment
units at 21 sites nationwide. The second-biggest firm, Alexander
& Co, previously said it was dealing with more than 500 units on
almost 50 sites. In the past week the Herald has established that
some of Auckland's biggest and newest developments are leaking and
starting to rot. Eden Two, a 97-apartment site in Mt Eden, has rotting
balconies after only 18 months, and more than 100 residents at the
leaking Silverfield Terraces site in St Lukes might have to leave
their homes if repair workers discover toxic mould inside the walls.
Both sites were developed by the Redwood Group. Today the Weekend
Herald can reveal that Taradale, which describes itself as the country's
largest developer of terrace and condominium-style housing, has
major problems. A report prepared in April for 153 owners at its
flagship Sacramento development shows extensive leaks, breaches
of the Building Code and an overall failure of the exterior cladding
system and design details. Advanced decay is established in the
exterior staircases and is likely in many other walls and decks.
The report warns that the staircases must be repaired urgently before
they rot through and collapse. But residents and industry sources
familiar with Sacramento said Taradale had not repaired the stairs
because it was arguing with builders about who was responsible.
Owners are now finalising a legal claim for damages against Taradale
by having experts strip out walls in selected units to determine
the extent of the damage - and the size of their claim. No estimates
have been made, but based on a typical $30,000-a-unit repair bill,
the claim could easily reach $5 million. (by Andrew Laxon)
From http://www.nzherald.co.nz/ 09/14/2002
NZ Urged to Give Treaty Certainty in Law
The place of the Treaty of Waitangi should be given more certainty
under New Zealand law, a visiting member of the Privy Council, Lord
Steyn, said yesterday. It would require only 10 words to state that
the treaty was of a constitutional nature, he told a seminar at
Victoria University Law School. It might be included in the preamble
to the appeal legislation establishing the proposed Supreme Court,
rather than the Privy Council, as the final appeal court. Lord Steyn
said the treaty was repeatedly referred to in laws. This year's
speech from the throne, written by the Government, had contained
the statement: "The basis of constitutional Government in this country
is to be found in its founding document, the Treaty of Waitangi.
My Government values and remains committed to strengthening its
relationship with tangata whenua. That means fulfilling its obligations
as a treaty partner to support self-determination for whanau, hapu
and iwi." He said a Privy Council case had referred to the treaty
as being of the greatest constitutional importance to New Zealand,
yet subsequent decisions of the Court of Appeal had lead to uncertainty
about that. "Isn't it fair to a minority to clear up the uncertainty?"
What was required was political will, Lord Steyn said. Without a
statutory reference to the constitutional nature of the treaty,
there was a risk of its "implied repeal" by Parliament. It would
be possible for Parliament to pass legislation which, on the face
of it, might not say it eroded treaty rights, but nonetheless did.
"If there is contained in the Treaty of Waitangi rights, those rights
must be protected by appropriate remedies." Lord Steyn also argued
that the proposed New Zealand Supreme Court should include judges
from overseas, contrary to the advisory committee recommendation
on a replacement for the Privy Council. Former Attorney-General
Paul East, QC, who was at the seminar, disagreed with the inclusion
of overseas judges, saying it could be seen as New Zealand lacking
the confidence to run its own appeal court. "There is no place for
a half-way house," he said. Lord Steyn argued that the Supreme Court
should limit its appeals to cases of great public importance and
matters of law. But it should not accept cases over matters of fact
as then it would merely be replicating the Court of Appeal. "There
is a risk your Supreme Court would not have as high a standing as
it should," he said. Lord Steyn is in New Zealand to deliver the
Cooke lecture, named after former Court of Appeal president Lord
Cooke of Thorndon, who sits on the Privy Council. Act MP and former
lawyer Stephen Franks attended one of Lord Steyn's seminars last
week. He said he saw no problem with the actual articles of the
treaty being included in constitutional legislation because they
embodied "a classical 19th-century view of property right, the rule
of law, and equality before the law". But a reference to "the principles
of the treaty" would be dire because no one knew what they meant.
"It would simply mean that the courts would become embroiled in
what should really be political battles." Mr Franks said it was
refreshing to have a member of the Privy Council giving his views
on the treaty. "It has been going on covertly here. Lord Cooke's
judgments are political and I think the [Court of Appeal] judges
since Lord Cooke would dearly like to withdraw from some of it -
like the partnership analogy. Partnership is just a nonsense in
constitutional terms ... It is a useful term to convey the flavour
of mutual respect and assistance, but to turn it into law is just
nonsense." Institutions all over the country referred to "the treaty
partnership" in their goals and objectives and "no one has the faintest
idea what it means". (by Audrey Young)
From http://www.nzherald.co.nz/ 09/18/2002
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OECD Tax Center to Operate Until 2007
The OECD Tax Center will operate here until the end of 2007, the
Ministry of Finance and Economy said yesterday. A ministry official
said the tax center's operations were previously supposed to have
expired on Aug. 31 this year. The center was set up in September
1997 in cooperation with the Organization for Economic Cooperation
and Development (OECD). The official said the government had accepted
the OECD's request that the tax center be given five more years
to maintain operations in Seoul, until December 2007. The center
is designed to disseminate OECD tax-standard recommendations to
OECD member states as well as non-member countries. It provides
training programs for tax officials from South Korea and other Asian
countries. Programs cover such topics as international tax accords
and taxation of financial instruments. The center also publicizes
South Korea's tax system and tax reform. In addition, the center
is making efforts to strengthen cooperation on tax-related issues
with other Asian countries, including China, Singapore, Thailand
and Malaysia. Besides South Korea, the OECD Tax Center currently
operates in Austria, Hungary and Turkey. (by Park Yoon-bae)
From http://search.hankooki.com/ 09/03/2002
TOPˇü
Former Soviet States Seen
as Flawed But Capable of Reform
A conference looking at security and economic prospects
in Eurasia -- an area encompassing most of the former Soviet Union
-- has highlighted the need for deep reforms, especially among
the ruling elite. Speakers ranging from U.S. Treasury Secretary
Paul O'Neill to the administrator of the United Nations Development
Program, or UNDP, Mark Malloch Brown, focused on the need for
sweeping reforms in countries throughout Central Asia and the
Caucasus in particular. They spoke at a gathering of government
and business leaders recently organized by the Eurasia Group,
the United Nations, and the Business Council for the United Nations.
O'Neill stressed the need to engage countries throughout Central
Asia, noting the disastrous results of the international neglect
of Afghanistan. He also rejected the notion that any new U.S.
military operations in Iraq would lead to a decline in U.S. support
for Eurasian countries. But the U.S. treasury secretary said leaders
in the region will need to show they are willing to enact tough
reforms if they are to attract scarce investment and development
aid. "Without the rule of law and enforceable contracts and attacks
on corruption, it's pretty difficult to make real progress on
the other things that matter in life, and it's very problematic
that foreign direct investment will expose itself in the absence
of those things," O'Neill said. Authoritarian rulers have been
in power through much of the post-Soviet era, and the region has
suffered a dramatic increase in poverty levels. A report released
yesterday by the World Health Organization provided fresh data
about this decline. The report shows that the number of people
reported to be living below the poverty line of $4 per day had
risen from 3.3 percent to 46 percent in about 10 years. But O'Neill
said a recent trip he made to the region also provided a glimpse
of hope about how the resources of the region can be transformed
into engines of growth. He referred in particular to the prospect
for cooperation between two of the countries he visited, Kyrgyzstan
and Uzbekistan, on hydroelectric-power generation. And he said
during his visit to Ukraine that he saw potentially enormous benefits
if the country renovates its infrastructure for transmitting natural
gas. But he said such changes will not attract needed investment
until the national leadership shows a commitment to a reform path.
"To tap all this potential, they need to work with their neighbors
to build regional cooperation and trade, invest in distribution
systems, and overcome lingering distrust and Soviet economic thinking.
The barriers to trade among these countries are much too high
and corruption raises transportation costs even further," O'Neill
said. O'Neill said Russia is beginning to make needed reforms,
but the process would be accelerated by Russia's membership in
the World Trade Organization, a move the United States supports.
He also expressed hope that Washington's closer ties with Russia
will have a positive impact on Eurasian countries. "Beyond the
immediate cooperation we've sought for military and security interests,
these nations are becoming new partners for economic development,
the source of long-term stability and prosperity. At the same
time, our growing alliance with Russia, the most influential country
in the region, in the context of Russia's improving policy environment,
has made the future brighter," O'Neill said. Speakers at a separate
panel discussion on Eurasia's future were more pessimistic about
the prospects for positive changes. Financier George Soros, president
of the Open Society Institute, said Russia has evolved from what
he called "robber capitalism" to elements of legitimate capitalism
in recent years. But he said human rights activism is suffering
due to Russia's new close ties with the U.S.-led coalition against
terrorism. "If you look at, for instance, how Russia has handled
Chechnya, it gives you a rather terrifying example of what can
happen if you carry the war on terrorism to an extreme. And we
are not in a position to criticize anymore, and it is not high
on our agenda to do so," Soros said. Soros said that with developed
countries unwilling or unable to force positive changes on the
authoritarian governments in Eurasia, there should be more efforts
to work through nonstate actors. Soros's own Open Society Institute
is one of the most influential nongovernmental organizations in
the region, assisting in areas like media development and education.
"You can provide incentives, reinforcement, empowerment for those
who are moving in the right direction. That is not an interference
in the internal affairs of the countries. We don't do enough on
the positive side," Soros said. UNDP administrator Brown, addressing
the same panel, spoke of the importance of transparency in government
affairs. He mentioned in particular the issue of energy revenues,
saying government's handling of these funds has given rise to
political unrest in oil-rich countries in Africa, such as Nigeria.
Brown said countries like Kazakhstan, Turkmenistan, and Azerbaijan
must be persuaded of the need for transparence in the use of their
energy revenues. "If there is not a very transparent governance
around the use of royalties on these pipelines, it will end up
with huge costs to the foreign investors and the governments involved,"
Brown said. Brown also said the developed world must also take
advantage of the upcoming expansion of the European Union eastward
by further engaging the countries of the former Soviet Union.
He said there must be ways to bring those countries onto the same
reform path embraced by the former communist countries of Eastern
and Central Europe.
From http://www.eurasianet.org/ 09/22/2002
TOPˇü
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China: 'Healthy' CCP Axes 120,000 in Anti-Graft
Drive
HONG KONG, China (CNN) -- More than 120,000 "unqualified" members
have been kicked out of the Chinese Communist Party (CCP) in the
past five years. However, state media have claimed the 81-year-old
party is going strong, with membership having grown by almost 6
million since 1997 to reach 66.4 million. The People's Daily reported
on Monday that "the ranks of the CCP are full of life and vigor."
Quoting figures from the party's Organization Department, the paper
said 22.3 percent of members were under 35 years of age, and that
52.5 percent were graduates of high schools and universities. The
Organization Department, however, admitted that some 124,000 had
their memberships revoked from 1997 to 2001. While no detailed breakdowns
were available, Beijing analysts said the bulk of disqualified members
had been implicated for corruption and related "economic crimes."
The analysts said the official media had in the past month run numerous
corruption-related stories to show the CCP was healthy and strong
as it prepared for November's watershed 16th congress. However,
some of the reports about Beijing's battle against graft seem to
be contradictory. For example, official news agencies reported last
weekend that 555 corrupt officials on the run were nabbed in the
first half of this year. The agencies quoted law enforcement officials
as saying: "We'll get you [corrupt officials] even if you have gone
to the far ends of the earth." Stories run last week by the Beijing
Youth Daily and the Forthnightly Chat magazine, however, were less
sanguine. They reported that more than 4,000 cadres with 5 billion
yuan ($605 million) worth of ill-gotten gains were still at large,
and they had fled to countries as far as Africa and South America.
President Jiang Zemin is due to address the problem of corruption
among senior cadres in his Political Report to be delivered to the
16th Congress.
From http://asia.cnn.com/ 09/012002
TOPˇü
Civil Society Plays Bigger
Role
In Chinese history, civil society was almost swallowed
by the political state. A relatively independent civil society did
not appear until modern times in China (referring to the period
from the mid-19th Century to 1919). Although in the field of commerce
and transportation, the birth of guilds or associations with certain
autonomy can be traced back much earlier, these were actually some
secret societies prior to the 20th century. During the first half
of the 20th century, a nascent civil society, independent from the
state, began to take shape. Civil society organizations (CSOs),
characterized by voluntary, non-governmental, non-profit and independent
groups, became active. However, it was the huge changes brought
by the opening-up and reform drives begun in 1978 that catalyzed
the proliferation of civil coalescences in China. The economic restructuring
gives rise to renewed political consciousness and more people adopt
a tolerant or acquiescent attitude towards a civil society. At the
close of the 1990s, a debate on civil society, within academia,
resulted in the wide acceptance of the concept and reality of civil
society in academic circles. In June 1998, the Chinese Government
changed the name of the Social Group Bureau, the office in charge
of social organizations, to Civil Organization Bureau, demonstrating
that civil society has gained legitimacy from the government. In
1997, the civil society of China consisted of 180,000 organizations
above county level, with 1,848 at national level. It is obvious
that economic and political reforms have created a favourable environment
for a civil society, and such a civil society has a huge impact
on economic and political lives. The increasingly influential civil
organizations have become an indispensable bridge between the government
and the citizenry. Many CSOs not only encourage members to participate
in their internal affairs, but also inspire greater involvement
in the political activities of the country. In addition some members
from civil society organizations serve as representatives of certain
interest groups in government organizations or legislative bodies.
Such organizations include federations of industry and commerce,
trade unions, women's federations and the Communist Youth League
at all levels. Many civil society organizations, which mushroomed
after the 1980s, have become important players in the push behind
government policies and reform initiatives. With a wealth of experience
and expertise, many CSOs, especially those from professional groups,
serve as think-tanks for the government. At present, civil society
organizations participate in the policy-making process of the government
through several approaches. They help to shape policy by raising
issues and requirements with relevant departments. For example,
in Beijing, green organizations, such as "Friends of Nature" and
"Earth Village," have engaged in voluntary environmental conservation
programmes and dynamic publicity campaigns. They also raise suggestions
on environmental issues. Their efforts have partly prompted the
annual National People's Congress and National Committee of the
Chinese People's Political Consultative Conference to adopt environmental
issues as one of the priorities on their agenda. Civil society organization
is also instrumental in promoting transparency within government.
Many organizations are actually vehicles for the dissemination of
political information. The conferences, training courses and seminars
held by academic societies and research institutes become an important
venue for members to acquire political information and hold discussions.
In addition, the information revolution provides new tools and a
medium for associations to spread information. Moreover, the civil
society organizations' active engagement in public welfare projects
help to improve the government's image and raise citizens' sense
of political identity. Organizations like China Charity Federation,
the Soong Ching-ling Foundation and the China Youth Development
Foundation play a big role in poverty-relief and disaster-relief
programmes. They also provide financial aid to millions of poor
children to ensure adequate schooling. Civil society organizations
also constitute effective checks on the behaviour of government.
However, due to its short history, there are still many internal
and functional problems with current civil society organizations
in China. The claimed duties of many organizations, for example,
do not match its real functions in society. Some organizations depend
heavily on government organizations. These call for practical and
effective measures to address the issue. But with the healthy development
of China's civil society organizations, they look set to play an
even bigger role in promoting social progress and good governance.
The author is deputy director of the Compilation & Translation Bureau
of the Communist Party of China Central Committee. The article was
originally published in Study Times.
From http://www1.chinadaily.com.cn/ 09/09/2002
TOPˇü
Government to Trim Approval
Procedures
Vice-Premier Li Lanqing said yesterday that the central
government will push forward reform of administrative approval procedures
to make them compatible with market needs. Since last October, all
ministries under the State Council have reviewed their administrative
examination procedures and submitted suggestions on how to reform
such processes. Li said that the State Council, after first examining
these suggestions, will soon promulgate an initial list of administrative
approval procedures that will be abolished. He stressed that all
unnecessary administrative permissions should be cancelled, including
those which impede the opening of the market and fair competition.
He stressed that all procedures that could be regulated by law or
market mechanisms need not require administrative permission. However,
he said the cancellation of administrative permission does not mean
the cancellation of supervision. No departments should neglect or
be slack in their duties as managing and supervising bodies, Li
pointed out. He said efforts should be made to seek a government
managing system that can meet the demands of the market economy.
The reform of the administrative permission system in the country
is not simply to reduce the number of items subject to administrative
review, Li said. What is more important, he said, is to establish
an administrative permission system that matches the market economy.
He said all administrative bodies and staff must strictly abide
by the law when exercising their administrative power and improve
their way of working so that clean and efficient government bodies
can be established. The work to centralize the right of administrative
punishment should be furthered and the enforcement of laws should
be rectified and improved, Li said.
From http://www1.chinadaily.com.cn/ 09/11/2002
TOPˇü
China to Further Improve Government
Efficiency
China is making every effort to improve government
supervision and working efficiency by promoting "e-government" services,
according to sources with a seminar on Chinese e-government construction
strategy which opened in Beijing Friday. Yang Xueshan, an official
with the State Council, said the forthcoming conference on Chinese
e-government technology and applications would focus on the development
of e-government, exhibiting new products and technology, and building
platforms for high-level international exchanges between providers
and users of e-government services. Under its e-government plans,
China is speeding up the construction of governmental internal and
external web platforms as well as key central government websites.
China is also building up databanks of statistics regarding population,
geography, natural resources and the macro economy, with focus placed
on "e-service" systems involving customs, taxation, finance, public
security, social security, agriculture and water resources. Since
1999, China has witnessed considerable development in its e-government
project, efficiently developing government functions. Meanwhile,
it has improved government office efficiency and increased the transparency
of government administration.
From Xinhua News Agency 09/21/2002
TOPˇü
JAPAN: Tanaka Reelected Nagano
Gov.
NAGANO -- Former Nagano Gov. Yasuo Tanaka, who lost
his position in July after the prefectural assembly adopted a no-confidence
motion against him, was reelected in Sunday's gubernatorial race,
according to early vote counting. Tanaka, 46, beat five challengers,
including lawyer Keiko Hasegawa, 50, businessman Shu Ichikawa, 51,
businessman Hideyoshi Hashiba, 52, former company employee Chozo
Nakagawa, 46, and lawyer Tomio Fukui, 77. None of the six candidates
received any official backing from political parties. However, the
Japanese Communist Party unofficially backed Tanaka. On the other
hand, the Liberal Democratic Party and the Japanese Trade Union
Confederation, Japan's largest labor organization popularly known
as "Rengo," extended unofficial support to Hasegawa. Most of the
prefectural assembly members and mayors of Nagano Prefecture municipalities,
who have been feuding with Tanaka, also supported Hasegawa in their
private capacity. During the campaign, most of the challengers criticized
Tanaka's confrontational political style in which he constantly
clashed with the prefectural assembly, while supporting his policy
of discontinuing to spend massive amounts of taxpayers' money on
dam construction. The novelist-turned governor had been in constant
conflict with the assembly since he was elected in October 2000.
Their discord further worsened when Tanaka canceled two dam-construction
projects in the prefecture to protect forests, as he had pledged.
The assembly passed a no-confidence motion against Tanaka in July,
and he chose to lose his position without exercising his authority
as governor to dissolve the assembly for a snap election.
From http://mdn.mainichi.co.jp/ 09/01/2002
TOPˇü
LDP Demanding Major Cabinet
Changes
Ruling coalition party members are pressuring Prime
Minister Junichiro Koizumi to eject his three key economic ministers
when he reshuffles the Cabinet, which could come late this month.
According to sources in the Liberal Democratic Party, the call to
get rid of Finance Minister Masajuro Shiokawa; Hakuo Yanagisawa,
state minister in charge of financial policy; and Heizo Takenaka,
state minister in charge of economic, fiscal and IT policy, is motivated
by two factors. Some senior LDP members believe only the ministers'
replacement will allow the implementation of a set of antideflation
measures mapped out Monday by the ruling coalition to halt sliding
stock prices after they plummeted in Tokyo on Sept. 3, the sources
said. The three Cabinet members are openly reluctant to carry out
the antideflation measures. Some LDP heavyweights, especially those
with executive posts in intraparty factions, have high expectations
that there will be sweeping changes to the Cabinet lineup, which
would mean each faction would have a better chance of claiming a
Cabinet post, the sources said. However, while Koizumi has not said
much on the subject, he appears determined to ride out calls for
a radically altered Cabinet. He will probably make minor changes
while retaining his key economic ministers, observers said. They
added that the struggle between Koizumi and the ruling coalition--especially
the senior cadre of the LDP--will probably get white-hot, fanned
by rising expectations within the ruling coalition of major changes
in the Cabinet. Other sources said that former Prime Minister Yoshiro
Mori faced a barrage of protests at a meeting in a Tokyo hotel Tuesday
evening from three LDP heavyweights--General Council Chairman Mitsuo
Horiuchi, former Policy Research Council Chairman Shizuka Kamei
and former Defense Agency Director General Hosei Norota. Mori appealed
to them to cooperate with the current administration, but the trio
demanded that the three Cabinet members in the driver's seat of
the economy be dumped, the sources said. "Now that the prime minister
has finally decided to initiate efforts to rehabilitate the economy,
he should personally act on his resolve by replacing the economic
ministers," one of the three officials was quoted as telling Mori.
However, according to the sources, even though the former prime
minister has previously spoken in support of a Cabinet overhaul,
this time he defended Koizumi by quoting a view shared by the prime
minister's aides, that replacing any of the economic ministers would
only tarnish Koizumi's reformist credentials in the eyes of the
media. According to the sources, Kamei countered: "We can't waste
time on trivial matters like that. The situation now is too pressing."
Among the antideflation measures announced by the ruling coalition,
one involves the government and the Bank of Japan buying up several
trillions of yen in exchange trade funds (ETFs). A tax package comprising
cuts followed by hikes would also be implemented earlier than planned.
Furthermore, many LDP members have called for an across-the-board
postponement of the so-called payoff system, which caps at 10 million
yen the amount the government will insure individual savers when
a bank goes bust. There is currently a freeze on introducing this
deposit protection cap on liquid deposits, including ordinary deposits,
but this is set to be lifted in April. LDP members also want the
government to channel public funds into financial institutions weighed
down with nonperforming loans so they can pay off their bad loans.
However, Yanagisawa has so far shown no inclination to heed calls
to postpone lifting the freeze and opposes injecting taxpayers'
money into troubled financial institutions. However, he has been
openly and repeatedly called to task on this by Policy Research
Council Chairman Taro Aso. "The current financial policy will be
maintained as long as Mr. Yanagisawa is in office," Aso reportedly
said on one occasion. There is also criticism within the LDP of
Takenaka, who opposes the idea of the government buying up ETFs.
In a withering comment attributed to one of the three LDP executives--the
secretary general, the policy research council chairman and the
general council chairman--Takenaka was described as "a "scholar
who's doing just dandy while stock prices fall and put banks carrying
unrealized losses at risk of collapse." The push for a drastically
altered Cabinet seems to be coming in particular from LDP faction
leaders, observers said, since a major reshuffle would allow them
and the party leadership to have more say in who gets which portfolio.
Previously, the push for sweeping changes in the lineup waned considerably
when Koizumi made it known that he would only tweak the Cabinet
and LDP executive posts rather than make major alterations. The
latest stock price plunge, however, has given a fresh head of steam
to calls for large-scale changes. Koizumi apparently wants to avoid
replacing his economic ministers as it would make him appear to
be backtracking on his pledge of carrying out structural reforms
and fiscal rehabilitation. Talking Tuesday to reporters accompanying
him on his visit to the United States, Koizumi defended the three
Cabinet members in question. "(All the three ministers) have been
working very hard," Koizumi was reported as saying. "I'll decide,
based on the circumstance, whether I accept the demand to replace
them."
From http://www.yomiuri.co.jp/ 09/13/2002
TOPˇü
Suzuki-Linked Bureaucrat Denies
Bid, Fund Illegalities
A former Foreign Ministry expert on Russian affairs
pleaded not guilty Tuesday to misusing more than 33 million yen
from a ministerial fund to pay for a trip abroad by officials and
denied interfering in bidding for a construction project on one
of the Russian-held islands off Hokkaido. At his first trial session
before the Tokyo District Court, Masaru Sato, 42, denied misappropriating
the money for a trip to Israel by ministry officials and inviting
an Israeli scholar to Japan. Sato, who had strong ties with arrested
lawmaker Muneo Suzuki, also denied unlawfully helping trading firm
Mitsui & Co. win the project on Kunashiri Island in 2000. But Akira
Maejima, 37, a former assistant director of the Foreign Ministry's
Oceanian Division and Sato's former subordinate, appearing at the
same court session, admitted to the charges and said he conspired
with Sato in both cases. Two executives of Mitsui also admitted
they unlawfully interfered with bidding for the project -- construction
of a diesel power plant -- by obtaining information from the two
Foreign Ministry officials. Sato claimed the 33 million yen from
the Foreign Ministry fund was intended to foster efforts to gather
information on Russian affairs. "The two charges are related to
a national policy at the time, under the initiative of the Prime
Minister's Office, to make every effort to conclude a peace treaty
with Russia by 2000," he said. "Speaking from my conscience, I never
did anything (illegal)." Sato claimed he never ordered Maejima to
do any favors for Mitsui in relation to bidding for the project.
In their opening statement, prosecutors said Sato and Maejima colluded
to extract money from the fund so that the Cooperation Committee
could pay for 17 diplomats and scholars to attend an international
academic conference at Tel Aviv University in April 2000. The two
also concealed the cost of inviting a scholar from the university
to Japan under false pretenses, they said. The pair also allegedly
conspired with Mitsui officials Masahide Iino, 44, and Yusuke Shimazaki,
39, to help Mitsui win the bid for the power plant. Protesting his
innocence, Sato argued he is in fact the victim of a politically
motivated investigation by the prosecution. Sato did not specify
the prosecutors' motives behind his arrest. It has been reported
that his arrest was part of political moves to cut loose any official
with close ties to Suzuki. Suzuki has been charged with taking 5
million yen in bribes from a Hokkaido lumber company and violating
the Law Concerning the Oath and Testimony by Witness. His trial
will start before the same court on Nov. 11.
From http://www.japantimes.co.jp/ 09/18/2002
TOPˇü
Koizumi to Reshuffle Cabinet
Sept 30
COPENHAGEN - Prime Minister Junichiro Koizumi indicated
Monday that he plans to reshuffle his cabinet and name a new roster
of top executives to the ruling Liberal Democratic Party (LDP) when
their current term runs out on Sept 30. Speaking to reporters traveling
with him to the Asia-Europe summit, Koizumi warned against speculations
of a major reshuffle and hinted he may replace some of his economic
ministers. Koizumi, who doubles as LDP president, also denied he
has any plans to extend the current one-year term of top LDP executives
and dismissed speculations that he may ride on his popularity at
the opinion polls and call a snap general election. "This is absolutely
not something that is in my mind," he said. Koizumi said he plans
to confer with Chief Cabinet Secretary Yasuo Fukuda and top LDP
executives when he returns to Tokyo on Wednesday and give them an
outline of what he plans to do under a reconstituted cabinet. Citing
his legislative agenda and budget plans for the new fiscal year,
Koizumi said: "I will tell them I will offer the top three top party
executive posts and cabinet positions to those who will go along
with my plans." Koizumi, who heads a three-way coalition with the
New Komeito and the New Conservative Party, said he also plans to
consult with the leaders of his two coalition partners before making
up his mind on the cabinet roster. Sticking to the stand he took
when he first came to office in April last year, Koizumi said he
would not accept recommendations for cabinet posts from LDP faction
leaders. Koizumi insisted his yardstick is that ministers who serve
in his cabinet would have to support his reform initiatives. Koizumi
dismissed pressure within the LDP to replace cabinet ministers who
are not Diet members, saying "That is what those people who expect
a large-scale reshuffle want." On the reelection Monday of Yukio
Hatoyama as leader of the main opposition Democratic Party of Japan,
Koizumi challenged Hatoyama to present the nation with a "constructive"
policy platform. "They should say, this is what we will do if we
take over the government," Koizumi said of his Diet opponents.
From http://www.japantoday.com/ 09/25/2002
TOPˇü
Forum to Examine New Structural
Reform
The Tokyo Colloquium and the Yomiuri International
Economic Society, both sponsored by The Yomiuri Shimbun, will host
an international symposium titled "Opening the New Horizon of Structural
Reform" on Oct. 23. It will be the fourth Yomiuri International
Forum symposium to be held this year. The symposium will be held
at the Palace Hotel in Marunouchi, Tokyo, from 9:30 a.m. to 4:30
p.m. As the symposium to top off this year's Yomiuri International
Forum's general theme of "Japan Must Change along with the World;
Overcoming Terrorism and Deflation," problems related to structural
reforms will be discussed. In the morning session, moderator Akihiko
Tanaka, director of the Institute of Oriental Culture, Tokyo University,
will lead discussions by experts on political problems related to
structural reforms. In the afternoon session, moderator Motoshige
Ito, a professor at Tokyo University, will lead experts in examining
economic problems related to structural reforms.
From http://www.yomiuri.co.jp/ 09/26/2002
TOPˇü
Lawmakers Call for METI to
Lose Nuclear Administration Role
TOKYO - Three lawmakers from different political parties
called Wednesday for nuclear safety administration to be split off
from the Ministry of Economy, Trade and Industry (METI), which oversees
the power utility industry, in the wake of damage cover-up scandals
at nuclear plants. But METI chief Takeo Hiranuma said in response
to the call, made in a meeting of the House of Councillors Audit
Committee, that the government is not considering such a reorganization.
From http://www.japantoday.com/ 09/26/2002
TOPˇü
SOUTH KOREA: Commission Calls
for Hearings for Ranking Officials
The nation's anti-corruption watchdog yesterday called
for a set of measures, including the introduction of confirmation
hearings for ranking officials, to root out corruption allegedly
prevalent in the nation's political landscape. The suggestions were
made by the Korea Independent Commission Against Corruption during
a public hearing at the committee office yesterday. It plans to
seek the enactment of relevant laws at the National Assembly in
the future. The commission said that hearings should be conducted
for candidates for heads of major government agencies, including
the director of the National Intelligence Service, the prosecutor
general and chiefs of the National Police Agency and the National
Tax Service. It also called for the right to independently investigate
corruption among the president's family and relatives, and high
ranking officials while demanding the institutionalization of an
independent prosecutor system on a permanent basis. The commission's
move drew special attention as it came in the wake of influence-peddling
scandals involving President Kim Dae-jung's sons. The other steps
proposed by the commission include the expansion of media electioneering
and the public election management system under which the state
will shoulder the costs for TV debates and advertisements. ``Stricter
accounting controls on the uses of political funds will be implemented
to enhance transparency and prevent corruption,'' commission head
Kang Chul-kyu said in a press meeting. The inspection rights of
the National Election Commission will be strengthened to guarantee
fair and transparent uses of national subsidies by political parties,
he said. ``Accounting-related officials will be obliged to use a
single bank account and credit card for the operation of political
funds,'' he added. He noted the measures are meant to prevent possible
political corruption that might arise ahead of the upcoming presidential
election in December. The commission also envisions the change of
the current small constituency system into medium and large ones,
and a proportional representation system, plus the allotment of
state subsidies in accordance with the ratio of voter support in
general and presidential elections. As a long-term research task,
the commission cited the need for the ``matching fund'' system of
allotting subsidies in accordance with efforts to raise party membership
fees. It will also work to find ways to minimize parties' expenditure
by slimming the organization of political parties' central headquarters,
another commission official said.
From http://search.hankooki.com/ 09/03/2002
TOPˇü
PM-Designate a Judge with
Clean Image
Prime Minister-designate Kim Suk-soo, 69, is a career
judge, who served as head of the National Election Commission, formerly
known as the Central Election Management Committee, which is tasked
with ensuring fair elections. Born in Hadong, South Kyongsang Province,
Kim is described as a quiet man who treats his subordinates in a
fair and reasonable manner. A graduate of Yonsei University, Kim
passed the national bar exam in 1958 and took his first post in
1963 as a judge at the Pusan District Court, before serving as head
of district courts in Seoul, Suwon and Inchon. He won a record high
rate of parliamentary approval for his appointment as Supreme Court
justice in 1991. His ethical standards were verified when he was
appointed chairman of the Supreme Court's Public Servants Ethics
Committee after retiring in 1991, his aides said. While serving
as the head of the election watchdog body for over three years from
1993, he was regarded to have led the organization in a desirable
manner, initiating various political reform bills. He is known to
have maintained close personal relations with Lee Hoi-chang, presidential
candidate of the Grand National Party. The two served at the Supreme
Court at the same time. Wary of the brewing controversy over the
legality of the system of premier-designate with criticism from
the opposition camp, he said he would refrain from carrying out
outdoor missions. ``But the tasks pertaining to recovery from flood
disaster cannot be postponed, given the massive damage,'' he said
during a press conference. He said once he gets approval by the
National Assembly, he will put priority on carrying out the upcoming
presidential election in December in a just and fair manner so that
there will be no dispute over the election's neutrality. ``I believed
President Kim chose me as the candidate for the premier due to my
experience as the head of the election watchdog body, in a show
of his strong will to maintain neutrality in the election period,''
he said. He underlined the need to expend further national energy
to successfully host the forthcoming Busan (Pusan) Asian Games to
raise the national image and enhance international harmony. Kim's
eldest son was exempt from active military service, which might
touch off a controversy during his confirmation hearing session.
``To tell the truth, I hesitated to accept the proposal for the
premiership because of the issue. I will tell the truth during the
confirmation,'' he said. But he declined to reveal details of his
son's military exemption. He expressed confidence over his process
of amassing assets, saying ``there have been no problems.'' In a
bid to avoid possible controversy during the confirmation session,
he quit his jobs as outside director of Samsung Electronics, head
of the Newspaper Ethics Committee and the Public Servants' Ethics
Committee, and inspector of Yonsei University. Kim is married to
Eom Yoon-seong, 63, and has two sons and two daughters. (by Shim
Jae-yun)
From http://search.hankooki.com/ 09/10/2002
TOPˇü
Ex-Supreme Court Justice Named
New Prime Minister
President Kim Dae-jung yesterday nominated Kim Suk-soo,
a former Supreme Court justice who also was chairman of the National
Election Commission (NEC), for prime minister. President Kim made
the appointment after the National Assembly rejected his previous
two nominations for the No. 2 administrative post. The majority
Grand National Party (GNP) said it would thoroughly look into whether
the new appointee is qualified to serve as prime minister during
an upcoming parliamentary confirmation hearing. Born in Hadong,
South Gyeongsang Province, the prime minister-designate spent most
of his public service as a judge, beginning his career in the judiciary
in 1963. He served as a Supreme Court justice from 1991 to 1997
and chairman of the NEC, the nation's top election watchdog, from
1993 to 1997. He is currently chairman of the Public Servants Ethics
Committee and the Newspaper Ethics Committee. Cheong Wa Dae Chief
of Staff Park Jie-won said the President selected the nominee because
he has administrative experience and has managed elections fairly
while serving as NEC chairman. "We believe that the new nominee
will help the government maintain political neutrality and manage
the December presidential election fairly," Park said. The nominee
said he believes President Kim selected him in view of his experience
as chairman of the NEC, which would help ensure the administration
is nonpartisan in its management of the Dec. 19 presidential election.
"But I think the cabinet's most pressing task now is to cope with
the damage from the typhoon," he said. Kim expressed some apprehension
about what people will think of the fact that one of his two sons
did not serve in the military. Whether public officeholders' sons
fulfilled their mandatory military service has become a yardstick
of politicians' ethical standards. But Kim expects no controversies
to emerge over matters such as his personal finances. Cheong Wa
Dae officials said the government will ask the National Assembly
next week to begin work on the nomination. The Assembly is expected
to vote on the nominee late this month after holding a two-day confirmation
hearing. The nomination came two weeks after the Assembly voted
down the President's second nominee for prime minister, Maeil Business
Newspaper publisher Chang Dae-whan. Lawmakers took issue with Chang's
alleged tax evasion and questionable real-estate dealings. The President's
first choice to replace former Prime Minister Lee Han-dong was Chang
Sang, former president of Ewha Womans University in Seoul. She was
the first woman ever nominated for the top administration post.
She also was troubled by controversies over her children's citizenship,
real-estate holdings and erroneous information concerning her educational
background. The parliament's successive rejection of the two Changs,
who are not related, dealt a serious blow to President Kim, who
is in his final months in office. Kim's single five-year term ends
next February and he is barred from seeking re-election.
From http://www.koreaherald.co.kr/ 09/11/2002
TOPˇü
Inspection Focused on Draft
Scandals
The National Assembly started the inspection of 365
government agencies yesterday, but the 20-day parliamentary inspection
seems to be turning into a partisan battleground ahead of the Dec.
19 presidential election. On the first day of the inspections, the
last one for the Kim Dae-jung administration, the Millennium Democratic
Party (MDP) focused on attacking the alleged draft evasion of two
sons of Grand National Party (GNP) presidential nominee Lee Hoi-chang,
inviting fierce counterattack from the GNP. Trying to block the
MDP offensive, the conservative GNP bent its energies on revealing
the government's misadministration, including the mismanagement
of public funds, and various corruption scandals, some of which
involved two of President Kim's three sons. In particular, lawmakers
from the rival parties had a hot debate on the alleged draft-dodging
scandals in the Assembly's National Defense Committee while conducting
an audit of the Defense Ministry. MDP spokesman Lee Nak-yon raised
a fresh suspicion about Lee Hoi-chang's second son Lee Su-yeon's
dubious exemption from mandatory draft service. ``Grand National
Party presidential candidate Lee Hoi-chang said in 1997, when he
was the ruling party candidate, that his second son returned home
after a weeklong diagnosis,'' the spokesman said. ``However, Lee
Su-yeon was called up on Jan. 8, 1990 and returned home on the same
day, according to the military document certifying his homecoming.''
Countering the MDP offensive, GNP lawmaker Park Se-hwan inquired
about the circumstances of how the copies of the military medical
documents of Lee Hoi-chang's two sons were removed from the ministry.
Ha Soon-bong, a member of the GNP Supreme Council, also said the
ruling party's offensive was a political maneuver to assassinate
the character of the party's presidential candidate. In the inspection
of the Finance-Economy Ministry, Rep. Yim Tae-hee of the GNP said
that for the recovery of bailout funds that became irretrievable
after the financial crisis, the burden to be borne by taxpayers
reached 208.5 trillion won ($171.1 billion) and the average amount
for households was 17.38 million won. ``The interest on the 49 trillion
won of national bonds for the next 25 years amounts to 70.9 trillion
won,'' Yim said, calling for an early redemption. Rep. Kang Un-tae
of the MDP also called for the people responsible for the irretrievable
public funds to be reprimanded, saying authorities should exert
efforts to call in the money to alleviate the public burden. (by
Ryu Jin)
From http://www.hankooki.com/ 09/16/2002
TOPˇü
Chung MJ Officially Declares
Presidential Bid
Rep. Chung Mong-joon, head of the Korea Football Association,
officially declared his bid to become the next president of South
Korea Tuesday afternoon. Speaking at a news conference in the National
Assembly compound, Chung said he decided to run so as to devote
himself to the cause of political reform instead of just talking
about it. Chung said he intends to stand at the center of a new
era of politics based on common sense. He said he will create a
new party with many other politicians who agree with his views,
and the new party will be based on voluntary participation by the
Korean people.
From http://rki.kbs.co.kr/ 09/18/2002
TOPˇü
Lawmaker Alleges Corruption
in Korea Life Deal
During the National Assembly audit of the Financial
Supervisory Commission (FSC), the financial-sector watchdog, on
Tuesday, Rep. Chung Hyung-keun of opposition Grand National Party
(GNP) claimed that Hanwha group has been successful in its bid to
acquire Korea Life Insurance, thanks largely to active lobbying
for the group by the presidential office and ruling Millennium Democratic
Party (MDP). Chung said that his claim is based on wiretapped telephone
communication which he said he got hold of through sources. Chung's
claim went on as follows: "On May 5, President Kim Young-bae of
Hanwha Corp., a flagship Hanwha unit, called up Hanwha group chair
Kim Seung-youn while the chair stayed in Germany and said that his
company will mobilize Rep. Lee Jae-jung, a senior ruling party member,
to have him to carry out lobbying activity for the acquisition.
"The Hanwha chair asked the president to contact Han Hwa-gap, one
of leading MDP members, and Roh Mu-hyun, the presidential candidate
for MDP, and to call for their rally for the deal. "As the deal
has been deadlocked for several months, the Hanwha chair asked a
high-ranking staff of the presidential secretariat to urge chief
presidential secretary Park Jie-won to jump in the deal and to render
support. "Chief secretary Park, then, made a phone-call to Vice
Minister Yoon Jin-shik of Finance and Economy, demanding that the
vice minister conclude the acquisition deal by September 5." After
making the allegation, Rep. Chung, however, did not identify the
sources of the wiretapping. All of the persons cited in Chung's
claim have flatly denied the allegation. In a press release, the
Hanwha group claimed that its chair has never been to Germany this
year. ( by Kim Min-chul)
From http://english.chosun.com/ 09/24/2002
TOPˇü
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Indonesia: Clean Water -- Clean Govt?
If anything could be said to illustrate the dismal state of Jakarta's
public services, the shortage of potable water in this city that
borders the sea and is traversed by rivers is as good an example
as any. To cite a few statistics: Only about 600,000 people, or
less than five percent of the city's population of more than 10
million, have access to water supplied by city-owned water company
PAM Jaya, which is the distributor of clean water in Jakarta. The
rest must resort to drilling either shallow or deep wells or tapping
water from the city's badly contaminated rivers. About 70 percent
of those rely on groundwater from wells, while the remainder depend
on river water. This is not to mention the quality of the water,
even the purportedly clean water, produced by a number of water
companies and supplied to clients by PAM Jaya. Bambang Budi, a resident
who is also a PAM Jaya client and lives in Cilandak, South Jakarta,
complained, in an interview published in this newspaper recently,
"I buy dirty water at expensive rates." Another resident, Yose,
who lives in Kayu Jati in East Jakarta complained that his water
was muddy, especially after heavy rain. Similar complaints can be
easily heard by anyone who cares to listen to residents' grievances
about Jakarta's public services. Mochamad Ali, a hydrology expert
employed at the Ministry of Resettlement and Regional Infrastructure,
has warned the public to be careful when consuming tap water supplied
by PAM Jaya, even when it looks clean. This is because the filtering
system that the company employs fails to screen micro-pollutants
and disease-causing bacteria that are carried by the severely contaminated
river water, which companies use as their raw water. Furthermore,
the practice of adding chlorine to treat water could lead to the
formation of new compounds that are believed to be carcinogenic.
A study carried out by the Indonesian Consumers Foundation (YLKI)
about a decade ago found that Jakarta's tap water contained an average
of 0.0024 ppm of mercury, which is more than twice as high as the
0.001 limit set by the Ministry of Health. A University of Indonesia
study conducted last year suggested that detergents were among the
pollutants that contaminate well water and raw water used by tap
water firms, including PAM Jaya. Nor, generally speaking, does the
groundwater in Jakarta seem to be that much better. Overpopulation
and the absence of a sanitation system are the reasons why it is
virtually impossible in Jakarta to drill a well far enough removed
from sources of pollution, such as contaminated rivers or waste
disposal tanks, to be safe. In addition, the uncontrolled digging
of deep wells is causing the increased intrusion of salt water from
Jakarta's coastal areas. What this has all led to is that wells
are being dug deeper and deeper and that in the worst-affected areas
the land is in danger of subsiding. As water is one of the most
fundamental needs of mankind, the question that demands an urgent
answer is, what can be done to stop this alarming trend? Better
enforcement of existing rules and regulations is obviously part
of the solution. But improbable though it may seem to some, another
is the eradication of corruption. The issuance of drilling permits
and use of groundwater in Jakarta are regulated by Gubernatorial
Decree No.744/1995. However, so far, few, if any, sanctions appear
to have been imposed on either individuals or companies that have
broken the law. Corruption is also believed to be the factor that
has encouraged unscrupulous individuals to tap the PAM Jaya network
for water, to be resold to households not as yet connected to the
PAM Jaya network. Water, it must be remembered, is a basic commodity
without which life is impossible. For this reason, its availability
to all is guaranteed by the Constitution. It seems to be high time
that the Jakarta city administration take a good look at the water
situation in this city. With all the problems Jakarta is already
facing, the city hardly needs another source of frustration and
dissatisfaction that could eventually lead to unrest.
From http://www.thejakartapost.com/ 09/14/2002
TOPˇü
Good Governance to Secure
Summit Outcome
The government has pledged to encourage good governance,
reduce unemployment, ratify environmental conventions and set
up a sustainable development council to follow up on the outcome
of the World Sustainable Development Summit. State Minister of
the Environment Nabiel Makarim said that creating good governance
would top the government's list of priorities as without it, the
implementation of other programs would be meaningless. "One thing
that should precede the other programs is clean, transparent and
accountable central and regional governments. Otherwise any grants
or loans for health, forests or other sectors will be useless,"
he told reporters after opening a workshop on sustainable development
for regents and mayors. Nabiel also said that the government would
ratify the Kyoto Protocol and the Cartagena Convention. The government
has also planned to establish a council to formulate further policies
on sustainable development, he said, however he did not specify
on any timetable. "I hope we can soon establish the council,"
he said. However, noted environmentalist Emil Salim suggested
that the central and local governments focus on eradicating poverty,
changing unsustainable production and consumption, and protecting
and developing natural resources and the environment. Emil said
that poverty reduction had to target the unemployed by providing
them with, among other things, training to collect garbage and
change it into commercial fertilizer. The poverty reduction program
should also provide socially disadvantaged people with easier
access to safe water by setting up a public well or having tap
water at various points, he said. The government should also start
reducing fossil fuel production as well as its use in industry
and transportation on the grounds that it causes global warming,
and to help change the pattern of energy production and consumption,
he said. "The government needs to promote the use of clean fuel,
such as gas and solar energy," he said. "If we don't do this,
the Earth will get warmer and warmer and we will have to brace
ourselves for more floods and droughts along the northern coast
of Java and the eastern coast of Sumatra by 2025." He said that
several regional governments had conducted some programs in line
with the outcome of the Earth Summit, which could be emulated
by other regional administrations. Emil cited Bantul regency in
Yogyakarta, which built a hospital where people could check their
health for Rp 1,500 (16.6 U.S. cents), and Gianyar in Bali, which
provided free ambulances. The summit, which was held in Johannesburg,
South Africa last month, produced over 30 commitments and more
than 150 points in a plan for implementation in numerous areas,
including water, energy, health, agriculture and biodiversity.
Various preliminary partnerships were also reached during the
summit. Indonesia has reportedly secured various preliminary partnerships
with other countries in combating forest fires and illegal logging,
reducing poverty, lessening marine pollution, eliminating gas
emissions and enforcing property rights. (by Moch. N. Kurniawan)
From http://www.thejakartapost.com/ 09/20/2002
TOPˇü
Malaysia: View New System
in the Long Term, Government Staff Told
The new Malaysian Remuneration System (MRS) should
be seen as a chance for civil servants to advance their careers
in the long run and not only for higher salary. Public Services
Department Drector-General Tan Sri Jamaluddin Ahmad Damanhuri
said the MRS, which was based on four core points, had to be accepted
as a whole for its benefits to be seen where those who had proficient
knowledge of their work would be given due recognition. The four
points are the performance evaluation system, career advancement,
salary and allowance structures revamp and improvement of service
conditions. They should look forward and increase their knowledge.
They must pass the level of competency so it is up to the individual
to advance his or her career. They want those in the public service
to aspire to greater achievement in future and the MRS should
be seen in that light, They said at a briefing on the new system
yesterday. Jamaluddin said those who opted to take up the MRS
would find themselves in a more favourable position than they
were now in. He was commenting on Cuepacs affiliates unhappiness
over the RM15 increment given to the Support Group that involves
more than 800,000 employees. The MRS, which replaces the New Remuneration
System on Nov 1, promises higher salaries, a one-off payment upon
conversion and more promotional posts as among several new perks.
From http://thestar.com.my/ 09/05/2002
TOPˇü
Findings of Public Perception
on Corruption to Be Revealed
A study by Universiti Kebangsaan Malaysia on the
public's perception on corrupt practices at government departments
has been submitted to the Anti-Corruption Agency. ACA director-general
Datuk Zulkipli Mat Noor said the study was a directive by the
Cabinet's special committee on integrity and management chaired
by Deputy Prime Minister Datuk Seri Abdullah Ahmad Badawi in October
last year. The ACA, he said, was reviewing the findings of the
study, after which it would be made known to the public. "The
findings will also be used as a guideline by the ACA in its task
to wipe out corruption in the country," he told reporters after
closing the Rakan Muda Anak Angkat camp for SM Putrajaya I near
here on Sunday. Earlier, in his speech Zulkipli said the ACA had
adopted all Form Four students of SM Putrajaya I and had been
helping the school look into the students' welfare. Zulkipli said
the students were also briefed on corruption to create awareness
against the scourge during their early years. "We hope to create
the awareness from young so that they will grow up to become responsible
citizens," he said. On Malaysia being positioned 33rd by the Berlin-based
Transparency International on corrupted nations, Zulkipli said
it was good, adding that the ACA would strive to improve the position
in future.
From http://thestar.com.my/ 09/10/2002
TOPˇü
PSD: Most Civil Servants
Will Opt for Scheme
KANGAR: The Government is confident that the majority
of the 985,000 civil servants will opt for the newly-introduced
Malaysian Remuneration Scheme (SSM), which takes effect on Nov.
1. Public Services Department (PSD) director-general Tan Sri Jamaluddin
Ahmad Damanhuri said many of them had realised the benefits of
the new scheme following extensive explanation by the department.
He want civil servants to view the scheme as a package and not
just salary increment, where emphasis is given on competency to
help employees excel in their career,? He said after briefing
Perlis civil servants on the scheme here yesterday. Jamaluddin
is currently leading senior PSD officials on a nationwide tour
to explain the SSM scheme to all federal and state civil servants.
From http://thestar.com.my/ 09/15/2002
TOPˇü
Civil Servants Must Clear
Exams and Courses for Promotion
PETALING JAYA: Civil servants at all levels will
have to pass a competency test after undergoing courses before
they can be promoted under the Malaysian Remuneration System (MRS)
to be implemented on Nov 1. Public Service Department (PSD) Director-General
Tan Sri Jamaluddin Ahmad Damanhuri said this move, which means
department heads will no longer have the sole discretion to promote
their subordinates like in the New Remuneration System, was to
encourage self-enhancement through continuing education and acquiring
knowledge, expertise and creativity. "With the Proficiency Level
Assesssment and new promotional grades, all schemes of service
will be strengthened by making a pass in the test mandatory,"
he said in a recent circular on the implementation of the MRS.
Elaborating on the tests, Sarawak Cuepacs secretary Thomas Huo
said the MRS was geared towards replacing the conventional Supervisory
Control System, which managed the nation's civil service all these
years, with the competitive but rewarding New Developmental System.
He said the MRS was a complete package with its own curriculum
and courses, and would be conducted by the respective organisations
or the PSD during assessment exercises. Huo said the first stage
of the curriculum would be the Kursus Kenegaraan (Nationalism
Course), which would cover the country's historical and current
events as well as the Federal Constitution and administrative
system. "After that, candidates will be selected to undergo a
double-component competency course under the second leg. "Candidates
who pass the Nationalism Course will be upgraded. The second leg
for further increment and promotion will comprise Generic and
Functional Competency components. "The Generic Competency component
will train and test civil servants in general knowledge, capability,
work processes as well as inter- and intra-personal skills,''
said Hou. The Functional Competency course, on the other hand,
covers areas related to the candidates' job and would test them
on coping with challenges and crisis management skills. The entire
course, he said, would be packaged in several levels depending
on the job designation. "Some jobs could offer up to six levels.
For instance, a general clerk undergoes the course to become a
senior clerk and then move on to another level for promotion as
clerical supervisor, meaning that there will be competency assessment
courses at every level of a job,'' explained Hou. Cuepacs president
N. Siva Subramaniam said besides offering personal developmental
opportunities, the new system would also give civil servants the
chance to determine their own career advancement. "Civil servants
who perform their duties efficiently and are willing to develop
themselves can look forward to equitable rewards in the form of
promotion and merit movement in their salary scales,'' said Hou,
adding that the new system would require government servants to
undergo courses and sit for examinations. He said there would
be management committees set up at every job level to select eligible
staff to go for the courses. The committees would also have to
strictly adhere to selection guidelines, said Hou, adding that
the criteria for selection had already been formulated. According
to the circular, civil servants will be given one increment next
year, adding that the merit increment based on the proficiency
tests would only be given the following year.
From http://thestar.com.my/ 09/22/2002
TOPˇü
Philippines: People Still
Trust Courts
Chief Justice Hilario G. Davide Jr. said yesterday
the credibility of the country's judiciary "may have waned but
it was never lost" as the people still trust that the courts are
the arbiters of their legal disputes. Davide said that the best
proof of the trust and confidence of the people in the judicial
system is that there is no anarchy in the country and there are
hundreds of cases filed every working day. "If the credibility
of the justice system has waned it is because there are some in
the system who have forgotten the constitutional principle that
a public office is a public trust and all public servants must
be at all times accountable to the people," he said. The chief
justice delivered a lecture as a Ramon Magsaysay awardee for government
service. He was honored for his "life of principled leadership
in profound service to democracy and the rule of law in the Philippines."
While the original topic given by the award foundation was "Restoring
the Credibility of the Justice System," Davide changed the topic
to "Strengthening the Credibility of the Justice System in the
Philippines." "The impression conveyed is that the credibility
of the justice system in the Philippines has been lost. I must
forthwith state that it was never lost," he said. Davide said
the effectiveness of the courts "is firmly rooted in their credibility
in the public eye." "Without the people's belief in the justice
system, court decisions become mere scraps of paper; and society
is brought closer to chaos, as citizens become tempted to take
the law into their hands," he said. He said that in its efforts
to build credibility, the judiciary should not be swayed by popular
movements or lobby groups, and it cannot act on issues of public
interest unless a case is filed with the courts. At the same time,
he said that members of the judiciary cannot explain their rulings
beyond what is written in their decisions and they cannot revise
their decisions if met with public opposition. Addressing the
issue of perceived corruption in the courts, Davide said that
the Supreme Court has exerted efforts to weed out undesirables
because the "misconduct of one judge alone affects the entire
justice system." he pointed out that for the past three years,
more than 600 members of the judiciary and court personnel have
been disciplines either by dismissing, suspending, fining, or
admonishing them. "I state this figure not to indicate that the
Philippine judiciary is a den of hoodlums," he said. "Indeed,
out of some 25,000 employes and officers, less than 700 have been
found guilty of one offense or another for a period spanning three
years. The bad eggs are an absolute minority. Instead, I wish
to emphasize that the judiciary has not been sitting idly in the
face of proven charges against its members," he said. He added
that education and reform programs are in place to strengthen
the people's faith and confidence in the Philippine judicial system.
(by Rey G. Panaligan)
From http://www.mb.com.ph/ 09/03/2002
TOPˇü
Thailand: Verdict's Reversal
Upsets Graft Panel
The National Counter Corruption Commission will
seek to ``repair the harm done to its authority'' by asking the
Constitutional Court to bar state agencies from overturning its
verdicts on any official found guilty of corruption. The graft
agency has been in a turf war with the bureaucracy since last
month, when an appeals panel of the Civil Service Commission reversed
its guilty ruling against former Public Relations Department chief
Veerapol Duangsoongnoen. Cabinet accepted Mr. Veerapol back to
work as an inspector-general of the PM's Office yesterday. NCCC
officials made it clear that this set a bad precedent which could
weaken the fight against rampant corruption among state officials.
NCCC found Mr Veerapol and Chusak Rongsawat, then the department's
information technology centre chief, were involved in the forgery
of a document to help Krungthep OA Coms Co Ltd win a 10-million-baht
computer leasing deal with the department in 1999. It ruled Mr
Veerapol and Mr Chusak guilty of serious misconduct and asked
the PM's Office to dismiss them. They were sacked on June 14.
Both appealed to the Civil Service Commission, which appointed
a panel chaired by Khaneung Reuchai to re-investigate the corruption
allegations. In the investigation report presented to cabinet
by the commission yesterday, the Khaneung panel found the pair
had no intention of corruption but had made a blunder by altering
a bidding committee's report suggesting the department call a
new contest for computer procurement.The tampered document suggested
acceptance of results of the first bidding, in which Krungthep
OA won. The Khaneung panel found the pair had acted with negligence,
considered a minor misconduct. It said sacking was too harsh a
penalty and recommended the PM's Office put them back to work.
Deputy government spokesman Kuthep Saikrajang said by clearing
Mr Veerapol of his alleged wrongdoing and taking him back into
the civil service, cabinet was not defying the NCCC ruling. Mr
Kuthep said Mr Veerapol had the right to appeal. ``There needs
to be a balance of power or we might become a dictator,'' he said.
``The NCCC should look at the Civil Service Commission's investigation
report. It may see something it did not see before.'' Prime Minister
Thaksin Shinawatra said Mr Veerapol had the right to restore his
good name _ by returning to the civil service. Mr Veerapol will
retire at the end of September. ``We now consider him innocent,''
Mr Thaksin said. NCCC chairman Opas Arunin said graft commissioners
have resolved to ask the Constitutional Court to draw a clear
line on its jurisdiction and that of the Civil Service Commission,
to prevent future clashes of authority. Mr Opas said Mr Veerapol's
return to the government service could cause problems in the future,
as other officials punished for serious misconduct would cite
the Veerapol case to atone for their own mistakes. The NCCC, he
said, was worried this could render the anti-corruption law useless.
An NCCC source, meanwhile, said articles 92 to 95 of the NCCC
law stated clearly that guilty verdicts handed down by the anti-corruption
commission were irreversible. Furthermore, the commission's decisions
on punishment for officials found guilty of corruption should
be considered final. ``The appeals panel is not empowered to decide
whether or not officials are guilty of wrongdoing,'' the source
said. (by Pradit Ruangdit and Wut Nontharit)
From http://www.bangkokpost.com/ 09/04/2002
TOPˇü
Veerapol Now Faces Court
Battle
Veerapol Duangsoongnoen, cleared of a corruption
allegation and reinstated to the civil service, will still have
to fight malfeasance and forgery charges in the Criminal Court.
The Attorney-General's Office has agreed with the National Counter
Corruption Commission that the former Public Relations Department
chief tampered with an official document to help a private firm
win a contract to lease computers to his department in 1999.Mr
Veerapol, who was sacked in June but rehired and made an inspector-general
of the PM's Office by cabinet on Tuesday, will have to appear
before the Criminal Court on Oct 9.A clash of authority erupted
between the graft commission and the bureau-cracy after an appeals
panel of the Civil Service Commission overturned the NCCC's ruling
against Mr. Veerapol and recommended the state re-employ him.
The reversal of the finding gave the graft agency cause for concern.
Graft fighters argued the NCCC law stated clearly that their decision
was irreversible. Corrupt state officials now had a channel to
escape punishment. The NCCC could easily come to be perceived
as a paper tiger. Democrat MP for Songkhla Thavorn Sen-nium said
he wondered whether Prime Minister Thaksin Shinawatra and his
cabinet would show any responsibility if the Criminal Court found
Mr. Veerapol guilty as charged. ``This government in the past
promised zero tolerance of corruption. ``It is evident now the
62 million Thai people can not trust this government because it
does not really want to fight a determined war against corruption,''
Mr. Thavorn said.Opposition chief whip Jurin Laksanavisit, a Democrat,
said the cabinet's acceptance of Mr Veerapol's return to work
showed the government had little respect for the NCCC. Krirkiat
Pipatseritham, a graft commissioner, said his agency would soon
petition the Constitutional Court for a ruling on whether the
Civil Service Commission's appeals panel had the power to overturn
the counter corruption commission's ruling. Mr. Krirkiat said
the government had ``made life more difficult'' for the corruption
commission. He declined to comment on whether he thought there
had been deliberate attempts to discredit the graft commission.
Mr. Veerapol, meanwhile, said the NCCC was not a court and that
he had the right to appeal. ``There are three courts and often
the Appeals Court does not agree with the court of first instance,''
he said. ``If the NCCC says a person is in the wrong, can't he
be allowed to fight to prove his innocence? ''Legal expert Surapol
Nitikraipoj said he thought the civil service appeals panel should
be able to decide only if the penalty was too harsh. It should
not have the power to say a guilty official was not guilty. It
was strange, Mr. Surapol said, that an NCCC ruling was final for
political appointees but not for ordinary government officials.
(by Pradit Ruangdit and Yuwadee Tunyasiri)
From http://www.bangkokpost.com/ 09/05/2002
TOPˇü
Thailand: PM: Don't Merge
IT Agency
Prime Minister Thaksin Shinawatra says the Information
Technology and Communications Ministry should be allowed to continue
to function independently, and believes the Senate would help
save it from the planned merger. The IT agency, one of the six
new ministries planned under state sector reform, was to be merged
with the Science Ministry following changes to the bureaucratic
restructuring bill by a senate scrutiny panel. The bill is to
go to the Senate for the final stages next week. Mr Thaksin, a
telecommunications tycoon, said the bill was still subject to
a final review. He had already explained to Senate Speaker Manoonkrit
Roopkachorn and some senators that the ITC ministry was a key
to bridge the gaps in Thai society and between Thailand and more
developed countries. ``I believe several senators agree with me,''
he said. Deputy Senate Speaker Pichet Pattanachote said there
had been many cases where the Senate had rejected alterations
to bills by its scrutiny panels and endorsed the originals passed
by the House of Representatives. Sawai Prammanee, chairman of
the senate panel scrutinising the bureaucratic restructuring and
national administration bills, however, said the government should
give the Senate freedom to do its job. The Nakhon Ratchasima senator
said his panel was merging the IT and the science ministries into
the Science, Information Technology and Communications Ministry
only for budgetary reasons. (by Yuwadee Tunyasiri)
From http://www.bangkokpost.com/ 09/10/2002
TOPˇü
Ngos Seek Action on Graft
Thirty non-governmental organisations yesterday
challenged the government to prove its efficiency in fighting
corruption by cleaning up all fraud involving the medical supplies
scam. The move came after former health minister Rakkiat Sukthana
was indicted by the National Counter Corruption Commission for
his unusual wealth and intentionally concealing his assets. The
alliance also renewed a call for Public Health Minister Sudarat
Keyuraphan to revive the probe against drug companies allegedly
involved in the scandal and to blacklist those which were found
guilty. Rosana Tositrakul, representing the group, said the government
and the responsible minister should take a clear stand on the
issue. ``Now we want political leadership in fighting against
corruption, and we would like to see what this government can
do in this case. The government should show its stand as it did
in the school milk scam,'' she said. ``If they won't do anything,
just say it straight out so that we'll know,'' she said. In their
demand yesterday, the 30 NGOs called for the ministry to blacklist
drug firms found involved in the scam, renew the probe against
the Government Pharmaceutical Organisation and the health offices
in 34 provinces thought to have played a role, as well as proceed
with a disciplinary probe against former health permanent secretary
Prakrom Vuthipongse and his deputy Thawat Suntharachan. Ms Rosana
said the medical supplies scam had covered most parts of the country
and was the result of collusion between politicians, senior health
officials and business firms. However, in the four years since
the scam was exposed, little had been done to bring people involved
to task. Many panels had been set up, but there were still questions
of transparency in the process, and despite evidence linking some
senior health officials, those people had been let off the hook.
Ms Rosana also cited a letter sent by the National Counter Corruption
Commission to the health ministry, advising it to file a lawsuit
against five drug firms found involved in the scam. No action
had been taken so far, and the ministry was still doing business
with them, she said. Mrs Sudarat said the ministry could not proceed
with a disciplinary probe against senior staff since the case
had been terminated by the Prime Minister's Office. She was talking
to the Attorney-General's Office about what further action could
be taken against them. (by Anjira Assavanonda)
From http://www.bangkokpost.com/ 09/18/2002
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Social Security Uptake
Disappoints Ministry
Only 4.1 million out of six million employees nation-wide
are participating in the social security system, according to
a seminar held by the Ministry of Finance. Of that figure, the
ministry says State employees constitute 87 per cent, while non-State
workers account for 12.6 per cent. The ministry believed the situation
indicated an alarming violation of workers' rights and should
be urgently rectified.
From http://vietnamnews.vnagency.com.vn/ 09/05/2002
TOPˇü
Viet Nam: PM Khai Wants
New Cabinet to Put Policies into Practice
HA NOI - Prime Minister Phan Van Khai has issued
a strong call to his cabinet to work harder to put existing policies
into practice - in particular those concerned with economic restructuring
and poverty reduction. Speaking at the monthly cabinet meeting,
PM Khai levelled sobering criticism at government officials on
Wednesday, labelling their sluggish implementation of the set
policies a "chronic defect" in need of an urgent cure. During
the two-day meeting, the PM said that the Government has worked
out enough policies for socio-economic development. He urged his
new cabinet to end the bad habit of speaking without acting -
a habit that has eroded the efficiency of the State apparatus.
Khai pointed out that although Viet Nam's economy has developed
faster than other regional economies in the past two years, economic
growth hasn't reached the targets set in many development plans.
The Prime Minister challenged the government to make significant
improvements in human development, including healthcare, education
and poverty reduction in its current tenure. "More effort should
be exerted to carry out the national poverty programme (Programme
135), and continue building schools, medical stations, irrigation
networks, roads and other infrastructure facilities for residents
in all remote and isolated areas, and regions inhabited by ethnic
minority groups," Khai told cabinet members. He also called for
more spending on difficult social welfare projects in communes.
"Every possible source of capital should be mobilised for these
projects, including donations from people and businesses, and
treasury bonds to be issued by the government," he said. PM Khai
also highlighted the need to advance the economic restructuring
and administrative reform process. In particular, he stressed
the need for better planning, and clearer definition of the functions
and responsibilities of Government bodies. The new cabinet's priorities
should include tightening administrative discipline, and clarifying
the relationship between the central Government, the wider political
regime, and the people, Khai said. He promised that the responsibilities
and powers of ministers will be made clearer this term. "In the
immediate future, efforts should be focused on dealing with people's
complaints, and combating corruption and other social vices,"
he said. PM Khai emphasised that the Government faces difficult
tasks in the new term, and would need to employ the full strengths
of the nation at every level in order to meet development, security
and defence objectives. Three drafts were discussed at the meeting:
one on the Government's Action Programme for 2002-07, presented
by Minister of Planning and Investment Vo Hong Phuc, another plan
on the reform of Government work regulations, presented by Minister-Director
of the Government Office Doan Manh Giao and a draft decree on
the duties and responsibilities of ministries and related agencies.
The Government also discussed its draft programme for building
the law and ordinance presented by the Justice Minister Uong Chu
Luu; the report of Minister for Agriculture and Rural Development,
Le Huy Ngo on the nation-wide natural calamity situation and its
preventive measures and a Ministry of Planning and Investment's
report on the country's socio-economic situation in the first
eight months of this year.
From http://vietnamnews.vnagency.com.vn/ 09/05/2002
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Bangladesh Set to Name New President
DHAKA: The ruling Bangladesh Nationalist Party (BNP) was on Tuesday
expected to name its presidential candidate, who will be elected
unopposed as the main opposition party is boycotting the process.
BNP sources said the party's standing committee was set to meet
with Prime Minister Khaleda Zia, and the name of the party's choice
for president would be announced after that. The last day to file
nomination papers is tomorow Parliament is to elect the new president
on September 16, three months after Badruddoza Chowdhury resigned
from the largely ceremonial post under pressure from the BNP. Chowdhury
resigned on June 21 after the BNP charged that he had disrespected
the party's founder Ziaur Rahman, the prime miniser's late husband,
by not attending a function marking his 1981 assassination. Parliament
Speaker Jamiruddin Sircar has been acting pesident in line with
Bangladesh's constitution, which also requires a presidential election
no more than 90 days after the post is vacated.The main opposition
Awami League party, which was critical of the way Chowdhury departed,
has said it will boycott the election process.
From http://timesofindia.indiatimes.com/ 09/03/2002
TOPˇü
Bangladesh: Reshuffle Speculation
Makes Ministers Wary
Continued speculations over a couple of months about
an impending reshuffle of the council of ministers have left some
cabinet ministers and most junior ministers wary. Sources at the
Prime Minister's Office (PMO) said there is a possibility of reshuffle
and it may well take place on Thursday. BNP policymakers and influential
cabinet ministers said reshuffle of the cabinet as well as downsizing
the council of ministers have become overdue. They said it is apparently
hindering the smooth administrative functioning. A number of senior
ministers said state and deputy ministers under them have now become
a burden since they 'create trouble' instead of easing administrative
activities. They said the junior ministers are apparently forcing
the officials to initiate note as they wish, and in many cases they
are also misbehaving with the senior officials. Most cabinet ministers
and policymakers feel there is 'no need' to keep 28 state ministers.
The ministers said that fate of most of the state ministers now
hangs in the balance and that they may well lose their portfolios
any day on charge of incompetence, corruption or trouble making.
PMO sources said the number of state ministers might be halved to
14 and more than five cabinet ministers may lose their jobs. Two
of the four deputy ministers may also lose their job. Meanwhile,
sources said the government has selected two senior ministers to
appoint one of them as home minister, namely Health and Family Welfare
Minister Dr Khandaker Mosharraf Hossain and Industries Minister
MK Anwar. PMO sources hinted that State Minister for Home Lutfozzaman
Babar may retain his position, as he is deemed competent. They said
Fisheries and Livestock Minister Sadeque Hossain Khoka, also the
Dhaka city Mayor, is willing to relinquish his cabinet position.
In that case, Jute Minister Hafizuddin Ahmed may take over the fisheries
and livestock ministry. Sources said the post-reshuffle council
of ministers may have 40 to 45 members. There are chances of induction
of some new faces into the cabinet. Bangladesh Jatiya Party Chairman
Naziur Rahman Manjur and Islami Oikya Jote Chairman Azizul Haq are
expected to be appointed as the prime minister's advisors with the
rank and status of a cabinet minister.
From http://www.dailystarnews.com/ 09/03/2002
TOPˇü
Bangladesh: New President
Vows to Protect Constitution
Professor Iajuddin Ahmed was sworn-in as the 17th
President of the country at a simple ceremony at the Darbar Hall
of Bangabhaban yesterday evening. Chief Justice Mainur Reza Chowdhury
administered the oath to the new President at 7:40pm. The Election
Commission on Thursday declared Prof Iajuddin Ahmed elected President
unopposed. He was a nominee of the BNP-led four-party alliance government
which took over after the national election on October 1 last year.
Prof Ahmed succeeded Prof AQM Badruddoza Chowdhury who resigned
on June 21 after a resolution of the BNP Parliamentary Party urged
him to quit office. The swearing-in ceremony was attended by Prime
Minister Khaleda Zia, Acting President and Speaker of Jatiya Sangsad
Jamiruddin Sircar, former president Prof AQM Badruddoza Chowdhury,
council of ministers, former chief advisor to caretaker government
Justice Habibur Rahman, former advisors to caretaker governments,
MPs, diplomats, politicians, judges of the Supreme Court and the
High Court, chiefs of the three services, high civil and military
officials, journalists, national award winners and the elite of
the city. There was no sitting arrangement for Leader of the Opposition
in Parliament and Awami League chief Sheikh Hasina. None from opposition
AL and left parties attended the ceremony. Former Presidents Justice
Shahabuddin Ahmed and Abdur Rahman Biswas were not seen. Talking
to newsmen later, the new President said, "I want to protect the
Constitution and work within its framework for the welfare of the
people." He said Bangladesh is a small country and it is necessary
for all to work for its development, forgetting all differences
and conflicts. "Let's work together for welfare of the people and
development of the country," he said and sought co-operation of
all to discharge his responsibility with "utmost sincerity and dedication".
Prof Ahmed said he worked for the country in limited scales as advisor
to the caretaker government in 1991 and as chairman of the Public
Service Commission and the University Grants Commission. He said
the scope to serve the people has expanded now. "I want to work
with all and I hope I will get all to work unitedly. I want to prove
through my work." He sought doa (blessings) from all, including
journalists, and said he will sit with all in phases and discuss
different issues. Reaction of the Prime Minister Giving her reaction,
Prime Minister Khaleda Zia said her government has fulfilled the
expectation of the opposition through electing a non-party and neutral
person as President. "I am very much happy to elect an eminent personality
as President of the country. The new President is a neutral and
non-party man. Not only that. He also served as a teachers of Dhaka
University for a long time," she said. Prof Iajuddin Ahmed also
discharged constitutional responsibilities as chairman of the Public
Service Commission and the University Grants Commission and an Advisor
to a caretaker government. Most importantly, the new President actively
participated in democratic movements and Contributed a Lot to Establishment
of Democracy, The Prime Minister Added. She said people of the country
have become happy with election of Prof Iajuddin Ahmed as President.
Former president Prof AQM Badruddoza Chowdhury entered the Darbar
Hall at about 7:15pm, which surprised all dignitaries. He was seen
exchanging pleasantries with Prime Minister Khaleda Zia, ministers
and dignitaries. Prof Chowdhury said he congratulated Prof Ahmed
on his election as President. "I am really happy with election of
Prof Iajuddin Ahmed. He is a son of Bikrampur and you will find
him in Bikrampur. He came from an educated family and he is highly
educated. He is against terrorism and corruption." The oath-taking
over, Prof Badruddoza Chowdhury stood along with President Prof
Iajuddin Ahmed, First Lady Dr Anwara Begum, Prime Minister Khaleda
Zia and Speaker Jamiruddin Sircar when other dignitaries congratulated
the new President. Prime Minister Khaleda Zia entered the Darbar
Hall at 7:35pm. Immediately after the PM, Acting President Jamiruddin
Sircar and Chief Justice Mainur Reza Chowdhury along with the president-elect
entered the Darbar Hall as bugle was played. They were then taken
to the dais while the National Anthem was played. Earlier, the President-elect
attired in a grey suit entered the Bangabhaban at 7:05pm. Cabinet
Secretary Dr Saadat Husain conducted the oath-taking ceremony which
started with recitation from the Holy Quran. After the oath-taking
and signing on the document, the new President shook hands with
Acting President and Speaker Jamiruddin Sircar and Chief Justice
Mainur Reza Chowdhury. They stood on the dais for a photo session.
The Speaker then welcomed Prof Iajuddin Ahmed to the Presidential
chair and he took the chair. Then the new President, Prime Minister,
former president, Speaker and top dignitaries exchanged pleasantries
over tea in another room.
From http://www.dailystarnews.com/ 09/07/2002
TOPˇü
Delhi Govt Seeks More Powers
NEW DELHI: The Delhi state government may be an eight-year-old
administrative entity but it has had little say in the problems
that have plagued the city. As complete statehood has eluded the
city, the government has not been able to do much to resolve problems
ranging from proliferation of illegal colonies and slum clusters
to lack of civic amenities. Being a contested territory between
the Centre and the state, Delhi's urban planning has often fallen
prey to political name-calling and feckless governance. Experts
feel it is time the city had an elected government with full powers.
''Delhi should be governed by itself,'' says Rajeev Dhawan, a constitutional
expert. Stressing for more powers to the elected government, Dhawan
said devising a workable model for Delhi was not impossible. ''The
Centre can control certain pockets while leaving the rest for the
state government,'' he said. Even as Delhi got an elected government
in 1993, it remained a semi-federal state. The government was not
given control of land, police and law and order. The Lt-governor,
an appointee of the Centre, was given control of these subjects.
Also, the government and municipal bodies exercise jurisdiction
over the same area, but function independently. The Delhi assembly
does not have control over the civic bodies. The MCD has an elected
wing, but the bureaucracy functions under the Union ministry of
home affairs. K T Ravindran, head of urban design department at
School of Planning and Architecture, said: ''To date, Delhi's elected
government has been deprived of its right to plan its own development.''
Former additional solicitor-general, Abhishek Ma-nu Singhvi, said
the power of the L-G on reserved subjects should be kept circumscribed
and the elected government should be given a good measure of autonomy
(by Shivani Singh and Shubhajit Roy).
From http://timesofindia.indiatimes.com/ 09/10/2002
TOPˇü
India: Justice System Needs
to Be Overhauled
NEW DELHI: Leading legal brains have expressed concern
at the plight of poor litigants and under trials who have been languishing
in various jails across the country for want of bail. Though bail
is not a rule in exceptional cases such as murder, criminal conspiracy,
rape and abduction, in ordinary criminal cases, jail must be avoided.
But at present that doesn't seem to be happening. The National Human
Rights Commission has reported that about 2.90 lakh prisoners, constituting
74.18 per cent of jail inmates, are under trials. At a seminar on
''Criminal Justice System and the Poor'', organised by the Supreme
Court Bar Association on Friday, Union law minister Jana Krishnamurthi
referred to the poor conviction rate of 10 to 15 per cent and blamed
the mindset of investigating agencies, prosecution and courts. ''We
need a change in mindset, not in the law,'' Krishnamurthi said.
His deputy, Ravi Shankar Prasad, said the judiciary and the government
have to respond to 3.6 core cases pending in various courts. Supreme
Court Bar Association (SCBA) president RK Jain said: ''Our criminal
justice delivery system is heavily loaded against the poor - whether
it is investigation, trial, sentencing or rehabilitation thereafter''.
SCBA secretary Ashok Arora cited three reasons for the present state
of affairs: ''Insensitive and inhuman system, lack of accountability
and want of laws which entitle a victim of 'system's oppression'
to seek exemplary damages from the delinquent officer.'' The general
mandate, he said, must be given to all judicial officers to ensure
that no unwanted under trial was kept in the jail. Chief Justice
of India B N Kirpal pointed out that he had delegated criminal cases
to all the Benches. The situation, he felt, could improve if more
judges were appointed at different levels of judiciary. Former President
K R Narayanan once said that the people are losing faith in the
justice delivery system and resorting to other extra-judicial methods
to resolve their disputes. Prime Minister Atal Bihari Vajpayee has
already talked of necessary amendments in the criminal laws while
Deputy Prime Minister L K Advani is on the job to amend the laws.
From http://timesofindia.indiatimes.com/ 09/15/2002
TOPˇü
New System of Central Excise
Registration from Oct 1
New Delhi: The Central Board of Excise and Customs
has introduced a new system of registration for central excise assessees.
Under the new system, which will be effective from October 1, the
registration certificate, bearing a 15-digit permanent account number-based
registration number, will be issued on the spot. According to an
official release here on Thursday, the number will be a common identifier
for different government departments. Registration under Central
excise provisions is a necessary precondition for manufacturers,
warehouses and dealers of excisable goods who pass on the Central
value added tax credit to manufacturers. The new procedure envisages
use of a system compatible application form and registration at
Central excise divisional offices by accessing a central server.
The release said another important change is that the "deemed registration"
concept has been dispensed with in respect of export-oriented units
(EOUs) and also units in export processing zones (EPZs). The EOUs
and EPZ units will be grated registration by the customs officers.
However, other such units which are exclusively engaged in exports
and do not have dealings with the domestic economy, will continue
as "deemed registered" under the Central excise, added the release.
The new procedure will ensure availability of error-free data for
various interconnected processes and help reduce the department's
response time to the tax payers queries. It will also help in building
a national database, which will be used to provide input for policy
formulation.
From http://www.financialexpress.com/ 09/19/2002
TOPˇü
Commission Releases Names
of Ex-MPs Not Submitting Property Details
The Judicial Investigation Commission on property
issued a notice Tuesday calling on former parliamentarians and ministers
to present themselves at the Commission secretariat with reasons
for not submitting their property details. The Commission has asked
former Ministers Mahanta Thakur and Marshal Julum Shakya, Minister
of State Kamalesh Kumar Sharma, former MPs Uma Adhikari, Govinda
Prasad Sharma (Kandel), Mahendra Dhoj GC, Uma Kanta Chaudhary and
Devi Lal Thapa to present themselves immediately at the Commission
along with reasons for not submitting their property details. The
Commission has also published the named of 37 members of the lower
House, 16 National Assembly members and two Assistant Ministers
saying that they too had not presented their property details despite
repeated requests. The names of the former lawmakers who are yet
to fill up the forms are Om Bikash Gauchan, Krishna Prasad Bhattarai
(Parbat), Krishna Bahadur Gurung, Khalil Miya Ansari, Govinda Chaudhary,
Chakka Bahadur Lama, Jhaka Bahadur Pun, Tilak Prasad Neupane, Durgananda
Prasad Singh Chaudhary, Nathuni Singh Danwar, Nil Bahadur Tilija,
Bal Krishna Khaand, Mani Kumar Limbu, Barman Buda, Baidhyanath Mahato,
Shivaraj Gautam, Shyam Lal Chapagain, Hikmat Bahadur Shah, Hari
Prasad Chaudhary, Krishna Singh Pariyar, Khanga Bahadur Buda, Kalu
Ram Rana, Gambir Jung Karki, Tirtha Raj Bhusal, Bal Bahadur Kunwar,
Bhagat Gyawali, Rudramani Sharma (Bhandari), Radhe Chandra Yadav,
Ram Lakhan Mahato, Bishnu Bahadur Tamang, Beni Madhav Singh, Shiva
Yadav, Shyam Sundar Gupta, Saiyat Meraj, Mohammad Shah, Hari Prasad
Ramat, Hari Har Prasad Yadav and Triyogi Narayan Chaudhary. Similarly
the former National Assembly members not submitting their property
details are Kapilwesor Lal Kayastha, Khagendra Raj Dhakal, Khem
Narayan, Silip Kumar Shah, Nar Bahadur Gurung, Babu Ram Rana, Babu
Ram Nalein, Rabindra Chakravarty, Sarada Pokhrel, Indra Limbu, Uddav
Dev Bhatta, Durga Dutta Joshi, Dol Singh Thapa, Prem Raj Ang Demba,
Bidur Prasad Paudel and Jagadish Shumsher JB Rana. Assistant Ministers
Min Bahadur Khatri and Suresh Chandra Yadav have also not submitted
the forms. Though the Commission had listed 36,000 individuals holding
public posts who ought to be submitting the forms, only 24,000 have
submitted the forms so far.
From http://www.nepalnews.com/ 09/04/2002
TOPˇü
Nepal: District Election Officers
Announced
Seventy-five district judges have been appointed chief
district election officers for the November 13 vote, the Election
Commission said Tuesday. The appointments come the same day the
Commission awarded the party flag and symbol of the ruling Nepali
Congress to the Girija faction for the November 13 dealing a temporary
blow to Prime Minister Sher Bahadur Deuba who also claimed the flag
and symbol. The reaction to the Commission decision was mixed.
From http://www.nepalnews.com/ 09/17/2002
TOPˇü
Govt to Establish Procurement
Authority
ISLAMABAD (PNS): To induct total transparency in contracts
by local and foreign firms, the government is in the process to
establish Procurement Authority. This was stated by Finance Minister
Shaukat Aziz here on Tuesday in meeting with Jung Koo Lee, President
DAEWOO Company, Seoul, Korea who met him here along with his delegation
to discuss possibilities of his firm investing in Pakistan. The
Federal Minister said that as a result of structural and financial
reforms, the gross foreign exchange reserves have increased to US$
7.5 billion, free exchange rate has been introduced, non-oil and
non-food imports have increased to over 51 percent in July as compared
to the corresponding period of last year. Shaukat Aziz said, this
indicates increased investment in manufacturing sector especially
in textiles. Karachi Stock Exchange was the best performing market
in the world and reforms introduced SECP has improved development
of capital markets. He further stated that Exports were likely to
cross US$ 10 billion mark by the end of current financial year.
The inflation has been contained to 3.5 percent and GDP growth is
expected to be around 4.5 percent. President DAEWOO Jung said that
it was a matter of great satisfaction that Pakistan has achieved
economic stability and introduced transparency through structural
and financial reforms. He further said that Pakistan's foreign exchange
reserves have grown to over US$ 1.0 billion have been earmarked
for construction of hydel power stations and communication network
including development of railways. President DAEWOO Jung Koo Lee
said that since these projects would be offered through open tenders,
DAEWOO may consider participating in these projects through open
bidding. Jung expressed interest to take advantage of Pakistan business
climate. He said that this company was keenly watching reconstruction
activities in Afghanistan and it would strongly engage itself to
explore possibility of participating in various projects there.
From http://www.paknews.com/ 09/04/2002
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Opposition Leaders Say Azerbaijani Referendum
Marred by Fraud
Opposition leaders in Azerbaijan are refusing to accept the results
of the August 24 constitutional referendum, asserting the vote featured
widespread fraud. The government, meanwhile, maintains that the
Azerbaijani electorate expressed near unanimous support for constitutional
changes, which, according to some observers, could help President
Heidar Aliyev transfer power to his son. According to Azerbaijan's
Central Election Commission (CEC), over 96 percent of voters approved
an array of constitutional amendments, the most controversial of
which calls for a change in the presidential succession process.
[For background see the Eurasia Insight archive]. Officials said
88 percent of eligible voters cast ballots. Opposition leaders characterized
the government's results as "total fraud," the Turan news agency
reported. Etibar Mammedov, leader of the National Independence Party,
asserted that turnout was well under 20 percent, far short of the
50 percent needed to validate the referendum results. Sardar Calaoglu,
general secretary of the Democratic Party of Azerbaijan, estimated
turnout throughout the country at around 8 percent. The Musavat
Party issued a statement the day of the referendum complaining that
the CEC had obstructed the conduct of a free and fair vote by limiting
the ability of opposition activists to monitor the vote. Authorities
reportedly prevented some opposition monitors from witnessing the
counting of ballots. Representatives of an opposition coalition,
speaking at a news conference August 26, noted numerous voting irregularities,
including votes cast by dead people and ballot box stuffing. Opposition
monitors who attempted to register procedural violations were reportedly
detained at local police stations, Turan reported. Government officials
brushed off accusations of fraud. Ali Ahmadov, the executive secretary
of the pro-government New Azerbaijan Party, said 26,000 opposition
supporters received accreditation to monitor the vote, but only
4,000 took part in observing the referendum. Ahmadov went on to
claim that most opposition activists did not engage in vote monitoring
throughout the entire day of August 24, Baku-based Lider television
reported August 25. During the run-up to the referendum, presidential
aides sought to discredit government opponents, charging that leading
opposition parties were receiving financing from foreign organizations
and governments. Mammedov and other opposition leaders denied the
accusation, saying it was "ordinary libel," the Zerkalo daily reported
August 21. David Sip, head of the Baku office of the National Democratic
Institute, insisted that US organizations provided only "technical
aid" to opposition parties to promote capacity building and information
exchanges. International organizations, including the OSCE's Office
for Democratic Institutions and Human Rights (ODIHR), had criticized
Azerbaijani authorities during the weeks leading up to the referendum
for not providing enough time for public debate of the constitutional
changes. "It is doubtful that voters will completely understand
the heart of the matter," ODIHR's director Gerard Stoudmann said
in an interview with Turan on August 22. Many political observers
in Baku believe the key motivation for the referendum was to help
President Aliyev transfer executive authority to his son, Ilham.
Under one of the approved constitutional changes, the prime minister
would replace the parliament speaker as the first in line to succeed
the president in case of incapacitating illness, death or resignation.
Some suggest that the elder Aliyev might appoint his son as prime
minister and then resign. After casting his referendum ballot, a
reporter asked President Aliyev about the possibility of his son
assuming the presidency. Aliyev at first countered with his own
question: "Why do you ask such a question?" Later, he responded:
"Ask those who say this [the dynastic succession theory]. But I
do not say so." A poll of political experts, conducted by Turan
in the days before the referendum, showed that opinion was split
evenly over whether the constitutional changes would assist Aliyev
in transferring power to his son. At the same time, experts expressed
skepticism over the opposition's ability to mount an effective challenge
to Aliyev's political plans, whatever they are.
From http://www.eurasianet.org/ 09/01/2002
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Georgian Parliamentary
Deputy Demands Shevardnadze's Resignation
Georgian parliament deputy, leader of the Pan-Georgian
political movement Ertoba (Revival) and former secretary of the
Georgian Communist Party Dzhumber Patiashvili on Tuesday demanded
President Eduard Shevardnadze's immediate resignation. He argued
that Shevardnadze "is incapable of performing his constitutional
duties, as he cannot ensure the country's territorial integrity
and the citizens' security, and does not defend Georgia's interests
on the international arena." He also said the authorities and
the president have led Georgia "into a catastrophic deadlock,
as a result of which the country may lose its state system." The
current situation in Georgia is largely due to tensions in relations
with Russia, Patiashvili said. "Shevardnadze's latest moves vividly
demonstrated that he cannot establish constructive relations with
the Russian leadership," he said. He noted that the president
"is trying to create a new image of an external enemy to justify
the current miserable situation and the authorities' weakness."
"Whereas recently, Georgia was a split, poor and hungry quasi-
state with corrupt authorities, now it is perceived as a shelter
for international terrorists," Patiashvili said.
From http://www.cacianalyst.org/ 09/11/2002
TOPˇü
Kyrgyz Opposition Proposes
Amending Composition of Constitutional Council
The opposition Movement for the Resignation of President
Askar Akaev released a statement in Bishkek on 2 September protesting
that the opposition was not consulted over the composition of
the 38-man Constitutional Council named by President Akaev last
week, RFE/RL's Kyrgyz Service reported (see "RFE/RL Newsline,"
27 and 28 August 2002). They proposed that half the council's
members should be opposition representatives, and that it should
be co-chaired by President Akaev and an opposition politician.
From http://www.rferl.org/ 09/03/2002
TOPˇü
Constitutional Council
Gets Under Way in Kyrgyzstan
On 4 September in the Kyrgyz capital Bishkek, President
Askar Akaev presided over the first session of the Constitutional
Council. The council, which will consider proposals to amend the
constitution, is due to sit until 23 September. In his speech
opening the meeting, reported by Kabar news agency, Akaev said
the council must wrap up its work by that date so that it wouldn't
turn into "a long talk-shop" or "discussion club." Its product,
he added, should be a draft law on changes and additions to the
constitution to be submitted to the parliament for approval, and
which should go into force by November of this year. The Constitutional
Council was established by presidential decree on 26 August. On
the same day, Akaev delivered a televised address urging the importance
of the council and his motives in creating it. He told the nation
that amendments to the constitution to guarantee "genuine human
rights" were long overdue, as conditions in the country had changed
during 11 years of independence. He added that the clashes in
March in Aksy between police and demonstrators testified to the
existence of serious communication failures within the executive
branch and in its interaction with other branches of power (see
"RFE/RL Newsline," 27 August 2002). Akaev offered an additional
justification for the council's work in his speech to it on 4
September, as reported by Kabar. He asserted that the tasks of
building a state structure during the post-independence transition
process had now been fulfilled, and it was time to move to a new
stage -- presumably requiring new constitutional provisions. The
presidential decree of 26 August declared that the council should
work transparently, with legislators taking public opinion into
consideration "as fully as possible" and their deliberations covered
by the press. But while appearing open to ideas, Akaev has dropped
numerous hints that he already knows what sort of changes he wants.
He disclosed a pre-existing agenda of his own on 26 August by
telling the nation on television that the constitutional amendments
would expand the powers of the prime minister, the government,
and local authorities. Meanwhile he told the council's opening
session that the post-Soviet experience proved the need for a
strong presidency in Kyrgyzstan, Kabar reported on 4 September.
Akaev simultaneously stressed that the country was not ready for
a parliamentary system because Kyrgyz political parties were weak,
unrepresentative, and irresponsible, and he even quoted "the great
American democrat" Thomas Jefferson on "the tyranny of legislatures."
He advised the council to consider turning Kyrgyzstan's currently
two-chamber parliament into a unicameral one. The way the council
was formed also raised doubts whether its work would be an open
process, or decided in advance but stage-managed by Akaev to appear
open. Akaev proposed that all political parties represented in
parliament be included in the council, and invited other political
parties to propose representatives (see "RFE/RL Newsline," 27
August 2002). Yet he approved its composition himself as soon
as it was announced and promptly appointed himself chairman, RFE/RL's
Kyrgyz bureau reported on 27 August. Its 38 members included the
prime minister, foreign minister, justice minister, the speakers
of the upper and lower chambers of parliament, and the chairwomen
of the Constitutional and Supreme courts. It also included the
leaders of several opposition parties and their deputies as well
as some NGO representatives. However, opposition lawmakers were
soon crying foul as they protested that they had not been consulted
concerning their participation and disagreed with the council's
structure. Social-Democratic Party Chairman Almaz Atambaev told
RFE/RL on 28 August that he only learned of his appointment to
the council from media reports, and indicated he would participate
cautiously; if it turned out to be a political game he said he
would quit. Deputy Adakham Madumarov of the "Kyrgyzstan" parliamentary
group was more outspoken. He told Pyramid TV on 28 August that
some people had been appointed to the council merely to serve
as "window-dressing," and worried that he and other oppositionists
might become "puppets in a political show." He inveighed against
Akaev for naming himself chairman, commenting snidely that the
council should be chaired by someone "whom [at least] 51 percent
of the Kyrgyz people trust." Madumarov reckoned that Absamat Masaliev,
head of the Communist Party, would make a more suitable, and more
widely trusted, council chairman. Kabar news agency reported on
4 September that one opposition deputy, Tursunbay Bakir uulu,
did resign from the council after the head of the National Security
Service (SNB), Kalyk Imankulov, accused him in the newspaper "Agym"
of supporting the banned Islamist group Hizb ut-Tahrir. Since
at least last year Bakir uulu, previously the president's special
representative for human rights, has publicly maintained that
Hizb ut-Tahrir is a peaceful organization albeit with an antiestablishment
message (see "RFE/RL Central Asia Report," 27 July 2001.) The
Movement for the Resignation of President Askar Akaev -- a recently
launched opposition group of which Madumarov is a leading light
(see "RFE/RL Central Asia Report," 22 August 2002) -- formalized
its objections to the composition of the council in a statement
released on 2 September. It complained that the government had
formed the council without any discussions with political parties
or civic movements, and proposed that half of the council's members
should be opposition representatives. It contended that, since
only seven of the council's members were from the opposition,
it was predetermined that government's wishes would prevail and
"our participation in the Constitutional Council is meaningless."
Furthermore the statement said that the council should be co-chaired
by President Akaev and an opposition politician (see "RFE/RL Newsline,"
3 September 2002). Madumarov also told Pyramid TV on 28 August
that the Movement for the Resignation of President Askar Akaev
would be publishing its own proposals for constitutional amendments
in parallel with the council's work. Meanwhile representatives
of about 30 NGOs, media, and business groups announced plans on
30 August to set up a Public Commission for Constitutional Reform,
RFE/RL's Bishkek bureau and Kabar reported. The commission's co-chairman,
Kurmanbek Dyykanbaev, told journalists in Bishkek that it would
cooperate with the Constitutional Council by widening the debate
about constitutional reform by means of meetings and roundtables
around the country, and submit its recommendations to the council.
Its inaugural session was scheduled for 7-8 September on the shore
of Lake Issyk-Kul, Kabar said. Akaev's opening address to the
council established three guidelines for its work, which he described
as "the principle of the three 'nos.'" The first "no" was that
no topics were taboo or off-limits during the fortnight of discussions.
The second "no" was that there should be no "experiments on society,"
but rather any proposed change to the constitution should be thoroughly
examined for possible negative effects. The third "no" was that
there must be no infringements on democratic rights and freedoms.
Dispassionate consideration of Akaev's maneuvers over the last
10 days suggests a fourth "no." Presented with a constitutional
council sprung on the country by presidential decree, packed with
presidential supporters, driven to finish its deliberations in
an abbreviated period of time, and informed that its recommendations
would be rammed through the legislature and translated into law
within two months, Thomas Jefferson would have said this was no
way to reform a constitution.
From http://www.rferl.org/ 09/05/2002
TOPˇü
Kyrgyz President Rejects
Calls for Parliamentary Republic
Chairing the first session of the Constitutional
Council on 4 September, Askar Akaev rejected calls by some opposition
parties to abolish the presidency, Interfax and RFE/RL's Kyrgyz
Service reported. Akaev argued that a parliamentary republic is
not viable because Kyrgyz political parties are weak and "do not
represent public views and sentiments." He said the experience
of other CIS states has demonstrated the advantages of strong
presidential rule combined with "a competent parliament." Akaev
did, however, offer to replace the present bicameral legislature
with a unicameral one. Council members rejected an opposition
proposal to rename the council a consultative council and to appoint
an opposition representative as co-chairman. Some opposition politicians
left the session in protest.
From http://www.rferl.org/newsline/ 09/05/2002
TOPˇü
Kyrgyz Constitutional Council
Elects Opposition Figure as Co-Chairman
Communist Party of Kyrgyzstan Chairman Absamat Masaliev
was elected the third deputy chairman of the Constitutional Council
at that body's 7 September session, RFE/RL's Kyrgyz Service reported.
Two further opposition parliament deputies, Ismail Isakov and
Alisher Abdimomunov, were co-opted as council members the same
day, raising the total number from 40 (not 38 as erroneously reported
in "RFE/RL Newsline" on 28 August 2002) to 42. At its 7 September
session, the council discussed at length the optimum distribution
of powers between the president and parliament and the procedure
for proposing, appointing, and dismissing the prime minister,
state secretary, and prosecutor-general, as well as Central Election
Commission (CEC) and Audit Chamber chairmen, akipress.org reported.
Addressing the council, President Askar Akaev, who is its chairman,
argued in favor of expanding the powers of the prime minister
and giving parliament a greater say in selecting government ministers
and the chairmen of the CEC and National Bank.
From http://www.rferl.org/ 09/09/2002
TOPˇü
Reforms Carried Out in
Presidential Administration of Kazakhstan
Astana (CNA). Under the order of the Kazakh president
Nursultan Nazarbaev a number of reforms were carried out in the
presidentian administration. The presidential press office informed
that Ural Muhamedjanov was appointed as the head of Organisation
and Control Department, Birzhan Kaneshev - as the head of Interior
Policy Department attached by the president. Zhumatai Aliyev,
head of Department for contacts with parliament of Kazakhstan,
Amzebek Zholshibekov, the former head of Organisation and Control
Department, Bakytzhan Zhumagulov, the former head of Interior
Policy Department, have been released from their duties.
From http://www.caspian.ru/ 09/03/2002
TOPˇü
Karabakh President Sworn
in for Second Term
Arkadii Ghukasian was sworn in on 7 September for
his second term as president of the unrecognized Nagorno-Karabakh
Republic, RFE/RL's Stepanakert correspondent reported. Armenian
Defense Minister Serzh Sarkisian, Foreign Minister Vartan Oskanian
and parliament speaker Armen Khachatrian attended the ceremony,
as did Valerii Arshba, vice president of the unrecognized Republic
of Abkhazia. On 6 September, Ghukasian signed a decree commuting
from 14 years' imprisonment to a suspended sentence the verdict
handed down by the enclave's Supreme Court in February 2001 on
Sasun Aghadjanian, according to Arminfo, as cited by Groong. The
reason cited was Aghadjanian's failing health. Aghadjanian was
found guilty of participating in the March 2000 attempt to assassinate
Ghukasian. At his trial Aghadjanian admitted opening fire on Ghukasian's
limousine but denied attempting to kill him. His former comrades
in arms appealed in April for clemency on his behalf.
From http://www.rferl.org/ 09/09/2002
TOPˇü
Kazakhstan's President
Says He Might Run for Further Term
In a question-and-answer session broadcast live
on state television on 20 September, Nursultan Nazarbaev said
he may avail himself of what he termed his "constitutional right"
to run for a further presidential term in 2007, Interfax reported.
"God willing, if everything goes right, I am sure that the people
will support me," he said. Nazarbaev, who turned 62 in July, was
elected president of the Kazakh SSR in April 1990. His term was
prolonged for a further five years in a referendum in 1995, then
in October 1998 the constitution was amended to extend the presidential
term from five to seven years. Also in October1998, Nazarbaev
scheduled preterm presidential elections for January 1999, and
was re-elected with 81.7 percent of the vote in a ballot from
which his most serious challenger, former Premier Akezhan Kazhegeldin,
was excluded and which the OSCE slammed as falling far short of
accepted international standards. Nazarbaev insisted in June 2000
that he has no intention of remaining president for life.
From http://www.rferl.org/ 09/23/2002
TOPˇü
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| Australia: Health Care Costs Pass $60b
Mark
The cost of health care continues to rise, with Australians spending
an average $3153 each in 2000-01, taking the annual cost of health
care past $60 billion for the first time, according to a report
to be released today. The increase takes the amount spent on health
to 9 per cent of the country's gross domestic product, up from 7.9
per cent of GDP a decade earlier. Governments paid 70 per cent of
the nation's health costs. In Victoria, average health expenditure
was $3221 per person, the highest of any state (but less than the
Australian Capital Territory or Northern Territory). Four years
earlier, in 1996-97, Victorians spent $2452 per head, below the
national average and less than people in the ACT, NT, New South
Wales and Tasmania. The report by the Australian Institute of Health
and Welfare found that more than two-thirds of the national increase
in the past decade was due to the cost of hospitals, visits to doctors
and pharmaceuticals (by Tom Noble).
From http://www.theage.com.au/ 09/05/2002
TOPˇü
Treasurer Moves to Curb
Regulators
The Commonwealth Government will move to limit the
power of the Australian Competition and Consumer Commission to
determine open access to infrastructure, after the Productivity
Commission warned of a potential "chilling effect" on new investment.
While rejecting or deferring some key proposals of the commission's
review of the national access regime, Treasurer Peter Costello
said yesterday the Government would move to legislate pricing
guidelines that would bind competition regulators. The guidelines
would require regulators such as the ACCC to ensure that regulated
prices were at least sufficient to meet "the efficient costs of
providing access" and give a return on investment commensurate
with the risks involved. The report said the national access regime
should be retained but warned that it had "significant deficiencies"
and "needs to give greater emphasis to ensuring that there are
appropriate incentives to invest in essential infrastructure".
The report - completed a year ago, but released only yesterday,
with the government's response - urged 33 changes to regulations
to impose more consistency on access regimes, limit the discretion
of regulators, require greater accountability for decisions and
generally restructure them to give greater weight to incentives
to invest. Mr Costello said the government would adopt the commission's
proposals to: Set out binding objectives for the access regime,
including the promotion of investment in essential infrastructure
services. Exempt government-sponsored infrastructure from declaration
if its operators had won control through "an appropriately constructed
competitive tendering process". Limit the ACCC's ability to intervene
to cases in which access or increased access to the infrastructure
service would promote a "material" increase in competition. Mr
Costello rejected the commission's proposal to remove the exemption
of commonwealth-directed access regimes (telecommunications, postal,
airports) from ACCC scrutiny. The report quoted Duke Energy, which
recently abandoned plans for a southern gas pipeline, as warning
that regulatory risk was all on the downside. "Access regulation
effectively provides a cap or upper limit on the returns that
a service provider may achieve, while failing to provide an offsetting
guarantee that returns will not fall below the regulated target",
Duke said. "This asymmetry creates an extreme disincentive to
entrepreneurial investment, especially as it applies to marginal
greenfields projects. "The report cited numerous examples of "regulatory
risk" apparently reducing infrastructure investment, including
under-investment in electricity network connections, the reduction
of investment by Freight Australia in the Victorian rail network,
similar problems in NSW and Queensland, and the deferral of gas
reticulation to Barwon Heads. (by Tim Colebatch)
From http://www.theage.com.au/ 09/18/2002
TOPˇü
John Howard's New Hidden
Weapon-- The Clerk Army
Howard's army has a new, formidable division. Fresh
research into the 2001 election identified these rusted-on voters
who identify strongly with the Prime Minister's policy priorities
of border protection, defence and international security. They
work in unglamorous white-collar clerical and service jobs - occupying
the vast ground between working-class "battlers" and new-class
intellectuals. It has been assumed that Mr Howard built his electoral
supremacy on his appeal to blue-collar Labor voters, welding them
to the traditional Liberal support base. But the Swinburne University
sociologist Katharine Betts argues it was the "associate professionals
and advanced and intermediate clerks" who were the most potent
factor in the 2001 poll. This was because of their emotional attachment
to Mr Howard's "Fortress Australia" pitch after September 11 and
the Tampa affair. And with war looming in Iraq, they could be
decisive in the next election, too, political strategists claim.
Dr Betts, writing in the Centre of Population and Urban Research
journal People and Place, said Labor had actually clawed back
some of its blue-collar support in 2001. But this constituency
would continue to shrink, not only because of Mr Howard's "raids"
but because of declining jobs in manufacturing. Labor's bigger
problem was its inability to appeal to the burgeoning middle,
with one-third of workers in skilled or semi-professional white-collar
jobs. "This group of people has grown over the last 15 years and
they are much more likely to vote for the Coalition than for Labor,"
Dr Betts told the Herald. The reason, she writes, is that they
tend to identify most strongly with Mr Howard's policies dealing
with issues like asylum-seekers, immigration, defence and terrorism.
The findings are based on voter questionnaires as part of the
Australian Election Study, which tried to gauge factors influencing
voters in 2001. Those who clung to Labor tended to concentrate
on "older" economic and welfare issues while those who stayed
with the Coalition ranked asylum-seekers as the main priority.
"The Coalition is taking out a position on national identity which
is more in tune with the feelings of many voters," Dr Betts said.(by
Michael Millett)
From http://www.smh.com.au/ 09/26/2002
TOPˇü
More Reforms Necessary--
APRA
The Australian Prudential Regulation Authority has
called for a boost to its powers and significant reforms to general
insurance regulation in the wake of the $5.3 billion HIH collapse.
APRA was heavily criticised following HIH's demise. As a result
of that criticism, a range of reforms to insurance regulation
were introduced in July. However, APRA has said in its submission
to the HIH Royal Commission that the changes do not go far enough
and has called for further reforms in three main categories to
create a coherent regulatory structure across the finance sector.
These include: consolidating supervision across the whole of the
insurance sector; improving financial disclosure; and improving
corporate governance and risk management arrangements. APRA has
floated the idea of developing a compensation regime that would
protect general insurance policy holders in corporate collapses.
The regulator has also raised the possibility that this mechanism
could be introduced right across the finance sector to protect
bank depositors, life-insurance policy holders and superannuation
investors. This proposal was looked at by the Wallis inquiry in
the late 1990s but was rejected on the grounds that it would reduce
the incentive for financial institutions to handle their businesses
responsibly by insulating customers from collapses. Increased
globalisation in the insurance business has boosted risks that
Australian general-insurance companies will be undermined by activities
of related companies based in other jurisdictions. As a result
APRA is calling for a consolidated approach to capital requirements
for companies operating in the Australian insurance market. This
would mean that Australian rules would be used to calculate the
capital position across the whole group.The regulator says this
may disadvantage some Australian insurers operating in jurisdictions
that have less stringent regulations than Australia. But it would
also boost the strength of the Australian insurance sector as
a whole and help protect it from financial contagion spreading
from other markets. APRA also calls for improved disclosure from
insurance companies of prudential information. In its submission,
APRA says that, in comparison with banks, the disclosure from
insurance groups is "relatively scant." APRA says it is developing
proposals that would see insurers delivering information to the
market place on the composition of their capital base, their capital
management strategy, details of risk exposures and risk control
measures. Commercially sensitive information would not have to
be disclosed and the cost of such measures would be low since
companies already collect the information for their own internal
use.A number of corporate-governance and risk-management reforms
are also recommended. These include: personal declarations by
directors and executives that regulatory requirements have been
adhered to; peer review of actuarial reports; and a requirement
for actuaries to report on the financial soundness of a firm,
not just its insurance liabilities. Directors and executives acting
as whistleblowers by reporting potential problem areas in insurers
should be protected from legal action, APRA said. APRA has called
to be free to take action to enforce its decisions on the prudential
issues relating to insurance companies. At the moment such decisions,
which dictate reserve levels insurers must carry, are subject
to review and some must be agreed to by the Federal Tr | |
