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Economic Conference Opens with Call for
Closer East Asian Ties
KUALA LUMPUR, Malaysia - Warning that East Asia remains vulnerable
to another financial crisis, Asian leaders urged nations in the
region Sunday to form closer ties as a hedge against the "dark side"
of globalization and a worsening world economy. "We have to work
together as a more coherent and cohesive regional grouping," Malaysian
Deputy Prime Minister Abdullah Ahmad Badawi said in a speech on
the opening day of the annual East Asia Economic Summit, a regional
business conference organized by the World Economic Forum ( news
- web sites). Abdullah said East Asian integration could be bolstered
by setting up a secretariat to forge stronger links between the
10-member Association of Southeast Asian Nations and China, Japan
and South Korea ( news - web sites) - an informal grouping known
as ASEAN Plus Three. Other ASEAN countries have given a lukewarm
reception to Malaysia's proposal for a separate ASEAN Plus Three
secretariat, saying it could interfere with the functions of ASEAN's
secretariat in Indonesia. Abdullah, who is scheduled to succeed
Malaysian Prime Minister Mahathir Mohamad in October 2003, said
Asian countries should keep building closer ties - and must seek
to avoid a repeat of the 1997-98 economic crisis that devastated
much of the region. He said Asia had prospered through globalization
but the crisis five years ago had showed there is a dangerous side
to a world without economic borders. "Globalization also has a dark
side ... that impacts more viciously on the weaker, developing economies,"
Abdullah said. "The economies of East Asia and the rest of the world
continue to be vulnerable. It is highly likely that another financial
crisis lurks around the corner, waiting to pounce on another hapless
victim." Abdullah called for the ASEAN Plus Three nations to develop
a stronger voice in international organizations that set rules governing
the world economy. But he said any meaningful reform of global financial
institutions - which many in Asia view as culprits in the last economic
calamity - is unlikely unless the West runs into serious economic
trouble. "No action will be taken until financial disaster strikes
the nerve centers of financial globalization themselves," he said.
Thai Prime Minister Thaksin Shinawatra agreed Asian nations should
work more closely, noting that the "twin calamities" of the Asian
financial crisis and the Sept. 11 attacks were "choking the two
main growth engines of the world, the United States and Japan."
Although Asian nations are far less integrated than members of the
European Union ( news - web sites) - most of whom share a single
currency, the euro - Thaksin suggested Asia could move forward by
setting up a regional bond market. The bond market would serve "as
a financial instrument to help in maximizing our continent's potential
and prevent exploitation of our reserves by others against the interest
of ourselves," Thaksin said. Separately, Japan's financial services
and economics minister, Heizo Takenaka, said he plans by the end
of this month to announce a framework for cleaning up bad bank loans
that have plagued Asia's largest economy for more than a decade.
Japan needs to ascertain whether banks have accurately counted their
assets, whether there is enough money in the banking system and
whether bank executives are practicing adequate corporate governance,
Takenaka told a news conference. When asked whether top executives
would be replaced in some banks, Takenaka did not answer directly.
"We will consider very carefully how to motivate the managers, how
we can improve the corporate governance system in the banks," he
said, adding that officials must move quickly at a time when blue
chip stocks in Tokyo recently hit a 19-year low but public confidence
in Prime Minister Junichiro Koizumi has risen. ASEAN's members are
Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines,
Singapore, Thailand and Vietnam.
From http://story.news.yahoo.com/ 10/06/2002
Strategies Proposed for Combating Asian
Child Domestic Labor
CHIANG MAI, Thailand -- Representatives from 16 countries wrapped
up a United Nations-sponsored meeting here Friday by proposing various
strategies aimed at combating the abuse of child workers in Asian
homes. Participants attending the conference, jointly convened by
the International Labor Organization, Korea and Japan, also agreed
that the general minimum age for employment should be set at 15.
"No child younger than this should be employed in domestic work,
although it was recognized that some countries' national laws may
apply a lower age, between 12 to 14," the ILO said in a statement.
"It was also agreed that children aged 15 to 17 employed under hazardous
working conditions are considered child laborers." Among the raft
of strategies proposed by the participants during the three-day
conference, which began Wednesday, were that guidelines be established
covering the employment of child domestic workers and their right
to be paid reasonable wages be recognized. "Combating child domestic
labor would mean sensitizing parents, employers and the public to
the issue," the participants were cited as saying. They agreed that
a local 'community watch' system should be used as a mechanism to
monitor child domestic workers, and called for free compulsory education
as well as free non-formal education, vocational training, and schooling
with flexible hours, the statement said. "In addition to government
commitment, education and training should be used as a frontline
weapon in the battle against child labor," Gap Rea Ha, director
general of the Korean Ministry of Labor's International Cooperation
Department said during the conference. Recognizing that poverty
forces many children into work, participants called for provision
of income generation and micro-credit facilities for parents, as
well as job promotion programs. They also called for better enforcement
of existing laws covering child labor issues. Implementing such
proposals at the country level is the next challenge, the statement
said. The ILO estimates that 211 million children worldwide aged
between five and 14 are engaged in some form of economic activity.
About 60 percent of them live in the Asia-Pacific region, AFP reported.
Representatives from Bangladesh, Cambodia, China, Fiji, India, Indonesia,
Japan, Korea, Laos, Mongolia, Nepal, Pakistan, the Philippines,
Sri Lanka, Thailand and Vietnam are taking part in the Chiang Mai
meeting.
From http://www.tehrantimes.com/ 10/06/2002
Stabilizing Rice Price a Sticky Problem
BANGKOK - While Asia's leading rice-exporting countries have agreed
to back a Thai initiative to coordinate the world's rice trade,
one of the key elements of this unprecedented move - promoting export
price stability - promises to be a daunting task. At a meeting here
this week there was sufficient evidence of the challenge that lies
ahead in the way some ministers couched their language. They avoided
talking about the specific details that would give teeth to a mechanism
aimed at achieving such an end - price stability - through the possible
formation in the future of a Council on Rice Trade Cooperation (CRTC).
"We want price stabilization. Exchanging information will be vital
for this," Abdul Razak Dawood, Pakistan's minister of commerce,
said shortly after the one-day meeting he had with his counterparts
ended on Wednesday. "These discussions were held with the aim of
removing all the anomalies of fluctuating rice prices," said V Sreenivasa
Prasad, India's minister of state for consumer affairs, food and
public distribution. The lack of specifics was evident in the official
line, too, that emerged from the ministerial meeting with the five
countries - China, Vietnam, India, Pakistan and host Thailand. Officials
involved in the meeting said it is too early to work out the mechanisms
to stabilize global rice prices. However, the Rice Trade Cooperation
meeting got under way with a clear recognition of the seriousness
of this issue. The current rice trade situation in the world market
is a "critically important issue", Adisai Bodharamik, Thailand's
minister of commerce, said in his opening remarks. "The goal of
this meeting is to find ways and means to secure price stability
for all types of rice that are produced in all our countries," he
added. Among the hurdles this Thai-led initiative will have to surmount
is the cost of sustaining a mechanism to achieve price stability,
say experts in the field. "The costs of running such schemes might
be very high for governments and outweigh the potential benefits
producers could get," said Concepcion Calpe, a senior rice commodity
specialist at the Food and Agriculture Organization (FAO), a Rome-based
United Nations agency. Mechanisms aimed at achieving price stability
for such commodities as rice will require a "high degree of commitment
by its members and a mechanism for policing their actions", she
added. She pointed out that while attempts to achieve price stability
through agreed mechanisms may work in the short term, it may not
be sustainable over several years. "Because importers and non-participating
exporters could react to a rise in prices stemming from the scheme
by increasing their own production." Currently, India offers rice
at the lowest price on the world market, with one brand going for
US$135 per ton, as opposed to a higher-quality brand from Pakistan,
which is sold at close to $370 per ton. Thailand, meanwhile, has
a brand of rice marketed at $200 per ton while a Vietnamese rice
variety is sold at $191 per ton. The five countries that are party
to this rice cooperation agreement account for close to 70 percent
of the world's rice trade, which, according to FAO estimates, is
expected to be about 25 million tons this year. Thailand is the
world's leading rice exporter, with some 7.5 million tons of rice
billed for the overseas markets this year. According to the FAO,
India is expected to take second place this year, with an estimated
4 million tons of rice, nudging Vietnam from the No 2 slot it had
held during recent years. The regular practice of price undercutting
in the global rice trade was what triggered Thailand to push for
the rice cooperation initiative, and follows a failed attempt by
Thailand last year to create a "rice pool", in effect a rice cartel
to stabilize world rice prices. Only Vietnam supported Thailand
then. Yet the countries backing the new Thai-led initiative may
see in the current crisis faced by the world's coffee farmers the
tough road ahead in achieving their twin objectives of securing
price stability and, through it, the protection of rice farmers.
And that comes after coffee enjoyed a price-stabilizing system set
up under the international coffee agreement in the 1960s, but this
arrangement came apart after the United States pulled out in 1989.
Today, the coffee sector in developing countries is in crisis, states
the London-based International Coffee Organization (ICO). "Prices
on world markets, which averaged around 120 US cents per pound in
the 1980s, are now 50 cents, the lowest in real terms for 100 years."
Oversupply of this commodity is one of the factors forcing prices
down, consequently pushing into dire poverty coffee producers in
the developing world who are forced to sell below cost. "Rice is
a far more complex issue than coffee when it comes to a price-stabilizing
system," said Alex Renton, spokesman for the Southeast Asia division
of Oxfam, an international development agency that has just released
a study on how the coffee crisis has affected Third World producers.
The FAO's Calpe shares this view. If, for instance, price stabilization
leads to an increase in the price of rice, there is nothing to stop
consumers from shifting to an alternative grain or changing their
consumption patterns, she said. But, as Wednesday's meeting revealed,
the ministers from Asia's leading rice-exporting countries are prepared
to give the Thai initiative a chance to sprout shoots. According
to Adisai, the Thai minister, "our five countries made history by
agreeing to stick together to do something about rice prices".(
by Marwaan Macan-Markar)
From http://www.atimes.com/ 10/11/2002
World Cybercrime Experts See Need for
Laws
Top international cyber-crimebusters wrapped up a three-day conference
in the world's most wired country with a call for greater global
cooperation to fight online offences. Senior cyber-crime police
officers from 37 countries agreed at a meeting in South Korea that
worldwide investigations were needed to chase online criminals who
operate with little regard for state frontiers. "Cyber crimes are
global crimes, using global IT networks," said Des Berwick, an executive
officer of the Australasian Centre for Policing Research, on the
sidelines of the fifth Interpol conference on computer crime. Interpol
-- which promotes international police cooperation and does not
deal with crimes involving just one country -- is based in Lyon,
France, and has 179 member countries. It was the first time Interpol
had held its computer crimes conference outside its headquarters
and it was no coincidence South Korea was chosen as the venue. South
Korea has the world's highest number of high-speed broadband Internet
users, and has cyber-crime statistics to match. Interpol has had
a unit, the High Tech Crime Unit, in charge of online crimes since
2000."A large component of this conference in Interpol activity
is the encouragement and establishment of cooperative mechanisms.
So you have communication liaison," said Berwick. "They can investigate
simultaneously around the world." A lack of laws covering online
crimes has hindered international investigations into the growing
number of crimes on the Internet. About 50-60 countries have their
own laws against cyber crimes, but more than 100 countries have
no laws on computer offences, said Marc Goodman, a representative
of Interpol's U.S. operations. "Having laws on the book is the first
step," said Berwick. Rapid growth in South Korea. In South Korea,
cyber offences, including slandering and financial fraud online,
shot up 126 percent to 33,289 cases in 2001 from a year earlier,
and totalled 39,482 cases in the first eight months of this year,
according to the cyber-crime centre under the country's National
Police Agency. The number of cases jumped 43 percent in 2000, with
computer-savvy teenagers topping the list of offenders. Online games
added to the number of cyber offences, given recent cases in which
some Internet game buffs paid people real money to "kill" their
cyber enemies. "Many Korean citizens are online. The more people
you have online, the more cyber crime you are likely to have," said
Goodman. Hacking on computer systems, spreading viruses and cheating
online equity investors were among the most frequent Internet crimes
in Asia's fourth-biggest economy." We must have global cooperation...in
investigating, addressing and reducing the risk, and potential for
cyber crimes," said Berwick. Back in 1990, less than 100,000 people
were able to log on to the Internet worldwide. Now around 500 million
people are hooked up to surf the net around the globe, Goodman said.
From http://www.hindustantimes.com/ 10/16/2002
APEC Leaders Stand Against Terrorism
MEXICAN PRESIDENT Vicente Fox, flanked by top officials from the
21 members of the Asia-Pacific Economic Cooperation forum, made
the announcement in a summary of a joint declaration by the leaders.
"We commit to taking a series of concrete steps that will protect
and make more efficient the flows of trade, finance and information,"
Fox said. "We condemn in the strongest terms recent terrorist acts
in the APEC region, and reaffirm our determination to enhance cooperation
in countering and responding to terrorism." Their declaration came
after APEC foreign ministers and, later, heads of state spent days
discussing the impact of terrorist acts on their individual economies
and their efforts to open trade borders in a new age of security.
"We agreed on the importance of fighting terrorism, which poses
a profound threat to our vision," said the full declaration, released
minutes after Fox's announcement. It also called for the abolition
of agricultural subsidies that protect individual nations' farmers
from the pressures of the international market. Many nations, including
Mexico, have criticized the United States, European countries and
Japan for such protectionism. North Korea's nuclear-weapons program
and U.S. threats of war against Iraq also dominated the weekend
summit of the 21-member group, created in 1989 mainly to promote
free trade among economies of the Pacific Rim. The main declaration
mentioned neither Iraq nor North Korea in particular. However, in
a separate statement, the leaders called on North Korea to "visibly
honor its commitment to give up nuclear weapons programs." However,
it did not directly condemn North Korea for trying to build a nuclear
bomb - something the United States had lobbied heavily for. This
year's APEC summit came weeks after a devastating terrorist bombing
on the Indonesian island of Bali, and unfolded while Chechen separatists
held hundreds hostage in a Moscow theater. Like last year's meeting
in Shanghai, only weeks after the Sept. 11 attacks, participants
expressed determination to send a strong and united message on how
to stop terrorists without slowing trade. The APEC leaders - including
George W. Bush and Jiang Zemin, presidents of the world's largest
developed and developing economies - issued the declaration after
a retreat Sunday. In keeping with APEC tradition of a dress code
set by the host country, the men wore white, long-sleeved guayabera
shirts; the alliance's three female leaders wore colorfully embroidered
blouses called huipiles. Bush came hoping to win a strong condemnation
from Japan and South Korea for North Korea's nuclear-weapons program.
But after a meeting with Japanese Prime Minister Junichiro Koizumi
and South Korean President Kim Dae-jung, the leaders merely called
upon Pyongyang to "dismantle this program in a prompt and verifiable
manner." Tokyo said it would continue talks with North Korea on
establishing diplomatic relations in a Tuesday meeting in Malaysia.
Bush also failed to sway any U.N. Security Council members on his
proposal to threaten Iraq with war if it doesn't disarm. While such
political talk among industrialized nations was the loudest at APEC,
developing nations quietly spoke about claiming their share of prosperity,
saying that the increasingly globalized world is helping little
to bridge the gap between rich and poor. They said reducing poverty
will go far toward reducing terrorism. Philippine President Gloria
Macapagal Arroyo called for "a level playing field" in trade, joining
other leaders in criticizing agricultural subsidies and trade barriers
in the United States, Japan and the European Union that have hindered
exports from developing nations. Such subsidies are expected to
a major sticking point in the World Trade Organization meetings
next year.
From http://www.msnbc.com/ 10/27/2002
Governments in Asia and the
Pacific Endorse Strategy on Ageing
Bangkok --Representatives of 20 Asian and Pacific
governments have endorsed a regional strategy for dealing with emerging
social issues related to the region's rapidly ageing population.
The representatives were in Shanghai, China, attending the Asia-Pacific
Seminar on Regional Follow-up to the Second World Assembly on Ageing.
The seminar endorsed actions to support families and care-givers,
strengthen social services, and improve housing and living environments
for older persons. It was organized by the United Nations Economic
and Social Commission for Asia and the Pacific (UNESCAP) in co-ordination
with Chinese agencies. "It is a sad fact that older persons remain
among the poorest in many countries in the region," said UNESCAP
Executive Secretary Kim Hak-Su. "The lack of adequate social protection
and security has made their effort to achieve a decent living in
old age an uphill battle." Home to more than two-thirds of the world's
population, the Asian and the Pacific region also houses the largest
number of older persons - with more than 320 million people aged
60 and over. In China alone, there are 132 million people in this
age group. This is more than the combined total populations of the
United Kingdom, Canada, Australia, New Zealand, Norway, Sweden and
Denmark. Japan, which like China is also a member of UNESCAP, has
the world's second oldest population. More than 23 per cent of Japan's
inhabitants are aged 60 or over. While Japan has a developed economy,
many countries in the Asian and Pacific region have few social programmes
in place to care for rapidly ageing populations. Although the median
age in developed countries has been on the increase for several
years, this phenomenon is now affecting many Asian and Pacific societies
as well. This is due to declining birth rates and increased life
expectancies. UNESCAP has been advising regional governments how
to better prepare for their rapidly ageing societies. Their participation
in this follow-up seminar was "testimony to the importance that
their governments have attached to ageing-related issues," Mr Kim
said. In June of this year UNESCAP conducted a regional survey on
ageing related issues. It found 80 per cent of those countries surveyed
had adopted policies, legislation or had established national mechanisms
to address ageing-related issues. "Compared with the survey in 2000,
this indicates notable progress," Mr Kim said. The Shanghai Seminar
was one of the first major regional meetings to follow the Second
World Assembly on Ageing, held earlier this year in Madrid. In this
the international community set out a blueprint for action to deal
with issues relating to this demographic change. In 1999, countries
in Asia and the Pacific also adopted the Macao Plan of Action on
Ageing in Asia and the Pacific. This identified seven major areas
of concern on ageing and charted priorities for action in the region.
- UNIS/PINA Nius Online.
From http://www.pacificislands.cc/ 09/28/2002
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China: Circular Urges Local
Governments to Implement Military Logistics
BEIJING (Xinhuanet) -- The State Council and the Central Military
Commission have issued a joint circular to urge people's governments
at various levels to lend their support to military logistics reform.
Local governments should incorporate the socialization of military
logistics into their local economic and social development plans
by providing social services and adopting supportive policies, the
circular urged. The basic objective of the reform is to transform
military logistics, once the sole responsibility of the military,
into a social service provided by society. The reform represents
a major strategic decision to improve the quality of the military
through making military logistics the responsibility of both the
military and the civilian sector, the circular said. Local governments
are urged to provide facilities and services such as water and power
supplies, housing, training of ex-servicemen, medical services and
transportation to the military, according to the circular.
From http://news.xinhuanet.com/english/ 09/29/2002
China Sets Rules for Probing Foreign Trade
Barriers
China will put into effect a provisional regulation which guides
investigations into foreign trade barriers on Nov. 1, the Ministry
of Foreign Trade and Economic Cooperation said in Beijing on Oct.7.
While dealing with foreign economic and trade relations in recent
years, China has come up against all kinds of trade barriers which
have severely restricted the country's exports and investment, ministry
sources said. Having studied investigative systems in the United
States and European countries, China drew up the temporary provisions
for examining foreign trade barriers. Aiming to safeguard the interests
of Chinese industries, the regulation covers the whole process from
application and inquiry to final judgment, and gives domestic enterprises
the right to seek a probe into foreign trade and investment barriers.
From http://ce.cei.gov.cn/ 10/08/2002
New Rules to Encourage M&As
China unveiled new rules on acquisition of controlling stakes in
domestically listed companies on Oct.8, laying the legal groundwork
for the acceleration of mergers and acquisitions (M&As). Investors
will be able to buy controlling stakes in listed firms through the
markets or by agreements with the firms and their shareholders,
the market watchdog China Securities Regulatory Commission (CSRC)
said in a statement published on its website. Holdings of 30 per
cent or more are considered controlling stakes, according to the
rules that are due to take effect on December 1. "The rules are
designed to regulate the purchase of listed companies, better boost
market resources and protect investors' legal rights," the CSRC
statement said. The commission started to work on the rules as early
as 1999 in order to standardize M&As, which "most reflect the efficiency
of the stock market and are the most creative function of the market",
CSRC Chairman Zhou Xiaochuan was quoted as saying by Shanghai Securities
News. "Through mergers and restructurings, China's capital market
will play an active role in better integrating the nation into the
world economy and ensuring smoother economic transition and structural
adjustment," Zhou said. M&As on the Chinese mainland hit US$44 billion
in 2000, ranking third among Asian economies, statistics indicated
earlier. Zhou also stressed that private and foreign investors are
given equal rights in such acquisitions. "The new rules will treat
all types of investors equally so as to attract more buyers," he
said. "The purchase of listed companies by non-State-owned and foreign-funded
enterprises will further enhance the quality of the companies and
lay the foundation for a sustained and healthy development of the
securities market," Zhou said. Analysts lauded the new rules as
conducive to regulating acquisition activities, but said legislation
alone is unlikely to produce a surge in M&As. "There is unlikely
to be a surge immediately. The quantity probably won't rise rapidly,
but there will be major improvement in quality," said Kang Jing,
a senior analyst with Beijing Securities. The pace of new M&As is
still subject to real needs, the companies' ability to handle such
operations and the removal of barriers such as regional protectionism,
she said. Kang said M&As have been commonplace in China, but the
new rules are expected to help yield more productive and effective
M&As and produce more synergies among businesses. Intermediaries
in M&As, including accounting firms, law firms and appraisal companies,
which have already been rejecting non-standard deals, will presumably
get more selective with such operations, Kang said. Major new M&As
are likely to be seen in heavy-investment sectors such as petrochemicals,
auto manufacturing and power generation as well as in fully competitive
industries such as beer production, analysts say.
From http://ce.cei.gov.cn/ 10/09/2002
China Issues New Rules on Net Cafe Access
China has issued rules governing Internet cafes that bar minors
from going into the shops hugely popular for video games and Web
services that state media have said poison the minds of urban youth.
The regulations, reported by the official Xinhua news agency Friday,
came four months after a fire at a Beijing cybercafe that killed
25 people -- mostly students -- locked inside and shocked leaders.
The new rules also prevent the construction of cybercafes within
200 meters (656 ft) of elementary and middle schools, said Xinhua's
Web site. China forced thousands of internet cafes across the country
to close for inspections in a drive to clean up the unregulated
industry after the June blaze. Two juveniles were later sentenced
to life in prison for lighting the fire. In the wake of the fire,
state media printed volumes of commentary and letters from angry
parents across the country, some of whom claimed their children
became "zombies" who wasted their time and money in cybercafes and
video game parlours. At the time, authorities said some 90 percent
of internet cafes in Beijing were unlicensed. The new regulations
were formulated by the State Council, or cabinet, signed by Premier
Zhu Rongji at the end of September and are set to take effect on
November 15. China's Communist Party also tries to keep a tight
grip on Internet sites it deems unwholesome and blocks several Web
sites.
From http://asia.cnn.com/ 10/11/2002
Hu Jintao: China to Strengthen Cooperation
with UN
China would continue to support the work of the United Nations
and its secretary-general, said Chinese Vice-President Hu Jintao
at a meeting with visiting UN Secretary-General Kofi Annan in Beijing
on Tuesday. Hu said China, as a permanent member of the UN Security
Council, would always abide by and safeguard the goals and principles
of the UN Charter, and actively take part in all aspects of UN affairs.
He noted that the UN, the most representative and authoritative
inter-governmental organization in the world, played a vital role
in international affairs. Under the new circumstances of the new
century, said Hu, the UN faced arduous tasks and was shouldering
major responsibilities for safeguarding world peace, promoting common
development and establishing a just and sound new international
political and economic order. He also praised Annan's efforts to
promote world peace and development. On the UN's role in development,
Hu pointed out that to promote progress in developing countries
was conducive to the sustained and sound development of the world
economy, narrowing the south-north gap, and removing many unstable
factors worldwide. The process of boosting global development and
setting up a new world political and economic order required the
extensive participation and united cooperation of all countries
and the strengthening of the UN's leading and coordinating role,
he stressed. The UN should continue to help developing countries
in particular to properly meet the challenges of globalization,
and to promote common development and prosperity, Hu added. Annan,
who is here for a working visit as the guest of the Chinese government,
briefed Hu on progress in UN reforms and expressed his appreciation
for China's consistent support. Annan said China played an important
role in international affairs and UN organizations, as well as in
strengthening international cooperation and promoting common development.
He voiced his admiration for China's economic and social progress
and said the country's development and changes of recent years were
of historical significance for both China and the world at large.
The UN would continue to work with China during China's process
of economical and social development, and would jointly tackle new
development problems and challenges, said Annan.
From http://english.peopledaily.com.cn/ 10/16/2002
Chinese Top Legislature to Review Seven
Draft Laws
China's top legislature, the Standing Committee of the National
People's Congress (NPC), will review seven draft laws in its session
scheduled from Oct. 25 to 28. The agenda for the 30th session of
the NPC Standing Committee was approved in Beijing on Wednesday
by a meeting of the chairman and deputy-chairpersons of the NPC
Standing Committee which was presided over by NPC Standing Committee
Chairman Li Peng. The draft law on a citizens' identification card
will be discussed for the first time at the coming session. The
long-debated draft amendment to the law on protection of cultural
relics will be tabled to the lawmakers for a fourth round of deliberation,
while draft laws on environmental impact assessment, promotion of
private educational institutions, and insurance, which have seen
two rounds of deliberation, will be discussed again at the bi-monthly
session. Draft laws on agriculture and grassland protection, which
have previously been debated by lawmakers, will be discussed further
during the session. A draft law usually has to go through three
rounds of deliberation at a NPC Standing Committee session before
it is voted for approval. During the session, lawmakers are also
expected to review a report submitted by the State Council on measures
to tackle re-employment.
From http://ce.cei.gov.cn/ 10/17/2002
Official Seeks New Law to Rise to WTO
Challenge
A senior Chinese lawmaker said yesterday that administrative law-enforcement
and judicial personnel are faced with new challenges as China has
experienced a period of change in its legal system after becoming
a member of the World Trade Organization (WTO). "It is a tough and
pressing task for administrative law enforcement and judicial personnel
to correctly apply and enforce laws," said Jiang Zhenghua, vice-chairman
of the Standing Committee of the National People's Congress (NPC),
China's top legislative body. Speaking at a forum on the publication
of the law collection titled the Law Bank of the People's Republic
of China, Jiang stressed the importance of efforts to study new
changes to laws and guarantee the strict and accurate enforcement
of laws. He added that there should be integrity in law enforcement.
Jiang's words came as China is ready to observe the first anniversary
of its accession to the WTO and to see how well the commitments
have been fulfilled. Together with the Supreme People's Court and
the Ministry of Foreign Trade and Economic Co-operation, the NPC
has worked over the past year to sort out laws and regulations that
run counter to WTO principles and have them amended or abolished.
President of the Supreme People's Court Xiao Yang pledged yesterday
at the forum that the courts will strengthen their work and push
forward court reform as well as processes to ensure the professionalism
of judges. The improvement of the proficiency of judicial and court
personnel has been a hot topic as China adjusts itself to its new
role as a WTO member. Training courses on WTO-related laws for judges
have been given out across the nation. Reform measures, including
those on the recruitment and disciplining of judges, have been adopted
so as to guarantee fairness and efficiency in courts. Meanwhile,
China has also begun to produce new legislation on economy-related
laws. Amendments have been made to the Trademark Law and the Copyright
Law and a new law came out earlier this year designed to encourage
small and medium-sized enterprises. Jiang, speaking at yesterday's
forum, said that China needs to work harder on drafting and improving
major laws governing the market economy.
From http://www1.chinadaily.com.cn/ 10/19/2002
Tax Reforms Narrow Wealth Disparity
HOHHOT: Farmer Ma Zhiguo has 300 yuan (US$36) more in the bank
than last year, despite getting a similar income from his land.
The extra is enough for him to pay his children's tuition fees,
giving a feeling of relief to the farmer with 1.7 hectares of land
in a village in North China's Inner Mongolia Autonomous Region.
Thanks to China's ongoing tax-for-fees reform, levies formerly imposed
arbitrarily on farmers by village and township heads have been axed.
Most farmers like Ma now expect a more comfortable lifestyle as
agricultural tax is now the only thing to be taken off the annual
output of their farmland. However, in cities, tax payments are becoming
nerve-racking for some taxpayers because the country's resolve to
eliminate tax evasion is being increasingly felt. In a revised regulation
on the implementation of China's tax collection and management law,
effective as of Tuesday last week, new articles have been added
to punish tax evaders more harshly. Experts say this will not only
better protect the interests of taxpayers, but also maintain justice
and curb increasing disparities of wealth. Deterred by the toughened
tax enforcement, a few singers, film stars and owners of private
enterprises who formerly attempted to dodge individual income tax
by various means are beginning to pay more readily. Jin Renqing,
director of the State Administration of Taxation, said the country's
individual income tax mainly goes towards the social security fund
to help the low-paid and the vulnerable. Figures from the National
Bureau of Statistics show that the annual income of Chinese farmers
last year averaged 2,366 yuan (US$286) while that of urban dwellers
was as much as 6,860 yuan (US$829). A survey conducted last year
of 40,000 urban households revealed that 42.4 per cent of the country's
social assets were held by around 20 per cent of the population.
From http://www1.chinadaily.com.cn/ 10/23/2002
NPC Updates Insurance Law
The Standing Committee of the National People's Congress (NPC),
China's top legislative body, gave the green-light to the newly
revised version of the Insurance Law Monday, allowing more freedom
in the insurance business. The amended law, scheduled to be enacted
in January, marks one of the country's latest law revisions pursuant
to its commitments to the World Trade Organization (WTO). The law
was amended to ensure fair play and equality between foreign insurers,
State-owned companies and joint ventures. The decision to revise
the Insurance Law will better protect the legal rights of insured
and insurers, improve the supervision of the insurance market and
promote healthy development in the insurance sector, said top legislator
Li Peng Monday as the 30th session of the committee closed. One
of the most highlighted revisions is the removal of stiff investment
restrictions, long called for by domestic insurers who wanted more
leeway to invest their large quantities of idle funds. The restrictions
caused an investment bottleneck that dogged the growth of China's
insurance sector for decades. The new amendment makes it clear that
insurance funds should not be used to establish enterprises that
have nothing to do with the insurance business, but some restrictions
have been lifted with the exception of setting up stock houses.
Prior to the move, insurance companies were only allowed to flood
their funds into severely restricted channels -- which included
deposits, mutual funds and treasury bonds -- in a bid to weed out
possible financial risks. But the policy often threatened to choke
off sustainable growth, especially as more foreign rivals began
to enter the market. Li Yining and Liu Suinian, both NPC Standing
Committee members, said China's insurance industry faces two challenges:
the entry of foreign-funded insurance firms into the local market
now that China has joined the WTO, and the low interest rate on
bank deposits and State treasury bonds. "Insurance companies cannot
make money only through buying State bonds; this won't let them
make ends meet. Therefore, insurance companies should find other
ways to ensure the safety of their funds,'' they said. Wang Xujin,
director of the Insurance Department under the Beijing University
of Technologies and Commerce said: "It will be a timely policy reshuffle
to cement domestic insurers' capital bases and long-term growth
capabilities.'' Under the new legal framework, insurance players,
which were often seen as government affiliates under the planned
economy, are also given more freedom in areas such as business-line
extensions, new product designs, and premium collection and marketing
strategies. One of the rosiest signs for property insurance firms
is that the new law allows them to offer health care and casualty
insurance products, a business arena previously reserved only for
life insurers. "The new businesses will greatly diversify our premium
sources and speed up our pace to become a national company,'' said
Duan Xingwu, assistant president of Huatai Insurance, China's sixth
largest property insurer, which is now seeking life-insurance joint
ventures. Feng Xiaozeng, vice-chairman of the China Insurance Regulatory
Commission (CIRC), the sector's watchdog, said: "The revised law,
which was reshuffled to cope with China's WTO commitments, can play
an active role in streamlining the growth of China's insurance sector
in the face of new challenges.'' The best evidence in support of
Feng's remarks is the abolition of the requirement that all insurers
reinsure their policies through China Re, a requirement that went
against WTO rules. And the revised law, coupled with a number of
back-up rules and provisions, is set to build up a sound legal framework
for a fair, equal and open business climate for China's insurance
sector, said Malone Ma, chief representative of US-based Metropolitan
Life in Beijing. "It will speed up the reform of China's budding
insurance sector and enable it to reach a world level,'' Malone
said. And more important, the revisions to the law strengthen its
ability to shelter the interests of both the insured and investors,
according to Feng. By the end of last year, China harboured 52 insurance
companies, including five State-owned, 15 shareholding firms, 19
joint ventures, 13 branch companies. Over 300 intermediary companies
were also competing in the market. The market has witnessed skyrocketing
growth: The aggregate premium income in 2001 reached 210.9 billion
yuan (US$25.4 billion), 458 times more than that of 1980. Such growth
called attention to the need for revisions to the law. Debuted in
1995, the seven-year-old Insurance Law is not able to efficiently
oversee the rapid growth of China's insurance sector. Its inadequacy
was further exaggerated by China's WTO accession late last year.
For example, the old insurance law hinders the development of professional
and pluralistic insurance agents, and leads to a monopoly for the
old insurance businesses. This prevents fair competition in the
insurance industry. For all the insurers competing in the market,
the most encouraging news revealed Monday is probably that they
are allowed to map out policies and premium rates based on their
own market-oriented expertise, a special right once reserved for
the CIRC. According to the old law, insurance rates and items were
set up by the CIRC, and there were barriers to the development of
business insurance. The new amended law states that insurance rates
and items related to the public interest and new forms of business
need only be approved by the CIRC.
From http://www1.chinadaily.com.cn/ 10/29/2002
Japan: Law Would Let Prime Minister Designate
Deregulation Zones
The government plans to enact a new law authorizing the prime minister
to designate regulation-free special economic zones as part of a
fresh package to fight deflation, sources said Wednesday. The government
will submit a bill on the Special Economic Zone Law to the Diet
during the extraordinary session to be convened Oct. 18 with the
goal of implementing it by the end of March, they said. The bill
will be based on a special program to promote such special economic
zones, which calls for allowing private entities to propose such
zones through local municipalities and lease port facilities. The
program calls special economic zones "a breakthrough in structural
reform" and requires government ministries to clarify deregulation
measures that can be taken in such zones or nationwide. According
to the sources, the authority to designate or nullify such zones
would be given to the prime minister in an attempt to reduce bureaucratic
meddling. Local governments have proposed 426 special economic zones,
and the national government plans to accept additional proposals
until Jan. 15 under the program. The program calls for setting up
a system to assess the effects of special economic zones within
a year after the law is enacted.
From http://www.japantimes.co.jp/ 10/10/2002
FTAs with ASEAN Nations Urged
Japan should sign bilateral accords on economic cooperation with
as many countries in the Association of Southeast Asian Nations
as possible by the end of 2006, a government panel said Wednesday.
In a report submitted to Chief Cabinet Secretary Yasuo Fukuda, the
panel called on the government to beef up its relationships with
ASEAN members on bilateral bases. Japanese and ASEAN economic ministers
agreed last month to launch negotiations next year to bolster economic
ties through such efforts as creating a regional free-trade agreement
"as soon as possible within 10 years." But the panel said a practical
way to achieve a regional partnership would be to build up bilateral
cooperation accords with leading trade partners in the region. The
panel, formed to realize a comprehensive economic alliance between
Japan and the ASEAN members, also stressed that certain items, including
agricultural products, should not be excluded from such accords.
Japan should also strive to close the economic gaps between ASEAN
members, it added. The agricultural sector is a potential stumbling
block for the envisioned economic partnership as Japan has insisted
on keeping specific markets effectively closed. ASEAN countries
have said an economic partnership without agricultural liberalization
would not make sense for the grouping. But in Japan, ruling party
politicians representing agricultural areas, particularly rice,
are opposed to farm liberalization. The points in the panel's report
should be included in a declaration at the ASEAN Plus Three meeting,
featuring the 10 ASEAN members plus Japan, China and South Korea,
scheduled to take place in Phnom Penh on Nov. 4 and 5. The members
of the panel,which was set up in April, include Takashi Shiraishi,
a professor at the Center for Southeast Asian Studies at Kyoto University.
"We want the leaders to have a sense of speed. Unless we set a deadline,
the talks may never end," Shiraishi told a news conference. Japan
also faces competition from China, which agreed with ASEAN last
year to form a free-trade area within 10 years by offering to first
open up its agricultural market. Asked if the proposals in the report
are intended at pitting Japan against China, Shiraishi said, "I
don't take it that way. "An economic partnership between China and
ASEAN is welcome as a building block for an economic integration
in the whole of East Asia. One (by Japan) with South Korea will
also serve as a building block." In the report, the panel calls
for extending the Japan-ASEAN partnership to East Asia, also covering
China, Hong Kong, Taiwan and South Korea, in the long term. Japan
concluded its first-ever FTA with Singapore, an ASEAN member, early
this year and is considering one with South Korea. It has also begun
FTA talks with Thailand and the Philippines.
From http://www.japantimes.co.jp/ 10/17/2002
Education Law Faces A Patriotic Turn
An advisory panel looks to restore national pride and a little
respect to classrooms. The postwar education policy professed to
be based on a deliberate absence of inflated nationalism may be
about to undergo a tectonic shift. A public advisory panel plans
to table a major revision of the Fundamental Law of Education calling
for ``love of one's country'' and ``respect for tradition'' to be
included in its basic principles. If implemented, the revision would
be the first since the law was established in 1947. But critics
say it represents a drastic reversal in postwar education, which
has strived to distance itself from prewar and wartime instruction
arousing patriotism and unalloyed dedication to the cause. The Central
Council for Education will come out with recommendations early next
year following discussion in public hearings. Following that, the
Liberal Democratic Party plans to introduce a revision bill to the
next ordinary Diet session. According to a draft of its interim
report, the council, an advisory panel to the education minister,
will frame the revision from six ``viewpoints,'' such as family
roles. The draft states a review is needed because ``the current
law is lacking in educational ideas and principles important to
nurture strong-minded Japanese who can lead the new age.'' The other
viewpoints are oriented toward: * Schools trusted by the public;
* University reform to carry the nation into the knowledge-oriented
era; * Reconstruction of norms in the public sphere; * Promotion
of lifetime education; and * The compilation of a basic program
to promote education. The draft notes the importance of ``nurturing
awareness and attitudes to become actively involved in `public'
forums such as the nation and society.'' Also considered important,
according to the draft, is the possession of a ``Japanese identity.''
The basis of that identity, the draft asserts, is ``respect for
tradition and culture and love of one's country and hometown.''
It calls for ``public morality, ethics and abiding by norms'' to
be added to the principles of the law. But the review should be
based on principles of the Constitution, the draft says. Addressing
quality of instruction, it declares that the sense of mission and
responsibility of teachers should be clearly defined. It also calls
for the roles and responsibilities of families to be spelled out
for such problems as overindulgence and child abuse. A review of
the law, known as the ``constitution for education,'' gained momentum
after being recommended in a final report by the National Commission
on Educational Reform, a private advisory panel to Yoshiro Mori
when he was prime minister in 2000. Mori's hopes for a revision
are said to have influenced the panel report. Critics say discussion
over the changes is politically motivated and could lead to revisions
of the Constitution itself. Proponents, for their part, say review
of a law more than 50 years old is long overdue.
From http://www.asahi.com/ 10/18/2002
Koizumi Pressures BOJ to Further Ease
Monetary Policy
Prime Minister Junichiro Koizumi said Wednesday he expects the
Bank of Japan (BOJ) to implement monetary policy that can be "effective
in terms of both quality and quantity," pressuring the central bank
to further ease its credit grip ahead of a meeting next Wednesday
of the BOJ policy panel. Koizumi made the remarks at a plenary session
of the House of Councillors. The remarks followed similar pressure
on the Japanese central bank by a senior U.S. treasury official
Tuesday.
From http://www.japantoday.com/ 10/23/2002
LDP Don Aoki Gives Koizumi Tongue-Lashing
Over Policy
Political heavyweight Mikio Aoki, a one-time defender of Junichiro
Koizumi, blasted the prime minister Tuesday, saying his ``private-sector
experts'' have no business in deciding the nation's economic policy.
During a question and answer session at the Upper House, Aoki, secretary-general
of the ruling Liberal Democratic Party's Upper House caucus, urged
Koizumi to change the lineups of his advisory panels for economic
policy, implying that non-politicians should not run the show. ``They
have not been chosen in elections,'' Aoki said. ``It is a problem
if people who are not in a position to take responsibility provide
opinions that influence grave national policies and the people's
future,'' Aoki said. He also expressed concern that Koizumi is slighting
lawmakers in favor of his panels of experts. One target of Aoki's
criticism was the project team assigned to map out measures to accelerate
the disposal of banks' bad loans. The team was formed by Heizo Takenaka,
the financial services minister who is also one of Koizumi's non-political
appointees. ``Who will take responsibility if financial administration
is based only on conclusions reached by a project team consisting
of a small number of private-sector experts?'' Aoki asked the prime
minister. ``What is lacking most is leadership in coping with economic
issues.'' Aoki, a strongman of the LDP faction led by former Prime
Minister Ryutaro Hashimoto, seemed to be speaking on behalf of disgruntled
LDP lawmakers, political observers said. But Aoki later told reporters
he has no plans to topple the administration. ``There's no change
in my support for the Koizumi Cabinet,'' he said. Aoki has long
tried to iron out differences between the reform-minded Koizumi
and LDP members opposed to change. The Upper House member played
a key role in quashing the postal lobby's attempts to introduce
a four-year moratorium on discussing Koizumi's pet project of privatizing
postal services. An LDP source said Aoki, once a staunch member
of the party's resistance forces, ended up supporting Koizumi mainly
because ``there was no one to replace him.'' But Aoki has recently
distanced himself from the prime minister because of growing dissatisfaction
over his economic policies, party sources said. Koizumi, however,
refused to bend to the demands of his former defender. After thanking
Aoki for his ``frank views and encouragement,'' Koizumi said, ``I'd
like to proceed with appropriate measures taking into consideration
a wide range of views, including those from the ruling bloc.'' He
was more stern after the Diet session. ``I will take responsibility
for whatever happens,'' he told reporters. ``The Constitution says
half of the Cabinet ministers can be from the private sector.''
Aoki told the Upper House on Tuesday that the prime minister isn't
the only one to blame. He said ``certain private-sector people''
whose views are backed by the media are ``shaping the nation's politics
and economy.'' As an example, Aoki alluded to Naoki Inose, a writer,
reform proponent and vocal member of a private-sector panel working
on privatizing public highway corporations. Aoki summed up his questioning
time by saying, ``I'd like to see the prime minister exert strong
leadership and undertake the necessary policies, just like the saying
that goes: `Wise men are quick to adapt themselves to circumstances.''
From http://www.asahi.com/ 10/23/2002
Unified Local Election Bill Endorsed
The government and the ruling coalition on Wednesday approved a
bill to hold unified local elections April 13 next year for prefectural
governors, assembly members and Sapporo mayor, and those for city,
town and village chiefs and local authority representatives on April
27, government officials said. The government and the ruling coalition
- the Liberal Democratic Party (LDP), the New Komeito party and
the New Conservative Party - approved the submission of the bill
proposed by the Ministry of Public Management, Home Affairs, Posts
and Telecommunications to the current extraordinary Diet session.
From http://www.japantoday.com/ 10/23/2002
S. Korea: Cabinet Approves Controversial
5-Day Workweek Bill
The cabinet approved the government-drafted five-day workweek bill
yesterday, paving the way for the controversial proposal to be discussed
by the National Assembly. The cabinet meeting followed a vice ministers'
meeting last Saturday, in which they endorsed the bill that will
reduce weekly working hours from 44 to 40 by 2010. "The main issue
is, once again, small- and mid-sized businesses," said Labor Minister
Bang Yong-suk. "The cabinet agreed to provide state assistance to
help firms overcome any adverse repercussions of the bill." No amendments
or changes have been made to the bill, which was finalized by the
Ministry of Labor last Tuesday. The government, in an effort to
alleviate the financial burden on small- and mid-sized corporations,
delayed the implementation of the new working hours for firms with
100 employees or less. The bill invited protests from both umbrella
labor unions and business management. Labor unions are threatening
strikes, arguing that the bill, while reducing the working hours,
also reduced the number of national holidays and pay. Business organizations
were also in disagreement, saying that Sundays should be excluded
from paid holidays and that controlled increases in wages should
be lowered. The five-day workweek proposal has been discussed extensively
between workers and management in more than 100 meetings since 1998.
The government took over the draft of the bill in July this year
when the two parties reached an impasse. "Satisfying both labor
and management is a tough call," Bang said, and added that any necessary
changes to the bill will be only be effected after it is legislated.
He emphasized the importance of government support to help workers
use their leisure time wisely.
From http://www.koreaherald.co.kr/ 10/16/2002
Seoul Oks Bill on Special Economic Zones
The government yesterday advanced its bid to develop Korea into
the business hub of Northeast Asia by finalizing a bill on the creation
of envisioned special economic zones (SEZs). The bill, to be sent
to the National Assembly for approval early next week, calls for
eased regulations for foreign-invested companies and their employees
residing in the SEZs in order to provide them with a better business
and living environment. "We want to make foreign investors feel
like they are doing business and living in areas like Hong Kong,
Singapore and the United States," said Bahk Byong-won, director-general
of the finance ministry's economic policy bureau. Under the bill,
foreign companies in SEZs will be allowed for one year to freely
relocate their employees to other work places that need their technological
expertise, once they receive permission from the planned Special
Economic Zone Committee to be headed by the minister of finance
and economy. The bill, however, does not allow the relocation of
blue-collar workers in the manufacturing industry. Under the current
law, Korean companies can relocate workers only for 26 government-designated
workplaces for a period of up to two years. In addition, foreign
companies do not have to give all employees a paid day off every
month, but must do so for female workers. The government originally
planned unpaid monthly leave for women, but modified its plan due
to strong opposition from labor unions. The bill does not require
foreign companies to fill 3 to 8 percent of their employees with
people who made a great contribution to the country or families
of those who died for the country. Moreover, these companies can
enter any type of business, including the 45 businesses that are
designated only for small and medium sized companies. They can also
lease state and public land to build a permanent facility in the
SEZs and will not be subject to the Fair Trade Commission's regulation
on making an equity investment in other companies. In addition,
the bill permits locals to attend the primary, secondary and tertiary
schools to be established by foreign educational institutions in
the SEZs. Koreans, however, are not allowed to build such schools
for foreigners there. With permission from the Ministry of Health
and Welfare, foreigners will be also allowed to open foreigners-only
hospitals and pharmacies and employ foreign medical doctors and
pharmacists. "The cabinet approval of the bill represents a step
forward in the government's campaign to make Korea the business
center in Northeast Asia, since the bill signifies a successful
coordination of widely different views about the goal and approach
among ministries," an analyst said. "Inter-ministerial coordination
is the most important prerequisite for successful implementation
of government policy." In July of this year, the finance ministry
unveiled a detailed plan to create SEZs in five areas - Yeongjong
Island where Incheon International Airport is located, Songdo New
Town of Incheon City, the Gimpo reclaimed land site of Incheon City,
Busan Port and Gwangyang Port. To create a favorable business environment
within the SEZs, the government will offer various tax incentives,
one-stop administrative services, improved housing, education and
medical services to foreign investors. Notably, foreign manufacturing
companies investing $50 million or more to set up an operation in
the envisioned SEZs will pay no corporate and income taxes for seven
years and receive a 50 percent reduction in these taxes for another
three years. The government will also raise the ceiling for the
tax exemption on company allowances provided to foreign officials
assigned here to 40 percent of their fixed monthly salaries, up
from the current 20 percent. In each of the SEZs, the government
will set up an ombudsman office to assist foreign companies and
open a branch office of the Korean Commercial Arbitration Board
to help settle business disputes. In the SEZs, foreigners will be
able to use English for all administrative paperwork and help from
interpreters and translators at government agencies will be made
available. They will be also able to use major international currencies
such as the U.S. dollar, Japanese yen and EU euro, along with Korean
won, when paying for goods and services. Moreover, the government
will improve its system of fingerprinting foreigners residing in
Korea and encourage more English-language television and radio broadcasts.
From http://www.koreaherald.co.kr/ 10/16/2002
The South Korean Government Pledged to
Join Efforts for Eradicating Terrorist Acts
South Korean government made a pledge Tuesday that it would make
every possible efforts to help eradicate any acts of terrorism,
a pledge made following the bomb explosion in Bali, Indonesia last
Saturday. In a statement announced by a foreign ministry spokesman,
the government said it wants all the facts about the terror bombing
to be exposed to the public at the earliest possible date with due
punishment for the perpetrators. The government officials also said
they were notified of the incident from the Indonesian government
which said it was clear that the incident was masterminded by terrorists.
From http://rki.kbs.co.kr/ 10/16/2002
Korea's Reunification Irreversible, Says
DPRK Official
National reunification is irreversible as long as the June 15 North-South
Joint Declaration is strictly followed, said a senior DPRK official
at the eighth inter-Korean ministerial talks that kicked off here
Sunday. Great progress has been made in inter-Korean cooperation,
unityand reconciliation since the adoption of the June 15 North-South
Joint Declaration signed in 2000, Kim Ryong Song, chief delegate
of the Democratic People's Republic of Korea (DPRK), said in his
keynote speech released by the Korean Central News Agency. The cooperation
between Pyongyang and Seoul has been in full swing in the past two
months, Kim said, reminding the ground-breaking ceremony for the
inter-Korean railways, DPRK's participation in the 14th Asian Games
in Pusan and the National Reunification Meeting in Seoul. South
Korean chief delegate, Unification Minister Jeong Se-hyonsaid the
past two months have witnessed many great things in national history.
The atmosphere of Sunday's meeting is " heavy and serious," said
South Korea's spokesman for the talks Rhee Bong-jo, cited by South
Korean national news agency Yonhap News. During the first session
at Pyongyang's People's Culture Palace,the South Korean delegation
raised the issue of nuclear weapons inthe DPRK and expressed Seoul's
stand on this issue, said Rhee. The South Korean delegation arrived
in Pyongyang on Saturday, and it will stay there until Tuesday.
Further talks will focus on issues of inter-Korean economic cooperation,
railway links on the east coast of the Korean Peninsula and arrangement
of reunions of separated families, according to informed sources
in Pyongyang. The eighth inter-Korean meeting was fixed at the seventh
ministerial talks on Aug. 12-14 in Seoul, which reached a ten-point
agreement including Pyongyang's participation in the 14th Asian
Games and inter-Korean railway links.
From http://news.xinhuanet.com/ 10/20/2002
Sunshine Policy Accused of Soft-Pedaling
on Tipoff About NK's Nuke Program
President Kim Dae-jung's ``Sunshine Policy'' of engaging North
Korea came under renewed attack yesterday after military officials
admitted to having obtained intelligence three years ago that the
communist country was trying to acquire uranium-enrichment equipment
abroad. The acknowledgement spurred conservatives to criticize President
Kim's North Korea policy for turning a blind eye to measures against
what amounts to the North's self-serving maneuvers in violation
of international nuclear agreements. ``It is appalling that the
government has kept the public in the dark about the intelligence
it delivered to the United States three years ago,'' said Rep. Suh
Chung-won, chairman of the Grand National Party (GNP), which is
bent on discrediting President Kim's brainchild policy ahead of
December presidential elections. Defense Minister Lee Jun told lawmakers
in a closed-door session Friday that in early 1999, the two countries
turned their attention to the North's attempt to develop nuclear
weapons by enriching uranium, besides its plutonium-based nuclear
program. The disclosed testimony, which was leaked to the media
over the weekend, marked a sharp contrast to the government's official
stance that it was not aware of the North's nuclear program until
August. In a meeting with senior party officials, the GNP leader
went a step further, raising suspicions that a $400 million state
loan, allegedly funneled to the North in 2000 by Hyundai Merchant
Marine, might have been diverted to the nuclear program. The U.S.
intelligence discovery of North Korea's clandestine nuclear program
stemmed from the military's tip-off in early 1999 on Pyongyang's
attempted acquisition of uranium-enrichment equipment abroad, according
to the Defense Ministry. ``Since that time, South Korea and the
U.S. have been closely cooperating in intelligence sharing,'' said
Brig. Gen. Hwang Eui-don, spokesman for the ministry. ``Only in
August this year, the U.S. provided us with concrete evidence.''
But he refused to give details about the evidence. During a three-day
visit to Seoul in late August, John Bolton, U.S. Undersecretary
of State for arms control, presented senior Korean officials with
evidence to suggest that the North operates a uranium-enrichment
nuclear program, Hwang added. Although the ministry refused to reveal
how it obtained the intelligence, sources said that it was backed
up by a ranking North Korean defector's testimony in April 1999.
Kim Dok-hong, a close associate of Hwang Jang-yop, the highest North
Korean official ever to defect to the South, made the startling
revelation in an interview with a Japanese weekly magazine. Influenced
by President Kim's effort to reconcile with the North, the military
is believed to have been avoiding provoking North Korea, including
indefinitely postponing the publication of its defense policy paper,
which names North Korea as the South's ``principal enemy.'' (by
Sohn Suk-joo)
From http://www.hankooki.com/ 10/21/2002
Gov't Strengthens Anti-terrorist Measures
The government announced a set of tighter security measures against
terror yesterday, including installing bullet-proof cockpit doors
on all local airliners. The measures, announced after a ministerial
anti-terrorism meeting presided over by Prime Minister Kim Suk-soo,
specify that the nation's airlines, Korean Air and Asiana Airlines,
will have bulletproof cockpit doors installed by April next year
as a precaution against hijacking. In addition, all public health
centers across the country will be given protective clothing and
equipment to deal with bio-terror threats by the end of next year.
The government will strengthen police patrols in Itaewon, Tongduchon
and other districts frequented by foreigners, while maritime police
will increase surveillance of international ferries and key seaside
industrial facilities, such as oil storage tanks and liquefied natural
gas bases. Further, four more X-ray inspection devices will be installed
at Pusan and Inchon ports to examine containers. An anti-terror
drill will be included in next month's regular civil defense exercise,
and security for 252 diplomatic missions and U.S. facilities will
also be beefed up.
From http://www.hankooki.com/ 10/23/2002
Law Facilitating Industrial Zones to Be
Introduced
The government plans to introduce a law aimed at facilitating the
formation of industrial clusters as part of steps to induce both
domestic and foreign companies to gather around innovation centers,
such as universities and research institutes. In a breakfast meeting
in Seoul, Commerce-Industry-Energy Minister Shin Kook-hwan stressed
that Korea had abandoned the outmoded strategy of expanding quantitative
foreign direct investment (FDI). In his speech at the Korea Chamber
of Commerce and Industry (KCCI), Shin said, ``The Korean government
will no longer emphasize the quantitative aspect of securing foreign
capital. Instead, the government will promote new FDI policies that
highlight qualitative merits of investments.'' He said Korea is
to become a more attractive investment destination as plans are
under way to ease requirements for foreign investment zones in order
to attract more research and development and logistics centers.
Korea will strengthen assistance programs to help foreign companies
more conveniently secure factory sites here. Shin said the government
would soon designate a total of 500,000 square meters of land as
rental factory sites exclusively for foreign-invested companies
in industrial complexes in Chinsa, Ochang, and Kumi. ``The government
will also expand free trade zones and establish special economic
zones to sharpen the competitiveness of the investment environment,
to make Korea more attractive than Hong Kong, Singapore and Shanghai,''
he added. ``Furthermore, we will endeavor to improve the living
and leisure environment for foreigners so that we can attract top
quality manpower at the same time,'' Shin said. He added that the
country would expand basic facilities, such as foreign schools,
hospitals and pharmacies, residential housing and sporting centers
for expatriates and their spouses. Shin said the role of the Investment
Ombudsman System would be strengthened. This is designed to resolve
both business and daily life grievances of foreign companies and
their families, in a drive to root out invisible and unintended
discrimination they may face. (by Kim Sung-jin)
From http://www.hankooki.com/ 10/23/2002
Bank of Japan Eases Monetary
Policy
The Bank of Japan on Wednesday unanimously decided
to further ease its monetary policy for the first time in eight
months, in a bid to complement the government's "anti-deflation"
package, set to be released in a few hours' time. The BoJ said it
would increase its purchases of long-term Japanese government bonds
to Ł¤1,200bn, from Ł¤1,000bn and increase the current account deposits
target to between Ł¤15,000-Ł¤20,000bn, from a current range of Ł¤10,000-Ł¤15,000bn.
Though some economists have argued that the BoJ's "quantitative
easing" policy will do little to stem the country's persistent deflationary
trend, others argued that it had taken bold and decisive steps over
the past few months - steps that previously would have been implausible.
"We're reaching a tipping point in monetary policy," said Marshall
Gittler, senior currency strategist at Deutsche Bank in Tokyo. "A
series of moves that so far have had little effect suddenly have
a big effect. A year ago, increasing the current account target
by a third would have been unthinkable." Two months ago, the BoJ
shocked the markets by saying it would buy shares directly from
banks, in a direct effort to reduce their massive shareholdings.
The bank has grown increasingly pessimistic over the state of the
Japanese economy, warning that the pace of recovery is likely to
be sluggish amid a slowdown in exports, coupled with an increasingly
uncertain US economic recovery. "Recent stock price movements and
uncertainty over the disposal of non-performing loans have pushed
up rates on term instruments in the money market," said the BoJ.
"Lending attitudes by financial institutions are expected to become
stricter." The BoJ's latest decision to ease monetary policy a notch
comes amid mounting evidence that Japan's fragile economic recovery
may have hit its peak. Industrial production fell for the first
time in three months in September by 0.3 per cent, month-on-month,
led by a decline in exports of 2.3 per cent. Companies are still
laying off employees as persistent deflation continues to eat away
at revenue, exacerbated by weak domestic demand. September unemployment
reached 5.4 per cent - holding steady for a fifth consecutive month.
Data released last week showed the country was almost certain to
enter into its fourth straight year of falling prices - a phenomenon
not seen in any postwar industrialised country. (by Mariko Sanchanta)
From http://news.ft.com/ 10/30/2002
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Timor-Leste Admitted as 191st UN Member
State
The Democratic Republic of Timor-Leste was admitted this morning
as the 191st member state of the United Nations. At the flag-raising
ceremony that took place at noon, Secretary-General Kofi Annan welcomed
the newest Member State. He said, "This milestone embodies the realization
of its people's hope to take their place among the community of
independent nations." He also paid tribute to the people and leaders
of Timor-Leste, saying, "None of us can forget the sacrifices made
by the people or the courage of its leadership. Even before this
day, Timor-Leste showed that greatness among nations is not a matter
of size or resources, but rather one of global citizenship and adherence
to the highest principles of our Charter." In his speech to the
General Assembly, the President of Timor-Leste, Xanana Gusm?o, expressed
gratitude for the commitment of the international community. He
said that his country is often mentioned as a "UN success story"
and added that the commitment of the United Nations and its bodies
was unquestioned." At the core of this success, were, above all,
our people," he added. "Our people proved to the world to be worthy
of the respect that we all owe and know," he said.
From http://www.un.org/ 09/27/2002
Indonesia: Government, House Agree to
Revoke the 1997 Manpower Law
JAKARTA (JP): The government and the House of Representatives enacted
on Friday a bill on the revocation of Law No 25/1997 on manpower.
The manpower law had originally been planned to be proclaimed on
Oct. 1. Nine of 11 House factions agreed to the revocation of the
manpower law, which they saw as a hindrance to the endorsement of
two bills that would give legal protection and justice to both employers
and employees. One of the two bills deals with the settlement of
industrial relations disputes, while the other concerns the protection
of workers. The legislators, in a plenary session led by Deputy
House Speaker Muhaimin Iskandar, said the 1997 Manpower Law had
failed to create a conducive climate in the labor sector. The law
had come under fire mostly from workers. Manpower and transmigration
minister Jacob Nuwa Wea, who also attended the plenary session,
said the government had agreed to revoke the Manpower Law. "To meet
the wish of the House, the government agrees to the revocation of
Law No 25/1997 on manpower," he said as quoted by Antara.
From http://www.thejakartapost.com/ 09/27/2002
Constitutional Commission a Big Sham
The public was told on Monday not to expect substantial
changes to the amended 1945 Constitution as the People's Consultative
Assembly (MPR) will likely not establish a constitutional commission
as demanded by reformists across the country. Constitutional advocates
accused lawmakers of trying to foil the establishment of an independent
constitutional commission despite the fact that it has been clearly
stated in MPR Decree No. 1/2002. Noted constitutional law expert
Satya Arinanto from the University of Indonesia said he doubted
the will of the MPR to carry out reform, as senior lawmakers had
publicly expressed their rejection to an independent commission.
"What they want to form is not a constitutional commission as stipulated
in the MPR decree. They will name it something else like a state
committee," he said during a seminar here. The MPR Decree No. 1/MPR/2002
authorizes the Assembly's working body to prepare the establishment
of an independent constitutional commission within a period of six
months to one year to "study comprehensively about changes already
made to the 1945 Constitution." The working body must report the
results of its work about the establishment of the commission to
the MPR Annual Session next year. Jacob Tobing, a former chairman
of the disbanded MPR ad hoc committee on constitutional amendments,
confirmed on Monday that he and many other senior politicians from
major parties had proposed that the body would not be called a constitutional
commission. "We will call it a committee tasked merely with synchronizing
and improving the amended constitution," he told The Jakarta Post
separately. "The term of a constitutional commission mentioned in
the decree is made generic. That's why we don't need to name it
as such, because the term is associated with its role and function,
namely creating a new constitution, which we don't want," he added.
Satya said the changing of its name could seriously affect the commission's
role, function and independence in amending or changing the Constitution.
"Don't even bother hoping that the commission will be independent
or not. If there is a commission set up at all, it would be a miracle,"
he told the Post after the seminar organized by the Indonesian Institute
of Sciences (LIPI) and Germany's Hanns Seidel Foundation in Jakarta.
Satya said that after the MPR decree was issued, lawmakers should
have stopped questioning the need to establish a constitutional
commission, and instead just execute the plan immediately as the
legal basis for the move was "extremely strong". Political analyst
Arbi Sanit, along with chairman of the National Consortium for Legal
Reforms (KRHN) Firmansyah Arifin, who were speaking at the same
session, said whatever name it finally had, it must comprise non-partisan
figures and experts from different backgrounds to ensure its independence.
"No legislators and party executives should be included on the commission,
otherwise there will be a conflict of interest with their party's
interests," Arbi said. However, another constitutional law expert
Jimly Asshiddiqie said it would be "unrealistic" to preclude MPR
members. "If no lawmakers are included as members of the commission,
the MPR will likely reject it," he said. (by Muhammad Nafik)
From http://www.thejakartapost.com/ 10/08/2002
Disabled Demand House Revise the Election
Bill
Activists are calling on the House of Representatives to revise
several articles in the election bill to protect the right of 20
million disabled people to vote and be elected as representatives.
Vice chairman of the 2004 Election Committee for the Disabled Heppy
Sebayang said the articles that needed to be reviewed included those
on legislator candidacy, voting guidelines and access to voting
for all. "We propose universal points to be included in the bill.
It will be a great achievement for the country if the House accepts
our idea," Heppy, also a legal expert at the Indonesian Legal Aid
Institute (PBHI), said at the sidelines of a workshop on political
access for the disabled. Heppy, himself disabled, went on to say
if it was too difficult for the House to revise all articles affecting
the disabled, the House must ensure it revises one: that requiring
legislative candidates to be physically and mentally healthy and
able to communicate in spoken and written Bahasa Indonesia. "The
article is a barrier to the disabled to be nominated as candidates
for the legislature," he said. "We demand a clear, written explanation
of the article that the disabled doesn't mean physically unhealthy,
and communication in the Indonesian language should include the
ability to read braille." Heppy argued that as long as a disabled
person had a healthy heart and the ability to think and communicate
well, he or she should be eligible as a candidate for the legislature.
Speaking at the workshop, House Deputy Speaker Soetardjo Soerjogoeritno
of the Indonesian Democratic Party of Struggle (PDI Perjuangan)
welcomed the proposal, saying that the special committee deliberating
the election bill would follow it up. "The rights of the disabled
must be protected. They must be able to vote and be voted for without
difficulty, as would be the case for able-bodied people," he said.
The House has been deliberating the election bill in the past few
months and is expected to endorse it by the end of this year. If
the House revised the articles affecting the disabled, Indonesia
would become one of a few countries in the world that recognize
the rights of the disabled to participate in the political process,
said Center for Electoral Reform (CETRO) director Hadar N. Gumay.
"They (the disabled) should continue to persuade the House to meet
their demands," he said. Other articles that need revision include
the one that stipulates only election officials may assist the disabled
when exercising their voting rights. The article ought to be revised
to ensure that the disabled had the right to choose their own guide.
The election committee for the disabled also demanded that the bill
clearly stipulate penalties, such as a five-year sentence for guides
who misused their power. The committee also demanded that the bill
guarantee easier access for disabled people to vote on voting day
by, for instance, providing ballot papers with braille characters
and specific signs for the poorly sighted. Members of the committee
included a number of organizations of disabled such as the Indonesian
Blind People's Association (Pertuni), the Movement for the Welfare
of Indonesian Deaf People (Gerkatin), the Indonesian Disabled Association
(PPCI) and the Indonesian Disabled Women's Association (HWTCI).
(by Moch. N. Kurniawan)
From http://www.thejakartapost.com/ 10/08/2002
Law Commission Aims to Empower Law Institutions
The government-sanctioned Commission for National Law (KHN) unveiled
on Monday a plan to empower the country's judiciary and law enforcement
institutions as part of a thorough law reform program. KHN chairman
J.E. Sahetapy said a plan of action was being deliberated and would
be submitted to President Megawati Soekarnoputri by the end of the
year, with the hope that it could be implemented as government policy.
Sahetapy said the action included controversial ideas to audit all
judges and replace those found to be corrupt with fresh, uncontaminated
recruits. "This is an emergency situation. We hope that within the
next two years we can see an improved judiciary," he told a media
briefing held on the sidelines of a meeting forum between KHN and
non-governmental organizations (NGOs). "Clean the judiciary first,
then the remaining problems will automatically be settled," Sahetapy
said. The Indonesian judiciary has been attacked for corruption
involving judges, prosecutors and lawyers, a condition which has
scared away both foreign and local investors. During the forum,
KHN shared its vision with the NGOs on the mapping of aspects related
to law reform which have been neglected in the four years since
the regime of former president Soeharto and a legal system influenced
by his cronies collapsed. KHN, established under a presidential
decree in 2000, was tasked with advising the president on policies
concerning the law and legal system, and also to monitor law reform
in a bid to build people's trust in the justice system. Aiming at
mapping the steps for law reform, KHN held a survey last year on
all programs concerning law reform carried out by the government
and NGOs and compared its results with the programs stated in the
Law No. 25/2000 on the National Development Program 2000-2004. In
his presentation, KHN member M. Fajrul Falaakh said that law reform
had yet to attract the proper attention from the public, where the
state still dominated the programs which mostly focused on only
the examination or discussion and the drafting of law and regulations.
"The state institutions, including the government and the House
of Representatives, had implemented 559 programs or 59 percent of
the 944 programs on their list. But the NGOs, only 30 percent of
406 of their programs. But both only set less than one percent of
the programs which focus on empowering the law enforcement institutions,"
he said. (by Tertiani ZB Simanjuntak)
From http://www.thejakartapost.com/ 10/08/2002
Govt to Review 150 Conflicting Regulations
The government will review some 150 regulations on imports and
exports issued by various ministries, because many are reported
to be in conflict with each other and are confusing customs officials.
A government official has said the conflicting regulations have
hampered the flow of goods in and out of the country and have hurt
many businessmen. Erman Rajagukguk, the head of the special team
established by the government to solve customs problems, said the
team would review and give recommendations to the related ministries
to revise the conflicting regulations. "There are some 150 regulations
which need to be registered. Many of them should be revised because
they are in conflict with each other," Erman told Antara, while
accompanying Coordinating Minister for the Economy Dorodjatun Kuntjoro-Jakti
to inspect loading and unloading activities at Tanjung Priok port.
He did not provide any further details, but a source at the Directorate
General of Customs and Excise told The Jakarta Post that the regulations
in question included those issued by the Ministry of Industry and
Trade and the Ministry of Agriculture on the import of chicken drumsticks.
The Ministry of Industry and Trade allows the importation of chicken
drumsticks, saying that banning its import would conflict with World
Trade Organization rulings. However, the Ministry of Agriculture
has issued a decree to ban its importation, arguing that drumstick
imports would hurt local poultry farmers. The source said the conflicting
regulations had caused significant losses for hundreds of local
importers as they were forced to return imported chicken drumsticks
soon after they arrived at Tanjung Priok. There are also conflicting
regulations on the importation of secondhand clothing. The Ministry
of Industry and Trade bans the import of used clothing, but many
regional governments, relying on the power given to them by the
Autonomy Law, have issued decrees to allow its importation. The
massive import of secondhand clothes has sparked an outcry from
the local textile industry, which considers used clothes a threat
to their business. There are also conflicting regulations on the
export of logs. Last year, the Ministry of Industry and Trade, along
with the Ministry of Forestry, issued a decree to ban the export
of logs, but again, many regional administrations, referring to
the Autonomy Law, have issued their own regulations to allow the
export of this commodity. The government issued Presidential Decree
No. 54/2002 early this year to set up a special team to solve the
various customs problems in response to public complaints about
rampant smuggling and alleged fraud by customs officials. The "presidential
decree 54 team" includes top officials from the Ministry of Finance,
the Ministry of Industry and Trade, the Ministry of Forestry, the
State Ministry of Communications and Information, the National Police
and the Armed Forces.
From http://www.thejakartapost.com/ 10/10/2002
NGOs Offers Comprehensive Poverty Alleviation
Plan
The Anti Impoverishment Movement on Indonesia (Gapri) is offering
improvement to the government-sponsored Interim of Poverty Reduction
Strategy Paper (PRSP), which underscores wealth distribution that
covers agrarian development, pro-people tax reform and budgeting,
and access to health and education in a bid to empower the poor.
In its alternative poverty and impoverishment draft, Gapri said
that a progressive tax should be imposed on the families with yearly
earnings above Rp 100 million while 40 percent of public funds should
be allocated for development budgets and social safety programs.
The draft also emphasizes reorientation of economic management that
will boost a "pro-people economy" and guarantee a fair competition,
proper revenue sharing between central and regional governments
and public fund management that is free from corruption, collusion
or nepotism. It suggests fundamental reforms of the roles played
by donors and transnational companies (TNCs) and multinational companies
(MNCs). Donor countries, it says, should refrain from offering conditional
aid because it will only maintain Indonesia's dependency on foreign
debts while TNCs and MNCs should respect and protect the poor's
rights in running their small-scale businesses. "Donors like CGI
should also reform its agenda by discussing not only about how Indonesia
pays its debts but also how the country handles the impacts of the
debts vis-ˇ-vis human development and lingering poverty," said Binny
Buchori, executive secretary of the International NGO Forum on Indonesian
Development (Infid), a member of Gapri. Gapri groups nine NGOs.
The Gapri draft urges the need for strategies to facilitate the
restructuring of political relations between people and the government
in its decision-making process. "The government policies therefore
oblige the country and market to support efforts to redistribute
economic assets, the transfer of technology, ensure qualified and
extensive health and education services for the poor, and involve
mass organizations and labor federations in the poverty eradication,"
Binny said.
From http://www.thejakartapost.com/ 10/19/2002
Terrorism Regulations Go Public
The Ministry of Justice and Human Rights will distribute 10,000
copies of the two government regulations in lieu of laws on terrorism
to other ministries and non-governmental groups across the country
to help provide greater information to the public. The ministry's
secretary-general Hasanuddin told reporters on Thursday that the
government had already printed half the set number of copies. "With
the promotion of the regulations, we hope the general public will
better understand what they're all about," he said as quoted by
Antara. The regulations were issued last week as a stopgap measure
in the absence of an antiterrorism law so as to anticipate further
terrorist attacks following the Oct. 12 blasts in Bali. An antiterrorism
bill will soon be introduced to the House of Representatives for
deliberation.
From http://www.thejakartapost.com/ 10/25/2002
Laos: Ministry Disseminates Rules for
Industrial, Medical Waste Disposal
Representatives from factories and hospitals nationwide discussed
methods to treat and dispose of industrial waste at a workshop held
here yesterday. The event was organised by the Ministry of Public
Health and attended by representatives from factories, WHO, hospitals
and environment and sanitation organisations. The workshop highlighted
the new techniques for the disposal and treatment of waste from
hospitals and factories. Also discussed were suitable sanitation
regulations in order to prevent the spread of disease and the destruction
of the environment.
From http://www.kplnet.net/ 10/15/2002
Philippines: FCP Wants Changes on Procurement
Rule
Foreign Chambers of the Philippines (FCP) has asked the government
to amend Implementing Rules and Regulations (IRR) of Executive Order
40, which outlines government procurement procedures, because it
discriminates foreign firms and could possibly be challenged before
the World Trade Organization (WTO). In a letter to Budget Secretary
Emilia Boncodin and National Economic and Development Authority
Director-General Dante B. Canlas, the chamber said the eligibility
requirements set out in the EO's implementing rules and regulations
actively prohibit the involvement of multinational firms in the
marketplace in the Philippines. The FCP is particularly alarmed
over Sections 16 and 17 which require all potential bidders for
government contracts to be either citizens of the Philippines or
in the case of corporations must at least be 60 percent Filipino-owned.
For bidding on civil works, the IRR requires that company ownership
should be 75 percent Filipino. FCP is asking for a reconsideration
and amendment to the IRR to allow properly registered foreign-owned
firms to offer their expertise and capability in a way that is both
competitive and advantageous to the Philippine government. The seven-member
foreign chamber further noted that multinational companies, which
are also their members, have many positive contributions to the
country. Among others, they comply large number of locals, pay taxes
regularly and straightforwardly even as they invest in plants and
facilities. FCP said it is surprising that the government would
return to a restrictive and discriminatory policy that was widely
criticized in the past. "At a time when the government is actively
recruiting investors, particularly in sectors that are focused on
technology applications, it is surprising that the government would
return to a discriminatory policy that was widely criticized as
far back as the administration of former President Ramos," the letter
said. It is especially unexpected in view of decisions in countries
like China who encourage foreign owned companies to be very actively
involved in the local market place. Such restriction on access to
government contracts will in the future be contrary to WTO agreements
signed by the Philippines and will likely lead to WTO challenges
from other countries. The foreign chambers have further urged the
Procurement Policy Board to amend the IRR as the body is empowered
under Section 47 of the EO 40 to do so. (by Bernie Cahiles-magkilat)
From http://www.mb.com.ph/ 10/04/2002
Compliance with Laws Vowed by Power
Firms
The country's top coalfired power companies have vowed to comply
with all existing environmental laws amidst the controversy that
their plants produce toxic emissions that pose enormous hazards
to human health and the environment. In a manifesto of compliance
and commitment addressed to President Gloria Macapagal Arroyo, the
Coal-Fired Thermal Power Plants (CFTPP) group made the commitment
that they are complying and will continue to comply with all applicable
environmental rules, regulations, and policies. Environment and
Natural Resources Secretary Heherson T. Alvarez and Energy Secretary
Vicente S. Perez Jr. received, on behalf of President Arroyo, the
manifesto presented in rites held at the Sulo Hotel in Quezon City
last Wednesday. The manifesto was signed by Mirant Philippines Corp.
President and CEO Edgardo Bautista, Napocor OIC-President and CEO
Roland Quilala, Quezon Power Co. General Manager Burt Lucarelli,
and Salcon Power Corp. President Dennis Villareal. The CFTPP executives
were accompanied by the plant managers of coal-power plants in Calaca,
Masinloc, Naga, Pagbilao, Mauban, Sual, and Toledo. Alvarez said
he welcomes the initiative from the coal power plants as "an assurance
that they work in hand with the government in ensuring a healthy
environment for our people." "Cleaning up the environment is a formidable
task and the environment department cannot do this alone. We need
the concerted efforts of all sectors to address the problems of
pollution," Alvarez added. The coal power plant officials said they
are in compliance with the Philippine Environmental Impact Statement
System, the Philippine Clean Air Act, DENR Effluent Regulations,
Toxic and Hazardous Waste Act of 1990, the Ecological Solid Waste
Management Act, and other permit requirements. "We remain committed
to being good stewards of the environment and to the development
of our host communities. We are declaring our commitment to Her
Excellency, not only to maintain our compliance with the country's
environmental standards, but also to continuously improve our environmental
performance towards sustainable development," they added. Alvarez,
who was one of the principal authors of the Clean Air Act, had earlier
revoked the environmental compliance certificate for the proposed
50-megawatt Pulupandan coal-fired power plant in Negros Occidental,
a decision hailed by residents and environmental advocates. The
environment chief said while he recognizes the perceived dangers
of coal power plants, he cannot outright revoke the permits of all
power plants because the country's power supply depends on them.
However, Alvarez said they would seek a gradual shift in the country's
source of energy. In fact, the Arroyo government has begun the program
for clean energy sources with the 3,600-megawatt Malampaya Deep
Water Gas Power Project, he said. (by Edmer F. Panesa)
From http://www.mb.com.ph/ 10/10/2002
House of Representatives OKs Absentee
Voting Bill Comelec Prepares for 2004 Elections
The House of Representatives last night approved on second reading
the Absentee Voting Bill - approved earlier by the Senate - that
would allow some seven million overseas Filipinos to exercise the
right to vote as provided for by the Constitution.House Speaker
Jose de Venecia, one of the principal authors of the measure, said
he expects the bill to be enacted into law by Congress within the
month as he revealed that President Gloria Macapagal Arroyo has
vowed to sign it into law within 24 hours after it is submitted
for her approval. "I filed this bill when I was speaker of the 10th
Congress. Now, we have delivered what our Overseas Filipino Workers
(OFWs) who have been contributing at least $8 billion annually to
the economy have been asking," De Venecia said. Under House Bill
3570, qualified Filipinos overseas may participate in the election
of president and vice president through direct voting in poll centers
to be set up in embassies and consular offices of the Philippines
in countries where there are concentration of voters. Absentee voters
will also be allowed to cast their votes during plebiscites and
referendums on national issues. The Senate version that was approved
last week provides for the casting of votes not only for president
and vice president, but also for senators and party-list representatives.
The Senate version also includes a provision allowing voting by
mail, which is not in the House version. The Commission of Elections
(Comelec) was practically given the blanket authority to ensure
the orderly and honest conduct of polls abroad. The registration
of absentee voters can be made in diplomatic and consular offices
not later than 280 days before the date of the election. Authors
of the measure expressed confidence that the House version of the
bill has enough provision to safeguard the election process against
fraud. Amendments seeking to include party-list voting and voting
for all other elective posts were rejected by the body. Rep. Ruben
Torres (Lakas, Zambales) said that the right of suffrage is "indivisible"
and thus should include voting for all elective posts. His proposal
was turned down. Bohol Rep. Eladio Jala, one of the principal authors,
said the bill answers all doubts raised by concerned House members
with regards to the patching up loopholes of the measure. "We have
decided not to include the election of senators in the absentee
balloting measure because this would make the conduct of the election
extremely difficult. Nevertheless, I am very much satisfied with
the outcome of the bill," he said. House Senior Deputy Minority
Leader Constantino Jaraula Jr. congratulated his colleagues for
responding to the urgent call for the passage of the absentee voting
bill. "I am happy with the final passage of the bill which went
through a long process. This fulfills the constitutional mandate
to make available the right to vote to our OFW who are constrained
to leave their families due to economic needs," Jaraula said. According
to Jaraula, the approved House version has more "protective features"
that would safeguard the sanctity of the ballot. On the other hand,
Reps. Fredenil Castro (LP, Capiz), and Isidro Real (Lakas, Zamboanga
del Sur) also hailed the approval HB 3570. "The passage of the bill
has long been overdue. Finally, we have recognized the right of
our OFWs, the modern Filipino heroes, to participant in deciding
who will run the affairs of the country," Castro said. He said the
Comelec has been given the "gargantuan task" to implement the law
and determine its loopholes. "With right preparation and strict
implementation of the law, we are sure fraud and other incorrigible
election activities that would thwart the will of the people, will
be curbed, if not totally prevented," Castro, one of the supporters
of the measure, stressed. On the other hand, Real stressed that
overseas Filipino should also be given the right to participate
in all other election activities such as voting for constitutional
amendments through "people's initiative." "The absentee voting bill
deserves the support of all Filipinos. But it would appear half-baked
if our compatriots abroad are denied the right to vote in vital
issues needing their opinion such as amending the Constitution through
people's initiative," he explained. Real moved to include his proposal
as an amendment but lost in the voting. 2004 electionsThe Commission
on Elections (Comelec) geared up yesterday the exercise by 7.2 million
Filipino migrant workers of the right to vote in the May 10, 2004,
elections. The Comelec, headed by Chairman Benjamin S. Abalos Sr.,
said that based on the figures released by the Department of Labor
and Employment (DoLE), there are now 7.2 million overseas Filipino
workers (OFWs) and all of them are presumed to be registered voters,
hence capable of exercising their rights of suffrage. Comelec officials
said that before a migrant worker is issued a passport by the Department
of Foreign Affairs (DFA) he is required to submit a certification
from the Comelec that he is a registered voter. "It goes without
saying, therefore, that most, if not all, of the 7.2 Filipino migrant
workers are registered voters of the Philippines," they said. The
Comelec lauded the Senate as well as the House of Representatives
for their efforts to place as many safeguards as possible to counter
any effort to use the more than 7.2 million overseas votes for electoral
frauds. Poll officials said that for as long as the safeguards are
do-able, the Comelec will definitely implement them to protect the
integrity of absentee voting. Sen. Edgardo Angara, chairman of the
Senate committee on electoral reforms, said the safeguards incorporated
in the absentee voting bill are more than adequate. Angara said
a total of 11 provisions in the bill are focused on ensuring the
security of the balloots and other election paraphernalia. Four
provisions cover safeguards in actual voting while nine cover the
counting and canvass of votes. (by Ben R. Rosario)
From http://www.mb.com.ph/ 10/16/2002
Bill Boosting RP Finance Trade Okd
The Lower House has unanimously passed on final reading a bill
that would exempt secondary trading of financial instruments from
the payment of documentary stamp tax (DST), a move that is expected
to boost the secondary finance market and raise more revenues for
the government.Speaker Jose de Venecia, one of the principal authors
of House Bill No. 2266, said the measure won bipartisan support
as opposition lawmakers expressed the belief that it will eventually
increase government revenues from the secondary financial instrument
trading. De Venecia said the companion measure of the Special Purpose
Asset Vehicles Act of 2002 will correct distortions created when
the DST is imposed on secondary trading of financial instruments.
Authors of the measure said this would eventually increase tax revenues
as more capital markets instruments are created and transactions
flourish. "This is aimed at creating 'a strong secondary market'
in the Philippines whose development has been dampened by distortions
created when DST is imposed on secondary trading of financial instruments,"
he said. Abra Rep. Luis Bersamin Jr., one of the principal authors
of the measure, said studies have indicated that the imposition
of DST on secondary trading of financial instruments have discouraged
investment transactions, thus resulting more loses in unrealized
income for the government as compared to the revenues generated
from the DST. He pointed out that if the instrument is transferred
or re-sold nine or 10 times, DST is paid as many times. "Such imposition
creates a cascading effect that distorts the pricing of securities
and makes financial intermediation too costly, thus, prohibiting
secondary trading," Bersamin explained. Rep. Joey Salceda, chairman
of the House oversight committee and a principal author of HB 2266,
said that DST is one of the most stable sources of government revenues
amounting to P14.3 billion in 1996 and P16.5 billion in 1998. "This
represents more than five percent of the total tax collection of
the Bureau of Internal Revenue on a given year," Salceda added.
The DST is a tax on documents, instruments and papers as a proof
of acceptance, assignment, sale or transfer of an obligation rights
or property. Under the bill, the exemption would be granted when
there is no change in the maturity date or remaining period of coverage
from that of the original instruments. In addition, the bill provides
that no DST will be collected on asset-backed securities and any
other derivatives or secondary traded instruments where underlying
asset or primary financial instrument was already subjected to DST
or primary issuance. Authors of the bill admitted that an estimated
net loss of P3.2 billion would initially be incurred by government.
However, they expressed confidence that the loss would be recoup
in the long run by the release of long-term capital needed by businesses
into the financial system at substantial multiples. "The bill would
not only enhance the country's savings but also boost the creation
of a bond market leading to growth of investment companies and promote
the issuance of new instruments," said Bersamin. De Venecia congratulated
the House committee on ways and means and the oversight panel for
their successful defense of the measure which became the seventh
flagship bill already approved by Congress. He specifically cited
Representatives Julio Ledesma IV (Lakas, Negros Occidental) and
Herminio Teves (Lakas, Negros Oriental), ways and means committee
chairman and vice chairman, respectively, for their "hard work and
perseverance" in pushing for the approval of the measure. Aside
from De Venecia, the other authors of the measure include Reps.
Hussein Amin (LDP, Sulu); Alipio Badelles (Lakas, Lanao del Norte);
Edgar Chatto (Lakas, Bohol); Gerry Espina (NPC, Biliran); Charity
Leviste (Lakas, Mindoro Oriental); Reylina Nicolas (Lakas, Bulacan);
Joseph Santiago, (NPC, Catanduanes); Leovigildo Banaag (Lakas, Agusan
del Norte); Corazon Malanyaon (Lakas, Davao Oriental) and Felix
Alfelor Jr. (Lakas, Camarines del Sur).( by Ben Rosario)
From http://www.mb.com.ph/ 10/20/2002
Passage of Anti-Terrorism Bill Pushed
in the Philippines
The Philippine National Security Council (NSC) on Wednesday pushed
for the immediate passage of an anti-terrorism bill, noting that
the Philippines is the only country in the region with weak measures
to combat terrorism. In a press briefing after the NSC meeting in
the Presidential Palace in Manila, National Security Adviser Roilo
Golez said the body also reiterated its call for the convening of
international anti-terrorism conference to help pool effort to combat
the global scourge. "The NSC members expressed concern that if we
are the only one without an anti-terrorism law, a very strong law
to combat terrorism, and our neighbors have their hard position
on terrorism,we would become relatively soft compared to their hard
position on terrorism and it might aggravate our situation," Golez
said. "And therefore, the NSC endorsed the fast-tracking of the
anti-terrorism bill which is now pending in both the Senate and
the House," he added. The NSC is chaired by President Gloria Macapagal-Arroyo,
its members being Executive Secretary Alberto Romulo, Roilo Golez,
Defense Secretary Angelo Reyes, Foreign Secretary Blas Ople and
other concerned Cabinet officials and selected lawmakers from boththe
Senate and House of Representatives. Malaysia and Singapore have
an Internal Security Act, accordingto Golez, while Indonesian President
Megawati Sukarnoputri last week issued two decrees on anti-terrorism
which have been fully supported by her parliament. "We are the only
soft state remaining when it comes from the anti-terrorism environment
that we have here," he said. He noted terrorists might prefer to
seek refuge or stage their operations from the Philippines if they
find internal security measures of other countries dangerous for
them. Golez also said other countries have expressed keen interest
in the holding of an international anti-terrorism conference. He
disclosed that Arroyo would propose during the 10th informalmeeting
of the leaders of the Asia-Pacific Economic Cooperation inMexico
that countries in the Southeast Asia, Central Asia and Russia fuse
their efforts in combating terrorism and promoting economic development.
From http://news.xinhuanet.com/ 10/23/2002
Barangay Business Bill Ratified by Senate
All Saints' Day Recess Starts Today
The Senate ratified yesterday a bicameral conference committee
report on the "Barangay Business Enterprises" (Babes) bill designed
to create economic stimuli in the countryside as it would generate
muchneeded employment and alleviate poverty. The Senate starts a
two-week All Saints' Day recess today. Senate Majority Leader Loren
Leviste, principal author of the barangay microbusiness enterprises
bill, said her measure promotes these small enterprises and seeks
their integration into the mainstream economy through the grant
of tax and other incentives. Sen. Ralph Recto, chairman of the Senate
ways and means committee who shepherded the approval of the measure
on the floor, said the senators became fathers of thousands of "Babes"
that will engage in the production, processing, or manufacturing
of agricultural products, trading, and services, whose total assets
do not exceed P3 million each. The House of Representatives ratified
the bicameral conference committee report Wednesday night. An enrolled
bill will be sent to Malaca?ang after Nov. 1. In the computation
of the total assets of Babes, land used by the enterprises is not
included but "assets arising from loans are deemed part of the total
assets," Recto explained. Principal come ons for the creation of
the Babes are its exemption from income tax and the minimum wage
law, Recto said. None of the social security, health care and housing
benefits required unde the law to be given to employees are waived
under the Babes law, Recto pointed out. To further cut the cost
of operating these small business enterprises in the rural areas,
Recto said the measure that Congress has just passed "strongly exhorts"
local government units (LGUs) to reduce or exempt Babes from local
taxes, fees and charges. Recto said that to ensure that thousands
of barangay micro-business enterprises would bloom, a multi-million-peso
credit delivery mechanism to assist the "conception and gestation"
of Babes would be put in place. Instructed to set up "special credit
windows" for small-scale entrepreneurs who would like to father
Babes, Recto said, are the Land Bank of the Philippines, Development
Bank of the Philippines, Small Business Guarantee and Finance Corporation
and the People's Credit and Finance Corporation. The Government
Service Insurance System (GSIS) and the Social Security System (SSS)
were also asked to extend credit line to their members who would
like to establish their Babes. Recto said loans granted to these
small business enterprises shall be accepted as alternative compliance
of the Agri-Agra law (PD 717) and the Magna Carta for Small and
Medium Enterprises (RA 6977). These loans shall be computed at twice
the amount of the face value of the loans. The legislator from Batangas
said interests, commissions and discounts derived from the loans
by the banks and government financial institutions shall be exempt
from gross receipts tax. 3 bills The Senate approved three Malaca?ang-certified
bills in two days before it goes on a two-week All Saints Day recess
starting today, Senate Majority Leader Loren Legarda Leviste said
yesterday. Legarda said the Senate also ratified a bicameral conference
committee report on Senate and House of Representatives bills that
seek the creation of the Barangay Micro Business Enterprises that
would stimulate economic growth in the countryside. The three measures
are Senate Bill 2104, the Absentee Voting Bill; Senate Bill 2116,
the Special Asset Management Company (SAMC) which was earlier described
as "special purpose asset vehicle" (SPAV); and Senate Bill 2130,
the Dual Citizenship bill. The Upper Chamber, likewise, adopted
a resolution congratulating the National Press Club on its golden
anniversary. Before Senate President Franklin M. Drilon banged his
gavel at 1:25 p.m. yesterday to end the Senate plenary session,
opposition Sen. Edgardo J. Angara delivered a sponsorship speech
seeking the support of his colleagues in passing the Senate version
of the House-approved Government Procurement Act that seeks to eliminate,
if not minimize, corruption in government supply or infrastructure
contracts. Administration Sen. Joker Arroyo also delivered a sponsorship
speech seeking the grant by the Senate of a renewal or extension
of the consolidated franchise of the Manila Electric Company (Meralco).
Because time ran out, the two measure will be subjected to floor
debate when Congress resumes regular session on Nov. 12. Corruption
A Senate committee yesterday endorsed for swift plenary approval
a comprehensive anti-corruption legislation - the biggest move by
the legislature against corruption in recent history - which sets
new rules on government procurement and contracting of infrastructure
projects worth close to P100 billion a year. "Today, the stench
of corruption is the only constant in our public life," said Sen.
Edgardo J. Angara in his endorsement speech of Committee Report
No. 67 which was earlier unanimously approved on committee-level
to convey the strong commitment of the senators to fight widespread
official corruption. Angara is the chairman of the Senate committee
on constitutional amendments, revision of codes and laws, and electoral
reforms, which wrote the new rules to change the present rules which,
he said, "have become a spawning ground for official corruption."
The endorsement of the landmark anti-corruption legislation comes
amid a report which said that the Philippines is now the 11th most
corrupt country in the world and a World Bank report which said
that $48 billion has been lost by the government over the past 20
years due to corruption. Angara said the Senate committee was able
to establish that the government has been losing P22 billion yearly
due to flaws and manipulation of the government procurement and
bids and awards rules. Angara said that the highlights of the anti-corruption
measure are: -- Simplified bidding and modes of awards other than
open and transparent bidding shall be scrapped. Open and transparent
bidding shall apply in procurement of supplies, in the hiring of
consultants and in the award of infrastructure projects. -- The
lengthy and fraud-prone practice of holding pre-qualifying contractors
through a committee known as pre-qualification, bidding and awards
committee (PBAC) shall also be scrapped. In its place, all government
agencies shall use eligibility checks to broaden the pool of bidders
and get a competitive price for government. - The practice of using
paid ads in newspapers to announce scheduled government bids shall
be replaced by broadening the media to be used. Under the committee
report, all bids big or small shall be posted in the website of
the government agency handling the bidding and award work and in
the Government Electronic Procurement System (G-ESP) website. -
The present practice of prescribing a floor price for government
contracts shall be eliminated in favor of an approved ceiling price
for all projects up for public bid. Under the proposed rules, all
bids that are above the ceiling price are automatically rejected.
- A five-year warranty will be imposed for civil works done by contractors
to make sure that no sub-standard projects are made - A cap will
be imposed on price adjustments and change orders - the culprit
for major infrastructure scams in recent history "The proposed reforms
are aimed at promoting transparency and promoting competition. They
seek to end the crippling delays in procurement - the same delays
that open the windows for graft. Too much discretion in the bidding
process will be limited to rein in would-be crooks," said Angara
in his endorsement speech. Angara said that a very grim reminder
of corruption is a road very near the Senate offices. "Not far from
our offices is the black asphalt of an overpriced road, which text
messages now refer to as the President Dioskupo Napakamahal Avenue.
Half a billion pesos was lost in this road construction scam, the
level of corruption of which has no parallel in the history of the
country's road construction," he said. Angara just returned from
an Ottawa conference sponsored by a global organization of parliamentarians
that are now fighting corruption. He was elected a member of the
board of the Global Organization of Parliaments Against Corruption
(GOPAC), which was launched in the conference. (by Mario B. Casayuran)
From http://www.mb.com.ph/ 10/24/2002
Singapore Offers Premium Environment
for Investors
Touting the Republic's superior infrastructure and stability, DPM
Lee Hsien Loong said here yesterday that Singapore must bring in
companies that can take full advantage of its 'premium environment'.
'In Singapore, conditions are stable and predictable, rules are
transparent, intellectual property is protected, workers are hardworking,
everything works and will continue to be so,' he said in a keynote
speech at an investment seminar organised by leading stock broker
Nomura Securities. 'We need to attract companies that will benefit
from the premium environment that we offer,' he told several hundred
Japanese businessmen. 'An investor building a S$2-million shoe factory
may opt for the cheapest location, but an investor building a wafer
fabrication plant costing S$2 billion and with an operational life
of 10 to 20 years will seriously consider Singapore. 'Which is why
we now have 15 wafer fabrication plants in Singapore.' He assured
his audience that Singapore was focused on upgrading its manufacturing
sector. That continues to be a key growth engine, accounting for
more than half of Singapore's exports and contributing significantly
to employment and growth, he added. 'It is not obvious that an economy
at Singapore's present level of development will be able to retain
its manufacturing industry. 'But after examining the matter carefully,
we are convinced that we can stay competitive against lower-cost
locations like China and remain a manufacturing hub,' he said. To
stay competitive, Singapore can cooperate with its neighbours to
achieve a better division of labour, as it is doing now with Batam
and Bintan. 'We need to improve our infrastructure and provide shared
facilities which will help our manufacturers derive economies of
scale, as we have done with our petrochemical complex on Jurong
Island,' he said. He pointed out that manufacturing was one of seven
areas making up the comprehensive programme that was being mapped
out by the Economic Review Committee (ERC) set up last year. The
other areas are macroeconomic competitiveness, entrepreneurship,
human capital, services, domestic enterprises and coping with restructuring.
The ERC, he said, was set up to enable Singapore to 'holistically
and fundamentally review' its economic policies and strategies.
He said Singapore had no choice but to restructure its economy.
'Globalisation, technology, the rise of China and the advent of
political Islam are changing the complexion of the region, and we
need to move quickly,' he said. On Japan's role in Asean and Singapore,
Mr Lee said Japanese investments into South-east Asia following
the 1985 Plaza Accord helped transform the whole region. Japan remains
South-east Asia's second largest foreign investor. He said Singapore
hopes the Japanese economy will recover and resume its role as an
engine of growth for the whole region. At a reception last night
to meet Singaporeans living in Japan, Mr Lee underlined the importance
of government leaders keeping in touch with Singaporeans abroad.
'I hope out of this and many other contacts like this, we will be
able to strengthen our ties and, as the weather clears which eventually
it will, we will be able to have a stronger Singapore and a stronger
community,' he said. Some key issues DPM discussed The challenge
of China China exports goods previously made in South-east Asia
and competes for foreign investments. But its rapid transformation
opens up opportunities. Not only will China import more as it prospers,
the rest of Asia can also benefit from the spending power of its
new middle class. South-East Asia as a hedge There are good reasons
for investors to continue paying attention to South-east Asia. MNCs
need to hedge their investments. South-east Asia - with a market
half the size of China's - offers a competitive alternative. Singapore's
growth rate If the Republic achieves its intended policy changes,
it could achieve 4-6 per cent growth on the supply side. But the
demand side depends on the external environment in South-east Asia
and elsewhere, especially Japan and the United States.
From http://straitstimes.asia1.com.sg/ 10/18/200
Singapore Uses Canadian Model for Fair
Trading Bill
Officials from Singapore's Ministry of Trade and Industry looked
at consumer protection laws in several countries before deciding
to model the Fair Trading Bill on Saskatchewan's legislation. A
spokesperson for the ministry said that "The Canadian model was
regarded as most desirable. It puts a greater onus on the trader
to disclose information. It fits our objective of empowering consumers
and to improve their ability to make sound purchasing decisions."
From Straits Times 10/21/2002
Singapore to Reform Company Law
SINGAPORE - Singapore announced Tuesday that it will change its
company law in a bid to lower the costs of business for both locals
and foreigners and enhance the city-state's competitiveness. Deputy
Prime Minister and Finance Minister Lee Hsien Loong said the government
has accepted all 77 proposals from a committee set up to review
the Singapore's company law and securities regulations.
From http://www.japantoday.com/ 10/23/2002
Ministry `Making Mockery of NCCC'
The Transport Ministry is breaking the country's anti-corruption
laws by refusing to punish officials responsible for the collapse
of a 1.3-billion-baht procurement of dredgers from the United States,
a law lecturer said yesterday. Articles 92 and 93 of the National
Counter Corruption Commission (NCCC) law required disciplinary action
to be taken within 30 days of agencies being informed of malfeasance
by their officials, Worajet Pakeerat, of Thammasat University, said.
Transport permanent secretary Srisook Chandrangsu had failed to
punish nine senior officials involved in the scandal, despite being
instructed to do so by the NCCC on Sept 4.``This issue threatens
to render anti-corruption laws meaningless,'' Mr Worajet said. ``If
that is the case, the laws should be amended accordingly.''
From http://search.bangkokpost.co.th/ 10/24/2002
Thailand: Demand for Repeal of Sell-out
Laws
Opponents of economic liberalisation policy are planning a mass
protest tomorrow to press for the repeal of 11 economic-reform laws
they say have enslaved the country. Amarin Khoman, coordinator of
the 40 organisations opposing the economic rehabilitation laws,
said the country had become a slave to foreign business conglomerates
which dominated internal trade, especially retail businesses. Yesterday
was Chulalongkorn Day, celebrated in gratitude to King Rama V who
freed household slaves, he said. But the 11 laws enacted in 1999
during the Chuan Leekpai administration had brought the return of
economic shackles. Passage of the laws was dictated by the International
Monetary Fund in exchange for the bailout package needed to salvage
the country from the 1997 economic crisis. Mr Amarin said the laws
forced open the door to free trade when the country was ill-prepared
for it. Profitable state enterprises, the country's treasure troves,
had to be privatised and listed in the stock market, spelling insidious
demise for the economy. The economy was heading in the same direction
as Argentina, which was on the brink of insolvency because it followed
IMF instructions. In addition to state enterprise privatisation
and free trade, the IMF-prescribed measures invited foreign dominance
of the retail business sector, which formed the crucial bloodline
of the economy. The ruling Thai Rak Thai party had made a campaign
promise to review the laws ``but two years on nothing has been done'',
Mr Amarin said. The network of opponents includes the state enterprise
labour unions, retailer groups and civic organisations. They are
threating a joint rally tomorrow at the Royal Plaza to demand the
repeal of the 11 laws. (by Supawadee Susanpoolthong)
From http://search.bangkokpost.co.th/ 10/24/2002
Draft Laws Expected to Anchor Vietnamese
Fisheries Sector
The Ministry of Fisheries (MoF) has held a number of workshops
recently in the lead-up to drafting new legislation for the country's
fisheries sector. Viet Nam News talked through some of the issues
with director of the ministry's Legislation Department, Dr. Dinh
Xuan Thao. The Government ordinance issued in 1989 covering fisheries
offers limited protection for our marine resources. Given the Party
and Government are keen on developing fisheries as a key economic
performer, we need proper legislation covering the sector and the
MoF had sought it even in 1997. Along with the protection of marine
ecosystems, the draft law also covers aquaculture, fisheries, ports,
markets, food safety and export activities. The legislation, drawn
up by legal experts from the ministry, has now been approved by
the Government and will be submitted to the National Assembly next
year. The ordinance focused solely on the protection of our marine
resources. The new law will develop the fisheries sector. Following
the draft law, the entire fisheries sector will be responsible for
protecting our marine resources. The amount of fish they take will
be controlled by the ministry. The limited nature of our natural
marine resources makes it vital that we develop the aquaculture
industry. This includes the establishment of aquaculture sites with
adequate water supply and proper waste water treatment to help protect
the environment. In addition, the new law strictly prohibits certain
other harmful practices like the use of noxious matter in preserving
and processing fish, fishing rare and endangered species and those
below a certain size, and those in the prohibited list. We will
further develop aquaculture along coastal areas rather than inland.
Both domestic and foreign companies will be welcome to invest in
maritime aquaculture. The investment in a project will depend on
the sea area the investor leases. Provincial-level authorities will
be in charge of such lease. Farmers who have been allocated such
areas will have the right to transfer use to others. The law will
help balance protection of aquatic resources and economic benefit
to ensure sustainable development for the fisheries sector. The
Government will grant fishing licences to organisations, households
and individuals registering their operations. Such licences will
also be granted to fishing vessels. The State will encourage and
assist locals to fish in international waters, or in waters of other
nations, on the basis of co-operation agreements and international
treaties to which Viet Nam is a signatory. We now have no legislation
governing Vietnamese vessels fishing offshore though foreign ships
began such activities in Vietnamese waters following a 1998 Government
decree. Of course, permission to fish in our waters will be based
on bilateral agreements or economic contracts. The draft law also
incorporates international covenants from the FAO, UN and regional
bodies. It also broaches several other aspects that will have a
direct or indirect bearing on the industry. For instance, fishing
ports. We have only 10 national-level ports, while Japan has 5,000.
It stipulates the building of more wholesale markets like the Can
Gio Aqua-product Exchange Centre in HCM City to prevent price fluctuations.
The aquaculture industry has been growing fast for three years now.
The southernmost province of Ca Mau has hundreds of hectares of
shrimp farms, An Giang Province is well-known for basa and tra catfish.
And tilapia is now widely bred across the country. The volume of
seafood caught from the wild is at the moment higher than produce
from farms, though exports from farms are higher. The country exploits
about 1.6 - 1.8 million tonnes of aquatic product per year, half
of which is exported. In order to enforce the new law, a fisheries
inspection force will be set up, which will be responsible for monitoring,
investigating and preventing violations.
From http://vietnamnews.vnagency.com.vn/ 10/04/2002
Government Launches Plan to Conserve
Ha Long Bay
The prime minister has approved a plan to preserve and develop
Ha Long Bay's cultural heritage through 2020, requiring future investment
programmes and projects to wear the three hats of protecting, restoring
and exploiting the bay effectively. Ha Long Bay was recognised as
a world heritage site by UNESCO in December 1994. Ha Long city covers
1,500 sq. km, and the bay contains more than 2,000 limestone islands.
From now to 2005, priority will be given to projects preserving
the islands and caves at the world heritage site, Ba Ham Lake, Trai
Grotto and other tourist sites. The next five years will see investment
to develop areas adjacent to the world heritage site. In the 2010-2020
period, tourist sites will be improved. According to the prime minister's
decision, investment projects in the bay must follow Viet Nam's
Cultural Heritage Law and the International Convention on Heritage
Protection. This will be combined with programmes in other sectors
in the area to ensure sustainable development. The Ha Long Bay Management
Board was recently awarded the Labour Order, Third Class, by the
State for its conservation achievements. The bay's karst sea peaks,
wildlife and history have attracted tourists for centuries, though
in the past few years the polluted eco-system has drawn just as
much attention from critics. Diggers have found thousands of pre-historic
tools, weapons and coins from the stone and iron ages in the caves
scattered around the bay. Archaeologist Bui Vinh said they suspect
that during the iron age 3,000 years ago prehistoric Vietnamese
lived in the area, which has provided a significant amount of information
about the evolution of the ancient Vietnamese. "This is an unique
archaeological site and there are still much we need to explore.
It is crucial to protect the site for comprehensive scientific studies,"
he said.
From http://vietnamnews.vnagency.com.vn/ 10/26/2002
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Bangladesh: Liberal Import Policy Drafted
The commerce ministry yesterday finalised the draft of a new import
policy with a liberal outlook. But the policy also makes provisions
to check fake and low quality imports. As per the proposed policy,
industries will be allowed to import machinery worth US$ 25,000
instead of present $5,000 without opening the letter of credit in
case of emergency. Besides, companies may be allowed to import goods
worth $5,000 instead of present $2,000 for their own consumption
and it would not require any government approval. "Present $5,000
limit for emergency machinery import and $2,000 limit for goods
import for industries' own consumption were allowed in the five-year
import policy for the 1997-2002 period. But these changes have become
necessary now as cost of goods went up tremendously," said a commerce
ministry official. The BSTI will be strengthened and given authority
so that it can stop low quality goods at import level. Presently,
BSTI has authority for locally produced goods but it cannot check
the quality of goods at the import level. In order to check fake
imports, identities of the importers including name, address and
tax identification should be written prominently. But it would not
be compulsory for bulk and raw material imports for export-oriented
industries and also for public sector and development projects,
the draft import policy recommended. It has also suggested restriction
be imposed on import of computer, which is below the standard of
Pentium II. The proposed policy has been prepared giving priority
to follow the WTO agreement, give protections to the local industries,
expand export sector and also protect interest of the consumers.
A meeting with Commerce Minister Amir Khosru Mahmud Chowdhury in
the chair approved the draft yesterday. The meeting was attended
by State Minister for Commerce Barkatullah Bulu, Commerce Secretary
Suhel Ahmed Chowdhury, representatives from Bangladesh Standard
Testing Institution (BSTI) and other government agencies held at
the commerce ministry conference room at Bangladesh Secretary. The
proposed policy will be placed at the cabinet committee on economic
affairs shortly and after getting approval from it, the policy will
be finalised at the cabinet meeting. The Federation of Bangladesh
Chambers of Commerce and Industry (FBCCI) and other chamber bodies
apart, government departments, divisions and other agencies place
208 recommendations. After scrutinizing, the commerce ministry considered
100 suggestions. The five-year import policy for the 1997-2002 period
ended in June this year. As a fresh import policy is yet to be announced,
the government earlier issued a statutory regulatory order (SRO)
so that there is no policy vacuum and under which present import
activities are being made.
From http://www.dailystarnews.com/ 10/07/2002
Bhutan: Constitution Drafting Committee
Meets in Bumthang
The Constitution Drafting Committee of the Kingdom of Bhutan meets
for the fifth time in Bumthang from 9th October, 2002.The members
are deliberating on the 3rd draft. The meeting is expected to continue
for about two weeks. According to Lyonpo Sonam Tobgye, Chairman
of the drafting committee, the members will finalize the draft Constitution
for submission of the First Draft to the Royal Government.
From http://www.kuenselonline.com/ 10/11/2002
India: Constitutional Amendment Necessary
Pondicherry: BJP President Venkaiah Naidu said on Thursday a new
Constitutional amendment was necessary to devote effective administrative
and financial powers to the panchayat institutions. Addressing reporters
here, he said although 10 years had gone by by after the 73rd and
74th amendments to the Constitution the needed achievements had
not been made. There should be meaningful devolution of financial
powers, he said adding that previous amendments (73rd and 74th)
had earmarked as many as 29 subjects to the local bodies but had
not provided necessary administrative and financial powers. He appealed
to the Centre to make use of the conference of the project directors
of the District Rural Development Agencies scheduled to be held
in Delhi tomorrow to bring a new constitutional amendment for effective
empowerment of the Panchayat Raj institutions in the country. Naidu
said the opposition parties also should extend their cooperation
for such amendments. He said that the right climate was now prevailing
and none would oppose such devolution of powers. The NDA was committed
to disinvesment and there was no question of going back on it nor
was there any question of rethinking on it, he said adding that
the Prime Minister had made his stand clear on the matter. He called
upon the ministers in the cabinet to have the discussions on the
matter of disinvestment in the cabinet without airing their views
in public. Such airing of views in the open would only send wrong
signals, he said. On sharing of Cauvery river waters, he said the
BJP was committed to the point that all rivers should be linked
in the country. It was no doubt a massive programme and he was pursuing
the matter with the Prime Minister, he said
From http://www.expressindia.com/ 10/03/2002
NPA Ordinance- Centre Gives Copy of Rules
in HC
New Delhi: The Union government on Thursday presented before the
Delhi High Court the rules for the securitisation ordinance which
clarify certain technical difficulties pertaining to the Ordinance.
At a hearing of the Mardia Chemicals case when senior counsel Vijay
Hansaria appearing for Mardia submitted the deficiencies in the
ordinance, additional solicitor general Kirit Rawal pointed out
that the rules had already been promulgated and he supplied copies
of the same to the division bench comprising acting chief justice
Devinder Gupta and justice AK Sikri. In the light of the fact that
the rules have been presented, the bench said that some of the arguments
might not survive. The hearing will resume on October 7. Mr Hansaria
submitted that under the Securitisation and Reconstruction of Financial
Assets and Enforcement of Security Interest Ordinance 2002, banks
and financial institutions could take over the assets and management
of any company which defaulted in payments for more than six months,
by giving a notice of 60 days. The aggrieved company has no remedy
against a notice served. It is only after 75 per cent of the amount
claimed has been deposited that the company can file an appeal before
the debt recovery tribunal. Moreover, there are no guidelines on
the basis of which a company is chosen and notice served. Reiterating
this in its rejoinder, Mardia Chemicals mentioned Arvind Mills,
Essar Steel, Ispat Profile and Jindal Vijaynagar Steel, whose loan
accounts have been restructured amounting to more than Rs 15,000
crore, wherein large amount of money towards interest, penal interest
and principal have been waived resulting in huge financial sacrifices.
(by Vidisha Barua)
From http://www.financialexpress.com/ 10/03/2002
Long-Term Fertiliser Policy Finalized
NEW DELHI: The group of ministers asked by the Union cabinet to
formulate a proposal for a new urea-fertiliser pricing policy has
completed the task. The group, chaired by K C Pant, deputy chairman
of the Planning Commission, included ariculture minister Ajit Singh,
petroleum minister Ram Naik and fertiliser minister Sukhdev Singh
Dhindsa. The recommendations will now go to the cabinet. The annual
government subsidy to this sector is close to Rs 140 billion; it
is also a politically sensitive issue. In September 2000, the official
Expenditure Reforms Commission (ERC) had suggested dismantling the
system of controls put all over the sector and enabling it to become
competitive with imports. This was to be done over five years. The
ministers were entrusted with the task of finding a politically
acceptable way forward after studying the ERC suggestion. Since
1977, in what is called the retention pricing scheme (RPS), the
government buys fertiliser from each manufacturing unit at a price
equal to the average production cost, plus a post-tax return of
12 per cent on net worth. It then sells to the farmer at subsidised
prices quite unrelated to the production costs. This gives the industry
no incentive at all to become competitive. The Pant panel has decided
to group the urea units into six groups, based on their technology
and inputs, and to base the subsidy on the grouping. A complex formula
has been decided to measure the subsidy, to take effect from April
1, 2003.
From http://timesofindia.indiatimes.com/ 10/09/2002
SC Reserves Verdict on Validity of Electoral
Reforms Ordinance
The Supreme Court on Wednesday reserved its verdict on three petitions
challenging the constitutional validity of the Ordinance on electoral
reforms on the ground that it did not honour the Court's earlier
order on this issue as well as curtailing the right to information
of a voter. A three-judge Bench comprising Justice MB Shah, Justice
PV Reddi and Justice DM Dharmadhikari concluded hearing on the petition
after hearing counsel for the peititioner and Additional Solicitor
General Kirit Raval, who appeared for the Union Government. Petitioner's
counsel Rajinder Sachar contended that the Supreme Court had rightly
asked the Election Commission to frame guidelines regarding candidates
disclosing their criminal antecedents, assets and liabilities and
educational qualifications. However, the Ordinance only provided
that the elected candidates would declare their assets and liabilities
to the presiding officers of the houses to which they were elected
and did not make it mandatory for the candidates to declare their
educational qualification. Defending the Ordinance, Raval said as
Right to Information was not an absolute one, it was for Parliament
to decide the extent of information which was necessary to be given
by the candidates while filling the nomination papers. The Additional
Solicitor General said there was no desire on the part of the Government
to overreach the judgement of the Court but to fill the vacuum as
noticed by the Court. He said as it involved interpretation of interplay
of constitutional obligation and rights, the matter should be referred
to a constitutional Bench.
From http://www.hindustantimes.com/ 10/23/2002
Sri Lanka: New Communications Legislation
Mooted
The government will introduce new legislation to create a competition
centered transparent and simple legal and regulatory framework for
telecommunications, cable and broadcasting. "The legislation will
be ready for debate in Parliament by early 2003," Minister of Mass
Communications, Imthiaz Bakeer Markar said. Telecommunications in
Sri Lanka has been governed by a law written in the late 1980s and
adopted in 1991 in the corporatisation of the Department of Telecommunications,
which was an all encompassing monopoly. The Amendment in 1996 did
not change powers and duties set in 1991. The 1996 Amendment strengthened
the regulatory authority by replacing the single regulator with
a multi-person commission and allowing greater financial resources
to the regulatory body. There have been tremendous changes in telecom
regulation and policy in the past decades, normally reflected in
legislative changes every five years. Markar said the Sri Lankan
legislation has not had the benefit of these periodic improvements.
The current legislation requires approval of all tariffs, subject
to some minor exclusions. This has caused the regulatory process
showing down service innovations in workably competitive industries
such as mobile telephony and Internet services. International regulatory
practice suggests that the scarce regulatory resources be devoted
to removing barriers and preventing anti-competitive behaviour rather
than to second-guessing mobile tariffs in a dynamic market. The
Telecommunications Regulatory Commission did not demonstrate the
qualities of independence, transparency and expertise in the last
years of the previous government. It also recognised that Sri Lankan
Telecom regulation has fallen far behind international practice.
The new legislation intends to incorporate elements of regulations
adopted by the Government in the Public Utilities Commission of
Sri Lanka (PUCSL) Bill. The radio and television broadcasting industries
have been transformed over the past decade by the entry of new private
network operators. However they are governed by the legislation
crafted for government monopoly provision, namely the Sri Lanka
Broadcasting Act and the Sri Lanka Rupavahini Corporation Act, the
Minister said. This is not a sustainable approach. The new legislation
will include the strong independence provisions stipulated in the
1996 Supreme Court decision holding the Media Bill unconstitutional.
The new legislation will also address the necessity of providing
an effective legal and regulatory environment for the cable industry.
Sri Lanka is the laggard in South Asia with regard to the development
of the cable industry. This is a serious problem when the government
is promoting wide access to Internet and multimedia services, Markar
said.
From http://www.dailynews.lk/ 10/04/2002
Priority for IT and English Education
The Government will give priority to promote the teaching of Information
Technology (IT) and English as they are the key to success in the
modern world, Human Resource Development, Education and Cultural
Affairs Minister Dr Karunasena Kodituwakku said. The Minister was
delivering the keynote address at the launch of the IBM Kidsmart
learning program organised by the New Model Primary School Project
of the Education Ministry in collaboration with the IBM World Trade
Corporation, Sri Lanka. The program aims to introduce IT to the
younger generation, especially in rural areas and enhance the learning
experience for children aged three to seven. "Although Sri Lanka's
literacy level is almost 90 per cent our computer literacy is as
low as 10 per cent. Educational reforms were introduced to change
this situation. We have to deviate from knowledge-based education
to competency-based education to enter the modern world. We invite
the community to participate in this task," he said. The Ministry
has decided to establish Development Boards in every school to involve
teachers, students, parents, past pupils and the society in the
uplift of education. IBM provided 20 Young Explorer Units to selected
divisions of the Education Ministry in addition to sending 20 computer
science teachers.
From http://www.dailynews.lk/ 10/14/2002
2 Ordinances, Regulation Promulgated
ISLAMABAD: President Gen. Pervez Musharraf on Thursday promulgated
two ordinances and a Regulation. The first ordinance which may be
called as "Prevention and Control of Human Trafficking Ordinance,
2002" is meant to prevent and control human trafficking. The second
ordinance titled "Centres Laws (Amendment) Ordinance, 2002 is promulgated
to amend certain laws relating to certain centres. However, the
regulation was promulgated to provide for holding elections for
the establishment of Local Governments in the Federally Administered
Tribal Areas and Frontier Regions. The regulation may be called
as "Federally Administered Tribal Areas Local Government (Elections)
Regulation, 2002" and would apply to the whole of Federally Administered
Tribal Areas.
From http://www.paknews.com/ 10/04/2002
Musharraf to Transfer Power to Elected
Govt in Nov
ISLAMABAD: Confirming that he would transfer all the executive
powers to the party which emerges victorious in Thursday's polls,
Pakistan President Pervez Musharraf indicated the new civilian administration
would be installed in the first week of November. "The power will
be transfered to any party which will emerge victorious in elections,"
Musharraf told reporters after casting his vote along with wife
Sheba at a polling booth in Rawalpindi this morning. The process
would take place in the first week of November and "power transfering
will be in a normal way," he said in reply to a question on how
he proposed to hand over power to a civilian administration. Last
night, while addressing the nation, he said he would continue as
President but hand over executive powers held by him as Chief Executive
to the newly elected prime minister. However, he would retain the
powers to dismiss the Parliament in order to keep it as a check
to prevent the government from indulging in corrupt practices. In
his brief interaction with the media at the polling booth, Musharraf
also expressed satisfaction over the polling process and said barring
a single incident of violence in interior Sindh and two minor incidents
in Punjab the polling went off smoothly all over the country. One
person was killed and six others were injured in a clash between
supporters of Pakistan Peoples Party and National Alliance in Naushehro
Feroz in Sindh. "I have received reports from across the country
and the overall situation is peaceful," he said.
From http://timesofindia.indiatimes.com/ 10/10/2002
Three Conduct of Elections Laws Amended
ISLAMABAD: (PNS) - President Gen. Pervez Musharraf on Saturday
promulgated three different amended ordinances relating to the conduct
of general and senate elections. The first ordinance is titled as
"Senate (Election) (Second Amendment) Ordinance, 2002. Under this
ordinance, every nomination paper would be delivered by the candidate
in person to the Returning Officer who shall acknowledge receipt
of the nomination paper specifying date and time of receipt. The
second ordinance is Representation of the People (Fourth Amendment)
Ordinance, 2002 says that every nomination paper shall be delivered
to the Returning Officer by the candidate in person and the Returning
Officer shall acknowledge receipt of the nomination paper specifying
the date and time of the receipt. In the third ordinance, titled
as "Conduct of General Elections (7th amendment) Order, 2002, despite
anything contained in any other law for the time being in force,
every nomination paper for the membership of Majlis-e-Shoora (Parliament)
and a provincial assembly, shall be delivered by the candidate in
person to the RO who shall acknowledge receipt of the nomination
paper specifying the date and time of receipt.
From http://www.paknews.com/ 10/20/2002
Cabinet to Approve Youth Policy Today
ISLAMABAD: All is set to approve the national youth policy, and
for this purpose, a national youth foundation fund will be created
to launch various projects for the welfare of youth in the country.
Sources told Dawn that the Cabinet, in its meeting on Wednesday,
would approve the policy to facilitate around 35 million youth.
The sources said the foundation would be established with an endowment
fund of Rs1 billion to initiate programs, including self-employment
through venture capital. The foundation will have a board of trustees,
an executive committee and a managing director to give policy directions
and to manage, control and evaluate its activities. The foundation
will carry out research, survey and self-employment programs for
youth, encourage youth NGOs and volunteers, organize training camps,
conventions, seminars and conferences and establish youth development
centres. The projects in the areas of vital importance including,
employment, education and training, health, environment, culture
and art, has also been included in the policy. The policy covers
the institutional structure comprising national council, students
volunteer corps and national youth foundation. The policy also proposes
proactive collaboration between NGOs and the government to address
the problems of youth. The policy also envisions special efforts
to eliminate terrorism, extremism, ethnicity, religious intolerance,
obscenity, violence against women and discrimination of any count
among the young. According to the policy, protection and humanitarian
assistance would be provided to rehabilitate the marginalized youth
groups, orphans, destitute, disadvantaged and disabled youth. About
education and training, the policy said steps would be taken for
the achievement of universal literacy and education for all, promotion
of social, scientific and technological education, research and
development, persistent upgradation of skills and knowledge, development
of libraries, institutions of learning and removal of regional and
gender disparity. About health, it said extension and upgradation
of physical and mental health, public health, preventive health
care and population welfare and rehabilitation care facilities would
be undertaken to inculcate healthy practices amongst the youth.
Awareness and preventive campaigns and programs would be launched
against drug abuse, smoking, HIV/AIDS, communicable diseases, nutritional
imbalance, accidental injuries, psychological and mental illnesses
and environmental hazards and problems. Mechanism would be devised
to reactivate sports associations to undertake nation-wide competitive
events. Promotion of youth tourism, youth hostels, youth clubs and
national youth exchange programs for youth group tourism, excursion
trips to archaeological, historical and tourist sites will also
be encouraged.( by Khawar Ghumman )
From http://www.dawn.com/ 10/23/2002
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The Osce Needs to Take New Strategic Approach
in Central Asia
A leading think-tank says the Organization for Security and Cooperation
in Europe (OSCE) should forge a new strategic approach towards Central
Asia, arguing that existing stabilization efforts are not tailored
to succeed within the region's political, economic and cultural
framework. In particular, the International Crisis Group (ICG) asserts
that the OSCE must confront "the role of Islam in [Central Asian]
politics" and adopt a more "sophisticated view" of government policy
towards radical Islamic groups. A recent report issued by the Brussels-based
ICG says the OSCE, as perhaps the best-positioned international
organization to promote Central Asian stability, should significantly
expand the resources that it devotes to the region. The organization
should also broaden the scope of its work beyond the human rights
sphere, to include security cooperation and economic development
initiatives. "The OSCE needs to develop in two directions," the
ICG report says. "One is convincing member states that the OSCE
is actually a benefit to their development; the second is to acquire
more influence that will assist the OSCE in preventing the violation
of international norms on human rights and democratic governance."
"The wider balancing [of the OSCE's approach in Central Asia] could
be offered as a way for the OSCE to become more relevant for societies
in the region," the report adds. The OSCE, which comprises 55 states,
has a broad mandate to promote security and civil society, with
the bulk of its work focusing on the formerly Communist countries
of Central and Southeastern Europe, as well as the former Soviet
Union. The organization's activities include implementation of security-building
measures, tracking human rights conditions, promoting democratization
and monitoring elections. The OSCE also works to improve economic
and environmental security. The OSCE maintains offices in all five
Central Asian states - Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan
and Uzbekistan. Most of the organization's work in the region is
focused on the "human dimension," especially rights-related issues.
Out of the five regional states, the OSCE is actively participating
in state-building projects only in Tajikistan, which continues to
struggle to recover from a 1992-1997 civil war. According to the
ICG report, the OSCE in 2001 spent roughly $4.5 million on its activities
in Central Asia - an amount that is "about one-third the budget
of the mission in Croatia, and less than 5 percent of the budget
for the entire OSCE." The drastic erosion of stability in Central
Asia over the past few years, and especially since September 11,
2001, warrant that "significant rise in OSCE activity" in the region,
the ICG says. To expand programs in Central Asia, the ICG argues,
the OSCE should "shift resources quickly from the Balkans - where
other institutions, including the European Union and NATO, are often
better equipped to deal with state-building." The ICG report suggests
the OSCE has been slow to "take into account the specific nature
of Central Asian societies and sensitivities." It calls on the OSCE
to develop a "consistent approach" towards the way regional governments
respond to the threats posed by Islamic radical groups, including
Hizb-ut-Tahrir. The "lack of attention to the Islamic context in
which the OSCE works in Central Asia runs through much of its activities
and projects," the report says. Expanding the OSCE presence in Central
Asian states will not be as easy, the ICG report admits. It says
the OSCE will have to reevaluate its own "convoluted" structures
to better respond to conditions in Central Asia. The report also
states any attempt to expand OSCE offices in the region would likely
provoke local governmental opposition. Persuading regional leaders
to accept the enlargement OSCE activities will require "political
will from participating states to commit serious resources, intelligent
diplomacy by senior figures in the organization, and a commitment
to expand the OSCE into areas that better reflect its ideas of comprehensive
security," the ICG report contends. The report, published September
11, goes on to say that the chances for success of broader OSCE
involvement in the region depend heavily on whether Central Asian
governments play a direct role in the formulation of a new strategy.
To encourage such governmental involvement, the OSCE ought to address
the security concerns of Central Asian leaders, including the threat
posed by ongoing instability in neighboring Afghanistan. To accomplish
this, the ICG suggests the OSCE launch initiatives that promote
security, including police training and the improvement of border
controls. The OSCE should also play a more active role in settling
lingering border disputes. "Central Asian states often use the external
threat to diminish criticism of their own sometimes misguided internal
security policies, but nevertheless it is important that their fears
regarding instability spilling over from Afghanistan be taken seriously,"
the ICG report says. In the economic sphere, the OSCE should become
more active in promoting development projects, perhaps coordinating
activity with the European Bank for Reconstruction and Development.
To a lesser extent, the OSCE could enhance the activity of other
global financial institutions, such as the World Bank. "A stronger
economic dimension in the OSCE could provide useful political commentary
to organizations such as the World Bank, which is forbidden formally
from making political judgements on host governments," the ICG report
says. Ultimately, the ICG report argues that how the OSCE responds
to the challenges in Central Asia could play a pivotal role in the
organization's future. "If the OSCE is to have a future, it is not
in Southeastern Europe," the report says. "It is providing an alternative
view of the political and economic development in Central Asia (and
the Caucasus) where few other organizations have a local presence
or specialist knowledge."
From http://www.eurasianet.org/ 10/10/2002
U. S. Congressional Resolution Takes Central
Asian Governments to Task Over Rights Abuses
A new US Senate resolution assails Central Asian governments for
a wide variety of rights abuses, including "arbitrary arrest and
detention" and restrictions on opposition political activity. The
measure also calls on the Bush administration to condition US political,
economic and military assistance to Central Asian states on their
respective governments' rights records. The joint resolution, entered
into the Congressional Record by Arizona Republican John McCain
on October 17, singles out Kazakhstan, calling on President Nursultan
Nazarbayev's government "to create a political climate free of intimidation
and harassment." It also says the US government should pressure
Almaty to cooperate with an ongoing Justice Department investigation
that reportedly involves illicit payments to Swiss bank accounts.
[For background see the Eurasia Insight archives]. The Senate is
currently in recess to allow legislators time to campaign ahead
of the upcoming elections in early November. Experts say the Senate
will take up the resolution sometime after November 12, when congress
is scheduled to reconvene. The US House of Representatives is expected
to consider a corresponding resolution at about the same time. The
McCain measure will likely be referred to the Senate Foreign Relations
Committee before it moves to the full Senate. Along the way, the
text may be subject to negotiation and amendment. The resolution
known as S.J. Res. 50 paints a dire picture of human and political
rights in all five Central Asian states ?Kazakhstan, Kyrgyzstan,
Tajikistan, Turkmenistan and Uzbekistan. The measure also raises
doubts about the future effectiveness of US aid to the region. "Increased
levels of United States assistance to the governments of the Central
Asian nations, made possible by their cooperation in the war in
Afghanistan, can be sustained only if there is substantial and continuing
progress" in accelerating "democratic reforms" and in fulfilling
"human rights obligations," the resolution says. All five Central
Asian states are cited for curtailing essential rights, including
freedom of speech and religious expression. [For additional information
see the EurasiaNet Human Rights archive]. The resolution has especially
harsh words for Turkmenistan, describing the country as "a Soviet-style,
one-party state centered around the glorification of its president
[Saparmurat Niyazov]." The measure calls attention to religious
persecution in both Turkmenistan and Uzbekistan. [For background
see the EurasiaNet Human Rights archive]. A continuation of such
rights abuses poses a threat to US national security interests,
the resolution warns. "By continuing to suppress human rights and
to deny citizens peaceful democratic means of expressing their convictions,
the nations of Central Asia risk fueling popular support for violent
and extremist movements, thus undermining the goals of the war on
terrorism." The resolution specifies several ways for Central Asian
governments to improve rights conditions, including "releasing from
prison all those jailed for peaceful political activism, or non-violent
expression of their political or religious beliefs," and "permitting
the free and unfettered functioning of independent media outlets."
Central Asian governments can additionally improve the region's
rights climate by "making publicly available documentation of their
revenues and punishing those engaged in official corruption," the
draft states. Kazakhstan is targeted as a particular source of concern
about corruption. According to media reports, the Justice Department
investigation referred to in the resolution involves possible bribes
paid to Kazakhstani government officials by oil companies. The case,
known in Almaty as "Kazakhgate," has emerged as a key element of
an ongoing political struggle between President Nazarbayev and his
political opponents. [For additional information see the Eurasia
Insight archives]. The Senate draft goes on to call on Kazakhstan
to release political prisoners and permit the return of political
exiles, "most notably Akezhan Kazhegeldin." [For additional information
see the EurasiaNet Business and Economics archive]. The US government
specifically the president, along with the secretaries of state
and defense ?should "continue to raise [concerns about rights violations]
at the highest levels ?at every diplomatic opportunity," the resolution
says. Progress in the implementation of rights improvements should
determine the "level and frequency" of US engagement with Central
Asian governments, as well as "the allocation of United States assistance,
and the nature of United States military engagement." The Bush administration
should also ensure that no US assistance ends up benefiting Central
Asian security forces that have been implicated in human rights
violations, the resolution states.
From http://www.eurasianet.org/ 10/22/2002
Armenia: Westward Foreign-Policy Shift
Brings Unease in Iran
A EurasiaNet Partner Post from RFE/RL The reputation of the Iranian
ambassador to Armenia, Mohammad Farhad Koleini, as a cautious and
reticent diplomat lies in tatters after his public questioning of
the Armenian leadership's current national-security strategy. Openly
challenging Foreign Minister Vartan Oskanian, Koleini indicated
that Armenia lacks the resources and international clout to continue
to pursue its "complementary" foreign policy of maintaining good
relations with the West, Russia, Iran, and other major powers. Although
the envoy stressed that he was expressing his personal opinion,
a foreign diplomat taking issue with the foreign minister of his
host country, in public, is quite extraordinary and could have important
implications for Armenian-Iranian relations. Koleini made his remarks
on 28 September after Oskanian laid out Armenia's foreign-policy
priorities to more than 100 activists for an Armenian pro-government
party. The gathering was also attended by foreign diplomats and
journalists. Using figurative and, at times, ambiguous wording during
a question-and-answer session, Koleini said: "Complementarism requires
both software and hardware instruments. Armenia's software capacity
is good. But in terms of the hardware, there are problems." He then
asked Oskanian, "Don't you think that it would be more correct to
describe [your policy] as a multilateral dialogue, rather than use
the word 'complementarism'" Koleini's critical remarks came after
Oskanian had reaffirmed his government's intention to boost security
ties with the United States and other Western powers in view of
the new geopolitical situation in the world. Citing the U.S. military
presence in neighboring Georgia and Central Asia, Oskanian said
Armenia is adjusting its foreign policy to the dramatic global changes
that have taken place since the 11 September 2001 terrorist attacks
on the United States. He mentioned Armenia's support for the U.S.-led
antiterrorism campaign, revealing that U.S. military planes bound
for Central Asia have carried out more than 600 flights over Armenian
territory over the past year. Ambassador Koleini appeared to indicate
his country's unease over deepening U.S.-Armenian ties when he noted
that "even great powers must not have illusory approaches to their
capabilities." He rebuked the Armenian government for pursuing what
he termed "globalist security." In an interview with RFE/RL recently,
one Armenian government official dealing with foreign affairs called
Koleini's remarks a "serious breach of diplomatic ethics," saying,
"I think that we have a strong case for complaining to the Iranian
Foreign Ministry." However, Oskanian's reaction to Koleini's unusually
frank remarks was rather appeasing. He assured the Iranian envoy
that Armenia would never take any steps that could harm Iran. "We
will not do anything in the region infringing on the interests of
neighboring countries that are strategically important to us," Oskanian
said. To drive home his point, Oskanian noted that Yerevan remains
strongly opposed to the controversial idea of a land swap with Azerbaijan
as part of a resolution to the conflict over Nagorno-Karabakh. The
deal -- suggested by Western mediators in the past -- would leave
Armenia without a common border with Iran. Oskanian also said Yerevan
will "take into account" Iranian interests when it comes to selecting
countries that will commit troops for a future Karabakh peacekeeping
force. Like neighboring Georgia and Azerbaijan, Armenia opened its
airspace to the U.S. military shortly after 11 September. The United
States allocated $4.3 million in military assistance to Armenia
shortly afterward. A similar amount of military aid is expected
to be earmarked by Congress for the next financial year. The U.S.
ambassador to Armenia, John Ordway, said late last month that the
two sides will soon "accelerate" the implementation of their joint
defense projects. Incidentally, Ordway was the first U.S. official
to publicly voice reservations about Armenia's generally cordial
rapport with Iran, a country that U.S. President George W. Bush
says forms an "axis of evil" with Iraq and North Korea. In an interview
with RFE/RL last May, Ordway said Washington expects Yerevan's support
in countering what it considers to be Tehran's efforts to acquire
weapons of mass destruction and to undermine the Middle East peace
process. In a dramatic move several days later, the U.S. State Department
imposed sanctions against an Armenian biochemical company accused
of selling sensitive equipment to Iran. Armenian government officials
were quick to try to address U.S. concerns and claim to have tightened
export controls on all border crossings since then. Yerevan is now
thought to be exercising more caution in its dealings with Iran,
something that might be causing jitters in Tehran. In an apparent
reference to Bush's speech at the UN General Assembly on 12 September,
the Iranian ambassador noted that great powers often retract accusations
directed at smaller states and that their military presence in various
parts of the world is not perpetual. In his speech, Bush made no
mention of his administration's earlier charges leveled against
the Islamic Republic. Despite the latest foreign-policy shift, Armenia
is likely to maintain close political and economic ties with Iran,
viewing the latter as a major counterweight to its traditional foes
Turkey and Azerbaijan. The two countries have recently stepped up
their cooperation in the energy sector. Armenia is expected to start
large-scale exports of electricity to Iran soon. As one Armenian
official, who asked not to be identified, put it: "The Iranians
are always unhappy with something. That's the style of their diplomacy."
From http://www.eurasianet.org/ 10/05/2002
Kyrgyz Constitutional Assembly Adopts
Final Recommendations
President Askar Akaev on 2 October chaired the final session of
the Constitutional Assembly, which finalized its draft proposals
on the redistribution of powers between the legislative and executive
branches, Interfax and RFE/RL's Bishkek bureau reported. Those proposals
will now be published for nationwide debate. They include replacing
the present bicameral legislature with a unicameral parliament,
half of whose deputies would be elected from party lists and the
other half from single-mandate constituencies.
From http://www.rferl.org/ 10/03/2002
Uzbeks in Kyrgyzstan Seek Stronger
Civil Rights Guarantees
Frustration is simmering among the large Uzbek community in southern
Kyrgyzstan. Amid the country's ongoing political turmoil, Uzbek
agitation for broader civil rights has largely met with government
indifference, if not hostility. Some local non-governmental activists
express concern that Bishkek's lack of response to Uzbek complaints
is adding an element of inter-ethnic volatility to an already combustible
political environment. Uzbeks comprise an estimated 13 percent of
Kyrgyzstan's 4.8 million population, most of them concentrated in
the southern regions of Osh and Jalalabad. Those areas are also
where anti-government sentiment among Kyrgyz is the strongest. [For
background information see EurasiaNet's Human Rights archives].
Since June, ethnic Uzbek leaders in Kyrgyzstan's Jalalabad region
have pressed for recognition by President Askar Akayev's administration
of an 11-point program that calls for government guarantees of basic
rights. Five of the 11 points deal specifically with cultural issues,
including a call for the recognition of Uzbek as a state language.
The program, which was adopted June 20 during a meeting sponsored
by the Uzbek Cultural Center in Jalalabad, also expresses a need
for greater Uzbek representation in government bodies. In addition,
the document seeks an expansion of Uzbek-language television programming,
better resources for Uzbek-language schools and the establishment
of an Uzbek-language theater. The other points in the program concern
broader political issues, such as the composition of the regional
election commission. Azam Akbarov, a board member of the Uzbek Cultural
Center, said many of the civil rights concerns outlined in the program
are long-standing. He adds that officials have largely ignored the
Uzbek community's various pleas touching on civil rights. "We didn't
just start this year to call attention to the fact that if the Kyrgyz
government doesn't provide Uzbek schools with textbooks, the Uzbeks
in Kyrgyzstan cannot receive [an adequate] education," Akbarov said.
"Uzbekistan has adopted Latin script ?and has stopped printing textbooks
in Cyrillic," so Kyrgyzstan must print its own Uzbek-language textbooks
in Cyrillic for its Uzbek students, according to Akbarov. Akbarov
also complained that Bishkek had manipulated electoral districts
in order to dilute Uzbek representation on the local, regional and
national levels. He cited the Jalalabad electoral district map as
an example: remote villages with large Kyrgyz populations have been
attached to the Jalalabad city district, which has a heavy concentration
of Uzbeks. At the same time, predominantly Uzbek villages that are
actually located within Jalalabad's jurisdiction are attached to
neighboring electoral districts with large numbers of Kyrgyz. Many
Uzbeks are additionally dissatisfied with the lack of Uzbek-language
television programming in southern Kyrgyzstan. While state-controlled
media from neighboring Uzbekistan is easily accessible in southern
Kyrgyzstan, such programming, Uzbeks in Jalalabad and elsewhere
point out, examines issues purely from Tashkent's perspective. They
add that Tashkent-controlled media outlets do not cover many significant
events in Kyrgyzstan, including the Ak-Sui rioting and its aftermath.
Officials in Bishkek tend to downplay Uzbek civil rights complaints,
while local government appointees are somewhat more sympathetic.
For example, Jalalabad Oblast Governor Jusupbek Sharipov, who was
appointed following the Ak-Sui events, has stated publicly that
the government should pay closer attention to Uzbek rights concerns.
"Undoubtedly, there are problems. They have to be solved," Sharipov
said. In sharp contrast to Sharipov's conciliatory stance, some
Kyrgyz mass media outlets have vilified Uzbeks, alleging that they
harbor a separatist agenda. Under the separatist scenario, if Uzbeks
succeed in winning broader language rights, they will then begin
agitating for political autonomy and perhaps even seek to secede
from Kyrgyzstan and unite with Uzbekistan. Many Kyrgyz, from all
political camps, view the Uzbek civil rights agitation warily and
worry that expanding the Uzbeks' rights would undermine Kyrgyz statehood.
Some believe that the Uzbek community is trying to take advantage
of the current political turmoil to press its own cultural and political
agendas. One recent article published in the opposition newspaper
Tribuna attempted to equate Uzbeks in Kyrgyzstan with the radical
Islamic Movement of Uzbekistan. Member of Parliament Baiaman Erkinbaev,
during a legislative debate in August, reportedly said, "Let Uzbeks
in our republic leave our country if they do not like our policy
towards them." Ethnic Uzbek MP Davran Sabirov, who also heads the
Society of Uzbeks in Kyrgyzstan, described Erkinbaev's comments
as "reckless." Uzbeks in Kyrgyzstan "did not come here from elsewhere,
they were born here and grew up here," Sabirov wrote in a commentary
published by the Osh Sadosi newspaper August 3. "If Uzbeks ?should
abandon their native land, as Deputy Baiaman Erkinbaev demands,
will this not place a bright stain on the state, the head of state
and the government?" In general, many Uzbeks have felt alienated
by the nationalist undercurrents in the Kyrgyz political opposition,
and have generally avoided participating in anti-Akayev protests
in southern Kyrgyzstan, local political observers say. Akbarov stressed
that Uzbeks are loyal citizens who remain willing to engage the
government in a dialogue. "We will solve our problems exclusively
within the limits of the law," he said. Local observers worry that
the government's reluctance to engage Uzbeks could, given the current
political instability in Kyrgyzstan, lead to a repeat of inter-ethnic
rioting. The Osh region was the scene of fierce Kyrgyz-Uzbek clashes
in 1990 in which dozens reportedly died. According to Valery Uleev,
a leader of the Jalalabad-based human rights organization Spravedlivost,
mass media is shaping public opinion to view Uzbeks as a potential
"Fifth Column." Under one scenario discussed by some political analysts,
a dramatic increase in the government-opposition confrontation could
prompt officials to stoke inter-ethnic tension in an attempt to
deflect the pressure on Akayev's administration. As it stands today,
Uleev asserted, "All talk about civil peace and inter-ethnic harmony
in Kyrgyzstan is hypocritical."
From http://www.eurasianet.org/10/08/2002
Kazakhstan: Investors Take Exception to
Investment Law
A EurasiaNet Partner Post from RFERL Kazakhstan's long struggle
with foreign investors broke into the open in early October at a
forum usually reserved for promoting the country's oil industry.
Speaking at the 10th annual Kazakhstan International Oil and Gas
Exhibition in Almaty, foreign oil executives and officials made
a rare public show of concern over government pressure to renegotiate
their contracts. The oil companies have been waging a largely silent
battle against a new draft investment law for the past two years.
Despite assurances from top government officials that they will
respect the terms of the huge deals that Kazakhstan has signed in
the past decade, others have used the threat of the new law to seek
concessions in dozens of cases. Officials have argued that they
are trying to make up for generous tax breaks that were granted
in the early days of independence and assure equal opportunity for
Kazakhstan's companies. The legislation would replace Kazakhstan's
1994 law that guaranteed foreign investors the right to take disputes
to international arbitration bodies. The draft law is ambiguous
about whether government consent will be needed for arbitration,
raising fears that foreign companies will be barred from appeals
beyond Kazakh courts if the government tries to push them too hard.
Kazakhstan has also put pressure on investors over the pace of local
hiring and contracting. Some companies have responded by accelerating
their hiring programs. But while most have preferred to mount their
resistance to pressure through private channels and business organizations,
the Kazakhstan International Oil and Gas Exhibition (KIOGE), held
October 1-4, seemed to suggest a more coordinated and public stand.
Speaking at the conference, James Taylor, head of US-based ExxonMobil's
unit in Kazakhstan, said, "In order to justify large-scale investment,
the industry needs the assurance of a stable and predictable investment
climate," Reuters reported. Taylor added "that means no arbitrary
enforcement of rules and regulations, transparent and stable fiscal
arrangements...and, above all, sanctity of contracts." Reuters also
quoted Mike Naylor, vice president of Royal Dutch/Shell's Kazakhstan
affiliate, as saying that "Kazakhstan could supply between 2 and
4 percent of global oil consumption in future, but it will largely
depend on its investment climate, which is reflected in contract
terms." Steven Mann, the US adviser on the Caspian Sea, added a
warning about the new law, saying that "there are certain practices
and proposals which threaten to take Kazakhstan in the wrong direction,"
AP reported. Mann said, "There is hot competition for investment
dollars everywhere, especially in the depressed economic environment."
He added, "Reconsideration of contracts is a clear disincentive
to investment." Mann also voiced concern about efforts to force
companies into more rapid hiring of local contractors. Despite government
pressure, Kazakhstan has been successful in drawing a large share
of the foreign investment in the Commonwealth of Independent States
to its energy sector. ExxonMobil's Taylor said direct foreign investment
in the country had reached $13 billion, citing US Department of
Energy figures, while some estimates put the figure as high as $20
billion. Top attractions have been the giant Tengiz and Kashagan
oil fields. In July, the Department of Energy said that estimates
of Kazakhstan's proven oil reserves range from 5.6 billion to 17.6
billion barrels of oil. Last year, the country produced nearly 40
million tons of crude oil and condensate, equal to 870,000 barrels
per day. Kazakhstan's energy output jumped by 15 percent in the
first eight months of this year, according to the country's State
Statistics Agency. But despite all the investment that has already
taken place, Kazakhstan may need even more. In May, Richard Matzke,
a former ChevronTexaco vice president, said that $6 billion should
be invested in the oil-and-gas sector annually. Kazakh Prime Minister
Imanghaliy Tasmagambetov put the figure even higher, saying that
total investment needs would reach $200 billion, Interfax reported.
The comments at the KIOGE conference seem to make clear that the
oil companies now see the government's measures as enough of a risk
to raise the prospect of channeling their future investments elsewhere.
The new law was supposed to take effect at the start of this year
but has been held up repeatedly by redrafts and negotiations. The
draft law would allow recourse to international arbitration courts
"as agreed by the parties," raising doubts about whether the government
would agree. Kazakh officials have contributed to the worries with
statements that seem as ambiguous as the new law. In July, EurasiaNet
asked Foreign Minister Qasymzhomart Tokaev about the legislation,
as well as the repeated visits that local tax authorities and health
inspectors have made to foreign companies. Tokaev said the government
is committed to its contracts. But he also said: "At the same time,
there are unfortunately some government agencies that undertake
the kinds of actions you mentioned. My recommendation is that foreign
companies respect the laws of Kazakhstan and carry on activities
consistent with the laws. If there is a problem, then they need
to find [a] proper mechanism for consultations and negotiations."
What Tokaev did not say is that the government would continue to
regard international arbitration bodies as a "proper mechanism."
Foreign companies now seem to see no alternative to a public dispute
over the law itself. (Michael Lelyveld)
From http://www.eurasianet.org/ 10/08/2002
Calls for Drafting New Kazakh
Constitution
In the same open letter, which was dated 4 October and posted on
forumkz.org on 9 October, Kazhegeldin also stressed the importance
of embarking immediately on drafting a new constitution that would
preclude a reversion to dictatorship and unite the people of Kazakhstan.
He said international organizations (which he did not name) have
offered assistance in preparing that document. Also needed, Kazhegeldin
said, are proposals for reforming the judicial system and the secret
services. He further advocated preparing for an opposition congress
to be held as soon as possible that would draft both proposals for
defying the new restrictive laws on the registration of political
parties (see "RFE/RL Newsline," 23 July 2002) and a broader program
of measures to achieve the opposition's proclaimed objective of
"Kazakhstan without President Nursultan] Nazarbaev."
From http://www.rferl.org/ 10/11/2002
Tax Amendments Discussed in Parliament
Observations of deputies on the amendments, in troduced by the
government as a draft law, have been discussed today, on 7 October
at a session of a working group of mazhilis committee for finance
and budget. According to the press service of the chamber, this
draft law was passed by the deputies in its first reading. These
days the work on the draft is carried out in accordance with the
Comparison table.
From http://www.gazeta.kz/ 10/07/2002
Amnesty International Criticizes Tajikistan
Over Capital Punishment
In a report released on 30 September, Amnesty International slammed
the Tajik legal system for handing down the death penalty after
unfair and secret trials. Many people sentenced to death say they
were tortured to extract evidence. The relatives of convicted people
often do not know whether or when the death sentence has been carried
out. The report said that at least 133 people are known to have
been convicted and sentenced to death since 1998 and suggested that
President Imomali Rakhmonov "may be using the so-called international
'war against terrorism' as a pretext for settling scores" with political
opponents.
From http://www.rferl.org/ 10/01/2002
IMF Delegation to Discuss Implementation
of Policies and Poverty Issues
A delegation from the International Monetary Fund led by [the head
of the IMF mission in Tajikistan] Mr Robert Christiansen has arrived
in Dushanbe today. The Tajik National Bank's press centre said that
the IMF delegation would work in Dushanbe until 10 October. The
delegation's visit is aimed at familiarizing itself with the implementation
of provisions of an economic memorandum signed between Tajikistan
and the IMF, as well as discussing the Tajik government's new draft
cooperation programme on reducing poverty levels by 2005. [Few words
indistinct] the IMF representatives met a presidential adviser,
[Fayzullo] Kholboboyev, Finance Minister [Safarali] Najmuddinov
and the chairman of the National Bank, [Murodali] Alimardonov. The
IMF representatives will meet and have talks with representatives
from the Tajik government, a number of ministers and heads of some
departments over the next few days. They will discuss the aforementioned
issues.
From http://hoovnews.hoovers.com/ 10/03/2002
Uzbek Government Reviews Terms of Call
Up for Military Service
In order to increase the responsibility of Defence Ministry and
regional administration in organising and realising conscription
of citizens to military service, and recruitment of comprehensively
prepared conscripts to Armed forces, Uzbek government has determined
major tasks required for primary implementation, Turkistan Press
informed. Cabinet of Ministers has stressed the importance of effective
organisation and selection of conscripts in view of deep examination
of their individual features. Executives of call up boards will
carry personal responsibility for quality of call-up realisation.
Republican commission on control over conscription should report
to CabMin chairman on implementation of these measures within one
months after each call-up.Government Decree also envisions complex
of measures on immediate psychological and physical adaptation of
recruits to armed forces. These measures should be developed and
introduced in two months. Defence and Health Ministries are authorised
to organise quality medical survey of recruits by highly skilled
doctors, raise their personal responsibility, and create a system
ensuring alternative medical survey. Requirements of health condition
of recruits should be toughened and concretised. In order to provide
transparency and public control over call-up commissions, representatives
of public youth movement Kamolot, Nuroniy and Makhalla funds, citizen
self-management bodies, and women committees are entitled to participate
as commission members.
From http://81.29.68.227/ 10/09/2002
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/ 10/28/2002
President Strengthens State
Security
Nursultan Nazarbaev, President of RK, who chaired
at the session of the Security Council of RK in Astana gave concrete
instructions to the Council members on strengthening security of
the Republic and citizens of RK, provision of internal political
stability and accord between nations, KZ-today has been advised
by the press service of the President of RK. At the session the
President attended to the information of heads of power structures
and legal authorities of RK on the measures taken in relation with
terrorist acts in Moscow.
From http://www.gazeta.kz/ 10/30/2002
|
 |
| Business Challenges Terror Tax
AUSTRALIA'S biggest companies are out to scuttle a plan by Peter
Costello to slug them $300 million for an insurance fund that would
cover a terrorist attack on the nation's landmark buildings. The
Australian has learned that senior representatives of 14 of the
country's leading corporations met late last month and resolved
to lobby the Government to withdraw, or significantly amend, its
$10 billion scheme. The focus of their antagonism is the Treasurer's
call for a compulsory levy that would require companies covered
by the scheme to pay $300 million over three years as insurance
against an attack on a private business or a landmark, such as the
Sydney Harbour Bridge or the Opera House. But the scheme also would
expose business to an almost open-ended liability of up to $10 billion,
plus interest, in the event of a catastrophic terrorist assault.
Telstra, Shell, Foster's, Alcoa, Rio Tinto, BHP Billiton, Coles
Myer, Orica, Amcor and Fluor are understood to be among the companies
that strongly object to the Government's proposal, one manager describing
it as "ludicrous". But the banks support it because having cheap
access to terrorism insurance makes their investments in public
infrastructure safer. The Property Council agrees, chief executive
Peter Verwer saying building proposals were being turned down because
of a lack of terrorism insurance. Under the scheme, developed by
accounting firm Trowbridge Consulting, the money would be raised
from companies in the form of a levy on their existing insurance
premiums for property damage and business interruption. Any company
with property insurance, including the corner store, would be potentially
liable to pay the levy. In the event of an attack, a further $1
billion would be available from a facility provided by the banks,
and the Government would underwrite the next $9 billion. But, importantly,
corporate Australia would be forced to repay both the banks' and
the Government's contributions at commercial rates of interest,
even if the building attacked had nothing to do with them. One risk
manager calculated that the nation's top 20 companies would pay
40 to 50 per cent of the premium, "because they have the asset base".
BHP Billiton risk finance manager Alan Reynolds told The Australian
that asset-rich companies such as his would pay a disproportionate
amount, even though its assets were in remote locations at low risk
of terrorist attack. Companies at real risk could buy terrorist
cover on the market, he said. ( by Michael Bachelard)
From http://www.theaustralian.news.com.au/ 10/02/2002
New Law to Hit Terror Suspects
The Federal Government has passed emergency legislation enabling
the immediate arrest of al Qaeda members and sympathisers in Australia.
The United Nations is expected to pronounce the Jemaah Islamiah
(JI) group, suspected of the Bali bombing, as an outlawed terrorist
organisation by the end of the week, allowing the government to
charge its members, with penalties including life imprisonment.
Although the government is refusing to say if it has specific individuals
in mind, Defence Minister Robert Hill has revealed that the cabinet
believes Jemaah Islamiah operatives may already be in Australia.
He said "constant movement" from Indonesia into Australia may well
include JI supporters or operatives. "We know that within Australia
there were those who were trained by al Qaeda," Senator Hill said.
"We know of some individuals within Australia that we believe have
JI sympathies and they are the subject of particular interest and
concern." The new laws were rushed through parliament yesterday
after a personal appeal from Prime Minister John Howard to Labor
leader Simon Crean on Tuesday night, when the government realised
a technical waiting period in July's anti-terror laws meant they
would be powerless to detain al Qaeda suspects until mid-December.
Attorney-General Daryl Williams began moves to outlaw al Qaeda on
Monday. Labor supported the legislation. Mr Williams said the listing
of an organisation as terrorist was a complex process and the government
had been involved in collating information against al Qaeda since
July. He said once the new laws were passed, intelligence and law
enforcement agencies could take immediate action against terrorist
organisations. Without the changes, "even though there may be known
members of a terrorist organisation here in Australia", authorities
were limited in the action they could take, Mr Williams said. The
government has been advised that the UN is likely to name JI as
a terrorist organisation by the end of the week. This will enable
the government to do likewise, activating the new anti-terror laws
that carry a life imprisonment sentence for anyone directing or
assisting such an organisation. Asked if people linked to JI could
be pursued in the interim, under the listing of al Qaeda, a spokeswoman
for Mr Williams said "it would depend on the circumstances of each
case". Last night, Senator Hill said he knew al Qaeda had connections
with JI. "Some of the leaders of JI have links to al Qaeda and are
prepared to act in support of al Qaeda's global agenda," he said.
Yesterday, Prime Minister John Howard also signalled the defence
budget would need to be increased after the Bali bombings, but denied
plans for a terror tax. Mr Howard said that after Bali it was "inevitable
that we will have to spend even more on defence. I feel it in my
bones." An increase would need to be funded, but Mr Howard said
the government had not discussed a defence tax. Treasurer Peter
Costello also indicated the defence budget could be boosted once
the government determined its security response to the Bali attacks.
Major budget changes would be considered once the outcome of the
United Nations pressure on Iraq was known. Mr Howard played down
US reports that Australian intelligence had intercepted conversations
between JI members discussing attacks on Australians before the
Bali attacks. A search of records had identified no documents matching
the report and there was no specific warning about Bali, he said.
(by Mark Forbes, Annabel Crabb)
From http://www.theage.com.au/ 10/24/2002
New Laws Target Terrorists as PM
Takes Key Role
Prime Minister John Howard has taken direct control of counter-terrorism
measures, announcing a new law to enable the Bali bombing culprits
and other overseas terrorists to be tried in Australia. The laws
will include rewards of up to $500,000 for information leading to
the conviction of terrorists and more funding for ASIO, ASIS and
air security. The announcement came as Defence Minister Robert Hill
revealed he was backing a plan for new military funding in response
to the terrorist threat and ageing equipment, believed to involve
up to $1 billion a year. A list of necessary spending, including
greater army firepower, had been finalised for cabinet, he said.
Senator Hill said extra funds were also immediately required to
fund continuing military operations overseas, including Afghanistan.
Also yesterday, state leaders signed a national counter-terrorism
plan enabling the Commonwealth to take control of terrorist incidents
and Mr Howard said he would consider proposals for troops to guard
key installations. Meanwhile, ASIO's annual report said the most
significant security threat to Australia came from al Qaeda and
other Islamic extremists. The report revealed that the vast majority
of ASIO's resources were engaged in investigating potential Islamic
terrorists in Australia, and three assessed terrorists had been
refused visas in the past 12 months. A number of Australians were
known to have received military or terrorist training in Afghanistan
or Pakistan and others were also likely to have undertaken training
without ASIO's knowledge, the report said. Mr Howard said the new
counter-terrorism measures resulted from his review of Australia's
capabilities. A standing reward of up to $500,000 would be provided
for information leading to a terrorism conviction, he said. "The
government is committed to ensuring that Australia has every tool
it needs to prosecute individuals who engage in heinous crimes like
those in Bali," Mr Howard said. Indonesia had indicated it would
consider extraditing the perpetrators of the attack, Foreign Minister
Alexander Downer said. A new extra-territorial murder offence would
enable extradition and trials in cases where Australians have been
victims of atrocities abroad. The legislation will operate retrospectively
from October 1. Mr Howard also announced funding of nearly $30 million
to strengthen visa and travel document security and an expansion
of the air marshall program to provide armed guards on international
flights. ASIO and ASIS would receive an unspecified funding increase
and $32 million would upgrade the security of embassies overseas.
The Prime Minister's Department would now take responsibility for
anti-terrorism policy coordination, Mr Howard said. Premier Steve
Bracks said security arrangements around key strategic sites, such
as energy generation, water supply and chemical storage, needed
to be strengthened, with military protection if necessary. ( by
Mark Forbes)
From http://www.theage.com.au/ 10/25/2002
Controversial Kiribati Newspaper
Law Passed
Tarawa (Radio Kiribati/PINA Nius Online) - The Kiribati Parliament
has passed newspaper registration legislation despite local and
international criticism. Government members ensured the passing
of the second reading of the Newspaper Registration Amendment Bill
2002. This gives powers to a registrar to deregister newspapers
which face complaints. Attorney-General Tiitabu Taabane revealed
in parliament that under the amended act the post of a newspaper
registrar is now transferred from his office to a government's ministry.
Also under the act, a commission is established to deal with the
complaints against a newspaper. The commission will report its findings
on these complaints to the registrar, who will then have the power
to deregister a newspaper deemed to have breached the act. Opposition
members strongly objected to this bill. They said it will stifle
views and will give the government the right to control private
and independent newspapers, especially the Kiribati Newstar and
the opposition's newsletter. President Teburoro Tiito told parliament
that a newspaper may bring proceedings to a court of law if it is
not happy with the decision of the registrar to deregister it. President
Tiito reiterated that newspapers are free to write any story but
they should offer right of reply to individuals before those individuals
are criticised in print. President Tiito said that there is need
for fairness, justice and responsibility on the part of the publishers
and the journalists of a newspaper. The Bill will be assented to
by the President before it becomes an Act. The region's main professional
organisation of the news media, the Pacific Islands News Association
(PINA), is amongst critics of the legislation. PINA president Johnson
Honimae called the new law draconian and said it will stifle freedom
of speech and expression in Kiribati. He also pointed to the record
of the current government. He said it has already blocked the establishment
of a non-government radio station and stopped a critical international
journalist entering Kiribati. Mr Honimae said one target of the
legislation appears to be the Kiribati Newstar, the country's first
successful non-government weekly newspaper. This was founded by
former Kiribati President and former Pacific Islands Forum Secretary-General
Ieremia Tabai . Mr Tabai is now an opposition parliamentarian after
returning home after completing his terms at the Forum Secretariat
in Suva. - Radio Kiribati/PINA Nius Online.
From http://www.pacificislands.cc/ 10/08/2002
Call for Crossings Law Change
A law change may be needed to prevent any repeat of the rail level
crossing accident that claimed the lives of two teenagers on Friday,
police say. Palmerston North Boys' High final-year students Christopher
Bryant, 18, and Scott Walker, 17, died when a passenger train hit
their car on an uncontrolled crossing on a private road. Warning
and give-way signs are not required for more than 1000 rail crossings
on private land. A Land Transport Safety Authority spokesman said
the private-crossing accident was the year's second. Mike Higgie,
the officer in charge of the police investigation into the accident,
said the Transport Ministry should look at changing the law to require
warning signs on private rail crossings. The police investigation
was to be wrapped up yesterday and reported to the coroner.
From http://www.nzherald.co.nz/ 10/02/2002
Tax Laws Put Brakes on Venture
Funds
These are challenging times to raise venture capital funds and
even more challenging times to encourage foreign funds to invest
in a far-flung corner of the globe such as New Zealand. With global
equity markets in recession and technology stocks affected worse
than any, exit opportunities for venture capital funds worldwide
are scarce. Most are preoccupied with shoring up existing investments
at home and only a rare few are even considering new investments
in foreign countries. The timing is less than ideal for New Zealand,
with its emerging venture capital and knowledge economy sectors
and the launch of the Venture Investment Fund program, which is
seeking to attract up to $200 million of private capital for early
stage funds, much of which will need to come from overseas. This
is a time New Zealand needs every advantage possible to make investment
in New Zealand funds appear attractive by international comparison.
At first glance, the New Zealand tax environment looks like one
of those advantages. After all, we have no capital gains tax and
typically the primary investment motivation for venture capital
investors (at the highest end of the risk spectrum) is the prospect
of capital gains on their investments. But it is not that simple.
Capital gains on investments will be tax-free only if the investments
are made by the investor on capital account and not for the primary
purpose of disposal for gain. If investments are made for the primary
purpose of disposal they will be deemed on revenue account and taxable
at the applicable income tax rate of the investor (39 per cent for
an individual or 33 per cent for a company). This creates an all-or-nothing
tax environment for gains made on disposal - 0 per cent or a minimum
of 33 per cent. There is nothing in between. A particular problem
for private equity investments through fund vehicles - as distinct
from private equity investments made directly by individuals or
single entities - relates to the typical finite duration of those
funds (usually 10 years). The problem for a finite duration (closed
end) fund in the context of New Zealand capital gains tax is that
the finite duration and any related implication that all investments
made by the fund vehicle must be liquidated within that finite timeframe
imply that investments made by the funds are made for the primary
purpose of disposal for gain and accordingly on revenue account
and taxable. Some promoters of recently established New Zealand-domiciled
funds have sought to overcome this problem by adopting unincorporated
co-investment structures where there is no separate fund entity
and the fund manager effectively agrees to co-invest funds from
each of the individual investors in the co-investment arrangement.
A principal objective of this type of structure is to ensure investors'
tax position is no worse by investing in a fund than if they made
the investments individually. The co-investment structure prevalent
in New Zealand is similar in many respects to the LLP (limited liability
partnership) structure prevalent in overseas jurisdictions which
have active private equity sectors (including the United States,
Britain, France, Germany, Israel, Singapore and Canada), and is
regarded as the international best-practice structure. An LLP is
also a tax flow-through structure where the investors, rather than
any fund vehicle, are the taxpayers. A significant disadvantage
of the New Zealand unincorporated structure is that it is not internationally
recognised and foreign investors need to be satisfied they are not
worse off under that structure. While the New Zealand unincorporated
structure is similar in its tax treatment to an LLP, it is not an
LLP with advantages of statutory recognition and familiarity. Other
disadvantages of the unincorporated structure include a lack of
clear limited liability protection for investors and the risk the
IRD will still consider the investors had a collective intention
to liquidate investments within the finite fund period. We are about
to drop even further down the comparative attractiveness table where
Australia is in the process of introducing legislation which will
essentially recognise the internationally preferred LLP structure
for qualifying venture capital funds and, more importantly, specifically
exempt qualifying foreign investors from six key investor markets
(the US, Canada, Britain, France, Germany and Japan) from any tax
on their capital gains made on eligible investments through a qualifying
fund. All of this paints a picture of a tax environment which is
unattractive by international comparison and which forces unfamiliar
fund structures that pose apparent risks for investors. We can ill-afford
these disadvantages. As a small economy, we need comparative advantages
from a taxation and legal compliance perspective rather than disadvantages.
From http://www.nzherald.co.nz/ 10/04/2002
Tough New Anti-Terror Laws Passed
Parliament today passed strong anti-terrorist legislation, with
only the Green Party opposed to the new measures. Justice Minister
Phil Goff said the laws would allow New Zealand to take every step
it could against international terrorism, in line with United Nations
conventions and Security Council resolutions. "International terrorism
is the greatest contemporary threat to international security and
peace," he said. "This legislation has been passed by every country
in the world with which we identify." He said it did not contravene
individual liberties in the way the Greens were claiming, and he
accused Green MP Keith Locke of "turning a blind eye" to the threat
of terrorism. The Terrorism (Bombings and Financing) Bill -- which
was today re-named the Terrorism Suppression Bill -- had the support
of all the parties in Parliament except the Greens, and was given
its third reading on a vote of 106-9. Mr Goff said it would criminalise
terrorist bombings and the financing of terrorist organisations,
make it an offence to recruit and take part in a terrorist movement
and allow funding to be frozen and forfeited. During debate last
night, and again today, Mr Locke said the bill's provisions undermined
individual liberty and threatened lawful protests. He said his party
was not opposed to action against terrorism, but did not believe
that separate legislation was needed for that. "Action should be
taken within the criminal law of this country...we don't want a
separate law structure for politically-motivated crimes," he said.
Mr Goff, and National Party MPs, described the Greens' attitude
as a disgrace and said terrorism could not be dealt with under the
Crimes Act.
From http://www.nzherald.co.nz/ 10/10/2002
Government Departments Can Be Prosecuted
Under New Law
Government departments can be prosecuted in the same way as private
companies under legislation passed by Parliament today. The law
change is a direct result of the 1995 Cave Creek tragedy, when a
West Coast viewing platform built by the Department of Conservation
collapsed and 14 people were killed. The Crown Organisations (Criminal
Liability) Bill removes exemption from prosecution for offences
under the Building Act and the Health and Safety in Employment Act.
Justice Minister Phil Goff said it was a key recommendation of Judge
Graeme Noble who investigated the tragedy, and changed the longstanding
principle that the Crown was immune from criminal prosecution. "The
Government believes there is no justification for allowing its departments
to be exempt from health and safety and building laws that we require
every other New Zealand business to abide by," he said. "The removal
of the exemption will provide incentives for the Crown to avoid
instances of systemic failure -- an aspect highlighted in the Noble
report -- and will provide for greater accountability if a breach
does occur." Mr Goff said a court would be able to order reparation
payments to victims, and make orders instructing the Crown to address
the problem which led to the offence. National and ACT opposed the
bill, which was given its final third reading on a vote of 82-33.
Mr Goff accused National -- which held office in 1995 -- of still
refusing to accept responsibility. "Even after seven years, National
is still in denial, still refusing to implement the recommendations
put in place by the commission of inquiry that the National government
set up," he said. "The National Party prevaricated, and by the time
it left office had failed to implement the last and most significant
of those recommendations." National MP Richard Worth said Mr Goff's
remarks were not worth a response. The reason National did not support
the bill was that it breached the constitutional rule that the Crown
was immune from prosecution. "It's a hard-headed constitutional
law principle which is in place in every country in the western
world which has legal systems patterned on the Westminster system,"
he said. "And New Zealand has decided to go it alone, and for the
first time make a whole lot of crown organisations criminally liable."
Those organisations included the Building Industry Authority, the
police and the defence force. "We have now set in train a set of
events the consequences of which may be truly far-reaching," Mr
Worth said. Mr Worth said the Government was breaching a settled
constitutional principle. "What I find scary about this is it seems
to have done so not as a basis of deliberate action, but rather
on the basis of a misunderstanding and a failure to recognise that
other mechanisms are available," he said. "What I would characterise
it as is pig-headedness -- a deliberate decision to ignore the rule
of law and instead pursue legislation based seemingly on political
correctness." Mr Worth said that if the Crown Law Office decided
to prosecute a government department, the prosecution and the defence
would both come from the same office. "The workability of this legislation
remains very much up in the air." He said chief executives of crown
organisations were criminally responsible under present law, and
compensation regimes were available under civil law. ACT MP Gerry
Eckhoff said the bill was window dressing, and the Government was
trying to give the impression that Parliament was doing something
about addressing crown negligence. "We will not support this bill
because we do not believe it extends to the public the sort of protection
and accountability they expect," he said.
From http://www.nzherald.co.nz/ 10/11/2002
Law Update Likely for Body-Parts
Use
The law governing the removal and retention of body parts could
be changed after hundreds of babies' hearts were kept without consent
at Green Lane Hospital, the Health Ministry said yesterday. Ministry
health services chief clinical adviser Sandy Dawson said the Human
Tissue Act 1964 was vague on issues surrounding consent for the
removal and retention of body parts. Dr Dawson said new legislation
would require a clinician to explain to the family of the dead person
why they wanted to take a body part and what would be done with
it. Written consent would then be obtained from the family for the
collection, retention, use and disposal of organs. Organs would
be removed only if necessary, and would be treated as if being taken
from a living person. In February, it emerged that many of the more
than 1300 mostly babies' hearts and attached organs stored in a
collection in New Zealand's top cardiac hospital had been retained
without consent. A report on the Green Lane heart library by Auckland
lawyer Catherine Ryan, made public yesterday, revealed that of the
183 hearts kept since 1988, 66 were without consent. Ms Ryan said
that after the 1988 Cartwright Report the public expectation was
that parents had a moral right of decision over the use and disposal
of their children's organs. "Public expectation from 1988 of health
professionals that consent to retain organs would have been undertaken
would have been reasonable even if it was not accepted practice
by the medical profession until the mid-1990s." Of the 66 retained
without consent, 26 were taken between 1995 and 2002. A second report
issued yesterday, by the body parts, tissues and substances review
panel chaired by barrister Deborah Hollings, made 31 recommendations.
Seven were to the Health Ministry, including the need to amend the
Human Tissue Act and redefine the Code of Rights to differentiate
between body parts, tissues and substances. New policies based on
the remaining recommendations, which included obtaining written
consent to keep, use and dispose of body parts, had been put in
place with immediate effect by Auckland District Health Board. Chief
executive Graeme Edmond said about 180 hearts had been returned
at the request of parents and relatives. Most callers to the free
heart line that was set up had requested that the heart be kept
for educational purposes. The ministry has been reviewing the legislation
since May. A draft consultation document is expected to go before
the Cabinet in December, with release of the consultation document
in January. New legislation could be in place by as early as 2004.
In the meantime, the ministry will contact other district health
boards, asking them to check that their procedures for handling
human body parts and getting informed consent are appropriate. (by
Marianne Betts )
From http://www.stuff.co.nz/ 10/22/2002
Tax Truce Declared in Papua New Guinea
Port Moresby (Papua New Guinea Post-Courier/PINA Nius Online )
- Provinces will receive 80 percent of a new Goods and Services
Tax (GST) from January 1, 2004, according to an agreement ending
Papua New Guinea's Value Added Tax crisis. The GST will replace
the current Value Added Tax (VAT) which will be collected by the
Government from now until July 1, 2003. The agreement was thrashed
out and signed in Port Moresby yesterday to end the two-week dilemma
brought about by the Supreme Court invalidating VAT last month.
Provinces will collect 80 per cent of GST with the remaining 20
per cent going to the National Government. This reverses the current
situation where the national government keeps 70 per cent of VAT
collections while the provinces get 30 per cent. The agreement was
signed by Prime Minister Sir Michael Somare and Morobe Governor
Luther Wenge. He was the man who went to court two years ago to
claim VAT as unconstitutional and won last month. "The understanding
is that the Attorney-General and Pato Lawyers are going to go to
the court this morning and seek a stay up to July 1, of next year,"
Sir Michael said before the signing. This has led to a consent order
in the Supreme Court, endorsed by Chief Justice Sir Arnold Amet
and Justices Gibbs Salika and Ambeng Kandakasi, to stay the invalidated
VAT decision until July 1, 2003. It ends nearly two weeks of uncertainty
since VAT was outlawed. This caused concerns such as the Government
faced a potential loss of K450 million in funding for the 2002 Supplementary
budget as well as funding for the 2003 Budget framework. VAT collections
amount to K600 million, accounting for a major portion of budget
funding. - Papua New Guinea Post-Courier/PINA Nius Online.
From http://www.pacificislands.cc/ 10/16/2002
Government Denies New Rumours About
Vanuatu Police
Port Vila (RNZI/PINA Nius Online) - The Vanuatu government has
again been forced to publicly dismiss rumours involving the police.
The Prime Minister's spokesman, Daniel Bangtor, said there is no
truth in claims that a militia is being raised by the police paramilitary
wing, the Vanuatu Mobile Force. Last week, Mr Bangtor rejected claims
by Deputy Prime Minister Serge Vohor that Australian police advisors
were spies and undermined Vanuatu's sovereignty. The latest rumours
follow a series of controversial events involving the police, including
the charging of eight senior officers with mutiny, after a complaint
from the government. Earlier a court had ruled that a controversial
police commissioner was not properly appointed, and ruled the appointment
invalid. Mr Bangtor said the paramilitary mobile force is loyal
to the Government, and it has no resources for such an activity.
He said: "The prime minister pointed out that there are certain
people, including some chiefs, who sort of supported the move taken
by the police officers - simply to take advantage of the situation
to discredit the government." - RNZI/PINA Nius Online.
From http://www.pacificislands.cc/ 10/11/2002
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Asia-Pacific Nations Adopt New Zealand
State Model with "Disastrous Effects"
Bangkok (PINA Nius) - If poverty faced by people with disabilities
is to be overcome, Asia-Pacific governments must accept they should
be treated as equal members of society free from discrimination.
This is the message that will be delivered 25-28 October in Otsu,
Japan, at a high-level meeting with more than 300 representatives
from governments, NGO's and United Nations agencies attending. The
meeting, convened by the United Nations Economic and Social Commission
for Asia and the Pacific (UNESCAP), will officially conclude the
Asian and Pacific Decade of Disabled Persons. During the past 10
years, the general awareness of the special needs of persons with
disabilities has improved markedly in the region, UNESCAP said.
But two-thirds of the world's disabled persons live in this region
and 40% of them (roughly 160 million) still live below the poverty
line, it said. Research carried out by UNESCAP has shown that many
persons with disabilities face stigmatization when it comes to seeking
employment and access to public services. States a UNESCAP Review
Paper to be presented to delegates at the meeting: "People with
disabilities, particularly in developing countries, are often the
victims of negative social attitudes and are subject to stigmatization,
neglect, and sometimes exacerbation of the disabling condition or
the onset of new disabling conditions, as a result." Exclusion and
marginalization reduce the opportunities for people with disabilities
to contribute productively to the household and the community, and
increase the risk of falling into poverty. "Women and girls continue
to struggle with a double discrimination based on their gender and
impairment, it adds. They have less access to health care and rehabilitation
services, and fewer education and employment opportunities. Delegates
to the meeting will be asked to endorse a new Asian and Pacific
decade with the theme "Towards an Inclusive, Barrier-free and Rights-based
Society for Persons with Disabilities."
From http://www.pacificislands.cc/ 10/16/2002
TOPˇü
Transparency Key to Asia-Pacific
Trade and Investment Growth
The '2002 APEC Committee on Trade and Investment Annual
Report' will be presented to Ministers and Leaders of the 21-member
Asia Pacific Economic Cooperation forum in Los Cabos, Mexico next
week. The annual report presents Ministers with an outline of accomplishments
and recommendations designed to improve trade and investment between
APEC economies.Chair of the APEC Committee on Trade and Investment,
Ms Ng Kim Neo, said an important issue in this year's report is
the reduction of transaction costs to businesses involved in cross-border
trade."An important part of realizing the APEC goal of creating
the world's largest free trade and investment area by the years
2010 for industrialized APEC economies and 2020 for developing ones,
is the reduction of transaction costs and red tape," said Ms. Ng."The
Committee on Trade and Investment has laid out a number of recommendations
such as increased transparency in the trade and investment policies
of APEC economies". "Increased transparency of policies and procedures
between economies enables a healthier economic environment where
the business sector can plan with greater certainty and predictability
in cross-border trading activities."The APEC Ministerial Meeting
will be held 23-24 October and the APEC Leader's Meeting takes place
26-27 October in Los Cabos, Mexico.
From http://www.apecsec.org.sg/ 10/21/2002
ADB President Supports Continued
Efforts in Good Governance and Policy Reforms
The President of the Asian Development Bank (ADB),
Mr. Tadao Chino, today praised the Government's efforts to stabilize
the economy and reduce the fiscal deficit, during talks here with
Prime Minister Begum Khaleda Zia. Mr. Chino, who is in Bangladesh
for a five-day visit, told the Prime Minister that good progress
had been made in carrying out a number of structural and sectoral
reforms to boost efficiency and accelerate the country's economic
reforms, and he assured the Government of ADB's continued support.
Mr. Chino stressed the importance of good governance and the need
to address the challenges posed by corruption and improving the
quality of public services. He said there was an urgent need to
improve governance and said the establishment of an Independent
Anti-Corruption Commission was critical. He praised the Prime Minister's
initiatives in the overall improvement in the quality of education,
particularly in promoting education for girls. He said that ADB
would continue to play a lead role in assisting the Government in
preparing the next phase of the primary education development program.
Mr. Chino also held talks with the Honorable Minister for Finance
and Planning, Mr. M. Saifur Rahman, and stressed the importance
of subregional cooperation. They also focused on ways of promoting
higher economic growth to substantially reduce poverty, including
the role of the private sector in driving growth. Later in the day,
Mr. Chino attended events to commemorate the 20th anniversary of
the establishment of ADB's first Resident Mission, which was established
in Bangladesh, as well as the foundation stone laying ceremony for
the site of ADB's new office building. "ADB has been one of Bangladesh's
major development partners since the country became a member in
1973. The new Resident Mission building demonstrates our continued
support and commitment to Bangladesh's development and prosperity",
Mr. Chino said. ADB plans to lend more than US$1 billion to Bangladesh
over the next 3 years (2003-2005), a significant part of it from
the Asian Development Fund, ADB's window for concessional loans.
During his visit, Mr. Chino will meet with other senior government
officials, representatives of the private sector and civil society
and other development partners, as well as visit ADB projects. He
will hold a press conference on Saturday. This is Mr. Chino's third
visit to Bangladesh as ADB President.
From http://www.adb.org/ 10/30/2002
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China: Corrupt Banker Gets 15 Years
Zhu Xiaohua, former chairman of China Everbright Group, was convicted
of bribery and sentenced to 15 years imprisonment on Thursday, according
to China's Supreme People's Court. The sentence was made by the
Beijing Municipal No.1 Intermediate People's Court after its first
trial of the case. Zhu was found to have taken about 4.06 million
yuan (US$489,157) worth of bribes from 1997 to 1999 when he was
chairman of the group which controls one of China's largest banks.
Zhu accepted bribes in return for ensuring that Everbright would
buy shares of a specific company, a real estate project and provide
a guarantee for the developer of the real estate project, causing
heavy losses to the group. According to the Beijing court, the sentence
is comparatively light as the court has taken into account the fact
that Zhu declared some crimes above those already known to the court.
From Xinhua News Agency 10/10/2002
TOPˇü
Party Intensifies Supervision
of Officials
The Organization Department of the Central Committee
of Communist Party of China (CPC) announced Thursday that disciplinary
supervision of CPC officials had achieved significant successes
in its crackdown on malpractice. Statistics released by the department
indicate that during the past seven years, a total of 1,963 legal
and disciplinary cases involving CPC officials were investigated
and dealt with accordingly. Some 519 officials at section chief
level and above had been punished for disciplinary offences, while
5,991 officials who had been illegally promoted had been demoted.
Since 1998, the Organization Department has dispatched 39 inspection
groups to 30 provinces, autonomous regions and municipalities in
a bid to intensify the supervision of official promotions and dismissals.
In May 1998, the department opened a whistleblowers' hot-line encouraging
people to disclose official malpractice.
From People's Daily 10/11/2002
TOPˇü
800,000 Hit in China Graft
Crackdown
The Chinese Communist Party is wrapping up investigations
into a number of big-time corruption cases in the run-up to its
16th Congress. The official China News Service reported on Tuesday
that 780,000 party members had been disciplined for economic crimes,
mostly relating to pocketing bribes and other ill-gotten gains.
CNS said more than 30 billion yuan had been recovered, showing "the
party's anti-corruption work had been successful." In his Political
Report to the Congress, out-going President Jiang Zemin is expected
to point out that since 1989, when he came to power, the party has
been able to bring corruption under control. Last week, former state
businessman and People's Bank of China vice-governor Zhu Xiaohua
was given a 15-year-jail term for alleged corruption. Official media
in Beijing earlier this week confirmed that the President of State
Power Corp., Gao Yan, had "disappeared" for a month, and that Gao's
secretary had been subject to investigation by the party's top watchdog,
the Central Commission for Disciplinary Inspection. Another state
businessman, Li Jingwei, also a deputy at the National People's
Congress (NPC), was late last week kicked out of the legislature
for alleged corruption. Court proceedings for former movie queen
Liu Xiaoqing, who was arrested in the summer for tax evasion, are
due to begin in a week or so. Party sources in Beijing said Jiang
was trying to shake off the impression among the populace that corruption
was becoming endemic to the Communist system. They said Jiang and
the official media were instead focusing on the effectiveness of
the party's anti-graft mechanisms. A number of books that purport
to link corruption with the very nature of one-party dictatorship
have since the summer been banned. Moreover, while official newspapers
are given selective permission to carry brief reports on individual
cases of corruption, they are not allowed to link corrupt cadres
with different Communist party factions. Diplomatic analysts have
pointed out the recent spate of arrests of officials in the energy
sector -- a stronghold of 74-year-old NPC Chairman Li Peng -- may
have to do with the dwindling clout of the retiring leader. (by
Willy Wo-Lap Lam)
From http://asia.cnn.com/ 10/15/2002
TOPˇü
Farmers' Pension System Drafted
A new system to provide individual farmers with a
pension is now being drawn up. Once in place, they will transform
lives of China's retired agricultural workers, claimed Yang Yansui
of the Centre for Employment and Security at the Tsinghua University.
As a new system it will not be included in the social insurance
mechanism. To finance the scheme it will be necessary for farmers
to pay into a collective fund every month during their working lives.
By the time they reach 60 they will have accrued sufficient funds
in their individual pension account. The pension moneys will be
managed by professional fund managers who will increase its worth
by investing in various markets. Favorable government policies are
paramount to the success of the scheme, which is expected to bring
rapid and large increases in the value of these pension funds. "We
appeal for no money from government, but policies," said Yang, who
is heading the scheme, which he said should be given "the green
light." For instance, the new pension funds should give the highest
priority to investments with high profits, so that when farmers
claim their pensions at the age of 60, they will receive higher
returns for their deposits, said Yang. "Further more, government
should give direct and firm supervision to the capital operation
of pension funds," he said. The new pension system design program
was jointly launched recently by the Centre for Employment and Security
Studies at the Tsinghua University and the Department of Rural Social
Security under the Ministry of Labor and Social Security. With a
large rural population of 900 million, the question of how best
to deal with the provision of pensions for farmers has long been
the subject of heated debate and dispute, an unnamed ministry official
remarked. But at least now there is a concerted effort to address
the issue. The new system will be based on the former system of
rural social endowment insurance operated by the Ministry of Civil
Administration. The old system was ended in 1999, leaving some regions
reliant on commercial endowment insurance schemes, some with no
pension system and other, more affluent areas, such as the provinces
of Guangdong, Fujian and Zhejiang reverting -- very successfully
-- to the old system and in the process amassing the tidy sum of
21 billion yuan (US$2.53 billion), according to Yang. The new system
would provide a pension scheme for all regions, whatever their differing
circumstances, added Yang. The level of contributions would vary
according to the means of those involved. It is expected that the
final recommendations will be submitted to the central government
next March, by which time the new term of the central government
will have had some time to establish itself.
From China Daily 10/15/2002
TOPˇü
Procurators Come Down on Corruption
in Construction Sector
China's procurators are striving to crack down upon
corruption in infrastructure projects involving huge sums of investment
in the western parts of the country. Han Zhubin, procurator-general
of China's Supreme People's Procuratorate, said the anti-corruption
campaign would zero in on major construction projects, following
the investment of about 600 billion yuan (US$72.3 billion) in the
region. Han called for procuratorial departments in western China's
12 provinces, municipalities and autonomous regions to watch out
for malfeasance, bribery and under-the-counter deals. To ensure
fair tendering, local prosecutors have been urged to double-check
the qualifications of contractors and the impartiality of those
awarding contracts. Earlier this year, a large-scale anti-corruption
campaign was jointly launched by eight government departments, including
procuratorates, taxation bureaus and customs, which has since claimed
substantial successes. Since the beginning of 2001, some 230 corruption
cases have been uncovered in Guizhou Province in projects related
to water conservation, power plant construction and land use. In
Chongqing, China's newest municipality, 101 people have been convicted
in 89 bribery cases, while in Sichuan, relevant officials must sign
a pledge of integrity in every highway construction contract. Statistics
from the Supreme People's Procuratorate show that 36,447 graft and
bribery cases involving 40,195 people -- 20,120 of whom have been
convicted -- were put on file for investigation and prosecution
last year.
From Xinhua News Agency 10/22/2002
TOPˇü
Changing CPC City Leaders
The Central Committee of the Communist Party of China
(CPC) has decided on CPC leaders in Beijing, the national capital,
Shanghai, China's largest city, and Chongqing, a major city in southwest
China. Jia Qinglin is succeeded by Liu Qi as secretary of the municipal
CPC committee of Beijing, while Huang Ju is succeeded by Chen Liangyu
as secretary of Shanghai's municipal CPC committee. Jia and Huang,
both members of the Political Bureau of the CPC Central Committee,
are transferred to posts at the central authorities. He Guoqiang
is succeeded by Huang Zhendong as secretary of Chongqing's municipal
CPC committee. He is assigned to another post.
From Xinhua News Agency 10/23/2002
TOPˇü
CPC Central Committee Departments
Name New Chiefs
The Central Committee of the Communist Party of China
has appointed new heads for the committee's Publicity Department
and Organization Department, Xinhua News Agency reported on Thursday.
He Guoqiang, former secretary of Chongqing's municipal CPC committee
was made minister of the Organization Department of the CPC Central
Committee. He replaced Zeng Qinghong. Liu Yunshan, former deputy
minister of the Publicity Department of the CPC Central Committee,
was promoted to the minister of the department, succeeding Ding
Guangen. He Guoqiang had earlier been succeeded by Huang Zhendong
as secretary of Chongqing's municipal CPC committee.
From http://www1.chinadaily.com.cn/ 10/24/2002
TOPˇü
Japan: Voters Want PM Directly
Elected
Many citizens want to revise Japan's pacifist Constitution
to enable them to directly elect the prime minister and to rewrite
it in plainer language, according to a Mainichi poll.The September
poll found the largest number of people wanting constitutional revision,
47 percent of pollees, since 1993 when the Mainichi began polling
people about whether to revise the Constitution.In post-war Japan,
the Article 9 of the Constitution has long been a source of nationwide
controversy because it bans both the use of force to settle international
disputes and the possession of a national army.Hawkish politicians
and critics want to revise Article 9 to enable the nation to legally
have an army, while pacifists insist the clause must remain untouched.The
controversy over the Constitution has therefore long centered on
whether to change Article 9. Osamu Watanabe, a politics professor
at Hitotsubashi University, said that the large number of pollees
in favor of revising the Constitution doesn't necessarily mean the
number of those who want to alter Article 9 has increased."I think
the younger generations consist mainly of those in favor of constitutional
revision because they want to change current political systems (rather
than Article 9)," Watanabe said.Watanabe's view was also reflected
in the September poll results in that many pollees were concerned
more about civil aspects of life than the military controversy.Of
those who said the Constitution should be altered, a whopping 46
percent said they wanted a revision to be able to elect the prime
minister.Apparently because the Constitution is a translation of
the English version prepared during the occupation period, 40 percent
said the constitutional clauses should be rewritten in clearer Japanese.Another
37 percent said that an article that clearly mentions people's right
to have access to information should be inserted.Only 32 percent
said that the Constitution should be revised to clearly define the
status of the Self-Defense Forces (SDF).A smaller number, 13 percent,
said that in the framework of a collective security pact mentioned
in the United Nations charter, Japan should be able to send forces
when its allies are attacked. The government insists that the Constitution
bans such use of force even though it was intended to allow Japan
to help allies under attack.The September poll targeted 4,554 adults,
and received 2,891 responses.
From http://mdn.mainichi.co.jp/ 09/29/2002
TOPˇü
Koizumi Keeps 11 in New Cabinet
Prime Minister Junichiro Koizumi on Monday reshuffled
his 17-month-old Cabinet, replacing Financial Services Minister
Hakuo Yanagisawa, apparently due to differences over a fresh injection
of public funds into ailing banks. Koizumi gave Yanagisawa's job
to Heizo Takenaka, who will also continue to serve as minister in
charge of economic and fiscal policy. Koizumi retained 11 of the
17 members of his previous Cabinet, including those in key positions,
such as Foreign Minister Yoriko Kawaguchi, Finance Minister Masajuro
Shiokawa and Chief Cabinet Secretary Yasuo Fukuda. It was his first
Cabinet reshuffle since he swept into office in April 2001. The
new Cabinet was officially sworn in at an attestation ceremony at
the Imperial Palace in the evening. "I will reshuffle the Cabinet
to accelerate reforms," Koizumi told the last meeting of the outgoing
Cabinet in the morning. The new appointees are: Tadamori Oshima,
farm minister. Sadakazu Tanigaki, chairman of the National Public
Safety Commission. Shunichi Suzuki, environment minister. Shigeru
Ishiba, director general of the Defense Agency. Yoshitada Konoike,
minister in charge of disaster prevention. Hiroyuki Hosoda, minister
in charge of Okinawa and affairs related to northern territory.
The two ministers from the Liberal Democratic Party's two coalition
partners retained their positions -- Chikara Sakaguchi of New Komeito
as health minister, and Chikage Ogi of the New Conservative Party
as minister of land, infrastructure and transport. Koizumi replaced
Yanagisawa amid mounting pressure to do so from within the ruling
coalition because of the minister's opposition to a fresh injection
of taxpayer money into banks.
From http://www.japantimes.com/ 10/01/2002
TOPˇü
Koizumi: Public Works Excesses
Over
Japanese Prime Minister Junichiro Koizumi has rejected
calls for extra public works projects, saying the time for excessive
spending of taxpayer funds is over. Koizumi is battling a weakening
economy and a share market that has slipped this week to its lowest
level in 19 years on fears about bad debts in the banking system.
"There have been calls for more fiscal spending and an increase
in public works, and demands that an extra budget be compiled,"
Koizumi told reporters as he ended a visit to the Tokyo Stock Exchange
on Friday. He said the time was over when the government could indulge
in excessive spending of tax money on public works projects. But
Koizumi said that he still believed Japan's economic potential was
strong. Finance Minister Masajuro Shiokawa said Friday Koizumi had
encouraged him to set up a safety net for small companies at risk
of going broke. That could include guarantees on loans and steps
to boost jobs. Earlier this week one of Japan's key economic indicators
suggested that recovery is far from confirmed. The closely watched
Tankan survey showed business sentiment improved in the September
quarter, but the gain fell short of expectations. The quarterly
survey, released Tuesday by the Bank of Japan, showed the big manufacturers'
diffusion index improved to minus 14 from minus 18 in June. The
four-point gain contrasted with a 20-point improvement in the June
quarter. After four quarters of contraction, the economy grew by
0.5 percent in the June quarter. But as Japan struggles to consolidate
its tentative recovery, a host of negative factors are weighing
on it. These include a possible spike in oil prices from a war in
Iraq, slower export growth because of the U.S. slowdown -- exacerbated
by this week's West Coast ports shutdown -- and worries about the
mountain of bad debts afflicting Japanese banks. As part of a cabinet
reshuffle on Monday, Koizumi dumped Financial Services Minister
Hakuo Yanagisawa, one of the most vocal opponents of using public
funds to save the banking sector. He replaced him with Economy Minister
Heizo Takenaka, who has since set up a special bank task force that
will report to him within two weeks on possible measures to dispose
of the banks' bad loans. The big four banks have taken a battering
on the markets this week, with Mizuho Holdings and UFJ Holdings
both plunging 15 percent on Thursday. They were again down on Friday,
UFJ losing another 5 percent to reach a record low of 218,000 yen.
Sumitomo Mitsui Banking Corp lost 4.5 percent, but Mitsubishi Tokyo
Financial Group -- regarded as the strongest of the four -- put
on 1.2 percent. Tokyo stocks generally edged up in afternoon trade
Friday as investors focused on blue chips such as NTT DoCoMo, which
closed 10.8 percent higher at 235,000 yen. The key Nikkei 225 average
struggled back 1 percent to 9027.55 after closing below the 9000
mark for the first time in 19 years on Thursday.
From http://asia.cnn.com/ 10/04/2002
TOPˇü
Koizumi's Ruling Bloc Declares
Victory in Parliamentary By-Election
The by-election was the latest test of the Liberal
Democratic Party-led government's popularity since Koizumi took
office in April 2001, though the outcome wouldn't affect the balance
of power in Parliament. By late Sunday, five candidates backed by
the Liberal Democratic Party and its two coalition partners were
assured victory - a gain of one seat - while one seat was secured
by an independent and another by the largest opposition Democratic
Party, according to Japan's public broadcaster NHK. If the preliminary
results stand, the LDP's ruling coalition would hold 282 of the
480 seats in the lower house, and 139 of the 247 seats in the upper
house.'' We've made a remarkable achievement,'' said Taku Yamasaki,
secretary general of the Liberal Democratic Party. ''I promise that
we will continue to fulfill our responsibility as ruling parties
to carve out Japan's future.'' Just six months ago, Koizumi appeared
vulnerable. Economic growth remained flat despite several rescue
packages, and corruption scandals involving LDP lawmakers had helped
opposition-backed candidates win key special elections. But Koizumi's
approval ratings surged last month after his historic summit with
North Korean leader Kim Jong Il. The talks led to North Korea's
admission that its agents had kidnapped 13 Japanese in the 1970s
and 1980s, and five survivors returned to Japan for a visit. Still,
Koizumi's position remains precarious. His reforms have not ended
a decade-long economic slump. And recent attempts to speed a cleanup
of bad bank loans have been thwarted by lawmakers within his own
party, who worry he could tip banks into bankruptcy, worsen joblessness
and imperil a recovery.' 'I am determined to push forward the reforms,
regardless of my support rating or the election results,'' Koizumi
said in Cabo San Lucas, Mexico, where he is attending the Asia-Pacific
Economic Cooperation forum. Sunday's elections were held to fill
upper house seats from eastern Chiba and western Tottori prefectures,
or states, and lower house seats from northern Yamagata and Niigata,
eastern Kanagawa, western Osaka and southern Fukuoka. Candidates
backed by Koizumi's ruling bloc won seats in Niigata, Osaka, Fukuoka,
Tottori and Chiba, according to the early results.
From http://famulus.msnbc.com/ 10/27/2002
TOPˇü
S. Korea: Former PM Lee Han-dong
Announces Presidential Bid
Former prime minister Lee Han-dong officially declared
he would run for the presidency Monday at the 63 Building in Seoul,
saying the country needed a leader of tolerance who was able to
show patriotism, administrative skills, statesmanship, and a high
moral standard. Lee told reporters and supporters of his experience
in all three branches of government over the last 44 years, noting
that as a former prime minister, he was ready to answer the call
from the country. He said he believes he is the only capable candidate
who can resolve the discord between East and West, North and South,
and also the left and the right. "By overcoming the cacophony, I
will establish the strong union," the former prime minister continued.
Lee said he wanted to unite the ruling party, and would compete
with anyone including official Millennium Democratic Party candidate
Roh Moo-hyun and independent runner Chung Mong-joon for the presidential
candidacy. He added he would send a representative to the committee
for the formation of new united party. Around 3,000 guests attended
Lee's declaration, including VIPs such as former finance minister
Jin Nyum, and Lee Jung-bin, Choi In-gi, and Kim Young-ki, the respective
ministers of foreign affairs and trade, government administration
and home affairs, and construction and transportation.
From http://english.chosun.com/ 10/07/2002
TOPˇü
Morally Bankrupt Public Officials
Those public servants who become busy to make the
right connections with politicians as the end of an administration
nears had better just resign from their positions and join the party
to keep their least amount of dignity and conscience. It is almost
embarrassing to see all those officials, coming from Cheong Wa Dae,
the National Intelligence Service, the prosecution, economic agencies
and even the military, studying the political climate and trying
to build personal connections by offering to provide confidential
information. Of course, the oscillation of some public servants
at the end of each term is nothing new, and is not a problem that
Korea solely experiences. However, the degree of current instability
is too serious to consider it routine. There is talk that the opposition
party even refused the surging officials offering tips. The discipline
and order of the government has nowhere to fall now that a file
suggesting NIS eavesdropping on Cheong Wa Dae has shamelessly been
made public. The higher the officials, more they are tempted to
seek "insurance" to keep their positions or pursue promotions. It
is undeniable that politicians are luring government officials.
As long as personnel management heavily depends on regional, academic
and personal relations, such networking cannot be eradicated easily.
Early lame duck administrations pushed the phenomenon, as well as
many other factors, but the current administration is the first
one accountable for blame. Unless the government root out biased
personnel appointment and establish a strict career public servant
system, no administration can count on its officials to remain loyal.
From http://srch.chosun.com/ 10/08/2002
TOPˇü
Premier Promises Fair Management
of Election
President Kim Dae-jung said yesterday South Korea
must guarantee fair play in the December presidential election in
order for the nation to develop into a significant world power in
the 21st century. "I will do my best to hold this election in the
fairest manner in history," Kim said in his speech before the National
Assembly over the government's major policies and its spending plan
on next year's state budget scaled at 111.7 trillion won. Prime
Minister Kim Suk-soo read the speech on behalf of the President,
in spite of a brief controversy flaring up as Speaker Park Kwan-yong
insisted on the President's direct address. In the speech, President
Kim hoped that political parties would be able to agree on political
reform measures aimed at improving first, the high-cost election
culture and second, the shadowy nature of how political funds are
allocated. On inter-Korean relations, the President said he would
encourage North Korea to implement agreements made with the South,
such as the reconnection of cross-border railways and roads and
the reactivation of the Mt. Geumgang tourist industry. He also said
the government will continue close cooperation with the United States,
Japan, China, Russia, the European Union and the international community
to bring about peace on the Korean Peninsula. Pointing out that
uncertainty in the global economy is increasing, Kim said his administration
would be flexible in implementing economic policies to seek a balanced
growth in domestic consumption, exports and investment. He said
the government plans to invest about 10.9 trillion won in social
welfare next year and about 16.8 trillion won in expanding infrastructure,
including the construction of new port facilities in Busan and Gwangyang.
The presidential speech was delayed by one hour due to the speaker's
disgruntlement at its author's absence. National Assembly Speaker
Park refused to preside over the plenary session in protest against
the President's absence, which Park said was tantamount to ignoring
the public. But Park later allowed the prime minister to read the
presidential speech after being lobbied by floor leaders from the
rival parties to proceed with the session. It has been a long practice
for a prime minister to deliver a speech on state affairs on behalf
of a president. But Speaker Park had urged President Kim to make
a speech directly at the National Assembly. "Former presidents came
to the Assembly two or four times to deliver speeches when they
were in office. But President Kim has never visited the Assembly,
except for his one-time presence to congratulate on the inauguration
of the 16th National Assembly in 2000," Park told reporters. President
Kim reprimanded his staff for failing to seek understanding from
Speaker Park on his absence in the Assembly, presidential spokeswoman
Park Sun-sook said. (by Shin Yong-bae)
From http://www.koreaherald.co.kr/ 10/08/2002
TOPˇü
Retired Civil Servants' Groups
Many local governments have been subsidizing retired
civil servants; for instance an organization of retirees from Gyeonggi
Province has billed the cost for its center to the local governing
body, and also receives money for "surveys and studies." A similar
organization in Busan received tens of millions of won under the
excuse of assisting volunteers for international events. The same
practice is reportedly in operation at lower level autonomous bodies.
Organizations of retired civil servants should remain as fraternal
bodies and not moneymaking enterprises; the payment of money to
these groups cannot be justified even if there is a legal loophole.
Another problem is their character; they claim to be civic in nature,
but as they are all retired civil servants, they can form pressure
groups when carrying out business. This is clearly in contrast to
subsidies to civic organizations to promote democracy. The same
problem can be found in central government. Some ministries and
agencies block-buy magazines produced by organizations, or pay them
to carry out assessments of areas related to their former expertise.
The latter may have some merit due to their experience, however
there is the reality that this can be abused as a lobbying channel
utilizing connections. If the current bureaucrats are more interested
in subsidizing their former associates, and retired civil servants
think they can live on using their connections, them administrative
reform is a distant dream.
From http://english.chosun.com/ 10/13/2002
TOPˇü
Two Local Heads May Step Down
Due to Violations of Election Law
The elections of Incheon Mayor Ahn Sang-soo and Jeju
Gov. Woo Keun-min may be nullified, as their accounting managers
were found to have violated the election law, election watchdog
officials said yesterday. The National Election Commission (NEC)
said it asked the prosecution to look into suspicions that the accounting
managers of the two elected administrators violated the election
law during their campaigns for the June local elections. Ahn's chief
accountant is suspected of deleting expenses for meals provided
to campaign volunteers in his financial report, the NEC officials
said. Wu's aide is accused of underreporting the amount spent on
print publications and speaker rentals, they said. Under the election
law, the election of winning candidates can be nullified if they
are fined 1 million won or more for election violations, or if their
family members or accounting managers are sentenced with a jail
term. The NEC also said it found a total of 4,317 cases of election
violations after scrutinizing the expenditures by candidates for
the local polls, which elected more than 4,000 local administrative
chiefs and council members. The election watchdog said it filed
with the prosecution complaints against 187 winning candidates on
charges of violating the election law and asked for the prosecution
to investigate 40 election winners. The number of local administration
chiefs, including ward and county heads and council members whose
elected positions are at stake, amounts to 178, according to the
NEC.
From http://www.koreaherald.co.kr/ 10/14/2002
TOPˇü
4 Tax Officials Investigated
on Bribery Charges
State prosecutors are questioning four senior tax
officials on charges they took bribes from a representative of an
entertainment firm. The four tax officials allegedly took 5 million
to 10 million won from Paik nam-soo, head of A-Stars Entertainment
between 2000 and last year, a prosecution official said. They took
the bribes in return for softening a planned tax probe of the entertainment
company, the official explained. One of the officials, identified
only by his family name Yoo, will be arrested and indicted while
the three others, who received relatively small bribes, will likely
be referred to the disciplinary committee of the National Tax Service
for punitive measures, the source pointed out.
From http://www.hankooki.com/ 10/20/2002
400,000 Seoul Citizens Below
Poverty Line
About 400,000 Seoul residents are living beneath the
poverty line, a municipal think tank reported yesterday. In the
report on the capital's underprivileged, the Seoul Development Institute
said that about 170,000 citizens comprising 80,000 households live
on subsistence payments from the state or the city administration.
However, more than twice that number, or around 400,000, are estimated
to live under the poverty line in Seoul, which has a population
of slightly over 10 million, the think tank said. The poverty threshold
for a family of four is a monthly income of 990,000 won ($808),
while the poverty line for a single-person household is 330,000
won. According to the report, about 200,000 illegal foreign workers
are residing in Seoul and Gyeonggi Province and about 80 percent
of them live on a monthly income of about 200,000 won. The number
of homeless people sleeping in parks or subway stations is estimated
at roughly 400, while those subsisting on free food provided by
charity organizations number more than 2,000 a day. About 2,500
people live in the city's homeless shelters, while single senior
citizens, handicapped people and alcoholics sheltered in the city's
welfare facilities total about 3,000. The report estimated the number
of temporary workers to be 1.3 million, or 40.5 percent of the total
number of paid employees, with a considerable number of them receiving
wages below the poverty line. "A comprehensive set of policy measures
should immediately be taken to lift the needy from poverty because
most of them are excluded from welfare and social insurance benefits,"
the report said.
From http://www.koreaherald.co.kr/ 11/01/2002
TOPˇü
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Indonesia: Government Criticized over
Handling of IDPs
The United Nations criticized on Thursday the government's poor
handling of internally displaced persons (IDPs), urging government
officials to comply with the guidelines it had issued. Michael Elmquist
of the UN Office for Coordination for Humanitarian Affairs (UN OCHA)
said that Indonesia's compliance with the UN guidelines fell well
short of what was desirable. The Indonesian government succeeded
in providing protection to the life and dignity of IDPs but fell
short of protecting the assets that refugees left behind, said Elmquist,
adding that the government had once told him it was not even aware
of this duty. To help Indonesia deal with IDPs, the UN had issued
a booklet outlining the UN guidelines on refugees, and to make these
guidelines easier to understand among officials in the regions,
a non-governmental organization called Baris Baru issued the booklet
as a comic. Meanwhile, activists said Thursday that despite budget
constraints, the government could do more for the country's over
1.2 million IDPs, starting by following the United Nations (UN)
guiding principles on refugees. Out of Indonesia's 30 provinces,
22 are sheltering a total of 1.24 million refugees, making it number
five among countries with the highest number of IDPs after Angola,
Sudan, Congo, and Colombia. "The problem with refugees is more than
the cost they represent for the state budget," said Rully N. Amrullah
of Nurani Dunia, a foundation supplying humanitarian aid to victims
of social and natural disasters. "Still the government treats them
(refugees) like objects." Maulana Mahendra of the non-governmental
organization Baris Baru criticized the government's decision to
revoke the refugee status of nearly 1 million people, making them
disappear on paper. "It's wrong to think that by revoking their
status the problem is over," Maulana said. "It will not be over
as long as conflicts continue to exist." Coordinating Minister for
People's Welfare Jusuf Kalla surprised many at a workshop on refugees
last month when he said that the number of refugees had dropped
to 300,000. He also pledged to resolve the refugee problem in three
months time, or by the end of this year. By cutting the official
number of refugees the state hopes to save on expenses. A government
paper estimated the cost at Rp 1.5 trillion (about US$166 million)
just to cover refugees' needs for bare essentials such as food,
shelter and medical care. Although the paper did not say over what
period these costs corresponded to, they are likely to come from
this year's state budget which is already suffering from an estimated
shortfall of Rp 42 trillion. Much of the taxpayers' money goes on
repaying debts to foreign creditors and recapitalized banks, leaving
little behind for social and welfare-related spending. This situation
has been the main reason behind the decision to stop food handouts
to refugees in many parts of the country. Some refugees still get
foreign aid, although this too is decreasing. "It's more a problem
of approach than money," said Rully. The government's approach to
refugees was misguided and on this, he said, the UN Guiding Principles
on Internal Displacement could be a starting point for change. The
UN guidelines identify refugee rights that a state should protect.
They are not binding. And although the government's national policy
on refugee was partly based on the UN guidelines, Rully said this
fact was not apparent in how it handled the problem. "The guidelines
treat them (refugees) as people that are part of society," he said.
For example, Rully pointed out, the government should have consulted
refugees about their needs before helping them. He and his colleagues
had found relocation projects that remained deserted despite the
billions of rupiah poured into them. "But the government handles
the matter as one involving state projects that must go through
the usual channels," he explained. Several points of the UN Guiding
Principles on Internal Displacement - Every human being shall have
the right to be protected against being arbitrarily displaced form
his or her home or place of habitual residence. (principle 6) -
Every internally displaced persons (IDPs) has the right to liberty
of movement and freedom to choose his or her residence. (principle
14) - The property and possessions of IDPs shall in all circumstances
be protected. (principle 21 point 2) - Competent authorities have
the primary duty and responsibility to establish conditions, as
well as provide the means, which allow IDPs to return voluntarily,
in safety and with dignity, to their homes or places of habitual
residence, or to resettle voluntarily in another part of the country.
(principle 28 point 1) - Special efforts should be made to ensure
the full participation of IDPs in the planning and management of
their return or resettlement and reintegration.
From http://www.thejakartapost.com/ 10/05/2002
TOPˇü
Review of 300 Commercial
Court Verdicts Reveals Flaws
A government-appointed team found numerous flaws
in 300 bankruptcy verdicts handed down between 1998 and Feb. 2002,
lending weight to allegations that the country's nascent commercial
court is not up to the task of reigning in wayward debtors. Established
as part of the International Monetary Fund (IMF)'s reform program,
the team evaluated the quality of verdicts in the four years since
the commercial court was created in 1998. Numerous odd decisions
were found among the 300 verdicts the team has sifted through
since September last year, said team member Ricardo Simanjuntak
on Monday. "When judges hand down inconsistent verdicts in cases
that are alike, that is when legal uncertainty sets in," he said
during a press meeting. "They (judges) seem to issue verdicts
on a whim and do so without providing legal arguments to justify
them." The team of lawyers and former judges had yet to issue
a conclusion based on their findings. But Ricardo explained that
the review, known as an annotation, should be seen more as an
academic discourse rather than criticism of the court. The annotation
of a the 1999 case of Singaporean creditors Overseas-Chinese Banking
Corporation Ltd and Industrial & Commercial Bank Ltd versus PT
Aster Dharma Industri, questioned the court's decision to use
Indonesian law when the contracts involved clearly stated that
Singaporean law would apply in the event of a dispute. In another
case, Ricardo said, the judges overruled a decision by the majority
of creditors to declare the debtor bankrupt. By law, two-thirds
of the creditors representing more than half of a company's debts
are enough to declare the company bankrupt. "This particular case
had 80 percent creditors voting against the debtor, and still
the court ignored them," Ricardo said. The team is led by noted
legal expert Kartini Muljadi and was established in August last
year by the Commercial Court Steering Committee -- a body under
the National Development Planning Board (Bappenas) that is aimed
at improving the performance of the commercial court. Commenting
on public concerns about court mafias, Ricardo said his team had
not gone so far as to investigate the suspicions. "We only looked
at the quality of the court's verdicts, but not the processes
leading up to them," he said. "We have left these processes up
to the Ombudsman to question," he explained, referring to the
National Ombudsman Commission, an independent body responsible
for investigating complaints about public services. Critics have
taken particular exception to the rampant corruption plaguing
the country's judiciary, and say that the bankruptcy court has
merely provided another new cash cow to be milked by corrupt court
officials and lawyers. "This (review) isn't about confirming criticism
of the court," said Center for Legal Studies' chairwoman Emmy
Yuhassarie. "We wanted the commercial court processes to be speedy,
fair and transparent." Regardless of the corruption charges, the
team's findings further confirm suspicions among creditors that
the commercial court was ineffective as a tool for recouping money
from recalcitrant debtors. The Indonesian Bank Restructuring Agency
(IBRA), which has been trying to recoup trillions of rupiah in
taxpayers money from debtors with little success, stands as a
testimony to the problems plaguing the court. Consequently, debt
restructuring talks have been the main medium used to settle creditors'
claims. But analysts fear that without an effective bankruptcy
court, creditors lacked the leverage to demand better restructuring
deals from debtors. Following concerns raised by investors as
well as foreign lenders such as the World Bank and the IMF, Indonesia
is revising its bankruptcy law. Ricardo said the new bankruptcy
bill promised better definitions on frequently disputed terms
such as debtor, creditor and debt.
From http://www.thejakartapost.com/ 10/15/2002
TOPˇü
N. Sumatra Officials to
Probe KKN
MEDAN, North Sumatra: North Sumatra Legislative
Council speaker Ahmad Azhari said on Monday that he would soon
set up a special team to investigate allegations of corruption,
collusion and nepotism (KKN), which involved the use of some Rp
10 billion in public funds and the sale of 50 luxurious cars at
provincial administration offices. Speaking in a response to a
demand from six local non-governmental organizations (NGOs) on
Monday, Ahmad said the special team would be established next
week and currently the Council was selecting its prospective members
of the team. Medan Legal Aid Institute (LBH) chairman Irham Buana
Nasution, who is also the spokesman of the six NGOs, said the
team should not protect any errant officers involved in KKN. He
added that the provincial prosecutor's office would also have
to be active in investigating the cases.
From http://www.thejakartapost.com/ 10/16/2002
TOPˇü
Malaysia: Integration Must
Start at Civil Service Level
Racial integration should start from the civil service,
according to a Gerakan delegate. Federal Territory delegate Dr
Hsu Dar Ren said there should be similar opportunities for employment
and promotion. "Only then, we can call ourselves multiracial.
There will be less discrimination but more understanding among
the races," he said when debating the presidential address at
the 31st Gerakan national delegates conference yesterday. Another
delegate from Kelantan voiced his dissatisfaction over programmes
by the Government in overcoming social problems. He said the increasing
number of youths getting involved in social problems went to show
that government programmes had been ineffective. He said social
programmes had benefited upper class youths and not those in the
lower strata of society. Another delegate from Johor said a lot
had been spoken about the importance of Information and Communication
Technology (ICT) but not much effort had been put in to ensure
the move forward. "Facilities in ICT are important for the society
to leap forward but what is important is where we land after the
jump," he said.
From http://thestar.com.my/ 10/06/2002
TOPˇü
National Health Insurance
Scheme in the Offing
A national health insurance scheme for all Malaysians
which will ease the financial burden on the Government is in the
offing. Prime Minister Datuk Seri Dr Mahathir Mohamad said the
cost of providing free or minimal cost medical treatment was becoming
too much for the Government to bear. "We do not want to burden
the people but the Government has a limit to what it can spend.
"We have already increased the allocation to the Health Ministry
by 20% in the Budget. It is the biggest ever allocation (to the
ministry) but it is still not enough,'' he said after launching
the national-level World Vision Day here. Dr Mahathir said having
the scheme was inevitable because the price of medicine and the
cost of treatment have increased drastically over the years. He
said there was a time when a bottle of cough medicine cost one
sen. "Nowadays, we have to give a lot of antibiotics, some of
them cost as much as RM5 per capsule,'' he added. The idea of
a scheme was floated in 1997. It, however, provoked strong opposition
from the people and was put on the back burner following the economic
crisis that year. Dr Mahathir, who is also Finance Minister, said
it was not fair for those who could afford it to seek treatment
at Government hospitals. For example, he said, factory owners
were sending their workers to Government hospitals to seek medical
treatment because it was free. He said civil servants would, however,
continue to receive free medical treatment at Government hospitals
because it had been their right all along. Asked which country
the Government was looking at as a model for the scheme, Dr Mahathir
said it would not be the British model because it was contradictory.
Earlier, Health Minister Datuk Chua Jui Meng said studies showed
that three out of every 1,000 Malaysians were blind. He said most
of the blindness could be prevented or controlled, adding that
modern technology had allowed some cases of blindness to be cured
through surgery.
From http://thestar.com.my/ 10/12/2002
TOPˇü
Mahathir Grateful for an
Efficient Civil Service
Prime Minister Datuk Seri Dr Mahathir Mohamad paid
tribute to the country's one million civil servants, saying that
the public administration was more efficient than that of many
other developing countries. This was proven by the fact that many
of the country's administrators were invited overseas to give
their views and train administrators of other countries, he said.
"I am happy that members of the public service act like a family
because this is very important for the smooth running of the country's
administration," he said at the Public Service Department annual
dinner at the Palace of the Golden Horses here last night. He
said he was grateful that there had not been any incident where
the public service employees had gone on strike. Dr Mahathir stressed
on the importance in picking the "right leader" for such an organisation
because if a wrong leader were to be chosen, government policies
would not be successfully implemented. "In terms of money, the
public service handles around RM30bil. If a leader were not efficient,
the money would not be properly spent and if he were not trustworthy,
it would not be utilised to bring benefit to the country and its
citizens," he said. Touching on the salary scheme, Dr Mahathir
said it was not possible to satisfy everyone, and this resulted
in some people accusing the Government of being unfair. He said
he hoped the Public Service Department (PSD) would find a way
to correct the problem as much as possible. Similarly, he said
the choice of PSD scholarship recipients, which had also created
some dissatisfaction, was not only based on scholastic results
but also other factors like the person's character.
From http://thestar.com.my/ 10/15/2002
TOPˇü
24-Hour Magistrate's Court
from Next Year
The 24-hour magistrate's court system for weekends
and public holidays will be implemented nationwide early next
year, said Chief Justice Tun Mohamed Dzaiddin Abdullah. The move,
proposed by the Malaysian Human Rights Commission (Suhakam), is
to ensure prevention of abuse of the remand process. "I have received
Suhakam's report on the matter and I will look into the recommendations
made," Dzaiddin said after opening a two-day seminar entitled
"A Practical Approach to Criminal Procedure" at the Putra World
Trade Centre yesterday. Suhakam chairman Tan Sri Abu Talib Othman
had said last week that the proposal was made because suspects
arrested on Saturdays and on the eve of public holidays had often
been left in police lock-ups for more than 24 hours but released
on the next working day after no case was found against them.
According to the law, a suspect has to be produced in a magistrate's
court for a remand order within 24 hours after he is arrested.
In his keynote address at the seminar, Dzaiddin touched on the
need for all factions of the legal fraternity to keep pace with
current problems in the legal system. "We have to see whether
our system of criminal law has got its priorities right. "I believe
the rising crime and fear of crime have shown no real signs of
abating. And since those conversant in these matters would acknowledge
that crime rates have precious little to do with anything done
by the police, the courts or the penal agencies, symbolic measures
then become the order of the day," he said. He said what was needed
currently was an approach that could encapsulate the current thinking
of strengthening any weakness by looking at forms of justice in
other countries. "If the public stand critical or sceptical about
the criminal procedure as they see them, or even if they are ambivalent
about them, it is important firstly to understand the constraints
that are placed on the players in the system. "This is because,
if the past is to teach us anything at all, it is that there are
no quick and easy solutions to anything," he said. He added that
the criminal justice system, being complex in nature, would make
the attempts to change the process take a longer time. Stating
a personal view, he said the current criminal procedures, when
set against the backdrop of real-life situations, appeared to
be wanting. Also present at the seminar, jointly organised by
the Judicial and Legal Service Officers Association and LexisNexis
Butterworths were Chief Judge of Malaya Tan Sri Ahmad Fairuz Sheikh
Abdul Halim, Chief Judge of Sabah and Sarawak Tan Sri Steve Shim,
Attorney-General Datuk Seri Panglima Abdul Gani Patail and Attorney-General
of Brunei Datuk Paduka Awang Kisrawi Kifli. (by Chelsea L.Y. Ng)
From http://thestar.com.my/ 10/16/2002
TOPˇü
Philippines: House Oks
Reforms in Gov't Purchasing
The House of Representatives passed on second reading
the proposed Government Procurement Reform Act, an administration-backed
measure that Speaker Jose de Venecia said will eliminate annual
revenue losses of about P30 billion due to the existing graft-ridden
procurement system. House Bill No. 4809 received bipartisan support
during the voting Tuesday night for its objective of streamlining
the procurement process and opening government procurement to
a wider base of private contracting parties. De Venecia, who authored
HB 187 which is one of the versions of the measure, said government
should expect a savings of from P20 billion to P30 billion that
is lost annually due to leakage in government purchases and capital
expenditures. He explained that HB 4809 will "overhaul government's
system of bidding and provide transparency in the acquisition
of goods and services. It also adapts into the purchasing system
the latest technological advances. The approved measure was a
consolidation of De Venecia's bill and those filed by Majority
Leader Neptali Gonzales II (HB 333) and Rep. Carlos O. Cojuangco
(HB 298). The bill imposes a six to five years imprisonment for
fraud and conspiracy, connivance and collusion between private
individuals and public officials in the purchase of government
supplies. At the same time, it removes the tedious prequalification
process when inviting bidders for a government contract. "It will
now require a simole eligibility check, and only when a winning
bidder is chosen will the usual qualification test be undertaken
to simply and fastback the bidding process," De Venecia explained.
According to him, the measure provides for a long warranty period
of up to five years for public works project undertaken by private
contractors. Electronic bidding will also be allowed, thus, promote
transparency and greater competition. HB 4809 will also create
a Government Procurement Policy Board that will professionalize
procurement officers and ensure that procurement officials and
supply officers of variious government agencies will undergo procurement
training programs to protect them from unjust legal suits arising
from the performance of their duties. "Corruption in government
biddings had been so pervasive that it has become standard operating
procedure," Gonzales said in defending the measure. On the other
hand, Cojuangco noted that "one of the primary sources of graft
and corruption is the inept and inefficient system of procurement."
"Graft and corruption in government is one of the many factors
that is preventing our country from achieving sustained economic
development," the Negros Occidental lawmaker added. (by Ben R.
Rosario)
From http://www.mb.com.ph/ 10/23/2002
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Singapore: To Be, or Not
to Be, A Services Centre for Region?
Relaxing visa rules will bring in a flood of tourists,
but may pose security risks for Singapore. And while opening up
the legal sector to foreign firms benefits the economy, local
lawyers could be forced out of business. Trade-offs like these
are common and evaluating them can lead to bottlenecks in policy-making,
said the Economic Review Committee's services sub-committee yesterday.
This is why ministers must be put in charge of weighing the pros
and cons of developing services sectors like tourism, health care
and education. Equipped with a bird's-eye view of national priorities,
ministers also have the clout to push decisions through, said
sub-committee chairman Khaw Boon Wan. 'Services is, unlike manufacturing,
especially subject to regulations. And these are not frivolous
regulations, but there for strong social reasons. 'A ministerial
committee... offers us the platform to debate the trade-offs.
The tension between economic and social objectives can be better
managed that way,' he added. Mr Khaw was speaking at a press conference
to sum up his sub-committee's recommendations in the different
services sectors - trading, financial services, health care, education,
logistics, info-communications technology, legal services, tourism
and the creative industries. In each case, the strategy was broadly
similar: Make Singapore a hub for the region, and possibly the
world, by exploiting its talent, infrastructure and reputation.
Sceptics have questioned whether Singapore is being realistic
in attempting to be home to so many different 'hubs'. Quoting
former Economic Development Board chairman Philip Yeo, Mr Khaw
said Singapore's services engine must have 'multi-cylinders'.
But he added it was more difficult to pick winners from the diverse
services sector. Still, Singapore must take its chances where
it can, said Mr Khaw, who is also Senior Minister of State for
Transport and Information, Communications and the Arts. That's
because success can bring some 200,000 jobs - assuming that the
services sector grows at 6.5 per cent annually over the next 10
years. Emphasising the importance of the Government's role, Mr
Khaw said that the Trade and Industry Ministry (MTI) should be
held accountable for the overall health of the services sector.
But this arrangement could only work if each cluster in the diverse
services sector had its own champion to work with MTI to 'push
the envelope' with regulators. Although the Economic Review Committee
covered service industries ranging from established ones like
tourism and financial services to nascent ones such as design,
media and arts and culture, these 15 recommendations cut across
all clusters. Regulator cannot be promoter. Regulator cannot be
player. Government should outsource such services to local enterprises
wherever possible. Promote regional and global demand. Stimulate
local demand, where appropriate. Trade and Industry Ministry should
be the overall champion for the services sector, but within each
service cluster, there should also be a clear champion. Conduct
a regular review of regulations that have negative impact on development
of the service industries. Recommendations should be made to MTI
to axe or modify such rules. Push on with corporatisation and
privatisation of government agencies, since much of expertise
in many service industries are in public sector. Have an agency
to take stock of government intellectual property and then sell
or license it for commercialisation. Give incentives to research
institutes and universities to license their intellectual property,
besides taking the usual approach of starting a company. Support
technology and skills transfers from government intellectual-property
owners to locally-based companies. Technology can also be developed
jointly. Put in place a systematic, well-articulated policy of
making land available to appropriate service industries. Have
public endowments. Allocate annual budget for development and
endowment of cultural institutions like the Esplanade and museums,
to create a tradition of active corporate sponsorship. Encourage
private endowments through favourable tax treatments and also
continue to acknowledge and celebrate such donations. Conduct
a comprehensive review of manpower training for the services industries,
with a view to bringing such training into the mainstream. Address
lack of training of service professionals at tertiary level. This
is especially urgent for emerging creative industries. For the
services sector, the Economic Review Committee has narrowed its
shortlist of promising industries to these: trading, financial
services, health care, education, logistics, info-communications
technology, legal services, tourism (left) and the creative industries.
But sub-committee chairman Khaw Boon Wan noted that it was more
difficult to pick winners from the diverse services sector. And
unlike manufacturing, the attraction of one or two key companies
here may not be enough to kick-start any particular cluster. So,
despite coming up with the shortlist, ''you cannot hope that all
the eight clusters will be of equal size'', he said.
From http://straitstimes.asia1.com.sg/ 10/15/2002
TOPˇü
Viet Nam: Judicial Reform
Steering Committee Gets Cracking
The Steering Committee for Justice Reform has sought
the disposal of all cases now pending in the nation's courts and
completion of judicial reform programmes by the end of this year.
These were resolved on Thursday, at a regular meeting of the committee,
which also spelled out several other tasks before it by the turn
of the year. These include re-examining the judicial workforce,
strengthening the organisation of law agencies, solving major
cases, pushing ahead with preparatory work for new legislation,
and reviewing death sentence cases. Improving infrastructure for
law-enforcement bodies, especially buildings housing their offices,
and gaols for temporary detention at district level, are at the
top of the agenda. Another important task would be to finalise
drafts for the Justice Reform Strategy for the next eight years
and next year's Concentrated Judicial Work Programme, besides
strengthening implementation of the Party Central Committee's
Resolution No.8 on judicial reform. Politburo member and the steering
committee's Director, President Tran Duc Luong urged the committee
to do more to enhance the quality and responsibility in functioning
of judicial organisations. The meeting disclosed a decision by
the Party Politburo to appoint six senior officials from State
agencies to join the steering committee. They are Public Security
Minister Le Hong Anh, Presiding Judge of the People's Supreme
Court Nguyen Van Hien, Justice Minister Uong Chu Luu, State President
Office's Director Nguyen Van Chien, NA Law Commission's Director
Vu Duc Khien and the Viet Nam Attorney Association President Pham
Hung.
From http://vietnamnews.vnagency.com.vn 10/07/2002
1,000 Officials Sign Petition
for Review
About 1,000 officials of three departments, the
new Ministry of Natural Resources and Environment and the Agriculture
Ministry have petitioned for a review in the new structure, saying
the division of manpower and authority is unfair. Apart from draining
most of the manpower from the Forestry Department to the two new
departments _ Natural Park, Fauna and Flora, and Marine and Coastal
Resources, the change has created disunity among officials of
the three departments. Under the new bureaucratic structure, the
forestry department falls under Agriculture and the other two
departments are under Natural Resources and Environment. Signatories
include M.R. Pattrachai Ratchanee, a deputy chief of the forestry
department. The petition is addressed to the palace, speakers
of the Senate and the House, the prime minister and his deputies.
From http://www.bangkokpost.com/ 10/30/2002
Poll Body May Go for Single
Major Change
The Election Commission is likely to recommend only
a single major amendment to the constitution _ reducing the representation
of politicans on the panel which selects poll commissioners. The
change was suggested by two panels set up by the commission to
study the possible amendment of the charter and three organic
laws _ the MP and Senator Election Act, the Political Parties
Act, and the Election Commission Act. The panels' finding will
be passed to the five election commissioners, who will then decide
whether to formally send the recommendation to the government.
The Election Commission, the Constitutional Court and the National
Counter Corruption Commission are empowered to recommend constitutional
changes to the government or parliament once the five-year no-amendment
period is up. The current constitution was approved by His Majesty
the King on Oct 12, 1997. Commission spokesman Piroon Chatvinitchakul
said the problems with putting provisions of the charter into
practice stemmed from the fact the constitution was new and unfamiliar
to the people applying it. Glitches had to be tackled through
the improvement of relevant procedural regulations. Application
of its provisions had become smoother since agencies such as the
Constitutional Court and the Administrative Court had set precedents
resolving ambiguity in its interpretation. ``The panels share
the view that the charter is working just fine,'' Mr. Piroon said.
If any fine-tuning was needed, it should be to article 138, to
lower the number of politicians sitting on the panel selecting
candidates to the Election Commission. Currently, four selection
panel seats are reserved for politicians with no provision whether
they should be from the government or opposition. By their sheer
numbers they could manipulate the shortlisting of finalists who
would subsequently be chosen commissioners by the Senate. The
panels thought there should only be two politicians, one government
and one opposition member, involved in the selection process.
The number of university rectors should also be cut from four
to two. The resulting vacancies should be filled by heads of independent
agencies such as the Human Rights Commission, National Counter
Corruption Commission and the Attorney-General's Office. Other
ideas floated by members of the two panels included making voting
in a referendum compulsory, abolishing expatriate voting and moving
ballot counting from a designated central point back to the individual
polling stations. These proposals were rejected. Mr. Piroon said
the panels felt the Election Commission Act should not be adjusted.
All pollwatch and election administration powers should rest with
the commission. The Political Parties Act, however, contained
``amendable'' provisions. Changes were advised to article 21 to
stipulate that a person may be member of only one political party
and article 42 to require only the chairman and treasurer of a
party branch to declare their assets and liabilities to the state.
As for the MP and Senate Act, the panels agreed ballot counting
should be by electronic machines rather than manually. Other changes
proposed included allowing poll officials to start counting ballots
on the morning after election day instead of immediately after
the polls close. This would allow them a rest period. There should
also be a relaxation of the rules so a fresh election would not
be necessary if the discrepancy between voter turnout and the
actual number of ballots counted did not exceed 0.3%. However,
a fresh election should be ordered in constituency where there
was only one candidate and voter turnout was below 20% of eligible
voters. Mr. Piroon said no amendments should be pushed through
unless they involved ``life and death'' matters. (by Mongkol Bangprapa)
From http://www.bangkokpost.com/ 10/30/2002
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Bangladesh: Major Reshuffle in Admn
The government in its latest effort to streamline the administration
has brought a series of changes in the last couple of days. The
change was brought in the top positions of the Ministry of Food,
of Information, and Energy and Mineral Resources. Eleven districts
also have new Deputy Commissioners (DC). According to an Establishment
Ministry order, Food Secretary Abdul Latif Mondol, whose name surfaced
in the recent wheat scam report, was made an officer on special
duty (OSD. Kairuzzaman Chowdhury, Secretary Ministry of Energy and
mineral Resources was made Food Secretary. Information Secretary
Mirza Tasadduk Hossain Begh was transferred to Planning Commission
while Nazmul Alam Siddiqi, Director general of BTV was appointed
Acting Secretary in the Ministry of Information. Khandaker Shahidul
Islam , Additional Secretary of the Ministry of Finance was made
Acting Secretary of the Ministry of Energy and Mineral Resources.
Meanwhile, new DC's were appointed in Dhaka, Sylhet, Patuakhali,
Jessore, Kishoreganj, Narail, Luxmipur, Feni, Khagrachhari, Mymensingh
and Pabna. Barrister M Haider Ali, DC, Dhaka was appointed Deputy
Secretary in the Cabinet Division while Ashraful Maqbul, DC Pabna
was appointed DC, Dhaka. Similarly, Patuakhali DC Shafiqul Islam
was appointed DC in Mymensingh and M Mahfuzur Rahman, DC of Kishoreganj
was appointed DC Jessore. AKM Jahangir, DC Narail was appointed
DC of Pabna and Prashanta Bhusan Barua was transferred from ERD
to Patuakhali as new DC. Abdul Mannan Hawlader was transferred from
Land Record and Survey Department to Luxmipur as new DC while Farhad
Uddin was transferred from Settlement Office to Narail as new DC.
Humayun Kabir Khan, Secretary, Chittagong District Council was appointed
DC of Khagrachhari and Fazley Kabir was transferred from the Ministry
of Health to Kishoreganj as new DC. Mohammad Mostafa was transferred
from the Ministry of Land to Feni as new DC and Anwarul Kabir from
the Ministry of Establishment to Narayanganj as new DC. Six other
Deputy Secretaries were also transferred in the latest round of
administrative reshuffling. They are Abdul Karim( Ministry of Energy
and Mineral Resources), M Mozaffar Rahman Chowdhury (Ministry of
Communication), M Hasanur Rahman (Science and Information Communication
Technology), Razia Begum (Ministry of Establishment), M Shafiul
Karim ( DC Land Reform, Dhaka), Qamrul Hasan (Director, Youth Development).
Lt Col M Ruhul Ameen was appointed Principal of Bangladesh Krira
Shikkha Parishad (BKSP).
From http://independent-bangladesh.com/ 09/27/2002
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Local Govt Bodies to Get More
Powers: PM
Prime Minister Khaleda Zia said yesterday that her
government had decided to decentralise the administration devolving
more powers to local government bodies for accelerating development
of the country. She was talking to a 10-member delegation from London's
Tower Hamlets area led by leader of its Council Helal Uddin Abbas
when it called on her at the Prime Minister's Office in the afternoon.
More than 45,000 Bangladeshi expatriates reside in the Tower Hamlets
which has a population of nearly 200,000. Some 28 of the 51 elected
councillors of the area are Bangladeshis involved in development
programmes. The prime minister during the meeting hoped that sharing
experiences with local-tier leaders of Britain would help enrich
Bangladesh's local government system. The delegation informed that
they had already met the minister for Local Government and Rural
Development and learnt about the development programmes of the present
four-party alliance government. Appreciating various steps and reform
programmes of the government, the delegation said such efforts would
have long-term positive impacts. The delegation informed the prime
minister that they had taken up a programme to train young local
government leaders for management and development administration.
They also showed their interest in imparting training to teachers,
nurses and catering personnel. The delegation will also help Bangladeshis
in getting admitted into postgraduate certificate courses on language.
Prime Minister Khaleda Zia welcomed the decision and said such training
would help trainees secure jobs at home and abroad. She put special
emphasis on the council's assistance in setting up modern language
laboratories. Appreciating the success of Bangladeshi councillors
in integrating themselves with the development process and politics
of the UK, she billed each of them as an "ambassador of Bangladesh".
The PM urged them to uphold Bangladesh's image and culture abroad.
She also urged the councillors to participate in development efforts
of Bangladesh and also encourage foreign investors to avail of the
opportunities provided for foreign investment. She particularly
mentioned development of ICT sector in Bangladesh. Among the Tower
Hamlets local body councillors were deputy leader Denise Jones,
chief executive Christine Gilbert, corporate director Stephen Grix,
councillor Helal Rahman, councillor Shafiqul Haque, councillor Mohammad
Abdus Salique, and businessmen Kaiser Ahmed, Rafique Hayder and
Mahmud Hasan. Prime Minister's Political Secretaries Haris Chowdhury
and Mosaddek Ali, and Principal Secretary Dr Kamal Uddin Siddiqui
were also present on the occasion.
From http://www.dailystarnews.com/ 10/15/2002
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Central Economic Reforms Commission
Takes Shape
New Delhi: While it's early days yet, India's Central
Economic Reforms Commission may just about be getting created. Once
the Cabinet approves the Tenth Five Year Plan (in the last week
of October) and the National Development Committee clears in by
the end of next month, the Planning Commission proposes to set up
a steering group which will monitor the implementation of economic
reforms proposed in the Plan document. The monitoring will take
place ministry-wise. (This is the first time the Planning Commission
is ever monitoring the progress of government policies.) Apart from
the physical allocations for various sectors, a first from this
Plan is that it lays out a clear road-map for economic reforms in
each sector. In the Department of Posts, for instance, the Plan
asks for setting up an independent regulator which will fix tariff
levels, as also for increased private sector participation. So,
once the Plan is approved (the NDC cleared the approach to the Plan
last year), the Planning Commission will ask the ministry to outline
its approach and set deadlines for achieving this. Broadly speaking,
each of the six members of the Commission is in charge of different
sectors. Som Pal, for instance, is in charge of agriculture and
rural development, S.P. Gupta in charge of employment, N.K. Singh
in charge of industry and infrastructure, and D.N. Tiwari in charge
of forest and environment. The Commission's rationale for doing
this is that since a large part of the Plan's success depends on
the reforms getting implemented on time, it is very important for
them to play this new role. That apart, since considerable additional
funds are also being released to States for implementing reforms,
the commission felt it needed to monitor the process. It has already
reached some success in the case of Bihar. The Bihar Chief Minister
has agreed that of the additional Rs 1,000 crore to be given to
the State (for losing its minerals to Jharkhand, primarily), a large
part will be implemented by central government agencies. A Rs 350
crore project to strengthen transmission and distribution lines
in Bihar, for instance, is to be implemented by PowerGrid - the
money will be directly released to PowerGrid, and this will in turn
sign MoUs with various Bihar state organisations. Under the Sam
Vikas Yojana (basically, to reduce inter-State disparities), 100
most backward districts have been chosen, and a sum of Rs 15 crore
is to be given to them per year - all projects in these districts
will be personally supervised by the Commission. A Rs 500 crore
urban reform programme (to be given to states who reduce stamp duties,
scrap urban land ceiling laws), similarly, will have to be monitored
by the Commission. The idea of transforming the Planning Commission
into a reforms commission was first mooted by Montek Singh Ahluwalia-he
wanted to call the Planning Commission the Commission for Economic
Reforms-but this never took off for a variety of reasons when he
was a member of the commission.
From http://www.indianexpress.com/ 10/08/2002
TOPˇü
Country on New Depoliticisation
Era Now - Minister Kiriella
Sri Lanka, under Prime Minister Ranil Wickremasinghe
began a new era of depoliticisation of society, extending into all
matters where government is involved, Minister of Plantation Industries,
Lakshman Kiriella said last week. This factor of depoliticisation
was amply demonstrated during the recent tussle between the trade
unions and the plantations companies, where the trade unions demanded
higher wages for estate workers. "I did not intervene at that juncture,"
Minister Kiriella said, at the 66th AGM of the Ceylon Planters'
Society. Kiriella was confident that the MoU (Memorandum of Understanding)
now in force between the Government of Sri Lanka and the LTTE would
prevail and with it, Sri Lanka would emerge as one of the most developed
countries in "this part of the world". The same MoU was offered
to the People's Alliance (PA) government when that party was in
office, the Minister said. Kiriella, was at that time with the PA
government. He had inquired from the then Minister of Foreign Affairs,
Lakshman Kadirgamar, whether that MoU would be signed, and the latter
had answered, "next week", Kiriella said. However, the PA government
did not have the courage to sign the same MoU, according to Minister
Kiriella. It was the Prime Minister who had the courage to sign
the MoU in question and, he extended it, by lifting the ban on the
LTTE. These moves had paid dividends and, the LTTE at the recently
concluded peace talks in Thailand, underscored that they would not
seek a separate state within Sri Lanka. Deputy Minister of Plantation
Industries, Naveen Dissanayake, said that he would do everything
possible to implement the proposed Upper Kotmale hydro-electricity
scheme. The electricity generated from this project would help bring
down the cost of production on tea estates, which was now too high.
The viability of the tea plantations would in turn benefit its workers,
he said. Deputy Minister Dissanayake wanted land in the plantations
leased out to the 22 plantations companies in 1996, utilised for
optimum benefit with the cultivation of new crops and forest cover.
Towards that end, Minister Dissanayake proposed to hold talks with
the plantations companies shortly. (by Elmo Leonard )
http://www.dailynews.lk/2001/pix/archives.html
10/06/2002
TOPˇü
Minister Suggests Abolishing
Policy Planning Division
Minister of Rural Economy and Deputy Minister of Finance
Bandula Gunawardena on Wednesday suggested the abolishing of the
Policy Planning Division of the General Treasury (PPDGT). "This
will be a crucial step in speeding up development," the minister
said. The Minister explaining his experiences in developing the
Economic Centre at Dambulla, said negative attitudes of the PPDGT
has always delayed development projects in Sri Lanka. According
to the Minister, the excuse of the PPDGT is that the projects did
not come under the government's policy framework. Gunawardena stressed
that only the Prime Minister and Ministers should decide on the
government's policies and not the PPDGT. PPDGT is only to guide
the government in policy making, the minister said at the National
Convention on Forward Markets held at Hotel Galadari yesterday to
review the progress of the forward sales contracts (FSC) among the
farmers in Sri Lanka. The system was promoted by the Central Bank
in 1999 under the promotional title "Govi Sahanaya". "Govi Sahanaya"
is a legally binding agreement between the buyer and a seller. Under
this agreement, the seller agrees to sell a given quantity of agricultural
produce of a specific quality on a given future date at a predetermined
price. This contract is attested by the bank which can offer credit
to both parties. The progress of the pilot project for promotion
of forward sales contract was reviewed at the convention. The project's
objective was to promote FSC's among farmers and buyers to overcome
problems faced by farmers due to price fluctuation. The project
partners were led by Central Bank of Sri Lanka while Bank of Ceylon,
People's Bank, Seylan Bank and Commercial Bank participated on behalf
of the state. Private banks Ruhunu, Kandurata, Uva, Rajarata, Sabaragamuwa
and Wayamba Development Banks also participated. The Minister said
Export Production Villages will be set up in Kelani Valley and Sithawake
as people's companies. Initial steps for these villages will be
taken by farmers followed by an exporter. Of the shares, 51 per
cent will be owned by the exporter and the rest will be divided
among farmers( 28 per cent), Ministry (16 per cent) and Export Development
Board (five per cent). "There are no plans of running these institutions
as a part of government, and 49 per cent of the shares will soon
be given to farmers making it a people's company," the minister
added. Central Bank of Sri Lanka (CBSL) Governor, A. S. Jayawardena,
Deputy Governor (CBSL), P. M. Nahawatta and Co-Ordinator, Commodity
Marketing, Risk Management and Finance, UNCTAD Lamon Rutten were
also present.( by Asanga Warnakulasuriya )
From http://www.dailynews.lk/ 10/18/2002
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President Welcomes New Members
to the Cabinet, Decides on Core Initiatives for 2003
MALE (HNS) - President Maumoon Abdul Gayoom on Thursday
welcomed the new members of the Cabinet, Minister of Women's Affairs
and Social Security Aneesa Ahmed, and Minister of Communication,
Science and Technology Midhat Hilmy. At a Cabinet meeting, President
Gayoom also noted the services rendered to the Cabinet by former
members, Dr. Mohamed Latheef, then Education Minister, and Rashida
Yousuf, then Women's Affairs Minister. At Thursday's meeting, the
Cabinet discussed the core program of initiatives to be implemented
during the year 2003. An integrated list of core activities, based
on proposals submitted from various government agencies, was compiled
by a ministerial committee that was constituted for that purpose.
Members deliberated on the proposals contained in the list and determined
which activities would be incorporated into the core program of
initiatives that would be implemented by the government during 2003.
Since 1997, it has been the practice of the Cabinet to identify
annually a core program of initiatives for the year that follows.
President Gayoom also briefed ministers on the recently concluded
state visit to Maldives by Indian Prime Minister Atal Behari Vajpayee
and said that the visit was very successful. He said that the topics
discussed included ways to further strengthen the close friendship
between Maldives and India, and identify new areas and projects
for Indian assistance to development of Maldives. Gayoom said that
Vajpayee had thanked him for the welcome extended to him in Maldives,
and had reaffirmed India's commitment to the speedy implementation
of the projects that were agreed on during the visit.
From http://www.haveeru.com.mv/ 10/12/2002
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King Assumes Executive Powers,
Dismisses Deuba
King Gyanendra assumed executive powers after dismissing
Prime Minister Sher Bahadur Deuba Friday night, he said in an address
to the nation at 10:45 PM. The King also suspended the November
13 elections. The King charged Deuba as "inept' for failure to hold
elections as scheduled.
From http://www.nepalnews.com/ 10/04/2002
TOPˇü
Cabinet Approves Re-Organization
of FIA
ISLAMABAD (PNS): The Cabinet Friday with President
Gen. Musharraf in the chair approved re-organization of the Federal
Investigation Agency (FIA) and assigned exclusive jurisdiction of
the National Accountability Bureau (NAB) to deal with the anti-corruption
cases including such corruption related cases which come under the
money laundering. It also approved the Economic Crime Wing of the
FIA will be entrusted to the NAB. The anti-corruption establishment
(ACE) will continue to function in the provinces under the supervision
of the respective provincial government. It was also decided that
the officers and staff members of the FIA dealing with anti-corruption
and economic crime will be moved to the NAB and the remaining staff
will sent to the surplus pool of the Establishment Division for
absorption in other government establishment. The FIA will continue
to undertake the responsibilities in the fields of immigration and
Naturalization Services, human smuggling, cyber crime and crime
of terrorist activities .
From http://www.paknews.com/ 10/04/2002
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S&T Ministry Fires PSEB MD's
for Corruption, Fraud
ISLAMABAD: (PNS) - Ministry of Science & Technology
finally sacked Managing Director of Pakistan Software Export Board
after his proven involvement "in corruption, fraud, nepotism, misuse
of power, violation of rules, negligence, violation of propriety
and many more serious charges," said the spokesperson Tuesday. "Ministry
of Science & Technology as a result of the decision taken in the
Extraordinary General Meeting (EGM) yesterday decided to terminate
the contract of Shall Shahid as Managing Director, Pakistan Software
Export Board," said a press statement issued by the ministry . While
Shall Shahid said an letter emailed to IT concerns throughout the
country, "Yesterday when I arrive after a marketing meetings in
Washington DC and London-UK, I was told in five minutes that my
contract is terminated by Secretary IT&T. Ashfaq Mahmud." The ministry
took "the decision after charges of corruption, fraud, nepotism,
misuse of power, violation of rules, negligence, violation of propriety
and many more serious charges were brought up against him by the
office of the Auditor General of Pakistan and by the inquiry committee
constituted by the Ministry to further investigate the findings
of Special Audit Report about Pakistan Software Export Board." The
financial Adviser Ministry of Finance has also made similar recommendations.
The EGM was also dissatisfied with the performance of the MD. It
may be recalled that a special audit conducted by the office of
Auditor General of Pakistan in April - May, 2002 had found Suhail
Shahid guilty of inflicting loss to the tune of Rs 44.549 million
to Government of Pakistan on account of above mentioned charges.
The ministry said the report had recommended cancellation of several
contracts made by PSEB, recovery of money, imposition of penalties,
strict disciplinary action against him etc. It also concluded that
"under clause 21(2C) of Article of Memorandum of Association Suhail
Shahid has rendered himself liable to be disqualified for holding
the directorship of PSEB." In his letter to software companies of
the country claimed, "I have worked relentlessly for the last one
year to inform them of my current scenario with relation to PSEB
and Ministry of Science and Technology." He also boasted, "With
all my hard work in PSEB, and growing the organisation from just
a team of 10 people up to 125 people and launching projects the
likes of it has never been seen by the Industry in the government
sector." A committee was constituted under the direction of Federal
Minister for Science & Technology Prof. Atta-ur-Rahman to further
examine the findings of Audit Report, establish the veracity of
allegations and submit a report. The committee after examining each
audit para in the light of replies given by PSEB concluded that
"the affairs of PSEB were being run like a fiefdom." The committee
after an independent review not only endorsed the views of Audit
report but it also observed that Suhail Shahid had not demonstrated
the stature and responsibility expected from the head of an organization.
"He, by his conduct had proved himself untrustworthy for any financial
and administrative responsibility," said the spokesperson. During
the finalization of Audit Report as well as the report of Inquiry
Committee set up by the ministry, "Suhail Shahid was provided every
possible opportunity to explain his position." The ministry explained,
"Although after the finalisation of Special Audit Report which happened
in June 2002 different quarters including the press demanded from
the Ministry to terminate the services of Suhail Shahid but the
Ministry did not act in haste." The final decision to terminate
his services and make recoveries as recommended by the Audit Report
has been taken after fulfilling all requirements of justice, said
the official. Though Suhail employed more than 110 people in the
board without adopting the proper procedure, still the ministry
clarified that it did not have any plans to terminate the services
of any other officer of PSEB.
From http://www.paknews.com/ 10/09/2002
TOPˇü
Efforts on to Form Coalition
Govt in Pak
ISLAMABAD: Hectic efforts were on in Pakistan on Saturday
to cobble up a coalition government following the general elections
in which a pro-Musharraf party emerged as the single largest outfit
followed by former premier Benazir Bhutto's Pakistan People's Party
(PPP). With 269 out of 272 results for the National Assembly declared,
President Pervez Musharraf backed Pakistan Muslim Leaque - Qaide
Azam (PML-Q) won 77 seats while Bhutto's Pakistan People's Party
Parliamentarians (PPPP) bagged 63. The Election Commission has ordered
re-polling for three constituencies following complaints of irregularities.
Deposed premier Nawaz Sharif's Pakistan Muslim League managed to
win just 14 seats while the Muttahida Majlis Amal (MMA) - an alliance
of six religious parties - has emerged as the third largest party
with 45 seats. MMA has also bagged majority of seats in provincial
Assemblies of North West Frontier Province and Baluchistan where
it was set to form the governments. The PML-Q and PPPP won majority
seats in Punjab and Sindh Provincial assemblies respectively. The
342-member National Assembly would be completed after nominations
for 70 seats reserved for women and minority candidates, which will
be allotted to parties based on the percentage of their votes. The
focus was now shifted on the efforts to form a new government by
cobbling together a viable coalition. It appears that such an efforts
would take days if not weeks due to the fractured verdict.
From http://timesofindia.indiatimes.com/ 10/14/2002
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ECC Okays Power Policy
ISLAMABAD: The Economic Coordination Committee of
the Cabinet (ECC) here on Tuesday approved power generation policy,
2002, to offset shortage of around 400-500mw by 2005. The ECC meeting,
which was presided over by Finance Minister Shaukat Aziz, believed
that the new power generation policy would encourage and promote
investment in the private power generation. The policy envisages
one-window operation to facilitate the investors. The objectives
of the policy are to provide sufficient capacity for power generation
at a minimum cost and to avoid capacity shortfalls; encourage and
ensure exploitation of indigenous resources, including renewable
energy resources, human resources, participation of local engineering
and manufacturing capabilities; create a win-win situation for all
stakeholders; and attune it to safeguarding the environment. The
thrust of the policy is on promoting hydel power projects, coal
and gas-based projects and reducing dependence on expensive furnace
oil. The scope of the policy covers private and public sectors'
projects, public-private partnership and the projects developed
by the public sector and than divested. Under the policy, provinces
will manage investments for up to 20mw power stations. However,
for the projects above 20mw, the provinces would be the main drivers
and catalysts for marketing and coordinating projects with the Private
Power and Infrastructure Board (PPIB). The projects approved under
the previous policy will be governed by the terms and conditions
stipulated therein. According to an official announcement, the new
policy provides no levy of sales tax on such plant, machinery and
equipment as the same will be used in the production of taxable
electricity and exemption from income tax, including turnover tax
and withholding tax on imports. However, there will be no exemption
of income tax on oil-fired power projects.
From http://www.dawn.com/ 10/23/2002
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Minister Accused of Corruption
ISLAMABAD: The Pakistan Muslim League (N) on Sunday
accused federal minister for communication and railways Javed Ashraf
Qazi of receiving kickbacks and commissions worth Rs5 billion from
the illegal lease of railways lands and making purchases without
inviting open tenders. Speaking at a news conference here, party's
information secretary Siddiqul Farooq said he would also expose
financial irregularities of other ministers in due course of time.
He said most of these ministers were vying for senate ticket. Farooq
said he had sent a letter to the NAB chairman, giving details of
the involvement of the federal minister and secretary railways Saeeduz
Zafar, general manager Hamid Hasan Butt, deputy director marketing
Sumera Hameed, and a Lahore-based contractor Rashid Kalia in the
embezzlement. In his letter Farooq pointed out that the minister
allotted 80 plots across the country on a 33-year lease to Fazal
Qadeer Ajmi for setting up CNG stations without calling national
or international tenders nor pre-qualification was ensured. The
terms of lease were unbelievable as rent of a plot measuring 2,300
sq-yd at I.I.Chundrigar Road in Karachi was fixed at Rs60 per sq-yd,
while no CNG station had been built on any of these plots in two
years of the deal. Similarly, Lahore golf course spreading over
125 acres was leased out to Ajmi with a licence to bulldoze officers'
bungalows on canal bank. A Thai firm acted as front for Ajmi in
the deal. The PML leader asked the NAB to put the names of the minister,
his family members and accomplices on the exit control list, besides
freezing all their movable and immovable assets. He announced that
the PML(N) would soon file references with the NAB against the minister
and his coterie of corrupt retired army officials although it had
little hope that the bureau would take action. He described the
purchase of slippers and track as dubious as the doubling of track
would take several years. This contract was awarded as the minister
forced the officers who had expressed reservations on its contracting
to Kalia's parent company in Vienna. Similarly, purchase of coaches
from China was also illegal as the Pakistani factories were fully
competent to manufacture the coaches according to domestic requirements.
From http://www.dawn.com/ 10/28/2002
Govt Role Only in Aided Minority
Institutions: SC
In a landmark judgement, the Supreme Court on Thursday
said the minority community had an unfettered right to establish
and administer educational institutions based on religion but it
received aid from the state it would be subject to government rules
and regulations. An 11-judge Constitution Bench headed by Chief
Justice B N Kirpal in a 6:5 majority verdict held that in case a
minority educational institution (MEI) received grant or aid from
the government, it could not deny admission to students from other
communities on the basis of religion, caste, race or language. Delivering
the majority judgement, the chief justice, writing on his behalf
and on behalf of Justice G B Pattanaik, Justice S Rajendra Babu,
Justice K G Balakrishnan, Justice P V Reddi and Justice Arijit Pasayat,
gave total freedom to the management in administering a MEI as long
as the same was transparent. The state and the university concerned
would not interfere in the management of an unaided MEI so long
as the administration is transparent and merit is given due primacy
in grant of admission to students, the Bench said. Other judges
who gave separate judgements were Justice V N Khare, Justice S S
M Quadri, Justice S N Variava. Justice Variava wrote the judgement
for himself and for Justice Ashok Bhan. The apex court, while upholding
the minority community's right to establish and administer educational
institutions, said the same right was available to the majority
community. Answering the question on the meaning of "minority",
it said the states had been reorganised on the basis of language
and hence the question of religious and linguistic minority had
to be considered on state-wise basis. Quashing the ratio of apex
court's earlier decision in the Unnikrishnan case, the 11-judge
Bench said these institutions could not charge capitation fee from
students which would amount to "profiteering". However, the Bench
said a reasonable fee could be charged from the students so as to
meet the expenses needed to maintain the institution. Another major
aspect of the verdict was that the court upheld the "basic ratio"
of the St Stephen's judgement regarding percentage of minority students
to be admitted to a government aided MEI. However, it said a specific
percentage could not be provided by the courts as it had to be worked
out by the state or university concerned on the basis of minority
population in that state. In another significant ruling, the Bench
said that unaided MEIs could have the right to admit students from
their community but a certain percentage had to be admitted from
the other communities. "What will be the percentage of admission
granted to students from other community into unaided MEIs will
vary from institution to instituion and the state will have to declare
the percentage on the basis of population," it said. The court categorically
stated that in cases of aided MEIs, the admission could only be
through a common entrance test conducted by the state or university
concerned. On the admission process for unaided MEIs, Justice Kirpal
said though these institutions could evolve their own method, it
had to be "transparent". In case of higher education and post graduate
level courses, the admission has to be on the basis of merit, he
added. The court ruled that the state government while giving aid
to professional institutions established by the minority community
could prescribe Rules and by-rules for its administration. The admission
to such professional institutes could only be on the basis of merit
as determined by a common entrance test or a method to be decided
by the state or university concerned, the majority judgement said.
However, for professional institutions being established by minority
the state government could provide for some preference to the students
from the community which had established the institution. Delivering
the majority judgement, Justice Kirpal said Article 29(2) would
be applicable to Article 30(1). While Article 30(1) provided that
"all minorities, whether based on religion or language, shall have
the right to establish and administer educational institutions of
their choice." Article 29(2) said, "no citizen shall be denied admission
into any educational institution maintained by the State or receiving
aid out of State funds on grounds only of religion, race, caste,
language or any of them."
From http://timesofindia.indiatimes.com/ 10/31/2002
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Central Asia: Challenges to Civic Education
Remain
More than a decade after independence, Central Asian governments
still face the challenge of educating their populations to be good
citizens. International organizations in the region say the consolidation
of power by small elites has excluded many ordinary people from
the political process. At the same time, educators in the region
have inherited a Soviet-era civic curriculum using outdated teaching
methodologies and materials touting communist ideology. Yevgenii
Melnikov is a secondary-education-program coordinator working for
the Open Society Institute in Uzbekistan. He tells RFE/RL that the
existing civic-education programs "promote ideas such as supremacy
of law, patriotism, and obligation. They are packed with state ideology
and lack an emphasis in individual rights and liberties, and do
not address the actual needs of youth. The major objective of such
state courses is that they encourage subservient citizenship." He
differentiates among the five formerly Soviet Central Asian states,
depending on the level of openness of the society. Kazakhstan and
Kyrgyzstan, he says, are more open than Turkmenistan, Tajikistan,
and Uzbekistan. Being a citizen requires an understanding of one's
rights, duties and responsibilities. Melnikov points out that before
a person can undertake these duties, he or she must first be capable
of exercising critical, independent judgement. "The [demands] of
citizenship do not receive the proper [attention] in state educational
programs. I believe the essential qualities of every young person
are [to have] a sufficient awareness of the society [and] the individual
rights and responsibilities in civic issues. [This includes] the
ability to form independent analyses, and the ability to successfully
express, present, and defend one's own opinions." Specialists in
the region say citizens often are not aware of their basic rights.
One legal group in Kyrgyzstan recently reported that up to three-quarters
of all women were unaware they can legally seek government aid to
cope with domestic violence. Fatima Sharopova is the head of a "judiciary
clinic" in the Tajik capital, Dushanbe. She says informing citizens
of their rights begins with educating children: "Children have started
to believe that their rights can be protected. And they know whom
to address [now]. We know it from the appeals coming to us." One
of the challenges facing civic educators is to facilitate interaction
between the population and government officials. Too often, still,
officials are viewed as being on a pedestal, beyond the reach of
ordinary citizens. Bebs Chorak is the deputy director of Street
Law, a Washington-based organization that works in Kazakhstan, Uzbekistan,
Kyrgyzstan, and Tajikistan. Her group hopes to educate young people
about human rights and democracy. She says many don't believe officials
will talk to them, "And so we're always pushing [people] to call
an official, to ask him." She says there is the perception of a
communication barrier and people do not believe they can cross it.
"That's the biggest barrier -- I think -- to [changing behaviors],"
she says. "As long as they think officials are different from them,
[it will] be a problem." Chorak's group tries to promote the concept
of rule of law. This means that no individual is above the law and
that all behavior is subject to the same rules no matter who a person
is. This implies laws are legitimate and fair. Chorak says her group
is also trying to teach people that they are the ones who make the
laws. Decrees are not something that are handed down, but rather
reflect the needs and desires of the citizens. "Law seems to be
something that's given to them, not something they have created
-- that they can change. I [have] had lots of lawyers tell me: 'This
is the law, there's no discussion about it; this is what it is.'
And I would really have to make them sit down and see that there
was room in that law for discussion." Chorak says each country and
culture will have to find its own way forward. There are no set
blueprints. "Democracy -- as we know -- [reflects a] culture, and
you just don't go to another country and change their culture. As
people learn to use their critical thinking processes and they learn
to question officials, they [will develop their own form of democracy].
And when they develop whatever form of government or whatever form
of democracy they end up with through this evolution, it will be
theirs." She says this process will take a long time, and all one
can hope for is that it will lead to a fairer system. (by Antoine
Blua)
From http://www.eurasianet.org/ 10/14/2002
TOPˇü
EU Calls Pakistan Elections
a "Step" to Democracy
COPENHAGEN -- The EU on Wednesday eased off on last
week's scathing attack on Pakistan's electoral process, calling
the elections "a step in the gradual transition to full democracy."
"The elections are a step in the gradual transition to full democracy
in Pakistan," the Danish EU presidency said in a statement, adding
that it "hopes all parties and political forces will work together
to achieve good governance and functioning democratic institutions."
The statement warned, however, that "The European Union is concerned
about reports of manipulation and encourages the election commission
to follow up on complaints about the election process". EU observers
of the elections, while not singling out election day itself as
particularly problematic, had said "The actions taken by authorities
led to serious flaws in the process." The EU also called on Pakistan
and India to "take steps to de-escalate tension between them and
to resume as soon as possible a diplomatic dialogue" on the disputed
region of Kashmir. According to official results released Wednesday,
a pro-government party was the single largest faction in the new
Pakistani Parliament, while a six-party anti-U.S. Muslim alliance
came in third in the National Assembly.
From http://www.tehrantimes.com/ 10/19/2002
TOPˇü
Opposition-Government Confrontation
Grows in Azerbaijan
A consequence of pending constitutional amendments
in Azerbaijan is a growing rift between President Heidar Aliyev's
administration and opposition leaders. Aliyev critics are now
embracing confrontational tactics, spurred by the belief that
the looming changes, in particular the alteration of the electoral
system, will thoroughly marginalize the political opposition.
Opposition leaders in recent weeks have stepped up personal attacks
against Aliyev. A coalition of opposition parties ?including the
Azerbaijan National Independence Party, the Democratic Party,
Musavat and both branches of the Popular Front ?issued a statement
October 9 that said Aliyev's departure from office was necessary
to avoid "civic confrontation." Observers say that the opposition
call for Aliyev's resignation is not necessarily new, but they
add that given the post-referendum political atmosphere, government
critics now feel more determined than ever to try to force the
president from power. Many opposition leaders appear driven by
the belief that they have little to lose, as the constitutional
changes stand to greatly reduce the ability of the opposition
to influence Azerbaijan's future development. The amendment that
most concerns the opposition is one that eliminates the proportional
system for determining parliamentary representation, in favor
of a first-past-the-post framework. [For background see the Eurasia
Insight archives]. Given the government's preponderance of resources,
Aliyev critics say the ability of opposition parties to compete
within the new system is limited. Thus, opposition representation
in parliament stands to be greatly reduced. In a report on the
August 24 constitutional referendum, the opposition coalition
insisted that the results were invalid. Opposition observers estimated
that only 20 percent of the electorate cast referendum ballots.
The government reported 84 percent participation. At least 50
percent of the electorate needed to vote in order for the results
to be valid. "The government's claims about the validity of the
referendum are wrong, and, in general, the conditions necessary
for the free expression of the voters' will were not provided
for," the report said. Since Aliyev came to power in 1993, the
country's political opposition has been plagued by disorganization
and infighting, which has inhibited well-coordinated pressure
on the government. In addition, many parties have lacked a comprehensive
political platform that could attract large numbers of supporters.
[For background see the EurasiaNet Human Rights archive]. Recent
developments, however, indicate that opposition parties have been
more successful in organizing, and in setting differences aside
to unite against Aliyev's policies. The opposition coalition came
together to oppose the August referendum. Since then, the coalition
has organized three anti-government rallies, with a fourth planned
for October 26. As opposition cooperation has strengthened, the
desire to engage Aliyev in political dialogue evidently has decreased.
Opposition parties that in the past were willing to engage in
give-and-take with Aliyev ?including the National Independence
Party (ANIP) ?have hardened their positions toward the president.
Observers say the opposition rallies have resonated with many
Azeris and have succeeded in boosting anti-government sentiment.
The rallies "showed that the consolidation on the [party] leadership
level does not [only] create a sense of partnership among [opposition]
party activists, but also helps the mobilization of the electorate,
which is dissatisfied," said a Turan news agency commentary. Government
officials, for their part, don't seem interested in engaging the
opposition. Minister of Education Misir Mardanov said on television
on October 2 that students should not be allowed to attend opposition
protests. "Let the teachers teach their classes; let the students
attend school. Some people are using inappropriate tactics to
attract our children to those meetings," he said. "We should not
allow our teachers, high school or university students to go to
those meetings." His remarks were strongly criticized by the Baku
office of the Organization for Security and Cooperation in Europe
(OSCE) but they showed that the rift between the government and
opposition is large and, if anything, growing. In calling for
Aliyev's resignation, opposition leaders are hammering the administration
over a variety of issues, including the Nagorno-Karabakh peace
negotiations and Azerbaijan's economic development. Many opposition
leaders are supportive of a potential attempt to recapture Azerbaijani
territory ?currently occupied by Armenian troops ?through the
use of force. Aliyev, meanwhile, publicly remains committed to
negotiations. "The resumption of military action has become a
talking point and mounting public belligerence is understandable,"
ANIP leader Etibar Mammedov said in an October 17 interview published
in the Zerkalo newspaper. "The fact that the Karabakh problem
remains unresolved is the most serious reason for our demands
[for Aliyev's resignation]. In it's nine years in power, the regime
has been unable to achieve at least some progress. This means
the current regime is not coping." Aliyev, in an Independence
Day address, accused his political opponents of opportunism. "I
think it is unfair of certain people to take advantage of this
situation and try to earn themselves some extra points by conducting
various street marches and demonstrations," the president said.
In the same speech, Aliyev trumpeted Azerbaijan's economic achievements.
He cited the fact that GDP over the last six years has increased
68 percent, adding that Azerbaijan has attracted $8.3 billion
in foreign investment, 65 percent of which has gone to the oil
sector. Opposition leaders, however, say that only a small number
of Azeris are benefiting from rising GDP and foreign investment,
adding that a majority of the population lives in poverty. The
government is expected to unveil a poverty reduction program October
25 during a Baku conference that will be attended by representatives
of the United Nations, International Monetary Fund and the World
Bank. According to an October 17 report in the Ekho newspaper,
local non-governmental organization experts who have been following
the drafting process are already expressing doubts about the program,
saying the government is significantly undercounting the country's
poor. "They [NGO experts] are saying that serious errors have
been committed in working out the calculation methods," the newspaper
report said. Authorities apparently based their cost-of-living
standards on outdated prices, the report added. The actual cost
of essential goods in some cases is more than 35 percent higher
than the prices used by the government. The opposition is also
trying to make Aliyev's health an issue, aiming to undermine the
president's authority by subtly questioning his ability to handle
the responsibilities of office. The opposition newspaper Yeni
Musavat, for example, published an article alleging that Aliyev
suffered a spell of exhaustion on the night of October 18. "Doctors
from Moscow were asked for advice over the telephone during that
period," the article said. "It is not surprising that the health
of the 80-year-old president cannot hold up," the article continued.
"However, we wish him a quick recovery." (by Daan van der Schriek)
From http://www.eurasianet.org/ 10/21/2002
TOPˇü
Georgian Parliament Votes
to Designate Abkhazia an Autonomous Republic
At the insistence of representatives of the Tbilisi-based
Abkhaz government in exile, the Georgian parliament included in
its agenda this week a constitutional amendment designating the
breakaway unrecognized Republic of Abkhazia an autonomous republic
within Georgia. The constitution adopted in 1995 failed to define
the region's status within Georgia pending the restoration of
the central government's control over the entire territory of
Georgia. Deputies approved the proposed amendment unanimously
on 10 October by 167 votes. It is not clear how that move will
affect efforts by the UN to mediate a solution to the conflict
on the basis of a draft document "Basic Principles for the Distribution
of Competencies Between Tbilisi and Sukhumi."
From http://www.rferl.org/ 10/11/2002
TOPˇü
Iraq: Saddam Gets Perfect
Poll Result
The statistics-busting result were seen in Baghdad
as a message of defiance to U.S. President George W. Bush and
his declared desire to end Saddam's 23-year rule. "Our leader
President Saddam Hussein, may God preserve him and look after
him, has won 100 percent of the votes of eligible voters," said
Saddam's top deputy Izzat Ibrahim, reading official results at
a news conference in Baghdad. Saddam was the only candidate in
the referendum. "If there is aggression, the Americans will face
these people who said 'yes' to Saddam Hussein," Ibrahim, vice
chairman of the Revolutionary Command Council and Saddam's right-hand
man, added. Ibrahim, vice-chairman of Iraq's Revolutionary Command
Council, said all 11,445,638 Iraqis eligible to vote had done
so and every single one of them answered "Yes" to another seven-year
term for Saddam, 65, who was appointed president in 1979. Iraqi
officials said popular outrage at American threats to Saddam's
regime made the turnout and percentage even higher than the last
vote, in 1995, when Saddam received a 99.96 "yes" vote. "This
result is real, whether some like it or not," Ibrahim said. Bursts
of gunfire exploded in downtown Baghdad as he spoke, as Saddam
supporters fired in the air and danced on street corners. "If
the U.S. administration makes a mistake and attacks Iraq, we will
fight them," Ibrahim said. "If they come, we will fight them in
every village, and every house. Every house will be a front, and
every Iraqi will have a role in the war. "All Iraqis are armed
now, and by God's will we will triumph." The United States dismissed
the vote and said it lacked any credibility. "It is not even worthy
of our ridicule, said U.S. State Department spokesman Richard
Boucher. The vote was also rejected by the Iraqi opposition in
exile and others outside Iraq. And CNN's Brent Sadler reported
that in the north of the country, there was no ballot and little
or no enthusiasm for the outcome. ('Other Iraq' ignores poll)
Many in Tuesday's referendum cast multiple ballots representing
votes of entire families, stuffing fistfuls of votes into boxes.
The government offered no explanation for how it tabulated paper
ballots from remote regions across the country of 22 million people
overnight. The referendum was a simple 'yes' or 'no' vote on keeping
Saddam in power another seven years. In a sharply worded news
conference broadcast live on Iraqi TV, Ibrahim dismissed a question
terming the 100-percent affirmation for Saddam "absurd." "Someone
who does not know the Iraqi people, he will not believe this percentage,
but it is real," Ibrahim said. "Whether it looks that way to someone
or not. We don't have opposition in Iraq." Parliament members
were expected to go to Saddam sometime on Wednesday to administer
the oath of office immediately. Saddam has not appeared in public
since December 2000. The government had already declared the day
a national holiday, in advance of the results. Iraq has never
known democracy, having transferred from a monarchy under British
sway to military-backed rule from 1958 onwards. Iraq has been
under U.N. Security Council sanctions since invading Kuwait in
1990. U.N. resolutions require the country to destroy all its
weapons of mass destruction, but it is widely believed to retain
chemical and biological weapons, and the United States has accused
it of trying to develop nuclear weapons. The United States wants
a new Security Council resolution that would give U.N. weapons
inspectors wide powers to uncover any Iraq's arms and to enable
military strikes on Iraq if it resists full inspections. France
has led a campaign in the Security Council to drop from the resolution
the idea of an automatic trigger for a conflict.
From http://asia.cnn.com/ 10/16/2002
TOPˇü
Ak-Sui Trial in Kyrgyzstan
Causes Rift Between President and Law-Enforcement Officials
The prosecution of officials over a March protest
that left five dead is exacerbating the confrontational mood in
Kyrgyzstan. President Askar Akayev's administration says local
authorities are responsible for the tragedy, while presidential
critics believe top officials in Bishkek gave the order to shoot.
The trial has not only fueled outrage among long-time government
opponents, but it also seems to be antagonizing a significant
number of law-enforcement officials ?a constituency that Akayev
has relied on in the past to shore-up his authority. In early
October, hundreds of supporters of the accused, including police
officers, participated in protests during the trial's initial
stage. Demonstrators say the charges against the defendants should
be dropped because they were merely following orders from Bishkek
authorities. Six local officials are standing trial in connection
with the Ak-Sui shootings. [For background see the EurasiaNet
Culture archive]. They include: Shermamat Osmonov, former head
of the Ak-Sui district administration; Abdykalyk Kaldarov, Ak-Sui's
former prosecutor; and Kubanychbek Tokobaev, the former Jalalabad
Province police chief. Anti-government protesters claim the order
to shoot came directly from high-ranking officials in Bishkek,
including former presidential aide Amanbek Karypkulov and former
Interior Minister Temirbek Akmataliev, according to an October
10 report in the opposition weekly Respublica. Although public
pressure caused the Kyrgyz government to fall in May, Karypkulov
was subsequently appointed Kyrgyz ambassador to Turkey, while
Akmataliev became the president's deputy chief of staff. Ermek
Nuranov, a representative of the protesters, told Osh-based journalists:
"Our demand is to see in court [as defendants] not only law enforcement
officials, but those who gave order to shoot at people. Neither
Temirbek Akmataliev, nor Amanbek Karypkulov... have received summons
to appear before court." Underlying the trial controversy is lingering
north-south tension. Many residents of southern Kyrgyzstan feel
that Akayev's government favors the northern political clans.
Many in the Osh and Jalalabad regions view the government's perceived
desire to protect government officials in Bishkek, while prosecuting
local authorities in southern districts, as an extension of this
alleged bias. In a nationwide address October 17, Akayev provided
no indication that any current or former central government official
will stand trial in connection with the shooting. Instead, Akayev
put the blame for the incident mainly on the shortcomings of local
law enforcement officials, while trying to cast his administration
as a champion of reforms. "We still have not seen expected changes,"
Akayev said, referring to law-enforcement agency reforms. "This
must force the heads of law-enforcement agencies to think deeply:
If they are incapable of changing the situation on their own,
this matter will require the president's intervention to implement
the people's will." Despite his reluctance to address the protesters'
demand directly, Akayev is clearly concerned about festering discontent.
A day before the trial formally opened October 17 in the Osh Military
Court, Akayev fired Chubak Abyshkaev as the country's prosecutor
general, saying the procurator had bungled the Ak-Sui case. The
president appointed Myktybek Abdyldaev on October 18 as the new
chief prosecutor. The shake-up is unlikely to ease the pressure
on Akayev's administration, political observers say. Instead,
Akayev's intransigence on the Ak-Sui issue is provoking fresh
personal attacks against the president. For instance, in an October
15 commentary published by Respublica, Topchubek Turgunaliev,
a prominent opposition leader, said: "Ak-Sui officials do not
want to play the role of "scapegoats. ... However, the defendants
failed to name the main perpetrator of Ak-Sui tragedy ?the president."
Some observers warn that the trial could produce a new, serious
confrontation between the government and its growing number of
critics. In particular, they question Akayev's choice to blame
law-enforcement authorities. "We have already seen Jalalabad police
staging a rally [last June] protesting low wages and demanding
amnesty for officials," said a political analyst in Jalalabad,
who requested anonymity. "The administration ignored these demands.
If the officials in Bishkek continue to ignore the needs of police,
they may end up in big trouble." As opposition to Akayev mounts,
the president appears to be working on a strategy that would allow
him to leave office without fear of retribution. Among the many
proposed constitutional amendments published October 18 is a change
that would grant former presidents immunity from prosecution for
actions carried out in connection with their executive functions.
In his speech, Akayev said public discussion of the amendments
would last until November 18, and then they would face a popular
referendum. Among the more significant amendments is a proposal
to replace the country's current bicameral legislature with a
unicameral parliament starting in 2005.
From http://www.eurasianet.org/ 10/18/2002
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Party Jockeying Obscures
Stakes in Turkish Elections
A EurasiaNet Commentary On October 1, Turkish Parliament
resumed after summer recess and closed, defying legislators who
want to postpone November 3 elections by keeping Parliament in
session. While elections appear set to go ahead, similar political
maneuvers will dominate the campaign season. Parties in Ankara
are channeling their energies into preventing nationally known
politicians from running, in light of a law that requires a party
to win 10 percent of a vote to gain seats in Parliament. The parties
are targeting each other rather than appealing to voters because
they are vying in a fragmented field and because procedural challenges
to opponents have lately proved effective. The supreme election
board ruled on September 20 that the leader of the Justice and
Development Party (AKP), Recep Tayyip Erdogan, could not run because
a court had convicted him of inciting religious and ethnic hatred
in 1998. (He had publicly recited a popular poem with militaristic
and religious imagery.) Erdogan's party still leads the polls,
and the laws at issue have been reformed since Erdogan's conviction
and no longer apply. However, the election board declined to decide
where legal changes became binding, judging instead that anyone
ever convicted of a crime cannot run for office. The ban also
fell on former prime minister Necmettin Erbakan, a strident Islamist,
and on activists representing human-rights and Kurdish causes.
As President Ahmed Necdet Sezer warns that he can dissolve the
eventual government if it fails to coalesce, Erdogan's banishment
has diluted the elections' force. He has continued to tour the
country as the head of his party, telling reporters on October
1 that he hopes Turkey will "soon become a model democracy." If
the AKP wins the elections, deputy party leader Abdullah Gul will
probably replace him. However, the election board gave Erdogan
a chance to re-enter the government, saying that if his criminal
record is quashed he would be eligible to stand for future parliamentary
membership. His future candidacy would presumably not damage AKP's
popularity. Since constitutional changes in 2002 strengthened
Turkey's commitment to free speech, the principal effect of the
board's September 20 decision may be to prevent the most popular
candidate from winning office. Other candidates with strong bases
may also lose the chance to serve the new government. Prime Minister
Bulent Ecevit's Democratic Left Party (DSP), and the Motherland
Party (ANAP) led by Deputy Prime Minister Mesut Yilmaz, may not
garner 10 percent of the vote. These parties, which currently
form a governing coalition, have dominated Turkish political life
since the 1980s. But opinion polls indicate that they may not
be able to make their case in the next government. The Nationalist
Action Party (MHP), another coalition partner, also faces elimination;
so may the True Path Party (DYP), the principal opposition faction.
MHP leader Devlet Bahceli has dismissed opinion polls that suggest
both parties border on 10 percent of the vote. He derided parties
that wanted to delay elections at a September 28 rally. "Their
goal is very obvious: to establish a government without the MHP,"
the news agency Anatolia quoted him as saying. Meanwhile, the
DYP formed an alliance with the Democratic Turkey Party (DTP),
reportedly boosting its chances of entering parliament. Whoever
ends up in the legislature, all this jockeying seems unlikely
to break Turkey's cycle of crises. It also will probably discourage
public debate on the benefits and obligations of joining the European
Union, which will consider Turkey's application in December. On
several occasions since Ecevit relented in July to pave the way
for elections, the government has seemed on the brink of collapse.
Yilmaz said his party would break the coalition if the MHP continues
to block reforms aimed at easing Turkey's accession. [For background,
see the Eurasia Insight archives.] Yilmaz also called on September
13 and on September 30 for postponing elections until after the
European Union's December gathering. Yilmaz presumably has calculated
that his party would bask in the glow of a European welcome. However,
his visible maneuvering may be to blame for his party's sagging
popularity and for defections by leading party members. By courting
crisis, Yilmaz may end up in a party locked out of the next government.
Parties that do not make it into the new parliament may perpetuate
a focus on politics rather than on policy. Some have already put
out feelers about changing election law to fuse party lists or
lower the cutoff to 5 percent. Former Foreign Minister Ismail
Cem's young party, the New Turkey Party (YTP), already favors
lowering the threshold. This is a less ambitious platform than
the popular Cem promised when he announced his new party in July.
Cem spoke then of promoting religious freedom, tolerance of ethnic
Kurds, and market-oriented reforms. With Ecevit holding onto power,
such goals seem stifled. And all these political games suggest
that old habits in Turkish political life may be harder to break
than Cem or other reformists might hope. These old games are,
however, occurring in a new context. Civil society institutions
have more legitimacy to oppose political manipulation than they
used to. Moreover, the position of the presidency, strengthened
over the years in reforms, now acts as a bulwark against chaos.
President Sezer has reminded squabbling politicians that he can
dissolve Parliament if it fails to govern. A trained lawyer and
jurist, President Sezer may manage to end the postponement turmoil.
Even if he does, though, one might conclude that the party system
still needs reform. The shenanigans of the past several weeks,
coming after reforms and on the eve of possible admittance to
the European Union, should show Turkish politicians that governing
this democracy will require more adroit thinking after November
3. (by Mevlut Katik)
From http://www.eurasianet.org/ 10/01/2002
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Analyst Predicts "Radical
Change" Near for Turkmenistan
In Turkmenistan, children now memorize poetry written
by President Saparmyrat Niyazov and his deputies kiss his hand
when they greet him, experts told a gathering in New York on October
21. Though Niyazov's cult of personality defines Turkmenistan
today, one of the experts at the conference, human rights activist
Vitaly Ponomaryov, portrayed the regime as doomed. "The regime
is brittle, it's not stable," Ponomaryov told the audience at
the Open Forum sponsored by the Central Eurasia Project of the
Open Society Institute, "and it's quite likely that radical change
will take place within a year or a few years." In addition to
Ponomaryov, director of the Central Asian Program at the Memorial
Human Rights Center in Moscow, Russian journalist Arkdady Dubnov,
former Turkmen Foreign Minister Avdy Kuliev, and a dissident living
in Turkmenistan who asked for anonymity spoke on Turkmen domestic
political developments. All agreed with Ponomaryov that "radical
change" will come to Turkmenistan in the next few years. They
discussed how Niyazov had ordered the eviction and demolished
the homes of people related to dissidents, and told listeners
how Niyazov had demanded cash bribes from multinational oil companies.
In addition, Niyazov's crackdown on free speech, free religion,
foreign press and travel made Turkmenistan, in Kuliev's words,
"a sort of enterprise rather than a state." Opinions differed,
however, on how ?or how peacefully ?change would arise. Ponomaryov
noted that Kuliev, a former Foreign Minister living in exile in
Moscow, had been more vocal in his opposition during the past
twelve months. So has Boris Shikhmuradov, another former Foreign
Minister who broke with the mercurial Niyazov in late 2001. This
more strident opposition, combined with Turkmenistan's neutrality
toward the antiterrorist coalition against the Taliban in neighboring
Afghanistan, has made more people aware of Niyazov's record. But
Ponomaryov told the group that it was the president's decision
to imprison former leaders of the KNB, the state spy agency, that
had "undermined his popularity" and made it possible for international
players and domestic dissidents to forge some effort to unseat
him. The logic of that effort, though, remains unclear. Kuliev,
while insisting that Turkmenistan could never reform unless Niyazov
loses power, stressed the importance of coordinating opposition
efforts with the United States. He put hope in House Congressional
Resolution 397, a nonbinding statement from the US Congress in
2000 that urged Central Asian presidents to engage in "roundtable"
discussions with opposition movements. While Kuliev said he spoke
for 4,000 dissidents inside Turkmenistan, Dubnov dismissed the
idea of trying to persuade Niyazov to accept any pretext for his
ouster. And Ponomaryov, noting that Shikhmuradov has called for
Niyazov to step aside without talks, wondered how any orderly
succession could take place. "The regime is so brittle that whenever
[Niyazov] goes, nobody will be able to assume power the way that
he has, and the system would collapse." In that context, dissidents
working within Turkmenistan are trying to draw the world's attention.
The dissident told the audience that several unofficial civil-society
groups are trying to create Turkmenistan's first Helsinki Committee,
an organization that would record and protest Niyazov's failure
to abide by an international human rights compact called the United
States Helsinki Commission. "We see two main tasks," said the
anonymous activist, "which involve monitoring these human rights
violations and categorizing them, and providing assistance and
advice to others as far as their rights. The people doing this
are [incurring] great personal risks, which indicates how much
they love their country."
From http://www.eurasianet.org/ 10/21/2002
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Watchdog Chief Tipped
MENTION the name Allan Fels and odds-on most people will know who
you are talking about. But what of the man many are tipping to be
his successor as chairman of the Australian Competition and Consumer
Commission (ACCC)? Graeme Samuel, a 56-year-old member of the Melbourne
establishment, is seen as the most likely contender to take over
the top ACCC job after Treasurer Peter Costello yesterday nominated
him as deputy chairman. After 13 years at the helm and keen to spend
more time with his family, Professor Fels announced in September
he would retire when his term expires in 2004. Whoever is deputy
when Prof Fels steps aside will be the favourite to take over as
chairman. Consumer advocates have already voiced concern that Mr
Samuel, a former president of the Australian Chamber of Commerce
and Industry (ACCI), may adopt a softer line with big business.
But although the former merchant banker has strong ties to the business
community, it may not be a deserved criticism. His competition credentials
are undisputed after five years as president of the National Competition
Council (NCC), where he showed himself willing to take government
to task over its failings. And he has been a strong defender of
the leadership style adopted by the ACCC chairman, warning his business
colleagues to back off when they accused the media-savvy Prof Fels
of having too high a media profile. Mr Samuel's nomination has won
strong support from Prof Fels, who taught his potential successor
many years ago at Monash University. "Graeme Samuel ... knows this
area very well, both through being president of the National Competition
Council and through having a good knowledge of the Trade Practices
Act," Prof Fels told ABC radio. "He's very smart, he's quick and
intelligent and got the big point about competition, (that it) is
highly desirable if we're to get results in our economy." A relative
unknown outside Victoria, Mr Samuel has a wide and varied CV. He
has been an AFL commissioner since 1984, was a former chairman of
Opera Australia and was made an officer of the Order of Australia
in 1998, to name just a few. Chairman of the ACCC may soon be added
to that list.
From http://www.theaustralian.news.com.au/ 10/11/2002
TOPˇü
More Transparency Promised
by Cook Islands Government
Avarua: The Cook Islands Government has done a turn
around and said it will now disseminate information to all news
media following Cabinet meetings. During a news conference yesterday,
Prime Minister Dr Robert Woonton said that decisions by Cabinet
would be made public so that people were aware of them. This comes
after calls for Cabinet to be more transparent on issues which
affect the country. "This government has agreed that there should
be better communication with our people," said Dr Woonton. Dr
Woonton said there have been accusations directed at government
for favoring one particular group of media. Yesterday conference
was a first step towards keeping all news media informed, he said.
"Everybody who wants to know what government is doing, is planning
and is anticipating to do, will be kept informed, he said.
From http://www.pacificislands.cc/ 10/26/2002
TOPˇü
Wins and Losses for the
Marshalls Government Businesses
Majuro (Marianas Variety/PINA Nius Online) Eight
of 12 Marshall Islands government-related agencies lost US$8,919,319
in 2001, said the government's latest audit conducted by Deloitte
Touche Tohmatsu. But at the same time, the four government-related
agencies that ended the year with a profit is the most yet to
make money in one year. Earning a profit in the Marshall Islands
last year were: o Marshall Islands Marine Resources Authority,
reporting a net income of $435,637, largely from a tuna transshipment
operation that brings hundreds of purse seiners. oNational Telecommunications
Authority, reporting a net income of $420,690.o Marshall Islands
Port Authority, reporting a net income of $151,121. o Kwajalein
Atoll Development Authority's Housing Division, reporting net
income of $54,571.For the first time since it began earning a
profit in 1993, the Marshalls Energy Co. showed a loss for 2001
- $829,456 - largely as the result of rising fuel costs. Officials
report that the company returned to the profit column this year.
The government's national airlines, Air Marshall Islands, sustained
the biggest loss of any government-related agency, losing $3,973,544
last year. Approximately $2.1 million of that loss was listed
as "bad debts" relating to the downpayment on a canceled purchase
of two Dornier Fairchild 328 airplanes. Air Marshall Islands recently
won a court judgment against Dornier and is now attempting to
collect. The total government-related agencies losses were more
than double the level of losses during 2000. - Marianas Variety/PINA
Nius Online.
From http://www.pacificislands.cc/ 10/14/2002
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Marshall Islands Chief Justice
Charged with Cheating
Majuro (RNZI/PINA Nius Online) - The Marshall Islands
chief justice, Charles Henry, has been charged with six counts
of cheating related to expenses and leave. The charges, which
were filed by the attorney-general, Atbi Riklon, are unprecedented
in the high court's 23-year history. Justice Henry, who is an
American citizen, is alleged to have cheated the government out
of thousands of dollars in expenses to which he was not entitled.
In one instance, he allegedly claimed thousands of dollars to
go to a conference in Australia when the organisers paid for all
expenses. The chief justice is also alleged to have been away
for 150 days during a period in which he had accrued only 28 days
leave. - RNZI/PINA Nius Online.
From http://www.pacificislands.cc/ 10/18/2002
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Corruption Findings Kept
Secret
Secrecy surrounds an inquiry the Government conducted
into allegations of corruption involving senior Fisheries Ministry
officials and a prominent fishing company. Fisheries officials
Stan Crothers and Dave Wood have apparently been cleared of any
wrongdoing but the Crown Law Office will not release copies of
the documents that formed the basis of the allegations. Nor will
it or the ministry release copies of the report they commissioned
from Auckland barrister Peter Andrew at taxpayers' expense, claiming
it is legally privileged. How much it cost to get the report is
not known, because the office has not received Mr Andrew's bill.
Mr Andrew's staff said he could not be contacted. Even the scope
of the inquiry is unknown because the instructions Solicitor-General
Terence Arnold, QC, gave to Mr Andrew are being kept secret -
again on the grounds of legal privilege. It is understood Mr Andrew
may have been limited to checking only the allegations against
current ministry staff. That suggests serious allegations made
against other industry figures and at least one former ministry
official were ignored. The Weekend Herald reported five months
ago that affidavits from former fisheries investigators claimed
there had been collusion between bureaucrats and industry figures
in the high-value scampi fishery. Private investigators prepared
the affidavits, which Nelson law firm Ocean Law eventually handed
to the Crown Law Office. The fishing industry people behind the
allegations were adamant that corruption allegations against senior
ministry staff should not be investigated by the ministry itself.
Mr Wood and Mr Crothers said they had done nothing wrong and welcomed
a full independent investigation. Whether that happened is unclear.
Mr Crothers said yesterday that he had been shown all the affidavits
and had responded in writing to the claims against him. He then
met Mr Andrew for about two hours and answered questions. "I've
co-operated in every way with the process," he said. "I'm satisfied
it was thorough as regards the allegations against me." In a statement
yesterday, which did not name Mr Andrew, Mr Crothers or Mr Wood,
ministry chief executive Warwick Tuck said he had concluded on
the barrister's advice that the allegations lacked merit and included
factually incorrect statements, unsupported assumptions and flawed
reasoning. "There is no justification for me to consider the allegations
any further," Mr Tuck said. "The two senior staff" had his full
trust and confidence. (by James Gardiner )
From http://www.nzherald.co.nz/ 10/12/2002
TOPˇü
NZ Retains Solid Sovereign
Credit Rating
Standard and Poor's has reaffirmed New Zealand's
sovereign credit rating, including a double A-plus long-term foreign
currency rating. The outlook is stable. In a glowing report, S&P
said New Zealand's ratings were supported by strong institutions,
stable and orthodox macroeconomic policies, a healthy fiscal position
and a resilient, competitive economy, underpinned by past structural
reforms. "A broad-based and deep-rooted consensus favouring responsible
and predictable economic policies will ensure macroeconomic stability,"
the report said. It gave as an example the recent narrowing of
the Reserve Bank's inflation target range in the Policy Target
Agreement, which was more of a fine-tuning than a radical change
in strategy. "The Reserve Bank of New Zealand is expected to run
cautious and sustainable monetary policies, although inflation
may rise slightly." S&P praised the Ne
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