BurmaNet News March 17, 2005

[Editor]

March 17, 2005, Issue # 2677

INSIDE BURMA
Irrawaddy: Regime “Willing to reach new ceasefire pact with KNU”
DVB: Burma junta agents intimidating NLD legal advisors
Kyodo News: Myanmar accuses ILO of exaggerating forced labor
AP: Myanmar releases prominent student activist
AP: Myanmar crops spared from regional drought, junta says
SHAN: A lull before the storm

DRUGS
Narinjara News: Poppy cultivations destroyed in border area

BUSINESS/MONEY
Myanmar Times: Ministry to operate all onshore energy blocks

REGIONAL
VOA: Thai Government sets deadline for Burmese refugees
Irrawaddy: East Asia faces funding challenge
Bernama: Treat Myanmar more fairly, says Asean Sec-Gen
Bernama: Myanmar invited to East Asian summit conference

INTERNATIONAL
IHT: Unocal files suit over Myanmar deal

OPINION / OTHER
DVB: Interview with Ko Ko Gyi after his release

______________________________________
INSIDE BURMA

March 17, Irrawaddy
Regime “Willing to reach new ceasefire pact with KNU”

The Burmese military government is willing to enter into another ceasefire
with the Karen National Union, or KNU, but doesn’t want to sign a formal
agreement, said a top KNU official after talks in Moulmien.

David Taw, head of the KNU foreign affairs department, said the government
was not demanding the surrender of KNU forces.

The two-day talks were the first meeting between government and KNU
negotiators since the October 2004 purge.

In January 2004 the regime and the KNU agreed to a “gentlemen’s
ceasefire”, an agreement that was also unsigned. KNU leader Gen Bo Mya led
the KNU delegation at that time, but he was absent from the Moulmien talks
because of ill health.

The leader of the regime delegation, Maj-Gen Thura Myint Aung of the
Southeast Command, told the KNU team that the January 2004 ceasefire
arrangement was no longer on the table. The new proposal would be good for
both sides, he said.

KNU first joint general secretary Col Htoo Htoo Lay led the 13-strong KNU
delegation.

David Taw said the latest regime proposal would be discussed at a KNU
leadership meeting early next week.

In a report on the talks, the Xinhua news service quoted Information
Minister Brig-Gen Kyaw Hsan as saying “Progress is being made.”

____________________________________

March 17, Democratic Voice of Burma
Burma junta agents intimidating NLD legal advisors

Police agents have been intimidating the lawyers of National League for
Democracy (NLD), who have been appointed by the families of Shan leaders
including Shan Nationalities League for Democracy (SNLD) chairman U Hkun
Htun Oo to defend their loved ones who are being detained and tried in
Rangoon Insein Jail.

Some special information police officers have been frequenting areas
around the office of U Aung Thein and U Nyan Win in downtown Rangoon and
other lawyers are also worried that their offices might also be raided.

The intimidating actions of the police seem to be connected to recent
comments of Chief Police Khin Yi who accused the lawyers of attempting to
see the defendants at Insein Prison without their permission. In fact, the
authorities never allowed the lawyers to meet with the defendants. Khin Yi
also added that the defendants are being charged on four counts relating
to state-owned business law, 1947 foreign exchange law, organisation law
and disgracing the state.

The lawyers insisted that the police chief is the one who doesn’t
understand legal matters and the secret trial of the defendants is also
against the existing laws of the country.

A closed colleague of U Hkun Htun Oo and Zomi National Congress (ZNC)
chairman Pu Cin Siang Thang said that if the junta really believes that
the defendants are guilty, they should be allowed to be tried in public.
“If they really think the defendants are posing security threats to the
country as they claim, why try them secretly,” he asked. “Put forward
solid evidence against them and ask the defendants to respond to their
charges in public. It just shows that there is no sense of justice and
fairness.”

U Hkun Tun Oo and ten other Shan leaders were arrested on 7 & 9 February
in connection with a “political” meeting held on 7 February at Shan State
capital Taunggyi.

____________________________________

March 17, Kyodo News
Myanmar accuses ILO of exaggerating forced labor

Myanmar Labor Minister U Thaung has accused the International Labor
Organization of exaggerating cases of forced labor in the country in order
to apply pressure on the military government, the state-run New Light of
Myanmar reported Thursday.

U Thaung told reporters at a press conference Tuesday that the ILO is
branding isolated cases of "misbehavior" at the village level as forced
labor requisitioned by the government, the paper reported.

"We have already taken action against 48 out of 50 cases cited by the ILO
resident representative and are investigating the remaining two," U Thaung
was quoted as saying.

The ILO has long been a vocal critic of forced labor in Myanmar.

Last month a high-level ILO delegation visited Myanmar to meet with
high-level authorities on eliminating forced labor.

The delegation cut short the visit by two days after failing to get an
appointment with the country's top leader Sen. Gen. Than Shwe.

The delegation is due to report next week to the ILO governing body about
the use of forced labor in Myanmar.

_____________________________________

March 17, Associated Press
Myanmar releases prominent student activist

Myanmar's military government has freed a prominent former student
activist, Ko Ko Gyi, more than 13 years after he was jailed, radio
broadcasts from outside the country reported Thursday.

Radio Free Asia, funded by the U.S. government, reported his release and
interviewed him. He was also interviewed by the Norway-based Democratic
Voice of Burma.

Ko Ko Gyi was deputy chairman of the All Burma Federation of Students
Union, which spearheaded mass pro-democracy demonstrations in 1988.

The demonstrations, aimed at ending more than two decades of military
rule, were violently suppressed by the military, which reasserted control
and still runs the country.

Ko Ko Gyi said in the phone interview with Radio Free Asia that he was
arrested several times and was sentenced to 20 years in prison in 1991.

Ko Ko Gyi said he was moved from Thayet prison in central Myanmar to
Yangon's notorious Insein Prison on March 10, where he was released
Wednesday afternoon.

Asked about his health, Ko Ko Gyi said he was generally well but needed to
undergo a thorough medical checkup.

Ko Ko Gyi said he had spent 13 years and four months in prison and had a
lot to catch up on before he could decide his future plans.

Asked how he was treated in prison, Ko Ko Gyi said he did not want "to
discuss the past."

Another former student activist, Zaw Min, was released from prison early
this month after 14 years in prison. The most prominent former student
leader, Min Ko Naing, was freed last November after spending nearly 16
years in prison.

Although the junta periodically releases political prisoners, more than
1,300 are estimated to still remain in its jails, including many who are
old and in poor health. The country's most prominent political prisoner is
Nobel Peace Prize laureate Aung San Suu Kyi, head of the opposition
National League for Democracy. She has been under house arrest in Yangon
since being detained in May 2003.

_____________________________________

March 17, Associated Press
Myanmar crops spared from regional drought, junta says

Farmers in military-ruled Myanmar have been spared the effects of a severe
seasonal drought that has struck neighboring countries, an agriculture
official said Thursday.

Tin Htut Oo, director general of the Agriculture Ministry, said
authorities were closely monitoring the situation in the region, "but
there is no cause for concern in Myanmar" because reservoirs are full from
rainfall last year and there are no reports of crop damage.

Farmers rely on the nation's main river, the Irrawaddy, which is still
discharging more water annually than it normally does. Crops grown this
time of year, including beans and nuts, are already being harvested, he
added.

Agriculture is the mainstay of Myanmar's economy, accounting for up to 48
percent of the country's gross domestic product. More than 70 percent of
Myanmar's 54 million people are farmers.

Tun Lwin, director of the meteorological department, said the country had
a normal amount of rainfall and even flooding during the monsoon season
from mid-May through October.

In neighboring Thailand, the drought has hit 63 of the country's 76
provinces and affected 9.2 million people, making it one of the worst dry
spells in recent memory.

_____________________________________

March 17, Shan Herald Agency for News
A lull before the storm

A two-day long standstill in the hostilities that broke out between the Wa
and the Shans should not have lulled people on both sides of the border
into a false security as troops from the 171st Military Region of Wei
Hsuehkang has received order to mobilize against the Shan State Army of
Col Yawdserk, according to sources from Mongton opposite Chiangmai:

So far only the 171st is engaging in the clashes with the SSA, while the
214th Brigade, based in Hopang, east of Mongton and adjacent to the Sanzu
base of Maj Ternkhurh, commander of the SSA's 727th Brigade, opposite Fang
district, is as yet out of the fight.

"It's not in our hearts to fight against the Shans, but there are things
which the Wa cannot afford to upset the Burmese (military government)," a
high ranking officer from the Wa's 418th Division was quoted as saying.
"Moreover, Rangoon has promised the border area along the Thai border will
be ours once Yawdserk is removed."

If true, this is a rehash of the old formula that had served the Burma
Army well a decade earlier when the Wa were able to dislodge Khun Sa's
Mong Tai Army, demoralized from in-fightings and mutinies, from Mongyawn,
opposite Chiangmai's Mae Ai district. Resettlement of the Wa population
forced out from their homes along the Chinese border took place
thereafter.

However, if experience is a criterion, throwing out Yawdserk, who had done
his stint in the MTA, would not be a walk in the park, according to an
ex-Border Patrol Police officer in Mae Ai who had witnessed the seesaw
conflict between the Wa and Shans for 14 years, 1982-1996. "The Wa only
won the war," he observes, "but not the battles."

The reported difference is that the Burma Army will be supplying the Wa
with ammo and rations. In addition, it will provide heavy weapons and, if
necessary, artillery support.

The agreement to cooperate against the SSA was reached in mid-February
between Rangoon and Panghsang, said a Wa officer in Mongton. And since
fighting was reported, Burmese authorities in eastern Shan State have
stopped bothering the Wa about surrendering their unregistered vehicles by
31 March, according to sources.

Heavy exchange of fire between the UWSA and SSA flared out on Sunday, 13
March, at Pukha hill, east of Kharngpa, opposite Maehongson's Pang Mapha
district. It was followed by an ambush on the SSA patrol the next day near
Kawngkha vilage, Namarkti tract, north of Kharngpa. The SSA disclosed it
suffered 1 killed and 1 wounded. Casualties on the Wa side were not known.

_____________________________________
DRUGS

March 17, Narinjara News
Poppy cultivations destroyed in border area

Bangladesh’s army has been involved in operations to destroy poppy
cultivations along the Bangladesh-Burma border since 9 March, said border
sources.

“As far as I know, the operations are still going on and a number of poppy
cultivations were destroyed by the army in recent days,” said a villager
from Borow Moduck, a village nearby operation.

Several poppy cultivations were destroyed by the Bangladesh Army and two
Mro tribal men were arrested in an incident on 13 March, he said.

The areas of poppy cultivation are the upper reaches Singu River in
Bangladesh, including the areas of Mraung Gound, War New Chaung, Late Cray
Chaung, Yin Bound, Late Chaung, Site Chaung, Thit Poke, where, for many
years, local tribal people have been reported to widely cultivate poppy.

The area is very close to Burma’s Buthi Daung Township where two Arakanese
tribal men also were arrested by Burma’s army on 2 March for their
involvement in poppy cultivation.

According to reliable sources from those areas, the cultivation of poppy
is for the production for raw opium, not for heroin, as the local people
do not understand how to make heroin and there are not any modern
manufacture for cooking heroin.

Bangladesh’s army has yearly operations to destroy poppy cultivations
planted by local tribal people in areas every cool season of the year, he
added.

_____________________________________
BUSINESS/MONEY

March 17, The Myanmar Times
Ministry to operate all onshore energy blocks

The government has decided that all onshore oil and gas blocks will in
future be operated by the Myanmar Oil and Gas Enterprise under the
Ministry of Energy.

A director of the ministry’s Energy Planning Department, U Soe Aung, said
all onshore blocks would be reserved for the ministry’s exploration and
production activities, starting from March 7.

The decision was outlined in a letter sent by U Soe Aung to foreign
companies seeking exploration and production rights for onshore blocks.

The government has demarcated 46 onshore blocks, of which nine are being
developed by foreign companies.

Meanwhile, South Korea’s Daewoo International has revised upwards the
estimated reserves at its offshore natural gas project in Rakhine State
after drilling another test well early this month, the Korean Times
reported last week.

The report quoted Daewoo International as saying that the reserves were
estimated to contain up to 20 trillion cubic feet, up from its previous
estimate of 12 trillion cubic feet.

The South Korean multinational has a 60 per cent share in the project, in
which
India’s Oil and Natural Gas Corp Ltd holds 20 per cent and Gas Authority
of India Ltd and the Korea Gas Corp each hold 10 per cent.

Last week, the chairman of Daewoo International, Mr Lee Tae-Yong, visited
Myanmar for talks with the Prime Minister, Lieutenant-General Soe Win, and
the Minister of Energy, Brigadier-General Lun Thi.

_____________________________________
REGIONAL

March 17, Voice of America
Thai Government sets deadline for Burmese refugees

Thailand has given several thousand Burmese refugees a March 31 deadline
to leave urban areas and move to special camps along the Thai-Burma
border. Those failing to heed the order face repatriation if caught.

Thailand's tough new policy targets at least 3,000 Burmese who have been
living in urban areas - most of them in the capital Bangkok. The United
Nations recognizes these select refugees as "persons of concern" who are
awaiting resettlement in Western nations.

The government announced in July 2003 that these refugees would no longer
be able to live in urban areas. Implementation of the policy was delayed
amid U.N. pleas to extend the deadline.

The U.N. High Commissioner for Refugees has been careful not to criticize
the Thai government plan, which it says breaks no international laws
regarding the treatment of refugees.

But the refugee agency's regional representative, Kirsten Young, says the
forced relocation to tightly regulated border camps will delay
resettlement plans and expose the refugees to unnecessary hardship.

"The move to the camps is absolutely undesirable," she said. "The camps
are overcrowded, there's nowhere to put these people. People in the camps
don't want them either, some of them have security and other reasons not
to go to the camp
"

There are already around 140,000 refugees from Burma in camps along the
border. Another one or two million Burmese nationals are believed to be
living illegally in Thailand after fleeing economic hardship or
persecution at home.

The Thai government allows international aid agencies to operate within
the camps. But it says the United Nations will have to end its refugee
assistance programs in Bangkok and other urban areas after the March 3
deadline.

Kirsten Young says the United Nations is trying to warn the targeted
refugees before it is too late.

"We're concerned that if they don't get the message that they have to go
to the camps, they will be considered illegal migrants and face arrest,
detention and deportation," she said.

Some aid agencies are also raising a broader political concern. They say
the Thai policy will, intentionally or not, help limit criticism of
Burma's military government.

The refugees ordered to leave Bangkok include a number of outspoken
political dissidents. Thailand has already banned the refugees from
holding demonstrations in Thai cities.

_____________________________________

March 17, Irrawaddy
East Asia faces funding challenge

Developing countries in East Asia need to spend more than US $1 trillion
over the next five years on the upgrading of infrastructure to cope with
growing economies and populations, a study said Wednesday.

A joint study by the Asian Development Bank (ADB), the World Bank and the
Japan Bank for International Cooperation said that government and private
investment in infrastructure is vital to the region’s growth, because East
Asian countries are interconnected through supply chain production
networks and expanding cross-border trade.

“In the past, infrastructure has been a key driver of economic growth and
for reducing poverty,” said ADB vice-president Geert van der Linden in a
statement. The study says that developing countries in the region face a
massive funding challenge and need more than US $200 billion per year to
fund new investment for upgrading infrastructure.

The joint study named “Connecting East Asia: A New Framework for
Infrastructure” covered 21 countries in Asia and the Pacific. The study
aims to contribute to the ongoing debate on the role of infrastructure in
promoting growth and reducing poverty. It agrees that questions and
concerns have often been raised in the region about cronyism and
corruption in public spending and private contracts.

As Peter Eigen, chairman of London-based corruption watchdog Transparency
International said on Wednesday: “Corrupt contracting processes leave
developing countries saddled with sub-standard infrastructure and
excessive debt.” He was speaking at the launch of the organization’s
annual “Global Corruption Report 2005.”

Transparency International’s report covers 146 countries, among which
Finland is ranked as the least corrupt and Burma is placed near the bottom
of the list, along with Nigeria, Bangladesh and Haiti.

_____________________________________

March 17, Bernama
Treat Myanmar more fairly, says Asean Sec-Gen

Kuala Lumpur: Western countries should treat Myanmar more fairly, an Asean
forum here was told Thursday.

Speaking at a question and answer session, Asean Secretary General Ong
Keng Yong said: "Your treatment of Myanmar's quite unusual because on
other similar cases (in other countries, you) treated differently.

"So let's persuade our Western friends that the people of Myanmar should
not be victims of conditionality," he said at the Second Asean Leadership
Forum.

Ong said that he never had any problem when dealing with Myanmar leaders
or delegations on issues relating to democracy.

In fact, he said, Myanmar was more determined than many other countries to
be part of the international community.

Myanmar has been criticized by many Western countries of its record on
democracy and human rights and they also accused Yangon of isolating
itself from the international community due to its policies.

Meanwhile, speaking on creating an Asean community, Ong said that the idea
of establishing an Asean Parliament had not entered the realm of Asean
decision-making.

He said that the more immediate issue for Asean was to develop
constitutional and democratic institutions at the national level.

"We could start building regional institutions when national institutions
are well in place," he said.

_____________________________________

March 17, Bernama
Myanmar Invited To East Asian Summit Conference

Kuala Lumpur: Myanmar will be invited to the East Asian summit conference
in December, but Malaysia hopes to see positive developments in that
country prior to the meeting, Datuk Seri Mohd Najib Tun Razak said
Thursday.

The Deputy Prime Minister said that Myanmar would be invited as it was one
of the ASEAN members.

He was speaking to reporters after opening the second ASEAN Leadership
Forum here.

Myanmar has been facing a leadership crisis since the military government
refused to recognise the independent general election result and prevented
the National Democratic League, led by Aung San Su Kyi, from forming a
democratic government.

Su Kyi has been placed under house arrest several times by the military
junta and this has incurred the wrath of the international community.

So far, efforts by the various parties, including Malaysia, to bring
democracy to Myanmar have not been fruitful.

_____________________________________
INTERNATIONAL

March 17, International Herald Tribune
Unocal files suit over Myanmar deal

Los Angeles: Unocal, which has oil and gas operations on five continents,
on Wednesday sued two American International Group units and other
insurers, saying that they had refused to cover its settlement of lawsuits
over alleged human rights violations committed at a Myanmar pipeline.

Unocal filed lawsuits against AIG's Lexington Insurance and New Hampshire
Insurance units, as well as Converium Holding and Gerling-Konzern
Versicherungs-Beteiligungs, in federal court in Los Angeles, saying that
they had "ignored the clear potential of covered liability."

Unocal, based in California, in December said that it had reached an
agreement to resolve cases filed by Myanmar villagers in 1996 that claimed
the company was responsible for atrocities committed by Myanmar soldiers
who forced others to work on the construction of the pipeline. Terms of
the settlement have not been disclosed.

"The allegations of forced labor, murder, rape, torture, battery, forced
relocation and detention throughout the Myanmar litigation fall within the
policies' 'personal injuries coverage,"' Unocal said in the lawsuit.

Unocal says Lexington has refused coverage under a general liability
policy that provides $10 million in coverage. In addition, the company
says, the underwriters Converium, New Hampshire and Gerling-Konzern should
honor a policy that provides $45 million in coverage.

Chris Winans, a spokesman for the New York-based AIG, said the company did
not comment on lawsuits involving specific clients or coverage policies.
Officials with the Switzerland-based Converium and Gerling-Konzern, which
is based in Germany, could not be reached for comment.

Lawyers for the villagers said that starting in 1991, military and police
forces in Myanmar had intimidated farmers into working on the Unocal
pipeline projects. Unocal has consistently said that it did not authorize
the actions of the military.

Unocal, which has oil and gas operations on five continents, on Wednesday
sued two American International Group units and other insurers, saying
that they had refused to cover its settlement of lawsuits over alleged
human rights violations committed at a Myanmar pipeline.

Unocal filed lawsuits against AIG's Lexington Insurance and New Hampshire
Insurance units, as well as Converium Holding and Gerling-Konzern
Versicherungs-Beteiligungs, in federal court in Los Angeles, saying that
they had "ignored the clear potential of covered liability."

Unocal, based in California, in December said that it had reached an
agreement to resolve cases filed by Myanmar villagers in 1996 that claimed
the company was responsible for atrocities committed by Myanmar soldiers
who forced others to work on the construction of the pipeline. Terms of
the settlement have not been disclosed.

"The allegations of forced labor, murder, rape, torture, battery, forced
relocation and detention throughout the Myanmar litigation fall within the
policies' 'personal injuries coverage,"' Unocal said in the lawsuit.

Unocal says Lexington has refused coverage under a general liability
policy that provides $10 million in coverage. In addition, the company
says, the underwriters Converium, New Hampshire and Gerling-Konzern should
honor a policy that provides $45 million in coverage.

Chris Winans, a spokesman for the New York-based AIG, said the company did
not comment on lawsuits involving specific clients or coverage policies.
Officials with the Switzerland-based Converium and Gerling-Konzern, which
is based in Germany, could not be reached for comment.

Lawyers for the villagers said that starting in 1991, military and police
forces in Myanmar had intimidated farmers into working on the Unocal
pipeline projects. Unocal has consistently said that it did not authorize
the actions of the military.

_____________________________________
OPINION / OTHER

March 17, Democratic Voice of Burma
Interview with Ko Ko Gyi after his release

“We cannot build our country with anger and selfishness”—Kyo Kyo Gyi

Ko Ko Gyi: “In fact, hatred and selfishness are anger. Anger does control
the person who keeps it and it spreads and burns the surrounding areas. We
could not build our country with anger and selfishness. If we strongly
believe that and bury hatred and selfishness, we should start to meet,
discuss and cooperate for the sake of future of our country and people.
That is the main thing. Even a student like me who had been detained for a
long time has the desire that strong, why can’t other people have that
feeling also? I do hope and believe that it is possible for sure.

As for my political belief, I want a peaceful and smooth political
transition. I have been trying to make that possible throughout my life. I
still believe in this. Politics is an art. It is very subtle. You can’t
sort problems unilaterally by violent means. Only when all the parties
concerned in politics work together with great compassion and patience,
would the future of the country be peaceful and beautiful – that is what I
believe.

Moe Aye: You had spent around 14 years in prison. Do you feel aggrieved by
this? Are you angry for the losses?

Ko Ko Gyi: “When I was detained initially, I was feeling rather
frustrated. After passing many months and years – some military
intelligence agents said something when we were at interrogation centre.
They said how much they loved the country with their lives and how much
they sacrificed their lives and the like! I was able to have a chance to
show how much I love my country and my people by sacrificing all my youth,
my family and social life – that is how I regard myself.

Moe Aye: Student leader Min Ko Naing is now freed. Zaw Min, Htay Kywe and
now you are freed. You all spent 13,14,15 years in prison. Have you ever
though at the beginning of your detention that you would be detained that
long?

Ko Ko Gyi: “It is true that I never thought that I would be imprisoned
that long. The reason is – there were times when we were very surprised by
the authorities’ actions. Our actions were meant to solve political
problems of our country peacefully. They gave us 20 years for our
activities in 1988.

Then, they read out the release warrant that at the gate of the prison
that I was to be released after serving 10 years of my sentence with
general amnesty. Then, they extended my sentence and continued to detain
me with Act 10A. I was very surprised by that for sure. Whatever you say,
these things had happened. My personal feelings when compared to the
situation of more than 50 million people, sacrifice and loss like mine are
not very unusual. I believe that I have to pay for this with content. I am
ready to continue to pay for this.

Moe Aye: If the new generation of Burmese students asked you what have you
done to deserve life sentence – what would you say?

Ko Ko Gyi: “If I have to tell the new generation of students about this,
they will feel that it is unbelievably like a mythical story. The reason
is – if I have to talk about what we did in the circumstance at the time
and the punishment we were given, I think the students will ask me with
suspicion whether we are telling the truth.