News & Articles on Burma-Thursday, 24 February, 2011

News & Articles on Burma
Thursday, 24 February, 2011
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Junta deploys tanks and troops near Kachin headquarters
Australian editor accused of drugging woman in Myanmar
Australian editor refused bail in Burma
US Talks about Aid for Burma
Maung Aye Rumors Lead to Run on Bank
All roads to Shan rebel base closed
Burma snatches power from judges
Tay Za rescued, German embassy blocks staff
Asset grabs in Myanmar
Thailand tightens control of Burmese groups on border
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Junta deploys tanks and troops near Kachin headquarters
Thursday, 24 February 2011 19:01 KNG

The Burmese government has deployed tanks and troops near Laiza, the general headquarters of the Kachin Independence Organization (KIO), in eastern Kachin State, northern Burma, according to local sources.

Eyewitnesses said six tanks from Northern Regional Command (Ma-Pa-Kha), based in Myitkyina, the capital of Kachin State, traveled to Infantry Battalion (IB) No. 58, based on the outskirts of Waingmaw Town.
051209-burma-laiza

Laiza, capital of KIO in Kachin State, Northern Burma. Photo: Kachin News Group

Burmese Army tanks and trucks crossed the Irrawaddy River at the Balaminhtin Bridge, which connects the two main towns of Myitkyina and Waingmaw, on Tuesday, Feb 22, at 10:30 a.m. local time. They then marched into the Waingmaw Township, according to eyewitnesses.

Two Burmese army battalions from Danai (Tanai) Township, under Regional Operation Command (ROC or Sa-Ka-Kha)- Shahtuzup-based IB No. 238 and Danai-based IB No. 297- were stationed in the Sadung area in the township before the tanks arrived in Waingmaw, KIO officials at Laiza HQ said.

People in Sadung said more Burmese troops and government drug eradication teams are currently operating in the area, preventing destruction of opium fields by the KIO.

Earlier, the KIO destroyed several opium fields in the controlled area of the Border Guard Force under command of Burma Army, formerly known as the New Democratic Army-Kachin (NDA-K), Nhpang Naw Bu, spokesperson of the KIO Drug Eradication Committee based in Laiza said.

Waingmaw Township has been the largest producer of opium in Kachin State since 2004. The opium has been mainly cultivated in areas controlled by the junta and the NDA-K, which transformed into the military-controlled BGF in November, 2009.

Officials of the Kachin Independence Army (KIA), the armed-wing of the KIO, confirmed to the Thailand-based Kachin News Group, Burmese troops under Northern Regional Command are increasingly operating near KIO territories in Kachin State under orders from the Ministry of Defense.

The Burmese military has avoided entering the KIO’s territories since troops from the Mohnyin-based IB 15 were fired upon by troops from the KIA’s battalion 27, in Manwin Township, in Manmaw (Bhamo) district, on February 7, according to KIA officials.

The KIO is the strongest ethnic armed group after the United Wa State Army (UWSA) and is playing a leading role in the recent formation of two ethnic political and military alliances- the Committee of Emergence for a Federal Union (CEFU) and the United Nationalities Federal Council (UNFC).

The alliance is calling for the formation of a genuine federal union, with equal rights for the Burman majority and all ethnic people in Burma.

On Monday, February 21, the KIO called a special meeting for members of the People’s Defense Force, in Laiza. Those in attendance were informed by the KIA’s Chief of Staff, Maj-Gen Gunhtang Gam Shawng, that all members have to do full-time military service in the KIA if necessary, participants said.

The People’s Defense Force was formed last year and is under control of the KIO’s Department of General Administration (DGA), also known as the Civil Administration Department.

Observers say civil war could erupt in Kachin State any time between the KIO and the Burmese Army. http://www.kachinnews.com/news/1861-junta-deploys-tanks-and-troops-near-kachin-headquarters.html
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Australian editor accused of drugging woman in Myanmar
By the CNN Wire Staff
February 24, 2011 -- Updated 1032 GMT (1832 HKT)
* Myanmar

Yangon, Myanmar (CNN) -- An Australian editor of a Myanmar newspaper was ordered to remain in jail after a court hearing in Yangon on Thursday.

Officials revealed at the hearing that Ross Dunkley, the editor of the Myanmar Times, faces charges related to torturing and drugging a woman.

Dunkley was arrested in early February. At the time, authorities said he faced immigration charges.

At the hearing Thursday, authorities added the drug and torture charges stating that Myanmar law dictates that any foreigner who faces criminal charges always faces additional immigration charges.

The woman making the allegations against Dunkley was at the hearing, and said the editor gave her a drug on two occasions that hampered her memory. On the second time, the woman said she jumped out of Dunkley's car to escape.

Dunkley denied all charges and requested to be released on bond, which was denied.

But in a strange twist, the woman told the judge that she wanted to drop her allegations and withdraw the case.

A judge asked her to consider her request and scheduled another hearing for March 3.

Myanmar Times is one of a few newspapers owned and run by a foreigner in the nation. Dunkley's arrest comes amid a business dispute with the paper's local partner.

"I cannot say for sure that the cause behind Ross arrest was driven by business dispute because I was not with him in Myanmar," said David Armstrong, a friend of Dunkley. "But what I can say all the troubles came to Ross at an odd timing as there was a business negotiation with his local partner going on." http://edition.cnn.com/2011/WORLD/asiapcf/02/24/myanmar.editor.arrested/index.html
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Australian editor refused bail in Burma

By South East Asia correspondent Zoe Daniel

Australian newspaper editor Ross Dunkley, who was jailed in Burma two weeks ago, has been refused bail after appearing in court.

The court refused bail to the publisher of the Myanmar Times despite some of the charges against him apparently being withdrawn.

The founder of the newspaper was jailed two weeks ago on immigration charges but there has been speculation his arrest relates to a business dispute with a partner linked to the Burmese ruling party.

A sex worker who had previously accused Dunkley of torture withdrew the case against him, which had apparently led to a charge of breaching his visa.

However the judge said a number of steps must be taken before he can be released and set another court date for March 3.
http://www.abc.net.au/news/stories/2011/02/24/3148317.htm?section=justin
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US Talks about Aid for Burma
By THE ASSOCIATED PRESS Thursday, February 24, 2011

RANGOON — The top US diplomat in Burma said Wednesday he has begun talking with pro-democracy leader Aung San Suu Kyi about what sort of aid Washington should offer the military-dominated nation.

Charge d'Affaires Larry M. Dinger said the US is also talking to the government and others about the issue, which hinges around long-standing sanctions Washington has applied because of human rights abuses by the country's junta and its failure to institute democracy.

Parliamentary rule was nominally restored last month, but a new civilian government has yet to be officially installed. The constitution and last year's elections were organized under the guidance of the military to preserve its influence.

Dinger said he began talks with Suu Kyi on Tuesday aimed at helping formulate US policy toward Burma. Washington's relations with Burma have been strained since the military crushed pro-democracy demonstrations in 1988, and the US still refers to the country by its old name, Burma, which was changed by the junta. It also demonstrates its disapproval of the government by not posting a full ambassador in the country.

Han Thar Myint, an executive member of Suu Kyi's National League for Democracy party, confirmed that Suu Kyi had talked with Dinger for 1 1/2 hours at his residence, but declined to reveal the details of the talks.

The Obama administration has been exploring ways of engaging with the government, while Suu Kyi's party has cautioned against lifting sanctions too quickly.

Suu Kyi's party earlier this month broadly endorsed retaining international sanctions against Burma. However, it also called for discussions with the United States, the European Union, Canada and Australia on when and how sanctions might be modified in the interests of democracy, human rights and the economy.

In response, a commentary in a state newspaper warned that Suu Kyi and her party would meet "tragic ends" if they move against recent political reforms and criticized her for failing to end her support of sanctions.

Burma's state-dominated press had avoided its usual harsh criticism of Suu Kyi since she was freed shortly after the November elections, which were touted by the ruling junta as bringing democracy. The US has called the balloting "fatally flawed."

State Department spokesman PJ Crowley said the commentary suggested that if Suu Kyi proceeds with plans to reconstitute her party, "she could be in some danger." He said the commentary was of "great concern" because it was published in a state-run newspaper, "so one would assume there's actually something behind this."

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Maung Aye Rumors Lead to Run on Bank
By YAN PAI Thursday, February 24, 2011

Following rumors that Burma's No. 2 military general, Vice Snr-Gen Maung Aye, was about to be forcefully retired, bank account holders have rushed to withdraw their savings from Kanbawza Bank, which is owned by Aung Ko Win, a close associate of the regime.

According to a source close to the bank, account holders began withdrawing money and closing their accounts at Kanbawza after fresh rumors went around the business community in Rangoon that there is renewed discontent among the top brass of the regime about who will succeed Snr-Gen Than Shwe, including a rumor that Maung Aye was to be arrested, and Aung Ko Win was to have his business license revoked.

A branch of the Kanbawza Bank in Rangoon. (Photo: NEJ)
Speaking to The Irrawaddy, the bank source said the huge withdrawals started in Taunggyi and were followed by a rush of withdrawals by account holders in Mandalay and Rangoon.

An employee at Myanmar Shae Saung Bank said, “People have deposited more money with us since a rumor spread that Aung Ko Win was to be arrested.”

An official from Kambawza Bank headquarters on Prome Road, Rangoon, declined to comment when The Irrawaddy asked him to verify the information. However, he said the bank was operating “as usual” and was in fact planning to open more branches across the country.

Kambawza Bank currently has more than 50 branches nationwide. Aung Ko Win is chairperson and his wife, Nan Than Htwe, is vice-chairperson. The bank is said to be the largest private bank in the country. Currently, Aung Ko Win is also serving as joint-general secretary of the Myanmar Banks Association.

After 1988, Aung Ko Win took up a position as representative of Shan Yoma Mall while Maung Aye was commanding Southern East Command based in Taunggyi in Shan State. Later Maung Aye put him in charge of Mong Shu gem mine, which extracted and sold rubies and sapphires.

With his rise as a military crony came further business opportunities—he established Kambawza Bank and purchased Myanmar Air International.

Despite the rumors, Maung Aye was featured in state-run media on Feb. 21 attending an event in his hometown of Kantbalu in Sagaing Division. He appeared alongside his wife and family, and Aung Ko Win and his wife. They were photographed handing out donations of aid.

"It goes always like this—as if to show the world that 'nothing has changed',” said a Rangoon businessman. “When they arrested Khin Maung Ohn [the former chairman of City Bank], they did exactly the same thing.”

In recent years, under what many observers say is a pretext of helping the country, Burma's military regime has awarded several lucrative banking positions to its cronies: Asia Green Development Bank was assigned to Tay Za; Irrawaddy Bank to Zaw Zaw; United Amaya Bank to Nay Aung; and Myanmar Shae Saung Bank to Chit Khaing. http://www.irrawaddy.org/article.php?art_id=20817
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All roads to Shan rebel base closed
Thursday, 24 February 2011 13:55 S.H.A.N.

Motor roads leading to Wanhai in Kehsi township, where the Shan State Army (SSA) ‘North’ that has refused to go along with Naypyitaw’s Border Guard Force (BGF) program run by junta officers, have been closed since Sunday, 20 February, according to rebel and local sources.

Vehicles coming down from Tangyan in the north and Mongnawng in the south have been told to use other roads in order to reach other major towns in the areas, such as Kehsi and Monghsu, where the ruby gemland is located.

The latest Burma Army move follows news of the group’s co-founding of the new anti-Naypyitaw United Nationalities Federal Council (UNFC) on 16 February.

11 other co-founders include Kachin Independence Organization (KIO), Karen National Union (KNU), Karenni National Progressive Party (KNPP) and New Mon State Party (NMSP). Three of the alliance members are ceasefire groups and 9 others non-ceasefire groups.

The declared aim of the coalition is to establish a federal union as opposed to the regime’s “federal in form, but unitary in substance” union.

More Burma Army troops are also seen by travelers and locals around Wanhai, including 16 armored vehicles and 30 military trucks full of soldiers.

“It could be a preparation for an offensive,” commented a senior officer from the non-ceasefire SSA ‘South’ whose troops are operating in the vicinity.

The SSA ‘North’ is also a close ally of the United Wa State Army (UWSA) with its base east of the Salween. The SSA ‘North’ area serves as a barricade to the latter. The two together with the KIO and another group Mongla are signatories of what is known as the Kunma Mutual Assistance Pact concluded on 16 April 2010.

The SSA North has already been attacked 4 times since last year. http://www.shanland.org/index.php?option=com_content&view=article&id=3484:-all-roads-to-shan-rebel-base-closed&catid=86:war&Itemid=284
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Burma snatches power from judges
By JOSEPH ALLCHIN
Published: 23 February 2011

Burma’s Supreme Court has ruled that it is not the responsibility of judges to decide who can attend court hearings held inside prisons, a move described by legal experts as “astounding”.

The ruling came as a result of an appeal filed by Phyo Wei Aung, who is facing murder charges over the series of grenade attacks in Rangoon during the Thingyan festival last year.

He had appealed to judges to allow his family to attend the trial, but was denied by Insein prison authorities. Judges and legal experts were then unable to overturn the decision.

The Hong Kong-based Asia Human Rights Commission (AHRC) said that the trial further highlights serious problems with the justice system in Burma.

“Whereas a judge in a courtroom outside a prison in Burma may not conduct a trial fairly, at least she has nominal authority over the premises: by contrast, her counterpart inside a prison does not even have this.

“He is in an Alice in Wonderland scenario, perched in a courtroom over which he has no control, deciding on a case in which a decision has already been made: a non-judge occupying a non-courtroom in a non-trial”.

It added in a statement that the decision showed “just how far logic has departed” from Burma’s judicial system and “underscores the extent to which the judiciary in Burma has abdicated its authority in favour of the security services”.

That sentiment was echoed by David Mathieson, Burma analyst at Human Rights Watch, who told DVB that “this is another example that the courts in Burma serve the military junta, not the people or justice.”

AHRC further highlighted concern over the fact that the accused are often not presented with the charges brought against them, concluding that “the judicial system in Burma has been reduced to nonsense and doublespeak.”

Phyo Wei Aung is accused of carrying out the attack on the X20 pavilion in April 2010 in which nine people died, but was repeatedly denied legal aid despite that being a right under Burmese law.
http://www.dvb.no/news/burma-snatches-power-from-judges/14402
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Tay Za rescued, German embassy blocks staff
By SAW LATT NANDAR
Published: 24 February 2011

Powerful Burmese business tycoon Tay Za has been rescued from the mountainous far-north Kachin state where his helicopter was forced to crash land on Monday

A Burmese government official told AFP today that the wealthy airline owner and his crew were rescued by a team in a Thai helicopter, who took him to the northern town of Putao.

They had been travelling on tourism-related business when their aircraft was forced to land due to bad weather.

The rescue comes as four of the tycoon’s colleagues in his Htoo Trading Company were told by the German embassy in Rangoon that they could not attend the looming International Tourism Expo being held in Berlin from 9 to 13 March.

Tay Za is on EU and US sanctions lists, which extend to staff working for his various businesses. The four were reportedly forced to obtain the visas from an Italian national operating a tourism business in Burma.

The tycoon owns a string of luxury hotels and Burmese airline Air Bagan, and was described by the US Treasury as “a notorious regime henchman and arms dealer”.
http://www.dvb.no/news/tay-za-rescued-german-embassy-blocks-staff/14427
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Feb 25, 2011
ASIA TIMES ONLINE
Asset grabs in Myanmar
By Clifford McCoy

Myanmar is in the midst of a large-scale privatization drive that promises, for better or worse, to shake up one of Asia's most moribund economies. However, investors keen get involved in the fire sale would be wise to weigh the experience of media entrepreneur Ross Dunkley, who is languishing on unclear charges in the country's Insein prison.

Dunkley, chief executive officer and until recently editor-in-chief of the Myanmar Times newspaper, was arrested on February 10 after returning from a business trip to Japan. A statement from his publishing group said that his arrest was due to immigration violations. Rumors have since surfaced of an altercation with a sex worker in a bar in the former capital city of Yangon.

However, the real reason behind his arrest seems to be a power play by his local business partner, Tin Hun Oo, who in recent days has assumed editorial control of the venture. Many observers suspect that since the arrest and sentencing of Dunkley's previous business partner and political patron in 2004 that the country's ruling generals have been keen to exert more control over the profitable joint venture. Dunkley was known to be in tense negotiations with his partner over the future leadership of the paper at the time of his arrest.

Tin Tun Oo owns 51% of the paper's parent, Myanmar Consolidate Media, with a group of foreign investors including Dunkley hold the rest, and have long exercised management control, according to the Wall St Journal, which said Dunkley was arrested on February 10.

Dunkley 20 years ago launched the Vietnam Investment Review, which he has since left, and in 2008 bought with Western partners control of the Phnom Penh Post. David Armstrong, a former editor of the South China Morning Post who works with Dunkley on the Cambodian paper, said police had decided to take no action on the sexual assault charge and that the woman had subsequently withdrawn her complaint, the Journal report said.

Dunkley's incarceration coincides with the government's announcement of a fresh round of sales of state-owned enterprises (SOEs) in line with the country's transition from military to civilian rule after last November's general elections. However, the privatization process has so far been fraught with charges of favoritism of businessmen close to the country's military rulers and a lack of transparency surrounding the deals.

Myanmar is bidding to transform its economy after decades of strong state-control and poor performance that has kept the country at the bottom of most economic and development indexes. Most industries were nationalized when the military seized power in 1962 and declared it was following the "Burmese Way to Socialism". That inward-looking campaign aimed to limit foreign influence in the economy while promoting the military's interests.

Certain industries were privatized as early as 1995, but the pace of the sell-off accelerated last year in the lead up to the elections. Myanmar officials have said that the government aims ultimately to sell 90% of its held assets. Officials have also said that 70% of those holdings have already been sold. However, it is unlikely that the country's most important revenue spinners, including control over offshore oil and gas fields, will be spun off to private interests.
Khin Maung Kyaw, deputy minister of industry No 2, was reported in the local press as saying that the privatization drive was in line with the experiences of other newly democratic countries. However, Myanmar's state assets have been made available mainly to military-linked holding companies, private businessmen with close ties to the regime and their relatives. Few, if any, deals have involved foreign investors.

In early 2010, 110 business properties, 32 buildings, 246 gas stations and a number of port facilities along the Yangon River that handle much of the country's international trade were sold to private business interests. Most of the buildings were former government offices in Yangon, where the capital was situated before its move to Naypyidaw in 2005. The businesses included a number of gem and tin mines, agricultural land and factories producing commodities such as soft drinks and cigarettes.

Another round of privatizations, including initial offerings of 76 state-owned enterprises and properties, kicked off on January 26 this year. State-run newspapers reported that the sales included former government offices in Yangon, many of which are dilapidated and would likely be demolished to make room for new developments, and loss-making enterprises that weren't sold during the previous round of sales.

The offerings included state-owned factories that produce textiles, consumer goods, electronic and electrical goods, as well as land, buildings, cinemas and warehouses in Yangon and other areas of the country. Another announcement was made on February 15 that put 268 enterprises, buildings and parcels of land on the auction block.

Many of the properties and enterprises have been sold to either the Union of Myanmar Economic Holdings (UMEH) and the Myanmar Economic Corporation (MEC). UMEH is run by the military's quartermaster general rather than private investors, raising questions about the integrity of the divestments. MEC is also a questionable participant in the privatization process since it is a government body and responsible for controlling the funds raised from the sale of SOEs.

Sales to private investors have been even more opaque. During the 2010 asset sales, announcements were made quietly to small, select groups of businessmen, many known to be close to the generals. This, critics say, provided them with privileged choice before the assets were made more widely available to bidders. The lack of transparency has increased the odds that the most profitable assets have wound up in the hands of the military's cronies or their relatives.

Most large private companies in Myanmar have strong ties to the country's military rulers. This has become a matter of necessity in order to receive operating licenses and lucrative state contracts. Economists have noted that businessmen in Myanmar often participate knowingly in loss-making government projects, such as infrastructure development schemes, in order to maintain their political connections.

Friends in 'high' places
Prominent businessmen who have participated in recent privatizations include Tay Za of the Htoo Group of Companies, Steven Law of Asia World, Zaw Zaw of Max Myanmar Group, Htay Myint of the Yuzana Company, Win Aung of Dagon International and Khin Shwe of Zaykabar Co Ltd. All of these businessmen are currently on the United States' financial sanctions list.

The Htoo Group has interests in logging, construction, tourism, mining and telecommunications. Its owner and chief executive officer, Tay Za, is known to be close to junta supremo and now head of the newly created "State Supreme Council" Senior General Than Shwe. He is also known to be close to former General Shwe Mann, now the speaker of the newly founded People's Parliament, and his son, Aung Thet Mann. Both sit on the Htoo Group's board of directors.

Steven Law's Asia World is perhaps the country's largest and most diversified conglomerate, with ventures spanning industrial investment, transportation and port and road construction. The company is constructing an international airport at the new capital and is expected to run the facility upon completion. Pioneer Aerodrome Services, an affiliate of Asia World, was awarded the concession to run Yangon's international airport last year. Steven Law is the son of famous drug lord Lo Hsing Han.

Zaw Zaw is Tay Za's main rival for the title of the richest man in Myanmar and has been active in the privatization process. His Max Myanmar Group has extensive interests in gem mining, timber, tourism and construction and it recently won a lucrative contract to participate in the development of a new deep-sea port project at Dawei in southern Myanmar. Zaw Zaw is close to Senior General Than Shwe and former Lieutenant General Tin Aung Myint Oo, the junta's Secretary-1 and now the country's "first vice president".

Htay Myint's Yuzana Company is involved in tourism, real estate, fisheries, palm oil production and rubber. The company also owns the Yuzana Supermarket and Yuzana Hotel in Yangon and an oil refinery in Thaketa township near the old capital. Khin Shwe is Myanmar's leading property developer and plays a prominent role in the tourism industry through his chairmanship of the Myanmar Hotelier Association. His daughter is married to Shwe Mann's youngest son.

Another company with close ties to senior military officers is the Kanbawza Bank, one of the country's largest privately held financial institutions. The bank is part of Aung Ko Win's Myanmar Billion Group, which has interests in banking, mining, gems and large-scale commercial agriculture. It is also on the list of companies sanctioned by the US Treasury Department.

Aung Ko Win, is reportedly close to junta number two Vice-Senior General Maung Aye, who is the other major shareholder in the bank. Maung Aye was a regional commander in Shan State, from where Aung Ko Win hails. Kanbawza Bank secured a controlling 80% share of national carrier Myanmar Airways International in last year's mass sale of state assets.

Some analysts believe the sale of Myanmar's SOEs could mark a dramatic shift for the economy. Most of the enterprises that have been sold were run by the state since their inception and that private ownership will lead to greater efficiency. However, many are expected to face difficulties if they are simply rebranded and expected to compete in a more market-driven economy without wholesale restructuring.

Because details of the sales remain sketchy, it is unclear if the process represents a genuine attempt at economic reform or is instead a thinly veiled asset grab aimed at maintaining the military's hold over the economy. Many observers saw the 2010 sales as a means for the generals to cement the support of the country's wealthiest businessmen ahead of a potentially delicate political transition.

Although most of these businessmen did not themselves run for office, they financially supported other military-linked candidates who did. The transfer of assets from state to private hands will thus likely ensure the economic well-being of the many senior military officials who were required to leave the armed forces in order to become "civilian" politicians as required under the 2008 constitution.

Some incentive for the asset sales may also have come from Beijing, which has strongly and publicly encouraged Myanmar's generals to reform the economy. China is a top foreign investor in Myanmar and would likely gain from a more open investment climate. Than Shwe has shown interest in China's economic reforms, most recently during a visit he paid to the Shenzen Special Economic Zone.

To follow China's liberalizing model, however, Naypyidaw will need to allow for greater openness. Total foreign investment in Myanmar reached US$32 billion as of October 10, 2010, including major foreign joint ventures in oil and gas development and electrical power generation.

A deal signed last year with Thailand's Ital-Thai Company to develop a deep-sea port at Dawei could bring in as much as $13 billion. China has also committed to investments worth $8 billion in the energy sector, mostly related to the Shwe oil and gas pipelines designed to connect southwest China with Myanmar ports on the Indian Ocean.

Nonetheless, two opposition parties have spoken out against the government's handling of the privatization process. The National Unity Party (NUP), successor to the Burma Socialist Program Party that nationalized much of the economy in 1962, has cautioned against the selling of assets primarily to individuals close to the regime.

The party now champions a market economy and privatization, although it still supports state regulation of certain businesses and intervention in the economy. Outside of parliament but still a political force, the National League for Democracy issued a similar statement on January 4, claiming that the privatization policy is creating monopolies controlled by a select group of elites and the generals' business cronies.

There remain big impediments to greater foreign participation and competition, including not least US-led economic sanctions, a distorted official exchange rate regime and questionable rule by law. As the power play against Dunkley's investment has revealed, contractual obligations are easily broken and foreign investments are at risk of forced takeovers. Until that changes, Myanmar's privatization drive will remain mostly a domestic affair of questionable reform value.

Clifford McCoy is a freelance journalist. http://www.atimes.com/atimes/Southeast_Asia/MB25Ae01.html
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Thailand tightens control of Burmese groups on border
Wednesday, 23 February 2011 13:09 Kyaw Kha

Chiang Mai (Mizzima) – The BBC Burmese Service has reported that the Thai government is clamping down on armed Burmese ethnic groups and political opposition groups in Tak Province, Thailand.

Burmese float across the Moei River near the Thai-Burmese Friendship Bridge at the border of Mae Sot, Thailand, and Myawaddy, Burma. The bridge has been closed since July 12, 2010.

Burmese float across the Moei River near the Thai-Burmese Friendship Bridge at the border of Mae Sot, Thailand, and Myawaddy, Burma. The bridge has been closed since July 12, 2010.
The authorities reportedly will place greater restrictions on the groups’ actions and movements inside Thai territory, the BBC said, citing remarks by the governor of Tak Province.

Observers say that a factor in the restrictions my be the Thai government desire to reopen the closed Mae Sot-Myawaddy friendship bridge, which is a main Thai-Burmese border trade route. The Burmese government ordered it closed on July 12 last year.

According to the Mae Sot Customs Office, the closing is costing border trade at the bridge about 100 million baht [US$ 3.2 million] a day.

Opposition groups say the threatened restrictions on them by Thai authorities is because of pressure from the Burmese military regime and border-based Thai businessmen.

Federation of Democracy in Burma (FDB) General Secretary Dr. Naing Aung told Mizzima: ‘It will depend on how much they try to appease the Burmese regime––it will certainly have an impact on our movement’.

One of the ethnic armed groups, the Karen National Union (KNU), said that they have no armed movement inside Thai territory. The new Thai policy would not affect them, even if they had to move entirely into Burma, said KNU Pa-an District chairman Saw Aung Maw Aye.

‘There will be no change in our movements even if Thais exert pressure on us. We have many shelters and offices inside Burma. We do not initiate any violent acts in Thailand, and we don’t bear any arms in Thai territory’, he told Mizzima.

Similarly, Shan State Army (South) (SSA-S) spokesman Sai Lao Sai told Mizzima that they didn’t have any permanent offices in Thailand.

But the Democratic Karen Buddhist Army (DKBA), which is fighting junta troops in Karen State which borders with Tak Province, said that the Thai government has always viewed it as a rebel force, and the Thais frequently side with the Burmese military regime.

‘The Thai government always wants to arrest all of us and hand us over to the regime. They only refrain from doing this because of fear of how it would affect their image. Even now, they choke the movements of KNU troops in their territory here and there’, said the DKBA commander of the 5th Brigade, Major Saw San Aung.

He said that the attempt by the Burmese military to eliminate armed ethnic groups and the pro-democracy movements will not be successful and the problem can be successfully resolved only by political means.

Thai military forces and police raided and searched residences of some KNU leaders and the Karen News agency in Mae Sot on February 4. http://www.shanland.org/index.php?option=com_content&view=article&id=3484:-all-roads-to-shan-rebel-base-closed&catid=86:war&Itemid=284


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