July 28, 2004 keralamonitor.com

SHUAA CAPITAL LAUNCHES OMAN GATEWAY FUND

Dubai, 21 July 2004: SHUAA Capital, the leading UAE investment banking institution, has announced the successful launch of a new regionally focused fund: The Oman Gateway Fund, a single country fund that will invest in listed Omani securities.

SHUAA Capital believes Oman is undervalued compared to its counterparts in the region. It estimates that Oman is trading at less that twelve times forward earning compare with other GCC markets that are trading in the range of 18-20 times. Dividend yield is also high at 4.5%. The Fund is US dollar denominated and open to all nationalities as the Oman market is largely open to foreign ownership. The fund will invest in equities listed on the Muscat Securities Market.

"The Omani market performed very well last year, yet it lagged behind other GCC and Arab markets over the past three years due to factors related to its own history and weak investors demand. With high oil prices, solid economic growth and continued low interest rates, we expect the market to charge higher going forward driven by higher corporate earnings," said Haissam Arabi, Head of Asset Management at SHUAA Capital. "We also believe that the Omantel privatisation will redraw attention to Oman and will serve as a catalyst for renewed interest in the market", he said.

Oman has a positive macroeconomic picture with increased liquidity and a budget surplus expected for 04/05. SHUAA Capital expects the upward trend to continue on the basis of an expanding multiple and higher profitability of companies based on early results.

Mr Arabi ended by saying, "In short, this market looks extremely attractive".The Muscat Securities Market is well developed and lists 130 companies with a market capitalisation of US$5.53 billion providing an average daily turnover of US$7million. Subscriptions to the Oman Gateway Fund can be executed directly through SHUAA Capital, its affiliated broker Emirates Securities LLC, and other authorized distributors.

LEADING UAE BANKER MOVES TO STANDARD CHARTERED

David Stewart takes Bank’s top Abu Dhabi role

DUBAI - One of the UAE’s top bankers has joined Standard Chartered Bank to head of the Bank’s Abu Dhabi operations. David Stewart has 26 years of banking experience in London, Philadelphia and Abu Dhabi, and has been resident in the latter since 1990. A well-known and respected member of the industry, David Stewart will head Standard Chartered’s Abu Dhabi operations, which includes a large corporate banking portfolio, and a growing retail business.

“I am excited to be joining Standard Chartered Bank,” said Mr. Stewart. “It’s a great international bank with a leading franchise in Asia, Africa, and the Middle East. It is passionate about its customers’ success, a strong business, and a clear strategy in the UAE. These all appeal to me as a winning combination.”

The Bank recently reported its Group 2003 annual results, highlighting its UAE operations with separate reporting for the first time. The fourth largest market for Standard Chartered globally, the UAE continues to be a major contributor and a focus for the Bank.

“David is an expert banker with a deep understanding of the market,” noted Ray Ferguson, Chief Executive Officer for Standard Chartered Bank UAE. “In the UAE, we have a leading position in our main Wholesale Banking products, and are building on these. In Consumer Banking, we are focusing on credit cards and wealth management.“Abu Dhabi is a key part of our business, and David’s leadership and experience will be a strong additional impetus to our business strategy here.”

Standard Chartered opened its first branch in Abu Dhabi in 1961, and now has two branches in the emirate; and a further three branches in Dubai, one in Sharjah, and one branch in Al Ain. The Bank is a market leader in its chosen segments, including global markets, trade, transactional sales, cash management and lending for Wholesale Banking, and in credit cards and personal loans for Consumer Banking. The Bank is also expanding the success of new product offerings; in particular, its project finance and debt capital markets capabilities.

Standard Chartered employs 30,000 people in over 500 locations in more than 50 countries in the Asia Pacific Region, South Asia, the Middle East, Africa, the United Kingdom and the Americas. It is one of the world’s most international banks, with a management team comprising 70 nationalities.

Standard Chartered is listed on both the London Stock Exchange and the Stock Exchange of Hong Kong and is in the top 25 FTSE-100 companies, by market capitalisation.It serves both Consumer and Wholesale Banking customers. Consumer Banking provides credit cards, personal loans, mortgages, deposit taking and wealth management services to individuals and small to medium sized enterprises. Wholesale Banking provides corporate and institutional clients with services in trade finance, cash management, lending, security services, foreign exchange, debt capital markets and corporate finance.

Standard Chartered is well established in growth markets and aims to be the right partner for its customers. The Bank combines deep local knowledge with global capability.

The Bank is trusted across its network for its standard of governance and its commitment to making a difference in the communities in which it operates.Standard Chartered in the Middle East and South Asia One of the leading international banks in the region, Standard Chartered has a branch network of 76 branches in 12 countries. The UAE is the Bank’s fourth largest market globally, and Standard Chartered has a commanding share in its chosen market segments. In the UAE, Standard Chartered has a network comprising eight branches and 22 automated teller machines (ATMs). A leader in investment services, credit cards, and personal loans, Standard Chartered is also the leading provider of cash management trade finance, and treasury products and services in the UAE.

Overall, the Middle East and South Asia region contributed over 11% of the Group’s revenues in 2003, clearly demonstrating the Bank’s strong network and expertise in the region.

Holidays for Schools and colleges; Banks to be closed tomorrow

Thiruvananthapuram July 27: Kerala state government has declared holiday for all educational institutions, including professional colleges in the state following the student's activities on the suicide of Rajani S.Anand and also the private bus operators' strike demanding revision of fares. Classes other than that for kindergarten students in CBSE schools will function from tomorrow. The marches and the activities carried out by the students federations the past four days had largely affected the educational as well as the banking sectors. The Bank Federation in a notice today announced that all banks in the state will remain closed tomorrow as a mark of protest following the widespread attack on banks by student agitators in the state over the death of Rajani. Though The All India Bank Officers' Association (AIBOA) stated that it would not be participating in the strike, members of the All India Bank Officers' Confederation (AIBOC) said that they would stay away from the banks on Wednesday as a mark of protest over the attacks. -Keralamonitor.com

Kovalam Palace march turns violent, DYFI actists lathicharged

Kovalam July 27: The 'Save the Halycon Castle' march undertaken by the DYFI activists turned unruly and resulted in lathicharge from the police today morning. The march from Kovalam junction to the palace was undertaken demanding the rebuilding of the torn down wall and also as protest against the Government decision to hand over the heritage palace to a private hotel group. Stones and sticks were thrown at the police and following this police started lathicharge. Following this, DYFI All India president, K. N. Balagopal, and the CPI(M) leader, Kadakampally Surendran intervened and calmed down the activists. Following this, the activists staged a dharna inaugurated by Balagopal who said that BJP government had sold the hotel complex worth several hundred crore rupees at a 'mere Rs 44 crores' with the silent approval of the state government. -Keralamonitor.com

"Donations only through Bharat Shiksha Kosh" order withdrawn

July 27: The Ministry of Human Resource Development today withdrew an order dated February 21, 2003 which mandated that "all the institutions, autonomous bodies, public sector undertakings under the Department of Secondary & Higher Education and the Department of Elementary Education and Literacy which receive donations or grants from an external sources for educational and research activities, shall get such donations routed through the "Bharat Shiksha Kosh". With today's order, educational institutions will now be free to receive donations directly from their alumni and others.

It may be recalled here that the Bharat Shiksha Kosh was officially launched on January 9, 2003 during the celebration of Pravasi Bharatiya Divas, for generating additional resources for education. The subsequent order of February 21, 2003, however, caused much consternation and resulted in drying up of charitable funds for education in the country. The net result was that neither the Kosh nor the educational institutions were getting resources. Till date, the Kosh has received a princely sum of Rs. 1,651 (one thousand six hundred and fifty one only) from 4 donors. Not a single NRI or PIO has contributed to it. The continuation of Bharat Shiksha Kosh is under consideration of the Ministry. -Keralamonitor.com

National Child Award for Exceptional Achievement announced

July 27: The National Child Award for Exceptional Achievement for the year 2003 have been announced by the Government. 36 children have been selected for this award. The names of award winning children were finalised by the National Selection Committee under the chairmanship of Smt. Kanti Singh, Minister of State for Human Resource Development. Children between the age of 4 to 15 years who have shown an exceptional achievement in any field including academics, arts, culture and sports etc. are considered for this award. Out of 36 award winning children, one gold medal and 35 silver medals will be given for the year 2003.

Master Sachin Dattatraya Vekoli of Maharashtra has been selected for Gold Medal. He has shown his exceptional achievement in the field of computer.

The other 35 children selected for silver medals are: Miss Nadia Rehman from Andaman and Nicobar for Academics and Essay writing; Miss Pallabi Parasar from Assam (Sports-Table Tennis);Miss Jayajyoti Baruah from Assam (Sports-Boxing); Master S. Divya Tej from Andhra Pradesh (Academic & Computer); Miss Thati Prathyusha from Andhra Pradesh (Sports - Martial arts); Master Kishan Kumar Krishnan from Bihar (Sports-Martial arts); Master Kumar Satyam from Bihar (Chess); Master Aniket Anand from Bihar (Arts & curricular activities); Master Ajeetesh Sandhu from Chandigarh (Golf); Miss Tanvi Shukla from Chatthisgarh (Drawing & painting); Master Saatvik Agarwal from Delhi (Space science, computer science & general science); Master Bharadwaj Mohan Iyer from Goa (Culture & Academic); Master Ambrish Kumar Pithadiya from Gujarat (Mountaineering); Master Niral Joshi from Gujarat (Education, art & culture/Sports and Adventure); Miss Neha Bansal from Haryana (Sports-Table Tennis); Master Arna Kamal from Jammu & Kashmir (Sports-Swimming); Master Mir Daniyal Masoom from Jammu & Kashmir (Roller Skating); Miss Arya A.R from Kerala (Painting); Master Shiva Prasad K. Achar from Karnataka (Drawing & Painting); Master Basavaraj Shankar Umarani from Karnataka (Academic & memory power); Master Sukham Priyananda Singh from Manipur (Sports-Taek-won-do/Karate); Miss W. Nonganbi Devi from Manipur (sports); Miss Wahengban Nganthoi Devi from Manipur (sports); Master Leopold Arambam from Manipur (Sports & Art); Miss Sonal Sisodia from Madhya Pradesh (Swimming); Master Mohd. Azharuddin Khilji from Madhya Pradesh (Atheletic); Master Sheel Raikar from Maharashtra (Academic); Miss Selvi M. Dhesh from Pondicherry (Academic/Yoga and other co-curricular activities); Miss Jyoti Maheshwari from Rajasthan (Acedemic, art-dance & drama, painting); Miss Kreeti Saxena from Rajasthan (Academic); Miss Tania Bhattacharya from Tripura (Painting, swimming, sports and dance); Miss Aarthi Mangala JM from Tamil Nadu (Magic & music); Miss D. Atshaya from Tamil Nadu (Recitation); Miss Shivani Gusain from Uttaranchal (Paragliding) and Miss Sohini Guha Roy from West Bengal (Music).

The gold medal award consists of a cash prize of Rs. 20,000/- a citation and certificate including a gold medal, and the silver medal award includes a cash prize of Rs. 10,000/-, a citation and certificate and a silver medal for each awardee.

The National Child Award for Exceptional Achievement was instituted in 1996 to give recognition to the children with exceptional abilities in any field including arts, culture and sports etc. -Keralamonitor.com

Non-feature films on digital/video format to be allowed in National Film awards & Indian panorama

July 27: The Government has decided to include non-feature films produced on digital/video formats for the Indian Panorama and National Film Awards for the year 2003. The Directorate of Film Festivals, which is the nodal body organizing the National Film Awards and Indian Panorama is therefore inviting entries for the non-feature film sections for films produced on digital/video formats. The films should be censored by the Central Board of Film Certification between January 1, 2003 and December 31, 2003 to be eligible for entry for the National Film Awards. The films should be submitted on BETACAM SP (broadcast quality) tapes. The last date for receiving entries along with tapes for the National Film Awards is August 6, 2004. The last date for the Indian Panorama would be announced shortly.

This decision has been taken in view of the latest trends of filmmaking in India where a significant number of documentaries and non-feature films are being produced on video/digital format. This would provide a forum for independent and low budget filmmakers to enter their films for the most prestigious cinema awards in the country. The inclusion of these films in the Indian Panorama will give independent film producers an opportunity to present their films in the International Film Festival of India as well as to participate in international film Festivals abroad through the Directorate of Film Festivals.

The National Film Awards which are now over 50 years old were instituted by the Government of India to encourage the production of films of aesthetic and technical excellence as well as social relevance and to contribute to the understanding and appreciation of cultures of different regions.

The Indian Panorama which has been part of the International Film Festival of India since 1978 is selected by a special Jury to showcase the best of Indian cinema every year and is presented for the first time in the Festival. -Keralamonitor.com

Finance Minister directs customs and central excise officials to speed up the recovery of tax arrears

July 27: The Finance Minister, Shri P. Chidambaram has exhorted the Chief Commissioners to work hard towards achieving the target fixed for their Zones. He was addressing the Annual Conference of Chief Commissioners and Directors General of Customs and Central Excise, here today. The Finance Minister covered various issues in his address ranging from revenue targets to improving the image of the department. He also directed that the tax arrears which are not disputed must be recovered quickly. Even in respect of disputed duty demands, sincere efforts must be made to quicken the process of litigation; get stay vacated etc. He stressed the need for the Department to pay particular attention to improving the quality of litigation, including encouraging the young bright officers to work on the litigation side.

The Finance Minister was particularly keen to know about the innovative ideas/strategies to realize revenue and to check loss of revenue due to fraud or corruption. He also spoke at length on the need to raise the image of the Department.

The main agenda discussed in the Conference were as follows: -

a) Analysis of actual revenue collection, including reasons for shortfall. The corrective action proposed to recoup the shortfall etc.

b) Recovery of arrears of revenue, especially the strategy for achieving the target.

c) Other matters of general interest viz., toning up of the administration and the need to change the mind set of the officers.

The Chief Commissioner of Customs and Central Excise of the major metros viz., Mumbai, Delhi, Kolkata and Chennai also made their presentations on revenue collection and on recovery of arrears. -Keralamonitor.com

ICAR issues zone-wise farm advisories

July 27: The Indian Council of Agricultural Research has issued zone-wise farm advisories. In North-west India, due to delay in monsoon rain, kharif crops have suffered from water stress in Punjab, Haryana, west Uttar Pradesh. Farmers have been advised to apply irrigation in the absence of rainfall to protect the crop from water stress. As contingent crop planning in east Rajasthan, sowing of short duration varieties of oilseeds and pulses has been suggested in place of cereals. In east India, flood waters have submerged the crop fields in Assam and Bihar. Seedbeds and transplanted seedlings have been damaged by flood. Farmers may make arrangements to drain out the accumulated water and close monitoring is required for occurrence of pest and diseases after the floods. In Central India, an alarming situation prevails in north Madhya Maharashtra for soybean, moong and urd. Good rain is not predicted during the next 4 days. This may result in a grim situation. In south India, nursery sowing and main land preparation for mid-duration varieties of paddy are in progress in north Kerala. Due to recent rains, area under red gram, castor and cotton in the Telengana region is likely to increase since there is no scope for other crops. Booster dose of urea may be applied for already sown crop for faster recovery. Cotton and maize crops in Telengana are under serious moisture stress condition. As good rains are not likely during the next 4 days, farmers have been advised not to re-sow the field.

ICAR has also issued Do's and Don'ts for saving the crops in various regions which are facing deficient/delayed rainfall. Contingency plans for the first fortnight of the next month have also been issued. The details are available on ICAR's website, www.icar.org.in -Keralamonitor.com

Cooperation secretaries to meet tomorrow

July 27: A day long Conference of State Secretaries-in-charge of Cooperation, Registrars of Cooperative Societies and Chief Executives of State marketing federations etc. is being held here tomorrow. Various issues relating to the cooperative sector in the country will be discussed in the Conference. Secretary, Agriculture and Cooperation, Smt. Radha Singh will chair the conference. The focus will be on the problems being faced by cooperatives, how they can meet the present challenges and strategies to step up the pace of cooperative reforms. Discussions would also be held regarding the problems of credit flow through State Cooperative Banks, Cooperative Agriculture and Rural Development Banks etc.

The Conference assumes importance in view of the emphasis being laid by the government on strengthening the rural economy in which cooperatives play a significant role. The conference is being organized by the National Co-operative Development Corporation, a statutory organisation under the Ministry of Agriculture. -Keralamonitor.com

Water delegation to leave for Pakistan for talks on Tulbal project

July 27: Shri V.K. Duggal, Secretary, Ministry of Water Resources, Government of India will be leading a ten-member official delegation to Pakistan for talks between the two countries on Tulbal Navigation Project in J & K. The delegation leaves for Islamabad tomorrow.

Apart from the officials of the Ministry of Water Resources, the delegation also has officials from the Ministry of External Affairs, the Central Water Commission, Central Electricity Authority and the State Government of Jammu & Kashmir.

The talks will be held in Islamabad on 29th and 30th July as part of the composite dialogue going on between the two countries.

Shri Duggal has stated that it would be India's endeavour to arrive at an amicable agreement on this long-standing issue within the spirit of Indus waters Treaty, 1960. -Keralamonitor.com

Global response to FDI in Indian mining sector has been positive: Dr. Rao

July 27: Following the economic reforms in the country, massive investment opportunities has been opened up in the area of mining and mineral beneficiation for both domestic and foreign entrepreneurs. Global response to FDI in the mineral sector has shown positive response during this period, Union Minister of State for Coal and Mines, Dr. Dasari Narayana Rao said today. Addressing the 38th Annual General Meeting of the Federation of Indian Mineral Industries (FIMI) here, Dr. Rao said the FDI of more than Rs. 4,000 crore has been approved by the Foreign Investment Promotion Board bringing in investment from friendly countries. Besides, 165 reconnaissance permits having an area of 2,19,665 sq. kms. in ten States have already been granted.

Dr. Rao attributed the country's deficit in high value minerals that require imports to the lack of investment in the past in advanced technology for detailed exploration. "The Government's National Common Minimum Programme is committed to provide incentives to boost private investment and to encourage Foreign Direct Investment (FDI) to make our industry more productive and competitive", he said.

The Minister said India's annual mineral production today stands at about Rs. 65540 crore, which contributes about two per cent to the country's Gross Domestic Product (GDP). The export turnover from minerals and metals constituted around 21 per cent of the value of all merchandise India exported in 2002-03 fiscal. India's import of high value minerals that includes gold, rough diamond, coking coal, copper, lead, zinc, nickel, tin, asbestos, potash, sulphur, crude petroleum and rock phosphate, is about half of the value of all merchandise imported, he said.

Dr.Rao said FIMI, the nodal body of the mineral industry is playing a vital role in overall development of the sector. He presented the Environment and Social Awareness Awards 2003-04 to the winners. He hoped that the release of the Status Report on ESnvironment in non-coal mines by FIMI would go a long way in removing the anti-environmental image of the sector. On the issue of delay in getting clearances by investors in mineral sector, he said, his department is working out measures for being more investor friendly. He felt that a major thrust was needed on infrastructure development in mineral-rich areas with a focus on social and economic upliftment of the local population. The Minister emphasized on conservation of minerals and environment through systematic development and judicious use of mineral resources.

The President of FIMI Shri H.A. Wahab, in his address brought out the problems in mineral exploration, trade, captive mining and appealed to the authorities for removing procedural delays in mining projects. He said FIMI has decided to set up a separate division to promote corporate social responsibility in the mining sector. The Mines Secretary, Shri C. D. Arha, the Steel Secretary, Mrs. Binoo Sen and the representatives of the Mining industries attended the meeting. -Keralamonitor.com

World News

China: New Distance Learning Center Launched in Shanghai

Shanghai, China July 27: China and the World Bank today launched a new distance learning center in Shanghai hosted and managed in partnership with the Shanghai National Accounting Institute (SNAI). This brings the number of distance learning centers in China to a total of seven -- and there are 7 more underway. There are now 17 fully active centers in the East Asia and Pacific region and more than 70 centers worldwide.
The Global Development Learning Network is a global partnership of distance learning centers around the world that work together to use modern information and communication technology to build local capacity, share knowledge, and support a range of learning and development initiatives.

Most of the centers in China are located in the poorer western provinces and aim to help development and poverty reduction in those areas using information technology to promote distance education and training as well as information and knowledge dissemination. Such an initiative is particularly important as China is rapidly evolving to a position of leadership and influence as a knowledge provider.

SNAI is a Chinese government-sponsored institute, affiliated with the Ministry of Finance, and provides extensive training in accountancy, management and finance to CPAs and CFOs. SNAI trains 20,000 people annually and runs a pioneering on-line project supported by the Ministry of Finance to provide accountants and financial professionals with distance education. SNAI has reached over 100,000 people since June 2004 providing e-learning programs and learning support through its website-- www.esnai.net.

The new Shanghai Distance Learning Center at SNAI provides real time satellite-linked two-way and multi-point videoconferencing with all the existing Distance Learning sites in China and the region, but also connects to the CICPA Distance Education Network with services provided by China Unicom, covering 31 provinces in China.

The new Shanghai Center was launched by Mr Guan Yimin, Vice President of SNAI and Mr Jeff Gutman Director of Strategy and Operations of the World Bank's East Asia and Pacific Region. Gutman welcomed SNAI as the newest member to the regional and global network. Gutman said:

"Effective development requires continuous exchange of relevant information, knowledge and expertise on a timely basis and the regional distance learning network is a powerful tool for training and a practical way of finding solutions on the ground for some of our toughest problems. China is using the new information technology to find those solutions and with SNAI's leadership in distance education in China we can increase the impact of our work".

In his remarks, Guan Yimin said that "SNAI can now increase its efforts to train more specialists in China and develop and implement more interactive learning solutions with partners in China and across the region."

To coincide with the launch, from July 27 to 29th, SNAI is hosting at its facility in Shanghai the 8th Meeting of the East Asia & Pacific Association of theGlobal Development Learning Network (GDLN), the regional body which administers the regional network which meets at least once a year to review the progress achieved in the last eight month and discuss ways to move ahead.

The objectives of the meeting include:

Showcase the expansion of the China regional network, acknowledge the contribution of donors, and introduce EAPA members to the China Domestic Development Learning Network (CDDLN);
Present and review key issues on the business planning process for the regional network;
Review distance learning center business case studies for Australia, PNG and Vietnam and identify lessons learned and key issues for the next group of Distance learning centers which will work on revising their business plans;
Discuss key elements of a business model for the East Asian and Pacific network to improve efficiency; and
Reports from the various committees in the regional network--marketing, technology and quality
Significant achievements have been made in the development of the regional network in the last eight months. In the East Asia and Pacific region, the Tokyo Development Learning Center was launched on June 1, by the World Bank President Mr. James D. Wolfensohn. By the end of 2004, four new Distance Learning Centers are expected to be launched in Indonesia, one in Ho Chi Minh City of Vietnam and one in Cambodia.

The World Bank is encouraging greater efforts to scale up the use of the distance learning centers. At the recent Global Conference on Scaling Up Poverty Reduction in Shanghai and the nine-month Global Learning Process preceding the Conference, distance learning centers around the world were connected to participate in the discussions by development specialists across the world on "what works, what does not work, and why". Distance learning centers have been used to release major World Bank research studies, including regional studies such as the Global Production Networking and Technological Change in East Asia, Global Change and East Asian Policy Initiatives, and the Half Yearly East Asia and Pacific Economic Update. They have also been considered a core component of the World Bank's outreach program and a key vehicle for the Bank's training programs and operational activities.

Over 70 participants from most East Asian and Pacific countries attended the Shanghai meeting, including representatives of the distance learning centers in China, as well as the Chinese Ministry of Finance and the Western Region Development Office of the State Council which have worked with the World Bank to establish the knowledge network in China. -Keralamonitor.com

UN News

Cambodia Releases Journalists Arrested For Human Trafficking

July 27: Cambodian authorities have released two journalists and a human rights worker arrested Sunday while attempting to investigate the plight of the ethnic Montagnard people reportedly fleeing persecution in Vietnam, Voice of America reports.

An Interior Ministry spokesman said the three men - Kevin Doyle, the Irish editor of Cambodia Daily and Cambodians Sok Rathavisal of Radio Free Asia and Pen Bunna of the local rights group ADHOC - were released without charge (Voice of America, July 27).

Earlier reports had said the men were charged with human trafficking but would be freed within 24 hours if they admitted their guilt.

ADHOC was believed to be trying to help 17 Montagnards, who were also detained, to reach staff from the U.N. High Commissioner for Refugees (John Aglionby, London Guardian, July 27). It was not immediately clear whether the 17 had also been released (U.N. Wire).

The publisher of the English-language Cambodia Daily, Bernard Krisher, said Doyle would not have violated any laws, and cast the issue in political terms.

"He's obviously not involved in anything other than writing about the story," Krisher said. "But Cambodia doesn't want to alienate the Vietnamese who are very sensitive over this, so they're trying to hamper any reporting or coverage of this issue."

Hundreds and possibly thousands of mostly Protestant Montagnards have fled communist Vietnam in recent months. Cambodian officials have become increasingly loath to address the issue, and have hindered the work of UNHCR staff and closed its office in Ratanakiri (Aglionby, London Guardian).

ILO Launches Project To Help Indian Workers With HIV/AIDS

July 27: The International Labor Organization has launched a new project to help people in India living with HIV/AIDS, who often face tremendous financial pressure that forces them to compromise the well-being of family members, the United Nations announced yesterday.

According to a study by the ILO, some HIV/AIDS sufferers see their household incomes cut by one-third, and nearly 38 percent of respondents said they had no choice but to send their children to work instead of school.

The project's initiatives include developing a training manual for trade unions, conducting training programs for union members and government officials and integrating HIV/AIDS into the workers' education program.

Herman van der Laan, director of the ILO subregional office for South Asia, said the workplace could help HIV/AIDS sufferers secure employment, treatment and social security. "While access to affordable treatment is indeed a key issue, perhaps an equally important if not greater need is to provide access to regular income," he said (U.N. release, July 26).

Nigeria's Kano State To Resume Polio Vaccinations Thursday

July 27: Months after halting polio vaccinations and causing the spread of polio to at least nine previously polio-free African countries, the Nigerian state of Kano announced it will resume polio vaccinations on Thursday. The practice was suspended last August after Islamic clerics provoked a boycott, saying the drugs were harmful and part of a Western plot to depopulate Africa.

The mostly Muslim state quickly became the epicenter of the world's fastest growing epidemic of polio, which has retreated in other parts of the world since a global plan to eradicate it was launched 16 years ago. The crippling disease spread from Nigeria to countries as far away as Botswana, according to UNICEF and the World Health Organization. Forty-four new cases around the continent have been linked to the Kano outbreak.

After Kano searched for a new vaccine producer and tested the vaccine, the state's Islamist governor, Ibrahim Shekarau, announced last week that a new batch of vaccine imported from Indonesia was safe. Local staff will work with U.N. health agencies to carry out the five-day immunization drive, said Sani Jibril, the deputy director of disease control at the Kano Ministry of Health (Agence France-Presse, July 23).

Death Rate Rising Among 425,000 Malnourished Eritrean Youth

July 27: Prolonged drought and the enduring effects of war with Ethiopia have led to rising death rates among the 425,000 Eritrean children living in extreme poverty, with many youngsters under 5 suffering from acute malnutrition, a UNICEF report said yesterday.

An additional $3.8 million is needed this year to fund health, nutrition, water and sanitation projects and to support children displaced by the crisis, UNICEF said.

The Eritrean Relief and Refugee Commission has only been able to provide flour to 100,000 people over the last two months. Although UNICEF is supporting 30,000 malnourished children and providing 30 feeding centers with supplies, far more resources are needed, the agency said (U.N. release, July 26).

British "Frozen Ark" To Preserve Animal DNA

July 27: A tissue bank that will preserve genetic material from endangered species even after they become extinct has been established in the United Kingdom, BBC Online reports.

The so-called "Frozen Ark," supported by the Natural History Museum, the Zoological Society of London and Nottingham University, will enable future scientists to understand lost species and may also help with future conservation projects.

Rapid climate change and habitat loss could lead to the disappearance of about one-quarter of all known mammals and one-tenth of recorded bird species over the next 30 years, scientists warn.

"Extinctions today probably equal the last five great extinctions," said the project patron, Crispin Tickell.

Scientists are therefore seeking to save a "back-up" copy of many species in the ark before they disappear. Their DNA will be stored in a frozen database and can be used in the future for research and possibly conservation initiatives.

"When the last individual of a species dies, you lose all the adaptations that have accumulated over millions of years of evolution," said Georgina Mace of the Natural History Museum. "It would be incredibly reckless of us to allow these adaptations to be lost."

Scientists are hoping the DNA will be preserved for at least tens of thousands of years. Furthermore, they hope cells and sperm will also be stored, which would give rise to the possibility of cloning.

"We are not into cloning in general, but there may be a rare example where frozen cells could be used for this purpose," said Anne McLaren of the Natural History Museum (Julianna Kettlewell, BBC Online, July 27).

Preventing Forest Fires Requires Local Involvement, FAO Says

July 27: With human activity causing 95 percent of all fires worldwide, local communities must play a more active role in preventing forest fires, the Food and Agriculture Organization said yesterday.

"If humans are the main cause of forest fires, prevention and control have to involve people at local [the] level," FAO forest fire expert Mike Jurvelius said. "The traditional approach of focusing on legislation and expensive equipment alone is not sufficient."

Forest fires have increased in severity since the 1980s, and last year alone destroyed forests and grasslands equal to the size of India.

Local communities committed to preventing fires have made an impact in places such as China, where one village has had no fires for more than 35 years, since the adoption of a policy providing benefits and income from forests to the villagers (U.N. release, July 26).

WTO Proposal Said To Threaten Food Aid Programs

July 27: Food aid advocates and U.S. senators have said that a line of text in the proposed World Trade Organization's Doha Round trade agreement, which could potentially be approved this week, is threatening international in-kind food aid programs - those whereby governments ship corn, wheat and other food items to countries in need.

The line states that food aid should not be used "as a mechanism for surplus disposal and to prevent commercial displacement."

Coalition for Food Aid Executive Director Ellen Levinson, however, said the Food and Agriculture Organization, for instance, considers food aid to be surplus disposal "even if it is purchased with appropriated funds and not subject to forfeitures by farmers or explicit purchases to remove commodities from the market when prices are low."

Because of the text's language, she said, the agreement would appear to ask for the elimination of all food product aid to the United Nations and humanitarian agencies. She said it remained unclear whether cash contributions for the purchase of food would still be allowed under the agreement, but she said she believed it would.

Some U.S. lawmakers, however, have expressed concern over the cash donations instead of in-kind food aid, arguing that Congress is not likely to appropriate money to buy as much as food as the U.S. Agriculture Department obtains through its programs.

According to Agweek, U.S. officials have said they will discuss the agreement's plan during the WTO meeting, which is scheduled to end Friday in Geneva. WTO officials want to reach a trade deal among the member countries under the Doha Round by then (Jerry Hagstrom, Agweek/Grand Forks Herald, July 26).

20,000 Displaced People In D.R.C. In Critical State, U.N. Says

July 27: Around 20,000 people in the eastern Democratic Republic of the Congo are in a "critical humanitarian state" after fleeing renewed fighting between central government forces and dissident troops led by General Laurent Nkunda, the United Nations said yesterday.

According to the U.N. Office for the Coordination of Humanitarian Affairs, around 15,000 people have taken refuge along the banks of Lake Kivu, where the fighting is taking place, while nearly 5,000 others fled to the High Plateaux region southwest of Minova.

OCHA officials said that although the local population was providing help to the refugees, food supplies could run out and medical aid was already needed (U.N. release, July 26).

International Criminal Court Team In D.R.C.

Officials from the International Criminal Court left The Hague Monday for a mission in the D.R.C., the first country where the court has opened an official investigation.

The visit, scheduled to end Friday, is to "evaluate the possibilities for future cooperation," the court announced. The ICC investigation is to focus on crimes committed after the court officially opened in July 2002.

Millions of people died in the D.R.C. since war broke out there in the 1990s, both from conflict and disease exacerbated by conflict (Agence France-Presse/News24.com, July 26).

In related news, U.N. Commission on Human Rights Chairman Mike Smith on Thursday appointed Titinga Frederic Pacere of Burkina Faso as independent expert on the situation of human rights in the D.R.C. (U.N. release II, July 26).

U.N. Experts Concerned Over Iran Murder Trial; Newspapers Shut

July 27: Three U.N. rights experts today expressed "profound concern" about Iran's trial of a government intelligence agent who was acquitted Saturday of killing Canadian-Iranian journalist Zahra Kazemi, suggesting incriminating evidence against the prosecutor's office, judiciary officials and the Intelligence Ministry may have been ignored. They also expressed concern that journalists and foreign observers were barred from full access to the courtroom after the trial began (U.N. release, July 27).

Kazemi died in police custody last July after being arrested for taking pictures outside the notorious Evin prison near Tehran. Iran initially ruled her death the result of a stroke, but a commission later found she died from blunt trauma to the head, resulting in a fractured skull and brain hemorrhage. She had been interrogated for 77 hours (U.N. Wire, July 26).

The Canadian government has accused the prosecutor, Said Mortazavi, of involvement in the killing. Mortazavi supervises interrogations at the prison where Kazemi was held at the time of her death.

Mortazavi has ordered the closure of two Iranian newspapers that reported on the two-day trial. Jomhouriat and Vaghayeh Ettefaghieh were closed in retaliation for their coverage and to serve as examples to other Iranian media, according to sources in Tehran cited by the Washington Post. Mortazavi has closed more than 100 newspapers during his prosecutorial tenure.

"It shows how Mortazavi has done everything he could to hide and cover up the evidence," said Stephan Hachemi, Kazemi's son. "There is no hope. They have proved that Iran has no intention whatsoever of bringing justice to the case of Zahra Kazemi" (Karl Vick, Washington Post, July 26).

Iran's reformist President Mohammad Khatami, who is allied with the Intelligence Ministry and often at odds with the conservative judiciary, believes the agent, Mohammad Reza Aghdam Ahmadi, is innocent and has called on the judiciary to find "the real guilty person."

"The Intelligence Ministry is prepared to identify the person behind the semi-premeditated murder of Zahra Kazemi, provided the judiciary allows it to do so," said a spokesperson for Khatami.

The Intelligence Ministry "is able to identify [the killers] and is ready to do it," according to ministry spokesman Abdollah Ramezanzadeh (BBC Online, July 26).

Paris-based Reporters Without Borders blasted the trial as "a masquerade of justice orchestrated by the Iranian authorities" and implored the European Union to sanction Iran (Vick, Washington Post).

A visit scheduled to Iran July 25-28 by the U.N. Working Group on Enforced or Involuntary Disappearances has been postponed at the request of the Iranian government. Iran has proposed the meeting be rescheduled for October at the latest, the United Nations announced (U.N. release II, July 27).

Afghan President Spurns Warlord, Picks New Running Mate

July 27: In a surprise move yesterday, Afghan President Hamid Karzai announced that his chief running mate in the Oct. 9 elections would not be the powerful warlord and Defense Minister Mohammed Fahim, who is now vice president, but the little-known brother of Afghan hero Ahmad Shah Massood, who was killed in Afghanistan Sept. 9, 2001. The announcement, on the heels of intense talks that prompted peacekeepers to boost their presence in Kabul, is widely viewed as a bold departure from Karzai's strategy of working closely with the warlords, whom he recently described as the greatest threat facing Afghanistan.

Karzai's choice of Ahmad Zia Massood, Afghanistan's ambassador to Russia and an ethnic Tajik, as first vice president and ethnic Hazara leader Karim Khalili as second vice president appears calculated to appeal to a broad voter base. Karzai is a member of the majority Pashtun tribe.

"I hope the Afghan people will recognize us as a good team and I hope the people of Afghanistan will vote for us," Karzai told reporters in Kabul (Stephen Graham, Associated Press/Yahoo! News, July 26). As for Fahim, Karzai said, "I wish him happiness and good, but unfortunately he is not among us in this team."

Intense negotiations over the weekend, for which Karzai postponed a trip to Pakistan, reportedly focused on Fahim's future role. One foreign official told the New York Times that on Sunday, diplomats, U.N. officials and Afghan leaders all pressed Karzai to drop Fahim, a powerful Tajik commander who is accused of obstructing nationwide efforts to disarm Afghanistan's militias (Carlotta Gall, July 27).

The tension in Kabul was palpable over the weekend, with Northern Alliance generals loyal to Fahim summoned to the capital and rumors flying that U.S. troops would seize control of the fortress overlooking the city where Fahim keeps his tanks and heavy weapons (Gall, New York Times, July 26). Karzai made yesterday's announcement amid very tight security, with bodyguards warning journalists not to move as the president made his way to meet with them on the palace grounds.

Immediately following Karzai's speech, Education Minister Yunus Qanooni announced his candidacy for president, saying he had support from Fahim, Foreign Minister Abdullah Abdullah and a second brother of Ahmad Shah Massood named Ahmed Wali Massood. Yesterday was the last day for candidates to file papers to run in the race (Gall, New York Times).

Karzai remains the favorite out of about a dozen presidential candidates, according to AP, despite competition from Qanooni and Uzbek warlord Abdul Rashid Dostum, who announced in recent days they will seek the presidency (Graham, Yahoo! News).

In preparation for the vote, NATO ambassadors met late Friday to approve two battalions, one from Italy and one from Spain, to go to Afghanistan by the beginning of September and remain for about two months with the principal aim of providing security during elections. A battalion has between 600 and 1,000 troops.

The alliance also approved sending 500 more troops to Afghanistan to serve on provincial reconstruction teams, bringing the total number of new troops to 2,500 at most - well short of the 3,500 promised Karzai in Istanbul last month.

In October NATO decided to expand the peacekeeping force in Afghanistan, but since then it has sent just 240 additional German soldiers to the country (Paul Geitner, AP/Yahoo! News, July 24).

Voter Registration To Wind Down

The U.N. Assistance Mission to Afghanistan announced Sunday that with almost 8 million people now registered to vote in Afghanistan and the pace of enrollment picking up in the south, the voter drive that began in December is set to wind down.

In the southern province of Helmand, the number of people registering to vote each day has risen from an average of 5,000 to 13,000, UNAMA spokesman Manoel de Almeida e Silva told reporters.

He also said that of the 8 million registered voters, 40 percent were women (U.N. release, July 26).

Report Slams UNMIK, KFOR Response To Kosovo Riots

July 27: Human Rights Watch yesterday blasted the NATO-led Kosovo Force and U.N. international police in the first detailed report on the ethnic violence that roiled Kosovo in March, saying they failed to protect minorities during riots.

"This was the biggest security test for NATO and the United Nations in Kosovo since 1999, when minorities were forced from their homes as the international community looked on," said Rachel Denber, acting chief of the Human Rights Watch Europe and Central Asia division.

"But they failed the test," she said. "In too many cases, NATO peacekeepers locked the gates to their bases and watched as Serb homes burned."

Failure to Protect: Anti-Minority Violence in Kosovo, March 2004 documents attacks on Serbs, Gypsies and other minorities in at least 33 riots that broke out March 17-18, sparked by a number of events, particularly inaccurate rumors that Serbs had drowned three ethnic Albanian boys. Interviews with victims and security officials provide a window onto the protests, which involved an estimated 51,000 people and resulted in 19 deaths. More than 4,000 minority citizens fled their homes.

According to Human Rights Watch, ethnic Albanian crowds "acted with ferocious efficiency" against minorities, burning 550 homes and 27 Orthodox churches and monasteries. In the village of Svinjare, the 137 Serb homes were torched while the homes of ethnic Albanian neighbors stood untouched. The entire village of Belo Polje was burned to the ground, although it is adjacent to the main Italian KFOR base.

Similar instances of peacekeeper inaction litter the report. In Svinjare, Human Rights Watch said, an ethnic Albanian crowd walked past the main French KFOR base on its way to the village before burning minority homes. In another example, French KFOR failed to respond to rioting in the village of Vucitrn, located near two French KFOR bases.

In Pristina, Serbs barricaded themselves in their apartments while apartments were looted and burned below. It took KFOR and U.N. Interim Mission in Kosovo (UNMIK) forces six hours to arrive.

Denber said the report showed the need for "genuine reform" of international security structures.

The report also called for riot-control training and equipment for KFOR and UNMIK police (Human Rights Wach release, July 26).

UNMIK struck back, asserting that the report's "broad-brush condemnation of UNMIK" and KFOR "does not show an understanding" of the complexities of the situation.

KFOR spokesman Colonel Horst Pieper dismissed the report as having come "from (an) armchair position" and defended the work of the peacekeepers, who he said prevented civil war.

"The soldiers ... did their utmost to de-escalate the situation and to save many lives," Pieper said, and that they "quickly stabilized the situation within hours during the riots" (Fisnik Abrashi, Associated Press/Washington Post, July 26).

Netherlands Pledges To Rebuild Sudan's Darfur Region

July 27: The Netherlands said today it would donate $121.5 million to rebuild Sudan's conflict-torn Darfur region once fighting ends, an announcement aimed in part at encouraging other European nations to contribute, Associated Press reports.

The Netherlands, which holds the rotating European Union presidency, has already pledged to send $33 million, 120 trucks and three helicopters to help the estimated 2.2 million people who need assistance.

"What the Netherlands will do is concentrate on what will need to happen afterward," Development Minister Agnes van Ardenne said on Dutch radio. "The people of Darfur need to have some perspective of a future. Therefore, I've decided to establish a group of friends, friends of Darfur, a number of donor countries, rich countries, that will gather money for the coming reconstruction."

Earlier this month, Van Ardenne had called on European states to help those left homeless and hungry because of fighting between government-backed Arab Janjawid militia and black African rebels. Today, she said she had received a positive response, with countries pledging a combined $243 million in short-term aid (AP/News24.com, July 27).

The possibility of foreign troops being sent to Darfur has provoked threats from a group called the Army of Mohammed, which distributed leaflets in Khartoum mosques yesterday urging Muslims to fight any "crusader" forces.

"We have seen and heard of American and British interference in Darfur and there is no doubt that this is a crusader war that bears no relation to the citizens of Darfur," said a message from the previously unknown group. "We call upon you to speedily head towards Darfur and dig deep into the ground mass graves prepared for the crusader army."

The United Kingdom is reportedly mulling military intervention in Darfur. Chief of the General Staff Mike Jackson said yesterday that 5,000 soldiers could be dispatched at short notice (Blair/Smith, London Telegraph, July 27).

On Friday, leaders of Darfur's two rebel groups, the Sudan Liberation Movement and the Justice and Equality Movement, agreed to renew peace talks with the Sudanese government, the United Nations announced.

An earlier attempt at talks collapsed when rebels demanded the removal of government forces and militias from Darfur as a precondition to political negotiations, requests Khartoum called unrealistic.

U.N. and African Union officials met with the rebels in Geneva to convince them to return to the table, and were expected thereafter to discuss with Khartoum when talks could take place (U.N. release, July 23).

U.N. Team Arrives In Darfur To Assess Whether Government Is Keeping Promises

A U.N. observer mission arrived at a camp in south Darfur yesterday to investigate whether Khartoum is keeping its promise to disarm the Janjawid.

The three-day mission, which includes officials from the United Nations, the Sudanese government and foreign governments, will also evaluate whether the security situation permits the return of the approximately 1.2 million internally displaced people. The group, set up under an agreement between the United Nations and Sudan earlier this month, will report its findings to a joint U.N.-Sudanese commission Aug. 2.

U.N. relief agencies are concerned that Khartoum is pressuring the displaced, sometimes with the promise of food or other supplies, to return home or move to other relocation sites. Although there have been no signs of forced relocation in recent weeks, the U.N. Office for the Coordination of Humanitarian Affairs said, Sudanese officials continue to talk of an imminent return (U.N. release, July 26).

U.N. Envoy In Western Sahara To Revive Peace Talks

July 27: The new U.N. envoy for Western Sahara, Alvaro de Soto, arrived in the disputed region yesterday to jump-start stalled talks between Morocco and the Polisario Front.

De Soto has conferred with the United States, Spain and France on the issue and was hoping to hold talks with the main parties this month (U.N. release, July 26).

The trip is de Soto's first as U.N. Secretary General Kofi Annan's personal envoy to the region. Annan appointed de Soto his special representative for Western Sahara last August, and named him envoy after former U.S. Secretary of State James Baker resigned from the post last month.

The Western Sahara dispute centers on Morocco's 1975 annexation of the former Spanish colony, which the Algerian-backed Polisario opposes (U.N. Wire, June 16).

North Korea Asks Annan To Dissolve Korea Command

July 27: North Korea last week asked U.N. Secretary General Kofi Annan to end the U.N. Command on the Korean Peninsula and pressure the United States to withdraw its troops based in South Korea, it was reported today.

"It is our view," wrote Colonel General Ri Chan-bok, North Korea's representative at the Panmunjom truce village, in a July 22 letter, "that a war in Korea is almost unavoidable as long as the U.S. hostile policy toward the D.P.R.K. goes on," according to the state-run KCNA news agency.

It is unclear whether Annan actually received the letter, which was published today, the 51st anniversary of the armistice that halted the fighting.

Ri expressed concern about U.S. plans to spend $11 billion on weapons upgrades while cutting its troop strength by one-third from the nearly 38,000 troops it has in South Korea.

"Such massive arms buildup of the U.S. prompted the KPA [Korea People's Army] side to judge that the U.S. preparations for a pre-emptive attack on the D.P.R.K. have reached their height," Ri said.

Continuing in the letter, Ri said a second Korean war would be "a fierce, decisive war unprecedented in the world which may cause horrible destruction and terrible sacrifices beyond human imagination" (China Daily, July 27).

North Korean Refugees Arrive In South Korea

Around 230 North Korean refugees arrived at a military airport in Sungnam, South Korea, aboard a chartered plane today, according to Reuters.

The secretive flight originated from an unidentified Southeast Asian country.

When another expected flight arrives tomorrow carrying roughly the same number of defectors, it will mark the largest batch of North Korean refugees entering South Korea in history.

South Koreans have been silent on who was on board or where the flight had come from but sources in Vietnam said the defectors had been gathering in Ho Chi Minh City after crossing the border from China, Reuters reports.

When reporters asked South Korean Unification Minister Chung Dong-young if there were more mass arrivals planned, he said, "there could be, but this is a special case."

After decades of sporadic defections, the number jumped to 312 in 2000. In 2002 and 2003, more than 1,000 refugees arrived each year. This year, there were 760 defections by June.

"I think it will be 10,000 in a few years," Chung said (Reuters/Financial Times, July 27).

Baghdad Mortar Attack Kills One, Injures 14

July 27: A mortar attack in Baghdad this morning killed one Iraqi and injured 14 coalition soldiers, according to Associated Press. Neither the nationalities of the coalition soldiers nor the gravity of their wounds was immediately known.

The four or five mortars were fired toward the Green Zone, which houses Iraq's interim government and the U.S. and British embassies (Paul Garwood, AP/Yahoo! News, July 27).

In other news, militants yesterday released an Egyptian diplomat who they had abducted on Friday, saying they were setting him free "because of the religious faith and moral qualities he possesses," BBC Online reported.

Mohamed Mamdouh Qutb - the most senior official to have been abducted in Iraq - said he "thanked God and all ... who worked for my release," adding that no deal had been brokered to secure his release (BBC Online, July 26).

Meanwhile, relatives of two kidnapped Jordanian drivers today threatened to behead the director of the company the hostages work for and to kill all the firm's employees unless the director immediately complies with the kidnappers' demands to halt operations in Iraq.

The kidnappers yesterday warned that the captives would be killed in 72 hours unless their employers left Iraq and stopped working with U.S. forces (Fadi Khalil, AP/Yahoo! News, July 27).

Palestinian Prime Minister Withdraws Resignation

July 27: Palestinian Prime Minister Ahmed Qureia withdrew his resignation today after Palestinian leader Yasser Arafat provided assurances that he would have more authority to make reforms, officials announced.

Qureia's chief of staff said the prime minister gained effective control over police and internal security agencies. Qureia submitted his letter of resignation earlier this month over a growing state of chaos in Gaza and disorder in the Palestinian security services.

Arafat, historically reluctant to cede power over Palestinian security forces, found his position weakened this month when gunmen linked to his Fatah movement kidnapped Palestinian officials to add emphasis to their demands that Arafat overhaul security (Wafa Amr, Reuters/Yahoo! News, July 27).

Also today, two Palestinians were killed when Israeli troops exchanged fire with Palestinians in an eastern neighborhood of Gaza City. One of the dead was wearing the uniform of the militant group Hamas. Five residents were wounded, including a 12-year-old bystander.

The Israeli army said the troops opened fire after spotting a Palestinian squad preparing to launch a rocket or mortar barrage at a Jewish settlement nearby.

In related news, the Israeli army has said it is investigating allegations that an angry Israeli soldier beat and then shot an unarmed Palestinian student at a West Bank roadblock. The student, Mohammed Canaan, was wounded.

According to Canaan, the Israeli soldier refused to let him pass the roadblock as he was trying to leave Nablus for his home near Jenin.

"I asked to see an officer and the soldier attacked me," Canaan said from the hospital. "He cursed my mother and father and punched me, so I punched him back. Then he aimed his rifle at my chest and threatened to kill me" (Mark Lavie, Associated Press/Yahoo! News, July 27).

In other news, Israeli Prime Minister Ariel Sharon vowed to go ahead with his plan to withdraw from Gaza Strip despite a mass protest on Sunday led by Jewish settlers and opposition within his own Likud Party.

During the protest, around 200,000 Israelis joined hands to form a 56-mile-long human chain from the Gaza Strip to the Western Wall in the Old City of Jerusalem.

In a statement, Sharon said he "does not intend to go back on the plan in light of the severe and dangerous economic and security situation that Israel would find itself in if it had no diplomatic plan."

"Under no plan or agreement will Israel be able to hold on to all of the territories; the accomplishments which we have achieved as a result of the disengagement plan are things that we have never achieved before," he added (Agence France-Presse/Jordan Times, July 27).