Monday, June 24, 2013

The Irrawaddy Magazine

The Irrawaddy Magazine

Govt, Local Media Condemn Time Magazine’s Cover of U Wirathu

Posted: 24 Jun 2013 06:24 AM PDT

Time magazine July cover labeling U Wirathu "The Face of Buddhist Terror" caught the attention of the Burmese media. (Photo: Steve Tickner / The Irrawaddy)

RANGOON — Time magazine's July cover, featuring a photo of nationalist monk U Wirathu as "The Face of Buddhist Terror," has drawn criticism from Burma's government, which is considering banning the issue. Some local media outlets have also condemned the cover.

President Thein Sein's office issued a Burmese-language statement on Sunday defending Buddhism in Burma from any association with terror and violence.

"What Time magazine wrote can lead to a misunderstanding among some about the 1000-year-old, stable Buddhism in Burma […] and it is detrimental to the present struggle to reconcile inter-religious trust in Myanmar," the statement said.

Time magazine Asia's July cover story explores the rise of nationalist Buddhism in Burma and other parts of Asia, such as Sri Lanka, and describes U Wirtahu and his radical '969' campaign. The movement has called on the country's Buddhist majority to shun Muslim-owned businesses and to "think in a nationalist way."

In its statement, the government argued at length that Burmese Buddhism and the monkhood are "noble", and that the original, ancient meaning of the Buddhist principles symbolized in 969 represents "peace".

Deputy Minister of Information Ye Htut told The Irrawaddy, "Our message is very clear: Time's writing can cause a misunderstanding among the international community; they might think that Buddha's teachings involve terror."

Ye Htut said Time's July issue might be pulled from circulation. "We are considering banning the distribution of this issue in Myanmar. Currently, we are discussing with the Ministry of Religious Affairs what we should do," he said.

Ye Htut stressed nonetheless that "the government does not side with U Wirathu [against Muslims]," adding that all religious groups in Burma are guaranteed freedom of religion under the Constitution.

Win Tin, senior member and co-founder of the National League for Democracy, Burma's biggest opposition party, said the government would be wrong to ban Time's July issue. "They should not ban it, but explain it to the people," he said. "I think banning it is of no use at all."

Win Tin, a former journalist, said he did not disapprove of the article labeling U Wirathu an extremist, but he added, "I don't think you should couple the term terror with Buddhism because it can be very hard for the Buddhist people."

During the past year, Burma has experienced waves of anti-Muslim violence, which first began in western Arakan State, before spreading to other parts of the country in recent months. Hundreds of people were killed and tens of thousands, mostly Muslims, were displaced.

Nationalist elements of the Burma's revered Buddhist monkhood have spread anti-Muslim messages among the public, while some supposed monks were observed participating in attacks on Muslim minority communities.

Human rights groups accuse the government of being complicit in the anti-Muslim violence, out of fear for losing support among Burma's Buddhist majority.

Time magazine's cover also caught the attention of Burmese media. Many outlets ran front page stories over the weekend with photos and partial translations of Time's article, along with reactions and opinion pieces that criticized the article for linking Buddhism with terror.

Dr. Than Htut Aung, the CEO of Eleven Media, a widely-read daily newspaper and weekly journal, said he objected to Time's story. "Let me be clear, I don't agree with the opinions of U Wirathu. We have different views," he said in a statement issued on Saturday.

"But as a journalist, I think the Time magazine’s criticism is unfair and harmful to our religion and Sasana. Such acts can cause unnecessary conflict and will only serve to disrupt our fragile democratic transition. So I categorically oppose Time’s story."

The man at the center of the controversy, U Wirathu, told The Irrawaddy in an interview on Sunday that Time magazine put him on their cover "because Islamic extremists want my downfall."

In Facebook post on Monday, U Wirathu made note of the government's reaction to the article. "We are happy with the government's statement. Thank you Mr. President," he wrote.

‘Islamic Extremists Want My Downfall, That’s Why They Put Me On The Cover’

Posted: 24 Jun 2013 12:12 AM PDT

Radical nationalist monk U Wirathu was portrayed on the July cover of Time magazine as "The Face of Buddhist Terror." (Image: www.time.com)

In recent months, anti-Muslim violence has rocked many parts of Burma and has left dozens of people killed and thousands displaced, while thousands of homes were destroyed. Ultra-nationalist monk U Wirathu, 46, has been accused of stirring up this unrest through his nationwide '969' campaign, which calls on Buddhists to shun Muslim-owned businesses and to "think in a nationalist way."

The 969 symbol has also been found painted on the walls of destroyed Muslim-owned buildings, suggesting that Buddhist rioters were motivated by his words.

His controversial campaign has attracted widespread media attention. Last week, Time magazine Asia ran a cover story on the movement and placed a photo of U Wirathu on their July issue, which labeled the monk "The Face of Buddhist Terror".

The Irrawaddy first interviewed U Wirathu about his role on the anti-Muslim violence on April 2. In another Q&A at his Masoeyein Monastery in Mandalay this weekend, the radical monk reacts to Time magazine's cover story.

QUESTION:How do you feel about being portrayed on the cover of Time magazine as "The Face of Buddhist Terror"?

ANSWER: I think this article is targeting me, but not Buddhism as a whole. This is being done because the Islamic extremists want my downfall. It is like during British colonial times, when the British thought that seizing the Burmese kingdom would be easier if the Kanaung Mintha Prince, who was trying to build modern royal army, died. [The crown prince is revered in Burma for his attempts to modernize the country. He was killed by other princes in 1866.]

If I fall down, it will be very easy for the extremist who wants to overwhelm Burma with their extreme beliefs. They want me to be arrested, or killed. That's why, they put me on the [Time] cover, I think. … Extremists are trying to turn Burma into an Islamic country. There is financial, technological, human resources support for this, even media support. I've observed these things and because I'm speaking out to show these things to the world, I have become their number 1 enemy, so they are targeting me. Actually, Times magazine is not targeting me — the group who want to fight against me is behind this [cover].

Q: There are many who say that you are an extremist and preach hate speech in your sermons. Do you have a reaction to those views?

A: Who wants to fight me will fight until I stop my sermons. I do not preach hate or against someone or something. I do not insult in my sermons either. I just preach to protect my people. You can call it a national protection sermon, or a nationalist sermon, or a national security sermon. For example, when a child is abused, does he have to stay silent? Or, will you accuse him of misusing his rights by asking help from his parents? Will you blame him if he spreads hate between his parents and the person who abuses him? We have the right to say when we were beaten, the right to cry and report a problem. For that same reason, I give national protection sermons.

Q:But, there have been complaints and reports that anti-Muslim violence occurred in areas where you have been preaching for the 969 campaign. What do you say to those accusations?

A: The areas where I gave my sermons never experienced any problems. I was in Muse [in Shan State] on May 18 and 19. The violence erupted in Lashio on May 28. If this happened in Muse right after my sermons, I am the responsible one and will accept such accusations. But I've never been to Lashio, I was just passing by. I don't even know if I passed through Lashio because I fall asleep on the car. So, I couldn't have anything to do with what has happened in a town that I was just passing by.

And in Meikhtila, I went there in October. The violence happened in March. So, if someone alleges that this occurred because of my sermons, how I should respond? It's been four months. Also, if nothing had happened at the gold shop, would that shop have been destroyed? [An argument between a Buddhist customer and Muslim gold shop owner sparked the Meikthila riots.] If the Buddhist monk named Thawbita was not murdered there, would Meikhtila have experienced the violence? And the problems were not started by Burmese Buddhists. The Burmese are the ones who were insulted. So, what can I say if someone blames me for this?

Muslim extremist groups are also creating these [inter-communal] problems. They have two reasons. One is that they want to carry out jihad in Burma. And what was done in Meikhtila, they want to do in the whole country. If the same thing happens again, the international Muslim extremists will bring jihad to the country. That's why they created the violence in Lashio.

Another reason is that they want to have me arrested. That's why they are sacrificing their own mosques, shops and homes, and then they put the blame for these events on my sermons. …

With regards to the Burmese groups [who were involved in the unrest]. I've learned that no one is behind them. We can say they are just thugs, jobless, lazy-boned people who make use of an opportunity during these uncontrollable situations of violence, so that they can loot things from markets and shops.

Q: There has been a lot of criticism of a law you drafted that would put restrictions on marriages between Buddhist women and Muslim men. Activists say that it would constitute a violation of basic human rights. What is your reaction to this criticism?

A: Actually, the draft law [that was circulated on June 13] will not go to Parliament. The draft law which will be submitted to Parliament will be released only on June 27. The initial draft that we released was just meant to get an idea of how people felt about such a law.

What's more, this draft law does not abuse the rights of women. It is to protect women from having their rights abused. Even though we are a Buddhist country, our women have no freedom of religion. So, we will completely follow human rights [principles] in writing this law. We want our Burmese women to have complete women's rights. Christian ladies, Buddhist ladies who marry Muslim men are not getting freedom of religion nor women's rights. They have to stay at their homes like prisoners of war. I want to give freedom to them. I do not want future generations of women to suffer like that. … Current laws [in Burma] cannot effectively protect women's rights or their religious freedom.

Q:You have said that the number 969 symbolizes Buddhist values and teachings. But when people who carry out anti-Muslim violence they use it to justify their actions and paint 969 on destroyed Muslim-owned buildings. So, then it becomes the symbol of Buddhist rioters. What do you think of that situation?

A: Things like that can happen. That's why the monks' conference was held in Hmawbi Township, Rangoon. There, the Sayardaws produced a statement saying not to use 969, which is a symbol of peace, in any way for violence or as a means of defaming another religion.

You can't say that the 969 [campaign] is a violent gang just because a group of men misuse it. You cannot tell us that there are words that say "kill the people who have different religion or ethnicity" is included in the meaning of 969. The rules of 969 are not like that. It is not violent and doesn't say you should respond with violence even if you're being abused, instead you should follow only the law. So, claiming that 969 is violent is nonsense.

Related story links:

A Radically Different Dhamma

Two Sides of the Sangha 

Nationalist Monk U Wirathu Denies Role in Anti-Muslim Unrest 

882 Homes Torched in Meikhtila, Satellite Images Show

‘No Turning Back’ With Reforms, USDP Says

Posted: 24 Jun 2013 06:08 AM PDT

Htay Oo, standing, vice chairman of the ruling Union Solidarity and Development Party (USDP), speaks to reporters in Naypyidaw on Monday (Photo: JPaing / The Irrawaddy)

NAYPYIDAW — The ruling military-backed Union Solidarity and Development Party (USDP) has no plans for political backsliding, one of its leading members said on Monday, following a three-day meeting of the party's central executive committee in Burma's capital.

After the USDP's first-ever Central Executive Committee (CEC) meeting in Naypyidaw, USDP vice chairman Htay Oo said the party was committed to Burma's road to reform, which began when a nominally civilian government came to power in 2011 after nearly half a century of military rule.

"There will be no turning back by our party," the vice chairman told reporters at a press conference, adding that he did not know any hardliners in the country.

The USDP formed in 2010 as the successor of the Union Solidarity and Development Association (USDA), the former junta's mass organization.

Asked by The Irrawaddy about a rumor that senior party members had been suspended for their affiliations with the Union-level cabinet, Htay Oo said there had been no reshuffle of the USDP's top positions, and that current ministers such as Aung Min of the President's Office could no longer constitutionally belong to the party.

"All Union ministers as well as our president have to follow the Constitution," he said.

The vice chairman said the CEC had not talked during their meeting about forming a coalition government with the National League for Democracy (NLD), the opposition party of Aung San Suu Kyi. "There was no discussion about it," he said.

The party's chief, Shwe Mann, who is speaker of Parliament's lower house, said during his recent visit to the United States that he was not ruling out a coalition government with the NLD after crucial elections in 2015, assuming such a coalition was in the national interest.

During the more 30-minute media briefing at the party's headquarters in the country's new capital, Htay Oo said party leaders at the CEC meeting did not decide which electoral system they would support for the 2015 election. One of the party's top leaders, Aung Thaung, told The Irrawaddy last week that the party would likely vote for a proportional representation (PR) system for the upcoming election, a change from the current first-past-the-post (FPTP) system.

"We haven't decided whether we will change the current electoral system," he said.

"Those who know well about the electoral systems were just sharing their knowledge, reading papers about them, so that our MPs will have some idea about the systems when we discuss them in Parliament."

Burma's Union Election Commission asked Parliament in May to make a decision about changing the country's electoral system ahead of the 2015 election. The request came at the recommendation of a 10-member democratic alliance—including the Chin National Party (CNP), the Democratic Party (Burma) and the All Mon Regions Democracy Party—which promotes the PR system.

"If the new system will benefit the country and the people, we'll try to change [to] it," Htay Oo said.

The USDP vice chairman said his party believed in a multi-party system and viewed other political organizations as colleagues.

"It's not just the NLD—why shouldn't we collaborate with those [other] parties if it's good for the country?" he said.

Asked about a possible constitutional amendment, which has been widely discussed in recent months, he said the USDP had not proposed to change the 2008 Constitution.

In March, two senior USDP members, Aye Myint and Thein Zaw, proposed that a committee of law experts and intellectuals be formed to review the Constitution and bring it in line with the country's broader reform process.

"Please be sure to note that we just made a suggestion to form a committee, to be ready in case [someone] wants to fix the Constitution," Htay Oo said.

Thai Company Reinstates Burmese Workers after Protest

Posted: 24 Jun 2013 05:08 AM PDT

Burmese workers protest outside a CP seafood-processing plant in Mahachai, Samut Sakhon Province, on June 23, 2013. (Photo: The Irrawaddy)

Charoen Pokphand (CP), Thailand's largest food manufacturer, agreed on Monday to reinstate more than 160 Burmese workers it had fired from a seafood-processing plant in Mahachai, Samut Sakhon Province, after workers staged a protest on Sunday.

The company, which employs some 2,000 legally registered Burmese workers, also agreed to stop using subcontractors to hire new employees, said labor activist U Toe of the Human Rights and Development Foundation, a Burmese migrant rights organization.

The workers say they are often exploited by the subcontractors, who act as intermediaries between the company and its Burmese workers.

U Toe was one of five workers' representatives who met with CP managers on Monday. Kyaw Kyaw Lin, the labor attaché from the Burmese embassy in Bangkok, and officials from Thailand's Department of Labor and Social Welfare also took part in the meeting.

The workers organized the protest after CP posted a notice on Saturday terminating the employment of around 160 people, including older workers and pregnant women, effective June 26.

Zaw Myo, one of the sacked employees, told The Irrawaddy that the workers approached the company's managers about their dismissal, and were told that they had been let go because of their lack of Thai-language skills.

"They said only those who could not speak Thai well had been fired, but many of us can speak Thai," said Zaw Myo, who has worked with CP for about six months.

The workers had also called on CP to pay workers for days when they couldn't work because of a lack of seafood to process, but the company rejected that demand, said U Toe.

For the past four months, the shortage of raw materials has forced the company to reduce the work week of its employees to just four days, a situation it says it expects to continue until July.

The workers say that they should be compensated for those days off, noting that under Thai labor protection laws they are entitled to receive 75 percent of their regular pay.

At the meeting with the CP managers, Kyaw Kyaw Lin, the Burmese embassy's labor attaché, urged the workers to speak to him next time they have a problem.

"U Kyaw Kyaw Lin told the workers to contact the embassy first before protesting or doing anything," said U Toe, adding the embassy agreed to help workers negotiate with employers.

This is not the first time that Burmese workers have protested against CP. In January, workers decided to strike over what they saw as the unfair dismissal of employees. The company denied the charge, saying that only those who had broken company rules had been fired.

Burmese Buddhist Inscriptions Win Unesco Recognition

Posted: 24 Jun 2013 04:59 AM PDT

One of the 729 stone tablets that comprise the Kuthodaw inscriptions is pictured in Mandalay. (Photo: Facebook / Asean Community)

The United Nations Educational, Scientific and Cultural Organization (Unesco) last week added Mandalay's Maha Lawkamarazein, considered the largest book on Earth, to the organization's Memory of the World Register (MWR).

Also known as the Kuthodaw inscriptions, the 729 stone slabs were installed at the foot of Mandalay Hill by King Mindon, who reigned as Burma's penultimate king from 1853-1878.

According to Burma's Department of Archaeology, National Museum and Library (DANML) under the Ministry of Culture, the stone slabs, which contain the entirety of the Pali Canon of Theravada Buddhism, were inscribed in 1868. Each stone slab was housed in a masonry shrine within the vicinity of Kuthodaw Pagoda, which stands to this day.

The MWR honor marks the first time that Unesco has ever recognized an aspect of Burma's cultural heritage. It reportedly took about three years of lobbying by Ministry of Culture officials to win over the UN body.

"This international recognition has made the high standard and preservation of Burmese culture known to everybody," Kyaw Oo Lwin, the director-general of the DANML, told The Irrawaddy. "Such heritage will help develop the country's tourism industry in many ways."

Items selected for inclusion in the Unesco register are typically divided into immovable and movable categories. The ancient cities of Sukhothai and Ayutthaya in Thailand, the Taj Mahal in India and other monumental structures are considered immovable, while historical speeches and documents of prominent world leaders; historical movies, videos and sound recordings; and palm and stone inscriptions, like the Kuthodaw, fall into the second category.

Kyaw Oo Lwin added that the Ministry of Culture is also seeking Unesco's recognition of other Burmese cultural treasures such as the golden palm inscription of King Alungpaya or Aung Zeya (1752-1760), which is currently in Germany; the Mya Zaydi or Yaza Kumara stone inscriptions (1112) in Bagan, Mandalay Division; and the Mingun Bell in Sagaing Division.

The ancient city of Bagan was nominated for Unesco's consideration during the rule of Burma's military regime but failed to win the designation of World Heritage Site. The UN body cited a lack of systematic restoration efforts as the reason for its denial.

Weekend Clashes Reported near IDP Shelters in Kachin State

Posted: 24 Jun 2013 03:35 AM PDT

KIA soldiers aim their machine gun at Burmese government troop positions during fighting in January 2013. (Photo: Steve Tickner / The Irrawaddy)

Fresh hostilities between the government and ethnic Kachin rebels broke out over the weekend in the Mai Ja Yang region of Kachin State, the latest of more than 20 such flare ups between the two parties since peace talks concluded late last month.

Col James Lum Dau, the deputy chief of foreign affairs for the Kachin Independence Organization (KIO), told The Irrawaddy on Monday that the fighting had broken a fragile peace in the area, where a heavy concentration of internally displaced persons (IDPs) exists.

"There had been no fighting for a long time in Mai Ja Yang region, near our Laiza headquarters. But two days ago, they [government troops] came to attack us. Our troops resisted them, it is not surprising."

The KIO official declined to disclose a casualty count, citing sensitivities due to the KIO's ongoing engagement with the government's peace negotiating team.

Several thousand Kachin IDPs have taken refuge in temporary shelters in the Mai Ja Yang region. UN humanitarian aid reached Mai Ja Yang on June 14 after the Burmese government allowed the aid delivery to the KIO-controlled area for the first time in almost a year.

The government lifted its restriction on aid deliveries to KIO-controlled regions two weeks after it reached a peace accord with KIO leaders in Myitkyina on May 30. The two parties agreed on seven points aimed at facilitating further political dialogue in the future.

Among the points, they agreed to undertake efforts to achieve de-escalation and cessation of hostilities and to continue discussions on military matters related to repositioning of troops.

Lum Dau said government troops on the ground were in clear violation of the spirit of the latest accord, and likened the military's recent actions to attacks, including air strikes, launched against the Kachin rebels late last year.

Some at the time said it was evidence of a military beyond President Thein Sein's control, after troops seemed to ignore his order for an end to the fighting.

Lum Dau said on Monday that clashes also continued to take place in northern Shan State, where a unit of the KIO's militant wing, the Kachin Independence Army (KIA) Brigade 4, is based.

"Fighting happens almost every day in northern Shan State, where KIA's Brigade 4 base is. Our fellow Palaung and Shan also fight alongside," Lum Dau said, referring to other ethnic militias in Shan State.

On June 14-15, fighting was reported between government troops and the joint forces of ethnic Kachin, Shan and Palaung armed groups known as the Taaung National Liberation Army (TNLA). On June 15, the TNLA claimed that four government soldiers were killed during the recent clashes in Shan State's Kutkai Township.

The TNLA is believed to have a strategic military alliance with both the KIA and the Shan State Progress Party, formerly known as the Shan State Army-North (SSA-North), another ethnic armed group.

Fighting between the government and KIA troops first broke out in June 2011, shattering a 17-year-old ceasefire agreement.

Gen Gun Maw, the vice-chief of staff of the KIA, told reporters in Myitkyina during the peace talks late last month that his organization would not sign a ceasefire agreement unless an inclusive political dialogue involving all of Burma's ethnic armed groups was agreed to.

The UN estimates that about 100,000 people have been displaced since fighting between the KIA and the government began two years ago.

Chinese State, US Billionaire, Irish Tycoon in Telecoms Bid

Posted: 24 Jun 2013 03:21 AM PDT

A woman waits for customers at a "public call office" in Yangon on May 27, 2012. Just a few million out of Myanmar's 50-plus million population have mobile phones and access to an as-yet extremely limited system. (Photo: Reuters)

The biggest and most colorful collection of telecommunications companies assembled in years is waiting for the decision bell to ring in Naypyitaw this week on one of the world's last untapped mobile phone markets.

Twelve international telecom businesses and consortia are on a government shortlist, out of which only two will be awarded contracts to build networks for potentially more than 50 million new telephone customers.

The decision on Thursday will pave the way to propelling Myanmar into the 21st century, at least in telecommunications terms.

Just a few million out of Myanmar's 50-plus million population have mobile phones and access to an as-yet extremely limited system.

After years of tightly restricted mobile phone ownership through extortionate prices, the government of President U Thein Sein wants wireless telecommunications to be available to up to 80 percent of the population by 2016.

Some of the world's biggest telephone network companies and some of the most obscure are on the short list, whittled down from about 90 firms.

They are China Mobile Limited and Vodafone Group in a partnership; Singapore Telecommunications; Bharti Airtel of India; MTN from Dubai; the Irish-owned Digicel Group; KDDI Corporation of Japan; Sumitomo Corporation, also from Japan; Malaysia's Axiata Group; Telenor of Norway; Millicom International Cellular of Luxembourg; Qatar Telecom; and Vietnam's Viettel Group.

The world's two biggest mobile phone service operators, China Mobile and Vodafone, have 1.14 billion subscribers globally between them. They have teamed up to make the most powerful bid.

But probably the most colorful is the joint venture put together by the small Digicel, which operates mostly among the small Caribbean islands, although it is owned by an entrepreneur from Ireland.

Digicel's joint venture partners in the license bid are Quantum Strategic Partners, owned by American billionaire speculator George Soros, and Myanmar's Yoma Strategic Holdings, owned by noted Rangoon businessman U Serge Pun.

"The challenge for the winners will be recovering the cost of building and maintaining mobile phone networks in one of Asia's very poorest countries," said an industry executive with a large Bangkok-based phone company who spoke on condition of anonymity.

"Burmese are just about the lowest paid people in the region and so although the price of SIM cards and phones has become more universally affordable in recent months, the unanswered question is how will these people pay for phone services?"

SIM card prices have plummeted dramatically from US $250 just over a year ago to a mere $1.70 today. But they are not yet widely available. About 350,000 cards were issued in April, many on a lottery basis, and similar numbers will be issued in the coming months.

Can the chosen network franchise holders recoup their investment?

"The opportunity is tremendous, but not without risk," Nomura Securities' chief of Asian telecoms Sachin Gupta told Bloomberg. "There are 60 million users potentially, but that needs a lot of network investment."

Other foreign telecommunications companies are waiting in the wings to offer ancillary services once the network licenses are issued.

Avaya of the US, which specializes in video conferencing and data networking, has teamed up with local firm First Myanmar, which is also in U Serge Pun's business stable.

"We believe that we are uniquely positioned to offer affordable first-class communications to the people of Myanmar and are looking forward to having the opportunity to do so," Digicel owner Denis O'Brien told the Irish Independent, which he also owns.

Unlike some of the other bidders which have kept a profile as they quietly lobby behind the scenes to promote their credentials to government ministers and officials, Digicel has pursued a high-profile public image in support of their bid.

The Jamaica-based firm, ranked only 65th in customer size in the global telecoms market, has been sponsoring Myanmar sport, promoting brand awareness among people who don't yet even have a phone, and surveying sites for transmission aerials across the country.

"The low mobile penetration rate in [Myanmar] presents a significant opportunity for telecoms firms, but the Digicel consortium will face some stiff competition for licenses," commented the Irish Independent newspaper, pointing out that O'Brien's telecommunications forays into the Caribbean islands in the past 10 years have made his fortune.

Not bad for someone who started out on his business career selling horse medicines for his father.

The Digicel joint venture is up against the might of the world's biggest mobile phone service operator, China Mobile, a state-owned enterprise with 97 percent of the colossal Chinese market and over 700 million customers. But perhaps the recent backlash against China's strong business influence in Myanmar will influence bid decision-making.

Come Thursday, we'll know whether O'Brien's background impressed the Naypyitaw government more than the stolid, faceless managers of China Mobile.

A version of this story appeared in the June 2013 print issue of The Irrawaddy magazine.

The Lady, Hirsute and on Horseback

Posted: 24 Jun 2013 01:45 AM PDT

Burmese artist Myat Kyawt discusses his version of a famous old hagiography of Gen Maha Bandoola, who led the Burmese army against the invading British during the first Anglo-Burmese War. (Photo: Simon Roughneen / The Irrawaddy)

RANGOON — Mounting a mustachioed, armor-plated Aung San Suu Kyi on the back of a white horse isn't meant to be subversive or satirical, says artist Myat Kyawt.

"She has huge responsibility now, not like when she was a dissident," says the Mandalay-born painter, standing beside his double-take-inducing rendering of a famous old hagiography of Gen Maha Bandoola, who led the Burmese army against the invading British during the first Anglo-Burmese War.

On the wall, the battle-ready lady looks afar, her eyes infused with an apparent sense of destiny, while massed ranks of Burmese soldiers stand in the background.

"She's becoming strong, powerful," says Myat Kyawt of the opposition leader and Nobel laureate, pointing out that political leadership has been a man's thing in Burma in the past.

If those Xena Warrior Princess parallels are too arcane for some, a split symmetrical portrait—half Suu Kyi, half President Thein Sein—should make a clearer point to today's Burma watchers, with remnants of the president's wispy and aspirational side-parting giving way to the National League for Democracy leader's lustrous, garlanded ponytail.

"The idea to me is to show Daw Suu as the equal and sometimes successor to all these men," says Myat Kyawt, referring to the opposition leader with a title of respect. "And that she now works together with the government," he adds, hinting that if his work is a nod to some of Burma's historical and contemporary icons, that nod comes with a wink of subtle iconoclasm.

It wasn't long ago that images of Suu Kyi were banned in Burma, but nowadays the Lady is a lawmaker and aspiring presidential candidate, as well as a ubiquitous presence in Burma's relatively unshackled press, and on T-shirts, posters and mugs for sale across the country.

The old official ban on writing about and portraying Suu Kyi was matched by an unofficial taboo against criticizing her—leaving aside the jeremiads of Burma's state-run mouthpiece The New Light of Myanmar, which in the past branded her as a foreign agent. But those old ineffables are lapsing; in recent times, Suu Kyi has had her ear bent by displaced and disgruntled Burmese landowners, as well as by foreign human rights pundits who see her as unsympathetic to Burma's Muslims, and by Arakanese politicians who see her as overly concerned about the same cohort.

All the same, the cross-dressing hirsute lady on horseback is not meant as mockery. Rather, the painting should be taken as part of Myat Kyawt's meditation on the themes of history, leadership and collaboration—all central to his exhibition "Making New Myanmar," which hangs in Gallery 65, a three-year-old showcase for local and sometimes foreign artists on the ground floor of a colonial-vintage teak townhouse near Rangoon's downtown.

Bridging the two centuries between Maha Bandoola and Thein Sein is a perhaps less jarring androgyny, hanging opposite the mounted, Boadicea-like Suu Kyi. This time she resembles her long-dead father, Gen Aung San, the Burmese independence leader, with her tresses mostly covered by his familiar cap. Roses also adorn her hair, of course—below and behind the green, red and black cap that was her father's sartorial trademark.

That Suu Kyi brand—the hair tied up with a bit of a fringe hanging and a rose or two for decoration—is a motif on most of Myat Kyawt's caricatures, from defiant-looking children left homeless after the 2008 Cyclone Nargis, to several self-portraits of the artist himself, mischievously smiling and bewigged, Suu Kyi style, like an Elton John parody.

Getting the paintings shown might, therefore, be taken as a time marker of reform, given that red roses, women with flowers in their hair, or any image redolent of Suu Kyi, for that matter, were off limits during her house arrest, which ran on and off for 15 years from the late 1980s to 2010.

But in early 2011, a few months after Suu Kyi was freed, a civilian government staffed mostly by ex-army men started a series of political reforms, including pruning the onerous thicket of press restrictions that made Burma one of the world's worst places to be a journalist.

If Burma's media have it better now, it doesn't mean censorship has been completely lifted for artists. "Making New Myanmar" is an ongoing job, it seems, as galleries still have to check in with the government bowdlerizers prior to staging an exhibition.

On the wall in the center of the room hangs the approval certificate for Myat Kyat's exhibition, stamped and dated June 21, the day before his paintings went on show on Saturday.

Such tight turnaround can make it awkward to advertise and promote, but "it's nowhere near as bad as it used to be," says Min Lwin, Gallery 65's proprietor, who points out that "political topics are now free for all, but sometimes cultural sensitivities are used as a reason to block this image or that."

"We have had some paintings blocked in recent times," he adds. "But now it's just a polite request from the censors before we go to exhibit. Before—in 2010, especially—they would block many and scold us for an hour about what they didn't like."

Painting Amid the Ancient Ruins of Mrauk-U

Posted: 24 Jun 2013 12:53 AM PDT

"Mrauk-U Pagoda" painted by Shwe Maung Thar.

MRAUK-U, Arakan State — Arakanese artist, Shwe Maung Thar does not have to wander far from his ‘Lamitie’ art studio to find inspiration for his favorite subject, Arakanese landscapes and culture.

His studio and home sit amongst the ancient Buddhist pagodas and temples of Mrauk-U, the old capital of the Arakan kingdom, which flourished from the early 15th century until 1785, when a Burmese king conquered the region.

Shwe Maung Thar, or S.M.T. as he likes to be called, has a lifetime's worth of experience in arts and belongs to the traditional school of landscape painting, drawing much inspiration from the French impressionists of the 19th century.

His work is reminiscent of the soft pastel tones of Monet and Cezanne and he admires Australian Post-Impressionist landscape artists Sir Arthur Streeton and Tom Roberts.

"I mostly like painting still lifes and landscapes," he said, during a recent interview in Mrauk-U town.

"As a student I travelled to Rangoon and studied under Say Kyaw Lin and in 1995 I began further training under Win Pe Myint, who I still see as my master. He schooled me further in oil painting techniques," he said.

Although S.M.T. enjoys working with oil paint, quality paints and materials are hard to find in Burma and he often uses oil crayons to produce his work.

Like for many people in Arakan State, the inter-communal violence that erupted there one year ago has also touched S.M.T.'s life. Tourist visits to Mrauk-U have largely stopped and his gallery has had very few customers since, leading to a drop in sales of his work.

"Because of recent bad events I don't receive many visitors or tourists anymore. However, some Burmese still like to collect my art and come visit from time to time," he said.

S.M.T. believes art and politics should not mix and is reluctant to comment on the divisive sectarian tensions that have ripped through Arakan State. "I don't believe that artists should be involved in politics," he said when asked for his opinion.

Although he has not had an exhibition inside Burma since 2009, in the past he enjoyed giving at least one exhibition a year, usually in Rangoon, often in collaboration with his former teachers, Win Pe Myint and Say Kyaw Lin.

His son, Khine Min Tun, has followed in his father’s footsteps and become an accomplished landscape and portrait artist in his own right.

S.M.T.'s reputation abroad has also grown over the years. In 2005, he exhibited in the Australian capital Canberra, and again in Melbourne in 2007 under patronage of former Australian Ambassador to Burma Trevor Wilson.

However, due to the political environment in Burma at the time he was prevented from attending his Australian exhibitions.

In 2011, he drew great inspiration from a trip to Europe, which included a trip to Vienna, Austria, where he visited the Zacke Art Gallery, and later the Musee d’Orsay Art gallery in Paris.

S.M.T says one advantage of the decline in tourists since the inter-communal conflict began has been that he and his son have now accumulated a great deal of as yet unseen work.

This year he has an exhibition of his work planned in Berlin, Germany, in December, and he hopes to once again begin showing his art in Rangoon soon.

‘Make or Break Moment’ for Burma Reforms in Opaque Telecoms Sector

Posted: 23 Jun 2013 11:51 PM PDT

Vehicles drive past an advertising board of Singapore Telecommunications Ltd (SingTel) in Rangoon on June 20, 2013. (Photo: Reuters / Soe Zeya Tun)

RANGOON — Companies awarded telecommunications licenses in Burma this week will need to spend billions of dollars rolling out networks across a country that has yet to pass a law to govern the sector and where opaque, state-owned enterprises will remain players.

The process is being watched closely as a test case for reform in Burma, although the risks did not stop 90 international firms and groups from joining the initial phase.

Faced with big investments and uncertain returns however, Vodafone Group Plc and China Mobile Ltd dropped their joint bid for a license, saying it did not meet their "internal investment criteria." The remaining 11 short-listed contenders include Singapore Telecommunications Ltd, KDDI Corp and Telenor ASA.

"Nobody has any experience or any idea how the government is going to regulate the sector," said Edwin Vanderbruggen of Yangon-based law firm VDB Loi, which advises telecom companies hoping to do business here.

After decades of isolation and economic mismanagement under the military, mobile phone penetration in Burma is put at 4 to 9 percent of its 60 million people, lower even than North Korea.

The government of President Thein Sein has pushed through a series of political and economic reforms since 2011, and the award of mobile licenses on June 27 should bring a leap forward in digital technology that could speed up economic development.

Vanderbruggen said potential foreign investors in other sectors are watching the process closely. "We really have a make-or-break moment for Myanmar," he said.

One bad omen for the whole process though is a telecoms bill stuck in Parliament.

"The absence of the law being passed or a clear timetable for its introduction adds considerably to uncertainty to those participating in the current bid round, particularly as it is unclear if there are particular issues with the draft that are causing the delay," said Marae Ciantar, a Singapore-based lawyer with law firm Allens.

Human Rights Watch warned the draft bill incorporated proposals drawn up under the junta that violate freedom of expression.

A confidential tender invitation obtained by Reuters says firms might be required to restrict or intercept communications or let the government "utilize telecommunications equipment" during any public emergency, which was not defined.

The government plans to create a new regulator by 2015 and will transform the current one, Myanmar Post and Telecommunications (MPT), into a majority state-owned company.

The two international telecom companies that win licenses will find themselves competing against incumbents that plan joint ventures to raise capital and expand their networks.

The sector is dominated by MPT, whose SIM cards went for as much as $7,000 when they were introduced a decade and a half ago and still cost more than $200 today.

Two other companies have much smaller networks: Yatanarpon, which is majority government-owned and primarily an Internet service provider until now, and Myanmar Economic Corporation (MEC), a labyrinthine, army-owned holding company.

The future role of MEC is far from clear. A latecomer into the telecoms market, it began selling cut-rate SIM cards on April 25. The military conglomerate is tax-exempt and even its board of directors is shrouded in mystery.

Meanwhile, Japan's KDDI is in partnership with Myanmar Information and Communication Technology Development Corp, a local consortium that includes a company founded by Deputy Minister of Communications and Information Technology Thaung Tin.

"For perceptions of impartiality, fairness and a level playing field, it is highly undesirable for government officials to have personal commercial interests in the sectors which they regulate," said Ciantar of law firm Allens.

Vanderbruggen of the law firm VDB Loi added that some companies that expressed interest in the international licenses might really be aiming to work with those domestic operators, becoming partners and helping them expand their networks. Newcomers have to start from scratch and Vanderbruggen estimated an operator could spend $2 billion rolling out a network.

Additional reporting by Aung Hla Tun.

Burma Rebel Clashes Continue despite Agreement

Posted: 23 Jun 2013 11:42 PM PDT

A soldier from the Kachin Independence Army (KIA) puts on his shoes as he and his comrade cross a stream towards the front line in Laiza, KachinS, on Jan. 29, 2013. (Photo: Reuters / David Johnson)

RANGOON — Burmese government troops have clashed with ethnic Kachin rebels more than 20 times since signing an agreement last month to de-escalate fighting, a spokesman for the Kachin armed forces said Sunday, questioning the government's commitment to the peace process.

"We cannot build trust just by holding talks," La Nan of the Kachin Independence Army (KIA) said in an email reply to The Associated Press. "It is necessary to have a firm commitment to resolve this through a political dialogue."

There was no immediate response from the government.

Burma for decades has faced rebellions from several ethnic groups seeking autonomy. The KIA is the only major rebel group that has not reached a cease-fire agreement with the government of President Thein Sein, who came to power in 2011 after almost five decades of harsh military rule.

In their latest round of talks in May, the government and Kachin rebels signed a seven-point agreement to move toward a peace settlement.

But La Nan said there have been 21 clashes with government troops during this month alone.

He said the agreement to de-escalate fighting had given the government a chance to redeploy troops, send reinforcements and ammunition and get closer to KIA camps.

"It will be correct to say that the government used the opportunity of peace talks to prepare for the next assault," La Nan said.

There have been 15 rounds of talks between the government and the KIA. No breakthrough is in sight, with the Kachin insisting on a political settlement, not just a ceasefire.

Will Burma’s Soldiers Return to Barracks?

Posted: 23 Jun 2013 11:34 PM PDT

Soldiers pay respects in front of Aung San and the Burma's fallen heroes' tomb at Martyrs' Mausoleum in Rangoon in this 2010 file photo.

The rule of law and the constitution matter. This is evident in Burma, where current steps toward constitutional amendment have the potential to determine the future direction of the country's transition process. A key issue is whether the role of the military, as defined by the Constitution of Burma, will be changed.

A constitution in any democracy must clearly define the position of the military and provide for appropriate national defense, while providing mechanisms to prevent the misuse of power. There should be civilian control over the military, and the military should be subordinate to the executive arm of government in particular. To achieve this, the military cannot also be part of the legislature, nor have the power to appoint ministers.

A range of constitutional approaches can limit military power. Some constitutions adopt a minimal approach and briefly refer to the military as subordinate to the executive, leaving other details for further regulation by the legislature. Others take a more expansive approach and set out in detail the role of the military and the limits of its powers.

In Burma the military is under the control of the defense services commander-in-chief, who is appointed by the president. But the president's appointment is subject to the approval of the National Defense and Security Council, a majority of whose members are from the military. In practice, this means the military has significant influence in appointing its own commander. The Constitution does not specify the term of the commander-in-chief, the qualifications the position requires or the circumstances in which he could be removed from his position. In contrast, the office of the president has a clear term, the candidate must meet set requirements, and there is a clear process for removal from office.

There are further differences in relation to the composition of Parliament and the election of members. The commander-in-chief has the power to nominate the Defense Service personnel in both houses of Parliament, which makes up 25 percent of the seats. He also has the power to recommend the appointment of the Minister of Home Affairs, Border Affairs and Defense.

The 2008 Constitution creates a complex relationship between the president, the commander-in-chief and the military-dominated National Defense and Security Council. Contrary to some recent reports, it is unclear which position has the most power, but the office of the president appears to be subject to greater regulation, at least in comparison to the commander-in-chief.

In addition to being subordinate to the executive, the military must not be immune from the law and should also be required to comply with human rights obligations. There are several different approaches to military justice in democratic countries. In some systems, a crime committed by a military officer may be heard by the general courts, and in other contexts such cases are heard by a system of special military courts.

For example, Indonesia has a system of military courts with a right to appeal to the Supreme Court, a general body. There has been recent public debate in Indonesia about whether the matters that go to military courts would be dealt with more fairly by the general courts. The Constitution of Burma also provides for a system of courts martial, with an ultimate appeal to the commander-in-chief. In contrast to Indonesia, there is no right to appeal to the Supreme Court in Burma, which means that the decision of the commander-in-chief is not subject to review.

Special military courts allow for a degree of specialization because they are constituted by judges who have a background in the military. But one concern is that these judges may be less independent in their decision-making. Instead, using the general court system to determine cases concerning the military suggests that military officers are subject to the same law and institutions as everyone else.

This is why it is important that the current constitutional amendment process clarify the role of the military. Formal changes to ensure that the military is subject to the control of the executive, and that there are clear limits to its power, would be an important step.

But while the formal safeguards of an amended Constitution will help Burma transition to democracy, substantive changes matter too. It is equally important that there exists a culture and mentality within broader society that the military should in fact play a subordinate role to the executive, have no influence over the legislature, and remain subject to the rule of law. Recent reports highlighting the excessive role and dominance of the military are one indication that such a cultural shift may now be occurring.

Melissa Crouch is a Postdoctoral Fellow at the Law Faculty, the National University of Singapore. From May 8-10, 2013, she participated in the Myanmar Constitutional Democracy Workshop hosted by the Sydney Law School in Rangoon.

China May Be Easing Up on Tibet

Posted: 23 Jun 2013 11:26 PM PDT

Tibet's exiled spiritual leader the Dalai Lama greets an audience in Boston. (Photo: Reuters)

In an abrupt and unexpected reversal of policy, Chinese government officials have told monks in some Tibetan areas that they are now free to "worship" the Dalai Lama as a "religious leader." The new policy document—prefixed with the word "experiment"—also asked that the monks now refrain from "criticizing the Dalai Lama," and "stop using such labels as a wolf in a monk's robe," a common pejorative hurled against the Tibetan spiritual leader by Beijing.

"As a religious person, from now on you should respect and follow His Holiness the 14th Dalai Lama," the document continued, "but in terms of politics you are not allowed to do so. Politics and religion should go separate ways."

The announcement was reportedly made during a conference held on June 14 at a so-called Qinghai Provincial Buddhist School where a new party secretary was appointed. It was attended by high-ranking ethnic Tibetan and Chinese officials, according to the Tibetan language website Khabda.org, which reported the news.

Analysts say that the Chinese government might have been forced to rethink its strategy on Tibet following more than 100 self-immolations that have occurred inside the special administrative region since 2009.

"If that document is genuine, then they are trying to diffuse the pressure of the self-immolations," said Thierry Dodin, director of the Tibet Information Service, TibetInfoNet in London.

The new policy is to be first implemented as an "experiment," according to the report. Dibyesh Anand, Tibet specialist and associate professor at Westminster University in London, sees no evidence of a major shift and says that this can be best explained as an experiment at the local level.

When the Communist Party of China (CCP) initiates a new or major policy change, they usually prefix it with the word "experimental," which means that if it works they would apply it nationwide, if it fails would be dropped from party's policy. China is slated to announce a new policy in August.

Some believe the new policy is a public relations offensive in the wake of much criticism toward the Chinese regime from the outside world, especially human rights organizations in the aftermath of the series of self-immolations.

"No criticism of Dalai Lama is more to do with smarter public relations propaganda … rather than a genuine effort at reconciliation," Anand said.

However, a similar announcement was also reportedly made lifting the ban on the displaying of the Dalai Lama's pictures in homes and monasteries around the town of Dram near the Tibet-Nepal border, triggering hopes that China might be interested in easing its control on religious practice on a much wider scale.

Beijing's policy change might also be aimed to send a signal to the outside world that the new leadership is interested in changing its policy toward the Tibetan spiritual leader, said one leading Tibetan scholar. "It is an indication of change," said the scholar, who did not want to be named.

Making it even more interesting is that the news comes on the eve of China's forthcoming tour of Tibet by foreign journalists.

Recently, a few other articles have raised speculation that there might be an olive branch in the offing from Beijing authorities to the Tibetan leadership in exile.

In an interview with Hong Kong-based Asia Weekly, Jin Wei, a director of ethnic and religious affairs at the Central Party School at Beijing think tank Central Party School, also suggested that China's policy in Tibet may not be working.

She called for restarting negotiations with the Dalai Lama's representatives and has proposed that the Dalai Lama might even be invited onto Chinese soil, Hong Kong and Macau as well discussing the issue of reincarnation with the Dalai Lama himself.

Tibet watchers believe that it is best to adopt a wait-and-see approach if the China government matches their words with actions.

"If she really is transmitting a message, then we should take note of it and wait and see first because what they say does not matter, you have to see what they actually do on the ground," Dodin said.

Given China's hard-line policy, Tibetans have demonstrated a mixed response to the news, ranging from guarded optimism to outright skepticism.

Since 2009, as many as 119 Tibetans living under China's rule have set themselves on fire demanding freedom and the return of the Dalai Lama from exile. 102 of the self-immolators died in agony while the condition of more than 10 remains unknown.

Tsering Namgyal, a journalist based in New York, is the author of a new biography of the 17th Karmapa Ogyen Trinley Dorje published last month by Hay House, India. He is also the author of a recently published novel, The Tibetan Suitcase.

As Asia Embraces Casinos, India Hedges Its Bets

Posted: 23 Jun 2013 10:35 PM PDT

Casino Royale Goa, an off-shore casino on a ship, is pictured anchored on the Mandovi River, which runs through Goa's capital Panaji, on June 22, 2013. (Photo: Reuters)

PANAJI, India — Like many visitors to the Casino Royale Goa on a rainy Saturday night on India's western coast, Salim Budhwani said he does not gamble but also had no objection to the betting at the busy tables downstairs.

Despite socially conservative India's ambivalence about gambling, consultancy firm KPMG estimated that $60 billion was wagered in the country in 2010. Much of the gambling is illegal, but attitudes are slowly changing as more Asian countries embrace gaming as a revenue generator and tourist draw.

Legal gambling in the increasingly wealthy country of 1.2 billion is limited to state lotteries, horse races and a handful of casinos. Most gambling in India, from penny-stake games at street corners and card parties in affluent homes to wagers on cricket and underground numbers games, is illicit and goes untaxed.

"People are playing on the roadside everywhere. People are playing in their houses," said Budhwani, 33, a luggage retailer from the city of Hyderabad who had brought his family to Goa, a tourist destination and one of two Indian states with casinos.

"People are educated, they know what's at stake."

Gambling on cricket, India's most popular sport, draws hundreds of millions of dollars.

The country was transfixed last month by a scandal in which several players were accused of taking bribes from bookies, spurring calls for legalizing and regulating sports betting from the Federation of Indian Chambers of Commerce and Industry, a powerful business lobby, and others.

Legislation proposed after the cricket scandal is aimed at making cheating in sports a crime, although it does not address regulating or legalizing betting.

"It looks like the government has at least become amenable to this discussion, which is important," said Vidushpat Singhania, a lawyer who helped draft the match-fixing legislation and favors legalizing gambling.

Despite the allure of India for global operators, Indian law forbids foreign direct investment in casinos, meaning companies like Las Vegas Sands and Wynn Resorts can only tap the market by targeting Indians going overseas.

Many wealthy Indian families hold wedding parties in Macau, the world's largest gaming destination, bringing affluent guests for the festivities and the gambling.

In recent years, major awards ceremonies for the massive Bollywood film industry have been staged in Singapore's Marina Bay Sands, Malaysia's Genting Highlands, Macau and South Africa's Sun City, all gambling venues.

Besides drawing thousands of visitors from India's well-heeled glitterati, some of the highest-stakes games around these events involve film stars and producers, insiders say.

For many Indians, gambling is considered propitious around the Diwali festival in October/November, with tens of millions of rupees won or lost during illicit night-long sessions of teen patti or flash, a three-card poker game.

"Indians are prone to gambling as much as the Chinese," said Rakesh Jhunjhunwala, a billionaire investor who with his wife holds a nearly 7 percent stake in Delta Corp, owner of the Casino Royale Goa.

Final Frontier?

Inspired by Singapore's two thriving casino resorts, which opened only in 2010 but are among the most lucrative in the world, Asian countries from South Korea and the Philippines to Sri Lanka are developing similar gambling projects.

Macau is adding at least six casino resorts in the next three years at a cost of $20 billion. The Philippines is building four, while Japan is mulling gaming legislation and Taiwan is in the process of allowing casinos on offshore islands.

In Sri Lanka, Australian billionaire James Packer's Crown Ltd is close to agreement with authorities to build a $350 million casino resort, which could be a significant draw for visitors from nearby India.

In India, gaming regulation is fragmented and sometimes contradictory, with some laws dating to the 1800s. Casinos fall under the purview of provincial governments, and just two out of 35 states and other territories have them.

Online gaming is a gray area. While it is forbidden under information technology law, it is not clear whether that applies to betting on games of skill. Many Indians bet on cricket and other sports at offshore websites, although remittances from such activity violate Indian foreign exchange rules.

Given the regulatory thicket and slow pace of policymaking in India, many industry-watchers say it will be years before gambling in India becomes a major, mainstream proposition, although a pragmatic acceptance is growing.

Michael Lobo, a hotel owner and state legislator from the Hindu-nationalist Bharatiya Janata Party that rules Goa, said he personally opposes gaming but acknowledged it helps tourism and believes it should be limited to holiday destinations and needs stronger regulation.

"In the larger interest of Goa, where tourism is concerned, we have to allow casinos," said Lobo, who favors banning Goans from casinos and earlier this year threatened a hunger strike to block the opening of India's first Playboy Club in Goa.

Jhunjhunwala said it could take roughly 15 years for casino gaming to go from niche to mainstream in India and said opposition to gaming is part of the democratic process.

"There was prohibition in Bombay once," he said, referring to a ban on alcohol in India's financial capital, now known as Mumbai. "The process of change is always, in India: opposed, consolidation, opposed, acceptance."

Cards and Kids

At the Casino Royale Goa, there is as much action on the entertainment and dining floor as at the tables. When a Russian dancer takes the stage, dozens of customers crowd forward to record her performance on cellphone cameras.

Where in most places entry to casinos is free, those in Goa have a cover charge. At the Casino Royale Goa, which floats on the Mandovi River, the Saturday night entry fee is 2,000 rupees ($34), a hefty sum for India that deters the merely curious. Of that, 500 rupees goes to the Goa government.

Once inside the 24-hour casino, food and drinks are free, including for patrons who are not placing bets.

The crowd on a recent night included well-dressed young couples as well as families, who can drop-off their small children in the creche at the entrance level.

At some of the tables, dealers teach first-timers. Minimum blackjack bets range from 200 to 5,000 rupees ($3.40-$85), with a maximum bet of 50,000 rupees. The top baccarat bet is 300,000 rupees.

Three-card poker is also available but roulette is especially popular. "You don't have to spend much time," said 25-year-old Viral Khoda, from Belgaum, a town in the interior of India. "It's quick."

In Bangladesh, a Tale of 2 Garment Factories

Posted: 23 Jun 2013 10:11 PM PDT

Garment workers from textile company Envoy Group demonstrate climbing a makeshift ladder, which serves as a fire exit to the building, during a protest in Dhaka on June 10, 2013. (Photo: Reuters / Andrew Biraj)

SAVAR, Bangladesh — The walls of the cavernous AKH clothing factory are covered in red arrows. They point to three wide emergency staircases with evacuation plans posted on every floor. They point to fire extinguishers attached to the walls and pillars throughout the factory. They point to medical kits located near designated workers with "First Aid" stitched onto their shirts.

It is the type of factory garment manufacturers hope will persuade Western brands to keep making clothes in Bangladesh despite a recent factory fire and a building collapse that killed more than 1,200 people.

But just down the road, the seamier side of the industry lives on in a tiny, stiflingly hot factory. Very young looking seamstresses sew snowsuits for export at cramped work stations. The aisles are blocked by piles of clothing. Power cords hang haphazardly along the walls.

This is the type of factory the government and the major garment manufacturers have decided must reform or die if the nation's $20 billion-a-year garment export industry is to continue to thrive.

"We have A grade [factories] and we also have D grade," said Shahidullah Azim, vice president of the Bangladesh Garment Manufacturers and Exporters Association. "Now is the time for survival of the fittest."

The Dhaka industrial suburb of Savar shows both sides of an industry that began just three decades ago with some sewing machines in entrepreneurs' homes and has since exploded into a global clothing manufacturing hub.

Some buildings appear ultra-modern, with outdoor fire staircases and mirrored windows. Others have bars on all the windows and gray, raw concrete exteriors that no one has bothered to paint. Many have steel reinforcing bars jutting from the rooftops, awaiting new floors yet to be added.

A government investigation blamed the April collapse of the Rana Plaza factory building, which killed 1,129 people, on its poor construction, floors that were illegally added to the building and the use of heavy equipment it was never designed to hold. Investigators said the November fire at the Tazreen factory, which killed 112, was so deadly in part because clothing was stored in the stairwell, which turned the emergency exit into a chimney billowing smoke, fire and toxic fumes from the burning fibers.

Many Western brands said they were not aware their clothes were being made at the factories because of the tangle of subcontracting deals that are routine in the garment business here. Following the twin tragedies, some brands pledged to help raise safety standards. Others, most prominently Disney, announced they were pulling out completely.

The government and the manufacturers association are taking a carrot-and-stick approach toward reforms aimed at preventing another disaster that could cause more companies to follow Disney's lead.

One target is the estimated 600 factories that perform subcontracting work for export, but don't belong to the BGMEA—freeing them from even minimal industry oversight. The organization issued a set of guidelines this month aimed at either bringing those factories into the fold, or crushing them.

The new rules mandate that factories being given subcontracts be members of the BGMEA or a related organization for knitting factories. They need to have insurance coverage for their workers. And the company that placed the initial order has to agree in advance to have it subcontracted, eliminating confusion over where its clothing is made. Those who fail to abide by the new rules can be suspended from the organization, effectively barring them from importing fabric and exporting clothes, said the BGMEA's Azim.

The organization has also inspected 200 factories it believed were at risk and shut 20 of them, he said.

The government announced plans for a special economic zone on 532 acres near the capital, where factories located in unsafe buildings will be relocated into modern facilities with the help of cheap loans, Textiles Minister Abdul Latif Siddique said. The government has also proposed hiring hundreds of new fire safety inspectors to beef up Dhaka's current force—just 15 people tasked with inspecting the city's 10,000 factories and warehouses.

Not far from the Rana Plaza site stands the spotless AKH factory.

Inside, rows of women and men worked at sewing machines separated by wide aisles in the giant airy factory, making dark blue men's shirts for H&M on one line, khaki shirts for Marks & Spencer on another and purple shirts for Perry Ellis on a third. Boxes of finished shirts were stacked neatly nearby.

A man using an industrial saw to cut stacks of fabric into shirt panels wore a chain mail glove on one hand for protection. Shears were tied to tables and irons strapped to overhead pipes to ensure they wouldn't fall and pierce or burn workers' feet.

In addition to the ubiquitous fire extinguishers, the 5,500-person factory had firefighting masks, helmets, shovels and buckets of sand on each floor.

Faridul Alam, a top official at the factory, said it had four fire hoses and a 40,000-liter tank to feed them. The building was constructed to withstand an 8.5 magnitude earthquake, and the generators were housed in a separate facility to ensure that their vibrations don't damage the structure, he said.

The measures, Alam said, pay off because they attract safety-conscious Western brands. But even AKH subcontracts to other factories when production lines are backed up, he said. He refused to give details about those deals.

A few kilometers away, a small factory above some shops in a market revealed the hidden, bottom layer of the industry.

Women and children who appeared to be in their early teens at best hunched over sewing machines making puffy green camouflage snowsuits with the Kidz Grow System label and dark blue snowsuits labeled Piazza Italia Man. They appeared somewhat frightened of the young men who rapidly passed the clothing they had finished sewing to the next machine in the assembly line.

There were fire extinguishers on the walls but vast bundles everywhere—in the aisles, near the exits—of raw materials, half-finished clothing, discarded fabric scraps and finished garments. Tangles of electric wiring hung haphazardly throughout the facility. Several boxes of clothing and a huge sack of insulation used in the snowsuits sat in a stairwell.

It is unclear whether the factory got its orders directly from brands, from a buying house that places orders on behalf of Western companies, or from an overburdened factory that needed a subcontractor. Factory officials declined to speak to The Associated Press.

Cleburne, Texas-based Walls, which owns the Kidz Grow System clothing line, said it was checking into how its clothing ended up at that factory.

"If it's going through an agent, then typically we might not know about that factory," said Walls Chief Financial Officer Bill Aisenberg.

Milan-based Piazza Italia did not respond to an email and phone call seeking comment.

The government plans to crack down on smaller subcontracting factories, but it will take time, said Siddique, the textiles minister. First, it is focused on fixing larger factories.

"We are taking this very seriously," he said.

But it can be difficult to shut down factories, even those with obvious safety issues, said Sheikh Mizanur Rahman, a deputy director of Dhaka's fire service.

Before shutting a dangerous factory, the fire department must first issue a letter demanding improvements. It can refuse to renew the annual fire safety certificates of factories that fail to comply. But factories can continue operating as they file appeals, first to the government and then to the courts.

"This is a long process," Rahman said.

Since the Tazreen fire, there have been more than 40 fires in Bangladesh garment factories, killing 16 people and injuring hundreds more, according to the Solidarity Center, an international labor rights group.

Despite the new efforts at reform, government and industry officials and activists agree that another building collapse or major fire remains a real threat.

"There is every possibility that it can happen again," said Wajed-ul Islam Khan, general secretary of the Bangladesh Trade Union Center.

Associated Press reporter Julhas Alam contributed to this report.
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