Monday, September 7, 2015

The Irrawaddy Magazine

The Irrawaddy Magazine


A Closer at Look at Chin State’s Vulnerable Flood-Displaced

Posted: 07 Sep 2015 04:56 AM PDT

Click to view slideshow.

HAKHA LAY, Chin State — Hundreds of newly displaced families in this small village in Chin State wait hopefully for relief in temporary shelters after a landslide wiped away their homes and belongings.

Situated in the remote state's Tonzang Township, just under three hours by car from Kale, the town has suffered greatly since severe floods struck the state in late July and early August. Weeks after major rains subsided, Hakha Lay remains in danger of landslides.

In recent weeks, waters trapped by debris further up the nearby hillside came crashing down, toppling homes and trees. The displaced have since set up camp in the surrounding areas, which are difficult to reach and have only very poor roads. The encampment has no running water and no toilets.

The residents recalled frightening sounds around midnight just before the muddy water flooded into the town after a nearby natural reservoir was breached.

"Water came first, then later we heard the roars of mudslide," said Van Oak Lin, and ethnic Chin man who now resides in one of the camp's small blue tents.

Rescue teams slowly reached the area by small roads that were extremely difficult to pass. Some people can only move about the camp by walking on felled logs.

A team leader for the Chin Youth Association from Tamu Township, who had organized a group of 200 youths to carry out a rescue mission, described the damages he found when he arrived at Hakha Lay. The houses he entered were filled with mud, he said, and most of the locals had already fled without their belongings.

"The water has a muddy appearance when we look at the river," the young man said, worried that another breach of nearby natural dams could lead to even further devastation. "This very strange, not normal. There could be another collapse from the upper valleys."

The post A Closer at Look at Chin State's Vulnerable Flood-Displaced appeared first on The Irrawaddy.

UK Firm Withdraws Application to Explore Jade Area

Posted: 07 Sep 2015 03:43 AM PDT

People look for precious stones at a dump near a jade mine in Hpakant Township, Kachin State. (Photo: Soe Zeya Tun / Reuters)

People look for precious stones at a dump near a jade mine in Hpakant Township, Kachin State. (Photo: Soe Zeya Tun / Reuters)

CHIANG MAI, Thailand — Less than a year after submitting three applications for mineral exploration licenses to Burmese mining authorities, London-based firm Aurasian Minerals Plc has announced it will not pursue activities in the country for the foreseeable future.

The company said the decision to withdraw the applications, which covered a total area of 1,900 square kilometers (734 square miles), was taken "in view of the slow approvals process in Myanmar currently and the need for management to focus on opportunities with a nearer-term prospect of creating value," according to a Tuesday announcement on the London Stock Exchange.

In a January progress update, Aurasian disclosed that it had made applications to explore for gold, silver and copper in an area subject to jade and gem mining concessions. Although the firm did not disclose the exact location, land for at least one of the applications is likely to be located in Kachin State's Hpakant Township, the only jade mining area in Burma of any significant output.

Aurasian's January statement added that mineral exploration applications were pending due to "the current security situation in the relevant areas", and the company was awaiting a security clearance from authorities.

There have been repeated clashes around Hpakant's existing jade mines since the collapse of a 17-year ceasefire between the Kachin Independence Organization (KIO) and the Burma Armed Forces in June 2011.

Peter Mullens, who was appointed Aurasian CEO in mid-July, said he was unable to identify the locations for the exploration licenses or elaborate on the security clearance process.

"I was not involved in application so not sure which state," he told The Irrawaddy via email.

Attempts to clarify the exploration license applications from other members of Aurasian's senior management were unsuccessful.

In March, outgoing chairman Tony Shearer directed enquiries to his successor, Bruce Kay, who did not respond before his resignation in August. Mullens directed questions on Aurasian's Burma operations to Jon Loraine, the company's vice president of development, who also did not reply to a request for comment.

Mark Farmaner, director of the Burma Campaign UK, said that the firm appeared to have sought exploration licenses in Burma without appreciating the implications of the country's ongoing ethnic conflicts.

"Aurasian should never have put in these‎ applications with the Burmese government. They appear to be in conflict zones and without any consultation with local people," he told The Irrawaddy.

"While some British companies will do their research on Burma and adapt their investment accordingly, or decide not to invest at all, a few small British companies specialize in trying to work with dodgy regimes or ‎in difficult places. It means they don’t have to compete with the bigger companies, and can negotiate higher returns from regimes desperate for cash. Aurasian appears to be one of these."

A number of Western companies are waiting for changes to the regulatory framework of Burma's mining sector to be bedded down before investing in the country.

Current rules restrict foreign firms from certain parts of the mining industry, which is expected to change with highly anticipated new legislation to replace the 1994 Mining Law.

Revisions to the junta-era legislation, first introduced to parliament in the second half of 2013 and set to amend nearly 70 percent of the 1994 law, have been stalled in Naypyidaw amid heated debate between parliamentary committees in the Upper and Lower House. The Ministry of Environment, Conservation and Forestry, meanwhile, has yet to finalize regulations for conducting environmental impact assessments.

Burma's extractive industries remain the subject of serious human rights and environmental concerns, as outlined in a January World Bank study.

"When it comes to mining, Myanmar currently lacks the necessary laws and enforcement mechanisms to protect its environment and vulnerable populations against the impacts of mining," the report said. "Over the past two decades, this has led to conflict and severe environmental degradation in the wake of a rapid increase in large-scale mining."

Around 20 percent of Aurasian's shares are currently held by a subsidiary of the US-based Newmont Mining Corporation, one of the largest gold mining conglomerates in the world. Newmont was active in Burma during the 1990s, developing the Kyaukpahto gold deposit in Sagaing's Kawlin Township before withdrawing in 1997.

When asked if Aurasian would consider returning to Burma after the expected passage of a new mining law next year, Mullens indicated the withdrawal was open to review.

"We will wait and see what happens with law and review, then consider our position," he said.

The post UK Firm Withdraws Application to Explore Jade Area appeared first on The Irrawaddy.

Sagaing Faces More Flooding After Heavy Rains

Posted: 07 Sep 2015 01:23 AM PDT

Tents set up in Thayawady, Bago Division to provide shelter for villagers displaced from flooding in Sagaing's Kale Township. (Photo: JPaing / The Irrawaddy)

Tents set up in Thayawady, Bago Division to provide shelter for villagers displaced from flooding in Sagaing's Kale Township. (Photo: JPaing / The Irrawaddy)

RANGOON — The Department of Meteorology and Hydrology has released flood warnings for seven townships along the Chindwin River in upper Sagaing Division after heavy rains last week.

State-run media reported on Monday that river levels had swelled above danger levels in Mawlaik, Kalewa, Mingin, Homalin, Kani and Monywa over the weekend. The department warned villagers in low-lying areas to relocate ahead of predicted further rises.

In Paungbyin, water levels rose more than 6 feet above danger levels on Sunday, with more than 6000 people in the township relocating to two relief camps.

Sagaing Division was one of the hardest hit areas of the country during the July and August floods, with 24 people killed and more than 400,000 severely affected by the disaster.

 

The post Sagaing Faces More Flooding After Heavy Rains appeared first on The Irrawaddy.

Indonesia Migrant Boat Death Toll Rises to 61

Posted: 06 Sep 2015 11:26 PM PDT

Foreign workers from Indonesia chat outside a cabin at their quarter in Kuala Lumpur June 19, 2011. (Photo: Reuters)

Foreign workers from Indonesia chat outside a cabin at their quarter in Kuala Lumpur June 19, 2011. (Photo: Reuters)

KUALA LUMPUR — Sixty-one bodies have been recovered from an overloaded wooden boat which sank off Malaysia carrying dozens of Indonesian illegal immigrants, maritime officials said on Saturday.

The dead were mostly men, with one toddler on board, the maritime agency's search and rescue director, Robert Teh, told Reuters. Only 20 people are believed to have survived.

"If no more bodies are found today, we may call off the search and rescue operations tomorrow," Teh said.

The boat is believed to have overturned due to overloading and bad weather as immigrants were making the journey home for the Eid al-Adha holiday, officials told reporters on Thursday.

Most of Malaysia's estimated six million legal and illegal migrant workers are from Indonesia, working in construction sites, plantations, factories and in domestic service.

Southeast Asia had a huge migrant crisis in May after boats carrying thousands of people from Burma and Bangladesh were left at sea following a Thai crackdown on people-smuggling gangs.

Last week's tragedy occurred at a time when Europe is facing its biggest refugee crisis with thousands of Middle Eastern refugees making their way by boat across the Mediterranean. Hundreds have died.

 

The post Indonesia Migrant Boat Death Toll Rises to 61 appeared first on The Irrawaddy.

Thailand’s Army-Backed Council Rejects Charter, Delays Polls

Posted: 06 Sep 2015 10:58 PM PDT

 General Thanasak Patimaprakorn  talks to Thai PM Prayuth Chan-ocha during a meeting at the Army Club in Bangkok in June 2014. (Photo: Reuters)

General Thanasak Patimaprakorn  talks to Thai PM Prayuth Chan-ocha during a meeting at the Army Club in Bangkok in June 2014. (Photo: Reuters)

BANGKOK — Thailand's military-backed legislature on Sunday rejected an unpopular draft of a new constitution, delaying a return to democracy following a coup last year.

The junta-picked drafters had hoped the proposed charter would move the Southeast Asian country past almost a decade of political conflicts, but it was met with strong opposition on almost all sides of the political divide.

The legislature appointed by the junta, known as the National Reform Council, voted down the draft 135-105, with seven abstentions. The rejection, although welcomed by many, still sets back a tentative plan for Thailand's transition to electoral democracy, with the military retaining substantial powers until a new constitution is drafted.

A new 21-member drafting committee will now be appointed with a mandate to write a new charter within 180 days. It also needs approval by the legislature and will be put to a referendum—meaning elections aren't likely until at least 2017, according to analysts, if the new draft is approved.

The government had previously said elections could take place late next year.

"The army has been uncommitted from the beginning of the process, but it's quite significant to have a rejection at this stage rather than a rejection at the referendum," said Ambika Ahuja, an analyst for the Eurasia Group political risk firm.

"Now it's become even more clear that the current regime prefers to drag on the status quo of direct military rule rather than risk going to the polls earlier, even with a constitution that would give the military a lot of power," she said.

One of the most contentious provisions in the draft included a 23-member panel, including military members, that would be empowered to take over from the parliament and prime minister in times of "national crisis."

Almost all parties criticized it, and the draft risked being voted down in a referendum that had been planned for early next year.

Any new charter under the junta appeared aimed at preventing a political comeback by former Prime Minister Thaksin Shinawatra, who was deposed in a 2006 coup after being accused of corruption and disrespect for the revered king. Thailand has remained divided since, with Thaksin's supporters and opponents struggling for power at the ballot box and in the streets, sometimes violently.

The military abolished an earlier constitution after it deposed Thaksin's sister, Yingluck Shinawatra, as prime minister last year, and the government operates under a temporary charter. The junta later picked the drafters and the 247-member National Reform Council to help write a new constitution.

"We might not be able to say that this is a true democracy as viewed in the Western world; it is transitional democracy," Kamnoon Sidhisamarn, spokesman for the Constitution Drafting Committee, said before the vote Sunday.

He defended the draft as necessary to lessen the supremacy of a few political parties, saying that since Thailand became a democracy in 1932, "we found that we haven't had any political stability."

"There have been elections and coups during all these 83 years. In the past 10 years, we had two coups already. And two political parties came to power but they couldn't solve problems," he said.

The draft also envisioned an upper house that's only partially elected—123 out of 200 members would be appointed. A prime minister also could be appointed without having to win a parliamentary seat, as was the case in the past.

Supporters and opponents of Thaksin, as well as academics and activists, have criticized the draft, while the ruling military has stifled public debate on it.

Although the rejection of the draft delays a return to democracy, it is still better than a "meaningless election" that would take place if the draft had been approved, said Chaturon Chaiseng, an outspoken critic of the junta who had served in previous governments headed by Thaksin and Yingluck.

 

The post Thailand's Army-Backed Council Rejects Charter, Delays Polls appeared first on The Irrawaddy.

Nauru Camp Refugee Resettled in Cambodia Wants to Go Home

Posted: 06 Sep 2015 10:14 PM PDT

 Asylum seekers are pictured being transported from an aircraft to a bus upon their arrival on the island of Nauru on Sept. 14, 2012. (Photo: Reuters)

Asylum seekers are pictured being transported from an aircraft to a bus upon their arrival on the island of Nauru on Sept. 14, 2012. (Photo: Reuters)

PHNOM PENH, Cambodia — One of four refugees resettled in Cambodia just three months ago in a multimillion-dollar deal that saw them sent from an Australian-run detention camp on the Pacific island nation of Nauru has decided he wants to go home, an official said Sunday.

The man, an ethnic Rohingya from Burma, said he wanted to give up his refugee status and return to his homeland, according to Cambodian Interior Ministry spokesman Khieu Sopheak. The man, who was not named, has contacted Burma's embassy in Cambodia to get permission to return home, but Khieu Sopheak was unaware of the response.

Two Iranian men, an Iranian woman and the Rohingya man came to Cambodia under a 40 million Australian dollar (US$32 million), four-year agreement aimed at resettling hundreds of asylum seekers who have been living for years in Nauru.

They were the only ones among 677 there who signed up for the package—despite substantial encouragement—and arrived in the Cambodian capital of Phnom Penh in early June. Only asylum seekers granted refugee status by the UN's refugee agency were eligible for the move.

"The agreement of the two countries remains valid, but at the moment we want to see the first pilot refugees that have already arrived here integrate into our society before we accept newcomers," Khieu Sopheak said by phone.

The deal, part of Australia's efforts to deter boats of asylum seekers, has been criticized since Australia made the agreement with Cambodia last September. Critics have expressed concerns that Cambodia is too impoverished to handle the new residents and that its poor human rights record would put them at risk.

Khieu Sopheak said that the Rohingya man, who was born in 1990, did not explain why he wanted to return to Burma, but that his father had visited him recently in Cambodia and may have sought to reunite his son with their family.

The man's action comes as many Rohingya, who are Muslims, are expected to take to boats in fresh efforts to leave Burma to escape persecution and better their economic prospects. Many try to head to Malaysia, with which they have a religious affinity, but others try to make the long and dangerous journey to Australia.

Khieu Sopheak said the Cambodian government respected the man's decision. Australian Immigration Minister Peter Dutton's office did not immediately respond to a request for comment.

According to Ian Rintoul, Sydney-based director of the Australian advocacy group Refugee Action Coalition, none of the four resettled people wants to stay in Cambodia. He said they expected to get a lump sum of at least $10,000, but that was not what happened.

"They all went with the idea that they would get the money that they were being told they would get and be able to go somewhere else," Rintoul said. "The government has dribbled the money to them. They've been kept in a very isolated arrangement and there's been no prospects for them."

Rintoul, who maintains close contacts with the refugee community, has been a major source of information on the Nauru asylum seekers, to whom the Nauru, Cambodian and Australian governments have allowed limited access.

"The Iranian couple never had enough money even to subsist, let alone do anything with it. They complained quite bitterly that they were struggling to survive in Cambodia," Rintoul said.

"The whole resettlement arrangement is going belly-up," he said. "The harassment on Nauru to get people to go to Cambodia stopped a few weeks ago. There's no sign of anyone else on Nauru going to Cambodia."

 

The post Nauru Camp Refugee Resettled in Cambodia Wants to Go Home appeared first on The Irrawaddy.

No Quick Fixes for Kale’s Flood-Displaced

Posted: 04 Sep 2015 05:34 PM PDT

 

Click to view slideshow.

KALE TOWNSHIP, Sagaing Division — After a month living in a cramped hut, San Htay still has no idea where she will ultimately end up. This much she does know: It is unlikely that she and her husband will ever return to live in the village they were forced to abandon when floodwaters ravaged western Kale Township, Sagaing Division, several weeks ago.

When The Irrawaddy met the 45-year-old, she was returning from a salvage mission, walking back from her native Maw Lite village with household possessions in both arms, and balanced precariously atop her head.

Asked what her future holds, San Htay's answer was resignedly simple: "I have no clear future."

That's true for many of the 385,000 households displaced nationwide by severe flooding that began in mid-July and has since affected 12 of Burma's 14 states and divisions.

For now, San Htay said she would wait and see what kind of land the government would provide for those without the monetary means to take an initial offer put to displaced residents of Kale Township.

"They [authorities in Kale] told us we have to deposit at least 250,000 kyats [US$195] to get a small plot of land to stay on, but those who have money have to pay 500,000 [kyats] all at once, up front. But I do not have money, and so I have not enrolled to deposit money," she said.

For many victims of the high waters here, the uncertainty is not just about finding a new place to live. Along with homes, paddy fields have been inundated, and with this an economic engine for the region and vital source of livelihoods has been imperiled.

More than 300 households in Maw Lite village have been abandoned, with a lack of potable water and an all-covering residual mud keeping its former inhabitants away for the time being—and maybe for good.

Though it was a stretch for him financially, 68-year-old Tin Win said he had already paid the 500,000 kyats required of some to get a small plot of land to stay on.

"I can't really afford it, but I have to think about my children's future. So, I paid it," he told The Irrawaddy.

Like San Htay, Tin Win returned to Maw Lite village, joining a humanitarian aid convoy from Rangoon that was delivering supplies to the region. Visiting his abandoned home, Tin Win said the scene was without personal precedent.

"Our grandfather was 90 years old, and died in that house," he said. "As I remember it, even he had never had such a terrible experience as we are having now."

As the waters swiftly inundated Maw Lite, Tin Win had little time to gather his belongings before fleeing to higher ground. With waters rising above the entryway, Tin Win was forced to punch a hole through his roof to retrieve spare clothes.

"I lost 600 baskets of [rice] paddy," he said, pointing his finger toward the storehouse where the rotting rice remained.

Moving Day

About 150 families from neighboring Pauk Khaung village who have been staying in a temporary camp at the entrance of Kale town will soon be relocated, according to those displaced.

They too have lived for a month along the main road at the entrance of Kale, their village also hard-hit by the flooding. But rather than to offer the displaced greater certainty, it is safety that has prompted authorities to instruct the families to move; three children have been involved in car accidents since the roadside settlement was established.

"It is not safe for us to stay along the road. This is why they told us to relocate to another place," said San Yee, a woman from Paung Khaung who has been staying along the highway in what amounts to a wall-less raised platform covered by tarpaulin.

"Cars are trying to avoid having accidents, but there are many kids here," she added.

Pauk Khaung village was decimated by the flood, and as is a common refrain in Kale, the villagers still do not know when they might return to their homes. The authorities in Kale have hired locals to help resettle the roadside camp at a football field in Tharyarwaddy village, a 20-minute drive from the town of Kale.

The UN said last week that more than $75 million would be required through December to meet the needs of the hundreds of thousands of people affected by the floods. For many in Kale Township and elsewhere, foremost on their Maslowian list of unmet needs is a place to call home.

 

 

 

The post No Quick Fixes for Kale's Flood-Displaced appeared first on The Irrawaddy.

National News

National News


Muslim candidates fear no shot at the polls

Posted: 06 Sep 2015 08:34 PM PDT

With the finalised candidate list expected to be released today, barred Muslim election hopefuls fear not a single one of them will be left to contend the looming polls, leaving no one to represent what many estimate is Myanmar's largest religious minority.

Vote-buying reports pervade ahead of campaigning

Posted: 06 Sep 2015 08:31 PM PDT

Just two days before election campaigns officially begin, accusations of bribery are already flying in Nay Pyi Taw.

Daw Suu woos ethnic voters in Pao zone

Posted: 06 Sep 2015 08:24 PM PDT

After spurning constituency-splitting deals with many ethnic minority parties, the opposition National League for Democracy yesterday attempted to woo the ethnic voting base.

More fishermen return from Indonesia

Posted: 06 Sep 2015 08:21 PM PDT

Over 100 Myanmar fishermen who were stuck in Indonesia's Ambon Island for at least eight months were repatriated on September 6.

Detailed assessments to form relief strategy

Posted: 06 Sep 2015 08:06 PM PDT

How much damage did the July-August floods really do? That will be the focus of a Recovery Coordination Work Committee meeting today, which will examine new detailed impact reports for each state and region.

Saturday, September 5, 2015

The Irrawaddy Magazine

The Irrawaddy Magazine


Garment Factories Downsize in Response to Minimum Wage

Posted: 04 Sep 2015 07:19 PM PDT

 

Garment factory workers stage a demonstration calling for wage increases in February 2015. (Photo: The Irrawaddy)

Garment factory workers stage a demonstration calling for wage increases in February 2015. (Photo: The Irrawaddy)

RANGOON — At least one factory has shut down, and several others have reduced their workforces and cut allowances, following the government's adoption of a minimum wage.

Ahead of the introduction of a 3,600 kyats (US$2.80) minimum wage, which took effect on Sept. 1, the Sabel Pwint Garment Factory in Rangoon's Hlaing Tharyar Industrial Zone closed its doors. It is believed the company provided termination payments to all of its 237 employees.

They submitted an application for closure on Aug. 26," said an official from the Ministry of Labor, Employment and Social Security, who requested anonymity. "It said it would cease operations on Aug. 31 and compensate all employees according to the law. Employees have so far not filed complaints."

Before the minimum wage was finalized, following two years of discussions, some garment factories based in Hlaing Tharyar cut their workforces in anticipation of the changes. At least 97 employees of the Shwe Hsan Yi canvas bag factory were made redundant in July, while the Asia Rose garment factory laid off 190 workers.

Garment factory owners lobbied against the 3,600 kyats minimum wage, set by the government after tripartite negotiations with labor unions and employer representatives, but there have been differing views of its potential impact on businesses.

"A 3,600 kyats minimum wage might impact upon outsourcers in the future, but it is unlikely to directly affect garment factories which operate independently and receive orders from buyersdirectly," said Myat San Win, owner of the UMH garment factory.

Factory owners said they were also dealing with a range of additional costs that were eating into profit margins, including the tripling of electricity bills as a result of generator use during power cuts, higher rents, inadequate port and transport facilities, a short supply of skilled laborers and low workforce retention.

The current Minimum Wage Law also has its critics among labor activists. Aung Lin, chairman of the Burma Trade Union Federation, said that a provision allowing employers to hire employees on a three-month internship and a further three-month probationary period allowed firms to hire and fire as they pleased

"They may take advantage of this provision to sack employees who engage in labor rights activities," he said. "[But] we'll monitor the actions of employers and help employees in line with the law."

Employees have expressed concern that companies will cut other allowances as a consequence of the new minimum wage.

"Some garment factories in the Mingaladon Industrial Zone have stopped providing meal," said Phyo Zin Kyaw, a garment factory worker. "Some no longer provide ferry services. Some have increased their workload. And some workers have quit of their own volition because of these changes."

The minimum wage will be applied across all industries in Burma, with exemptions for small and family-owned businesses employing less than 15 people. Overtime is paid at double rates.

 

The post Garment Factories Downsize in Response to Minimum Wage appeared first on The Irrawaddy.

Scrapping Indonesia’s Bullet Train Leaves Top Investors Confused

Posted: 04 Sep 2015 06:59 PM PDT

 Attendants pose for a photo beside the models of a high-speed train during at an August exhibition in Jakarta. (Photo: Rivan Awal Lingga / Antara Foto & Reuters)

Attendants pose for a photo beside the models of a high-speed train during at an August exhibition in Jakarta. (Photo: Rivan Awal Lingga / Antara Foto & Reuters)

JAKARTA — Indonesia’s 11th-hour decision to scrap plans for the nation’s first high-speed railway has sown confusion among top investors from China and Japan, potentially undermining the strong foreign investment that has been a rare economic bright spot.

China and Japan had been battling over the multi-billion dollar contract, until it was abruptly pulled in what appeared to be the latest in a series of regulatory flip-flops and erratic policy-making moves under President Joko Widodo.

Indonesia’s chief economics minister was left to explain to the two Asian giants on Friday the reason why Jakarta decided at the last-minute that a bullet train was no longer viable for Southeast Asia’s largest economy.

“It looks like a sudden move because the recommendation was made after a review of both proposals,” Teten Masduki, presidential chief of staff, told Reuters. “But the recommendation is in the best interest of the country.”

Tokyo and Beijing had lobbied heavily for the $5 billion contract, each sweetening the terms of their bids up until Monday’s deadline.

Analysts believed that whoever had won would likely have been the front-runner for future high-speed rail projects in Asia, including one linking Kuala Lumpur and Singapore.

“It was the recommendation from independent consultants that suggested to the government that a medium-speed rail was a better option because the cost is cheaper and the time of the journey isn’t much longer,” Masduki said.

President Widodo announced late Thursday that a bullet train between the capital Jakarta and the textile town of Bandung was unnecessary, since it would never reach its maximum speed of more than 300 km (188 miles) per hour in between station stops.

The administration instead advocated a slower train for the 150 km journey and asked China, Japan, and others to submit new proposals.

“Consequently, both proposals extended by our government and the Chinese government are not accepted,” Yasuaki Tanizaki, Japan’s ambassador to Indonesia, told reporters on Friday. “I have expressed my regrets.”

The train was initially intended to be the first instalment of a 763 km rail link connecting Indonesia’s two biggest cities, Jakarta and Surabaya. The presidential palace said it still wanted to build a bullet train covering the entire Java island.

A Chinese embassy official in Jakarta declined to comment until more information was provided by Indonesia.

“The project was a priority for China because it would have been one of the first and most visible manifestations of President Xi Jinping’s ‘One Belt, One Road’ overseas investment drive,” said Tom Rafferty, Beijing-based analyst at the Economist Intelligence Unit.

“Chinese firms have not always been sensitive to political risk in foreign markets but on this occasion the lobbying and marketing effort was extensive. The decision therefore seems likely to dim China’s confidence in the Indonesian market.”

Japanese ambassador Tanizaki said he did not think Thursday’s decision would affect Japan’s investment in the country. He said Tokyo was waiting for details on the medium-speed rail project before deciding whether to participate.

The road to Thursday’s decision was particularly bumpy for Tokyo, which had initially believed it won the contract in March after completing a more than $3 million feasibility study. But Indonesia decided to invite other offers in order to get the best deal.

Japan is Indonesia’s second largest investor and is no stranger to the uncertainty surrounding major infrastructure projects in the world’s fourth most populous country.

Japanese firms have been waiting four years to build a $4 billion coal-fired power plant, Southeast Asia’s biggest, and were told by President Widodo last week that construction was now set to start.

But obstacles still stand in the way with dozens of landowners refusing to give up their paddy fields, leaving investors still uncertain on when ground will finally be broken.

“The cumulative effect of delays on a number of projects could send a bad signal to investors,” said Paul Rowland, a Jakarta-based political analyst. “It’s clear that the president is frustrated with the pace of things.”

 

The post Scrapping Indonesia’s Bullet Train Leaves Top Investors Confused appeared first on The Irrawaddy.

The Irrawaddy Business Roundup (Sept. 5, 2015)

Posted: 04 Sep 2015 05:10 PM PDT

A traffic officer in downtown Rangoon (Photo: Steve Tickner / The Irrawaddy)

A traffic officer in downtown Rangoon (Photo: Steve Tickner / The Irrawaddy)

ADB Warns Over Traffic as Rangoon's Circle Line Gets Funding Boost

As Rangoon's roads become more clogged with cars by the week, the Asian Development Bank (ADB) has issued a warning to countries across the Asian continent on the economic drag caused by endemic traffic congestion in major cities.

The bank's warning comes alongside the news that the Japanese government will put more funding into upgrading the city's circular railway line. However, more ambitious public transport projects have not yet been agreed.

Burma's biggest city has seen a surge in the number of vehicles since import restrictions were relaxed in 2011 as part of a wider economic reform program that has also seen Rangoon awash with new money—much of which is used to import cars, mainly from Japan and Thailand.

According to a Myanmar Times report earlier this year, 430,000 of the country's 640,000 registered vehicles—including cars, buses and trucks—are in the former capital. Most visitors who have sat in road clogged with white Toyota Proboxes will not be surprised that the number includes some 57,000 taxis, according to the Times.

An article posted on the ADB's website this week said that such traffic problems are holding back economic growth across the region, as well as contributing to climate change.

"Road congestion already costs Asian economies an estimated 2-5 percent of their gross domestic product every year due to lost time and higher transport costs," the bank said, adding that concerns over traffic were not just economic.

"The region's cities suffer from the highest air pollution levels in the world with as much as 80 percent attributable to transport. Health problems due to air pollution, such as respiratory diseases, cost many Asian developing countries 2-4 percent of their gross domestic product."

The article went on to say that ADB would be supporting railway and inland waterway projects across the region. Through its so-called Sustainable Transport Initiative, the "ADB will be promoting business models capable of realizing the potential competitiveness of these modes of transport within the public sector, privately, or through public-private partnerships."

In Rangoon, the Japanese aid agency, JICA, has taken the lead in funding new public transportation schemes. The agency has proposed the city build a subway system, and even suggested it might fund the project, but the plan is reportedly still under discussion.

In the meantime, attention is being focussed on turning the rickety circular railway line into a modern urban transport system. The Global New Light of Myanmar reported early this week that JICA would provide a $207 million loan for upgrades, including new trains from Japan, under an agreement that had not yet been signed. Reuters reported Thursday that the plan had been approved.

"The upgrade will see journey times cut by half," the state-run newspaper quoted Myanma Railways senior general manager (inspections) Ba Myint as saying.

The project also involves installing new technology on the circle line, and is scheduled to be completed by 2021, the report said.

Analysts See Post-Election Bounce for Property Market

While Rangoon's real estate market has slowed down in recent months, a planned expansion of the city could help ensure it bounces back after elections in November, according to analysts at the Oxford Business Group.

The UK-based firm said in an update on the construction sector this week that property values have started to come down after a surge in recent years as demand exploded against a backdrop of severely limited residential and office space. It said new residential properties coming on the market "may have tipped the balance towards an excess of supply in some segments" and that demand for new apartments—which are usually bought "off-plan", or while construction is still underway—had cooled.

"Sales of units to investors as either rental properties or on speculation of a continued rise in prices have also dropped amidst uncertainty ahead of the November elections," the update said.

However, Oxford Business Group pointed to a government plan to extend the city's urban area outwards, which it said would support the property market. City officials have announced plans to build seven new urban areas around the city, with a development in the northeast of the city worth almost $400 million already proposed, it said.

Once the elections are over, the group foreign interest in the property market is predicted to return.

"The government has also moved to allay concerns and boost confidence in the construction and real estate sectors, pledging to compensate investors and developers for losses incurred after the cancellation of five developments near the Shwedagon Pagoda, where construction was blocked on concerns the projects would affect the views of the temple or damage its foundations," said the update.

"Despite the cancellations, the successful launch of Yangon's urban expansion program may mean concerns over Myanmar's property development industry are short-lived."

PTT Offloads Stakes in Onshore Exploration Blocks

The Thai state-owned oil company PTT has offloaded 20 percent of its two Burmese onshore oil and gas exploration blocks, according to an announcement to the Stock Exchange of Thailand.

PTT Exploration and Production (PTTEP) president and CEO Tevin Vongvanich said in a note to the bourse on Aug. 31 that the decision to sell off part of its Burmese interests was "part of PTTEP's strategy in portfolio management, aiming to both add value to the project and manage risk."

Global energy prices have slumped this year, raising concerns that oil and gas exploration activity underway in both offshore and onshore Burmese areas may be less likely to lead to production.

PTTEP's divestment is offset, however, by the fact is also involved in the already-producing Zawtika offshore gas field and another offshore field where gas had been located.

According to the note this week, subsidiary PTTEP South Asia Limited previously held a 90 percent stake in both the onshore blocks, known as PSC-G and EP2, which cover 13,330 and 1,345 square kilometers, respectively, and are both located in the area of the Irrawaddy River basin.

A 10 percent stake in each of the blocks has been sold to Japan's Mitsui Oil Exploration Co. Ltd, MOECO, the note said.

The same stakes have also been transferred to a Thai company named PALANG SOPHON OFFSHORE PTE. LTD. The company does not appear to have a website, but is also involved in oil and gas exploration in the Thai waters in the Gulf of Thailand.

"The transaction was approved by the government of Republic of the Union of Myanmar," the announcement said.

Local partner Win Precious Resources retains a 10 percent stake in the two blocks. The Burmese company is an affiliate of Myanmar Precious Resources Group, which boasts on its website interests in gold mining, jade mining and "producing crude oil from shallow wells."

Indian Firm Hired By 'Luxembourg' Oil Explorer

An oil and gas company linked to a mysterious Kazakh entrepreneur has hired Indian firm Alphageo to conduct 2D seismic surveys in a deal worth $3 million, according to an Indian media report.

The Economic Times reported Wednesday that a Dubai subsidiary of Alphageo had been hired by CAOG, a company officially listed in Luxembourg that was awarded one of 16 onshore oil and gas exploration blocks in a 2013 tender.

CAOG is one of a handful of companies that raised eyebrows in Burma's recent oil and gas tenders when it was awarded the rights to explore the block known as MOGE 4 in Sagaing Division. UK-based campaign group Global Witness highlighted the company for not providing any details of its ownership on request.

According to a report in the Financial Times last year, CAOG is linked to Shyngys Kulzhanov through the Kazakh's group of companies known as Berlanga Group, which also won one of Burma's offshore exploration blocks.

"The 44-year-old Mr Kulzhanov, who is listed as having an address in London's Belgravia, developed oil and gas interests in Kazakhstan after the collapse of the Soviet Union," the Financial Times reported.

"He focused on the lucrative export market for energy to fuel the rapid growth of neighbouring China, playing a part in deals such as a 2009 venture with Xinjiang Guanghui Industry to send gas for liquefaction over the border."

Thai Construction Contractor Sets Up Burma Subsidiary

Christiani & Nielsen (Thai) Plc, a Bangkok-listed company, has reportedly opened a new subsidiary in Burma in the hope of joining the country's construction boom.

The Bangkok Post reported comments from assistant managing director Surasak Osathanugraha regarding the new venture named CN Myanmar. He said the company had moved in when one of its customers in Thailand was looking to build a factory in Burma, the report said.

"Company activities are now limited to project management and supervising difficult or risky tasks, generating tens of millions of baht in fee-based revenue," the Post reported.

"CN Myanmar will have registered capital of US$50,000, the minimum required for a foreign firm in that country, before increasing amid the high number of construction jobs expected."

The post The Irrawaddy Business Roundup (Sept. 5, 2015) appeared first on The Irrawaddy.

Friday, September 4, 2015

The Irrawaddy Magazine

The Irrawaddy Magazine


Selection Process for New Press Body to Begin Next Month

Posted: 04 Sep 2015 06:40 AM PDT

People buy and sell newspapers in central Rangoon, April 3, 2013. (Photo: Reuters)

People buy and sell newspapers in central Rangoon, April 3, 2013. (Photo: Reuters)

RANGOON — The candidate selection process for the 29-member News Media Council, which will replace Burma's Interim Press Council, will begin in October, according to Thiha Saw, vice president of the Myanmar Journalist Association.

Under Burma's Media Law, enacted in March 2014, the president is obligated to establish the council which is charged with regulating all forms of media in the country.

The Interim Press Council announced details of the new body's structure at a press conference in Rangoon on Thursday.

One person will be drawn from the Myanmar Journalist Network, the Myanmar Journalist Association, the Myanmar Journalist Union and Burma News International respectively; two from the existing Interim Press Council; six from news media organizations; eight from publishing, writing, poetry or cartoonist associations; two independent candidates; and four "experts" drawn from legal, social or economic fields.

Three other members of the 29-member council are each appointed by the president and the lower and upper house speakers of Parliament respectively, as stipulated in the Media Law.

Applications are sent to the press council's election team which will determine final candidates.

"There are only three appointees nominated by the president and parliamentary speakers, but the 29 members will freely vote for crucial posts like the council's secretary," Thiha Saw told The Irrawaddy on Friday.

Myint Kyaw of the Myanmar Journalist Network said he did not foresee undue government influence over the new body but said that criticism was likely to center on whether working journalists were adequately represented.

Kyaw Min Swe, secretary of the Interim Press Council and editor of The Voice Daily, said the selection process and procedures had already been made known through last year's Media Law and that new critics simply "hadn't done their homework.

In an analysis of Burma's Media Law in July 2014, UK-based freedom of expression advocacy group Article 19 expressed concern that the media council, as set out in the Media Law, would not be independent from government and that the council "should not have any powers over print or internet-based media, which should be self-regulated."

The post Selection Process for New Press Body to Begin Next Month appeared first on The Irrawaddy.

High-Speed Heists Have Mandalay Afraid of the Dark

Posted: 04 Sep 2015 06:24 AM PDT

motorbike, crime

A man rides his motorbike in front of a Chinese beauty salon in Mandalay November 29, 2011. (Photo: Reuters)

MANDALAY — It was a late August night in Burma's second largest city when Moe Moe Htet, a lawyer in her early thirties, was whisked off the back of her husband's motorbike and dragged several meters down a crudely paved boulevard.

She was one of the lucky ones. Moe Moe Htet lost her litigation license, her identification card, work-related documents and a sizeable amount of cash, but she sustained only minor injuries. At least one woman reportedly died in a similar high-speed robbery in July.

Mandalay is a popular destination in central Burma, a rich cultural center viewed as a friendly and "authentic" Burmese metropolis. That reputation is beginning to sour, however, as the crime rate climbs. Several targets in a recent rash of thievery said they no longer feel safe on the streets as motorcycles steadily replace the pushbikes that once were ubiquitous.

"Even in broad daylight," Moe Moe Htet said several weeks after she was robbed, "when a motorbike with two or three men on it approaches me, I feel horrible. I am afraid to go out when it's dark."

She and her husband, Aung Naing Win, were on their way home after a late night at work when a larger bike sped up from behind them carrying three young men. Aung Naing Win swerved when one of the men grabbed onto his wife's purse. He tried in vain to kick himself free of the menacing vehicle, but before he knew it he was on the ground and his wife was lying in the distance, bruised and bloodied.

"I had to let go of my handbag because I was in severe pain," she recalled. "Their motorcycle was bigger than ours and it drove away so fast that we were unable to follow them."

The couple reported the incident to the police, and within about a week they were notified that an arrest had been made. The three young men were also accused of involvement in no less that 18 other robberies, police told Moe Moe Htet.

Although she and her husband "recognized them at once," the pair decided not to press charges. "We felt sympathy for them and their parents, they could have faced several years in prison," she said.

Several victims told The Irrawaddy that they also opted out of pressing charges after an arrest had been made. Some, like Moe Moe Htet, felt sorry for their attackers, while others just thought it would be more trouble than it was worth.

Kyaw Khine, who was badly injured after being beaten with a baton by a man attempting to steal his mobile phone, said he simply couldn't be bothered trying to see it through to prosecution.

"If I opened the case and they arrested the culprit, I would have to go to court several times," he said. "It's such a waste of time."

Spending Money 'Like a Boss'

Despite the public's apparent reluctance to seek justice, the number of reported cases remains high. According to the Mandalay District Police Department, at least 53 cases of motorbike robbery have been reported since just the start of this year. Of those, 25 resulted in the arrest of more than 50 people. So far the frequency of attacks seems to have declined slightly from the year prior, when a total of 85 cases were reported.

"The rate is a bit lower than last year, people are becoming better informed," an official from the department told The Irrawaddy on condition of anonymity. Most of the offenders, he said, were young men—many teenagers and some in their early 20's—trying to make a quick buck so they could buy cell phones and motorbikes, or "spend money like a boss."

The official said the ratio of police to residents in Mandalay is about 1 cop to every 2,000 citizens. He said the police force does what it can by creating random checkpoints and broadening routine patrol areas, but the number of officers is just too low to curb the rapid rise in crime. Because of the lack of manpower, he lamented, "we can't protect the people completely just yet, and we still need their help to make Mandalay a crime-free city."

Other types of urban transgression are also on the rise, locals said, including sexual assault, vandalism and physical violence. It's clear from the moment you step inside a city hospital that something has changed.

In the past few weeks, a shocking number of patients have come to Mandalay General's emergency room for injuries related to violent crime, according to a doctor at the hospital. Most of them were attacked by other drivers while commuting on their mopeds, he said.

"One night we treated seven patients from different locations, three of them with broken legs and arms, all who were robbed by motorcyclists on their way back home," she said, requesting not to be identified.

"In some cases they were unconscious and we couldn't contact their families until they had recovered the next day. In the case of dead bodies, we can't say precisely [how many were involved in robberies] because some of them were in traffic accidents."

At least one woman is believed to have died after being targeted by thugs on wheels. According to Than Than Win, who watched the whole horrifying ordeal unfold on one of Mandalay's busiest throughways, 62nd Street, the woman was driving when two men on another bike closed in on her, grabbed her bag and pushed her over. Upon losing control of her vehicle, the woman tumbled to the ground and slammed her head against the pavement.

"She died on the spot," said Than Than Win. "It was dark and they drove away before anyone could stop them."

The post High-Speed Heists Have Mandalay Afraid of the Dark appeared first on The Irrawaddy.

A Rough Road to Recovery in Flood-Ravaged Chin State

Posted: 04 Sep 2015 06:07 AM PDT

Click to view slideshow.

Since June, many parts of Burma have been devastated by flooding that is said to be the worst to hit the country in decades. More than 100 people died due to the violent waters and ensuing landslides, while an estimated 1.6 million others were affected. Situated in the northwestern corner of Burma, Chin State has seen some of the worst damage wreaked by the flooding.

Extreme weather in Chin State has claimed five lives and affected more than 20,000 people as of late August. Debris from landslides has blocked many of the roads and destroyed crucial bridges, undermining necessary relief efforts.

Photographer Sai Zaw recently visited the state capital, Hakha, and surrounding villages, documenting the depth of the damage and the lives of locals struggling to restore normalcy.

The post A Rough Road to Recovery in Flood-Ravaged Chin State appeared first on The Irrawaddy.

Tourism Pro: ‘What We Need Is Stability’

Posted: 04 Sep 2015 02:34 AM PDT

   Aung Myat Kyaw, chairman of the Union of Myanmar Travel Association. (Photo: Tin Htet Paing / The Irrawaddy)

Aung Myat Kyaw, chairman of the Union of Myanmar Travel Association. (Photo: Tin Htet Paing / The Irrawaddy)

Burma expected to receive at least five million tourists in 2015, but so far there have only been about two million arrivals. This week the Irrawaddy spoke with Aung Myat Kyaw, chairman of the Union of Myanmar Travel Association, about tourism prospects for this year.

Estimates have placed tourist figures for this year around five million. But in light of serious flooding in recent months, should we expect to fall short of these estimates?

Five million is very ambitious. By the end of July, we received around two million foreign travelers. It is possible that we can get close to our target of five million, probably around four million, because the number will only increase from now on. But we will still try to reach our target.

Some people say that the flooding will not impact the country's tourism sector. Is this true?

There has been no impact on major tourist destinations. For example, there was no flooding in Rangoon, Bagan, Mandalay, Ava, Sagaing, and Inle, and flooding only lasted for a short while in Pegu, Hpa-an. and Moulmein. Mrauk U was hit by flooding, but it usually does not receive a large number of travelers anyway. Only around 1,000 visitors went to Chin State last year, so there won't be a large impact there. As for Mrauk U, because of conflicts there over the past two or three years [in Arakan State], it has not been heavily promoted by tour operators. It may see more tourists going there, but it would only be a small increase, from 1,000 to 1,200, not by tens of thousands.

Are there plans to promote tourism during the monsoon season?

We would need the cooperation of the entire [tourism] industry to do such a promotion. There are markets [destinations] that are not vulnerable to rain, and, unlike previous years, the number of tourists who have visited these places during this current monsoon season has increased. Still, it's not that package tours have increased, but rather, there's been an increase in the number of free independent travelers [FIT]. This decline in package tours is an issue around the world, not only in Burma. Previously, Burma was seen solely as a country under military rule, much like North Korea. As a result, no one came. But now, Burma is accessible like other places. So travelers come here on a regular basis, and the number of tourists has increased steadily. As tourists' perceptions of Burma have changed, in a positive way, they have stopped buying package tours. They feel safe coming independently. This increase is also because Burma's infrastructure has been steadily developing. Previously, we could not use credit [cards], but now we can. Previously, we had no access to roaming, but now we do. We can easily buy SIM cards and access the Internet, which has made planning travel abroad and at home much easier.  We're therefore becoming a more popular destination for travelers.

But isn't this FIT increase a challenge to tour operators?

We can look at this in different ways. On the one hand, customers can learn more about their destinations online, making the industry more competitive. And yes, while this is good for customers, because they have more options, it's a challenge for us. But on the other hand, this will motivate us to do more. Tour companies won't fall by the wayside because of online agents. We're here for a reason. We're here to provide a different service. We're here because the human element still plays a critical role in the industry.

Bomb blasts recently occurred in Bangkok. Most foreign travelers come to Burma through Thailand. Will the blasts affect tourist numbers?

The first bombing usually does not have an impact, but the second one often does, because it makes travelers feel unsafe. But despite the bomb blast, tourism is still running normally in Bangkok.

Could you tell me about bed and breakfast (B&B) services in Burma?

When the tourism law comes into force, the decision to allow B&B services will be up to division and state governments. They will have to adopt a model that is suited to their particular region.

The general election will be held in November, which coincides with a popular travel time for tourists. Will this affect the industry?

The leisure market is concerned because the number of hotel bookings is not as high as it was last year. But there's still another market. Journalists and other media observers will come [for the election]. So rather than feeling concerned about this, we just have to make the best of it.

Do you expect to see an increase in the number of foreign visitors after the election?

What we want is stability for the tourism industry. It is also important that we have security. The industry will go on if we have stability and security. We hope to be able to use the Asia Highway as soon as possible. If roads are available, I'd like for people from other countries to visit, too. Critically, the tourism industry will see greater development if there are more border entries, as well as stability and security.

 

The post Tourism Pro: 'What We Need Is Stability' appeared first on The Irrawaddy.

Joint Action Needed on Human Trafficking, Corruption: Activist

Posted: 03 Sep 2015 09:43 PM PDT

A Rohingya child plays with balloons at a temporary shelter in Indonesia's Aceh Provice in June. (Photo: Zabur Karuru / Antara Foto & Reuters)

A Rohingya child plays with balloons at a temporary shelter in Indonesia's Aceh Provice in June. (Photo: Zabur Karuru / Antara Foto & Reuters)

PUTRAJAYA, Malaysia — The international fight against corruption must work in tandem with efforts to root out modern slavery since corruption is a key driver of human trafficking, the head of the world’s largest anti-corruption organisation said on Thursday.

Many of the world’s estimated 36 million slaves are trafficked because corrupt police, customs, judicial and other officials take bribes from traffickers, according to government and think-tank research.

“In all parts of the human trafficking chain, corruption is present from the start because you need to bribe a lot of people in order to move the victims of trafficking from one place to another,” said Jose Ugaz, chair of Transparency International.

However, the impact of corruption has been neglected in the development of policies and measures to tackle human trafficking, according to the United Nations Office on Drugs and Crime (UNODC).

Although slavery is illegal in every country, the $150 billion a year human trafficking industry is growing. Victims include girls trafficked to brothels, people forced into manual labour and victims of debt bondage.

“The mix of easy profit and impunity through easily bought protection from law enforcers has created a high reward/low risk scenario for human traffickers and their accomplices,” said Ugaz.

Although such trafficking is the fastest growing criminal enterprise, specific data and in-depth analysis of how it is linked with corruption are limited and international co-operation is sketchy.

Ugaz said no country could stop human trafficking on its own.

“Trafficking is a dramatic reality that is affecting millions of people, and more collective action is needed to fight it,” the Peruvian lawyer told the Thomson Reuters Foundation on the sidelines an international anti-corruption conference.

The Organisation for International Co-operation and Development (OECD) think-tank has established principles for combating corruption relating to human trafficking, aimed at developing tandem strategies at national and international levels.

Transparency International, which works in more than 100 countries and publishes an annual corruption perceptions index, has traditionally focused on practices related to bribery in the public sector, Ugaz said.

But he said with trafficking and global organised crime gaining visibility, Transparency International is increasingly focused on how worldwide criminal networks and corrupt practices interlink.

Ugaz said the battle against corruption and trafficking is being undermined by an increasing number of governments imposing or drafting laws which jeopardize the work of non-government organisations by squeezing their foreign donations or imposing other restrictions.

 

The post Joint Action Needed on Human Trafficking, Corruption: Activist appeared first on The Irrawaddy.

Thai Junta Hits Royal Critics with Record Jail Time

Posted: 03 Sep 2015 09:24 PM PDT

Opas Charnsuksai, 67, is escorted by prison officers as they arrive at the military court in Bangkok March 20, 2015. He was sentenced to one-and-a-half years in prison for writing graffiti insulting Thailand's king. (Photo: Chaiwat Subprasom / Reuters)

Opas Charnsuksai, 67, is escorted by prison officers as they arrive at the military court in Bangkok March 20, 2015. He was sentenced to one-and-a-half years in prison for writing graffiti insulting Thailand's king. (Photo: Chaiwat Subprasom / Reuters)

BANGKOK — Just minutes after being locked up for 30 years for insulting Thailand's monarchy, Pongsak Sriboonpeng described what he thought was the cause of his capture: a poorly chosen Facebook friend.

For at least a year, the self-described "red shirt" supporter of exiled former Prime Minister Thaksin Shinawatra had posted angry commentary on the social networking site, including six postings that were later deemed to have defamed the royal family.

He had also made an online acquaintance: a young man who seemed to share his views, and who invited him to visit. So Pongsak took a bus to meet him.

As the bus idled at a station in the northern province of Phitsunalok on December 30, soldiers and police swarmed the vehicle and took him to a Bangkok army base. Within days, Pongsak said, his Facebook friend emerged in the real world—among the officers interrogating him.

"He appeared and said, 'Don't you remember me?'" Pongsak told Reuters in early August, as he peered through the thick metal mesh of his holding cell beneath Bangkok's military court.

Pongsak's sentence—an initial 60 years, halved after he pleaded guilty—is the harshest of its kind recorded in the country's history. It is part of a dramatic rise in arrests and convictions in Thailand for "lèse majesté," or insulting the monarchy. The crackdown has been enabled by sweeping new powers the military granted itself after a May 2014 coup, and what government officials say is a junta-ordered campaign to more vigorously police online offences.

Many of the suspects arrested since the coup were detained without charge, held by the army without access to lawyers and, in many cases, forced to hand over passwords to their online accounts, according to defense lawyers and a legal watchdog group monitoring these cases. Both Pongsak and a woman detained in a separate lèse majesté case said they were forced to reveal their passwords to their interrogators.

Military courts, which since the coup hear many lèse majesté cases, are handing down sentences of as many as 10 years for a single offense. When it comes to online platforms such as Facebook, multiple postings deemed critical of the monarchy can earn someone 10 years for each comment, served consecutively. That has led to record-breaking sentences.

Since the military takeover 15 months ago, 53 people have been investigated for royal insults, at least 40 of whom allegedly posted or shared comments online, according to iLaw, a Bangkok-based legal monitoring group. The majority of these cases have resulted in charges. In the seven years and five months prior, 75 people were investigated, 27 of them for online activity.

Reuters reviewed online postings for which two Thais pleaded guilty and were convicted of lèse majesté: six by Pongsak and five by another man who got 50 years for his comments. The postings included claims about the king and other members of the royal family that the court ruled to be false and defamatory. Some of the postings included profanity and ridicule. One posting was clearly false. Another was based on longstanding rumors.

None of the postings included threats of violence toward the monarchy or appeals to abolish it. Since the arrests of the two men, all of the postings deemed offensive by authorities have been taken down.

"The tempo of the arrests and prosecutions, and the severity of the sentences have gone up significantly," said Sam Zarifi, regional director for Asia and the Pacific at the International Commission of Jurists (ICJ), a Geneva-based human rights group. The 50-year and 60-year prison sentences were "egregious—there's no other word for it," Zarifi added. Although the military said these cases dealt with issues of national security, "they haven't suggested there were threats of violence," he said.

Political Uncertainty

The targets of the law are increasingly ordinary people, many of them red-shirt supporters of Thaksin, rather than prominent individuals, said David Streckfuss, an independent academic in the Thai city of Khon Kaen who researches lèse majesté. In Thailand, the royalist establishment backed by the military has repeatedly tried to neutralize the political machine of Thaksin and his sister Yingluck, who were both elected prime minister with broad rural support, only to be toppled by military coups.

Critics of the junta say lèse majesté laws, often seen by the world as a quirk of Thai society, are being wielded by the generals as an instrument to crush dissent. Prime Minister Prayuth Chan-ocha has repeatedly called for stronger prosecution of lèse majesté since taking power in a military coup in May last year.

The army said it seized control to end a decade of sometimes violent political turmoil. Thaksin has frequently been accused by his opponents of seeking power at the expense of the revered monarchy, a charge he denies.

The health of 87-year-old King Bhumibol Adulyadej, who the palace recently said was treated for "water on the brain," has added to the political uncertainty shrouding Thailand since the coup. So has a recent bombing in downtown Bangkok that killed 20 people and injured more than 100.

Major General Werachon Sukhondhapatipak, a spokesman for the government, said the administration of Yingluck Shinawatra had not properly pursued lèse majesté cases, which he called a "national security issue."

Werachon would not say if the increased policing of lèse majesté cases was related to the political turmoil in Thailand, except for one allusion. "If someone wants to be number one in Thailand, you need to destroy the existing number one institution," he said.

Asked if he was referring to Thaksin, he said: "I'm not saying anyone, I did not say anyone. But if you want to be on the top of the list, be number one, you need to topple, you need to get rid of number one."

Streckfuss said the more severe punishments being meted out in lèse majesté cases should be seen as a bid to shore up the power of the junta—and the traditionalist elite it represents—amid anxiety over the king's health. "It's trying to send the message that this is a taboo subject and that discussion of the monarchy will be punished at all costs," he said.

'Little Scrutiny'

The number of lèse majesté cases in Thailand has spiked during a period in which the military, which has staged a dozen successful coups since 1932, has enjoyed a level of control not seen in decades. Many lèse majesté arrests since the coup have been carried out under martial law, which was in place until April and allowed the army to detain people for up to seven days without charging them, according to iLaw.

The pace of lèse majesté arrests has slowed since martial law was revoked and they are now handled by police. But the focus has moved to the courts, where the pace of trials and convictions has picked up, iLaw said.

Article 44 of the junta's interim constitution, a provision that was put in place after martial law ended, still allows for suspects to be detained for seven days without being charged, according to iLaw. For now, it is not being used for arrests, the organization said.

Under Article 112 of Thailand's criminal code, anyone who "defames, insults or threatens the king, queen, heir-apparent, or regent" faces up to 15 years in jail. The 2007 Computer Crime Act, which was passed on the back of the 2006 coup that deposed Thaksin, provides for sentences of up to five years for offences against "the Kingdom's security."

The military courts that are now trying lèse majesté cases, like that of Pongsak, have been criticized by the United Nations for failing "to meet international human rights standards, including the right to a fair trial." UN human rights spokeswoman Ravina Shamdasani said last month that the trials were generally closed with "very little scrutiny" and that in most cases the accused were "denied bail. So they are held for a prolonged period, certainly a lot of pressure is applied on them to make their guilty pleas," she said.

As was the case under civilian rule, those accused of lèse majesté often plead guilty in the hope their sentence will be reduced and they may receive a royal pardon some time in the future. Both iLaw and ICJ's Zarifi said they weren't aware of a royal pardon being granted since the coup to someone convicted of lèse majesté.

Prior to the coup, "police needed to gather evidence before they arrested someone," said Sasinan Thamnithinan from Thai Lawyers for Human Rights, which has defended the majority of people accused of lèse majesté since the coup, including Pongsak.

"But the military has been able to do anything," she said. "The military arrests you, gets your Facebook and other passwords, accesses them, prints things out and gets you to sign that it's yours. After that they go to the court, get a warrant, and then they send you to the police."

In Pongsak's case, his lawyers also accuse authorities of using a fake Facebook profile to lure him into a trap. He was arrested after he defied a junta summons to hand himself in to the army.

Officers at the base of the 11th Army Circle, where Pongsak said he was initially detained, confirmed that lèse majesté suspects were held there in late 2014, but said they had no knowledge of Pongsak's arrest. The police Technology Crime Suppression Division (TCSD), which handles online lèse majesté cases, declined requests for interviews.

Major General Werachon, the government spokesman, said he was unaware of Pongsak's claims that he was tricked by the authorities. Asked about accusations by lawyers involved in lèse majesté cases that authorities had seized passwords from suspects without warrants, he said: "I don't think it is the case that happens at the moment."

"If you ask me if it's fair game to intercept or gain access to criminals, I think it's fair game," he said.

Online Monitoring

In 2014, Prayuth created a joint committee on national security, comprising the army, law enforcement and government ministries, which also deals with lèse majesté offences. Better coordination between various agencies has meant cases are handled more swiftly, former Minister of Information and Communication Technology Pornchai Rujiprapa told Reuters in an interview last month, before leaving his position as part of a cabinet reshuffle.

He said Thailand has a longstanding 30-person TCSD team that is based in the Information and Communication Technology Ministry and operates around the clock, scanning online postings and following up complaints from the public on cyber crimes, including royal defamation. The team hasn't expanded, Pornchai said. Instead, it is better coordination that has yielded more arrests, he said.

"Beforehand, the usual way of doing things was everyone separately going about their own tasks," Pornchai said.

The TCSD declined to say how many web sites have been blocked for alleged crimes of lèse majesté since the coup. In the period between the military takeover in May and December last year, the government blocked 1,200 web sites on the grounds they carried content violating lèse majesté, local newspaper Matichon reported, citing Pornchai.

Earlier this year, the junta's cabinet drafted a suite of eight digital economy and cyber-security bills. The proposed legislation has been held up amid criticism from civil society groups that the bills would clear the way for mass online surveillance and grant authorities the power to access information on electronic devices without a court order.

'I Told Him to Sign'

For those at the receiving end of the crackdown, justice has been swift. The arrest of Thiansutham Suthijitseranee, 58, in December started when a woman wandered to the front of his Bangkok home and asked for directions, according to his wife.

As Thiansutham emerged to help, men jumped the fence and grabbed him. Both he and his wife were taken to the Bangkok base of the 11th Army Circle, the same base where Pongsak said he was interrogated.

There, the couple was made by soldiers and police to sign documents giving the authorities access to their online accounts, Thiansutham's wife said. She was later released without charge.

A warrant for Thiansutham's arrest was only obtained on December 22, four days after his initial detention, according to lawyer Sasinan, who also handled his case.

"I told him to sign the documents," Thiansutham's wife said. "I thought that if we cooperated then the charges wouldn't be too severe."

That was not to be the case. In late March, the military court in Bangkok sentenced Thiansutham to 50 years in prison, 10 years for each of five Facebook postings, reduced to 25 after he pleaded guilty. At the time, it was the longest recorded sentence handed down for lèse majesté.

That record was exceeded twice on August 7. That day, a military court in the northern city of Chiang Mai sentenced a 29-year-old hotel worker to 56 years, reduced to 28 after she pleaded guilty, for seven Facebook postings.

Everything was done "according to the law," said Werachon, when asked about criticism of the sentences handed out in the Chiang Mai case, as well as those of Pongsak and Thiansutham. "This is not a product of the military system… If you commit a crime you have to be brought before the legal process."

On the same day as the Chiang Mai verdict, Pongsak's final hearing was held in the building that houses the military court, a short walk from the gilded spires of Bangkok's Grand Palace. Cuffed by his ankles and wrists, Pongsak was escorted into a small courtroom and lined up on a bench with four other suspects at earlier stages of separate lèse majesté cases. Reporters were then asked to leave for the closed hearing.

In less than an hour, all five men emerged clattering from the room. Pongsak had pleaded guilty and his 60-year sentence, commuted to 30 years on his confession, came almost immediately. Pongsak, who said he is HIV positive, made a plea for leniency. The judges rejected it.

"Well, it went as I expected," he said, as military officials shuffled him toward a basement cell.

 

 

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