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DAWN WIRE SERVICE
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Week Ending : 31 October 1998 Issue : 04/43
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Contents | National News | Business & Economy | Editorials & Features | Sports
The DAWN Wire Service (DWS) is a free weekly news-service from
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CONTENTS
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NATIONAL NEWS
+ Sindh put under governor's rule
+ Massive hunt for MQM men as deadline ends
+ Nawaz and Clinton talk on Dec 2
+ Pakistan, Indian officials talks next week
+ Pakistan, IMF close to signing $5bn bailout package
+ Pakistan may get F-16s money from NZ
+ Govt repeals '76 Contempt of Court Act
+ Pakistan & S. Arabia to enhance cooperation
+ Sartaj's statement: US calls for positive response on CTBT
+ Pakistan not exporting terrorism: PM
---------------------------------
BUSINESS & ECONOMY
+ 'Pakistan industry needs to know implications'
+ Oil shortage feared as stocks deplete
+ Rs250bn for small, medium enterprises
+ Furnace oil sales plunge
+ Poor management of resources impedes growth: IBRD
+ 'Anti-dumping issue be raised at govt level'
+ US sanctions not to affect trade: UK official
+ Delegation of powers to CBR
+ Oct tax collection estimated at Rs18bn
+ Dollar sheds 70 paisa
+ Stocks maintain optimistic outlook
---------------------------------------
EDITORIALS & FEATURES
+ Metropolitan police Ardeshir Cowasjee
+ Chinese water torture Irfan Husain
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SPORTS
+ Pakistan lose first series to Australia in 39 years
+ World's toughest hockey tournament begins today
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NATIONAL NEWS
981031
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Sindh put under governor's rule
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Ihtasham ul Haque
ISLAMABAD, Oct 30: The federal government has imposed governor's
rule in Sindh under emergency provisions of article 232 (c) of
clause (2) of the Constitution.
The PTV broke the news in its 9 o'clock bulletin on Friday night by
showing a recorded shot of the prime minister making the
announcement.
Using the same emergency powers under article 232 the federal
government has also suspended articles 130 to 136 of the
Constitution in relation to Sindh as a result of which the
provincial government, including the cabinet and the chief
minister, have ceased to exist.
Constitutional experts said the federal government's order did not
affect the functioning of the provincial assembly which in their
opinion would continue to exist. However, it is not clear whether
or not the provincial assembly session could be called in the
present circumstances.
The prime minister while making the announcement declared that
governor's rule had been imposed and the government dismissed with
immediate effect in Sindh. "Now decisive action has been started in
Karachi against terrorists and criminals who have been involved in
the killing of innocent citizens," he said.
The prime minister recalled that he had told the MQM leadership
that the government had ample proof of involvement of their people
in the murder of Hakim Said and that he had asked the party to hand
over to the government the perpetrators of this heinous crime
within three days. "When they failed to do so, the government
decided to impose governor's rule and dismiss the government." He
vowed to restore peace in Karachi without caring for any political
consideration.
"There are no two opinions about who killed Hakim Said and we have
decided to take on the terrorists after having collected all the
required information about them." He said his government haddecided
not to compromise on the issue of law and order in Karachi.
Mr Sharif said the people of the city had been held hostage by the
terrorists.
The cabinet division later issued an order under Article 232 of the
Constitution dealing with the Proclamation of Emergency which said:
"The federal government is pleased to assume on behalf of the
federation all the functions and powers of the government of that
province and all powers vested in or exercisable by, all bodies or
authorities in the province other than the provincial assembly."
Sources said that the minister for education, Ghous Ali Shah, had
been appointed advisor to the governor.
The cabinet members were also shown a video film relating to the
confession of the main suspect in the murder of Hakim Said.
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981031
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Massive hunt for MQM men as deadline ends
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Sarfaraz Ahmed
KARACHI, Oct 30: With the expiry of the 72-hour deadline given by
Prime Minister Nawaz Sharif to Muttahida Qaumi Movement, the police
have been given a free hand to not only arrest all those involved
in Hakim Said's murder but also to launch a massive hunt for
political activists wanted in various other cases.
According to official sources, the federal government has evolved a
two-pronged strategy for an effective and meaningful resolution of
objectives behind the imposition of governor's rule in the
province.
The federal government has also decided to boost the rangers'
strength in the province as the interior ministry has been asked to
send more contingents of paramilitary forces to Karachi to meet law
and order challenges.
Under the strategy, the action plan will target at least 10,000
workers, activists and sympathisers of Muttahida Qaumi Movement,
including over 7,000 of those who are believed to have been playing an
active role both during party's hibernation period and its
presence in the government.
As many as 10 MQM legislators, including two senators, Aftab Sheikh
and Nasreen Jalil; three MNAs, Kunwar Khalid Younus, Prof A. K.
Shams and Hasan Mussanna Alvi; and five MPAs, Dr Farooq Sattar, Dr
Saghir Ansari, Haroon Siddiqui, Yousuf Khan and Wasim Akhtar, are
on parole.
According to reports, which were not officially confirmed, as many
as 100 Muttahida workers were apprehended from all over the city
during night-long raids. Most of the arrests were made in the
Muttahida-dominated areas such as Korangi, Liaquatabad, Nazimabad,
Federal 'B' Area and Orangi.
MQM sources alleged that the arrested persons had been shifted to
unknown destinations, and were being subjected to torture.
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981031
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Nawaz and Clinton talk on Dec 2
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ISLAMABAD, Oct 30: Prime Minister Muhammad Nawaz Sharif and US
President Bill Clinton are expected to hold talks on a wide range
of issues of bilateral interest in Washington on Dec 2, officials
said here on Friday.
A senior Foreign Ministry official confirmed that the Premier will
leave for the United States on Nov 30 for a four-day visit.
President Bill Clinton has invited the Pakistani Prime Minister for
the official visit during which the two sides are expected to take
up a host of issues including the security situation in South Asia
with particular reference to Kashmir dispute, economic sanctions
and CTBT.
Washington has been urging Pakistan and India to sign the
Comprehensive Test Ban Treaty following the two South Asian
countries' nuclear explosions in May last.
While Islamabad has called for removing the "climate of coercion"
and economic sanctions, stressing that it was New Delhi which
triggered the nuclear explosions and Pakistan acted out of
necessity and compulsion.
The two leaders met last month during the UN General Assembly
session at New York.APP
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981029
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Pakistan, Indian officials talks next week
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NEW DELHI, Oct 28: Indian Defence Minister George Fernandes said on
Wednesday that the defence secretaries of Pakistan and India would
meet next week in New Delhi to discuss security, the Press Trust of
India (PTI) reported.
"Defence secretaries of India and Pakistan will meet next week in
New Delhi to discuss mutual problems with regard to security..."
PTI said, quoting comments made by Fernandes at a news conference
in Bhopal.
It said the discussions would also cover other issues, including
commerce, but gave no dates for the meeting.
Fernandes said all problems with Pakistan could only be resolved
through negotiations and the "recent firing by Pakistani troops in
the Siachen glacier" should not be construed as a hurdle in the
talks between the two countries.
Officials in Islamabad had on Tuesday rejected as "rubbish" a
report that India had thwarted a Pakistani attack to capture a post
in the Siachen glacier.
The Indian defence ministry had said that Indian troops beat back
an attempt by Pakistan to take the post on Monday night, killing
five Pakistani soldiers.
Fernandes said that talks between the two countries must continue
despite the "skirmishes". He noted that even during the Vietnam
war, US and North Vietnamese officials used to meet in Paris every
Wednesday for talks. Reuters
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981030
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Pakistan, IMF close to signing $5bn bailout package
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Bureau Report
ISLAMABAD, Oct 29: Pakistan and the IMF are close to signing a
broad agreement for a $5 billion bailout package which mainly
includes over $3 billion debt relief by three multilateral
agencies.
In return Pakistan has agreed to adjust the exchange rate of its
currency, stop harassing the IPPs and expedite the privatization of
WAPDA.
Official sources told Dawn here on Thursday that the government
would be given an immediate debt relief of over $3 billion to "help
avoid default" which was otherwise imminent by next month.
World Bank, IMF and Asian Development Bank (ADB) have decided not
to insist on having their loans serviced on due dates. They said
Pakistan had been passing through a critical period of its economic
history, and therefore, needed to be supported.
They have also agreed "not" to ask Pakistan to meet an immediate
debt servicing obligation of $100 million (of WB $61 million and
ADB $39m). This amount will now be included in the debt relief
package, which has separately been prepared and agreed between the
two sides.
Sources said that the debt relief had also been offered on
bilateral level and the government had been told that the grace
period of their loans would be extended further in an attempt to
"help it to overcome its problems".
However, these favours have not been showered without
conditionalities.
Sources said Pakistan had assured the international lenders to make
necessary "adjustments" in the exchange rate of the rupee. Timing
of these adjustments had been left to the government. "We have
achieved a complete understanding on the current unified inter-bank
market rate", said a source in a local multilateral agency. He also
said that the government had been allowed to purchase dollar from
the open market and that, "we have done so to favour your
government to improve its reserve position".
Sources said that the government had also assured the donors that
the representatives of the IPPs would no more be harassed and that
the matter would be settled in courts.
Now the matter is expected to be resolved by a committee
constituted recently by the prime minister.
"But we have been advised that the best course would be to refer
the IPPs issue to an international tribunal or the International
Chamber of Commerce", said an official. He disclosed that the
issues of alleged corruption by the IPPs and the tariffs had been
effectively separated.
Sources said that now WAPDA would file every year a review
application for the increase in the tariffs to National Electric
Power Regulatory Authority (NEPRA) which would have the first such
reference of 10 per cent upward revision in tariffs in early
December. Moreover, the government has assured the lenders that no
unilateral decision would be taken to increase or reduce the power
rates and, that it would be totally de-politicised.
The government has also assured that it would not unilaterally
cancel power agreements with HUBCO and KAPCO as was earlier
announced by chairman Ehtesab bureau Senator Saifur Rehman.
"Pakistan had a bad press specially outside the country and the
erosion of the credibility when it decided to take on the IPPs",
said another official adding that now the differences would be
sorted out through negotiations.
Sources said that the government had accepted the demand of the
World Bank and the IMF that the Rs10 to 12 billion subsidy on
electricity charges, announced by the PM recently, would be
removed.
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981029
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Pakistan may get F-16s money from NZ
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Correspondent
WASHINGTON, Oct 28: Pakistan will get the lease payments for the F-
16 aircraft directly from New Zealand under the terms of the offer
made by US authorities to dispose of the eight-year-old Pakistani
planes.
Informed sources revealed that the US had offered a lease-to-
purchase deal to New Zealand for the 28 Pakistani planes and the
money could come directly to Islamabad in instalments.
So far, however, the exact price has not been revealed and the
detailed terms of how the payment should be made have not been
worked out as yet.
But experts say such an arrangement would create a major problem
for Pakistan as it expects the US government to repay the money in
full, so that Islamabad could use it to ease some of the pressure
on its balance of payments.
Moreover the thorny issue of how and whether any interest would be
payable to Pakistan on the total amount is also to be resolved and
any payments by New Zealand on instalment basis would definitely
not cover this aspect.
Experts said it would be a complicated deal as New Zealand would
lease the aircraft from the US, as technically the US owns them,
while the payments would go to Pakistan, as cost of their
manufacture has been paid by Pakistan.
They said it would be "the first of its kind" deal ever made by the
Pentagon to act as an agent for sale of goods belonging to another
country.
New Zealand has reportedly agreed to buy the aircraft after its
technicians inspected them and found them to be in perfect
condition.
Confirmation that New Zealand experts had approved the quality and
condition of the planes came in a statement made by a senior
diplomat in Washington.
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981028
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Govt repeals '76 Contempt of Court Act
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Bureau Report
ISLAMABAD, Oct 27: The government on Tuesday repealed the existing
Contempt of Court Act 1976, and promulgated a comprehensive
ordinance, widening the scope of fair comment on the judgments of
court.
The new law, coming into force forthwith, have introduced
substantial changes in the existing contempt laws and tried to
modernize it. The new law has provided that truth shall be a valid
defence in case of contempt of court.
The new law has been drafted keeping in view the modern trends
about contempt law in the civilised world, the federal law
secretary Chaudhry Mohammed Irshad told Dawn.
"There was need for such a law which could truly protect the
dignity of the courts and also the rights of the citizens provided
in the constitution," he added.
The new law has been divided into three categories: criminal,
judicial and civil contempt. It has been provided that comments on
the judgments of court will not constitute contempt of court,
provided the language is temperate.
The new law has empowered the courts to prohibit the publication of
any proceeding through a written order. In the previous law there
was no provision for the prohibition of any publication by the
court but verbal orders were being passed by the judges. The new
law has made it mandatory for the judges to write the order in this
regard.
The new law has allowed the publication of substantially accurate
account of what has transpired in a court. Personalised criticism
of judge or judges will constitute judicial contempt.
Judicial contempt proceeding initiated by a judge, relating to
judge will not be heard by the judge himself and will have to be
referred to the chief justice who may hear the same personally or
refer it to some other judge. In case the proceedings are against
the chief justice it will be referred to the senior most judge
available for disposal.
The order, passed by a superior court in case of contempt, will be
appealable in the following manner,
1) In the case of order passed by a single judge of a high court,
an inter-court appeal shall lie to a bench of two or more judges.
ii) In a case in which the original order has been passed by a
division or larger bench of a high court, an appeal as a right
shall lie to the supreme court; and
iii) In the case of an original order passed by a bench of the
supreme court, an intra-court appeal shall lie to a larger bench of
the court within 30 days. The appellate court might suspend the
impugned order pending disposal of the appeal.
The punishment for the contempt has not been changed. The ordinance
provides that any person who commits contempt of court shall be
punished with imprisonment which may extend to six months simple
imprisonment, or with fine which may extend to Rs100,000, or with
both.
A person accused of having committed contempt of court may, if at
any stage submits an apology and the court, if satisfied that it is
bona fide may discharge him or remit his sentence.
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981028
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Pakistan & S. Arabia to enhance cooperation
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Ashraf Mumtaz
LAHORE, Oct 27: Pakistan and Saudi Arabia on Tuesday expressed
their satisfaction over the steady growth of mutual cooperation in
various fields and agreed to set up a joint business council to
promote cooperation in trade and investment.
To be named joint Pakistan-Saudi business council, the new body
would work to bring the private sectors of the two countries
closer.
This was stated in a four-page joint communique, issued here on the
conclusion of the three-day official visit of the Saudi crown
prince, Abdullah bin Abdul Aziz al-Saud to Pakistan.
The two countries reiterated their determination to intensify it
further in the fields of economy and technology "commensurate with
the level and quality of bilateral political relations".
They agreed that the mechanism provided by the joint ministerial
commission (JMC) should be activated to enlarge and develop
bilateral trade and investment. They also agreed that the private
sector of the two countries should be encouraged towards closer
interaction with a view to utilizing the potential for economic
cooperation in trade and investment.
The two sides also expressed their common and continued interest
regarding the issues that concern their security.
Saudi Arabia reaffirmed its strong interest in the economic well-
being and stability of Pakistan. Islamabad expressed its gratitude
for the continuing understanding and support from the kingdom.
The two countries also agreed that the establishment of peace and
security in South Asia required non-use of force and peaceful
settlement of disputes, specially the Kashmir issue in accordance
with the UN resolutions. They reiterated their support to the
inalienable right of self-determination of the Kashmiris.
The two sides reaffirmed their full support for early restoration
of durable peace in Afghanistan on the basis of the preservation of
its independence, sovereignty and territorial integrity.
They reiterated their resolve to supplement all efforts, specially
under the auspices of the UN and the OIC, for the purpose.
Expressing concern over the tension between Afghanistan and Iran,
they hoped that the two countries would take urgent measures to
defuse it.
They welcomed the latest Palestinian-Israeli accord and hoped that
it would constitute a step towards restoring the peace process to
its proper track. The two countries also praised efforts of the US
President Clinton in the finalization of the agreement.
The two sides expressed the hope that the international community
would play an effective role to ensure Israel's adherence to its
commitments under various peace accords.
They affirmed the need to achieve a just, lasting and comprehensive
peace based on the principle of land-for-peace, and the relevant UN
resolutions.
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981027
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Sartaj's statement: US calls for positive response on CTBT
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Correspondent
WASHINGTON, Oct 26: The State Department on Monday welcomed Foreign
Minister Sartaj Aziz's statement that Pakistan had no objection to
signing the CTBT, FMCT and the NPT.
But a senior official told Dawn: "Though these are positive
remarks, we want to see Pakistan's signatures on the CTBT and Mr
Aziz was just elaborating what Prime Minister Nawaz Sharif had
stated in his UN speech."
The foreign minister's comments came amid strong speculation here
that Pakistan was ready to sign the CTBT during the official visit
to Washington by PM Nawaz Sharif.
"They are preparing the grounds for a possible signing ceremony by
Pakistani Prime Minister, which will be presented to the world as
another feather in the cap of President Clinton, just like the
Middle East peace show held recently," an observer said.
The US President is concentrating on countering the impeachment
probe by achieving foreign policy successes which could keep his
ratings of support high.
The State Department official was asked whether the statement by
the foreign minister was enough for President Clinton to use his
waiver authority and lift all or some of the sanctions against
Pakistan.
He said: "We don't make decisions on the basis of newspaper
interviews. We want to see something done formally. We want to see
the signatures, not hear statements."
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981027
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Pakistan not exporting terrorism: PM
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ISLAMABAD, Oct 26: Prime Minister Nawaz Sharif said on Monday that
there were no terrorists in Pakistan as such who operated from here
against any other country.
On the contrary, Pakistan itself had been a victim of terrorism, Mr
Sharif said in Lahore during an interview on regional, bilateral
and international issues with Saudi reporters who were accompanying
visiting Saudi crown prince.
The prime minister said that fighting terrorism and eradicating it
have been a firm resolve of the government and it is ready to play
that role wherever terrorism takes place.
Replying to questions about neighboring Afghanistan, Sharif said it
is very unfortunate that whatever happens in Afghanistan affects
Pakistan as well and there is no other neighborly country so
adversely affected by events taking place in another country than
Pakistan.
As Afghanistan is a land-locked country, the prime minister said,
its people use routes through Pakistan while going in and out, but
he assured that Pakistan would not allow export of terrorism
through this conduit and stands for the elimination of any
terrorism sprouting from the soil of Afghanistan.
As Pakistan is directly affected, he said: "We want stability in
Afghanistan because it is its instability which affects us."
About the recent trip and talks of UN envoy Lakhdar Brahimi with
Pakistani and Afghan leaders, the prime minister said the talks
have been very useful and constructive and "it is a very positive
sign."
Pakistan has been playing a positive role in Afghanistan for the
last many, many years, the prime minister said.
Asked about the impact of US sanctions on Pakistan's economy, he
said that the US sanctions have been unjust and unfair because
Pakistan had been forced to go for nuclear detonation as a response
to the Indian nuclear blasts.
Pakistan is not to be blamed for this but its security concern had
forced Pakistan to do it, he said, adding that India wanted to
teach Pakistan a lesson and wanted to bring Pakistan to its knees.
He said the sanctions against Pakistan would have to be removed. He
said he brought home Pakistan's viewpoint to US President Bill
Clinton during his meeting with him in Washington.
He hoped there is some progress going on in that direction and the
US Congress has approved waiver to the president to lift the
sanctions. NNI
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981030
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Pakistan seeks report on stranded seamen
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Hasan Akhtar
ISLAMABAD Oct 29: Pakistan Foreign Ministry has instructed its high
commissioner in Dhaka to send a complete report as early as
possible about 31 Pakistani seamen who have been forced to stay
aboard an arrested freighter at Chittagong port since May last.
The foreign office spokesman, Tariq Altaf, told Dawn here on
Thursday that the foreign ministry had only recently come to know
through a report sent to the ministry by human rights commission,
about the state of affairs of a bulk carrier, MV Delta Star, owned
by a Karachi-based company, Tristar Shipping Lines, and pathetic
condition of its crew.
The spokesman said that the FO had taken notice of the deprivations
(as reported by Dawn on Wednesday) of the crew who had been
suffering for the last six months due to lack of fresh drinking
water, food and fuel.
The troubles of the poor crew started as a result of an alleged
non-payment of their dues by the shipping company since 1997 and
subsequently because of a series of legal suits involving the
owners of the ship, the mortgagee bank, Allied Bank of Pakistan,
and various agencies providing services to the stranded ship off
the Bangladesh port of Chittagong.
The spokesman said that the high commissioner had also been advised
to see what possible steps were needed to alleviate the human
sufferings of the crew.
===================================================================
BUSINESS & ECONOMY
981029
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'Pakistan industry needs to know implications'
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Correspondent
ISLAMABAD, Oct 28: The United Nations Conference on Trade &
Development (UNCTAD) has advised the government of Pakistan to
create in the trade and industry an understanding of Uruguay Round
Agreements (URA) rules, regulations and their implications.
The awareness in the Pakistan industry of various clauses of the
URA is very slight, a recent UNCTAD report on the situation in
Pakistan in the context of WTO agreements pointed out. It
identified a number of areas in which Pakistan's industry needed
technical assistance to become competitive and cut back the trade
deficit.
The UNCTAD report also mentions the Pakistan government's views on
post-URA. "The developing countries," it purportedly contended,
"were forced to accept globalization and the discipline of free
markets. This brought economic havoc to many Third World economies
simply because whatever little industrialization had taken place
was seriously threatened."
Pakistan, Islamabad also informed the UNCTAD, was facing economic
recession, lower growth rates, shrinking exports, higher trade
deficits and balance of payments problems. It became indebted to
the international agencies, which led to devaluation; debt crisis
looms large on the horizon, GoP complained.
It was also GoP's view, according to the report, that the
implications of URA were not understood well by the trade and
industry in Pakistan. The industry might not be able to compete
with the more efficient foreign companies in the industrial world,
particularly, where local companies lacked the technology
advantage.
The GoP, therefore, proposed that a group of developing countries
came together to work out an alternate proposal reflecting their
viewpoints.
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981029
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Oil shortage feared as stocks deplete
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Haris Anwar
KARACHI, Oct 28: The country is threatened with oil shortage as oil
companies have depleted their stocks and the peak seasonal
consumption starts next month, industry sources said here on
Wednesday.
"We have warned the government that peak oil consumption period
(Nov-March) is on the verge, but our oil reserves are at precarious
levels," A high official of state-run oil marketing company told
Dawn.
"I am telling you we've hardly any reserves to meet this increased
demand," he said on the condition of anonymity.
He said the company was facing an extreme difficulty in arranging
finances. "The banks are reluctant to open our LCs and we are only
importing to fulfil day to day demand," official said while taking
a sigh of relief as he was informed on telephone that 5.3 million
dollars were arranged for an oil tanker scheduled to berth on 30th.
The oil consumption during Nov-March usually goes up with the
increased heating oil from general consumers and thermal power
sector due to less hydel generation in the winter.
WAPDA and KESC, too, have run down on their reserves as PSO is
selling furnace oil only on cash basis." Only IPPs are maintaining
60 days reserves as it's mandatory for them", sources said.
Pakistan State OIL (PSO), which meets about 77 per cent POL demand
of the country, used to maintain 14-15 days reserves to meet 1.4-
1.5 million tons POL demand for this period.
Banking sector sources said government had recently rescheduled
$300 million Citibank-led syndicated facility for PSO, which it was
unable to pay on due date.
"We were not engaging in oil financing on the instruction of SBP.
But now we have started it again", said a chief of a state-run
bank.
Pakistan imported $ 298 million POL products in the first quarter
of 1998-99 and $ 1.6 billion in fiscal 1997-98.
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981025
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Rs250bn for small, medium enterprises
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Ihtashamul Haq
ISLAMABAD, Oct 24: The government has allocated Rs250 billion to
help set-up small and medium enterprises during the next three
years, prime minister Nawaz Sharif announced here on Saturday.
"During the last 50 years only Rs150 billion had been spent on the
establishment of small and medium industries but now we have
allocated an unprecedented amount of Rs250 billion to be disbursed
in three years period for this purpose", he added.
He told the participants of the one-day Convention on "Prime
Minister's Self employment Scheme" here that Rs10 billion had also
been separately allocated to give small scale loans to unemployed
individuals.
Giving details, the prime minister pointed out that Small and
Medium Enterprise Development Authority (SMEDA) has been set-up to
ensure quick and timely loans to small investors.
"The SMEDA has been asked to provide Rs5 lakh to Rs50 million to
the investors of the small and medium enterprises".
He called upon the loans seekers to pay back their loans in time so
that the Nationalized Commercial Banks (NCBs) and the Development
Financial Institutions (DFIs) could continue offering small scale
loans to the new investors.
All the Presidents of the NBP, HBL, MCB, UBL, ABL and the Managing
Director of the SBFC were present in the convention and answered
various questions asked by the participants drawn from all over
Pakistan. Most of them were those who sought loans to set up their
businesses.
It was decided that the banks and the DFI would give loans within
15 days or would inform the loan seeker about the rejection of his
application.
The prime minister said that loan up to Rs200,000 could be obtained
on a personal guarantee. "Any account holder of the NCBs could be
eligible to become a guarantor for this loan", he said.
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981030
-------------------------------------------------------------------
Furnace oil sales plunge
-------------------------------------------------------------------
Haris Anwar
KARACHI, Oct 29: Furnace oil sales have registered a sharp decline
of over 25 per cent during the first quarter of fiscal 1998-99.
During July-Sept 1998-99, the furnace oil sale volumes have dropped
from 1.873 million tons to 1.402 million tons compared to first
three months of 1997-98.
Oil industry sources cite general slowdown in the economy,
depletion of Wapda and KESC oil reserves and rising use of gas and
hydel sources instead of oil by the power generating companies as
the major reasons for this plunge.
The industrial consumption of furnace oil during first quarter is
almost stagnant, up only 0.27 per cent. However, it has dropped by
over 27 per cent in September compared to last year. "It seems that
crunch has started to hit the industry with lagged effects", said
an official of an oil marketing company.
He said reduced sales to power sector, which consumes 65-70 per
cent of total furnace oil, is the main cause for this drop. " Wapda
which used to maintain about 52 per cent stocks of its total
storage capacity is now maintaining only 2-3 per cent stocks", he
added.
Wapda and KESC are in deep trouble due to their huge deficits and
are unable to pay for their oil purchases from Pakistan State Oil.
This has forced them to run down on their oil reserves. PSO's
furnace oil sales to KESC has gone down by 13 per cent in the first
quarter.
On the other hand, light diesel oil (LDO) volumes have also been
the hardest hit. Aggregate LDO volumes for July and August were
down 25 per cent as compared to same period last year.
Transportation volumes, however, have shown a nominal decline.
Motor gas volumes were down by over 2 per cent.
"This may be because austerity in the companies which has reduced
the use of cars. But it has nothing to do with 25 per cent price
hike", an official at the oil marketing company said. The country's
overall petroleum imports have dropped by 41 per cent in dollar
terms in the first quarter of 1998-99 compared to the same period
last year.
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981028
-------------------------------------------------------------------
Poor management of resources impedes growth: IBRD
-------------------------------------------------------------------
Correspondent
ISLAMABAD, Oct 27: Forty-one projects were under implementation in
Pakistan under a World Bank portfolio totalling $4.2 billion in
fiscal 1998, according to a bank report.
Overall, the World Bank has approved a total of 95 loans and 140
credits for Pakistan totalling more than $10 billion since 1952.
Out of the projects that were being implemented in fiscal 1998, 24
per cent were social sector projects targeting education, family
planning, health, and nutrition. Thus the social sector claimed the
largest share in the portfolio. This was followed by electric power
and energy (23 per cent) and agriculture sector projects (15 per
cent).
Emphasising the importance of agriculture sector projects, the
report notes that poor natural resource management has had a
negative impact on Pakistan's land, water and agricultural resource
base. Environmental degradation and pollution are affecting public
health and productivity in agriculture and other parts of the
economy, thus constraining GDP growth.
Almost all surface water is contaminated by pollution from domestic
and industrial waste and agricultural runoff, it observes. For
example, the proportion of land in Pakistan's four provinces
degraded by various factors is as high as 42 per cent. The report
attributes specifically to water and wind erosion, salination,
water-logging, and overgrazing. At the same time, it adds, air
pollution levels are rising and already above World Health
Organization standards in Pakistan's largest cities, Karachi and
Lahore.
The strategy being followed in Pakistan's agriculture sector is the
peculiar stock in trade of the Bretton Woods Institutions including
the World Bank. It includes discontinuation of the system of
support prices that are considered essential by conscientious
experts of Pakistan for maintaining the growth rate of crops by
obviating uncertainty and instability about prices and protecting
the farmers and consumers from manipulations of the middle man.
Other elements of the World Bank strategy, as elucidated by the
report are removal of residual subsidies on farm inputs, improving
the efficiency of public expenditures, strengthening institutions
and building local capacity and assisting in resource management
and environmental protection.
One of the major projects for which the Bank approved a $285
million credit last year is the National Drainage Programme.
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981030
-------------------------------------------------------------------
'Anti-dumping issue be raised at govt level'
-------------------------------------------------------------------
Reporter
KARACHI, Oct 29: Pakistan should take up the anti-dumping issue
with Japan at government level if it wants to seek its removal
earlier than the expiry period in the year 2000.
This was suggested by the visiting chairman of Japan's Textile Yarn
Importers Association, J. Fukunaga, in a meeting with APTMA
Chairman Humayun Ellahi Sheikh and senior members of the
association here on Thursday.
"Since the Japanese government has taken the decision to impose
punitive duties on import of yarn from Pakistan, the only way to
have the government reconsider its decision is on government to
government basis," he maintained.
APTMA Chairman Humayun Ellahi Sheikh said that the anti-dumping
duties on export of cotton yarn to Japan has put spinning industry
of Pakistan at an unfair disadvantage, besides giving wrong signals
to other countries to follow suit, if the dumping duties are not
lifted immediately.
For keeping Pakistan's mutual interests intact with Japan, which is
Pakistan's significant buyer of cotton yarn as well as supplier of
machinery, he said it was imperative that the anti- dumping duty
imposed on 20/1 and 21/1 carded cotton yarn is removed at the
earliest.
In 1993, Japan was importing 79 per cent of her requirement of
cotton yarn from Pakistan, but the share of Pakistan in
quantitative terms declined to 56 per cent in 1997, a very large
reduction of 23 per cent in Pakistan's exports to Japan.
The downward trend in export of Pakistani cotton yarn from 1994
onwards could be attributed to imposition of anti-dumping duty in
August, 1995.
Resultantly, export of cotton yarn from India to Japan has picked
up, as there is no anti-dumping duty on Indian cotton yarn.
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981027
-------------------------------------------------------------------
US sanctions not to affect trade: UK official
-------------------------------------------------------------------
Correspondent
ISLAMABAD, Oct 26: Britain's trade with Pakistan was not affected
by the US sanctions and businessmen were keen to promote trade and
economic relations.
This was stated by Lohn Lownds, Deputy Head, South Asia Group, UK
Department of Trade and Industry, and Joe Preston, Commercial
Attache at British High Commission, Islamabad, who called on the
President, Islamabad Chamber of Commerce and Industry (ICCI),
Sheikh Baser Daud, here on Monday.
They reviewed Pakistan's current economic situation as well as
trends in Pakistan-British bilateral trade.
They pointed out that news in the British Press about economic
stagnation and difficulties faced by Pakistan following the US
economic sanctions, the stalled negotiations between Pakistan and
IMF and the impasse relating to the IPPs were causing concern to
the British trading community.
Responding to the statement made by the visitors from U.K., the
ICCI President, Sheikh Daud said following the US economic
sanctions, IMF's conditionalities for loan and unwillingness of the
western donors to release the anticipated aid to Pakistan,
industrialization process continues to remain slow.
This and many other factors like involvement in Afghanistan war
adversely affected Pakistan's economy and escalated the prices of
commodities as well as imported equipment needed by our industry,
he added.
He said that the Islamabad Chamber would welcome British traders
and industrialists. He urged the visitors to use their good offices
and help restore Pakistan's aid.
He said that industrialization process in Pakistan received a
serious setback in 1971 following nationalization.
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981027
-------------------------------------------------------------------
Delegation of powers to CBR
-------------------------------------------------------------------
Ikram Hoti
ISLAMABAD, Oct 26: The Adhoc Policy Board, created for
restructuring of the Central Board of Revenue, is expected to
decide on Wednesday of delegating powers to the CBR chairman and
his colleagues as members of the board, with an extra Rs1 billion
grant for execution of the new policies for improving tax revenue.
Sources said Wednesday's meeting to be chaired by Hafeez A Pasha,
Adviser to Prime Minister on Economic Affairs and Planning will
take up the proposal for delegation of powers within the parameters
of the sanctions given by prime minister.
The sanctions given about two months ago allowing the chairman to
appoint professionals from private sector to the CBR posts is
likely to be created formally by the APB in its Wednesday meeting.
These posts, which include member-level slots at the headquarters
and directors to run the technically equipped wings of the CBR,
have already been proposed by its chairman and duly wetted by the
ministry of finance.
The APB will give final approval to the expansion of the present
set up " to strengthen group functions". For this purpose, the
eligibility criteria for hiring of professionals from the private
sector would also be given approval. The new wings to be created in
the CBR for strengthening the group functions would be to
Management Information Services, audit, legal, human resource
development, and budget and evaluation.
The pay scales of private sector member-level officials, directly
hired for appointment as heads of these wings would also be given
final shape in the meeting. The APB will also clear a proposal for
banding of different grades and compression of officer grades
attached to the federal tax collecting machinery.
This proposal has been submitted to the board for doing away with a
number of tiers operative in the structure of the graded officials
of CBR, with a view to simplifying this structure and allow better
salaries.
Once cleared, this proposal will become effective for compression
of grades 5-11 and 14-16, which would mean that the CBR will have
only four operative grade officials, with an offer of funds to
train themselves for the future requirements of tax collection. "We
will, under these proposed compression of scales/grades, give
option to the entire staff and officers cadres to either remain
under the present (low-paid) categories or to be put under the new
scales which would be better paid", said a senior CBR official. A
sum of Rs156 million has already been allocated by the CBR for
imparting training to the staff members that opt for the new
scales.
The last item on the agenda for the APB is the issue of Rs1billion
grant to enable CBR perform its functions for the creation of new
posts, impart training, and pay bonus money to the staff and
officials for performing as per the revenue collection targets set
for the financial year 1998-99. The board will also clear the
criteria proposed for performance bonus payment, and the amount to
be paid in bonus for the fourth quarter of the financial year 1997-
98.
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981028
-------------------------------------------------------------------
Oct tax collection estimated at Rs18bn
-------------------------------------------------------------------
Ikram Hoti
ISLAMABAD, Oct 27: The tax revenue during the current month is
estimated at Rs18 billion with the collection recorded by October
26 amounting to Rs15 billion, sources said.
The CBR reported to the prime minister Tuesday that it collected
Rs15 billion by October 26, and the CBR officials say they expect
only Rs75 billion in first four months of current financial year.
Though, CBR is officially disowning the reports of having told
Prime Minister Nawaz Sharif and IMF officials that the target of
collection for 1998-99 will have to be revised downwards from
budgeted Rs352 billion, a senior CBR officials approached for the
latest performance said, adding they did not expect to collect even
Rs300 billion for the whole fiscal.
As the performance on collecting federal taxes is to be one of the
most important agenda items in tomorrow's (Wednesday) meeting of
the Adhoc Policy Board, the payment of reward money for improvement
in collection would be expedited, but the CBR officials monitoring
imports and production reports from the field say that all analyses
of prospects for better collection are being rejected as
"optimistic" by the senior cadres.
They say that there is a report of about 19 per cent shortfall in
import of raw materials and machinery in the first four months of
the 1998-99 as against what was imported in the same period last
year, "how can we say that there is going to be improvement in
production in the coming months."
They argue that the improvement in production, which means better
collection of sales tax, central excise duty and income tax can
only be expected if import of raw materials and machinery recorded
improvement.
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981030
-------------------------------------------------------------------
Dollar sheds 70 paisa
-------------------------------------------------------------------
Reporter
KARACHI, Oct 29: The US dollar that had risen to an all time high
of Rs 56.35 in the inter-bank market on Wednesday fell to Rs 55.65
on Thursday.
The State Bank composite exchange rates based on the average buying
and selling prices of selected banks stood at Rs 50.71 for buying
and Rs 51.10 for sellingup from Rs 50.68 and Rs 51.06 on
Wednesday.
Senior bankers linked the 70 paisa fall in the maximum value of the
green bill to what they called bankers recovery from the panic
created by a hasty deal on Wednesday.
They said floating inter-bank rates closed at Rs 55.55 and Rs 55.65
for spot buying and selling on Thursday against the Wednesday close
of Rs 55.75 and Rs 56.35 because there was no big demand for the
greenback in the market.
On Wednesday a foreign bank had purchased some $1.5 million in
haste at an unrealistically high price of Rs 55.80 per dollar that
led to a cyclic increase in the price of the dollar.
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981031
-------------------------------------------------------------------
Stocks maintain optimistic outlook
-------------------------------------------------------------------
Reporter
KARACHI, Oct 30: Stocks on Friday maintained an optimistic outlook
as leading shares tended further higher on active follow-up support
aided partly by higher dividend news, notably from the PTCL. The
KSE 100-share recovered another 11.51 points at 841.70.
It was largely the strength of the PTCL, after the announcement of
final dividend at the rate of 18% for the year ended June 30,1998,
which took the entire market along with it in the plus column,
considered an outstanding performance at the weekend session.
The interesting feature was that contrary to market predictions,
the PTCL showed higher sales totalling over Rs 46.00bn as compared
to Rs 40bn a year back and interim sales and pretax profit is said
to be on the higher side.
It was perhaps in this background that investors were not inclined
to take a bearish view of rumours of the governor's rule or an
imminent fall of the Sindh government after the exit of Muttahida
Quami Movement(MQM) as coalition partners.
The KSE 100-share index maintained its upward drive and posted a
fresh rise of 11.51 points at 841.70 as compared to 830.19 a day
earlier, reflecting the strength of leading base shares.
'The perception of a relative peace in the city after the
governor's rule might still be a remote possibility as the tense
situation tells, investors seem to be taking an optimistic outlook
for any possible change', floor brokers said.
What appears to be the chief stimulating force behind the market's
current firm stance is the perception of an early resumption of the
IMF aid and its likely positive impact on the economy, they added.
But beyond it, rumours are floating in the rings that massive
borrowings by the government from the local banks reflects that
Pakistan may seek moratorium on foreign debt to about $32 billion
by the middle of the next month, analysts said.
'But we don't see any fundamental change in the current bearish
psychology of the market until the economy is out from the
prevailing mess', they added.
Occasional technical flutters here and there could be witnessed but
investors might not move out of the safe havens until the broader
market changes its outlook, they said.
The second interim dividend at the rate of 30% by Fauji Fertiliser
was well received in the rings as it forestalled further decline in
its share value but rather evoked active short-covering at the
lower levels.
It had already paid the first interim of 20%. Last it paid total
dividend of 88 percent. Its close rival, Engro Chemical also
performed well.
Parke-Davis, which suffered a sharp decline of Rs 85.00 on Thursday
came in for strong support and managed to close with a gain of
65.00, but still in deficit of Rs 20.00.
Other good gainers were led by Burshane Pakistan, which spurted by
Rs 24.00 followed by PSO, Lever Brothers, National Refinery, Engro
Chemicals, Packages, and Gadoon Textiles, rising by one rupee to Rs
9.00.
Auto shares came in for strong support at the lower levels on news
of recent price increases and were quoted higher by Rs 4.50 to 9.00
for Pak-Suzuki Motors and Millat Tractors.
Prominent losers were led by Fazal Textiles, Dadabhoy Cement,
Reckitt and Colman, and Pakistan Gum Chemical, falling by Rs 1.10
to 4.00.
Trading volume fell to 56m shares from the previous 85m shares as
sellers were not inclined to take profits anticipa-ting
continuation of the weekend rally.
Out of 116 actives, 45 shares rose, 34 fell, with 37 shares holding
on to the last levels.
The most active list was again topped by PTCL, up 25 paisa at Rs
19.45 on 32m shares followed by Hub-Power, higher 50 paisa at Rs
11.05 on 14m shares, Sui Southern, firm 70 paisa at Rs 8.40 o
1.436m shares, Engro Chemical, higher Rs 1.55 at 51.30 on 1.362m
shares and Sui Southern, up 30 paisa at Rs 6.95 on 1.216m shares.
Other actively traded shares were led by Fateh Textiles, unchanged
on 0.639m shares followed by Southern Electric, lower 20 paisa on
0.586m shares, ICI Pakistan, easy five paisa on 0.482m shares,
Japan Power, up 25 paisa on 0.477m shares, Bank of Punjab, steady
10 paisa on 0.330m shares and FFC-Jordan Fertiliser, unchanged on
0.325m shares.
DEFAULTING COMPANIES; Only Al-Qadir Textiles came in for stray
support but was quoted unchanged on 200 shares.
DIVIDEND: Pakistan Telecommunication, cash 18%, Grindlays Modaraba,
22%, Confidence Mutual Fund 10%, Bolan Castings 15%, for the year
ended June 30, 1998 and an interim dividend of 10% by U.D.L.
Modaraba for the year ending June 30,1999 and second interim at the
rate of 30% by Fauji Fertiliser, 20% already paid.
BOARD MEETINGS: Colony Thal Textiles, Millat Tractors and Javed
Omer Vohra & Co,on Nov 4,6,6 respectively.
Back to the top
===================================================================
EDITORIALS & FEATURES
981025
-------------------------------------------------------------------
Metropolitan police
-------------------------------------------------------------------
Ardeshir Cowasjee
HOPE is not dead. The restructuring programme of the Karachi Police
is still on. The concept of the Karachi Metropolitan Police
Department (KPMD), operating under the supervision of the Karachi
Metropolitan Public Safety Commission (KMPSC) composed of citizens
and members of the provincial government, still lives.
The transformation of the police system of our metropolitan cities
into a system to be controlled by Public Safety Commissionerates
has been on the anvil since it was first mooted in 1962 by Alvin
Robert Cornelius, a member of the distinguished Indian Civil
Service who retired as the Chief Justice of Pakistan. He did not
lay a newly shaped egg; he logically recommended that our large
cities be policed as are other such cities of the world. Over
sixteen police reports subsequently written have, with variations,
recommended similar reforms.
The aim has always been and still is to free the police from the
clutches of our corrupt and selfish politicians. They use the
police force to get themselves elected, and thereafter to
perpetuate their stranglehold. By and large, the bureaucrats
working under our politicos have been reduced to snivelling
servants who selflessly go along with their masters' designs. The
safety of life and property of the citizens is of little
consequence.
Each head of government on assuming office has made noises about
police reforms and thereafter has purposefully ignored the subject.
That it is vitally important that metropolitan cities such as
Karachi and Lahore must have their own independent police forces
has never been denied.
Mr Nawaz Sharif, true to form, soon after he was elected to his
second round in February 1997, assigned the restructuring task to
Major General Sikander Hayat Khan, Chairman of his Monitoring and
Evaluation Cell (M&EC). A police reforms package was agreed to in
principle by the cabinet a few months later. But law and order
being a provincial subject, the matter was referred to the
provincial governments and then rejected by all of them, the
politicians and bureaucrats not wishing to relinquish one iota of
power. In Karachi, the tally of those killed by the terrorists
over this past decade has been in the region of a dozen a day.
Public immunity to news of death and organized killings is such
that eyebrows are no longer raised when the daily tally is released
to the press.
The prime minister, seemingly, has realized that whatever measures
have been taken to ensure his survival, constitutionally or extra-
constitutionally, by him and his scullery assistants are not such
as to allow him to survive unless the safety of the people is
ensured and the economy revived. He has given signs of having
suddenly woken up to the plight of Karachi.
The coordinator of the PM's National Agenda Monitoring Cell, Haroon
Khwaja, was deputed to set up a committee including certain members
of his cell Bilal Ahmed, Shehzad Naqvi, Munir Kamal, Zulfikar
Cheema and Jameel Yusuf of the CPLC. They researched, waded through
reams of paper and arrived at the unanimous conclusion that the
Japanese model, supervised by a PSC, adapted to suit local
conditions and norms, was ideal for Karachi. The committee made a
presentation to the PM at Lahore on August 15. The usual dilly-
dallying took place. No go. The killings continued, the terrorists
upped their ante.
On October 12, I was asked to join the committee and was invited to
a meeting to be held in Karachi on October 15 over which the PM was
to preside. The objections of the politicians and bureaucrats were
heard, and the PM directed that his cell members meet the Sindh
chief secretary and others to sort out the differences and present
to him an implementation schedule for the new plan when he returned
to Karachi on the 20th. All ended on a deceptively positive note.
The people were hopeful of a change, hopeful that finally a
decision would be taken that would go some way towards ending the
city's misery. This newspaper and other publications editorially
supported the proposed scheme, as did many citizens who wrote to
the respective editors.
The committee's efforts to meet the concerned officials on the 16th
failed. The excuse was that they were too busy. We met at 1100
hours on the 17th, they raised the usual frivolous objections. We
requested them to list their objections and apprehensions together
with their proposals as to how these could be overcome. The PM had
approved the scheme in principle, and was keen that it went
through. The CPLC office would remain open round the clock, over
the weekend, and any information they wanted would be given at a
moment's notice. We arranged to meet again at 1500 hours on the
19th.
We received a list of their apprehensions, objections, etc, at 1230
hours on the 19th. When we arrived for the scheduled meeting, no
one from the government turned up. Sindh Home Secretary Wajid Rana
was contacted and he agreed to come over. He told us he was in no
position to comment on what had been sent to us. We informed him
that our suggestions as to the solutions to their worries would be
given to them before the day's end so that they could mull over
them before we all met the PM at 1600 hours the next day, the 20th.
The citizens and their lawyers worked round the clock and a
broadsheet showing both apprehensions and solutions was prepared
and sent to the home secretary before midnight.
At the meeting on the 20th, over which the PM presided, lines were
clearly drawn. The government side was totally disinterested in our
broadsheet oozing negativity. To enlighten its readers, this
newspaper deemed it necessary to publish it in full on October 17.
Definite affirmatives to the proposed scheme: federal minister
Sheikh Rashid, streetwise, sharp. The only minister capable of
walking the streets of Karachi unescorted, the only man able to
converse with the awam at their own level. He told us that he had
gone out on his own at 0700 hours, had found the people
apprehensive, fearful and utterly distrustful of the police force.
His recommendation was that a decision be taken immediately and the
implementation of the scheme be put into gear. Naturally, strongly
and positively in the affirmative were Jameel Yusuf, Haroon Khwaja
and I.
Sheepish affirmatives: federal minister Mushahidsahib, Ahsan Iqbal,
Sindh law minister Saleem Zia.
Silent: Major-General Imtiaz Shaheen, the Rangers' chief, He was
not asked to speak. But he too shares federal interior minister
Chaudhry Shujaat's view that the city can be cleaned up in ten
days, if the will is there and expediency shed. The Rangers know
what is what, who is who, what and who are where. Left to
themselves, they can do the job they are hired and paid to do.
Acting governor Nawab Mirza uttered not a word, though his thoughts
were known.
Definite 'No': federal minister Chaudhry Nisar Ali, Sindh CM
Liaquat Jatoi, Sindh chief secretary Salik Nazir Ahmed, PM's
special secretary Saeed Mehdi, Interior Secretary Hafizullah.
Sheepish 'No': federal minister Ghous Ali Shah and Haleem Siddiqui,
IGP Aftab Nabi.
The PM, from what one could make out, supported the change, but in
view of Jatoi's request that as he had been away having treatment
in London for ulcer, he needed time to study the proposals, did not
push the matter. Fine, said the PM. Let me have your report in 10
days' time, i.e. by October 31. Interior secretary Hafizullah was
to write his report to be submitted in seven days, i.e. by October
28.
Insatiable greed for power, pelf, plots, peanuts, powder puffs and
what have you invariably influences the now warped bureaucratic
thinking, our administrators having been successfully reduced to
whingeing wimps by the machinations of the politicians.
During this past decade, dating from October 1988, the chief
ministers of Sindh and their federal bosses have had 13 IGPs of
Sindh, the average tenure being 29 weeks. From the time Liaquat
Jatoi entered in 1997, he has seen off six DIGs in charge of
Karachi; the seventh is now in place. Four of the five districts of
Karachi have had five SSPs, and one four SSPs. The total number of
SHO changes/transfers in the main Karachi police stations are 120.
The hammer price of one police station, Gadap, is well over a crore
(approx. Rs.15 million).
Yesterday morning's news had it that those suspected of murdering
Hakim Mohammad Said, together with their accomplices, have been
found and apprehended. The other news was that the MQM had decided
to rejoin the Sindh government, to resume their position as
coalition partners. The two reports are, of course, completely
unconnected.
One is reminded of an October 23 news item in Dawn: "Shujaat had
told the prime minister before leaving for Casablanca that the time
has come when the PML government should decide whther it wanted to
continue wooing its coalition partners or improve the law and order
situation."
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981031
-------------------------------------------------------------------
Chinese water torture
-------------------------------------------------------------------
Irfan Husain
WHILE discussing the succession of revelations about Asif Zardari
and Benazir Bhutto's free and easy ways with the public exchequer a
couple of years ago, I had likened the series of devastating
reports to the Chinese water torture.
In this exquisitely painful torment, the victim's head is shaved
and he is strapped so he cannot move any part of his body. Placed
in a pitch-dark room under a container, precisely spaced drops of
water hit the same spot on his head. Initially, this is only mildly
uncomfortable, but soon, the victim's entire universe is reduced to
that one spot on his skull as he waits for the next drop. He can't
think about anything else as his senses are deprived of all other
sensation except the slow and precise drip, drip, drip of water. He
loses all sense of time and space until very soon, he is screaming
for mercy.
I'm sure Nawaz Sharif can sympathize with victims of the Chinese
water torture. He, too, is being subjected to a steady succession
of leaks in the form of stories, allegations and downright
accusations of corruption and massive abuse of power in some of the
most prestigious and credible newspapers in Britain. This last
month has seen weekly revelations appear in the Observer, the
Independent and the Sunday Times. But luckily for Mr Sharif, he
doesn't have to have his head shaved.
Each story has been officially denied but not effectively rebutted.
Threats have been made to sue the publication in question, but no
legal notices have been issued. Mr Mahmood Qazi, the person who,
together with his family, is supposed to be the unwitting front man
in one particular scam featuring a senior Cabinet member working
for the Sharifs, has denied that he and his family were used to
open bank accounts against which huge loans were taken by the
Sharifs and siphoned off.
According to the government news agency, he now says he did not
make any such accusations to the media. But Newsline has carried
photocopies of letters from banks to sundry members of the Qazi
family, asking them to settle loans amounting to millions of
dollars.
There has never been any doubt about the Sharif family's Mughalian
confusion between their personal bank accounts and the national
exchequer. For nearly two decades, their fortunes have soared after
their entry into politics. The fact that according to published
information, they have not paid the taxes, others in their
financial bracket are supposed to have obviously helped them on
their way to building the foremost industrial empire in Pakistan.
While it does not fault him for his modus operandi in becoming a
major industrialist, the business community is understandably upset
when the prime minister requests others to pay their taxes. On a
recent visit to Karachi, he asked a thousand businessmen to bring
back five million dollars each from overseas accounts so that we
could have five billion dollars in the kitty to avoid the default
that looms ahead. This demand was met with an embarrassed silence
as the audience shuffled and looked at the floor. Everybody was too
polite to ask the PM to put his money where his mouth is, and
pledge at least five million dollars himself to get the ball
rolling.
God knows he can afford it, if recent newspaper reports are
accurate. The fact that no legal notices have been issued would
seem to substantiate sundry allegations of money laundering.
However, Mr Sharif has made no commitment, and no businessman to my
knowledge has pledged a dime.
Despite my years in Pakistan, the brazenness of our leaders has
never failed to amaze me whether it is Nawaz Sharif or Benazir
Bhutto. Here are people who, according to their own signed
statements, have paid peanuts in taxes, and are now demanding of us
that we shell out extortionate sums to finance the state's
extravagance. For somebody who has recently paid serious sums into
the exchequer in taxes, this is pretty galling. The prime minister
and his family have defaulted on loans running into billions of
rupees, and are now insisting that the business community should
mend its way and repay its outstanding debts. Understandably, the
recovery campaign has not been a resounding success.
The ruling party is claiming that the recent series of revelations
in the British press has been inspired by its opponents. Shades of
Benazir Bhutto's denunciation of a "media trial" against her. We
are now in a situation where the two major Pakistani politicians
are both claiming that they are as clean as the driven snow, and
are being slandered through the foreign media by political enemies.
Both are on the verge of suing the newspapers concerned, but for
some mysterious reason, neither has actually taken the plunge. Hey,
jump in! The water's fine except for the sharks!
As I wrote in these columns a few weeks ago, the libel laws in the
West, and particularly in England, are very stringent. While the
press is free to criticise policies, allegations of corruption have
to be backed up by evidence. The penalties imposed against careless
editors and publishers in the past have been substantial. So if the
Observer, the Independent and the Sunday Times run major stories
with specific charges of financial irregularities, chances are that
they are largely accurate. The fact that neither Nawaz Sharif nor
Benazir Bhutto before him has chosen to seek legal remedy for the
damaging charges against them would seem to confirm the truth of
the allegations.
Even minus the corruption, the lifestyle of both leaders is opulent
to the point of obscenity. Nawaz Sharif's predilection for
expensive cars is well known. Benazir Bhutto's hundred thousand
pound necklace - now impounded by the ungentlemanly Swiss - is now
as famous as Imelda Macros' fabled shoe collection.
So while Nawaz Sharif and Benazir Bhutto protest their innocence,
what we actually hear is the drip, drip, drip of water.
===================================================================
SPORTS
981027
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Pakistan lose first series to Australia in 39 years
-------------------------------------------------------------------
Samiul Hasan
KARACHI, Oct 26: A match-saving unbeaten century by Ijaz Ahmad
pulled Pakistan from the jaws of defeat in the third cricket Test
which ended in a draw on Monday. But his effort failed to prevent
Australia from winning their first series here in 39 years.
Pakistan, who began their second innings on the fifth day and
chased an impossible 419-run target, never achieved before in 122-
year history of Test cricket, finished the day at 262 for five.
Australia, who won the first Test at Rawalpindi by an innings and
99 runs, had left Pakistan tottering at 78 for four at lunch before
Ijaz showed his batting prowess by stroking a superlative 120.
Scores:
Australia: 280 and 390
Pakistan: 252 and 262-5
Australia's last Test win over Pakistan in Pakistan was in 1959-60
when Richie Benaud's team beat Fazal Mahmood's side 2-0. Since
then, five Australian teams visited Pakistan under legends like
Bobby Simpson, Greg Chappell, Kim Hughes, Allan Border and Mark
Taylor himself. But none could end the dominance of the Pakistanis.
The series, which will go down in the annals of history as Mark
Taylor's series after the batsman accumulated 513 runs in five
innings including an unbeaten 334, strengthened Australia's claims
of being undisputed Test world champions.
A long debate will continue on the reasons of Pakistan's defeat,
but the home team definitely lacked in unity, team spirit and
cohesion. Physical fitness of the players left much to be desired.
If anything was left, it was completed by some doubtful umpiring
decisions against Pakistan by David Orchard.
Reverting to the day's play, Pakistan looked in dire straits when
Colin Miller captured three wickets in 22 balls in the first hour
of day's play to leave Pakistan struggling at three for 35. The
problems for the home team compounded when Yousuf Yohanna's
laborious innings ended a stroke before lunch.
But Ijaz Ahmad and Moin Khan got together in a rescue act by
putting on 153 runs for the fifth wicket. When Moin Khan was
brilliantly caught by Stuart MacGill at square-leg off Darren
Lehmann at the score of 228, the two had taken Pakistan to safer
shores.
Ijaz Ahmad blasted his 10th century in 48 Tests from 211 balls with
11 blistering boundaries. It was Ijaz's fifth century against
Australia (third in succession) and as many in Pakistan.
Ijaz, who had also scored 155 at Peshawar in the previous Test, had
faced 250 balls in 327 minutes of batting when play finally ended
with seven overs of the mandatory 15 still remaining. His handsome
innings was laced with 16 hits to the fence.
Stuart MacGill, who picked up the scalp of, Yousuf Yohanna finished
with 15 wickets in the series. Glenn McGrath, who had bagged five
wickets in Pakistan's first innings, ended up with a series haul of
12 wickets.
DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS
981031
-------------------------------------------------------------------
World's toughest hockey tournament begins today
-------------------------------------------------------------------
By Ilyas Beg
LAHORE, Oct 30: The top six hockey teams of the world begin their
bid for winning the 20th Champions Trophy Hockey Tournament at the
picturesque National Hockey Stadium (NHS) on Saturday.
The venue has been tastefully decorated. However, the sale of
tickets is not very encouraging. But all arrangements for holding
the toughest hockey competition have been completed.
The teams will be chosen out of the following players:
Pakistan: Ahmad Alam, Saleem Aamir, Ali Raza, Muhammad Usman, Imran
Yousaf, Waseem Ahmad, Haider Husain, Muhammad Sarwar, Kamran
Ashraf, Naveed Iqbal, Anis Ahmad, Muhammad Qasim, Sohail Abbas,
Asad Ali, Atif Bashir, Babar Abdullah.
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