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DAWN WIRE SERVICE
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Week Ending : 30 January 1999 Issue : 05/05
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Contents | National News | Business & Economy | Editorials & Features | Sports
The DAWN Wire Service (DWS) is a free weekly news-service from
Pakistan's largest English language newspaper, the daily DAWN. DWS
offers news, analysis and features of particular interest to the
Pakistani Community on the Internet.
Extracts, not exceeding 50 lines, can be used provided that this
entire header is included at the beginning of each extract.
We encourage comments & suggestions. We can be reached at:
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mail DAWN Group of Newspapers
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(c) Pakistan Herald Publications (Pvt.) Ltd., Pakistan - 1999
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CONTENTS
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NATIONAL NEWS
+ IMF tells Pakistan how to solve problems
+ Lifting of curbs linked with CTBT signing: US diplomat
+ Ex-CM says he will challenge PA session
+ Pakistan can't be party in Benazir case: Swiss judges
+ Independent agency should investigate, say counsel
+ Aitzaz poses 20 questions to Nawaz, Saif
+ MQM urges COAS to take notice of govt 'conspiracies'
+ MQM chief to visit Germany, Belgium soon
+ No violation of Pakistan air space, says US
+ Talbott to hold talks on P-5 benchmarks
+ National interests uppermost: Kanju
+ Power theft Govt defers plan to set up mly courts
+ Sindh refuses to pay Rs4.5bn to WAPDA
+ Pakistan urged to sever trade ties with India
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BUSINESS & ECONOMY
+ Worst part of crisis over: Dar FCAs to stay frozen
+ LHC restores FCAs with immediate effect
+ $1.4bn loans rolled-over by donors, says Dar
+ Dar briefs Paris Club
+ Agreement for mini-truck production signed
+ KESC bonds NCBs may emerge as main buyers
+ Import duty on spares for 15 IPPs exempted
+ Exercises on ST implementation suspended
+ US firm to invest $970m in two hydel projects
+ Direct tax collection by Southern Region up 17pc
+ Ten leading underwriters respond to EoI bid
+ Agreement signed for power generation
+ Bodies formed to settle sales tax refund claims
+ Industry suffering Rs8.8m loss per hour
+ IMF report triggers heavy foreign selling in stocks
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EDITORIALS & FEATURES
+ What has changed? By Ardeshir Cowasjee
+ Here be dragons By Irfan Hussain
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SPORTS
+ Malik and Inzamam save Pakistan from likely defeat
+ Youhana, Moin hit gutsy half centuries as Pakistan make 238
+ Saqlain puts the Test on a knife-edge with a 5-wkt haul
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NATIONAL NEWS
990129
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IMF tells Pakistan how to solve problems
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By Shaheen Sehbai
WASHINGTON, Jan 28: The IMF released details of critical weaknesses
in Pakistan economy and how its Executive Board wanted them
addressed by Islamabad to ensure continuation of the restored IMF
programme.
The IMF officially issued a Public Information Notice (PIN) on
Pakistan saying "this action is intended to strengthen IMF
surveillance over the economic policies of member countries by
increasing the transparency of the IMF's assessment of these
policies."
The details contained in the PIN give a rare view of how the IMF
directors viewed various problems faced by Pakistan and what
commitments had been made to keep the programme intact.
The discussions between directors cover all major problem areas and
include specific suggestions and targets set for Pakistan, most of
which was part of the policy framework paper, already issued by
Pakistan and IMF for public scrutiny. But the views of the
directors give a better picture of how the discussions went in the
board meeting which finally approved restoration of the ESAF/EFF
programme but allowed only the very minimum amount of funds out of
that programme a paltry $75 million.
The Directors expressed concern in particular about the dependence
of the balance of payments on highly market sensitive financing;
the State Bank of Pakistan's large uncovered forward exchange
position; increasing dependence of budget revenues on receipts from
petroleum surcharges, while the domestic tax base remained narrow;
the financial difficulties of WAPDA and the high level of non-
performing loans in the banking system, it said.
Furthermore, several Directors stressed that avoidance of slippages
was particularly important in light of the need to make a decisive
break from the past record of stop-and-go policies and establishing
a good track record, it noted. To this end, they emphasized the
crucial importance of strengthening the revenue base, and endorsed
the planned extension of the GST to the services sector, petroleum
products, electricity, and agricultural inputs, and also the
strengthening of tax administration.
They called for expeditious development of a package of measures
that will steadily raise the revenue from agricultural income
taxation to levels that are comparable to other countries with a
large agricultural sector.
The directors observed that budgetary reform in Pakistan assumes
particular importance, given its limited revenue base and low tax
buoyancy, on the one hand, and the sizeable social needs and
infrastructure expenditure demands on the other. To this end, they
emphasized the crucial importance of strengthening the revenue
base, and endorsed the planned extension of the GST to the services
sector, petroleum products, electricity, and agricultural inputs,
and also the strengthening of tax administration.
They emphasized that, in order to ease constraints on exchange rate
policy and reduce the burden on monetary policy in maintaining
external stability. It is essential to resolve the problem of the
still large stock of foreign currency deposits, without creating
large contingent liabilities in the medium term that would be
difficult to manage. To this end, they urged the authorities to
finalize detailed restructuring plans for WAPDA and the Karachi
Electricity Supply Corporation expeditiously, and for WAPDA to
implement the tariff decision of the National Electric Power
Regulatory Authority, and to formulate a comprehensive plan for the
elimination of outstanding stocks of payables and receivables by
March 1999.
With regard to privatization, Directors encouraged the authorities
to press ahead with all necessary steps, most importantly with
enhancing the financial integrity of public sector financial
institutions, so as to allow a reacceleration of the privatization
process as conditions improve. With regard to banking reform, they
emphasized the importance of continued efforts, including
strengthening of prudential regulations.
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990130
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Lifting of curbs linked with CTBT signing: US diplomat
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Staff Correspondent
HYDERABAD, Jan 29: The Public Affairs Officer, United States
Information Service (USIS), Dr Joseph Jerry Brenning, has said that
the lifting of sanctions against Pakistan was closely linked with
the signing of CTBT and added that Pakistan was required to sign
the treaty within one year.
He, however, denied that the US was trying to impose its will on
Pakistan or India. He said that the question of giving dictations
did not arise, as there was great difference in the superpower of
50s and 90s.
He said the US was not oblivious to the security needs of Pakistan
but it was deeply concerned about the nuclear proliferation and
added that America believed that both India and Pakistan should
resolve their problems through discussions including the Kashmir
issue.
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990130
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Ex-CM says he will challenge PA session
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Staff Correspondent
KARACHI, Jan 29: Former chief minister Liaquat Ali Jatoi claimed
that he was still Leader of the House and vowed to challenge the
convening of the requisitioned session of the provincial assembly.
"I am the suspended chief minister and no confidence cannot be
taken up unless I am heard by the House," Mr Jatoi told newsmen
after the proceedings. Mr Jatoi did not attend the session but was
still occupying the chamber of leader of the house.
Mr Jatoi's comments came as a surprise to newsmen because the
government announcement had stated that the provincial government
had been dismissed.-APP.
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990126
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Pakistan can't be party in Benazir case: Swiss judges
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LAUSANNE (Switzerland) Jan 25: A Swiss federal court judge ruled
that Pakistan does not qualify as a civil party in an investigation
into former Pakistani premier Benazir Bhutto, charged with money
laundering related to alleged kickbacks from two Swiss firms. Swiss
supreme court judges rejected an appeal by Islamabad authorities.
Islamabad accuses the former premier and current opposition leader
of stealing millions of dollars from state coffers and stashing the
money abroad.
Bhutto, who was sacked as premier in November 1996 on charges of
corruption and misrule, has consistently denied any wrongdoing and
has accused Pakistani authorities of deliberately trying to frame
her and her family.
The federal court, Switzerland's highest court confirmed this
decision, arguing that by definition, a foreign country can not
defend the constitutional rights of its citizens and therefore can
not reproach the public prosecutor's office for arbitrarily denying
it the right to be a civil party.
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990124
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Independent agency should investigate, say counsel
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By Ashraf Mumtaz
LAHORE, Jan 23: Chief Ehtesab Commissioner Justice Ghulam Mujaddid
Mirza heard submissions from two senior counsels about which
records should be summoned from which departments in references
against Prime Minister Nawaz Sharif, Ehtesab Bureau Chairman
Senator Saifur Rehman and others.
Advocates Muhammad Akram Sheikh and Sharif Husain Bukhari said the
references should be referred for investigation to an agency, which
was not under the direct or indirect influence of the Prime
Minister and the Punjab chief minister.
In their opinion, Military Intelligence or the Federal ombudsman
could be entrusted with the investigations, and the CEC was fully
competent to call for its assistance.
Akram Sheikh presented the case of the development of Prime
Minister Nawaz Sharif's Raiwind farms (Jati Umra) at a cost of
Rs630 million to Rs700 million of the public money.
Mr Sheikh pointed out that because of the development of the area,
its value had gone up to Rs600,000 to 700,000 a kanal while once it
was possible to purchase a square of land for that price. "The
development of the area (at the public expense) has caused the
nation a fortune, and it has made a fortune for a few individuals
(of the ruling family)", Mr Sheikh said.
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990129
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Aitzaz poses 20 questions to Nawaz, Saif
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Bureau Report
ISLAMABAD, Jan 28: Opposition leader in Senate Aitzaz Ahsan posed
20 questions to the government including the one whether the
statement of assets filed by the prime minister under his own
signature to the election commission, that he had paid Rs477 income
tax from 1994-95 to 1996-97, was correct.
Speaking on an adjournment motion on alleged threats to Jang group,
Mr Ahsan tried to establish that it was not the question of tax
evasion but of the freedom of press. "If it had been the question
of tax evasion then Prime Minister Nawaz Sharif, his family members
and Saifur Rehman would have also been held accountable".
The leader of the opposition relied mainly on the returns filed by
Nawaz Sharif and Saifur Rehman under their own signatures to the
Election Commission to bring his point home that the Sharif family
and the Ehtesab bureau chief were also tax evaders.
Giving details of the properties of Nawaz Sharif and his sources of
income as stated in the returns he said, the prime minister owned
five textile mills, four sugar mills, two paper and board mills,
one spinning mills and one engineering mill.
He asked whether all these units had been managed so badly that
they were getting no income from them.
Quoting another official document, he said, Nawaz Sharif owned a
helicopter which was registered against his name at the address of
H-180 Model Town, Lahore. The PPP stalwart recalled that the
helicopter was used by Mr Sharif in his election campaign of 1997.
He said his son was on record saying that they had two flats in
Park Lane, London. Every member of the Sharif family, he said,
owned at least one Mercedes and one BMW car each besides palatial
houses in Model Town and a huge farm at Raiwind.
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990127
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MQM urges COAS to take notice of govt 'conspiracies'
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Bureau Report
ISLAMABAD, Jan 26: The Muttahida Qaumi Movement has appealed to the
Chief of the Army Staff, Gen. Pervaiz Musharraf, to take notice of
"conspiracies being hatched to undermine and taint the impartial
and uncontroversial image of the army."
The MQM's parliamentary leader in the Senate, Aftab Shaikh, alleged
at a press conference that the government was making a "deliberate
attempt to divide and dilute" the army on the dictates of the IMF
and World Bank by deploying it in the PIA, WAPDA and other
institutions.
Shaikh Aftab said his party had tried to establish contacts with
the army high command but there had been no response so far.
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990125
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MQM chief to visit Germany, Belgium soon
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By Nasir Malick
LONDON, Jan 24: Muttahida Qaumi Movement chief Altaf Hussain will
travel to Germany and Belgium soon, his first visit outside Britain
since 1992 when he left Pakistan and sought political asylum in the
UK.
"The decision whether I travel on a Pakistani passport or on a
British travel document has to be taken by the MQM central co-
ordination committee. But there is a consensus that I should travel
on British documents," Altaf Hussain, who was formally allowed
indefinite stay in Britain the other day, said.
He said he would visit his party units in Germany and Belgium as
soon as he gets the travel documents, which he had already been
assured, by the home office to be issued within two months.
Asked why he was not seeking renewal of his Pakistani passport,
which expired in 1994, Hussein said he did not need it since he had
no plans to visit Pakistan in the near future unless given
clearance by the CCC.
He said the CCC had asked him not to return to Pakistan because
there was no rule of law or democracy there. However, he said,
whenever called back by the CCC, he would apply for a Pakistani
passport
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990126
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No violation of Pakistan air space, says US
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By Shaheen Sehbai
WASHINGTON, Jan 25: The State Department said that there were no
violations of Pakistani air space in recent days, although one
complaint had been lodged by Pakistan against these alleged
violations.
Reacting to questions based on reports appearing in some Pakistani
newspapers about the air space violations, an official of the State
Department said "I am aware of at least one incident in which one
plane was flying, but it was flying in international air space and
did not violate the Pakistani air space."
When Pakistan Ambassador Riaz Khokhar was asked about the
complaint, he told Dawn he had also read about the violations in
news reports and had asked Islamabad to give some more details.
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990127
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Talbott to hold talks on P-5 benchmarks
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By Shaheen Sehbai
WASHINGTON, Jan 26: The State Department said Deputy Secretary
Strobe Talbott will try to pursue progress on all the benchmarks
set by the P-5 countries for non-proliferation in South Asia.
Spokesman Jim Foley was asked whether he could say something
specific on what, Mr. Talbott would be looking for, in terms of the
four-point agenda that he has for his visit.
He said: "Well, he's looking for progress. As you know, the P-5
agreed on a series of benchmarks that involve progress on non-
proliferation. He's going to be pursuing progress on all of those
fronts.
Foley said: "Talbott hopes to achieve progress on those issues; but
I certainly can't prejudge the outcome of the talks before they
occur.
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990128
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National interests uppermost: Kanju
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Bureau Report
ISLAMABAD, Jan 27: State Minister for Foreign Affairs Siddiq Kanju
has said that the government will pursue its policy on the CTBT
strictly in the larger national interest.
Talking about the forthcoming visit of the US deputy secretary,
Strobe Talbott, Kanju said in the talks Pakistan would pursue its
policy on the CTBT in accordance with the parameters set by the
joint sitting of parliament recently.
"The national security will remain our prime concern," Kanju
assured the National Assembly.
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990126
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Power theft Govt defers plan to set up mly courts
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Bureau Report
ISLAMABAD, Jan 25: The federal government has deferred the plan of
establishing military courts for trying the cases of power theft
and recovery of WAPDA dues.
According to official sources all the plans for the establishment
of over 30 military courts to try the cases of power theft and
recovery of stuck up dues of WAPDA were complete. The government
has decided to wait for the verdict of the Supreme Court on five
petitions challenging the establishment of military courts.
WAPDA, which is facing a deficit of Rs.52 billion in current fiscal
year, has been handed over to Army and is headed by a serving
lieutenant general who is also enjoying the support of 35,000
troops.
The lending agencies have repeatedly expressed concern over the
deteriorating situation in WAPDA, and the handing over the
management to a serving army general was a part of the scheme to
enable WAPDA stand on its feet.
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990126
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Sindh refuses to pay Rs4.5bn to WAPDA
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By Sabihuddin Ghausi
KARACHI, Jan 25: The Sindh government has refused to pay about
Rs4.5 billion to the Water and Power Development Authority (WAPDA)
in respect of a fresh electricity bill for July-to-December 1998
period.
The refusal comes in the wake of a directive given by Finance
Minister Ishaq Dar 10 days ago to all the provinces to pay off all
their current bills before the end of January. Mr Dar had chaired a
meeting in Islamabad on Jan 14 and constituted a committee, headed
by the auditor- general, to sort out disputes between the provinces
and WAPDA within two weeks to ensure that " some cash flows into
the WAPDA kitty before the end of this month".
Based on this fresh WAPDA demand on Sindh, federal Water and Power
Minister Gohar Ayub informed the National Assembly the other day
that Karachi owed WAPDA Rs12 billion against its "controversial
claim of over Rs 5 billion".
A group of experts, comprising consultants and officials of WAPDA
and KESC, is reported to have unanimously agreed late last month
that actual total electricity billing on Sindh during the period
1993-94 to 1997-98 is Rs9.37 billion. The sum of Rs13.33 billion
has already been paid to WAPDA and hence an amount of Rs3.96
billion is refundable to Karachi.
The Sindh government's position in respect of current billing for
six months, from July to December 1998, is that it has to be re-
assessed realistically and that the amount be adjusted against the
refundable amount.
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990127
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Pakistan urged to sever trade ties with India
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Staff Correspondent
MUZAFFARABAD, Jan 26: Kashmiris observed a "black day" to protest
against occupation of their motherland.
Demonstrations and public meetings were held in different parts of
Azad Kashmir, as well as in the held territory, against killings,
gang-rapes, arson and torture in the Valley and usurpation of
Kashmiris' right to self- determination by India.
In Muzaffarabad, a rally, attended by political workers, government
employees, traders, refugees and students, was held outside the old
civil secretariat. The rally was addressed by Minister for Forests
Chaudhry Latif Akbar, Minister for Agriculture Chacha Ali Mohammad,
Minister for Local Government Khwaja Farooq, PPAK deputy chief
organizer Shoukat Javed Mir, Hanif Awan of JKPP, Sheikh Aqeelur
Rehman of Jamaat-i-Islami, Chaudhry Rashid of Muslim Conference (Q)
, Tanvirul Hassan Gilani of Muslim Conference (Sikandar), Mahmoodul
Hassan Ashraf of Jamiat Ulema-i-Islam, Liaquat Rathore of PP(N),
Basharat Noori, Mirza Hamayun Zaman and others.
The speakers said India had no right to celebrate Republic Day
because it had usurped Kashmiris' right to self-determination for
the last 51 years in sheer disregard of its own commitments and the
United Nations resolutions.
They called upon the Pakistan government to sever trade and other
relations with India. They said Pakistan should not launch a bus
service between Lahore and New Delhi. They were also against
sending of a cricket team to India.
Later, the protesters went to the office of United Nations military
observers and handed over a memorandum to an official there calling
for an end to atrocities in Kashmir and holding of a plebiscite
there. Earlier, some of the demonstrators burnt an Indian flag
outside the UN observer's office.
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BUSINESS & ECONOMY
990125
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Worst part of crisis over: Dar FCAs to stay frozen
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ISLAMABAD, Jan 24: Finance Minister Ishaq Dar said that the frozen
Foreign Currency Accounts (FCAs) are not going to be unfrozen
unless the situation on foreign exchange reserves improved.
He said this in answer to a question while giving a review of the
country's economy at a news briefing for the first six months of
the current fiscal year.
About the conversion of Foreign Currency Accounts, he said, as of
January 23,1999 the total amount encashed from these FCAs totalled
$4.096 billion. The total FCAs exchanged in special US dollar bonds
was to the tune of $454.3 million, he added.
Ishaq Dar said that foreign exchange reserves as on January 23,
1999 was $1,646 million.
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990128
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LHC restores FCAs with immediate effect
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By Shujaat Ali Khan
LAHORE, Jan 27: A three-member Lahore High Court bench declared
void Section 2 of the Foreign Exchange (Temporary Restriction) Act,
1998, freezing foreign currency accounts and ordered, their
immediate restoration.
The judgement also set aside the State Bank circular mandating
liquidation of FCAs as security for rupees loans and their
encashment at the rate of Rs46 to a dollar.
The judge also directed the SBP to treat forex accounts as fixed
deposits for three years and frame rules for the contingencies,
treatment or education abroad, etc - which may warrant a premature
withdrawal.
He also directed the federal government to amend the Protection of
Economic Reforms Act, 1992, which replaced Pakistan's mixed economy
with a free economy and extended absolute immunity and exemptions
to forex accounts, to eliminate the economic dichotomy.
The majority judgement also struck down Section 4(2) of the 1998
Act, which protected post-freeze SBP circulars, for being violative
of Article 4 and Article 25 (bar on discrimination). The impugned
circular No 23, it held, might operate prospectively but could not
be allowed to extinguish the existing contract. The conversion rate
of Rs46 to a dollar was declared to be without legal effect.
Referring to the SBP and government stand that forex deposits had
been consumed by successive governments, the judge said it was
totally amazing as it amounted to a plea of insolvency before a
court of law. He did not share the perception and said Pakistan had
adequate material resources to meet all its requirements only if
simplicity and austerity were observed. He referred to the SBP
annual report for 1997-98 in this regard.
The majority judgement also pointed out that Section 2 of the 1998
Act did not lay down any guidelines for SBP permission to operate a
forex account. The legislature has transferred its function to the
SBP, which is unconstitutional.
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990126
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$1.4bn loans rolled-over by donors, says Dar
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By Ihtashamul Haque
ISLAMABAD, Jan 25: Pakistan's hard loans worth $1.4 billion have
been rolled over, providing a big respite for the country,
disclosed the Minister for Finance, Ishaq Dar.
He said the remaining loans worth $2.3 billion were now to be
rescheduled by the Paris and London Clubs. He said that the IMF has
paved the way for seeking new loans or getting them rescheduled
from various international lending agencies. "Our economic
performance was good to have the donors' assistance restored
despite international sanctions", Dar said.
To a question he said, London Club, was expected to meet in early
February to reschedule Pakistan's loans.
Asked whether Pakistan has accepted hard conditionalities of the
IMF to get the $1.5 billion ESAF/EFF reactivated, he said there was
no such thing and that the agreement with the Fund was very much in
line with the home grown economic policies.
The finance minister pointed out that Pakistan has not accepted to
devalue its currency nor assured anyone to remove the prevailing
dual exchange rate
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990129
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Dar briefs Paris Club
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PARIS, Jan 28: Finance Minister Muhammad Ishaq Dar briefed the
participants of Paris Club Creditor countries about Pakistan's
economic position with a request of re-scheduling its loans.
The Minister presented proposal for the assistance in order to help
Pakistan to have sustainable economic recovery and stability for
which bold and structural reforms have already been introduced by
Pakistan.
The minister also held an informal meeting with the chairman of
Paris Club Francis Mayer and discussed modalities and agenda of the
formal meeting.
Earlier, Bretton Woods (IMF and World Bank) approved and released
an amount of $ 575 million and around $350 million respectively,
for Pakistan which helped surge country's foreign exchange reserves
to $ 1.67 billion.APP
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990126
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Agreement for mini-truck production signed
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Staff Reporter
KARACHI, Jan 25: Dewan Farooque Motors Limited (DFML) signed a
contractual agreement with Sind Engineering Ltd for the production
of Hyundai mini trucks at the assembly plant of Sind Engineering
Ltd (SEL).
Mir Akbar Ali Khan, Managing Director, SEL and Dewan Yousuf
Farooque, Managing Director, DFML, signed the contractual agreement
on behalf of their companies on Monday.
Mir Akbar said that the assembly of mini truck is based on the
import of completely knocked down kits (CKD) depending on their
arrival. He, however, said that the plant is expected to start
vehicle assembly in July this year and 2,000 units will be produced
in the first two years. He added that SEL has entered into a two-
year contractual agreement with Dewan Group.
According to DFML, the company is expected to reach production
level of 4,000 units in the next seven years.
DFML also announced that the company was in the process of
finalising the Dewan-Hyundai plant design, where ultimately, all
Hyundai products will be assembled.
The assembly of mini trucks, besides generating revenues, will
offer employment to a large number of technically qualified
personnel. Besides, there will be a number of jobs available for
people qualified in the auto sector, said Dewan Yousuf Farooque,
Managing Director, DFML.
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990126
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KESC bonds NCBs may emerge as main buyers
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Staff Correspondent
KARACHI, Jan 25: The power bonds, to be issued by Karachi Electric
Supply Corporation in February, will carry interest rates of 17.5
per cent with five years maturity period.
Energy sector sources said in the first two years, there would only
interest payments on the bonds, while principal payment would start
after two years.
The KESC is issuing these bonds to clear its Rs 11.5 billion dues
against Pakistan State Oil (PSO), Sui Southern Gas Company (SSGC)
and other energy sector's corporations.
Sources added that these bonds would be fully tradable, but would
not be listed entities. "Banks will be free to transact these
bonds, but the private listing of these bonds will not be allowed",
they added.
"This is the first corporate debt instrument, which will be part of
the banks' reserve requirements", sources said. Sources added that
SBP had accorded an approval to make these bonds a part of banks'
Statutory Liquidity Reserves (SLR) requirements.
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990127
-------------------------------------------------------------------
Import duty on spares for 15 IPPs exempted
-------------------------------------------------------------------
By Ikram Hoti
ISLAMABAD, Jan 26: The Central Board of Revenue has exempted 15
independent power projects from payment of import duty on spares
used in power generation.
Most of the IPPs, which will now enjoy the duty exemption at 5
percent of the cost and freight (C & F) value, are United States
based. With this exemption granted, a hurdle in the way of IPPs'
operation as lawfully authorised power-generating and supplying
companies in Pakistan, has been removed. "This would trigger their
operation here with the status they attained on conclusion of
agreements with them under the sovereign guarantees against
suspension or withdrawal of the facilities attached", said an
official of the finance ministry.
When CBR officials were asked to explain whether the Jan 16 CBR
orders for resuming the duty exemptions for IPPs were in violation
of the Presidential Ordinance that the CBR would no longer be
authorised to allow exemptions of Customs Duty and Sales Tax they
said no one in the CBR was authorised to offer any comments on this
count.
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990127
-------------------------------------------------------------------
Exercises on ST implementation suspended
-------------------------------------------------------------------
By Ikram Hoti
ISLAMABAD, Jan 26: The Central Board of Revenue has suspended all
exercises for imposition of sales tax on retailers, and the IMF has
been informed accordingly, with the plea that the levy of ST could
not be ensured without creating the required collecting apparatus.
Informed sources mentioned that the CBR communicated to the IMF
that the implementation of ST could not be ensured in the remaining
six months of the current financial year as the imposition of the
ST in the federal budget 1998-99 on retailers with annual sale
turnover of over Rs5 million, has not been able to register more
than 600 retailers against the target of 10,000 throughout the
country, with an estimated tax deposit of Rs2.2 billion during
current financial.
When asked as to how would the CBR convince the IMF on its
performance in this sphere MNA Haji Abdul Mannan, who is heading
the prime minister's team on securing support to implementation of
this formula, said "we can explain our case".
He further said "We have no infrastructure for ST implementation in
this shape. We have already substituted the money-component of the
formula with the expansion of ST net to other spheres, and we would
be able to meet the target in money terms".
Mr. Mannan said the IMF officials had agreed with Pakistan that in
the absence of the required infrastructure, and in the presence of
a corrupt tax collecting apparatus, ST would not be a successful in
its present shape.
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990127
-------------------------------------------------------------------
US firm to invest $970m in two hydel projects
-------------------------------------------------------------------
By Ihtashamul Haque
ISLAMABAD, Jan 26: Synergics Development Corporation of the United
States has decided to invest 970 million dollars in Pakistan to
develop two hydel projects.
"Within next 45 days we will be signing a Power Purchase Agreement
(PPA) with the WAPDA for developing two 684 mw projects at a cost
of little over 970 million dollars", said Wayne Rogers, President
Synergics Energy Development Corporation of USA. The projects will
be undertaken on the basis of Built Operate and Transfer (BOT).
He pointed out that his company planned to develop 600 mw Kohala
Hydel Projects in Azad Kashmir, which will cost 850 million
dollars. Another 84-mw project, he continued, will be established
at Matiltan in NWFP. Both the projects will be completed in the
year 2006.
To a question, he said that his company will charge 4 to 5 cents
for each KWH of power, which he did not believe, was any expensive
preposition keeping in view the 20 years after which they will be
handed over to the government of Pakistan without charging any
money. "After 20 years both the projects will be owned by your
government".
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990127
-------------------------------------------------------------------
Direct tax collection by Southern Region up 17pc
-------------------------------------------------------------------
By Parvaiz Ishfaq Rana
KARACHI, Jan 26: The collection of all direct taxes by the Southern
Region of Income Tax (Sindh-Balochistan) improved by 17 per cent at
Rs 13.280 billion during first six months (July- Dec) of current
fiscal as against Rs 11.381 billion recorded in the corresponding
period of last year.
This was only possible after the region managed to improve over the
last year's revenue collection made during same period in all the
category of direct taxes, including income tax, wealth tax, capital
value tax (CVT) etc.
For the fiscal year 1998-99, the Central Board of Revenue (CBR) has
fixed a target of Rs 33 billion for the Southern Region of Income
Tax and on collecting Rs 13.280 billion during July-Dec over 40
percent of the target had been achieved.
The official figures indicate that major thrust of revenue
collection emerged during the month of Nov and Dec 1998, when the
region collected Rs 4.87 billion in revenue. A remarkable increase
in collection of income tax from Rs 10.542 billion recorded during
first six months of last year to Rs 12.474 billion this year helped
to surpass the target. The wealth tax collection also improved from
Rs 663 million to Rs 696 million, however, CVT stood static at Rs
141 million.
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990128
-------------------------------------------------------------------
Ten leading underwriters respond to EoI bid
-------------------------------------------------------------------
By Ihtashamul Haque
ISLAMABAD, Jan 27: Ten underwriters have responded to the
Privatization Commission's invitation to Expression of Interest
(EOI) on pre-qualification for 49 percent equity stake in the
Allied Bank of Pakistan (ABL).
"Now the ABL is ready for privatization well before the end of the
current financial year", said the Chairman of the Privatization
Commission, Kh. Muhammad Asif.
Speaking at a news conference here on Wednesday, he also claimed
that financial health of the Habib Bank Limited (HBL) and the
National Bank of Pakistan (NBP) has substantially been improved for
their early privatization.
He said all the 10 underwriters of the ABL enjoyed great
reputation. "In case there is no good market response, these
underwriters will assume the remaining shares of the ABL". The
government has already offloaded 51 percent shares of the ABL and
management transferred to the employees who purchased these shares.
These underwriters have deposited a non-refundable processing fee
of 5000 dollars and are: First Capital ABN Amro Equities (Pakistan)
Ltd, The Interlink Companies, USA, Gulf Pak Refinery Ltd, M/S Bin
Ham Group Abu Dhabi & Associates, Fateh Industries Ltd, Siddiqsons
Group, Allied Bank Officers Federation of Pakistan and the Allied
Bank Workers Federation of Pakistan, Master Group of Industries,
Mehtab Khan and Fateh Group, Hyderabad.
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990128
-------------------------------------------------------------------
Agreement signed for power generation
-------------------------------------------------------------------
Bureau Report
PESHAWAR, Jan 27: An agreement was signed here between the
government of NWFP and an American firm Synergics Development
Corporation for setting up of a hydro power generation project at
Matiltan in Swat.
The project, on completion will produce 84 mw electricity on build
operate and transfer (BOT) basis.
Matiltan hydel power generation project is to be completed in 5
years period. It will have no environmental affects in the area and
provide job opportunities to about 3000 people directly and
indirectly. The project will be handed over to the provincial
government after 25 years of running by the company.
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990129
-------------------------------------------------------------------
Bodies formed to settle sales tax refund claims
-------------------------------------------------------------------
Staff Reporter
KARACHI, Jan 28: The Export Promotion Bureau (EPB) has constituted
two committees for sorting out exporters' problems with regard to
refund amounts and claims against wastage's made under sales tax
regime.
Decision to this effect was taken in a meeting of the Export
Facilitation Committee, which was attended by collectors of Sales
Tax and Customs (export) and presided by Chairman EPB, Wajid Jawad.
After listening to exporters' complains the chairman EPB
constituted two separate committees to devise a suitable format for
the calculation sheet and claims against wastages.
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990129
-------------------------------------------------------------------
Industry suffering Rs8.8m loss per hour
-------------------------------------------------------------------
Staff Reporter
KARACHI, Jan 28: The city trade associations have expressed dismay
over the power crisis and called for intervention of the government
to prevent the situation from going worse.
According to Council of Karachi's Industrial Associations, the
absence of power is causing a production loss of Rs8.8 million per
hour to the industries.
The Chairman, CKIA, Capt. Moiz A. Khan said that the exporters have
not been able to ship the consignments so far after opening of new
textile quota. Even the Letter of Credits (L/Cs), which were opened
few days back, are also expiring.
Prime minister wants industrialists to double the export, but
enquired as to how can the exports be doubled when the power was
not available.
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990130
-------------------------------------------------------------------
IMF report triggers heavy foreign selling in stocks
-------------------------------------------------------------------
Staff Correspondent
KARACHI, Jan 29: Stocks fell across a broad front on heavy foreign
selling triggered by negative IMF report about Pakistan economy and
its inherent weaknesses.
Although the index finally managed to finish around 900.58, off
16.63 points as compared to 917.21 points a day earlier.
Big losers were led by leading MNCs, notably Lakson Tobacco, BOC,
Shell Pakistan and Lever Brothers, which suffered decline ranging
from Rs 5.00 to Rs 32.00, followed by Adamjee Insurance, EFU,
Shakerganj Sugar, Orix Leasing, R.R.P, PSO and Ghandhara, falling
by one rupee to Rs 2.00.
PTCL again led the list of most actives, off 30 paisa at Rs 18.10
on 17 million shares, followed by Hub-Power, off 40 paisa at Rs
12.05 on 11 million shares, ICI Pakistan, lower 20 paisa at Rs 8.95
on 4 million shares, PSO, off Rs 1.60 at Rs 60.75 on 5 million
shares, and Fauji Fertilizer, easy 25 paisa at Rs 41.30 on 3
million shares.
Other actively traded shares included MCB, lower 40 paisa on 1.246
million shares, Bank of Punjab, up 10 paisa on 0.496 million
shares, Adamjee Insurance, sharply lower by Rs 2.35 on 0.466
million shares, Dewan Salman, lower 55 paisa on 0.451 million
shares, KESC, easy 25 paisa on 0.471 million shares, and Southern
Electric, unchanged on 0.405 million shares, and Telecard, steady
five paisa on 0.360 million shares.
DEFAULTING COMPANIES: Shares of Al-Qadir Textiles came in for stray
support but as sellers were not willing to sell at the offered
prices no physical business was recorded.
BOARD MEETINGS: Sitara Chemical, Feb 1, Island Textiles, Tata
Textiles, Salfi Textiles, Feb 3, Pakistan Industrial and Commercial
Leasing, Feb 6.
DIVIDEND: Hoechst Marion Roussel Pakistan, cash 20 per cent on
after-tax profit of Rs 30.123 million, International Investment
Bank, nil on post-tax profit of Rs 204.411 million, and Colony
Textiles, right shares at the rate of 40 per cent.
Back to the top
===================================================================
EDITORIALS & FEATURES
990124
-------------------------------------------------------------------
What has changed?
-------------------------------------------------------------------
Ardeshir Cowasjee
LITTLE has changed since Maharaja Ranjit Singh, the first and the
last true Lion of the Punjab, ruled over his kingdom.
After his seventeenth annual punitive plundering raid into Northern
India, Ahmad Shah Abdali of Kabul decided in 1764 that enough was
enough. The Sikh chieftains of the Land of the Five Rivers, who had
greatly profited over the years of anarchy and disorder, then
decided that they must organize themselves.
They divided up the land into private estates, which were
distributed amongst the Sardars. One Sardar, Churut Singh, was
allotted lands comprising Gujranwalla, Wazirabad, Chakwal, Pind
Dadan Khan and the adjoining areas. He was killed in 1774 when his
matchlock blew up in his face, and was succeeded by his ten-year-
old son, Maha Singh, who turned out to be not only a redoubtable
warrior but an expert intriguer and thus considerably extended his
territories. When he died in 1792 he was succeeded by his
precocious twelve-year-old son, Ranjit Singh.
In 1796, Shah Zaman of Kabul marched into Punjab and met with no
opposition. All the Sardars along his route fled their lands except
Ranjit Singh who quietly remained at his Ramnagar estate. Facing a
revolt back home in 1799, Shah Zaman withdrew his troops, leaving
Lahore under the charge of three Sikh governors. His return march
led him through Ranjit's territory. Crossing the swollen Chenab
near Ramnagar, ten of his guns were sunk. Shah Zaman promised
Ranjit that were he to recover the guns when the waters abated and
forward them on to him at Kabul he would present him with the
formal grant of the city of Lahore. Ranjit, at nineteen, duly
performed his task, marched on Lahore, seized the city, and never
looked back.
Shah Zaman was deposed by his brother and blinded. The Afghan raids
into Punjab ended, and Ranjit was released from all allegiance. In
1801, with the Sardars in disarray, Ranjit proclaimed himself the
Maharaja. He captured Amritsar a year later, proceeded to subdue
the scattered Sikh and Pashtun holdings, and in 1809 signed a
treaty with the British, who had checked his eastward forays,
settling the River Sutlej as the eastern boundary of his kingdom.
He then turned his ambitions towards the north and west. He
captured Multan, then Peshawar, expelled the Pashtuns from the Vale
of Kashmir, and by 1820 had consolidated his rule (he later added
Ladakh to his kingdom). The armies with which he achieved his
victories were composed of Sikhs, Muslims and Hindus, as were his
commanders.
In 1838, he made another treaty with the British and marched with
them to restore Shah Shuja to the Afghan throne. He returned to
Lahore where in 1839, exactly forty years after he had entered the
city as its conqueror, he died.
Within seven years the state he had created collapsed, destroyed by
the squabbles of the chieftains and the ineptitude of his eldest
son Kuruck. Kuruck died in 1840, and his son, Nehal, was killed
while returning from the funeral, crushed by the fall of an archway
as his elephant passed beneath it. Anarchy and confusion reigned
until 1849, when the last of Ranjit's successors was deposed and
Punjab was annexed to the British possessions in India. Law and
order took over, lasting, with few interruptions, until the British
Raj marched off into history.
Ranjit Singh had no judges. The revenue collectors, themselves the
principal oppressors, dealt with crimes, if they had the mind to
it, but in general things just took their course without either
police or courts until someone in authority was bribed or an
official found it less trouble doing right than wrong. The British
instituted independent judges, courts and a police force and under
them, the people, satisfied that they would be free from
lawlessness and extortion, cultivated their land and paid their
taxes. The British constructed roads and canals throughout the
broad tracts of desert, and planted trees all over the proverbially
treeless Punjab where the Sikhs had destroyed trees thoughtlessly
and on an enormous scale.
*From the preface to 'Punjaub Before the Raj' by Steinbach, written
in London in 1845: "The Author and Compiler of the following work
does not profess to be alive to the intentions of the British
Government in respect to the Punjaub, but he thinks the annexation
of that extensive and fertile territory to the provinces of British
India so necessary and unavoidable a result of its present state of
disruption that he regards it as a duty to give his countrymen the
clearest notion of the Sikh state it is in his power to convey."
Steinbach on 'Commerce and Manufactures of the Punjaub': "During
the latter years of the rule of Runjeet Singh, the tranquillity
which prevailed stimulated traffic, and a considerable commercial
intercourse between the Punjaub, British India and Afghanistan was
the result. Since the demise of the Old Lion, however, trade has
declined owing to the distracted and insecure state of the country;
the robberies upon the high road, vexatious exactions in the shape
of duties and tolls, interruptions to manufactures, the absorption
of capital in military armaments and civil contests, the withdrawal
of large monetary resources from circulation and their removal to
places of security, have all had their effect in checking and
cramping mercantile operations. In ordinary and peaceful times, and
under a wholesome system of rule, a very large trade might be
firmly established; for, as we have shown, the products of the
country are abundant, and in the hands of people to whom the
results of their industry are secured, may be turned to excellent
account in a variety of ways....
"The transit of goods from countries beyond the Indus to Hindostan,
and vice versa, forms a larger source of mercantile revenue than
the returns upon the home manufactures of the country. But in this
respect also the paralyzing effect of internal disturbance has been
felt, and the want of a fair system of collection of dues and tolls
has at all times rendered the gross revenue precarious and
infinitely below what would be obtained by an active, wise, and
liberal administration."
On 'The Government of the Punjaub': "The Sikh chieftains formed
themselves into an oligarchy, which, like all similar institutions
of which history preserves a record, gradually fell under the yoke
of one family more potent than the rest, and at length of one man.
The only government, therefore, of which the Sikhs have had any
experience were the aristocratic and the despotic, and judging from
their conduct under these respective systems, we have no hesitation
in coming to the conclusion that a despotism is best suited to
their temperament....
"Runjeet Singh exercised an absolute and arbitrary sway over the
people, constituting himself chief judge and referee in the
question of importance, collecting and appropriating the revenue,
appointing and removing all the state officers at will, personally
regulating all political negotiations, and exercising the royal
prerogative of coining money and making war. Under his rule the
whole country was divided into provinces, and these provinces into
districts, which were farmed out to the highest bidders. The
Maharaja pressing upon the provincial administrators for their
quota of revenue, and these authorities, who were armed with the
terrible power of life and death, in their turn grinding the
farmers with their exactions, the condition of the peasantry, whom
the farmers in like manner squeezed for rents, was always the most
abject and pitiful that can be conceived. The provincial governor,
remunerating himself with the surplus of the revenue which he had
contracted to pay the sovereign, was unscrupulous as to the means
by which he wrung their substance from the landholders."
And on one of the most remarkable men at the court of Ranjit Singh,
"Faquir Uzoozerdeen," a barber-surgeon, who added astrology to his
knowledge of quack-salving and served Ranjit as his 'hukeem' and
private secretary, and in confidential negotiations with the
British. "He was a very able negotiator; insidious beyond measure,
and a complete master of humbug. He was the mouthpiece of the
stupid Sikh sirdars, and as he almost always formed the nominal
head of the missions they were sent on had their free leave to talk
while they sat by and listened in silence and admiration to the
voluble flow of his ceaseless harangues. Nightingales of esteem
warbled in meadows of attachment, and rivers of devotion rushed
into oceans of affection. His other most important duty was
interpreting the Maharajah's words. A few inarticulate growlings of
the old lion were quite enough to vivify the Faquir's imagination
and so lengthy often was his paraphrase of the Maharajah's verbal
text that one became inclined to wonder whether one word in Turkish
could mean so much."
One change: The present would-be 'Loin' of Punjab, doubling as the
'Loin' of Pakistan, has no need to even growl. His 'Faquirs' merely
look into his eyes to learn the message he wishes conveyed.
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990130
-------------------------------------------------------------------
Here be dragons
-------------------------------------------------------------------
By Irfan Husain
IN its Urdu connotation, the term ilaqa ghair has wild and
mysterious overtones. Its English equivalent, 'tribal area', is far
more prosaic and down to earth.
Medieval cartographers would often denote unexplored territory by
leaving it blank on their maps, and write "Here Be Dragons" across
it. A splendid picture of a fire-breathing dragon would usually
accompany this legend. But as more and more bits of our planet have
been explored, charted and described, the only true ilaqa ghair on
earth are the unmapped areas of the mind. Here, truly, there are
dragons.
Long before the creation of Pakistan, the rugged areas of the
northwest Frontier have been viewed from Delhi as a buffer zone
between the subcontinent and Afghanistan. It was the policy of
successive Mughal and British rulers to keep the territory quiet
with a combination of guile, bribes and force. The latter
established a network of Tribal Agents to administer the area,
occasionally sending in a force of redcoats on punitive
expeditions. The cost of this policy in men and treasure was high,
but was considered worthwhile given the high stakes in The Great
Game.
Pakistan has continued this policy for the last fifty years, giving
the locals the right to live under tribal law; the writ of the
state runs only along the main roads of these areas. Kidnap victims
and stolen vehicles are routinely taken there, and their release
negotiated, often with the help of the local Tribal Agent.
Gunrunning and drug trafficking are common, and tribal chiefs and
other notables have amassed huge fortunes. But the average Pakhtoon
remains poor, uneducated and backward in every sense.
Paradoxically, instead of growing weaker, this archaic system has
put down deeper roots than ever before. No government has been
strong or self-confident enough to bring in the ilaqa ghair into
the mainstream. Each ruler has continued the appeasement policy of
the British, and the Soviet invasion of Afghanistan and the current
civil war there have ensured that nobody in Islamabad is willing to
stir this particular hornet's nest.
But thus far, the tribal areas have conjured up an image of
ignorance, poverty and lawlessness. Suddenly, they are setting the
national agenda. The recent vote in the NWFP provincial assembly to
promulgate Shariat law in Malakand Agency is a sign of things to
come: supported by the ruling party and the PPP opposition, the
legislation was passed in record time. One only wishes there were
similar co-operation between the two in other, more relevant
spheres.
In succumbing to the demands of Maulana Sufi and his armed cohorts,
the government has opened a veritable Pandora's Box. What is to
prevent retrogressive elements in other administrative units to
raise the same demand? As we have seen in Malakand, all it takes is
a lashkar of fanatics with modern arms to bend the federal
government to its will. It is only a matter of time before the tail
wags the dog, and we see a steady erosion of human rights,
especially among women and the minorities.
Clearly, this is the first taste of the Talibization of Pakistan.
With Nawaz Sharif openly voicing his admiration for the state of
barbarism that prevails in Afghanistan, the forces of darkness have
been strengthened. Who in his right mind would wish to take on
these elements that operate openly beyond the law without any fear
of retribution? And yet the government is trying to crack down on
fanatical groups like the Lashkar-i-Jhangvi in Punjab, which has
been accused of trying to assassinate the PM in Raiwind recently.
Mr Sharif and his coterie obviously do not see the contradiction
inherent in this two-track approach. Terrorism and the use of force
to enforce their agenda, no matter from whatever quarter, must be
opposed across the board. By accepting the demands of one lot in
Malakand, while simultaneously reining in a similar group in
Punjab, the government is embarked on a policy that is as futile as
it is dangerous.
So we have come full circle; the most backward areas are now
setting the national agenda, and it is the sane and the rational
who must try and carve out their own ilaqa ghair. I described one
such haven last week, and will continue to search them out. A place
free of the violence and madness that have afflicted the country is
clearly to be guarded and treasured. But the ultimate ilaqa ghair
has to be in the mind. It is precisely because we have allowed our
minds to be taken hostage by a malign state apparatus and elements
on the lunatic fringe that we are in our current predicament.
By gradually allowing cynical politicians and uniformed adventurers
to manipulate religious sensibilities to perpetuate themselves, we
have allowed the most retrograde forces to dictate how we must live
and think.
Shakir, my 23-year-old son, recently accused me and my generation
of not taking a stand, thus allowing the country to descend into
the circle of hell we are heading towards. I was forced to concede:
clearly, there has been a massive failure of courage to stand up to
reactionary bullies, despite their small numbers and lack of
electoral support. Politicians like Zulfikar Ali Bhutto and his
daughter Benazir Bhutto have repeatedly let us down by voicing
liberal slogans to garner our support, and then cutting cynical
deals with the mullahs. Perhaps their betrayal has been more
painful than the ruling party's: the latter had no liberal
pretensions to begin with.
As the space for rational thought and free debate shrinks steadily,
we are being squeezed from every direction. The rise of Hindu
fundamentalism on our eastern borders proceeds in step with the
grip the Taliban have acquired in Afghanistan. Ironically, Iran has
commenced a cautious journey away from rigid dogma and orthodoxy.
There, liberals are slowly carving out breathing space: but they
are willing to make sacrifices for their cause, something that can
only be said for a handful of people here.
I was in Lahore last week to condole with the family of my dear
friend Zahoorul Akhlaq and his charming and talented daughter Jahan
Ara. They were brutally gunned down in their apartment while the
girl's fianc�e and Zahoor's friend were seriously wounded. They
were the most civilized and gentlepeople you could hope to meet
anywhere. Perhaps it was for this reason that they moved to Canada
a few years ago.
It seems that you can leave Pakistan, but it won't leave you.
===================================================================
SPORTS
990126
-------------------------------------------------------------------
Malik and Inzamam save Pakistan from likely defeat
-------------------------------------------------------------------
GWALIOR,(India), Jan 25: Salim Malik and Inzamam-ul-Haq saved
Pakistan from potential defeat in their opening tour match against
India A.
Malik struck 122 and sixth wicket partner Inzamam 96 to lift their
team from 23 for five to 272 all out, boosting a 58 runs first
innings advantage to 330. The stand was worth 148.
Pakistan's bowlers then restored control as India A stuttered to
111 for five and the match was drawn. Inzamam narrowly missed his
century for the second time in the three-day match. He had reached
98 in the first innings when Pakistan declared.
Pakistan's five main bowlers took one wicket each, but paceman
Waqar Younis, punished in the first innings, conceded 40 in eight
overs.
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990129
-------------------------------------------------------------------
Youhana, Moin hit gutsy half centuries as Pakistan make 238
-------------------------------------------------------------------
Samiul Hasan
CHENNAI (India), Jan 28: Yousuf Youhana and Moin Khan stroked gutsy
half centuries but three cruel umpiring decisions left Pakistan
with a daunting task in the first cricket Test against India.
Saeed Anwar, Ijaz Ahmed and Saqlain Mushtaq fell victims to highly
debatable decisions by Steve Dunne and V.K Ramaswamy of India as
Pakistan were bowled out for 238.
Youhana, who has made a great reputation of himself in a very short
time, scored a painstaking but attractive 53 and Moin Khan,
Pakistan's man of crises, slammed an entertaining 60.
Pakistan, requiring a couple of early wickets to get into even
terms with India, were let down by their demon but out-of-rhythm
fast bowlers Wasim Akram and Waqar Younis as the home team opener
took advantage of some erratic, wayward and ill-planned bowling to
race to 48 without loss in just eight overs.
Debutant and local boy Sadagopan Ramesh struck five some sweetly-
timed boundaries in his 30 while Venkatsai Laxman displayed his
wrist power by reaching 18 with three boundaries.
Anwar, who was blossoming by reaching 24, was declared leg before
by Ramaswamy as soon as the ball struck his pads after the opener
had offered no stroke. The ball was clearly missing the off-stump
by at least six inches but Ramaswamy thought it otherwise.
Four overs later, Dunne raised his finger towards the heaven when
Ijaz was hit on the pads when stretched well forward again while
offering no stroke. Television replays suggested that the ball
might have missed the leg-stump.
The dismissals of Saeed and Ijaz, nevertheless, had a huge impact
on the middle-order. Their departure in a space of 20 runs after
make-shift opener Shahid Afridi had already perished in the eighth
over of the match, pushed the Pakistan middle-order into their
shells. And when they tried to release the pressure, they plunged
into further trouble. Inzamam-ul-Haq, who came into the Test after
having scored 98 not out and 96 at Gwalior, offered a return
forward catch to Anil Kumble off a full toss. Salim Malik was cut
into half by Javagal Srinath immediately after lunch when the ball
clipped the bails as Pakistan slumped to 91 for five.
However, Pakistan's young gun, Yousuf Youhana, and man of crises,
Moin Khan, rebuilt the innings by sharing in a 63-run sixth wicket
stand in 85 minutes. A more positive seventh wicket partnership of
run-a-minute 60 between Moin Khan and Wasim Akram helped Pakistan
get to the eventual score which at one stage looked beyond reach.
Youhana, who was looking good, was taken by surprise by India's
golden boy Sachin Tendulkar when he was trapped right in front of
the wickets. But Youhana displayed great maturity and mental
toughness in his 140 minutes knock in which he received 107 balls
out of which seven were converted into boundaries and a straight
six off Anil Kumble. It was Youhana's fifth half century in 13th
Test innings besides a century against Zimbabwe in the previous
Test.
Moin Khan was as confident as ever when he cut with authority and
drove with power to belt seven boundaries and a six off Sunil Joshi
in his 117-ball 60 that came after 145 minutes of occupancy of the
wicket.
Moin was smartly caught by Saurav Ganguly in the first slip while
trying to guide a short ball from Kumble towards the third man
region.
Wasim Akram, captaining Pakistan for the fourth time in five years,
made no mistakes until he was caught by Venkatsai Laxman at short-
leg off Kumble for 38. His innings sparkled five boundaries and six
from 60 balls.
Despite bad umpiring, the Indians cannot be discredited from
putting up a disciplined performance. Javagal Srinath, their main
striker, jolted the top order by accounting for Afridi and Anwar
and from there Kumble took over the charge by dismantling the
middle-order to finish with six wickets for 70 in his 50th Test
match.
Azharuddin's captaincy was at its best when he brought on Tendulkar
after Yousuf Youhana and Moin Khan looked to take away the game
from him. Tendulkar struck on his third delivery to once again
prove how shrewd and smart his captain was. But fielding once again
remained below par as no less than four catches went down
Azharuddin being the guilty on two occasions. He dropped Afridi on
the 14th ball of the match while he showed greasy palms again when
he failed to hold onto a difficult chance offered by Anwar. Yousuf
Youhana and Moin Khan were also the beneficiaries on one occasion
each.
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990130
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Saqlain puts the Test on a knife-edge with a 5-wkt haul
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By Samiul Hasan
CHENNAI (India), Jan 29: The historic first Test between Pakistan
and India was put on a knife-edge by Saqlain Mushtaq who spun the
home team out for 254 in front of a disciplined but partisan
capacity crowd here on Friday.
Saqlain, captured his fifth of the five-wicket haul in 18 Tests
when he grabbed five wickets for 94 runs in 35 marathon overs to
allow India take a slender 16-run first innings lead after they had
resumed this morning at 48 for no loss. That lead had been slashed
by the stumps on the second day by the tourists who had reached 34
for the loss of Saeed Anwar's wicket.
The left-hander, for the second time in the match, was adjudged lbw
this time right in front of the wickets. When play ended with 5.1
overs still to be bowled, Shahid Afridi was at the crease on seven.
With him was Ijaz Ahmad on 11.
Afridi finished with three wickets for 31 runs, including the
wicket of Saurav Ganguly who scored a fighting 54 off 138 balls
with two sixes (both off Saqlain) and three boundaries. But it was
Saqlain Mushtaq who was the cat amongst the pigeons.
Contrary to the welcome Tendulkar received from the spectators,
Mohammad Azharuddin walked out but lasted only 28 balls before
Saqlain Mushtaq had him caught by Inzamam-ul-Haq at silly point.
In the second spell, he fooled a defiant Rahul Dravid off a
straight ball on which the batsman offered no stroke and was
adjudged lbw. Dravid, scored a flawless 53 off 113 balls with five
boundaries and a six.
Nayan Mongia was Saqlain's fourth victim. The Indian wicket keeper
tried to counter him by dancing down the track but ended up missing
the line of the ball to leave an easy stumping for Moin Khan. Anil
Kumble hung around for 45 balls before becoming Saqlain's final
scalp when he was caught at forward short leg by Yousuf Youhana.
The match is delicately placed with Pakistan just 18 runs ahead
with nine wickets and three days remaining. But if history has
anything to do with this Test, Pakistan should emerge winners as in
the Bangalore Test 12 years ago.
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