------------------------------------------------------------------- DAWN WIRE SERVICE ------------------------------------------------------------------- Week Ending : 15 September 2001 Issue : 07/37 -------------------------------------------------------------------
Contents | National News | Business & Economy | Editorials & Features | Sports
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CONTENTS ===================================================================
NATIONAL NEWS + Decision on US demands: Cabinet-NSC joint session summoned + 'Pakistan to back action if US has UN mandate' + Pakistan gets US list of demands: Powell talks to Musharraf + US seeks full help from Pakistan: Hunting down suspects + Religious, political parties opposed to US action + India-Pakistan distrust main issue, says Vajpayee + India seeks thorough probe into PoW issue + Kashmir at heart of all disputes, UNSC chief told + Sanctions on Pakistan, India may go soon + Shaukat says govt steps established credibility + Govt tells WB not to interfere in Ehtesab + NRB to establish link between NFC, PFCs + PPP wants Benazir's presence for fair polls + Benazir's plea for acquittal dismissed + Asif denies govt-PPP deal + Asif's cases be placed before one bench: SC + Supplementary reference filed in asset case + Surrey Palace: PPP denies govt claim + 'Asif bought assets from drug money' + UK papers produced in Asif drug case + Nawaz Sharif withdraws appeal from SC + Turkish court moved for $70m bank guarantee + Affected families refuse relocation + Army troops deployed at all airports + Crackdown on Jaish activists condemned + Dr Farooq Sattar's conviction set aside + Ex-BEL chief convicted in another case + Senior PTCL official shot dead in Karachi + Pace reduced to ashes --------------------------------- BUSINESS & ECONOMY + Eight banks sign agreement: Political risk guarantee facility + Offshore firm paid $1.06m by Hubco for unspecified job + ADB promises $500m loan annually + ADB to provide $250m for agriculture + SBP appoints two new directors + KSE-index sheds 50 points --------------------------------------- EDITORIALS & FEATURES + Justice-III Ardeshir Cowasjee + Israel hell-bent: US inaction Eric S. Margolis + The fury of despair Ayaz Amir + Troubled waters Irfan Husain ----------- SPORTS + New Zealand cancels Pakistan tour + Tight security for SAF Games: Indians keen to participate + PCB cancels four-nation one-day tournament + 'Six-million man' axed again + Sarfraz criticizes foreign coaches

Decision on US demands: Cabinet-NSC joint session summoned
By Faraz Hashmi

ISLAMABAD, Sept 14: The federal cabinet and the National Security 
Council will hold a joint meeting to formulate a response to a list 
of demands that the US expects Pakistan to meet in connection with 
steps being contemplated against those it believes are responsible 
for terrorist attacks on New York and the Pentagon.

The federal cabinet and the National Security Council will take the 
decision in the light of recommendations made by the military top 
brass after a day-long deliberations on Friday. No details of these 
recommendations have been made public, however, an official press 
release issued after the meeting said that these recommendations 
would be considered at a joint meeting of the NSC and federal 

A government source said the list of demands that reportedly 
includes sharing of intelligence information and use of Pakistani 
air-space, has already been handed over by Washington to Islamabad. 
The source further disclosed that the list contained 18 different 

He said that details of these measures were being kept secret by 
both the governments for obvious reasons. It is expected that these 
would come to light only after Islamabad's response to these as to 
how far it could go in meeting these demands.

The list was conveyed to Pakistan by the US Deputy Secretary of 
State, Richard Armitage, through Pakistan Ambassador Dr Maleeha 
Lodhi and ISI chief Lt-Gen Mehmood who is in Washington.

AIRPORT SHUT: Islamabad airport was closed for almost  six hours 
early Friday, police said. They said the airport was closed from 
3am to 8:45am but gave no reason, adds AFP/dpa. Islamabad airport 
was apparently used for planes bringing in equipment to prepare for 
retaliatory strikes against Osama bin Laden.

'Pakistan to back action if US has UN mandate'
Monitoring Desk

MOSCOW, Sept 14: Expressing doubts over the involvement of Osama 
bin Laden in terrorist strikes in US, Pakistan has said it will 
back US actions against him only if they have a UN mandate, PTI 
website reported.

Islamabad was doubtful about Bin Laden's role in the strikes, 
Pakistan ambassador to Russia Iftikhar Murshed was quoted on Friday 
as saying by Vremya Novostyel.

"When we receive absolute proof of the guilt of an individual or a 
group of individuals, Pakistan would cooperate with the US, NATO, 
international community, with every one to punish these people," he 

Stating that Pakistan had always opposed unilateral operations 
against someone, he said Islamabad would back the US retributions 
only if they had UN mandate.

Pakistan gets US list of demands: Powell talks to Musharraf
By Tahir Mirza

WASHINGTON, Sept 13: In fast-moving developments relating to 
Pakistan, Secretary of State Colin Powell talked to Gen Musharraf 
on the telephone and Washington provided Pakistan with a list of 
"concrete actions" that it expects Islamabad to take in connection 
with the action being contemplated against those it believes are 
responsible for attacks on New York and the Pentagon.

Details of the Powell-Musharraf conversation were not available, 
but CNN was reporting that they had received a message from 
Islamabad that Pakistan would extend all resources to fight against 
terrorism so as to accomplish the objectives laid down in the list 
of contemplated actions.

The list of what is expected of Pakistan was handed over to 
Pakistani ambassador Maleeha Lodhi at the State Department by 
Deputy Secretary Richard Armitage. 

US seeks full help from Pakistan: Hunting down suspects
By Syed Talat Hussain

ISLAMABAD, Sept 12: The United States is seeking full and practical 
cooperation from Pakistan to hunt down the suspects involved in the 
attacks on the World Trade Center in New York and the Pentagon, 
diplomatic sources said.

"The expectation of Washington, that has been made clear to 
Islamabad, is that all those countries that stand with the United 
States in this hour of grief will assist the Bush administration in 
finding out who has perpetrated this heinous crime," said the 

Although Washington has not put forth a specific set of demands for 
such an assistance, the diplomatic sources say the US is looking 
for any shred of evidence that may prove that anyone or any group 
from this region is associated with the attacks.

The primary focus of Washington is on determining the possibilities 
of the involvement of Osama bin Laden in the attacks, the sources 

The response of the Pakistan government is not yet known.

Diplomatic sources said the biggest dilemma facing Pakistan is to 
be prepared for a Washington-led attack against Osama bin Laden and 
the Taliban in the coming days, which will require Islamabad to 
render all assistance, including perhaps the use of its air-space 
and territory. Because the retaliation is likely to be with the 
full support of the international community, with the possibility 
also of the participation of Nato forces, Pakistan would be hard 
put to keep an equal distance from the Taliban and the forces 
carrying out the attacks. It will have to take sides, the sources 

Pakistani military officials say that so far there is no indication 
that any such attack is imminent. They, however, admit that 
Washington's retaliation is a foregone conclusion. "It will be 
massive and indiscriminate. It is only a question of when and 
against whom. So far the only name that we are hearing is Osama bin 
Laden and with him the Taliban," said one senior officer.

Meanwhile, the diplomatic sources said Pakistan has contacted the 
Taliban authorities through its embassy in Kabul conveying the 
urgency of finding a quick solution to the Osama bin Laden problem.

Religious, political parties opposed to US action
Staff Reporter

ISLAMABAD, Sept 14: Various religious and political parties of the 
country share opinion on the possible US military action against 
the Taliban regime and use of Pakistani soil.

Maulana Samiul Haq, chief of JUI, however gave a word of caution to 
the US and its European allies not to make the mistake of attacking 
Afghanistan from the soil of Pakistan. He also advised Islamabad to 
take the political and religious forces into confidence before 
allowing entry to US military or air defence system on its bases.

He said "we strongly condemn the terrorist attacks on nerve centres 
of US and call for an end to all sorts of terrorism." He however 
was cautious while commenting on provision of Pakistan's air space 
or soil to launch such an attack.

India-Pakistan distrust main issue, says Vajpayee
By Jawed Naqvi

NEW DELHI, Sept 10: Indian Prime Minister Atal Behari Vajpayee has 
described lingering distrust between India and Pakistan as the main 
problem between the two countries, an issue he expects to thrash 
out with President Pervez Musharraf beginning with their meeting in 
New York later this month, the Indian Express reported.

The newspaper quoted Vajpayee as revealing in an exclusive 
interview that he had declined an invitation by then US President 
Bill Clinton to fly down to Washington for a trilateral meeting in 
1999 involving the two and former Pakistani Prime Minister Nawaz 
Sharif, to end the Kargil standoff. General Pervez Musharraf was 
present in Washington with the Pakistani premier.

The interviewer, Express editor Shekhar Gupta, was regarded as a 
close friend of the Sharif government and was instrumental in 
starting the Lahore bus diplomacy when he first quoted Sharif as 
saying "Why go to Amritsar via Bhatinda?" The idea was later picked 
up by Vajpayee.

India seeks thorough probe into PoW issue
Monitoring Desk

NEW DELHI, Sept 10: India demanded a thorough investigation into 
the reported whereabouts of 54 missing Indian prisoners of war 
(PoWs) allegedly lodged in Pakistani jails even as Islamabad 
formally communicated its offer to facilitate a visit Pakistan by 
relatives of the PoWs.

"We would like a thorough inquiry that will address the issue 
fully, comprehensively and satisfactorily," an external affairs 
ministry spokesperson told reporters, adding the concerns of 
relatives of PoWs needed to be satisfactorily addressed. These 
relatives should be given all facilities to establish the 
whereabouts of the PoWs, she said.

The formal communication was handed over to India's deputy high 
commissioner in Islamabad, Sudhir Vyas, when he met Rashed Salim 
Khan, director-general of South Asia, in the Pakistan foreign 
office on Saturday, she said in response to questions.

"The next step is to work out feasible and practical modalities for 
the visit," she said. New Delhi would get back to Pakistan with its 
proposals for the visit, the spokesperson said.

Kashmir at heart of all disputes, UNSC chief told
UNITED NATIONS, Sept 9: As part of preparations for President 
Pervez Musharraf's visit to the UN later this month, Shamshad 
Ahmed, Pakistan's permanent UN representative, held a detailed 
meeting with the president of the Security Council, Ambassador 
Jean-David Levitte of France, to brief him on Pakistan's 
perspective on the regional situation.

Shamshad Ahmed said Pakistan had always sought good neighborly and 
tension-free relations with India on the basis of a settlement of 
the Kashmir dispute, which remained at the heart of all problems 
and conflicts in South Asia. He recalled Pakistan's consistent 
efforts for a meaningful and result-oriented dialogue with India, 
while emphasising that a just and honorable settlement of the 
Kashmir dispute in accordance with the wishes of the people of 
Kashmir would usher in an era of lasting peace and stability in the 

The Pakistani envoy briefed the SC president about relations 
between Pakistan and India after the Agra summit while outlining 
the prospects of the forthcoming meeting in New York between the 
Pakistan president and the prime minister of India.

He expressed the hope that the international community would 
encourage and support the dialogue process between the two 

Levitte described the Agra Summit as a positive development and 
welcomed the decision of the leaders to meet again in New York to 
carry forward the process. He also expressed the hope that the 
high-level dialogue process would culminate in durable peace 
between Pakistan and India.

Shamshad also briefed the council president on the situation in 
Afghanistan.  Reaffirming Pakistan's commitment to abide by the UN 
Security Council resolutions, he emphasized the need for the 
international community to evolve a fresh and constructive approach 
towards dealing with the Afghan situation in all its aspects rather 
than relying on punitive measures.-APP

Sanctions on Pakistan, India may go soon
Staff Correspondent

NEW YORK, Sept 8: The US sanctions against Pakistan and India 
imposed following the nuclear tests in 1998 can be lifted 
simultaneously before President George W. Bush's meetings with 
President Pervez Musharraf and Indian Prime Minister Atal Behari 
Vajpayee on the sidelines of the UN General Assembly session later 
this month.

A New York-based Indian weekly credits the new development to the 
"concerted" efforts of the pro-Pakistan lobby led by Pakistan 
Ambassador to Washington, Maleeha Lodhi.

The Indian weekly report quoted a senior administration official as 
having said: "It is clear if sanctions are lifted against India for 
the nuclear tests conducted in May 1998, it will also be 
appropriate to lift nuclear sanctions on Pakistan. This does not 
mean (that) the status of sanctions imposed on Pakistan as a result 
of the military takeover in October 1999 would change."

It quotes Assistant Secretary of State for South Asia Christina 
Rocca as having said that the concept of the "zero sum- game" 
towards South Asia had been totally eliminated from Washington's 
foreign policy lexicon. "India and Pakistan are important to the 
United States, separately and for different reasons," she said.

The weekly says that leading the charge for the simultaneous 
lifting of sanctions against both countries is Senator Sam 
Brownback, ranking Republican on the powerful Senate Foreign 
Relations Committee and author of the Brownback Amendment which 
gives the president permanent authority to waive the sanctions 
against New Delhi and Islamabad.

Pakistani American groups have invited Mr Brownback and other 
influential senators to political parleys and had hosted fund-
raising receptions to convince them that lifting the sanctions 
against India alone would be deemed "discriminatory" in Pakistan 
and would further alienate the US there.

At most of these events, the warm-up act has been by Ms Lodhi: "We 
have emphasized that once the sanctions review is completed, 
removal or waiver of sanctions against Pakistan and India should be 
done concurrently." At the same time, she urged the Pakistani 
American community to strongly "convey to administration as well as 
members of Congress that all nuclear-related sanctions against 
Pakistan must be removed or waived keeping in mind the principles 
of fairness and non-discrimination."

Pakistan, the paper said, is deftly playing another card by arguing 
that if the US is to be discriminatory in lifting sanctions, it 
will complicate the rapprochement Islamabad seeks with New Delhi. 
There is no denying that Congress and the administration have been 

Mr Brownback said that sanctions against the two countries should 
be lifted simultaneously for distinct and separate reasons. 
"Otherwise, you are going to build mistrust," he added.

State Department spokesman Richard Boucher echoed these sentiments: 
"Pakistan is a friend of long standing. It is an important regional 
Islamic power. And we are committed to working through the 
difficult political, economic and social challenges with Pakistan." 
A senior Pentagon official, Assistant Secretary of Defence for 
International Security Affairs Peter Rodman, went even further, 
taking a swipe at India in the process. He said during a media 
roundtable at the Pentagon: "The relationship with India is 
different. But Pakistan has been an ally over many decades. We, as 
a great power, shouldn't be dispensing with allies when, you know, 
we think conditions have changed."

Although the Indian paper expounds eloquently on the efforts of 
Pakistani lobby lead which it says is prodded by Ms Lodhi, it 
failed to mention the efforts of the huge Indian lobby on the 
Capitol Hill which is led by Indian diplomats. The powerful Indian 
lobby enlisted help mostly from the democrats on the Hill led by 
Senator Joe Biden, who has become chairman of the US Senate's 
foreign relations committee. In fact, the Indian lobby has been 
suggesting to the US lawmakers to keep Pakistani sanctions in 
place. However, its efforts have not paid off for now.

Senator Biden left the door open for the lifting of sanctions 
against Pakistan as he urged the removal of sanctions against 
India. In his letter to President Bush, he said: "Economic 
sanctions on India serve to stigmatize rather than stabilize. If we 
show our goodwill by removing this irritant, India will respond 
with reciprocal acts of goodwill in nonproliferation and other 
areas. (Then) Congress will be more likely to look with favour on 
the repeal (rather than the mere waiver) of the 1998 sanctions." At 
the same time, he inserted a caveat by informing President Bush: "I 
would want to discuss with you the issue of missile proliferation 
from China to Pakistan, before recommending the lifting of 

Analysts here say that while the latest US action of imposing 
sanctions against Chinese arms company on one hand complicated the 
case for lifting sanctions against Pakistan, on the other it could 
have helped by removing one hurdle. Now that those sanctions are in 
place, there's no reason not to deal with both countries with an 
even hand.

Shaukat says govt steps established credibility 
Staff Correspondent

QUETTA, Sept 9: The federal minister for finance Shaukat Aziz 
speaking at a day-seminar on Pakistan's Interim Poverty Reduction 
Strategy Paper (IPRSP) said that Balochistan would get a large 
share in the 10-year development program.

He said that mega projects have been initiated in the province to 
make up for the neglect.  He gave examples of the Gawadar deep-sea 
port, a special project for Gawadar town being implemented with 
Omanese government's assistance, the Makran coastal highway, work 
on which is already in progress, and the president only recently 
inaugurated work on the road from Gawadar.

Besides, the Saudi government is providing financial help for the 
construction of Mirani dam and many other projects. Referring to 
the theme of the seminar, the finance minister said that no country 
could be called a developed nation without the prosperity of its 
people. That is why the present government is emphasizing on 
poverty reduction programs.

He said, "the federal government wants to have consultations with 
the provinces in order to devise an effective strategy for poverty 
alleviation program."

The minister said that the measures taken by the government for 
economic revival has re-established the country's creditability 
abroad and won the confidence of donor agencies. He informed that 
the IPRSP will be finalized with the IMF in November. "Spending 
under the IPRSP would be made on poverty alleviation measures. The 
donors are helping us beyond this programme also," he remarked.

Stressing the need for public-private participation on the program, 
he said, "We should not rely only on government funding and should 
motivate the private sector to contribute in these efforts".  In 
this connection, the minister also mentioned the role of the NGOs.

He asked the provincial government to involve Nazims and other 
district-level stakeholders in the process.

Govt tells WB not to interfere in Ehtesab
By Khaleeq Kiani 

ISLAMABAD, Sept 8: Pakistan has asked the World Bank not to 
interfere in its internal accountability process which the 
government believed was transparent and based on ground realities.

This came in the background of appeals to the World Bank written by 
a couple of government officials and private people arrested by the 
National Accountability Bureau on charges of alleged corruption in 
land acquisition for $2.5 billion Ghazi Barotha Hydro Power Project 

Official sources told Dawn that a World Bank energy sector mission 
currently in Pakistan raised the issue at the introductory meeting 
with senior officials of the ministry of water and power last week.

The mission was told in unequivocal words by the secretary water 
and power Mirza Hamid Hassan that broad policy guidelines from the 
World Bank relating to acquisition of land on market rates was 
adhered to but this did not give blanket powers to any one to 
inflate prices more than 100 times in a matter of days.

The mission was told that even if NAB had arrested someone under 
suspicion his innocence would be automatically proved during the 
course of further investigations and the court proceedings. The 
guidelines for procedure of land acquisition on market rate as 
agreed to with the World Bank were never violated and the Bank 
should also stay away from domestic corruption issues.

The secretary told the energy sector mission that NAB had arrested 
the culprits only after it got undeniable evidence that fake 
orchards were shown and land price was inflated in a planned manner 
through stamp papers. In some cases, the land available at Rs1,000 
was sold at Rs100,000 within one week time which meant that 
artificial and inflated market rates were created by land mafia in 
connivance with the government officials.

The accused in GBHP, these sources said, had written letters to the 
World Bank in Washington that they had acquired land for GBHP on 
market rates strictly under the land acquisition guidelines of the 
World Bank but have been subjected to victimization. They had 
sought Bank's intervention in the matter, sources said.

On a reference from WAPDA and then District Monitoring Team Attock, 
the NAB had last month arrested some functionaries to expand 
investigations into the land-acquisition scam. Around 85,000 kanal 
were acquired for the project and amount so involved in the 
corruption deals stood at around Rs1.37 billion, these sources 

The officials have now been given in the judicial remand for 
further investigations. 

NRB to establish link between NFC, PFCs
Bureau Report

PESHAWAR, Sept 11: The National Reconstruction Bureau, which was 
recently involved in the formulation of the National Finance 
Commission award, wants to establish link between the next NFC 
award and the Provincial Finance Commissions (PFCs) awards to 
ensure ample financial support to the district governments, 
provincial government sources told Dawn.

The NRB's involvement in the NFC award's formulation, at a stage 
when the NFC has already held two meetings, has been described in 
line with its efforts to draw linkage between the NFC and the 
provincial finance commissions, set up in all the four provinces.

The federal government's decision to include NRB in the NFC's 
proceedings has caused authorities of the provincial government to 
believe that the country's apex policy-making body is likely to 
play a decisive role in the formulation of the next NFC award.

Sources said the NRB wanted to prepare the new plan of resource 
distribution among the federal and provincial governments on such 
lines that it should ensure substantial flow of funds to the 
district governments helping the new administrative setup to 

In this respect, added the sources, the NRB was studying the type 
of financial system the country needed to have in the wake of 
distortions and complications the current system underwent due to 
the devolution plan and the financial support and authority the 
district governments needed to grow up.

The NRB, said the sources, was expected to come up with its set of 
recommendations for the new NFC award during the next meeting in 
line with the four provincial governments which have apprised the 
federal government of their apprehensions, constraints and 
recommendations for the new NFC award.

PPP wants Benazir's presence for fair polls
Staff Reporter

ISLAMABAD, Sept 9: Criticizing the elements within the military 
regime creating misunderstanding between the army rulers and the 
Pakistan People's Party, a party spokesperson asked the military 
regime to ensure fair and free elections to enable the people to 
elect leader of their choice.

The spokesperson alleged that "the regime wanted to stop Benazir 
Bhutto from contesting next elections because of her popular 
support and if it so happens it will shatter the promise of Gen 
Musharraf of holding fair elections".

He said Benazir's presence in Pakistan would be the biggest 
endorsement that the elections were fair and free.

The PPP spokesperson said that although Gen Musharraf had promised 
fair elections, the recent investigative article by a newspaper 
indicated that the intelligence agencies were asked to stop the 
return of the PPP's certain high officials. "Certain high officials 
(of the regime) also stated in their private conversations that 
they would stop front runner Benazir Bhutto from contesting the 
next elections", he stated.

According to the said report, three of the serving generals and one 
retired general disliked Benazir Bhutto and wanted that she should 
be stopped from contesting the elections. The spokesperson feared 
that the promise of fair elections could be broken because of 
individual likes and dislikes as concluded in the article.

Asked to comment on the revelations, the spokesperson said that it 
was true that as Prime Minister Benazir Bhutto had wrote to the 
then COAS Gen Jehangir Karamat about the reports she received of 
attempts to destabilize her government headed by the then MI chief.

The spokesperson maintained that so far as Gen Musharraf was 
concerned, the reports of a stand off between former PM and the 
president over Kargil were incorrect. Nor did the then premier make 
any mark against the promotion file although she was entitled to do 
so had she any question marks in her mind. However, a discussion 
did take place where former PM disagreed with one of the 
conclusions that were presented to her in a GHQ briefing. 
Subsequent events through Kargil vindicated the vision  of the 
former PM on that occasion. 

The PPP leader said the GHQ could present views and the PM was to 
take decisions in the national interest being answerable to the 

Benazir's plea for acquittal dismissed
Staff Reporter

KARACHI, Sept 11: Judge Mohammed Jawaid Alam dismissed the 
application for the acquittal of former prime minister Benazir 
Bhutto in a reference pertaining to illegal appointments in the 
Pakistan International Airlines.

Defence counsel Abdul Hafiz Lakho had on Aug 11 filed the 
application for Benazir's acquittal of the charge of appointing and 
promoting 1,393 people in the national carrier in violation of 
rules during her last tenure as prime minister. Mr Lakho had prayed 
the court to acquit the former prime minister in the case as there 
had been no documentary evidence available on the record against 

The other accused persons in the reference are Air Vice Marshal 
(retd) Umer Farooq, former PIA chief, Naheed Khan, Ghulam Qadir 
Shah Jamote, Siraj Shamsuddin and Najamul Hasan.

The reference was initially filed against the former principal 
secretary to Benazir Bhutto, Ahmed Sadiq, and other accused persons 
on May 15, 1997. However, later Ahmed Sadiq was excluded from the 
investigation and he was made a prosecution witness following his 
statement before the investigators. He stated that he had only 
acted upon the orders of the former prime minister. Following his 
statement the prosecution agency submitted a supplementary charge 
against Benazir Bhutto and other accused before the then Ehtesab 
Bench of the Sindh High Court.

Later, the case was transferred to the accountability court, which 
recorded the statements of the remaining prosecution witnesses. The 
judge adjourned the hearing of the reference till Sept 29.

Asif denies govt-PPP deal 
Staff Correspondent

NOWSHERA, Sept 12: Asif Ali Zardari has said that rumors about a 
government-PPP deal were part of a campaign launched by anti-
People's Party forces to malign the party.

"If we had to strike a deal with the government, why we should have 
faced trials in courts for five years," said Mr Zardari while 
talking to Dawn at the Attock Fort. Mr Zardari said that though the 
government had tortured him, it had failed to prove a single charge 
against him. He said Farooq Leghari's wrong decisions had brought 
the country to the brink of collapse. 

He hoped that the PPP would sweep the general election. He advised 
party workers to prepare for it.

Mr Zardari said Ms Bhutto would soon come back and run for 
premiership for the third time.

Asif's cases be placed before one bench: SC
Staff Reporter

ISLAMABAD, Sept 11: The bench, comprising Justice Iftikhar Mohammad 
Chaudhry and Justice Hamid Ali Mirza, directed the SC office to 
place all the pending cases of Asif Zardari before the Chief 
Justice for placing those before the bench.

Asif Zardari has filed a number of petitions in the Supreme Court, 
including the one seeking transfer of all his cases to courts 
working in Sindh.

Barrister Abdul Hafeez Pirzada, Farooq H. Naik and Raja Shafqat 
Abbasi appeared on behalf of Asif Zardari.

When the petition seeking transfer of Asif Zardari's cases was 
taken up, Abdul Hafeez Pirzada stated that the SC had passed an 
order that Asif Zardari would be kept in Rawalpindi for three 
months and if his cases could not be completed in this period, he 
would be shifted to Sindh for three months. The counsel said three 
month's period expired on Aug 16, but his client was not shifted to 
Karachi for appearing in cases pending in courts in Sindh.

Raja Bashir, Prosecutor General Accountability, stated that a 
review petition against the Supreme Court order of transferring 
Asif Zardari to Karachi after three months, was pending in the 
court. He said the cases could not be decided due to delaying 
tactics employed by the defence.
Supplementary reference filed in asset case
By Rafaqat Ali

ISLAMABAD, Sept 12:The National Accountability Bureau submitted 
third supplementary reference in the asset case of Asif Zardari, 
pending before the accountability court at Attock, stating that it 
wanted to produce some artefects which it acquired from a British 
company, as evidence to prove that Rockwood House was owned by the 

It is third supplementary reference which the NAB and its 
predecessor, Ehtesab Bureau has submitted after the filing of case 
against Asif Zardari on February 2,1998, alleging that he owned 
properties, in and outside Pakistan, disproportionate to his 
declared source of income.

The first supplementary reference was filed on June 28, 1998, 
second on August 19, 1998. In the third supplementary reference 
before the Accountability Court at Attock, the NAB chairman, Lt. 
General Khalid Maqbool stated that during investigation it came to 
light that Asif Zardari through his front companies engaged a 
British company to repair and restore Rockwood House.

The NAB chairman stated that Managing Director and Secretary of the 
Grant Bridge Company handed over certain items which it wanted to 
place on the record of the court.

The NAB would produce five Friezes, one plate, one family 
photograph, two swords (bayonets), silver tea set (three pieces) 
and two antique rifles, in the court as evidence to show that Asif 
Zardari was the owner of Rockwood House.

The NAB chairman stated that evidence established that substantial 
part of the funds paid by sugar dealers of five sugar mills owned 
by Asif Zardari through his front men, were not deposited in the 
company accounts of the sugar mills but were deposited in Benami 
accounts maintained by other directors of the sugar mills. Out of 
the funds deposited in the Benami accounts, the agreed share was 
paid to Asif Ali Zardari through his servants, aides and other 
officials of the mills.

The NAB chairman stated that the evidence collected regarding the 
ownership of Asif Ali Zardari over the sugar mills and Rockwood 
House was essential for the just decision of the case.

Surrey Palace: PPP denies govt claim
Bureau Report

ISLAMABAD, Sept 10: Pakistan People's Party denied that former 
senator Asif Ali Zardari had been handed over the documents 
establishing his ownership of the Surrey Palace.

In a statement issued by the party's media centre here, a PPP 
spokesman termed the government claim that the Surrey Palace had 
been bought by Ms Benazir Bhutto and Asif Ali Zardari through the 
drug money, a part of vilification campaign.

"We are yet to see any documents regarding the ownership of Surrey 
as claimed in the regime's press release," the spokesman said. "We 
saw lots of disinformation and to our knowledge there is no 
ownership," he said and alleged that regime committed perversion of 
justice when it tortured Arif Baloch and Shorang Khan into giving 
perjured statements.

"They are committing perjury once again by alleging the PPP 
leadership was involved in narcotics or corruption. In fact, the 
law-enforcers broke the law by perverting justice and should be 
tried," he said.

"Sometimes the regime alleges that Asif Zardari has purchased the 
property through corrupt practices and means and sometimes the 
regime alleges that the same property has been acquired through 
drug money," he said.

It showed explicitly the fabrication and concoction in the 
allegation of the regime, he added.

'Asif bought assets from drug money'
Staff Reporter

LAHORE, Sept 9: The special prosecutor in the narcotics case 
against former federal minister Asif Ali Zardari told a press 
conference that drug money had paid for UK assets of Mr Zardari. 
Malik Muhammad Iqbal Bhatti, the special prosecutor, also released 
to the press the documents which he claimed proved that Mr Zardari, 
his wife Benazir Bhutto and their children were the 'beneficiaries' 
of three properties in London.

He said the properties - Rockwood House, Winkford Farm and 
Parsonage Farm - were valued at 2.25 million pounds, 375,000 pounds 
and 150,000 pounds, respectively.

The documents, which he said had been obtained from the Home 
Department, were submitted to the court comprising the Lahore 
district and sessions judge, Mian Muhammad Jehangir.

The lawyer said the documents were filed in the court of a Bow 
Street magistrate entrusted the job of tracing the assets of Mr 
Zardari and Ms Bhutto on an official request by the Attorney 
General of Pakistan. The Attorney General had made the request in 

Mr Bhatti said the magistrate had examined many witnesses and 
thousands of documents had been filed and exhibited in his court. 
Eventually, Mr Zardari's appeals for a judicial review were 
dismissed by a UK court. As a result, the depositions and 22,000 
documents were recently handed over to the Attorney General.

The lawyer said the examination of these documents established that 
Mr Zardari had acquired Rockwood House, Winkford Farm and Parsonage 
Farm in the Surrey county of England, 30 miles from London through 
the device of incorporating companies and trusts in the Isle of 

He said he had requested the court to summon as witnesses Home 
Department under-secretary Malik Masood Ahmad and FIA deputy 
director Abdul Jalil Khan, who possessed the original documents to 
prove that the property was acquired using drug money.

UK papers produced in Asif drug case
Staff Reporter

LAHORE, Sept 8: Former federal minister Asif Ali Zardari was 
brought to Lahore from Islamabad and produced before the district 
and sessions judge in the Kot Lakhpat jail in connection with a 
narcotics case.

Documents comprising about 20,000 pages, obtained from UK to 
substantiate charges against Mr Zardari, were submitted before the 
court and copies provided to the accused.

Details of the documents are expected to be released at a news 
conference on Sunday. The accused was also provided with a list of 
31 witnesses against him.

The court would take up  the case on Sept 26 when the prosecution 
and the defence would give their points of view about the status of 
the documents.

Raja Muhammad Anwar, Sardar Latif Khosa and Mian Hanif Tahir 
appeared on Mr Zardari's behalf. Sardar Khosa requested that the 
hearing be adjourned till the third week of October as he was busy 
in connection with the Supreme Court Bar Association elections. 

The court granted the request and decided to record statements of 
important witnesses after Oct 20.

Nawaz Sharif withdraws appeal from SC
ISLAMABAD, Sept 13: Former prime minister Nawaz Sharif withdrew his 
appeal from Supreme Court in which it was maintained that trial of 
his cases in Attock court was illegal.

The counsel for Nawaz Sharif submitted before the court that he had 
received instructions from his client that since he had proceeded 
to Saudi Arabia, the appeal had become infructuous and thus allowed 
to be withdrawn.-APP

Turkish court moved for $70m bank guarantee
Staff Reporter

ISLAMABAD, Sept 8: Pakistan has approached a Turkish Commercial 
Court for vacation of its order, on whose basis Turkish Banks have 
refused to enchash $70 million bank guarantee to Pakistan.

Federal Minister for Communication Javed Ashraf Qazi said that when 
Pakistan approached the Turkish bank's consortium for encasement of 
guarantee as Bayinder had been expelled from the site for its 
failure to complete the project, the request was turned down on the 
grounds that a local court had issued prohibition order.

Pakistan has now hired a Turkish lawyer who would present 
Pakistan's case. The minister is hopeful that Pakistan would be 
able to encash the bank guarantee. The minister said if the bank 
guarantee was encashed, the government would clear the dues of 
local contractors who were hired by the Turkish contractors for 
working on Islamabad-Peshawar motorway project.

The bank guarantee extended by a consortium of seven Turkish banks 
was invoked after the National Highway Authority "expelled" the 
Turkish contractor, Bayinder, for its failure to complete two 
sections of the motorway on schedule.

The contractor has taken the position before the court that the 
bank guarantee could not be invoked till the dispute was finally 
resolved through arbitration. The contractor was expelled from the 
site under clause 69.1 of the contract, according to which the work 
would be completed at the risk and cost of the contractor.

The NHA is of the view that it had paid Rs15 billion to the 
contractor and would recover Rs6 billion which were paid to it in 
the form of mobilisation advance.

The government of Pakistan had also signed a loan agreement for 
US$100 million with Exim Bank of Turkey for the construction of 
Peshawar-Islamabad motorway at the interest rate of 10 percent (4.5 
per cent above LIBOR). The total loan was not utilised. After the 
utilisation of US$54 million, the government of Pakistan cancelled 
the credit line.
Under the original contract terms, the contractor was required to 
arrange foreign loan worth US$322 million.

The loan obtained from Exim Bank of Turkey is to be paid within a 
period of three years. Unlike the loan agreements signed for the 
construction of Islamabad-Lahore section of motorway, this loan 
agreement had no grace period.

Affected families refuse relocation
By Khaleeq Kiani

ISLAMABAD, Sept 9: Around 1,144 people affected by Tarbela Dam have 
refused to settle in the Sindh province despite an offer by the 
provincial government under the World Bank conditionality of their 
resettlement to qualify release of funds for the US$2.5 billion 
Ghazi Barotha Power Project (GBHP).

The World Bank had included the clause of the resettlement of 
Tarbela Dam affected people in the GBHP loan agreement, though the 
government now felt the two projects should not have been inter-
linked, official sources told Dawn .

Now that GBHP is almost 80 per cent complete, the remaining funding 
of around Rs35 billion was required to take the project to the 
production level. Of this amount, the donor agencies led by the 
World Bank had set a condition that WAPDA would have to generate 
around Rs17 billion from its own resources for the release of 
matching foreign funding.

WAPDA has recently sold its fresh bonds worth Rs5 billion and plans 
to float another Rs1 billion bonds shortly to meet its financing 
requirement during the current fiscal year.

The visiting energy-sector mission of the World Bank has told the 
government that funding for the GBHP would not be available until 
it was satisfied with the resettlement of Tarbela Dam affected 

On repeated communications from the World Bank, the government 
invited applications from the displaced people and received over 
5,000 applications. After scrutiny, it was, however, found that 
only 1,144 genuine applicants, including 40 who were already paid 
compensation but could not get the land.

Recently, the government had asked all the provinces to help 
resolve the issue and settle these displaced people, but Punjab and 
the NWFP refused to oblige. The Punjab government said that it had 
already provided around 90,000 acres in 1970's and was not in a 
position to accommodate more people.

The Sindh government, however, agreed to provide land but the 
applicants refused to shift because most of them have already set 
up businesses in Punjab and the NWFP.

Sources in the power ministry said that since Punjab was the main 
beneficiary of the Ghazi Barotha Hydro Power Project (GBHP) besides 
WAPDA, it would be asked to accommodate major portion of the 
affected people. The ministry has also told the president about the 
situation and the World Bank's tough stand on the issue, sources 

The energy-sector mission is currently holding review meetings with 
the power sector and oil and gas companies, and would leave on 
September 22 after the wrap-up meeting. The mission's report would 
finally determine whether the WB is going to release funds for the 
project that has already been delayed by over one year primarily 
because of continued shortage of funds and the land acquisition 

Army troops deployed at all airports
ISLAMABAD, Sept 14: The military spokesman and Director of Inter-
Services Public Relations, Brig Saulat Raza, has said army 
contingents have been deployed at all the international airports of 
the country over the last couple of days as a part of security 
measures but no airport has been closed at all.

To a question, the military spokesman said national and 
international flights were operating as per schedule and so far no 
flight had been delayed.

Crackdown on Jaish activists condemned
Staff Correspondent

GUJRANWALA, Sept 9: Leaders and ulema of various religious parties 
have strongly protested against the administration and police for 
arresting Jaish-i-Muhammad leaders and activists and demanded their 
immediate release.

At an emergent meeting held in Sheranwala Bagh Jamia Masjid, 
Pakistan Shariat Council secretary-general Maulana Zahidul Rashadi 
said the police had arrested his party leaders and activists 
without any justification. Similarly, he said SSP president Maulana 
Muhammad Nawaz Baloch, JUI's Qari Muhammad Ikram and Jamiat Ahl-i-
Sunnat's Hafiz Muhammad Arshed were also arrested on baseless 

He held administration and police responsible for creating law and 
order situation during a peaceful religious moot on Aug 7.

Dr Farooq Sattar's conviction set aside
Staff Reporter

LAHORE, Sept 13: Dr Farooq Sattar, former mayor of Karachi and 
senior minister of Sindh, was acquitted of the charge of misuse of 
authority by a Lahore High Court appellate bench.

Accepting the MQM leader's appeal and setting aside his conviction 
and sentence handed down by the Attock accountability court, the 
bench comprising Justice Mian Nazir Akhtar and Justice Mian 
Najamuzzaman, held that no case has been made out by the National 
Accountability Bureau to show that appellant made wrongful gain or 
caused wrongful loss to the Karachi Metropolitan Corporation as 
minister in-charge of local bodies.

Farooq Sattar was sentenced to undergo 14 years rigorous 
imprisonment, pay a fine of Rs50 million and suffer 
disqualification from holding any public office for 21 years. 

Co-accused Anzar Hussain Zaidi, former KMC administrator, who was 
jailed for 10 years, fined Rs5 million and disqualified for 21 
years, was also acquitted in appeal. Six co-accused, including five 
partners of the octroi firm alleged to have been favoured by Dr 
Sattar and a former additional chief secretary of Sindh are 

As the bench announced acceptance of appeal, Dr Abdul Basit, the 
appellant's counsel, pressed for payment of Rs100 million as 
compensation for baseless prosecution and the torture caused by it 
to his client. The plea was refused.

Ex-BEL chief convicted in another case
Staff Reporter

KARACHI, Sept 10: Former chief of the Bankers' Equity Ltd (BEL), 
Rauf B. Qadri, was convicted in another corruption reference by an 
accountability court, which sentenced him to two terms of rigorous 
imprisonment, totaling 12 years.

Judge Dr Qamaruddin Bohra of AC-1 handed down to the former banker 
a seven-year term for committing criminal breach of trust under 
section 409 of the Pakistan Penal Code. A fine of Rs1 million was 
also imposed on Mr Qadri, who would have to suffer an additional 
two-year RI in case of default on the payment.

The former BEL chief was prosecuted for fake transactions of 
purchase of shares using BEL funds. He manipulated fake vouchers in 
the name of a stock broker, Sadiq Ali Fida Hussain, and transferred 
Rs1.675 million into his personal account.

The judge sentenced the accused to suffer five-year RI and pay a 
fine of Rs100,000 for falsification of accounts, under section 477-
A of the PPC. Mr Qadri will have to undergo an additional one-year 
term in case of default on the payment.

This was the third reference in which the former BEL chief was 
convicted. Two more corruption references are still pending before 
the accountability court.

Senior PTCL official shot dead in Karachi
Staff Reporter

KARACHI, Sept 10: A senior official of Pakistan Telecommunication 
Company Limited was shot dead by unidentified motorcyclists. Syed 
Altaf Hussain Bangash, was on his way to office at Pak Capital 
Telephone Exchange, when he was intercepted by three armed men near 
his office off University Road.

The armed men targeted Altaf Hussain, sitting on the rear seat and 
sprayed him with bullets. The driver, Azfar Ali, who remained 
unhurt in the attack, took Altaf Hussain to a private hospital 
where doctors pronounced him dead. The body was later taken to 
Jinnah Postgraduate Medical Centre for autopsy.

District police chief Rehmat Khan Mehsood said: "The incident 
appeared to be sectarian motivated but other aspects could not be 
ruled out as the victim hailed from the NWFP and he could have some 
personal enmity." He said Safar Ali Bangash and Rajab Ali Bangash, 
father-in-law and brother-in-law respectively of Altaf Hussain had 
been shot dead some two years ago in old Haji camp area.

He said driver Azfar Ali helped the police draw sketch of one of 
the assassins. The police had started investigations to find a clue 
to the suspects. Altaf Hussain was posted as divisional engineer, 
Pak Capital Exchange, in January 2000. 

Pace reduced to ashes
By Asif Shahzad

LAHORE, Sept 13: Four-storeyed departmental store Pace on the 
Gulberg's Main Boulevard was burnt to ashes. However, the extent of 
the damaged caused is yet to be determined. Built by former 
cricketer Imran Khan and other share-holders, the building and its 
assets are stated to be worth Rs800 million. Pace constituted some 
202 shops, a super market and a food court at four floors of the 
building. Some 440 people were employed at the departmental store 
besides 182 staffers working in the administration.

Eyewitnesses told Dawn that the fire broke out at around 9:30am at 
first floor of the building. The blaze spread all over the building 
in minutes, they said. Four people are stated to be in critical 

The Pace Traders Union alleged that the incident was planned. Union 
president Nazir Chohan told reporters that the building and its 
assets were insured and the administration was in a debt of Rs30 
million. He alleged that the administration had not taken care of 
the maintenance of the building since its construction.

Denying the allegations, one Mumtaz Syed, who introduced himself as 
a spokesman for the Pace administration, told a press conference at 
the Lahore Press Club: "I am so far unable to say anything about a 
cause or motive behind the fire." He said the administration had 
initiated an inquiry to find the cause of fire. He admitted that 
the building and its assets were insured for Rs200 million with 
Shaheen Insurance and its debts amounted to some Rs30 million. 
"That does not mean that we did it to protect our interests," he 

Eight banks sign agreement: Political risk guarantee facility 
Staff Reporter

KARACHI, Sept 10: Following the improvement in Pakistan's 
international credibility, the "confirmation of short term below 90 
days letter of credit is readily available and charges are 
falling," disclosed the Resident Representative of Asian 
Development Bank (ADB) in Pakistan Marshuk Ali Shah.

He attributed the improvement in Pakistan's international 
credibility to "good progress in implementing an ambitious reform 
agenda." However, confirmation of import letters of credit with 
longer maturities beyond 180 days remain problematic and exporters 
often find it expensive to obtain confirmation of these LCs. 

While ADB is the sponsor of this 150 million dollar trade financing 
facility, Standard Chartered Bank is the 'Facility Agent'. There 
are seven other international banks which will provide credit risk 
guarantee on letters of credit for import to be established by 
Pakistan's small and medium enterprises. These international banks 
are Credit Agricole Indosuez, Duetsche Bank, H.S.B.C. Holding 
Company, Ing Bank, Societe Generale, Sumitomo Mitusi Banking 
Corporation and Wels Forgp Bank NA.

"We have enlarged the tool box of financing available to the 
exporters," the Governor of the State Bank of Pakistan Dr Ishrat 
Hussain remarked on the occasion. Marshuk Ali Shah in his speech 
elaborated on the facilities being offered by his Bank to Pakistan 
under trade, export promotion and industry program (TEPI), and 
under small and medium enterprises enhancement finance project 

He said the SMETEF was conceived and approved with the Pakistan 
government last December under a 150 million dollar financial 
package. The Political Risk Guarantee, launched, is one of the key 
components. Other components of the program are the setting up of 
Pakistan Export Finance Guarantee Agency (PEFGA), which was 
launched in July last.

He elaborated on the Foreign Currency Export Facility of 150 
million dollars announced by the State Bank in April with re- 
funding from ADB. Under this facility, the financing is offered to 
the exporters at 2 per cent plus LIBOR. "With recent drop in US 
rates, this funding will now become available to the exporters at 6 
per cent," he said.

Offshore firm paid $1.06m by Hubco for unspecified job
By Khaleeq Kiani

ISLAMABAD, Sept 12: The Hub Power Company made a payment of $1.06 
million to an un-addressed offshore company for an "unspecified 
job" that completed in just three days, an investigative report of 
the company revealed.

The report, compiled by Klynyeld Peat Marwick and Goerdeler (KPMG), 
an international accounting and consulting firm, on the directive 
of former Hubco chief in Pakistan Mike Woodroffe, has questioned 
the role of a senior executive of formerly ANZ Bank, who later 
became Hubco's finance director and an offshore one-man company 
Xaninvest for dealings on behalf of Al-Rajhi, one of the financiers 
of Hubco.

The disclosure of the report, now made available to WAPDA and Dawn, 
resulted in dismissal of Mike Woodroffe in the heat of WAPDA-IPPs 
controversy because dealings with fake offshore companies was 
disclosed for the first time through a comprehensive report. Former 
Ehtesab Bureau Chief Saifur Rehman had pursued the report almost 
all over the world but failed to get hold of it.

The report revealed that Al-Rajhi funding known as Istisna-I was 
initially for $92 million but was subsequently increased to $106 
million under Istisna-II (an Islamic mode of financing). Istisna-I 
comprised a sale and repurchase agreement whereby Hubco sold 
specified assets to Al-Rajhi with an obligation to repurchase the 
same assets at a contracted price by a specified date. The 
repurchase price was predetermined to allow Al-Rajhi a margin. This 
was effectively a financing cost to Hubco.

Under Istisna-II, Al-Rajhi advanced $92 million to Hubco on Dec 2, 
1992, in three accounts. Hubco was required to repay the three 
amounts grossed up to include Al-Rajhi's margin on Sept 2, 1993.

Due to movements in the dollar exchange rates between the two dates 
Hubco had to bear in addition to their financing cost up to 
disbursement of Istisna-II of some $7.4 million, a foreign exchange 
loss of around $6.5 million due to the fact that foreign exchange 
risk had not been hedged.

The report said that Raziur Rehman, an employee of the ANZ Bank, 
was heavily involved in the arrangement of Istisna-I and later 
appointed a finance director of Hubco on a substantial tax-free 
salary. The ANZ bank was, however, not paid any fee or service 
charges for arranging the amount that led to detailed 

Xaninvest owned by a former clerk of a bank in Bahrain was paid an 
amount of $1.06 million by Hubco for services provided for and on 
behalf of Hubco in arranging effective bridge finance and roll-over 
of Istisna-I into II but no formal contract was signed.

Interestingly, this amount of $1.06 million was paid to Xaninvest 
by the first-ever chief executive of Hubco and finance director 
purely for work performed between August 29 and September 16, 1993.

The report has recorded interesting conversations between Razi 
Khan, Xaninvest and some other players that showed that Xaninvest 
had no address, account numbers, or registration of the company but 
its owner was in contact with the then authorities in Pakistan, ANZ 
Bank and Islamic investors.

The board of directors were not provided with the details of 
services performed by Xaninvest and KPMG noted that in the absence 
of a prior trading history and nothing more than an "awareness" of 
a prior "association" with ANZ, Khan's purported authorization of 
Xaninvest, in the absence of any tendering process, appeared 
irregular as all the works had already completed by that time.

The KPMG in its final report said that (i) beneficial ownership of 
Xaninvest at all material time could not be established; (ii) It 
appeared that Allawi (owner of Xaninvest) involvement in Istisna-1 
was on behalf of Al-Rajhi but it was unclear whether he worked for 
Al-Rajhi on Istisna-II or had any other conflict of interest.

The report said it was difficult to accept that a one man operation 
run from a personal address in the UK without its own bank account 
should be appointed for a job generating a fee of $1.06 million for 
work which it appears was conducted over a three-day period.

The board minutes of Aug 29 and Oct 2, 1993, did not specifically 
authorize any payment to Xaninvest and there were conflicting 
accounts of what transpired on both these occasions.

There was no correspondence to the fact that what was the level of 
fee, either it was one per cent or one and a half per cent. The 
report recommended a full explanation of all invoices and details 
of the work done for approval of the amount by the board of 

ADB promises $500m loan annually
Staff Reporter

LAHORE, Sept 8: The Asian Development Bank (ADB) has provided $250 
million loan for the development of Pakistan's capital markets, 
said resident representative of ADB Marshuk Ali Shah.

He said the Pakistan Export Finance Guarantee Agency (PEFGA) was 
also instituted with the help of the ADB under its private sector 
strategy. He said the bank would extend $500 million financial 
assistance per annum to Pakistan in the coming years. Last year, 
the bank had provided $700 million aid to the country which was 
more than the ADB's average aid level.

The ADB had so far provided a total of $10 billion financial 
assistance to Pakistan, he added.

ADB to provide $250m for agriculture
Staff  Reporter

ISLAMABAD, Sept 8: The Asian Development Bank will spend $250 
million on Pakistani agriculture in the current financial year. 
This was stated by ADB programs manager S. H. Rehman during a 
meeting with Federal Minister for Food, Agriculture and Livestock 
Kher Mohammad Junejo.

Mr Rehman, who had called on the minister at his office, said the 
ADB would continue to assist Pakistan as long as it was required to 
do so. Terming the activities in the local private sector as 
encouraging, he said the ADB was looking for more venues to assist 
and strengthen the private sector.

SBP appoints two new directors
KARACHI, Sept 8: As part of its ongoing restructuring and 
institutional capacity building process, the State Bank has 
acquired the services of two professional and experienced 
Management and Chartered Accountants to head its Accounts and Audit 
departments, says an SBP press release.

Muhammed Saleem Rehmani, a management accountant, has been 
appointed as Director of Accounts Department. He brings to his new 
assignment 16 years' experience in the field of Cost and Management 
Accountancy. Earlier, he has been associated with various 
multinational companies.

Noman Ahmed Qureshi, a Chartered Accountant, has been appointed as 
Director of Audit Department. He has to his credit 21 years' 
experience in the field of Auditing & Financial Accountancy. Prior 
to joining the SBP, he has been associated with various development 
finance institutions of the country.

KSE-index sheds 50 points
Staff Reporter

KARACHI, Sept 14: The KSE 100-share index suffered a fresh sharp 
fall of four per cent or 50.27 points at 1,139.64, making the total 
losses in the post-US attacks to 100 points or about 10 per cent.

At one stage it was down by 68 points eroding about Rs.14bn from 
the market capitalization.

Minus signs dominated the list as only 14 shares rose, while 145 
fell, with 25 holding on to the last levels. Adamjee Insurance, 
Sapphire Textiles, Dewan Salman, PSO, Sitara Chemical, Cherat 
Paper, Engro Chemical and Tri-Pack Films were the leading among the 
other prominent losers.

Al-Ghazi Tractors, Ismail Industries, Liberty Mills, Thal 
Industries and Fazal Textiles were leading among the gainers, up 
one rupee to Rs.5.00.

Trading volume fell to 73m shares as compared to 78m shares a day 
earlier as losers maintained a strong lead over the gainers.

PTCL led the list of actives, off 45 paisa at Rs.13.85 on 28m 
shares followed by Hubco, easy 95 paisa at Rs.14.15 on 23 shares, 
PSO, off Rs.1.70 at Rs.118.45 on 9m shares, Sui Northern, down 85 
paisa at Rs.7.65 on 2m shares and WorldCall Payphone, off Rs.1.80 
at Rs.11.00 on 1m shares.

Other actives were led by Adamjee Insurance, off Rs.3.55 on 1.066m 
shares, FFC-Jordan Fertiliser, easy 15 paisa on 0.931m shares, 
Engro Chemical, off Rs.3.25 on 0.888m shares, Nishat Mills, lower 
Rs.1.50 on 0.792m shares and Dewan Salman, off Rs.1.85 on 0.637m 

FORWARD COUNTER: Bear onslaught continued on the speculative issues 
as leading among them came in for renewed selling under the lead of 
Engro Chemical, which was marked down by Rs.2.90 at Rs.47.10 on 
0.184m shares followed by Fauji Fertiliser, easy Rs.1.65 at 
Rs.31.00 on 18,500 shares.

Among the most actives, Hubco was leading, off Rs.1.10 at Rs.14.05 
on 0.639m shares followed by PTCL, lower 55 paisa at Rs.13.80 on 
0.268m shares, and PSO, easy 60 paisa at Rs.119.50 on 0.173m 

DIVIDEND: Indus Motor Company, cash 15 per cent for the year ended 
June 30, 2001.

Back to the top
By Ardeshir Cowasjee

What has to be said again and again for as long as what remains of 
Jinnah's Pakistan exists, and what must bear repetition ad 
infinitum, is one well known sentence from Mohammad Ali Jinnah's 
momentous speech delivered on August 11, 1947: "The first duty of a 
government is to maintain law and order so that the life, property 
and religious beliefs of its subjects are fully protected by the 

Lesser known is what he told the people of Australia in his 
broadcast of February 19, 1948: "The great majority of us are 
Muslims. We follow the teachings of the Prophet Muhammad, may peace 
be upon him, we are members of the brotherhood of Islam in which 
all are equal in rights, dignity and self-respect. Consequently we 
have a special and very deep sense of unity. But make no mistake, 
Pakistan is not a theocracy, or anything like it. Islam demands 
from us the tolerance of other creeds and we welcome in closest 
association with us all those who, of whatever creed, are 
themselves willing and ready to play their part as true and loyal 
citizens of Pakistan."

That month he also spoke on the radio to the people of the United 
States when he told them much the same thing: "Islam and its 
idealism have taught us democracy. It has taught equality of man, 
justice and fair play to everybody. We are the inheritors of these 
glorious traditions and are fully alive to our responsibilities and 
obligations as framers of the future constitution of Pakistan. In 
any case, Pakistan is not going to be a theocratic state - to be 
ruled by priests with a divine mission. We have non-Muslims, 
Hindus, Christians, Parsis - but they are all Pakistanis. They will 
enjoy the same rights and privileges as any other citizen and play 
their rightful part in the affairs of Pakistan."

He said all this with faith in his legacy.

Since my last column, yet another citizen of Pakistan has been 
gunned down in Karachi merely because he was a member of the Shia 
sect of Islam. The Shias of Karachi and those who support the 
fundamental freedoms guaranteed to them by the Constitution of the 
Islamic Republic led a protest march two days ago. The result: 
stone throwing, broken windscreens, much disorder.

According to yesterday's Dawn report on the incident, "the law-
enforcing agencies said that 'It is still a blind murder and no 
major breakthrough has been achieved'.... five leaders are in 
custody and police have arrested ten more protesters and booked 
them for damaging public property." The oblique message of the law 
enforcement agencies to the Shias: we are unable to protect you 
from being killed and if you protest we will arrest you. The Shias 
are naturally angry and we can look forward to more protests and 
more arrests.

In various areas of Pakistan, over one hundred members of the 
Ahmadi community are under trial, charged and accused under the 
blasphemy laws operative in this country, some in custody, some 
not. Again and again they are called to appear before our courts 
only to be told that their cases have been adjourned for one good 
or bad reason. The strife continues.

One publication of our press did us a good turn on August 26 2001. 
A columnist of a national newspaper published from Lahore has 
traced the history of these blasphemy laws. It makes sad reading. I 

Section 295 of the Pakistan Penal Code dates back to 1860. It 
stipulates: "Whoever destroys, damages or defiles any place of 
worship, or any object held sacred by any class of persons with the 
intention of thereby insulting the religion of any class of persons 
or with the knowledge that any class of persons is likely to 
consider such destruction, damage or defilement as an insult to 
their religion, shall be punished with imprisonment of either 
description for a term which may extend to two years, or with fine, 
or with both."

In 1927, following the agitation involving the famous Rangila Rasul 
case, through the Criminal Law Amendment Act XXV, Section 295(A) 
was added. "Whoever, with deliberate and malicious intention of 
outraging the religious feelings of any class of citizens, by 
words, either spoken or written, or by visible representations 
insults the religion or the religious beliefs of that class, shall 
be punished with imprisonment of either description for a term 
which may extend to two years, or with fine, or with both." (By the 
Second Amendment Act XVI of 1991 the term of imprisonment was 
extended to ten years.)

In 1982, under the PPC (Amendment Ordinance 1), Section 295(B) was 
added: "Whoever wilfully defiles, damages or desecrates a copy of 
the Holy Qur'an or of any extract therefrom or uses it in any 
derogatory manner or for any unlawful purpose shall be punishable 
with imprisonment for life."

In 1986, the Criminal Law (Amendment Act, III) was passed by the 
hand-picked pious members of champion of Islam General Zia-ul-Haq's 
Majlis-e-Shoora headed by Mohammed Khan Junejo and it added Section 
295(C), a weapon designed to be used for personal vengeance, a 
weapon with which scores can be settled, a weapon even to be 
employed for personal gain. It reads: "Whoever by words, either 
spoken or written, or by visible representation, or by imputation, 
innuendo, or insinuation, directly or indirectly, defiles the 
sacred name of the Holy Prophet Muhammad (peace by upon him) shall 
be punished with death, or imprisonment for life, and shall be 
liable to fine."

Around 1991, a person by the name of Ismail Qureshi, inspired by 
piety and holiness, petitioned the Shariat Court. In the name of 
the tolerant religion of Islam it was prayed that Section 295(C) 
prescribe only the death penalty with no option of life 
imprisonment. The Shariat Court, in its infinite wisdom, allowed 
the petition, and the decision was later upheld by the Shariat 
Appellate Court of the Supreme Court.

During the second round of Nawaz Sharif the suggestion was made 
that Section 295 be further amended so as to provide that anyone 
making a false accusation of blasphemy would himself be liable to 
the death penalty. It was shot down.

Come our second Ataturk, known to be a strong man with good 
intentions. In April 2000, he instructed member of his national 
Security Council Attiya Inayatullah to organize a seminar on human 
rights. Very correctly he made a reference to the blasphemy laws, 
and realizing the criminal abuse they arouse and in an effort to 
prevent such abuse he announced his intention of amending the laws 
so that prior to the registration of an FIR, a deputy commissioner 
would be required to make investigations as to the veracity of the 
charge - a mere token change in the law but nevertheless a step in 
the right direction approved by the external world and by the sane 
and balanced internally. Later, for no good reason other than fear, 
he retreated and told the nation that such an amendment was not 
possible. A pity indeed.

Of course, had the amendment gone through, now it would not longer 
be the DCs who would investigate, but the Nazims installed by the 
general and his wise men. Do we know if the institution of the 
Nazims is a step up or a step down from the institution of the DCs? 
In what way do the Nazims and DCs differ in their mindset, 
educational qualities and abilities? Only time will tell.

So, for the time being, and heaven knows for how long, we do not 
have a law amender. We will have perforce to depend on the law 
dispensers. Is it possible that one day we may have a judge who has 
enough confidence in his faith and in himself so that when 
delivering a judgment he is able to say: I have heard what has been 
alleged and my faith in my religion tells me that even if the 
accused, as alleged, has by word spoken or written, by physical 
representation, by imputation, innuendo, or insinuation, directly 
or indirectly, done what he is accused of having done, which has 
not even been substantiated by sufficient evidence, he is not 
guilty of blasphemy. He is free to go.

Considering the intelligence endowed unto the vast majority, a tall 
order. But we can hope.

Israel hell-bent: US inaction
By Eric S. Margolis

Pre-election concerns that George W. Bush had a weak grasp of world 
affairs have been confirmed by a succession of ideology-driven 
blunders and amateurish fumbles made by his administration that 
have damaged America's interests and image around the globe.

To whit, trying to rush the anti-missile defence project when there 
was no need for haste; the tactless rejection of the Kyoto 
environment accords; Washington's crude enlistment of India in a 
new anti-Chinese alliance; boycotting the just concluded UN racism 
conference at Durban: and, most disturbingly, fiddling while 
Palestine burns.

Who, one wonders, is running US foreign policy? Certainly not the 
nearly invisible 'stealth' Secretary of State Colin Powell. 
America's first black secretary of state was not allowed to go to 
an African-oriented conference in Durban because Israel was being 
accused of racism.

Recently, Bush berated PLO chief Yasser Arafat for failing to end 
'Palestinian violence.' Soon after, Israel assassinated Mustafa 
Zibri, a senior Palestinian political leader, by firing Maverick 
missiles from Apache helicopter gunships into his office. The next 
day, Israeli M-60 tanks and M-113 armoured personnel carriers 
occupied the Palestinian Christian town of Beit Jala.

Meanwhile, it has been revealed that Israel is using the M494 105mm 
APERS-T tank round against Palestinians. This deadly round, 
designed for use against enemy anti-tank missile crews, disperses a 
conical spray of 5,000 tiny, razor-sharp darts known as flechettes. 
In the past, Israel has also used anti-personnel cluster bombs 
against Palestinian refugee camps.

All of the above-noted weapons were supplied to Israel by the 
United States. Israel is also using an arsenal of other US-supplied 
weapons, from F-16 fighters to M-16 rifles, against Palestinians. 
Israeli-designed Merkava tanks 'pacifying' rebellious Palestinians 
were built with US military aid.

Israel is the largest ever recipient of US foreign aid - at least 
$91 billion since 1949, a sum that could have bought four complete 
aircraft carrier battle groups ( about 80 ships) for the US Navy. 
Each year, Israel gets $3-5 billion in US aid.

The 1998 Wye River 'peace' accords negotiated by President Clinton 
gave Israel an extra $380 million for Apache helicopter gunships 
and armoured vehicles - both currently being used against 
Palestinians. Just before leaving office, Clinton quietly sent 
Congress a request for an additional $800 million in military aid 
for Israel, a gift no doubt aimed at securing his future in 
publishing and Hollywood. Soon after, in a startling coincidence, 
Clinton received a book contract for $12 million.

Many American conservatives and Jewish Americans are praising Bush 
for giving Israel's right-wing government carte blanche to crush 
the Palestinian uprising and assassinate its leadership. Vice-
President Dick Cheney has repeatedly accused Palestinian of 
'terrorism' while praising Israel's 'restraint.'

Israel brushes aside occasional tut-tuts from the US state 
department, and ignores charges its American-supplied weapons are 
being used in direct violation of the US Arms Export Control Act, 
which forbids recipients' use of American arms except for national 
self-defence in wartime.

The White House and US Congress, fearful of antagonizing the mighty 
Israeli lobby, have refused to address this issue. Ironically, it 
was left to Gush Shalom, the courageous Israeli peace movement, to 
protest to Bush against the clearly illegal use of American arms 
against Palestinians.

It is increasingly clear that unless the mayhem in Palestine is 
ended, the entire Mideast could careen towards an explosion. Ariel 
Sharon, Israel's right-wing prime minister, has painted himself 
into a corner by vowing to crush the 'intifada' and never allow a 
viable Palestinian state. Having provoked the current uprising, and 
vowed to break its back, Sharon now finds himself trapped in a 
cycle of violence, terror and counter-terror.

Sharon's only answer so far is more of what he has done his entire 
career: blowing up houses, assassinations, martial law, collective 
punishments. Now Sharon's aides are hinting at attacks against 
Syria, Lebanon, Iran, and even Egypt. Israeli critics are warning 
that Sharon is running amok and must be reined in.

Given Sharon's adamant refusal to halt Jewish colonization or allow 
a Palestinian state, Palestinians have no reason to halt their 
uprising. Only America has the power to push the two sides into an 
eventual peace agreement.

Israel's brutal repression of the Palestinian 'intifada' is being 
telecast around the globe, producing rage against Israel and its 
patron, the United States, and a world-wide surge of anti-Semitism. 
America's strategic and economic interests across the Mideast and 
Muslim world are being threatened by the agony of Palestine, which 
inevitably invites terrorist attacks against US citizens and 

After 30 years of intense effort, the Israeli lobby has managed to 
dominate Congress, bend US foreign policy to its will, and 
transform America into what increasing numbers of Muslims see as 
the principal enemy of the Islamic world. Israel's control of 
Congress now strongly influences US policy towards Russia, India, 
and Pakistan, the latter of which is being demonized on orders from 
Israel as the latest 'Muslim menace.'

President Bush needs to act urgently. He needs to help Sharon find 
a way out of the corner in which he is stuck. Sharon has left 
himself no line of political retreat - other than being seen to bow 
to irresistible American pressure. Bush and V.P. Dick Cheney should 
cease helping Israel's right-wing and its American media 
mouthpieces demonize Yasser Arafat, who, however guilty of 
condoning violence, is the man with whom Israel has to make peace. 
Being right-wing does not automatically make one right.

Bush's vanishing act over the Mideast has handed the initiative by 
default to Arab and Israeli extremists. Unless the US forcefully 
intervenes, Hamas suicide bombers and Sharon's death squads will 
determine policy. The result will be a disaster for Jews and Arabs 

Bush is being irresponsible and dishonest by pretending America has 
nothing to do with this horrible mess. America has everything to do 
with it and could stop the carnage overnight if the White House 
showed sufficient political will and courage. -Copyright Eric S. 
Margolis, 2001.

The fury of despair
By Ayaz Amir

Appalling as the loss of innocent lives is, the question has to be 
asked as to why the United States is so totally oblivious of the 
strong hatred it excites in so many despairing corners of the 

The people who chose to carry out the suicide attacks on New York 
and Washington left horrendous death and destruction in their wake. 
But they also sacrificed their own lives into the bargain. For all 
their meticulous planning they would not have succeeded had they 
not been willing to die. What then was the pain and anger lying 
behind their actions? After all, passionate belief or dark despair 
foreshadows the readiness to embrace death. In all the saturation 
coverage of this disaster, the theme played upon the most has been 
the fight between good and evil. Only in passing, if at all, has 
anyone cared to mention the supreme motivation of the attackers.

Callous though it is to say this, innocent lives lost in random or 
even calculated acts of violence can often be a great spur to 
hypocrisy because the feelings they evoke can never be the same for 
all people. Surely, the death of Palestinian children at the hands 
of Israeli soldiers will not arouse the same feelings in New York 
as they will in the Palestinian occupied territories. Are all 
people everywhere affected in the same measure by the plight of 
Iraqi children suffering the effects of sanctions imposed on their 
country? Has anyone at a distance foregone his supper for the 
massacres of innocent people in Burundi and Rwanda?

The events in New York and Washington have plunged the United 
States into grief. Across parts of the Middle East and especially 
the Palestinian occupied territories they have led to completely 
different feelings. While no one publicly has condoned these acts, 
the Hamas leader, Sheikh Yassine, spoke for many people when he 
said that the United States was reaping what it had sown.

It is not a failure of military intelligence, as much of the TV 
commentary would have it, which lies behind the devastation in New 
York and Washington but a failure of understanding. And, in equal 
measure, an excess of arrogance. For the US refuses to recognize 
that its stance in the Middle East - principally, its blind support 
of Israel - is what fuels anger across wide swathes of the Muslim 
world, giving a fillip to militancy. Sole superpower status has 
also lent an arrogant edge to American behaviour encouraging it to 
think it can get away with anything. This is not to say the US is 
an evil empire. Far from it. But in the Middle East its judgement 
and vision are distorted by its special relationship with Israel.

Children killed by Israeli bullets are victims of "crossfire", one 
of the most misused words in the on-going intifida. Cold-blooded 
assassination becomes "targeted killing" as if that somehow is a 
more excusable form of murder. Seldom has the truth been twisted in 
so blatant or sophisticated a manner.

Does not this selectivity give birth to resentment and, when 
resentment alone is unavailing, to despair? Unless the US realizes 
this it will keep catching the wrong end of the stick, stressing 
punitive action when it should be considering the causes of what it 
considers to be terrorism. Osama is not cause but consequence. If 
the US was at all inclined to look for causes it could take a 
closer look at the role of Ariel Sharon who has done more to harden 
common Arab attitudes than any other Israeli leader in recent 

Another dynamic is also at work. After the taming of Arafat, the 
destruction of Iraq and the restraint imposed on Qaddafi, the US 
thought it had licked the problem of Middle Eastern terrorism. But 
it was wrong. Three factors gave birth to a new militancy: the 
Iranian revolution, the Soviet occupation of Afghanistan and the 
rise of the Amal and Hamas militias in Lebanon.

In Lebanon the spirit of resistance against Israeli aggression was 
encouraged by Syria and influenced by Iran. In Afghanistan the 
brand of militancy which came into existence was totally different. 
More 'fundamentalist' in character, it was bolstered by Zia-ul-
Haq's Pakistan and fuelled by Saudi and American money. In an 
ironic reversal of roles, it is this militancy, born in the 
crucible of the cold war and baptized in Afghanistan by the US 
itself, which the US now proclaims as its principal enemy. Osama, 
let us not forget, earned his jihad spurs fighting the Soviet army 
before he saw Satan's likeness in the shape of the US. Thus do 
demons come to haunt their own creators.

As for Iraq, it served American interests by acting as a 
counterweight to Iran. It was only much later that Saddam Hussein 
was swept by delusions of grandeur when he invaded Kuwait. Had he 
not committed that blunder he would have remained in the good books 
of the US.

But the mood in Washington is not introspective. It is angry and it 
is looking for quick villains. Even if hard evidence is yet to come 
by, fingers are already pointing at Osama bin Laden. This has 
direct implications for us as the road to Laden passes through 
Pakistan. Or so at least our American friends insist on thinking. 
We should therefore brace ourselves for more pressure, more direct 
than ever before, to help deliver Laden. Being in an angry mood, 
the US will not take kindly to our disclaimers that there is just 
so much influence we exercise with the Taliban (Osama's protectors) 
and no more.

In any event, we must look to our dignity, or what after our 
perennial begging bowl is left of it. While there can be no 
question of Pakistan staying aloof from any concerted effort 
against 'global terrorism' - never mind the fact that apart from 
being the sole superpower the US is also the world's leading 
lexicographer, giving its own spin to words and their meaning - 
Pakistan should be allowing no one to walk over it.

The manner in which we delivered Ramzi Yousef and Aimal Kansi to 
the US was less that of a sovereign country and more that of a 
vassal state doing the bidding of a distant godfather. What did we 
get for our pains? There are just so many blows our battered 
dignity can take. While doing the right thing we should take care 
not to be stampeded into ill-considered acquiescence.

Far greater than anything physical or economic, the disaster that 
has struck the US is a blow to its pride. Such things happened to 
other countries, not the US. But Fortress America, as television 
commentators have not been slow to point out, has been breached 
with comparisons being drawn with Pearl Harbour. But Pearl Harbour 
was way out in the Pacific. These suicide attacks have penetrated 
to the heart of America: Wall Street and the Pentagon, the one a 
symbol of America's financial power, the other of its military 

Even so, it would not do to exaggerate the effects of what has 
happened. America is not only the military and economic superpower 
but also the most dynamic nation on the planet. The work of 
rehabilitation has already begun and before we know it the physical 
scars will heal. But some of the psychic impact will remain.

This time terrorists struck with hijacked aircraft. What if they 
get hold of nuclear weapons? Pakistan, seen increasingly in 
alarmist literature as a power teetering on the brink of collapse, 
should brace itself also for a fresh round of nuclear 

In American eyes the arc of crisis now visible across the skies 
stretches from Palestine to Afghanistan. More than any other 
country, Pakistan will feel the fallout of this perception.

But what about civilization? From Bush and Powell to Blair, the 
events of the last few days have been likened to a war on 
civilization, with the twin gods of global information, CNN and 
BBC, picking up and reinforcing this refrain. Israeli bullets 
killing Palestinian children do not constitute an attack on 
civilization. The bombing of Vietnam and the invasion of Cambodia 
qualify for no such epithet, not even in historical retrospect. The 
plight of Iraqi children is not an affront to human feelings. But 
different standards rule when death and destruction strike at the 
heart of Manhattan and the Pentagon.

To state the obvious, the loss of innocent lives is despicable and 
worthy of the strongest condemnation wherever it occurs. We could 
all do, however, with a little lowering of double standards.

Troubled waters
By Irfan Husain

Out in Karachi's polluted harbour last week, I saw six or so 
dilapidated wooden boats at anchor. When I asked a friend whom they 
belonged to, he told me their owners were Indian fishermen who were 
in jail for straying into Pakistani waters.

No doubt these unfortunate people and their boats have their 
Pakistani counterparts rotting in Indian ports and jails. But apart 
from contending with invisible international boundaries, our 
fishermen also have to face the depredations of large foreign 
trawlers poaching in our waters, as well as inimical government 

Large vessels equipped with fish-tracking sonar and freezing plants 
fish off our coasts around the year, scooping up thousands of tons 
of marine life, much of which is dumped back into the sea after 
valuable species have been separated and put on ice. Naturally, the 
rejects are dead when they return to the water, causing an enormous 
amount of biological pollution. To make matters worse, they use 
fine-mesh nets that do not permit the smallest fish to escape in 
contravention of laws in most countries. Drawing a leaf from their 
book, the larger (Karachi-based) Pakistani trawlers use similar 
nets that are decimating marine life in our coastal waters to the 
long-term detriment of the industry. Although banned by the 
provincial government, these nets continue to be used with 

While these larger foreign and domestic operations represent 
business ventures of varying sizes and sophistication, they are 
very different from the small, owner-operated wooden boats that set 
out to sea from coastal villages in Sindh and Balochistan. For 
those who sail these fragile craft, the size of each catch 
determines how well their families will eat. And year after year, 
they have seen their catch dwindle. Unable to sail very far from 
the coast, they cannot compete with the larger boats from foreign 
ports that are scouring our waters for species that are popular 
back home. Lacking facilities to freeze their small surpluses, they 
are forced to sell them to middlemen who transport them to the 
market and earn a large profit.

The government has sold out the interests of these fishing folk for 
a few thousand dollars in fishing licences. Instead of building up 
our own fishing industry, powerful vested interests (including the 
embassies of Far Eastern nations whose boats are fishing in our 
waters) have caused Islamabad to lift the earlier ban on foreign 
trawlers. Although these well-equipped trawlers are not supposed to 
fish in our coastal waters, my fishermen friends insist they do so 
brazenly. The Maritime Security Agency (MSA) that is supposed to 
prevent such intrusions has been largely ineffective. Again, 
villagers allege that agents of these foreign vessels pay off local 
officials to turn a blind eye to their activities.

Whatever the truth, it is a fact that unrestricted large-scale 
fishing using fine-mesh nets is playing havoc with our marine life, 
threatening the livelihood of hundreds of thousands of fishermen 
who inhabit Pakistan's coastline. My interest and concern is not 
just academic: for the last few years, I have been spending most of 
my weekends at the beach next to a fishing village. Apart from 
buying fresh fish, lobsters, crabs and oysters from the fishermen, 
I talk about the changes in the weather and how it is affecting 
their catch; the different kinds of fish they have caught; and the 
impact of the foreign fishing fleet on the local economy. They also 
bring me up to date with village politics.

Open and relaxed, they are at peace with themselves and the world. 
Never servile or obsequious, they look me in the eye and when they 
sit in my porch, they do so as equals. But my special friend is 
Fateh who lives in the neighboring village and is my regular 
supplier of lobsters, fish and fishing lore. A figure from the 
sixties with his ponytail, jeans and pastel coloured kurtas, he is 
naturally courteous and over years of dealing with foreigners, has 
acquired more than a smattering of English.

But despite appearances, Fateh is a deeply religious man without 
ever flaunting his beliefs. Indeed, the self-righteousness of our 
mullahs drives him to distraction: "Who are they to tell us how to 
follow our faith?" he demands indignantly. Over the years, I have 
observed that the closer people live to nature, the more tolerant 
they are; I suspect that fanaticism is a largely urban phenomenon.

Of late, Fateh has run into financial difficulties. He, too, has 
been hit by falling catches caused by the indiscriminate 
destruction of fish in and out of season, together with the 
decimation of the mangroves where many species breed. But in the 
last fishing season, he lost his nets and his ancient boat engine 
gave up on him. The next season begins in a few weeks, and he does 
not have the capital to re-equip his small boat.

Too proud to ask for help, he recently wondered if I would invest 
in a larger boat that would allow him to go deeper and further 
along the coast, thus increasing his catch. The figure he mentioned 
was too small to make sense, so I asked him to check the costs. The 
next weekend, he was very depressed as his total requirement is 
actually 700,000 rupees, a figure far beyond our combined reach. He 
then decided to try and raise a far more modest sum for new nets 
and a second-hand engine. I promised to help him as much as I 
could, especially as people like Fateh have no recourse to the 
banking system since he has no collateral and no contacts. Another 
reason I want to help is that Fateh is putting all four of his 
daughters through school, despite his financial problems.

While swimming that day, I had the bright idea of exploring the 
possibility of getting some institutional help. In the past, the 
Besom Foundation, a London-based charity, had helped buy equipment 
for Darul Sukoon, LRBT and SIUT. I sent off an email, and much to 
my excitement, they have agreed to pay for the 30-foot wooden boat 
that will cost around 400,000 rupees.

This leaves another 300,000 to pay for the nets, engine and 
ancillary equipment. I will happily kick in 10,000, and my son has 
promised 7,000. If enough readers contribute relatively small sums, 
we should have Fateh fully equipped for the fishing season. As a 
spin-off, he will take young boys along as apprentices if their own 
fathers cannot teach them the craft. In time, I hope to get him 
amateur fish-location sonar that is now available for a few hundred 
dollars. Anybody wishing to help Fateh can do so by contacting me 
at mazdak@cyber.net.pk

I am really looking forward to Saturday when I break the good news 
to Fateh.

New Zealand cancels Pakistan tour 
AUCKLAND, Sept 13: New Zealand's cricket tour of Pakistan was 
cancelled because of security fears raised by the terrorist strikes 
in the United States. Snedden also announced that the New Zealand 
'A' team had withdrawn from a tour of India.

The New Zealand cricket tour is the first international event 
believed to have fallen victim to security fears in the wake of the 
kamikaze-style attacks on the World Trade Centre and the Pentagon.

"We have advised the Pakistan Cricket Board of our decision and 
PCB, we will re-visit possibily of some cricket during October, 
should we be satisfied that the situation has stabilised." Snedden 
said the decision was made after advice from experts around the 
world who warned of possible dangers linked to the US terrorist 

The advice from security consultants and various governments was 
that all travel to Pakistan should be cancelled for seven days, NZ 
Cricket said in a statement.

The Pakistan Cricket Board had been advised of the decision but New 
Zealand could yet decide to go to Pakistan in October. "Pakistan is 
not in a position to guarantee the security of our players, it's a 
world-wide concern," he said.

Tight security for SAF Games: Indians keen to participate 
By Imran Naeem Ahmad

ISLAMABAD, Sept 13: Tight security arrangements have been made for 
next month's SAF Games, delegates of the 25th Executive Committee 
meeting of the South Asian Sports Federation were told.

Brig Zaheerullah, Director of Security for the Oct 6 to 15 Games in 
Islamabad, briefed the visiting delegates of India, Sri Lanka, 
Bangladesh, Nepal, Bhutan and Maldives on the security aspect of 
the biennial event. He told the house that round the lock security 
would be provided to the athletes and officials during the Games. 
In this connection, a control centre would be set up at the 
Pakistan Sports Complex, which would be the hub of all activity.

Brig. Zaheer said that the security would be such that no one would 
feel as if he was being followed. The privacy of the athletes would 
be respected and the security staff would be friendly.

PCB cancels four-nation one-day tournament
By Samiul Hasan

KARACHI, Sept 10: The Pakistan Cricket Board (PCB) announced the 
cancellation of the quadrangular one-day tournament which was to be 
jointly held with India sometime in March next year.

Besides the two traditional rivals, Zimbabwe and the West Indies 
were to be other participating teams. Both the countries were to 
host five matches each with the final slated in Pakistan.

"The tournament stands cancelled after India announced the 
itinerary of Zimbabwe's tour that includes Tests and one-day 
internationals. In other words, they have announced their decision 
without announcing," director of the PCB Brig Munawar Rana said 
from Lahore. He added: "We had withheld the itinerary of West 
Indies tour just because we wanted to accommodate the four-nation 

The PCB official was also diplomatic when asked if Pakistan would 
play India in a proposal tri-nation one-day tournament in 
Bangladesh in December.

'Six-million man' axed again
Sports Reporter

KARACHI, Sept 11: Pakistan cricket selectors left out eternally 
unfit "six-million Rupee man" Shoaib Akhtar from the 16-man squad 
for the three-match one-day internationals series against New 
Zealand. But in a comedy of errors, the selectors named Shoaib 
captain of the Pakistan Cricket Board (PCB) XI which will test the 
muscles of New Zealand in a one-day warm-up match at the National 

What is mind boggling in the scenario is that the man who was not 
considered fit to play limited overs games, has been not only 
included in the practice one-dayer but has been assigned to lead 
the team.

If the selectors had any fitness doubts against Shoaib, they should 
have removed them by naming him in New Zealand's three- dayer at 
Rawalpindi between Sept 27 and 29 where he would have bowled long 
spells and stayed in the field for more than half the match.

The selectors also left out Imran Nazir and Faisal Iqbal but named 
left-handed opener Taufiq Umer, paceman Shabbir Ahmad and uncapped 
Naved Latif and Rana Naveed-ul-Hasan. Saqlain Mushtaq and Shahid 
Afridi are also back in the side after completing their assignments 
for Surrey and Leicestershire in the English County Championships. 
Taufiq Umer's preference over Imran Nazir is somewhat surprising as 
the former has played just one Test in which he scored a century 
while the latter was recently considered for one-dayers only.

Squad: Saeed Anwar, Taufiq Umer, Shahid Afridi, Inzamam-ul-Haq, 
Yousuf Youhana, Younis Khan, Naved Latif, Rashid Latif 
(wicketkeeper), Azhar Mahmood, Abdur Razzaq, Rana Naveed-ul- Hasan, 
Waqar Younis (captain), Wasim Akram, Shabbir Ahmad, Saqlain Mushtaq 
and Shoaib Malik.

Sarfraz criticizes foreign coaches
ISLAMABAD, Sep 11: Former Test cricketer Sarfraz Nawaz has called 
for an end to inquiries against players and has also pleaded for 
changing Pakistan's nominee for next President of International 
Cricket Council.

Talking with APP Sarfraz also stressed that there should be only 
one cricket academy in the country and expressed reservations on 
the national team's preparations for the World Cup 2,003. "The 
chapter of inquires against players should now close", he said." 
Already, such probes in other countries have been wrapped up for 

He appealed to Patron-in-Chief of Pakistan Cricket Board to 
intervene in the matter and order a close-door probe to avert 
defamation of players. "The other countries have all held such 
inquiries against players behind close doors so that they are not 

"In other countries, the respective cricket authorities were now 
taking steps to prevent corruption in future and had stopped 
hounding players. Pakistan also now should look to the future and 
not look back. The Paul Condon and Sharjah too are now close".

Looking to the future, Sarfraz said "Pakistan should now prepare 
for 2007 World Cup instead of 2003 event in South Africa". He said 
most of Pakistani players would already be out of the team by 2003 
while those remaining would find it difficult even to field. "The 
new players will have insufficient experience at international 

Sarfraz also disagreed with the notion of setting up regional 
academies. "There should be 20-22 under-17 and as many under-19 
players in just one national cricket academy". He said that 
gathering too many players affects the standards as is evident from 
Rawalpindi's defeat by lowly Kohat in the national under-19 match 
Monday though Rawalpindi had one of the five cricket academies in 
the country.

He also criticized the coaching by foreigners. "The net effect of 
coaching by Englishman Geoffrey Boycott was that Pakistan was 
beaten in the Under-17 World Cup in Dhaka while Pakistan also was 
badly beaten in Under-19 tournament in Malaysia".

He opined that Javed Miandad, being an outstanding player, was more 
qualified as coach than men like Mudassar Nazar.  He said Pakistan 
should protest on suspension of Inzamamul Haq for two matches. "No 
action was taken against Aussies Michael Slater and Steve though 
they adopted more objection behavior on England tour".-APP

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