------------------------------------------------------------------- DAWN WIRE SERVICE ------------------------------------------------------------------- Week Ending : 30 October 1999 Issue : 05/44 -------------------------------------------------------------------
Contents | National News | Business & Economy | Editorials & Features | Sports
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CONTENTS ===================================================================
NATIONAL NEWS + US lifts 2 sanctions on Pakistan + Priorities outlined: CE pledges civilian rule after reforms + Commonwealth rules out Pakistan's expulsion + Nawaz declines to speak by phone + Accounts of politicians partly de-frozen: Ban on FCAs to continue + Talks with IMF positive, says Aziz + Pakistan calls for active UN role in Kashmir + Four members of NSC, three ministers named + Dr Ishrat Hussain to join State Bank of Pakistan in December + Musharraf briefs Zayed on future plans + Japan links aid to CTBT, democracy + Delhi concerned over change of govt in Pakistan + Qazi's entry in NWFP banned --------------------------------- BUSINESS & ECONOMY + SBP directive: Banks to submit weekly report on loan recovery + Cold response to hydropower projects + IDB approves $84m facility for oil import + Compliance of budgetary provisions ordered + PIA's short term debt shoots up to Rs11 billion + Property tax defaulters' list to be published + Customs asked to establish safer warehouses + Rupee firm: FAP denies shortage of dollar + CBR announces new rules for seized goods' disposal + Sales Tax registration improves + Leading blue chips end with clipped gains --------------------------------------- EDITORIALS & FEATURES + Liquidation Ardeshir Cowasjee + Sinking into the sand Ayaz Amir + Please keep it short Irfan Husain ----------- SPORTS + Wasim's century in vain as Pakistan lose against Western Australia + Shoaib wants to break 100m barrier + Pakistan eager to avenge World Cup humiliation

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NATIONAL NEWS
991029
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US lifts 2 sanctions on Pakistan
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Correspondent

WASHINGTON, Oct 28: President Bill Clinton swiftly used his newly-
acquired authority late on Wednesday to waive all economic 
sanctions imposed on India after the May 98 nuclear tests but 
retained most of them on Pakistan.

Mike Hammer, a spokesman for the White House National Security 
Council, said Clinton had decided to waive only two economic 
sanctions on Pakistan including the ban on US commercial lending 
and on agricultural credit guarantees.

Experts said the agricultural credits were already available to 
Pakistan and were being used by the US companies to export wheat 
from northwestern US states to Pakistan.

Pakistan will remain ineligible for loans from the EXIM Bank, and 
for IMET, the International Military Education and Training 
programme. The OPIC cover for US investments in Pakistan will also 
remain suspended while TDA, the Trade Development Agency, would not 
be able to operate in Pakistan.

Most of the other sanctions on Pakistan will stay under Section 508 
of the Foreign Assistance Act which prohibits aid to countries 
where elected governments are toppled by military coups. The 
authority to waive sanctions does not apply to the Foreign 
Assistance Act, an official explained.

For Pakistan, the waivers do not cover US support in the IMF and 
the World Bank and a senior official said that question would be 
addressed when it came up. "We have chosen not to take a position 
at this point. When a loan is considered, our position will be made 
clear."

The official said if the US decided to vote in favour of Pakistan 
at the IMF and the World Bank, then the president would have to 
issue a separate waiver.

The decision, widely expected after Clinton signed the Defence bill 
containing Brownback-2, the waiver authority amendment, would not 
immediately allow India to import the much-needed dual use 
technology from the US.

Likewise, the official said the president would have to issue a 
separate waiver if he wanted to give dual use technology to India 
and that had not yet been done.

The official said: "We will have to assess the progress of our 
continuing dialogue with India before the president considers 
waiving military sanctions, including those on export of dual use 
technology."

The waivers that have been issued would open US Export-Import Bank 
loans and overseas insurance cover for investments in India while 
these restrictions will stay on Pakistan, besides allowing India to 
get commercial US loans and IMET, the military training exchange 
programme..

It has created a unique situation in the Indo-US relations in which 
American military now has an exchange programme with the Indian 
Army but not with the Pakistani Army which has always been an ally 
of the US armed forces.

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991030
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Priorities outlined: CE pledges civilian rule after reforms
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Ihtasham ul Haque

ISLAMABAD, Oct 29: Chief Executive General Pervez Musharraf on 
Friday told the delegation of the Commonwealth Ministerial Action 
Group (CMAG) that ruthless and across-the-board accountability 
would be conducted against all those who had damaged Pakistan, both 
politically and economically.

Speaking to the foreign ministers of Canada, Barbados and Ghana and 
the Special Ministerial Envoy of Malaysia, General Musharraf said 
that without conducting absolutely neutral accountability, the 
country's institutions could not be rebuilt.

He assured the group that the accountability would be conducted in 
an extremely fair manner and that his government would not do any 
injustice with any individual or party.

He said that corruption was another area which needed maximum 
attention of the government.

General Musharraf expressed the hope that his team comprising both 
the civilian and military people would succeed in setting things 
right in the shortest-possible time.

The chief executive did not give any timeframe for the revival of 
democracy in Pakistan but assured the delegation that he and his 
team did not have any intention to continue for an indefinite 
period and as soon as their objectives were achieved, democracy 
would be restored through fair and impartial elections.

Welcoming the delegation, the chief executive said that Pakistan 
valued its relations with the members of the Commonwealth and its 
association with this fraternity of nations. He described his 
priorities, which he had stated in his address to the nation, in 
particular the revival of economy, rehabilitation and strengthening 
of the institutions of the Federation, law and order, elimination 
of corruption, transparent accountability and reforms leading to 
devolution of power to strengthen democratic institutions at the 
grassroots level.

The objective was to build institutions and carry out reforms which 
could promote true democracy in Pakistan. Musharraf stated that he, 
along with his largely civilian government, would move the process 
of reforms in all areas simultaneously.

The chief executive appreciated the offer of cooperation in the 
area of institutional reforms made by the CMAG delegation on behalf 
of the Commonwealth.

Sources said that the Commonwealth team assured the chief executive 
that Pakistan would not be expelled from the organisation. In this 
regard, the team regretted that a wrong impression was created in 
the national and international media that Pakistan was being 
expelled from the Commonwealth.

However, the members said that Pakistan's membership would continue 
to remain suspended for some time and Islamabad would not be able 
to attend some of the meetings of the council.

According to an official announcement, the meeting was held in a 
cordial atmosphere. The CMAG delegation thanked Musharraf for the 
courtesies and facilities extended to it during the visit and 
explained the background of the decision of the CMAG to send the 
team to study the situation in Pakistan.

The CMAG delegation stated that its visit had provided the members 
a good opportunity to have a better understanding of the situation 
in Pakistan and the circumstances which led to the change of the 
government.

It appreciated Pakistan's interest in the Commonwealth and 
underscored the desire of the organisation to remain positively 
engaged with Pakistan to help the country at this important 
juncture.

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991029
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Commonwealth rules out Pakistan's expulsion
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Bureau Report

ISLAMABAD, Oct 28: "There is no plan to expel Pakistan from 
Commonwealth," declared Mr Kaya Whiteman, the spokesperson of the 
visiting Commonwealth Ministerial Mission.

"Pakistan is still a member of Commonwealth but its membership has 
temporarily been suspended following the dismissal of an elected 
government in the country", he further stated.

He told reporters here on Thursday that Pakistan might not be 
allowed to attend some of the Commonwealth meetings but that did 
not, he added, necessarily mean that Pakistan has been expelled 
from the organisation.

He forcefully dispelled the impression that the next summit of the 
Commonwealth at Durban will consider the expulsion of Pakistan from 
the organisation. "There may be a formal suspension in the proposed 
meeting but there is no question of expulsion," he clarified.

Mr Whiteman told a reporter that the mission has made a request to 
the authorities to see deposed prime minister Nawaz Sharif, "and we 
are waiting for the reply from the authorities". But, he said, the 
mission has no plan whatsoever to demand an open trial of the 
deposed PM. "Let me tell you that this is not our part of agenda to 
seek an open trial for Mr Sharif".

He pointed out that under the Millbrook Commonwealth Action 
Programme, any unconstitutional removal of a duly elected 
government was an offence and has certain consequences which also 
included the suspension from the councils of Commonwealth.

Answering a question about the Millbrook Commonwealth Action 
Programme, he said it was decided in New Zealand in 1995 to give 
some muscle to a set of principles that the Commonwealth 
established in 1981.

MUSHARRAF: The factfinding mission will meet Chief Executive 
General Pervez Musharraf here on Friday morning at the Prime 
Minister's Secretariat, according to an ISPR spokesman.

Earlier, reading out a statement of the mission on arrival, the 
spokesperson said the mandate of the mission is to meet with the 
Pakistani authorities and another body of people it may deem 
appropriate in order to assess the current situation in Pakistan 
and explore with the regime its plans for early return of Pakistan 
to democracy.

He said the mission intends to meet with the Pakistan authorities 
including President Mohammad Rafiq Tarar, Chief Executive General 
Pervez Musharraf, Chief Justice of Pakistan Mr Justice Saiduzzaman 
Siddiqui, political leaders, the Human Rights Commission, and 
representatives of civil society.

He said "the ministers are here to listen carefully to as wide 
range of views as possible, keeping in mind the interests of the 
people of Pakistan and the Commonwealth's fundamental principles to 
which all its members subscribe".

He said the mission will prepare a report of its findings for 
consideration of the colleagues in Commonwealth Ministerial Action 
Group on the Harare Declaration (CMAG) adding that the following 
day the CMAG will present its recommendations on Pakistan to heads 
of governments.

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991030
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Nawaz declines to speak by phone
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ISLAMABAD, Oct 29: Ousted Prime Minister Nawaz Sharif is stated to 
have declined an offer on Friday to have a telephonic meeting with 
the members of the visiting Commonwealth mission.

The leader of the CMAG mission, Lloyd Axworthy, Foreign Minister of 
Canada, said at a news conference here that while the government 
did not permit a personal meeting with the deposed prime minister, 
the mission was allowed to make telephonic contact with him.

However, Axworthy said he was later told that Mr. Nawaz Sharif did 
not wish to speak to the mission on phone. 

 Asked whether Axworthy believed in what the authorities were 
quoting Mr. Sharif as having said, the mission leader repeated his 
short response without further elaboration.

When former minister for religious affairs, Raja Zafarul Haq, was 
asked for his comments on the report, he said he was not in a 
position either to confirm or deny it.

"I do not know what is the real story. But we had told the 
Commonwealth mission when we met them yesterday that if they went 
back without meeting Nawaz Sharif, their mission would remain 
incomplete and ineffective."

Another former minister said he had also heard that Nawaz Sharif 
had refused to speak on phone and asked for a personal meeting with 
the 4-member Commonwealth mission.

No authoritative statement has been made, even after 17 days of his 
removal, about the place where Mr. Nawaz Sharif has been detained. 

 He is said to be somewhere in Rawalpindi Cantonment and according 
to press reports, he had informed his family the other day on phone 
that he was well.-H.A

APP adds: Chief Executive General Pervez Musharraf, when asked 
about the possibility of a meeting between Commonwealth ministers 
and the deposed premier, said, "I have not allowed them to meet him 
but I have allowed them to talk to him on telephone and I have 
given personal assurance that I am not a vindictive man."

He said the deposed prime minister "is absolutely in good health 
and being looked after and he is very comfortable. That is my 
personal guarantee and assurance."

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991028 
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Accounts of politicians partly de-frozen: Ban on FCAs to continue
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Mohiuddin Aazim

KARACHI, Oct 27: The State Bank has announced conditional de-
freezing of the local currency bank accounts of politicians but 
their foreign currency accounts would remain frozen till further 
orders.

The State Bank asked all banks on Wednesday to allow operation "in 
the local currency accounts" of politicians who are not bank 
defaulters on any account nor do their names appear in reports of 
SBP Credit Information Bureau. The State Bank told the banks that 
conditional de-freezing would be allowed even in cases of those 
accounts that still remain frozen so that the account holders could 
repay or adjust their bank loans; clear utility bills and pay 
salaries to their employees, if any.

Senior bankers said though the State Bank circular issued on 
Wednesday did not say it explicitly yet it was clear from the 
contents that the foreign currency accounts of the politicians 
would remain frozen till further orders.

On Oct 15 all banks had frozen local and foreign currency accounts 
of notable politicians and parliamentarians and their spouses under 
the SBP instructions issued to stop capital flight in the wake of 
the military take-over.

"Banks may allow operations in the local currency accounts of 
politicians who are neither defaulters on any of their obligations 
to the bank nor do they appear as defaulters in the reports of 
Credit Information Bureau," said a SBP circular letter dated Oct 
27. Bankers said the Bureau compiles lists of those whose bank 
defaults are up to Rs 0.5 million or above whereas banks compile 
lists of all defaulters irrespective of the extent of default. "The 
SBP instruction is that the rupee accounts of only those 
politicians would be revived who are not defaulters at all-whether 
big or small," explained a banker.

Senior bankers say this condition would render a vast majority of 
politicians including members of the defunct National Assembly and 
the Senate unable to get their local currency accounts revived.

Bankers said the conditional de-freezing of the bank accounts of 
politicians would help banks recover part of their defaulted loans 
by Nov 16 - the deadline set for this purpose by Chief Executive 
Gen Pervez Musharraf. SBP Governor Dr Muhammad Yaqub who has been 
appointed as member of supreme National Security Council has 
already said that the deadline would not be extended. He has asked 
the defaulters to pay up 20-30 per cent of defaulted loans before 
the deadline and clear the rest within 2 years at most. Some Rs 211 
billion worth of bank loans are either stuck-up or non-performing.

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991030
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Talks with IMF positive, says Aziz
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Masood Haider

NEW YORK, Oct 29: Finance Minister, Shaukat Aziz said here on 
Friday that his meetings with the officials of the International 
Monetary Fund "were cordial and constructive".

Talking briefly with Dawn on telephone, Aziz said: "We covered 
several aspects of IMF assistance to Pakistan."

The IMF officials who called on Mr Aziz on Friday morning included 
IMF's Director Paul Chaberier, and Sena Ekin.The meeting lasted for 
over an hour.

On Thursday the Executive Director of IMF, Abbas Mirakhor met with 
Pakistan's newly appointed finance minister and discussed IMF's 
assistance programme to Pakistan.

When pressed to elaborate whether or not IMF's assistance to 
Pakistan would continue as usual, Aziz said: "All I can say is that 
the meetings were very positive."

Aziz stressed "I have to go back and see what programmes were 
proposed by the IMF, before I proceed with any further talks".

Besides meeting with IMF officials, Aziz met with former US 
Treasury Secretary Robert Rubin, and exchanged ideas as how to put 
Pakistan's economy back on track.

Rubin who joined Citigroup on Monday as its Co-Chairman is credited 
with steering the United States economy towards what is called an 
unprecedented growth in half a century. Rubin was chosen by 
President Clinton in 1994 to head the US treasury department when 
he was the chairman of the investment firm of Goldman Sachs.

In the week since his appointment, Aziz has had a busy schedule 
meeting with various investment bankers and heads and executives of 
several American companies.

An IMF official said that talks between Shaukat Aziz and IMF 
officials were part of a "get acquainted" programme and follow on 
from discussions with the previous government.

The IMF halted payments from its $1.8 billion loan to Pakistan well 
before the army takeover because it was worried about several 
issues, including fees charged by independent power producers.

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991030
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Pakistan calls for active UN role in Kashmir
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Correspondent

UNITED NATIONS, Oct 29: Pakistan has called upon the United Nations 
to play the same role in Kashmir as it has played in East Timor, to 
find a just and honourable solution to the problem on the basis of 
relevant Security Council resolutions.

Speaking about the right of Kashmiris to self-determination, in the 
General Assembly's Third Committee on Wednesday, the permanent 
representative of Pakistan, Inamul Haque, said: "The people of 
Jammu and Kashmir expect justice from the United Nations. They 
expect the international community to be equitable, non-
discriminatory and non-selective in the implementation of Security 
Council resolutions and to support them in their just struggle."

He lauded the "courageous and far- sighted decision" by the 
Indonesian government to hold a referendum in East Timor and said 
this had "brought an honourable solution to a longstanding problem" 
and also "established a useful model to resolve other outstanding 
issues."

Mr Haque also commended the "invaluable contribution" made by the 
United Nations and said "the central role played by the UN in 
organizing the referendum in East Timor is a reflection of the 
strong belief of the international community in this most basic of 
human rights.

" Despite these encouraging developments, many oppressed people 
continue to be denied their inalienable right to self-
determination," he said and added that "the hapless people of Jammu 
and Kashmir have been a major victim of such a denial for more than 
five decades."

He told the UN committee that "while the UN was organizing the free 
and impartial popular consultation process in East Timor, the 
Indian government was enacting an electoral farce in Jammu and 
Kashmir, with the help of more than 700,000 troops, to perpetuate 
its illegal and immoral occupation of Kashmir."

Saying that more than 78 per cent of people had voted in favour of 
independence in the recently held referendum in East Timor, Mr 
Haque said that "in the farce organized by India, more than 88 per 
cent of the people boycotted the sham elections imposed on them by 
the occupation forces in occupied Kashmir. The boycott was total."

" The overwhelming boycott by the Kashmiri people of these so-
called elections is the real referendum and a telling condemnation 
of the illegal Indian occupation of Jammu and Kashmir," he 
declared.

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991026
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Four members of NSC, three ministers named
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M. Ziauddin

ISLAMABAD, Oct 25: The government on Monday constituted the, much 
awaited, National Security Council( NSC) naming Sharifuddin 
Pirzada, Dr Mohammad Yaqub, Dr Attiya Inayatullah and Imtiaz 
Sahibzada as its members.

A three-member cabinet of ministers has also been announced 
comprising Abdus Sattar, Shaukat Aziz and Aziz A. Munshi.

Sharifuddin Pirzada, who has served almost all the past military 
governments in Pakistan since Ayub Khan, has been named senior 
adviser to the chief executive and ex-officio member of the NSC.

Dr Mohammad Yaqub is the second member of the council. During his 
tenure as the Governor of State Bank, spread over two terms of 
Nawaz Sharif and one of Benazir Bhutto, the rupee had tumbled by 
over 100 per cent, the budgetary deficits kept soaring sky high and 
the foreign currency accounts were frozen. He was brought to the 
SBP from IMF by the first Nawaz government.

Dr Attiya Inayatullah, the third member of the NSC, besides being 
associated with the UN activities at very senior levels, has also 
served the military government of Gen Zia as a minister for social 
welfare and population control.

Imtiaz Sahibzada, the fourth member of the NSC, is currently 
employed as the member of Federal Public Service Commission with 
one year's extension. He had retired as cabinet secretary in 1996-
97.

Former foreign secretary Abdus Sattar, who had served Moin 
Qureshi's caretaker government in 1993 as its foreign minister, has 
been given the same portfolio in the new cabinet. Mr Sattar had 
recently joined Imran Khan's Tehrik-i-Insaf and is believed to be a 
member of TI's central executive committee. He, therefore, is the 
first member of a political party to be recruited by the new 
military government.

Mr Sattar is also known for drafting the Simla Agreement which was 
signed by Pakistan and India on Kashmir during Zulfikar Ali 
Bhutto's tenure.

Vice-president of Citibank, New York, Shaukat Aziz, has been given 
the portfolio of finance. He is expected to proceed on leave from 
his bank job to take up the new assignment in Pakistan. He is 
arriving here on Thursday from New York. Mr Aziz had also been 
informally giving advise on financial matters to the previous 
government of Nawaz Sharif.

Aziz A. Munshi, who has been appointed as the attorney general of 
Pakistan, is a leading constitutional expert. Twice earlier, Munshi 
was appointed attorney general. Firstly during Zia-ul-Haq's tenure 
and later by the Nawaz Sharif's first government. He has served as 
a junior partner of Sharifuddin Pirzada in his law company for many 
years.

According to an ISPR press release on the recommendations of Chief 
Executive Gen Pervez Musharraf, President Mohammad Rafiq Tarar on 
Monday appointed the members of the National Security Council (NSC) 
and ministers for finance and foreign affairs.

In his October 17 address Gen Pervez Musharraf had announced that 
the NSC, to be headed by the chief executive, will comprise six 
members. These members will be chief of naval staff, chief of air 
staff, a specialist each in legal, finance, foreign policy and 
national affairs.

Sharifuddin Pirzada, the ex-officio member, has apparently been 
appointed for his expertise in legal and constitutional matters. 
Pirzada got prominence during the first military rule of Gen Ayub 
Khan when he was appointed as foreign minister after the sacking of 
Zulfikar Ali Bhutto.

Pirzada had also served as attorney general as well as law minister 
of Pakistan during the military rule of Gen Zia. Pirzada had also 
served as secretary general of the OIC (Organisation of Islamic 
Conference).

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991028 
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Dr Ishrat Hussain to join State Bank of Pakistan in December 
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Bureau Report

ISLAMABAD, Oct 27: Dr Ishrat Hussain, who has agreed to join the 
State Bank of Pakistan as its governor, will take up the new 
assignment in December. 
Official sources said here on Wednesday that Mr Hussain had told 
military authorities that he could not immediately join the State 
Bank because of his preoccupation as Director, Central Asia, at the 
World Bank. Till then, the sources said, Dr Yaqub had been directed 
to continue as SBP Governor.

Dr Hussain, who was on a visit to Pakistan, left for Uzbekistan on 
Wednesday. His application for leave is being processed by WB 
authorities, but, in principle, the World Bank has agreed to lend 
his services to the new government in Pakistan.

" The Citibank has allowed their Executive Vice-President Shuakat 
Aziz to go on leave for an indefinite period to help improve his 
country 's economy", a source said. Similarly, the World Bank 
President, Mr Wolfenson, has agreed to relieve Mr Hussain for the 
time being so that he could help in setting things right in 
Pakistan, particularly in the banking sector. However, a formal 
decision on his leave will be taken by the Board of Directors of 
the World Bank.

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991028 
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Musharraf briefs Zayed on future plans
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ABU DHABI, Oct 27: The Chief Executive, General Pervez Musharraf, 
said on Wednesday that the new government would try to bring about 
good governance through accountability and clean administration in 
Pakistan.

During the meeting with the UAE President, Sheikh Zayed Bin Sultan 
Al Nahyan, Chief Executive General Pervez Musharraf said steps 
towards good governance were essential requisites of stability, 
economic revival, national integration and genuine functional 
democracy.

General Pervez Musharraf, soon after his arrival at the Amiri 
Airport from Saudi Arabia, drove straight to Al Wathba Palace where 
he was warmly greeted by UAE President Sheikh Zayed Bin Sultan Al 
Nahyan.

The officials said they exchanged views on bilateral relations in a 
very cordial atmosphere reflecting the brotherly relations and 
long-standing traditions of the two countries.

The deliberations between the two leaders covered the entire range 
of bilateral relations as well as regional and global issues of 
common interest with a special focus on Kashmir and Afghanistan.

The chief executive briefed Sheikh Zayed on the extra- ordinary 
circumstances that necessitated the change of government in 
Pakistan and apprised him of his future plan of action, both in 
domestic and external fronts.

General Pervez Musharraf told President Zayed that his immediate 
pre-occupation would be restoration of civilian government.

He briefed President Zayed on aims and objectives of his government 
which the people of Pakistan had welcomed wholeheartedly.

The chief executive also reiterated his government's resolve to 
strengthen friendship and cooperation with particular reference to 
the UAE and other Islamic countries.

He thanked for the support and understanding that Sheikh Zayed had 
conveyed to him over telephone immediately after the change of the 
set-up in Pakistan.

Sheikh Zayed renewed his full support and solidarity with Pakistan 
and the agenda of the new administration which he was confident 
would lead the country towards stability and ensure the welfare of 
the people of Pakistan.

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991028 
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Japan links aid to CTBT, democracy 
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Bureau Report

ISLAMABAD, Oct 27: Japan has linked its future assistance to 
Pakistan to the restoration of democracy and the signing of CTBT. 
"The visiting State Secretary for Foreign Affairs, Ichiti Yamamoto, 
has told the president,
 the foreign minister and a member of the NSC that Japan wants the 
military government to announce a timeframe for the revival of 
democracy in Pakistan, and a date for the signing of the 
Comprehensive Test Ban Treaty", said Mr Kinafuchi, Political 
Counsellor at the Japanese embassy.

Briefing reporters here on Wednesday on the short visit of the 
Japanese state secretary for foreign affairs to Islamabad, he said 
Mr Yamamoto had held detailed meetings with President Rafiq Tarar, 
chief executive's senior adviser Syed Sharifuddin Pirzda, Foreign 
Minister Abdul Sattar and a member of the National Security 
Council, Dr Attiya Anayatullah. He had also met senior vice-
president of the Pakistan Muslim League, Ejaz- ul- Haq.

" Mr Yamamoto gave a clear message to the higher Pakistani 
authorities that unless there is a complete return to democracy, 
and a specific date for the signing of the CTBT, Japan would be 
constrained to offer any financial assistance to the country", Mr 
Kinafuchi said.

He said Japan had been offering 300 to 500 million dollar annual 
assistance to Pakistan, which could not be offered under the 
present circumstances.

Quoting his state secretary for foreign affairs, the political 
counsellor said there was an extraordinary situation and that Japan 
was keenly observing emerging events in Pakistan.

Asked about the reaction of the president and other authorities in 
Pakistan, he said the Japanese state secretary was told that all 
efforts were being made to revive the democratic process in 
Pakistan. "They had also talked about the problems due to which it 
was difficult to give any firm date for the signing of the CTBT", 
he said.

Nevertheless, Mr Kinafuchi said the Mr Yamamoto's visit was very 
fruitful. He said Japan hoped that democracy would be restored in 
Pakistan at the earliest, "because what we see today is not a 
democratic system".

Responding to a question, he said Mr Yamamoto could not meet Chief 
Executive General Pervez Musharraf as he was currently away from 
Pakistan. "Had Gen Musharraf been in Pakistan we might have got 
some clear reply on the issue of timeframe for the restoration of 
democracy and signing of the CTBT", he added.

He told a reporter that Japan would make a"comprehensive review" of 
the situation in Pakistan before deciding to resume financial 
assistance.

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991026
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Delhi concerned over change of govt in Pakistan
-------------------------------------------------------------------

NEW DELHI, Oct 25: Indian President K.R. Narayanan said on Monday 
the military takeover in Pakistan was a matter of serious concern, 
and that only democracy could guarantee peace and understanding 
between countries.

"The recent military takeover of Pakistan is a matter of grave 
concern. Democracy alone can guarantee peace, understanding and 
cooperation among countries and people," Narayanan said in an 
address to parliament laying out the new government's policies.

"We are watching the situation in Pakistan with careful attention," 
Narayanan said, adding that Islamabad must stop "cross-border 
terrorism" in occupied Kashmir and "elsewhere in the country".

New Delhi will follow the "principle of zero-tolerance" in dealing 
with terrorism, Narayanan said.

India was committed to global nuclear disarmament but would 
preserve its "strategic autonomy", the Indian leader said.

"This will be done in a way that India's legitimate security 
concerns are suitably addressed, in keeping with our own assessment 
of the evolving international security environment," he said.

Narayanan said the national security council will advise the 
government on the establishment of a credible nuclear deterrent.

New Delhi unveiled a draft nuclear doctrine in August, saying it 
would pursue a credible nuclear deterrent based on aircraft, ships 
and mobile land-based missiles. Government leaders said the 
doctrine had been made public to generate debate. -Reuters

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991024
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Qazi’s entry in NWFP banned
-------------------------------------------------------------------
Bureau Report

PESHAWAR, Oct 23: The government of NWFP has banned the entry of 
Jamaat-i-Islami chief, Qazi Hussain Ahmad, in the province for a 
period of 30 days, says a handout issued by the provincial 
information department here on Saturday.
    
The order said that the government considered it necessary to 
prevent Qazi Hussain Ahmad from acting in a manner prejudicial to 
public safety and maintenance of public order in the province. 
Therefore, in exercise of powers conferred under section 5(1)(a) of 
the West Pakistan Maintenance of Public Order Ordinance, 1960, the 
provincial government had ordered that Qazi Hussain Ahmad shall not 
enter, reside or remain in the province for a period of 30 days.
    
Reasons cited for banning the entry of the JI chief, as per the 
NWFP government order, were that public rallies, gatherings and 
meetings have been banned and his visit to the province would cause 
serious harm to public peace and tranquillity. Additionally, it 
said, there were reasons to believe that Qazi Hussain Ahmad will 
make inflammatory speeches or indulge in activities prejudicial to 
public safety and maintenance of good order in the province.
   
LOUDSPEAKERS: The sub-divisional magistrate, Peshawar, on Saturday 
imposed ban on the use of loudspeakers and other electronic 
equipments in mosques other than for Azan and Friday sermons. The 
order was issued under section 144 Cr.P.C. 


=================================================================== 
 BUSINESS & ECONOMY
991026
-------------------------------------------------------------------
SBP directive: Banks to submit weekly report on loan recovery
-------------------------------------------------------------------

 KARACHI, Oct 25: State Bank of Pakistan (SBP) Governor Dr. 
Muhammad Yaqub Monday directed banks and DFIs to submit a weekly 
report to the central bank giving details about amount recovered 
from defaulted loans and balance and warned those mis-reporting 
facts will be penalized under Banking Companies Ordinance 1983.

 Chairing a meeting of head of banks and DFIs here at the SBP he 
asked them to focus on major loan defaulters. "Those defaulters 
having weak collateral or taking loans on the basis of over-
valuation and leading lavish lifestyle should be focussed,"he told 
them.

 He directed for negotiated uniform rescheduling of loans with a 
maximum down payment while rest should be payable within two years 
time. There should be justice in the process and no discrepancy 
will be tolerated in rescheduling process.

 He further directed that all chief executives of banks and DFIs 
should head the recovery teams formed to approach defaulters to 
reach negotiated settlement before November 16, 1999 after which 
law will take its course.

 He asked banks to increase lending to small and medium size 
industries and lower mark up rates as their recovery ratio was much 
higher than the large industrial sector. He also stressed upon 
lending to agriculture sector to increase its productivity.

 Dr. Yaqub however, made it clear that all lending should be 
prudent and according to institutions financing policies. He said 
banks have the opportunity that they have no political pressure and 
can disburse loan according to policies.

 SBP had asked bank loan defaulters to take the Chief Executive of 
Pakistan General Pervez Musharraf's warning giving four weeks to 
defaulters to repay, seriously and reach negotiated settlements 
before November 16, 1999 after which the amount will be recovered 
with penalty.

 'It was basically a pat on the back of the bankers to go ahead 
with the recovery drive without any fear and also a warning that no 
excuse will be accepted if they fail to achieve the task,' one 
banker said after he and colleagues met State (central) Bank of 
Pakistan (SBP) governor Mohammad Yaqub.

The central bank has set November 16 as the deadline for borrowers 
to return an estimated Rs211 billion ($4 billion) owed to the 
banking industry.

The banker said Yaqub also told the bankers that after expiry of 
the November 16 deadline, the army will not only take action 
against the borrowers, but bankers failing to recover the defaulted 
amounts would 'also be taken to task'.-PPI/Reuters

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991030
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Cold response to hydropower projects
-------------------------------------------------------------------
Intikhab Amir

PESHAWAR, Oct 29: NWFP has received no response to the 
prequalification bids for the four hydropower projects offered for 
execution to the private sector on BOOT basis, it was learnt on 
good authority here on Friday.

The last date for applying under the prequalification of bidders 
process had been fixed for Nov 12, 1999.

However, after the negligible response, the deadline for submitting 
bid documents had now been extended to Feb 16, 2000, sources told 
Dawn.

The four hydropower projects offered on Built-Own-Operate-Transfer 
(BOOT) basis include 72 mw capacity's Khan Khawar in Swat district; 
35 mw capacity's Daral Khawar in Swat district; 106 mw capacity's 
Golen Gol in Chitral district and 28 mw capacity's Summer Gah in 
Kohistan district.

"Cold response to the hydropower projects by the private sector 
specially the international firms is explained by investment 
climate in the country which got affected by the raw handling of 
the IPPs issue by the last government," said a well placed official 
of the provincial government.

The four projects, whose feasibilities and environmental assessment 
have already been done, would be developed in accordance with the 
government of Pakistan's July 1998 policy for new private 
independent power projects.

After the offer received negligible response from the foreign 
investors the Private Power Cell (PPC), of the government of NWFP, 
is set to re- advertise the four projects.

At the completion of the prequalification of bidders process, said 
the sources, the PPC in consultation with the Private Power and 
Infrastructure Board (PPIB) and WAPDA would prepare a short list of 
prequalified bidders who would afterwards be invited to bid for the 
project(s) on International Competitive Bidding (ICB) basis.

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991030
-------------------------------------------------------------------
IDB approves $84m facility for oil import
-------------------------------------------------------------------
Ihtashamul Haque

ISLAMABAD, Oct 29: The Islamic Development Bank (IDB) has approved 
84 million dollar two step Morabaha financing facility for Pakistan 
to import of petroleum and petroleum products, according to the 
ministry of finance.

State Bank governor Dr Muhammad Yaqub will lead a delegation to 
Jeddah to attend the 23th annual meeting of the IDB to be held from 
Oct 31 to Nov 2. He will also meet the board of directors of the 
Bank as the IDB governor from Pakistan.

Official sources expect that the IDB will also extend financing 
facility to import crude oil, and palm oil from Malaysia. President 
of the Bank Dr Ahmad Muhammad Ali, sources said, has assured to 
provide maximum lending to Pakistan.

Pakistan also believes that IDB will provide funds from its 
proposed $1.5 bn infrastructure fund for investment in 
infrastructure projects.

The Singapore-based Emerging Markets Partnership (EPM) owned by 
former caretaker prime minister Moeen Qurashi has been appointed as 
Principal Advisor by the IDB to mobilize 1.5 billion dollar 
infrastructure investment fund for OIC member states.

This infrastructure fund will be established in Bahrain as limited 
partnership with Equity Capital targeted at one billion dollars 
(with a first closing of 500 million dollars) and Complementary 
Finance Facility (CFF) targeted at 500 million dollars.

The IDB will initially be providing 250 million dollars for 
infrastructure investment but the major funding will be mobilized 
by the Moeen Qurashi's firm - Emerging Markets Partnership.

Sources said that Dr Yaqub during his two-day stay in Jeddah would 
also discuss new funding for the private sector. "We hope to 
largely benefit from the decision of the IDB to set up a 
Corporation to offer loans to the private sector of the members of 
the Organisation of Islamic Countries (OIC)", an official said.

The board of directors of the Bank would also soon approve 13 per 
cent increase in funding of the bank for member countries. 
Officials said that there will be 250 million dollar increase for 
Pakistan which will be used for project and trade financing.

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991030
-------------------------------------------------------------------
Compliance of budgetary provisions ordered
-------------------------------------------------------------------

KARACHI, Oct 29: Sindh Finance Secretary, Abdul Wajid Rana, has 
asked the heads of all provincial government departments to direct 
their regional heads, subordinate offices and field units to comply 
with the instructions of the Finance Department in letter and 
spirit.

He said that officers dealing with the budget in respective 
departments should be directed in clear terms to release the budget 
within one week after receipt from Finance Department.

In a communication to ACS (Dev), Senior Member Board of Revenue, 
administrative secretaries and IGs of Sindh and Prison, Finance 
Secretary said it has been observed with great concern that 
administrative departments and operational offices were incurring 
expenditure without budgetary authorization.

Consequently liabilities are raised against Government of Sindh 
which most of the time, have been found billed at inflated rates. 
Thus, racketeering has emerged over the period to fleece the 
Government of Sindh.

Of course, he observed, this cannot be possible without active 
connivance of those handling accounts of Government of Sindh at the 
field level.

Finance Secretary said it has been further observed that DDOs, 
particularly of major departments, are drawing salaries of lower 
staff in lump sum refleting only the sanctioned strength and total 
salary without providing requisite details.

This, he pointed out, has led to emergence of "Ghost Employees 
Mafia" besides causing huge losses to Provincial exchequer.

Certainly, he said, this unchecked resource drain cannot be 
allowed. Instances have also come to the notice that it takes 4-6 
weeks for the budget to reach at field offices after it is released 
by Finance Department.-APP

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991029
-------------------------------------------------------------------
PIA's short term debt shoots up to Rs11 billion
-------------------------------------------------------------------

KARACHI, Oct 28: PIA's short term borrowings/ overdrafts have shot 
up to 11 billion rupees as of todate from Rs 5.7 billion on June 
30, 1997.

The 100 percent increase in the liquidity crunch is an ample proof 
of the total failure of the previous management, a cursory look at 
the PIA's financial health reveals.

According to PIA sources, the period of two and a half years from 
May 1997 to October 12, 1999 enjoyed by the previous management, 
was littered with policies, plans and endeavours which can be best 
described as "suicidal".

With reference to Rs 2408 million early retirement schemes funding, 
the management imposed mandatory retirement scheme from November 
1997 on the employees of all cadres who were retiring in June 2000, 
by giving them full emoluments for the balance service period. 
Around 1100 employees falling in the scheme were paid Rs 482 
million.

This scheme was defective and self-defeating as no where in the 
world people are given such benefit. Moreover the vacancies created 
by implementing the scheme in the higher cadre of management were 
filled up, thereby burdening the payroll bill.

The management embarked on voluntary golden handshake scheme to 
reduce the payroll. The benefit, if any, which was accruing on the 
implementation of the scheme was nullified by defective policy of 
out sourcing with special reference to Sabre contract which on an 
approximate basis was to cost the airline 15 million dollars per 
year. The wage increases and outsourcing of functions were self-
defeating when viewed in the context of reducing the payroll bill.

Pointing to yearly cash deficiency, the sources maintained that no 
effort was made to arrest the decline in the overall health of the 
company with monthly deficit having gone up gradually over the last 
two years and stood at Rs 2649 million per annum at present.

As regards the retrieval of blocked funds from PIA Investment 
Limited, the management followed the wait and see policy, although 
the financing against PIAIL property of Roosevelt Hotel in New York 
was available since March 1999 and the same was delayed on one or 
the other pretext. The delay for no valid/viable reasons left the 
airline on the verge of major default/collapse.

Discussing the defective/self defeating outsourcing measures, the 
sources described the internal audit function outsourcing at Rs 12 
billion per annum as undesirable in view of existing in house 
facilities.

Referring to defective revenue generation measures, the sources 
observed that the management embarked on marketing strategy which 
was based on decreasing fares and increasing loads, thus lending to 
zero revenue growth.

Although massive investment was made in introducing the new 
strategy in terms of automation upgrade, IT, advertising support, 
the new marketing strategy based on revenue management techniques 
had no positive impact on the net revenue of the airline.

They pointed out that defective wage agreements were signed which 
had no relationship with the Company's financial health. Unfair 
concessions were given to the unions/associations which were not 
linked with productivity.

Reference was made to increase to CBA in January 1999 for the 
period July 96-98 of over 40 percent, having a yearly impact of Rs 
800 million and MOUs signed with CEPIA except CBA for making adhoc 
payment of 190 percent before finalization of agreement which comes 
to about Rs 650 million.

They also pointed to disinvestment of shareholdings in subsidiaries 
IAL and DFSL at throw away prices and said Duty Free Shop was sold 
for Rs 12.5 million and IAL sold for Rs 5.5 million.

The sources continued to point out that plans were underway to 
outsource PIA's key core functions like ground handling, flight 
kitchen, engineering, cargo etc. This would have crippled the 
airline as these services are a source of great strength and 
support to its operations. In the USA various books have been 
published, declaring airline outsourcing as a "complete failure".

Decision was also taken to close down PIA's operation to many 
points. This would result in converting the airline from an 
international operator to a regional carrier.

Management's policy of discontinuing services to important Islamic 
countries like Iran, Syria, Jordan, Egypt was outrightly 
discouraged and airing of one's professional views was not liked by 
the management. Senior management and down the line were expected 
to follow the dictates of the top management.-APP

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991029
-------------------------------------------------------------------
Property tax defaulters' list to be published
-------------------------------------------------------------------
Sabihuddin Ghausi

KARACHI, Oct 28: A list of "chronic" defaulters of property tax in 
the city is being given final touches by the provincial Excise and 
Taxation Department. This list, according to the officials, contain 
names of the Senators, MNAs and the MPAs belonging to both the 
ruling and the opposition parties as well as those of ministers in 
the cabinet of dismissed Chief Minister Liaquat Jatoi and members 
of the Advisory Council of Syed Ghous Ali Shah.

To be made public in next few days, this list, the officials say 
also include the names of the prominent business leaders who have 
been ignoring repeated notices by the Excise and Taxation 
Department.

The officials allege that all these defaulters were not responding 
to the property tax notices for over last five years. These notices 
incorporate a warning of attachment of property in case of default 
which has never been taken seriously.

About half a dozen government and private institutions which have 
already been served with the property tax notices are the Aga Khan 
University Hospital for Rs 21 million, Federation House of the apex 
trade body, the Federation of Pakistan Chambers of Commerce and 
Industry Rs 1.60 million, the Karachi Shipyard Rs 7.20 million, 
Karachi Development Authority Rs 26.83 million and the Board of 
Intermediate Secondary Education Rs 9.08 million.

The Aga Khan University Hospital is understood to be seeking 
exemption from the levy of property tax on the ground that it was a 
teaching and a medi-care institution. But looking at its high 
service charges and exorbitant rooms rent that almost match the 
five star hotels, the officials insist on recovering the property 
tax. The KDA has been asked to pay for the Civic Centre and other 
buildings which have been rented away and generate revenue for the 
Authority.

The government is associating Rangers and other para- military 
forces in the collection of accumulated property tax from the 
defaulters and senior officials are at present engaged in 
finalising an institutional framework for this coordination.

The officials have also dug out a pre-independence era Sindh Debt 
Recovery Law which was reported to have been adopted and adopted by 
the Sindh Assembly after 1947. This particular law, the officials 
say describes all liabilities towards the government as 'debt' for 
the recovery of which it stipulates harsh and stringent provisions 
that include the arrest. Those who would offer bail and guarantee 
for the release of tax defaulters will be given a specific time 
frame for clearance of this 'debt'. In case of default the 
guarantor would also suffer the imprisonment and fine.

"Our legal consultants are reviewing this law and if there is a 
need for more harsh provisions it could be further amended" a 
senior official said. These officials do not rule out the 
application of this law on the defaulters of banks loans.

In its drive for the current recovery, the department has collected 
Rs 270.13 million property tax in the first quarter of the current 
fiscal. It represents over 111 per cent of the proportionate target 
set for July-September 1999 quarter. The total target for the whole 
fiscal is Rs 960.60 million.

Almost 95 per cent of the property tax in the province is collected 
from Karachi alone while 5 per cent is collected from other parts. 
This is despite the fact that all the headquarters of the 21 
districts in the province (including five districts of Karachi) are 
the rated areas plus the sub-rated areas as well.

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991027
-------------------------------------------------------------------
Customs asked to establish safer warehouses
-------------------------------------------------------------------
Ikram Hoti

ISLAMABAD, Oct 26: The CBR has asked the customs department to 
create safer ware houses throughout the country to minimise theft 
and waste running into millions of rupees annually.

No seized goods would be allowed to be stored at places other than 
these warehouses to be created by law enforcement agencies 
including civil armed forces of Pakistan delegated anti-smuggling 
powers.

Gold/silver bullion and articles including jewellery, precious 
stones and ornaments, narcotics, coins, currency, antiques, watches 
and other articles declared as valuables, shall be stored therein.

For the purpose, a new procedure has been announced by CBR through 
Customs General Order No 43, dated Oct 26, '99 which says: Sec 169 
of the Customs Act' 69 stipulates that the goods seized in Customs 
cases will be delivered to the care of the same or the nearest 
Customs House or at the nearest place appointed by the collector 
Customs.

It is thus mandatory that each collector having jurisdiction should 
specifically issuenotifications appointing state warehouses as and 
when required by these agencies, and the custodians thereof, and 
regularize by formal notifications all functional state warehouses 
by these agencies.

On-the-spot inventories of seized goods shall be prepared of seized 
valuables, put in sealed bags in presence of at least two 
independent witnesses/mushirs with their signatures on the bags, 
along with those of the accused. All such packages should carry 
written date and time of seizure; places of seizure; name/full 
postal address of the accused; goods' name/description; quantity; 
distinguishing marks; state serial number in case of currency; 
trade marks; place of manufacture; signature, rank, address of the 
seizing officer.

'A' class warehouses would be created at the headquarters of these 
agencies, while 'B' and 'C' class would be proposed by the heads of 
these agencies and duly appointed by the collector Customs having 
jurisdiction.

It is for the collector to select the placeswhere state warehouses 
are required and facilities exist for establishing them. The 
premises selected for the state warehouses should be secure in all 
respects, containing the following: steel almirahs and cash sheets 
fixed in the walls; inflammable store-rooms as per the 
specification of Department of Explosives; and increased number of 
guards.

A custodian and deputy custodian will be appointed by collector 
Customs from the concerned agency at each of the 'A' class 
warehouses. Commissioned officers appointed would be the in-charge 
of the 'B' and 'C' class warehouses.

Custodian/in-charge shall give a receipt to seizing officer of the 
goods being deposited at the state warehouses. If a court case is 
made on seizure, the de-sealing of the bags containing goods shall 
take place only in the court of law.

All seized goods shall be dispatched to 'A' class warehouse on 
completion of investigations and valuables shall be sent to the 
State Bank of Pakistan for safe custody at once, after being 
received at the 'A' class state warehouses, in prescribed boxes.

Whenever valuables are required for inspection by the adjudicating 
officer, a notice should be sent well in advance to the accused 
asking him to appear on the fixed date and time. The same notice 
shall be sent to custodian concerned to send the seized valuables 
through, preferably, the officer who originally seized them.

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991027
-------------------------------------------------------------------
Rupee firm: FAP denies shortage of dollar
-------------------------------------------------------------------

KARACHI, Oct 26: The Pak Rupee remained firm against US dollar in 
the kerb market on Tuesday as green bill had no demand, dealers 
claimed.

The money changers continued to buy and sell dollar at Rs 
54.35/54.40 as compared to the same rates prevailed on Monday.

Dealers further claimed that trend in the money market was bearish 
and that dollar was available to people without any restriction.

"Dollar is available up to limit of $10,000 without any 
restriction," said Malik Bostan, President Forex Association of 
Pakistan (FAP).

He, however, said that authorized money changers are bound to refer 
the major transactions of $10,000 and above to State Bank.

"There is no condition of any documents, passport for purchase of 
dollar in lesser amount," he said.

In the inter-bank market also, the dollar rates remained subdued.

The Forex Association of Pakistan (FAP) expects dollar rates to 
slide further allowing the Pak Rupee to gain ground as speculative 
activity has come to a an end.

The SBP had placed a ban of at least 12 days on money changers to 
prevent capital flight and speculative activity in the open 
currency market.-APP

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991027
-------------------------------------------------------------------
CBR announces new rules for seized goods' disposal
-------------------------------------------------------------------
Correspondent

ISLAMABAD, Oct 26: Central Board of Revenue has announced new 
procedure for disposal of seized and confiscated goods to check 
irregularities which are causing loss of millions of rupees to the 
national exchequer.

The items covered by the new disposal procedure (Customs General 
Order No 43, dated Oct 26, 1999) would include gold, currency, 
silver, precious stones, consumer durables, motor vehicles, arms 
and ammunition, antiques, mobile telephones, batteries, parts and 
accessories.

Narcotics, liquor, expired/banned drugs, acetic anhydride, 
medicines and chemicals which are health/environment hazards and 
obscene films and literature, shall continue to be destroyed.

Gold shall continue to be deposited with the State Bank of Pakistan 
while currency should be directly tendered to the National Bank of 
Pakistan for realisation of proceeds to the government account.

Grading of silver ripe for disposal will be carried out by the 
Pakistan Mint, Lahore, and sold to it if the mint is interested in 
buying.

Grading and valuation of precious stones will be done by the 
Customs Valuation Committee constituted with gemstone experts, and 
offered for sale.

Durable consumer goods like TV sets, VCRs, refrigerators, deep 
freezers, microwave ovens etc., and other goods shall be offered 
for sale to Utility Stores Corporation, Canteen Stores Department, 
Cooperatives Stores organizations of the provincial governments, 
NLC, Frontier Corps, Balochistan and NWFP, through their retail 
outlets. Controller Valuation, Customs, shall determine sale 
prices.

Motor vehicles shall be disposed of only through public auction at 
the appraised value of the custom collectorate concerned. Arms and 
ammunition of prohibited bores shall be offered to the civil armed 
forces, police, FIA, PNCB, Customs and other forces for official 
use.

Non-prohibited arms and ammunition shall be offered for sale 
through open tenders to licensed arms and ammunition dealers at 
prices pre-determined by the controller of Customs Valuation.

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991026
-------------------------------------------------------------------
Sales Tax registration improves
-------------------------------------------------------------------
Bureau Report

ISLAMABAD; Oct 25: Central Board of Revenue (CBR) has recorded an 
improvement in the Sales Tax registration as the number of the 
department's assessees rose from 62,000 in June '99 to 65,000 at 
the end of the July-Sept quarter of '99-2000.

Apart from bringing 2000 new assessees into the ST net, the Sales 
Tax department has reduced to zero the refunds pendency against the 
claimed amounts by exports manufacturers in the first quarter of 
the year.

CBR had a total of 45,400 persons registered with the Sales Tax 
department by the end of Oct '98. In the first quarter of the 
current financial year, the achievement in expanding the net is 
unprecedented in view of the fact that one quarter (11,100) had to 
be de-registered during the financial year '98-99.

This de-registration had to be carried out mainly due to these 
registered persons having paid not even a single rupee in sales tax 
by the end of Oct '98, forcing the CBR to decide de-registration.

The Sales Tax increased the number of its registered persons' from 
42,007 to 60,211 between June 30, '98 and June 30, '99, through an 
aggressive campaign, during which 5900 persons got de-registered, 
Dawn was informed by CBR officials.

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991030
-------------------------------------------------------------------
Leading blue chips end with clipped gains
-------------------------------------------------------------------
Reporter

KARACHI, Oct 29: Strong speculative buying in Hub-Power aided by 
optimism of an early settlement of the tariff cut issue with the 
Independent Power Producers (IPPs), featured the Friday's stock 
trading where leading blue chips ended with clipped gains owing to 
weekend selling.

This optimism was based on reports that a World Bank team, one of 
the guarantors of the project, is due on Nov 1 to have detailed 
talks on the stand off and settle the 30-month old issue after 
reaching a consensus formula, analysts said.

An idea of strong speculative buying in it may well be had from the 
fact that it alone traded for 82m shares out of the total turnover 
of 144m shares, up 75 paisa at Rs20.00 after hitting the day's best 
bid at Rs20.20.

'Massive volume in Hubco reflects that no one among the investors 
was inclined to miss the bandwagon and rode it violently amid 
rumours that the new set up wants to settle the tariff issue once 
for all', said member of the KSE.

He said the current buying euphoria in it may continue next week 
also as the presence of the World Bank team in the capital is sure 
to generate fresh speculative buying at the current levels.

The KSE 100-share index finished after moving either-way, rising by 
eight points and falling 4 points, finally ended at the last level 
of 1,189.33 points, showing no change over the day.

'It perhaps for the time that it showed a zero change, reflecting 
that investors are not inclined to take a bearish view of the 
developing situation on the corporate front', said a dealer.

'The settlement of tariff cut issue with the Independent Power 
Producers (IPPs), may not re-open the floodgate for foreign 
investment, it will certainly signal a major policy change 
regarding foreign stakes', they added.

The new set up led by finance minister-designate, Shaukat Aziz will 
have to go an extra mile to reassure foreign investors including 
the IMF and World Bank highups, and 'Pakistan stands for a major 
policy change in real financial terms'.

Floor brokers said there were fears in investor minds owing to 
financial pressures and economic worries but underneath them is a 
sense of optimism and they are willing to give an 'appropriate time 
to the new economic managers.'

'As the developing scenario indicates, the index is sure to be 
stabilised above 1,200 point barrier and some of the leading shares 
may well prove the trend-setters', they added.

Leading shares in bank, energy, chemical, auto, insurance and some 
other sectors are ruling at the attractively lower levels and may 
attract any amount of short-covering giving the needed push to the 
market, they said.

Prominent gainers were led by Bank of Punjab, Indus Bank, Tata 
Textiles, Abbott Lab, Millat Tractors, Pak-Suzuki Motors and BOC 
Pakistan, rising by one rupee to Rs7.00.

Losers were led by Islamic Bank, Attock Refinery, Shell Pakistan, 
General Tyre, Pakistan Cables, Philips and Knoll, falling by Rs 
2.00 to Rs5.25.

DIVIDEND: Grindlays Modaraba, cash 22.5% and Lawrencepur Woollen, 
cash 22% for the year ended June 30, '99.

Back to the top
=================================================================== 
 EDITORIALS & FEATURES
991024
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Liquidation
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Ardeshir Cowasjee

"LET me, however, make this clear, in case there should be any 
mistake about it in any quarter. We mean to hold our own. I have 
not become the King's first minister in order to preside over the 
liquidation of the British Empire. For that task, if ever it were 
prescribed, someone else would have to be consulted."

That was Winston Spencer Churchill, at his roaring best, when he 
spoke at the Mansion House in London on November 10, 1942. Four 
years later, with Churchill out of power, someone else was 
consulted and the empire was lost.

In 1951, a Wykhemist friend of mine remarked, "Well, the Empire has 
gone, and with it a lot of chingchongs, oongaboongas and nignogs. 
The educated and the hardworking amongst them will rise, the rest 
will end up eating each other." We fell in the last category.

What have our 'educated' leaders done with this nation? Where do we 
140 millions find ourselves today? In effect, those who followed 
Jinnah have spread the belief that the world owes us a living, that 
we do not have to work for ourselves, that manna will fall, if not 
from heaven, from the willing open hands of powerful friends. The 
motley leaders we have had, be they potentates, dictators, 
autocrats, basic-democrats or pseudo-democrats have all tried to 
rule by emulating the West but without making any attempt, even the 
feeblest, to educate the illiterate masses.

Within 25 years half the country was lost. Now, 25 years later, 
with the way things are going, no one can be sure for how long, or 
even if, the remaining half will remain intact. When great empires 
can be lost, so can puny weak countries. What goes in our favour is 
that there are no serious takers - "We will eat grass if we have 
to, but we will make the bomb."

How are we regarded? What is the perception the outside world has 
of us?

The heading of an editorial in 'The Times' of January 8, 1997, when 
Caretaker Farooq Leghari was supposed to be righting the wrong, was 
: 'Time for Pakistan - Delaying elections may be better than it 
appears.' It read ". . . . .A time limited delay of the February 
elections would not necessarily be as damaging to Pakistani 
democracy as it seems. The two leading contenders have both been 
dismissed from office on corruption charges; three months was 
always too short a time for credible choices to emerge from such 
polluted political machinery. Time would also allow the interim 
government to toughen up its accountability law, intended to 
disqualify politicians guilty of corruption. It was hastily drafted 
and has allowed too many big fish to slip through its meshes. In 
particular, there is need to tighten the new rules designed to bar 
politicians who have damaged the country's banking system by 
refusing to repay massive personal loans to which nothing but their 
political influence entitled them. Most of the technocrats filling 
the political vacuum are doing a respectable job. They have made 
deep cuts in the size of government, reduced the scope for 
political patronage, advanced privatization and introduced deep 
banking and tax reforms. They have also cancelled most 
'development' projects, too many of which aim to buy votes with 
profligate public works schemes."

Leghari disqualified nobody, wangled in Nawaz Sharif, with the aim 
of sitting in the saddle himself.

Two and a half years later, an editorial in 'The Times' of October 
13 1999 was headed 'Distortions of democracy - the military may be 
a less bad option for Pakistan today.' To quote from it : "In 
domestic tussles with the presidency, the judiciary, the growing 
number of political enemies, the press, religious factions, and the 
military, Mr Sharif has done little but try to extend his own 
powers . . . . . . . Mr Sharif's sorry record may be why 
Washington, despite its earlier warnings, is taking an unusually 
softly-softly tack, calling only for the swift restoration of 
democracy 'if a coup has taken place'. The outside world, like 
Pakistan's frustrated voters, may feel that a new government, even 
one brought in by the army, might be less bad for Pakistan than the 
distorted democracy it has endured until today."

On October 18, came a further editorial headed 'Time and the 
General', part of which reads : "His [Musharraf's] message 
yesterday, therefore, was simple; give Pakistan a chance. He 
deserves to be heard. On virtually all matters, what he said was 
sensible. But Pakistanis will judge him by what now follows. Many 
want to see the smack of firm government, especially if it hits 
those who have corrupted the suffering country . . . . General 
Musharraf now has the chance and the determination to stamp out 
graft and bring in the austerity measures from which his 
predecessors shied away. As a member of a minority, he also made 
clear that the government will clamp down on religious persecution, 
ethnic conflict and tribal clashes that have threatened to pull 
Pakistan apart."

A news report in 'The Economist' of October 16 has it that : "There 
were spontaneous celebrations at the ousting of Mr Sharif. The 
deposed prime minister had systematically undermined every 
institution capable of challenging or even questioning him, from 
the courts to the press to parliament."

And, from a column in the 'Asian Wall Street Journal' of October 21 
: ". . . . . . . . . Mr Sharif became intoxicated with the notion 
of running what he referred to as 'the most powerful civilian 
government in Pakistan's history'. To this end he secured the 
removal of a president, a supreme court chief justice . . . . . . . 
. . He appointed judges beholden to him . . . . . . . . . . His 
disregard for democratic institutions became obvious when he 
ordered his party members to storm the supreme court and prevent 
the hearing of cases of past corruption against him."

On a more frivolous note, the 'Daily Telegraph' on October 21 
opined that "Surely the Queen would rather have entertained the new 
leader of Pakistan . . . . General Pervez Musharraf who seized 
power last Tuesday seems a more decent fellow than President Zemin. 
For a start, he could chat to the Queen about his dogs - General 
Musharraf has two Pekinese called Dot and Buddy. . . . 'The 
Guardian', which normally puts military dictators in the same 
category as fat cats, called General Musharraf 'charming, 
articulate and approachable'. The US ambassador to Pakistan said he 
was 'a man of rectitude and sincerity'. . . . . . . A liberal 
Muslim, he has limited patience with Islamists and has promised to 
open his own tax returns for inspection."

Also on October 21, Jim Hoagland in the 'Washington Post' wrote 
"Justifiable homicide is one way to think about the coup Pakistani 
General Pervez Musharraf staged against the corrupt, inept, 
democratically elected civilian government in Islamabad last week. 
Musharraf deserves no applause for what he has done. But thus far 
he has not earned hanging, either . . . . . . 'We have hit rock 
bottom,' Musharraf said in his first address to a nation that must 
treat that assessment as unbridled optimism. For three decades 
Pakistan has been ruled by charlatans, crooks, fanatics and a 
certifiable war-criminal or two. The considerable talents and 
graces individual Pakistanis manifest have been relentlessly driven 
out of their national politics . . . . . . Throughout the downward 
spiral - with brief respites when sober-minded technocrats were put 
in charge - the United States has been there to cheer on the quack 
of the day as the only hope that things would not get even worse, 
and to welcome the next quack when things did get even worse . . . 
.

"I experienced the strength of the US tilt towards Pakistan in 
covering, from Calcutta and then Islamabad, the 1971 India-Pakistan 
war, a conflict in which Pakistan's leaders had authorized 
genocidal campaigns against the population of Bangladesh. That was 
not what counted in Washington. The United States sought to build 
up Pakistan as a counterweight to a huge headstrong Indian 
democracy that Washington had never been able to accommodate easily 
in its strategic thinking . . . . . If the Pakistanis do not draw 
lessons from the dead end they have reached - and history and human 
nature suggest they won't - the United States must nonetheless 
seize this opportunity to show that it has finally learned where 
its paramount interests lie. Washington has nothing further to gain 
by manipulating, cajoling or overestimating Pakistan as a regional 
ally, or by pretending to treat it on an equal footing with India, 
or as strategic bridge to China . . . . .

"Pakistan has become a sideshow in geopolitical terms . . . . The 
Clinton administration does not shed even crocodile tears over 
Sharif's fate. Washington urges only a return to democracy, not 
restoration of a prime minister who systematically undermined 
Pakistan's other institutions."

Every (repeat every) institution of the state necessary for the 
maintenance of law and order, for the dispensation of justice, and 
for good governance has allowed itself to be destroyed or has 
recklessly and selfishly destroyed itself. We go back to 1947 and 
to what Jinnah said in the creed he enunciated on August 11 of that 
year : "The first observation I would like to make is this : you 
will no doubt agree with me that the first duty of a government is 
to maintain law and order, so that the life, property and religious 
beliefs of all its subjects are fully protected by the state."

To General Musharraf I say : Make haste slowly. Stand firm and 
excel.

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991029
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Sinking into the sand
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Ayaz Amir

THIS was supposed to be a blitzkrieg, carrying everything before 
it, smashing the pillars of corruption and turning the waters of 
the five rivers red with the blood of accountability. It is 
acquiring instead all the hallmarks of a classic battle of 
attrition reminiscent of the trench warfare of 1914-18.

Nothing so strikingly illustrates this as the first batch of names 
chosen for the National Security Council (NSC) and the cabinet. 
After 15 days of frenzied consultations, is this what the army has 
to show for its pains? It does not say much for the skill employed 
in the search or indeed for the abundance of talent available in 
the Islamic Republic.

Sharifuddin Pirzada as the principal adviser to the Chief 
Executive? The mind boggles. Pirzada has been adviser, legal 
counsel, eminence grise to every tinpot dictator since Field 
Marshal Ayub Khan. What are the generals hoping to get from him? If 
they want the status quo defended, he is their man. But if this 
takeover is about changing the nation's destiny, as the Chief 
Executive insists it is, what will be Pirzada's role who is already 
saying that his inclusion in the new set-up is not a full-time job? 
Interestingly, as in the deal he swung with General Zia whose legal 
adviser he also was, membership in the highest councils of 
government will not debar Pirzada from his private practice.

The finance commissar of the revolution unfolding before our eyes 
is Dr Yaqub who in his extended term as State Bank Governor may not 
have done much to turn the economy around but who has definitely 
set a record of survival which most politicians would envy. 
Although a clutch of scandals and scams have hit the banking sector 
during his stewardship of the State Bank - the Mehran Bank scandal, 
the travails of Bankers Equity Ltd, Nawaz Sharif's various yellow 
schemes, the Mera Ghar programme - the reputation for probity and 
financial brilliance of Pakistan's very own Alan Greenspan remains 
intact.

At Attiya Enayatullah's inclusion in the NSC the mind does not only 
boggle, it goes into a bewildered sleep. She is a charming lady and 
a great lobbyist of the causes she espouses (population control, 
her own career, and not necessarily in that order), but as far as 
having a measure of Pakistan's problems is concerned, she is simply 
out of her depth.

The fourth person to have been inducted into the NSC is Imtiaz 
Sahibzada. He is a nice person (every one seems to be a nice person 
around here) and a Gallian (alumnus of Lawrence College) to boot. 
But, pray, what in heaven's name is he expected to achieve?

Foreign minister is Abdus Sattar. As foreign secretary he was taken 
seriously. Ever since he takes himself seriously, a sense of humour 
seemingly alien to the man. To plumb his depths further read the 
longish dissertation on nuclear matters which he recently co-
authored with Mr Agha Shahi and Air Chief Marshal Zulfiqar Ali Khan 
although I suspect most of it was written by him. That a single 
document should bristle with so many contradictions and half-baked 
generalizations is quite amazing.

Finance minister is a New York import (Citibank), Shaukat Aziz. Why 
this country must remain dependent upon such fly-by-night reformers 
will remain a mystery till the cows finally come home.

Fifteen days if not more of anguished cogitation, and 140 million 
people to choose from, and this is what we get. Obviously, there is 
no escaping the glitter of mediocrity in this country.

General Jahangir Karamat has a lot to answer for: for the weakness 
he showed at several turnings when a bit of firmness was demanded 
and for this idea of a national security council (the reason for 
his quarrel with Nawaz Sharif) which his successors have picked up 
from him. What good will it do? Apart from the other service chiefs 
who are in it as of right, its other members are creatures of the 
Chief Executive. Will they be able to advise him in the real sense 
of the word and check him should the need so arise? If not, and 
they simply sing to his tune, or pander to the shibboleths which 
become the received wisdom of the moment, what useful purpose will 
they serve?

As a check on a democratically-elected government, an NSC can make 
sense from the military's point of view (I repeat from the 
military's point of view). But in a military set-up it is not only 
a contradiction in terms but also an exercise in redundancy. There 
will be the corps commanders calling the shots from the wings. 
There will be the cabinet advising the Chief Executive and helping 
him implement policy (or whatever passes for policy in Pakistan). 
How many more layers of advice does the country need?

All this amounts to running on the same spot. What does it betoken? 
To most people it would look like confusion. If something looks 
like a duck, waddles like a duck and quacks like a duck, in all 
probability it is a duck. In the same way, something smelling so 
strongly of confusion is probably confusion.Most of this confusion 
stems from a lack of clarity about aim and objectives, a serious 
failing in any endeavour but absolutely fatal in a military 
undertaking where decisiveness of action is lost if the mission is 
not defined with clarity and precision.

Reviving the economy, carrying out accountability, strengthening 
national cohesion are objectives which have tested the collective 
wisdom of the Pakistani nation for the last 52 years. How much time 
does the Chief Executive want for fulfilling this agenda? In Saudi 
Arabia he said it could take anything from six months to three 
years or even longer.

A six months' limit we can safely discard for if it took 15 days to 
pick Sharifuddin Pirzada and his team, it gives us an idea of the 
speed at which this dispensation is likely to work. As it is, the 
economy is being revived since Zulfikar Ali Bhutto's time. 
Accountability became a catchword under Zia, a good 22 years ago. 
Strengthening national cohesion is an open-ended exercise. Free 
elections will follow not precede the fulfilment of these aims. We 
are talking therefore of a flexible time-frame made finite or 
infinite depending upon the convenience of the time-keepers.

The trouble is that whenever the army has ridden into the political 
arena it has done so on the back of iron certainties, convinced 
that to every problem there is a black and white solution. It has 
usually not tended to understand (1) that life is a complex affair, 
often a messy one, with little of the beguiling simplicity of the 
parade ground; (2) that politics is not a search for perfection, 
because perfection we will find only in heaven, but an undertaking 
in which a choice all the time has to be made between lesser and 
greater evils; and (3) that given its make-up and ethos, its 
conservative background and the intellectual limitations of its 
higher echelons, the Pakistan army can never be a wholly 
satisfactory or ideal instrument of lasting reform.

It is not a question of individuals being good or bad. General 
Musharraf may be a very nice person but that is not the issue. The 
issue is that power, especially untrammelled power, encourages 
arbitrary and whimsical behaviour. This has been the sub-
continental norm throughout history. This has been the Pakistani 
norm since 1947. Ghulam Muhammad, Iskander Mirza, Ayub Khan, Yahya, 
Bhutto, Zia, Benazir, Nawaz Sharif: all of them, regardless of 
whether they were elected or not, have exercised power in the 
manner of mediaeval despots, treating the state as their personal 
estate, the state's servants as their personal retainers. This is 
the Pakistani problem and from it flow the other symptoms which so 
agitate us and form part of our national discourse: corruption, 
misuse of authority, the looting of banks, the squandering of 
national resources, etc.

How can the army solve this problem when its first and last 
resource in the political arena is the untrammelled exercise of 
authority?

Wherein lies the answer then? At the risk of sounding anti-
climactic, it lies in creating an ethos in which institutions are 
developed and laws respected. If this task requires time and hard 
work it begins with a crucial step: ensuring that in all seasons 
the state's functionaries are chosen for their merit and talent and 
not their political usefulness. If the army can provide just this, 
if it can leave in place constitutionally-protected checks which 
ensure, firstly, that in the judiciary and bureaucracy the best 
available people are appointed and, secondly, that the 
administration of justice and the maintenance of law and order are 
insulated from the influence of politics, sifarish and money, it 
will have done its job and earned the nation's gratitude. 
Addressing the other problems facing the country can then proceed 
in an institutional rather than an ad-hoc manner.

The army's own self-interest is tied to this approach. More than 
most countries in the same league, Pakistan needs a professionally 
competent and politically neutral military, qualities put at risk 
when generals, admirals and air marshals acquire a taste for power. 
The choice, accordingly, is simple: to be distracted by an open-
ended agenda and sink, inevitably, deeper into the mire or 
concentrate on essentials and get out while the sun still shines?

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991030
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Please keep it short
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Irfan Husain

SOON after she returned from exile in those heady days of 1986, 
Benazir Bhutto complained that giving her advice had become a 
cottage industry. And in truth, many of us columnists were guilty 
of offering the exciting young politician reams of gratuitous 
counsel.

Thirteen years later, we are still at it. No sooner had General 
Pervez Musharraf announced that he was taking over that he was 
virtually inundated in a flood of advice from every quarter. Even 
those who a few days earlier had been praising Nawaz Sharif to the 
skies pitched in with suggestions on how the country should be 
governed. Critics of the previous government were equally free with 
their advice. But no matter what direction these exhortations came 
from, the one thing they had in common was that evenhanded 
accountability of politicians should be carried out.

So far, I have resisted the temptation to add my two paisa worth to 
this tidal wave of wisdom flowing towards the GHQ from every point 
on the compass. Expatriate Pakistanis are especially keen to have 
their voices heard: several have copied e-mails to me containing 
"Open letters to General Musharraf". The bottom line for most of 
them is that crooked politicians should be hanged immediately. If 
many of them had their way, Nawaz Sharif, in particular, would be 
in for a very tough time.

As I write this, over two weeks have passed since the coup, and I 
will do what Oscar Wilde did when faced with temptation: give in. 
But before I hold forth, let me share a very appropriate quotation 
from Alexander Pope: "For forms of government let fools contest: 
Whate're is best administered is best". Just so. If the present 
regime can give us a modicum of good governance, a respite from the 
madness and hysteria that have engulfed this country for decades, 
and a moderate revival of the economy, we will have reason to be 
grateful.

But any misguided notion that the army has a magic wand to solve 
all our problems needs an immediate reality check. The same army 
has tried and failed several times before, and there is no reason 
to believe that experience has been a good teacher. Despite the 
best will in the world, no army in the world is trained to address 
issues like the reform of local government and banking laws. If 
there is currently consensus on anything, it is that accountability 
needs to be enforced across the board and the economy needs to be 
revived. The third point on this short agenda is that elections 
should be held as soon as the first two tasks have been completed.

Any good manager knows that to succeed, a few quantifiable and 
achievable targets should be fixed. The longer the agenda, the 
fewer the chances of meeting any of the goals. Dissipation of focus 
and resources must be avoided to achieve optimum results. So far, 
the junta has moved with all the speed of a wounded glacier. The 
generals must realize that the goodwill they currently enjoy is a 
very perishable commodity. Public approbation is a fickle thing. 
Sooner rather than later, people will tire of the masterly inaction 
we have witnessed thus far. The government should take the tough 
decisions now while it is still riding a groundswell of popularity.

One of the things General Musharraf said in his policy speech to 
the nation appealed to me strongly, and that was his firm stand 
against sectarian violence of any kind. Although this is outside 
the three-point agenda I have outlined above, the fact is that no 
economic revival can take place if peace is not restored to this 
divided nation. He should make it illegal to preach violence 
against any sect or faith, and come down very heavily on offenders. 
We have witnessed leaders of sectarian militias being arrested and 
then released time and again as timid politicians have backed off 
from trying these zealots. The police, too, are frightened of these 
gangs. Clearly, this is a job only the army can do.

We have seen that international reaction to the coup has been 
largely negative. While this may stem from a lack of understanding 
of the political realities in Pakistan, the fact remains that 
military regimes are in bad odour worldwide. As long as the country 
is led by a general in uniform, foreign aid, loans and investments 
will slow to a trickle. In addition, India will have a valid excuse 
not to sit down at the conference table with Pakistan. Internally, 
an open-ended dictatorship is bound to unite and galvanize 
politicians and political parties into uniting against the regime.

For all these reasons, a clear timetable for the return to 
democracy needs to be announced now. This is another argument for 
keeping the junta's agenda short. A two-year timeframe for 
accountability and a revival of the economy does not seem 
unreasonable. Clearly, bank defaulters and tax evaders would need 
to be tried in special courts as the present system is not geared 
to try hundreds of such cases in a reasonably short period of time. 
And once the IPP issue has been resolved, we can hope for an 
improvement in the investment climate.

So far, there have been no human rights violations committed by the 
military regime, and this is a record it must maintain. But Nawaz 
Sharif and some of his henchmen are still under detention at 
undisclosed locations without any charges being framed. While I 
have little sympathy for them, I feel their legal rights must be 
respected. By all means throw the book at them, but only within the 
ambit of the law. Even if Nawaz Sharif is released on bail, he is 
such an unpopular figure that he is unlikely to lead the people to 
the barricades against the army.

The signals one gets from Islamabad are of indecision and drift. 
The team named thus far does not fire the imagination as it is 
composed largely of unexciting personalities who, despite their 
personal integrity, have shown no signs of innovation or creative 
energy even in the prime of their lives. Now, in the twilight of 
their careers, they will plod on at best but seem unlikely 
candidates for the role of saviours they are being asked to play. 
Indeed, one of them, Dr Mohammed Yaqub, the governor of the State 
Bank, has presided over the looting of foreign currency accounts by 
successive governments as well as the milking of nationalized banks 
by Nawaz Sharif and his cronies. I do not recall him lodging any 
protests over this blatant misuse of power.

But I, for one, am willing to suspend cynicism and disbelief for a 
while, and let the Chief Executive deliver on his many promises. 
However, I would urge him not to overstay his welcome.


===================================================================
SPORTS
991028 
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Wasim's century in vain as Pakistan lose against Western Australia
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PERTH (Australia), Oct 27: Pakistan were defeated by Western 
Australia by three runs despite a hard-hitting century by right-
handed batsman Mohammad Wasim here Wednesday night in the World Cup 
finalists' first major game 
of their Australian tour.

Pakistan had appeared set for victory, but lost three wickets in 
the last over of their innings to finish with 250-9 after Western 
Australia had reached 253-7.

Wasim, batting at number three, hammered 100 from 116 balls.

The morale-sapping loss followed the tourists' seven-wicket 
drubbing by an Australian Cricket Board Chairman's X1 in a carnival 
game at Lilac Hill Park near here Tuesday.

With one over of their innings to go, Pakistan were 248-6, needing 
just six runs for victory off six deliveries.

Medium pace bowler Kade Harvey became a hero for the local team by 
trapping Wasim with the first ball and bowling both Mushtaq Ahmed 
for one and Shoaib Akhtar for a duck with his fifth and sixth 
balls.

Other important batting contributions for Pakistan came from opener 
Saeed Anwar on 31, acting Captain Ijaz Ahmed with 35 and Yousuf 
Youhana with 25.

Sub-standard fielding and a slow over rate cost Pakistan dearly in 
the Western Australian innings.

Two catches - both off express bowler Shoaib Akhtar - were 
grounded, general ball handling was sloppy and the overs were sent 
down so slowly that the team was penalised by having three overs 
deducted from their batting allocation.

On the credit side, 19-year-old speed merchant Abdur Razzaq 
excelled, maintaining the promise he showed in this year's World 
Cup, and fast bowling sensation Shoaib Akhtar worked up a 
blistering pace.

Razzaq, who earned 13 wickets during the World Cup in England, 
captured a well-merited 4-64 from his 10 overs.-AFP

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991026
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Shoaib wants to break 100m barrier
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PERTH (Australia), Oct 25: Pakistan's explosive fast bowler Shoaib 
Ahktar revealed here Monday he is planning to become the first man 
in the world to be recorded hurling the ball down at 100mph 
(161kph).

And the 24-year-old right-arm firebrand said he aimed to break that 
barrier in the next month, during the three-Test series against 
Australia, starting in the Queensland state capital of Brisbane 
November 5.

"I am ready for the fire now," he said, declaring he was fully 
recovered from a bowling shoulder injury which has sidelined him 
for the past three months.

"I will try to bowl really fast and I would like to break the 
100mph barrier on this tour - I am really looking forward to it," 
he said after the tourists' first training session at the WACA 
Ground Monday afternoon.

"God made me like I am and I cannot help it," he said, referring to 
his explosive action which made a massive impact during the World 
Cup in England earlier this year when Pakistan reached the final 
before being crushed by Australia in the final at Lord's.-AFP

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991025 
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Pakistan eager to avenge World Cup humiliation
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Qamar Ahmed 

At the end of the month Pakistan will be embarking on another tour 
of Australia, their ninth, since they first stepped in the 
Antipodes in 1964 under the master batsman Hanif Mohammad. The two 
countries have since played forty Test between them at home and 
away 
of which Australia has won 14, Pakistan 11 and 15 Tests have ended 
without result.

Surprisingly however, whereas Pakistan has a rather envious record 
of seven wins against only two by Australia in Pakistan in17 Test 
played here, Pakistan somehow has failed to dominate the Aussies 
Down Under. Of the 23 Tests in Australia Pakistan has won only four 
and Australia incredibly 12 matches. And Pakistan is yet to win a 
series on their soil. The only worth mentioning success in 
Australia has been Pakistan's win in the World Series Cricket (WSC) 
in 1996 when they outplayed both Australia and the West Indies in 
the finals at the MCG. That indeed is a big credit in itself as not 
many countries have the privilege of winning the WSC championship.

Every time that Pakistan takes off on a tour of Australia they are 
well focussed on winning the elusive Test series. On occasions they 
managed to come near it but yet remained too far. The forthcoming 
tour by Pakistan once again facing a similar situation. Last time 
that they met in the Test series was in Pakistan last year, 
Australia took the series 1-0, their first win in a series in 
Pakistan for 39 years. Mark Taylor, the then captain had then 
struck 334 in the second Test at Peshawar in a drawn Test after 
Australia had won the first Test of the series at Rawalpindi with 
the support of the leg-spinner Stuart MacGill. Pakistan had played 
poorly in that series after Aamir Sohail had taken over the 
captaincy briefly.

The humiliation, has to be avenged, says the present Pakistan 
captain Wasim Akram who after all the aches and pains of recent 
controversies in Pakistan cricket has been reinstated. Despite some 
brilliant performances in the last World Cup they failed to rise in 
the finals against Australia at Lord's having had tremendous 
success in the preliminary matches. Thoroughly professional 
Australia had however, reserved trump cards for the finals as they 
came from behind and took away the cherished prize.

For the last one month I was with them in Sri Lanka during the 
three match Test series. They had lost their first one-day trophy 
against the Indians and Sri Lanka which surely was shocking to say 
the least for the Australian followers who only a couple of months 
ago had given their team a ticker-tape reception for the World Cup 
victory against Pakistan. In the Tests they looked an ordinary 
side. Sri Lanka easily beat them in the first Test at Kandy by six 
wickets and within three days and if rain had not come to their 
rescue they might have even lost the series at Galle before the 
final Test at Colombo. With the last two Tests drawn Sri Lanka won 
their first ever Test series against them and they looked a lot 
better side than the Australians as the visiting captain Steve 
Waugh himself admitted after the series.

Injuries to Jason Gillespie and Steve Waugh who had collided in the 
Kandy Test while attempting a catch, lack of form of the rest of 
the batsmen like Mark Waugh who had make five ducks in six innings 
in Sri Lanka on various visits and that of the other batsmen had 
given Sri Lanka the edge. That outing in the emerald island should 
however not be taken as the measuring stick for the Australians 
ability to spring back and shock their visitors on their home 
grounds.

Every thing favours them, the bouncy pitches, the atmosphere and 
the crowd all contribute and that is not only true for the 
Australians but for every country. Pakistan however has tremendous 
capacity and also enormous talent which makes them a dreaded 
opponent. Australians that I talked to on my recent visit to Sri 
Lanka are acutely aware of this. They consider Pakistanthe biggest 
threat to them. Steve Waugh considers Wasim Akram the most 
dangerous bowler and the team as unpredictable as ever. "We are 
looking forward to Pakistan visit, they are a very strong side, we 
all know and we will have to raise our standards if we have to 
damage them and stop them from winning against us in Australia," 
says Steve Waugh.

Pakistan in full strength could be a daunting prospect, they have 
an allround team with their weaknesses in batting and fielding 
meticulously studied by the Australians who had a close look at 
them during the Test series in Pakistan and in the recent World 
Cup. If only Saqlain Mushtaq, Mushtaq,Ahmed, Shoaib Akhtar, Waqar 
Younis and Wasim Akram remain fit and untested Shabbir Ahmed is 
able to show form, Pakistan bowling could be a handful on the 
bouncy tracks of Australia.

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