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BurmaNet News: February 4, 1995



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Date: Sat, 4 Feb 1995 01:40:10 -0800

************************** BurmaNet **************************
"Appropriate Information Technologies, Practical Strategies"
**************************************************************
The BurmaNet News: Saturday, February 4, 1995
Issue #104

QUOTES OF THE DAY: 

          "We deemed that the political climate and
          growing opposition to trade in Burma posed a
          potential threat to our future manufacturing
          opportunities." 
                    A spokesman for the Eddie Bauer company,
                    announcing that they will stop doing business
                    with Burma. <See NATION: US RETAILER SEVERS
                    ITS LINKS WITH BURMESE GARMENT PRODUCERS>

          "Government Spokesman Akapol Sornsuchart
          dismissed the suggestion...that the gas
          contract was a "blood contract" because it
          would help the military junta.  "This is an
          old project," he defended. However, he said
          it was unfortunate the signing of the
          contract coincided with an ongoing crackdown
          on rebels by Burmese troops."
                    <See BKK POST: BKK POST: [THAI] GOVT DEFENDS
                    GAS DEAL WITH BURMA

          "Bo Mya and other members of the KNU had set up
          business establishments near the border and are
          enjoying relishing.  Relying on their daggers, they are
          deceiving the government and taking advantage
          politically. 
                    SLORC <see RADIO RANGOON: "ENJOYING
                    RELISHING"
++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
Contents:                                                    

*************************INSIDE BURMA*************************
1 BKK POST: [THAI] HOUSE PANEL SEEKING MEETING WITH SUU KYI

*****************KAREN STATE/KOWTHOOLEI***********************
2 RADIO RANGOON (SLORC): "ENJOYING RELISHING"
3 BKK POST: ARMY TO KEEP CLOSE TAB ON REPATRIATION OF REFUGEES

**********************THE TENASSERIM***************************
4 BKK POST: [THAI] GOVT DEFENDS GAS DEAL WITH BURMA
5 NATION: FUNDING PLAN FOR BURMESE GAS DEALS
6 AWSJ: TOTAL, UNOCAL JOIN THAILAND, BURMA IN PROJECT
7 BKK POST: THAILAND, BURMA FINALISE HISTORIC YADANA GAS PACT
8 BKK POST: ABSDF SOLDIERS KILL FOUR BURMESE TROOPS IN AMBUSHES

**********************KACHIN STATE****************************
9 BKK POST: MERRILL'S MARAUDERS PAY A NOSTALGIC VISIT TO WAR ZONE

***************************THAILAND***************************
10 NATION: BURMA POLICY BACKFIRES ON THAI GOVERNMENT
11 BKK POST: BORDER TALKS WITH BURMA NEXT MONTH
12 NATION: LETTER TO THE EDITOR--"SELF-SERVING"

**************************INTERNATIONAL**************************
13 BKK POST: NOBEL LAUREATES PUSH FOR SUU KYI'S RELEASE
14 NATION: US RETAILER SEVERS ITS LINKS WITH BURMESE GARMENT 
   PRODUCERS

**************************************************************

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**************************************************************
**************THE BURMANET NEWS, FEBRUARY 4, 1995*************
**************************************************************

*************************INSIDE BURMA*************************
BKK POST: HOUSE PANEL SEEKING MEETING WITH SUU KYI
3 February 1995

THE House Foreign Affair Comottee is seeking a meeting with
Burmese opposition leader Aung San Suu Kyi, its chairman
Suthin Nopaket said yesterday.

The committee is offering to serve as a go-between Suu Kyi and
the BUrmese ruling jUnta.

Suthin said Slorc's recent military offensive against the
ethnic Karens, which led to the fall of their long-time
MAnerplaw headquarters, had prompted the committee to take
action.

"We want to help create better understanding between the
Burmese government and the opposition," he told repoters at
Government House after the committe meeting held earlier on
Wednwsday.

Mr Su Thin said he wanted to convey the feelings of the
international community to the military janta and to hear to
views of the Slorc and of Suu Kyi.
He said the Committee has issued a resolution expressing its
opposition to the used of violence to settle difference in
BUrma.

"We want to tell the BUrmese leaders that is was not normal
fighting, but intend to wipe out the Karens. Our committe does
not thinks the use of voilences is the right way to settle
problems," he said.

He said Thailand will not interfere inthe internal affairs of
its neighbour, but will express its opinion.
He expects that a meeting could be arranged by March odr
April.

Committee members are due to fly to MAe Hong Song on a fact-
finding mission this weekend to see the condition of Karen
refugees who fled the fighting.

Suthin said Thailand must help those who flee from war.
Earlier the committee asked that THailad and fellow members of
the Association of Southeast Asian NAtions review the
constructive engagement policy and set a timefrsame for
concrete result.

Other issues raised during the committee meeting on Wednesday
were the recent trip to Combodia, the biodiversity convention,
and existing international law to protect Thai women abord.
The COmbodia visit took place on Jan30-31 and its purpose was
to find out what progress has been made on the brutal murder
of Thai logging workers in Preach Vihear province last
November. (BP)

*****************KAREN STATE/KOWTHOOLEI***********************
SLORC (RADIO RANGOON): KNU LEADERS "ENJOYING RELISHING"
February 1, 1995

[Editor's note: This was transcribed from a Radio Rangoon
broadcast.  Although there is no shortage of typographical errors
in the BurmaNet News (sorry), care has been taken to transcribe
this article accurately, which renders certain passages non-
sensical.  Grammatical erros are reproduced exactly as broadcast-
-BurmaNet]
****

The Vice Chairman of the State Law and Order Restoration Council,
Deputy Commander in Chief of the Defence Services and Commander
in Chief, Army, General Maung Aye, together with the Secretary
One of the State Law and Order Restoration Council, Lieutenant
General Khin Nyunt arrived in Pa'an, Kayin State, on Monday
morning.

Gen Maung Aye and Lt. Gen Khin Nyunt met with Kayin State and
Township Law and Order Council Representatives.  The Vice
Chairman of the State Law and Order Restoration Council, Deputy
Commander in Chief of the Defence Services and Commander in
Chief, Army, General Maung Aye, addressing the meeting, Gen Maung
Aye said, "the prevalence of peace and tranquility is needed for
the development of the nation, and for the development of the
Kayin State the region must be freed from terrorists and
destructive elements."

The Secretary One said "The Light of peace seems greater in Kayin
State.  For over 40 years the region has lagged behind in
development compared to other states, and the rural populace has
borne the brunt."  The Secretary One recalled that he and
ministers visited Pa'an in November 1993, during which he invited
armed groups to negotiate with the government for returning to
the legal fold...considering the interests of Kayin State and the
nation as a whole.  This invitation had been extended in
sincerity and goodwill just for the sake of peace, and not
because the government had ANY difficulties in political,
military or economic affairs.  Although the Tatmadaw had
unilaterally ceased all it's military operations in Kayin State,
KNU took advantage of the halt and started battles.  He said,
"KNU leader Bo Mya, is unwilling to accept the government's peace
offer.  KNU had quarters near the common border between the two
countries, and whenever received difficulties caused by military
offensives detracted to the other side and returned when the
situation permitted.  Bo Mya and other members of the KNU had set
up business establishments near the border and are enjoying
relishing.

Relying on their daggers, they are deceiving the government and
taking advantage politically.  The lower ranks have come to
realize that the KNU leadership is lengthened to achieve peace,
because they are making the enjoyed benefits gained through armed
conflict.  Kayin nationals have not achieved the fruits of
independence, but are anguished.  Craving for power and wealth by
KNU leadership, neglecting lower ranked soldiers and prohibiting
freedom of worship had sown dissatisfaction among soldiers and
opposition widened.

In 1994...missionary works of Myainggi Ngu Sayadaw, U Thuzana,
were hindered and forbidden by KNU leader Bo Mya which inflamed
lower ranked members, leading to revolt...among KNU members. 
this resulted in the occupation of the KNU headquarters,
Manerplaw, by DKBA, which broke away from KNU.  The conception of
DKBA is to end the sufferings of the people caused by the armed
conflict in Kayin State and to achieve peace.  Accordingly, it
asked the Tatmadaw's help and the Tatmadaw provided the necessary
help to DKBA, in view of peace and tranquility of Kayin State and
security of the people there.  As KNU members had to flee from
Manerplaw, the light of peace is starting to sparkle in Kayin
State.  When peace is restored, measures for better
transportation, agriculture work, exploration of natural
resources, capping and utilizing of hydro-electric power could be
carried out with greater impetus.  He accordingly urged all the
national races to join hands with Tatmadaw in working for peace
and tranquility and development of Kayin State, under the
leadership of the government by placing the three Main National
Causes in high esteem.


*****************KAREN STATE/KOWTHOOLEI***********************
BKK POST: ARMY TO KEEP CLOSE TAB ON REPATRIATION OF REFUGEES
3 Feburary 1995

ARMY Commender Gen Wimon Wongwanich yesterday said the Army
will be "careful" about the repatriation of KAren refugees,
which will be done through proper border channels.

Gen Wimol said he does not want the Burmese government to
misunderstandard anf think that the Thai Army is backing the
rebel forces fighting against Rangoon.

He said the refugee have stated their desire to return to a
specfic area in order to regroup, but if they are repatriated
to such a location it will be tantamount to providing military
support to the rebels, which would not be proper.

"We have to be careful about this", he said.
It is natural that when fighting erupts along the Thai-
Burmese border it leads to an influx of refugees, which cause
s probelms for Thailand, the army chief said.
"when we try and send them back somebody always comes out and
says we aren't showing respect for HUman Rights, which isn't
true because we've been care to look after them and to
repatriate them to the proper place," he said.
Assistance Army chief Gen Chetha Thanajaro said the Army will
fire warning shots if any artillery ahells fall on
Thai territory.

Gen Cheta said that althoug Thailand and Burma have a close
relationship, the Army must protect the cuntry's sovereignty
in the event of an intrusion.

He said Army refugees will not be allowed refuge in the
country unless they agree to be disarmed, and they will be
reptriated if the fighting causes.

"The Army has a clear policy from our commander -in-chief,"
GEn Cheta said.

Prime Minister Chuan Leekpai will visit the border in Tak and
Mae Hong Son proinces on Sunday to observethe securituy and
refugee situation.(BP)

**********************THE TENASSERIM***************************
BKK POST: [THAI] GOVT DEFENDS GAS DEAL WITH BURMA
3 February 1995
[Editor's Note: Articles affecting the pipeline will be filed
under "The Tenasserim" rather than under "Mon State" as was done
previously.  Although the group most directly affected are the
Mons, the SLORC's current offensive amply demonstrates that the
the Karens also suffer from it.--BurmaNet]



The Governmet yesterday strongly defended the signing of a
historic contract to secure natural gas through a pipeline
from Burma for domestic electricity generation, saying it
would not help up the military regime in Rangoon.
But Karen and Mon rebels thought otherwise and announced
their opposition to the pipeline project.

Prime Minister Chuan Leekpai defended the project saying that
talks about the purchase of natural gas began more than five
years ago and was finalised yesterday with the signing of the
contract.

The 30-year gas supply contract was signed yesterday in
Bangkok between Burma's Energy Minister Khin Maung Thein and
Industry Minister Trairong Suwankhiri.

The prime minister said the signing of the contract was a
different issue from the armed struggle launched by Burmese
minority groups against the military junta known as State Law
and Order Restoration Council.

The armed insurgency, the premier said, was Burma's internal
affair.

He also insisted that the natural gas was not directly
purchased from the Burmese government but from French and
American companies.

Development of the Yadana gas field from which the gas is to
be piped through Kanchanaburi to a huge 2,800-MW power plant
in Ratchburi is undertaken by a consortium, comprising French
oil company, Total, US energy concern Unocal and PTT
Exploration & Production, a partly-Thai-state-owned company.
Mr Chuan dismissed  the fear that the signing of the gas
supply conract would provoke protests from western
governments because it would prop up SLORC.

"Conversely, western countries which previously disagreed with
our policy of constructive engagement have begun to accept
this concept.

This was clearly shown in a recent security forum of Asian
countries," said the prime minister.

Several countries have opened talks with the Burmese
government and even the United Nations has asked Thailand to
act as the coordinator, he added.

"IT is not true that Australia is against the Burmese
government. In fact, they have sent someone into Burma for
talks," said the prime minister, adding that several
governments which previously shunned SLORC are flocking into
Burma to do business much more than Thailand has been doing.  
National Security Council chief Gen Charan Kullavannijaya
appeared to be disturbed by criticism in the foreign press
against Thailand's business dealings with SLORC.

He said it has always been the Thai government's wish to see
an end to the war in Burma so that the Burmese people can
rebuild their country and pursue a peaceful life.

"We have our own bitter lesson over a decade ago when we
Thais fought among ourselves and the economy suffered. When
the fighting was over, the condition improved," said Gen
Charan.

He said futher that Burmese people were not foolish to let
themselves be dictated by the Thai Government.
"They are smart and they will be able to find a solution to
their own problem," he said.

Government Spokesman Akapol Sornsuchart dismissed the
suggestion by some members of the press that the gas contract
was a "blood contract" because it would help the military
junta.  "This is an old project," he defended. However, he said
it was unfortunate the signing of the contract coincided with an
ongoing crackdown on rebels by Burmese troops.

He referred to the prime minister's repeated statement that
economics is an important issue that must be discussed between
neighbouring countries.

New Mon State Army deputy chief on foreign affairs, Pe Thein
Za, told the Bangkok Post yesterday that NMSA has always
opposed the gas pipeline project "while there is still no
peace in Burma".

"If they (contractors) start building the pipeline, they will
have problems," he said, insisting that a political solution
must first be achieved before the project gets started.
A field commander of Karen National Union (KNU) forces in
Kanchanaburi stated that the KNU has opposed the project from
the beginning.

He insisted that the project would only benefit SLORC.
KNU, he said, has been closely following reports about the
project.

He warned that there would certainly be problems when the
construction of the pipeline goes through Karen-controlled
territories.

However, he said if there is any change from this policy, it
would come from the KNU leadership.(BP)

**********************THE TENASSERIM***************************
NATION: FUNDING PLAN FOR BURMESE GAS DEALS

NATION: FUNDING PLAN FOR BURMESE GAS DEALS
3 February 1995

Petroleum Authority of Thailand and it's subsidiary, PTT
Exploration and Production, plan to issue debt instruments to
finance development of natural gas production in Burma and
distribution to Thailand.

The Thai units need about Bt 12 billion for the project, but
top executives are optimistic that it will not be difficult.
According to the agreement signed yesterday, Thailand will buy
natural gas from the Yadana gas field in the Gulf of Martaban.
The 30-year agreement marked the first major deal between the
two countries. Thailand is to purchase some Bt 10 billion of
natural gas for power generation each year - the first time
Thailand has bought overseas gas.

Prime Minister Chuan Leekpai yesterday presided over the
signing ceremony between PTT and the Burmese national oil
firm, Myanmar Oil and Gas Enterprise (MOGE). Chuan said the
joint undertaking will bring not only economic cooperation,
but greater goodwill and understanding between the two
countries.

Pichai Chunhavichara, deputy managing director of PTTEP, said
up to $US 210 million will be raised in the debt market for
development of production capacity of 130 million cubic feet
per day in the first stage. The first transmission will start
in mid-1997. Transmission will reach 525 million cubic feet
per day in mid-1999. 

It is most likely that PTTEP will issue debentures to  raise
funds because the current debt to equity ratio is still low,
less than 1:1. The debt instruments will also be sold abroad
since the company is building up its international reputation.
Debentures will give PTTEP better terms than syndicate loans.
The Burma project carries a degree of political risk, but it
will yield an attracive economic return so foreign firms which
are based far from Burma will also participate, Pichai said.
Both US and French partners - Unocal  subsidary Unocal Myanmar
Offshore Co Ltd and Total Myanmar Exploration and Production,
Ltd - are experts in the field while the Burmese partner has
an option to hols shares in the project. 

Pechai said the Burmese field will require less production
wells than the Bongkot field in the Gulf of Thailand, with
each production well estimated to generate a daily gas flow of
50 million cubic feet, compared to Bongkot's 14-15 million
cubic feet per day.

Viset Jupiban, managing director of PTTEP said the investors
will start the engineering design, fix the location for
production platforms and survey the routes for laying
transmission pipelines. Only 10-20 production wells will be
drilled.

The contract with Thailand is expected to generate more
interrest in exploration of petroleum resources near the
Yadana feld if gas is discovered, producers can sell it
through the transmission system invested in by Thailand and
partners.

Earlier this week, Pttep signed a contract with Total, Unocal
and MOGE to invest in the Burma project with PTTEP holding 30
per cent of shares. The PTTEP portion is equal to US$ 210
million. Besides borrowing from the debt market, PTTEP will
use its retained earnings and last year's proceeds from the
sale of capital shares. 

Pechai said the company will finalise its fund raising plan in
the middle of this year. 

Currently, according to Unocal, Unocal is a 33.25% shareholder
in the project; Total holds 36.75%; and PTTEP holds 30%. MOGE
has an option to acquire a 15% interest, which if exercised,
would reduce the other participants interests proportionately,
Unocal said. 

Luen Krisnakri, governer of PTT, said PTT will be responsible
for the building of pipelines from the border to the power
plants of the electricity Generation Authority of Thailand
which will be built at Rajaburi. Thsi portion will require Bt
10 billion, 75% of which is expected to be borrowed money.
Under the agreement, Thailand will buy Burmese gas at the
starting price of Bt 3 per million btu in mid-1998. The price
will be adjusted according to bunker oil proces, the consumer
price index and other references.
Burmese national oil firm MOGE is given an option to hold up
to 15% of the project. The Yadana field has a proven reserve
of 5.7 trillion cubic feet, nearly double that of the Bongkot
field. Burma will get an annual income of Bt 10 billion from
the gas sale.

Luen meanwhile said PTT is negotiating to buy more gas from
another field, called Yetagun which Texaco of the US is
exploring. A conclusion is expected at years end. (TN)

**********************THE TENASSERIM***************************
AWSJ: TOTAL, UNOCAL JOIN THAILAND, BURMA IN PROJECT
3 February 1995

The national oil  companies of Burma and Thailand signed a
major Natural-gas pipeline deal with units of Total SA of
France and Unocal Corp. of the US.

The agreement, which had been in the works for over a year,
came less than a week after the Burmese military attacked and
captured the headquarters of ethnic Karen rebels and
dissidents, sending several thousand refugees fleeing into
Thailand. Advocates of deals such of the one signed on
Thursday - the largest foreign investment in Burma to date -
have argued that investment from overseas would encourage the
Burmese regime to relax its oppression and seek accommodation
with its political foes.

The US government, which in recent months had edged toward the
"constructive engagement" approach favoured by Burma's
Southeast Asian neighbours, earlier this week called on Burma
to resolve its differences with its ethnic minorities
peacefully..

Human-Rights concerns
 
The US also cited Burma's practice of using forced military
porterage and forced labor on infrastructure projects. Some
human-rights groups have expressed concern that forced labor
could be used to build or support the gas pipeline. but
officials of Total and Unocal insist that no forced labor will
be used.

"We shall use local labor as much as possible, but under
international standards," said jean -Francois Arrighi de
Casanova, business development manager for Total.
Under the 30-year gas deal, a pipeline will be built from the
Yadana gas field in the gulf of Martaban to a 2,800 megawatt
plant in Thailand's Ratchaburi Province. The producers will
deliver 525 million cubic feet a day of gas to the
PetroleumAuthority of Thailand, known as PTT, at an initial
price of 10 billion baht ($399 million) a year. The agreement
calls for this figure to be adjusted for inflation and
fluctuations in world market prices.
Four Producers

the gas will be delivered to PTT by a coalition of four
producers, which will build a 415-kilometer pipeline from the
gas field to the Thai border. A Total official estimated the
cost of building the Burmese side of the pipeline at between
$500 million and $600 million. PTT will build a 300-kilometer
pipeline from the Burmese border to the future power plant in
Ratchaburi, at a cost of 10 billion baht. The project
represents Thailand's first international purchase of natural
gas. 

Myanmar Oil and Gas Enterprise, Burma's state oil company, is
expected to take a 15% share in the production-sharing
contract. That will leave total Myanmar Exploration and
Production Ltd. with 31.24%, unocal Myanmar Offshore Co. with
28.26%, and PTT Exploration and Production PCL with 25.4%. The
latter company is the exploration arm of PTT and is listed on
Thailand's stock exchange.

The Burmese field is expected to supply 130 million cubic feet
a day to Thailand by mid-1998, reaching the rateof 525 million
cubic feet a day by mid-1999. The field has proven reserves of
5.7 trillion cubic feet. earlier in the week in the Burmese
capital of Rangoon, a seperate agreement was signed between
the gas field developers and the government to supply up to
125 million cubic feet a day of gas from the same field for
domestic consumption in Burma. (TAWSJ)

**********************THE TENASSERIM***************************
BKK POST: THAILAND, BURMA FINALISE HISTORIC YADANA GAS PACT
February 3, 1995

By Boonsong Kositchotethana

The Petroleum Authority of Thailand (PTT) yesterday sealed and
historic pact to import natural gas from Burma's offshore
Yadana gas field, renewing criticism of Thailand's support of
the Burmese military junta.

The finalisation of the 30 year gas supply contract at the
Government House, in the presence of Prime Minister Chuan
Leekpai, came in the wake of Rangoon force's offensive against
Karen rebels near Thailand's western border.

The pact set in motion full scale development of the largest
energy project in Burma's history. It will generate annual
income of 10 billion baht for Burma and the gas developers.
The production group, French oil firm Total, US energy concern
Unocal and partly Thai-state-owned PTT Exploration &
Proiduction (PTTEP) are to develop Yadana, 320 kilometres
south of Rangoon in the Galf of Matarban, and pipe the gas to
the Thai western border.

The 350-kilometres subsea pipeline will come ashore in
southern Burma and cross 65 kilometres of land to the Thai
border.

A stretch of the gas pipeline will be routed via areas along
the western Thai border which are controlled by Karen and Mon
rebels, There are suggestions Rangoon's current attacks are
part of an attempt to assist the laying of the Yadana gas
pipeline to Kanchanaburi.

But this is discounted by Thai officials, An executive of
PTTEP, a co-venturer in the Yadana project, suggested the
pipeline should not necessarily be linked with the current
attack on a Karen base far north of the planned pipeline
route.

Rangoon's military exercise now zeroesin on Manerplaw,
opposite Mae Sot district of Tak province, while the proposed
route passes an area, opposite Kanchanaburi province, which is
controlled by the Mon.

The executive, who declined to be named, said it was usual for
Rangoon forces to conduct military action against ethnic
groups in th area at this time of the year, the dry season,
and it was coincidental that it was taking place at the same
time as finalisation of the gas deal.

Earlier this week in Rangoon, Total, Unocal and PTTEP agreed
to form a company to build and operate the pipeline which will
transport the gas from the offshore field to the Thai western
border.

The consortium is required to supply 130 million cubic feet
(Mmcfd) of Yadana gas to PTT in-mid-1988 and increase delivery
to more than 525 Mmcd within production could eventually reach
650 Mmcfd, part of which will meet Burma's own domestic need.
Yesterday, top Thai Government officials and parties concerned
stressed the economic benefits arising from the gas deal for
both Thailand and Burma.

Mr Chuan said the undertaking would not only bring economic
benefits for Thailand and Burma but create greater goodwill
and understanding between the two nations.

"This type of cross-border energy development is vital to the
region's growth," Unocal president John Imle said in a
statement issued yesterday.

The California-based executive said the Yadana project would
generate signficant economic and social benefits for Burma.
Yadana is billed as one of the single largest gas fields in
Southeast Asia with proven gas reserves of 5.7 trillion cubic
feet. Total holds a 36.75% interest in the Yadana field,
Unocal has a 33.25% stake and PTTEP 30%.

The gas will be used mainly for power generation in Thailand
where electricity demand is rasing around 10% ayear.
The Electricity Generating Authority of Thailand (EGAT) will
build a 2,800 megawatt power plant in Ratchaburi that will be
run on Yadana gas. (BP)

**********************THE TENASSERIM***************************
BKK POST: ABSDF SOLDIERS KILL FOUR BURMESE TROOPS IN AMBUSHES
February 3, 1995

Four Burmese soldiers were killed and three wounded in clashes
with the student army of the All Burma Students' Democratic
Front during the past few days, according to a press release
issued yesterday.

The Central Committee of the ABSDF said the 3rd Column of the
Students' Army intercepted Burmese troops from the 19th
Infantry Battalion near Mae Sa Ree Khei on January 30.
Four Burmese soldiers were killed in the 30-minute battle
which occured at 1.40 a.m. No casualties were reported on the
Students' Army side.

In another clash with the Burmese army on January 22, the same
battalion was ambushed by the students in which three soldiers
were wounded, including one sergeant.

On January 28, the 1st column of the Tavoy-based 25th Infantry
Battalion and the 1st column of the Thayetchaung based 404th
and 405th Infantry Battalions launched an attack on Kamahaw
vikllage.

The village is the battalion headquarters of the 10th
Battalion of the Karen National Liberation Army based in
Minthamee area.

Kamahaw village is about nine miles from Htee Htgar village
opposite Sai Yoke District of Kanchanaburi province .
KNLA troops and the Students' Army of the ABSDF are defending
the area and intense fighting is still going on, the report
added.

Meanwhile, Burmese troops are said to be taking up positions
along the Moei River. No Democratic Kayin (Karen) Buddhist
Association troops were spotted with the Burmese troops, it
was said.

On the Paw Pa Hta front, opposite Tasong Yang District of Tak
Province, Burmese troops are proceeding to launch offensives
against a combined KNLA and ABSDF force.

It was also reported that about 40 porters from the Burmese
military had escaped to Paw Pa Hta. (BP)

**********************KACHIN STATE****************************
BKK POST: MERRILL'S MARAUDERS PAY A NOSTALGIC VISIT TO WAR ZONE
3 February,1995

Twenty-five veterans of World War II's famed Merrill's
Marauders on Wednesday completed a 10-day visit to their old
combat zone.

The veterans, US army volunteers who took their nickname from
their commander, Gen Frank Merrill, served in the jungles of
Burma as the only unit of regular American foot soldiers to
fight on the Asian mainland during the war.

In five major and 30 minor battles against the Japanese army,
Merrill's Marauders gained a reputation for toughness and
breavry but suffered terrible losses, taking 2,394 casualties
out of 2,830 men.

The returning veterans, led by retired Brig-Gen L. Robert
Caster, 84, visited old battlegrounds during their stay,
including Myitkyina, 990 km north of Rangoon, which they once
wrested from Japanese control.

"We expected to find Myitkyina as we left it - flat - but we
find it to be a prosperous and huge city," said retired Brig
David Quaid. "We are very happy with the wonderful hospitality
of the local people."

During their stay, the veterans were awarded medals for their
wartime service by the current vice commander of the Burmese
army, Gen Maung Aye. They also paid calls on other senior
government officials.

Asked to commant on Burma's current political situation,
Caster told reporers that critical reporting the group had
heard about the country before they came here was unfounded
and the result of misunderstanding or the bias of liberal
media. 

"We are pleases to see that the direction which the government
is going is in the right direction for a free market economy,"
he said. 

* Meanwhile, a source in the United States told the Bangkok
Post yesterday that the group's tour was organised by a Slorc
lobbyist.

The lobbyist was identified as Kala Kyaw Win who was a Bush
administration official. 

Kyaw Win is said to be now doing business in Burma and is a
naturalised American. (BP)

***************************THAILAND***************************
NATION: BURMA POLICY BACKFIRES ON THAI GOVERNMENT
3 February 1995

Thailand, which considers itself a good friend of burma, has
been placed in an "extreme dilemma" from what it always
defends as "an internal affair" of its wrstern neighbour.
The Burmese army's lightning offensive against Manerplaw, the
headquarters of the ethnic and burmese opposition movements by
surprise, but also "shocked" the Thai governemtn and the armed
forces who have been caught off-guard by the sudden fall of
the camp and the subsequent massive influx of about 10,000
refugees into the Kingdom.

The government and the military, which took the Burmese
junta's pledge of a unilateral ceasefire seriously without
having prepared a fallback position in event of the resumption
of fighting, were "quite upset" that the State Law and Order
Restoration Council (SLORC)  didn't give Thailand a prior
warning of the operations along the Thai-Burmese border which
almost inevitably would affect Thailand in one way or another.
Senior Thai army officers and government authorities are "very
unhappy"  that the SLORC has not used existing channels, set
by Burma and Thailand as a communications league, to warn
Thailand of the imminent Burmese assults against KNU camps
along the border. Some suggested that Thailand should
officially protest to the Burmese.

The two countries established and agreed to use the Joint
Commission chaired by the foreign ministers; General Border
Committee headed by army regional commanders, and Thai-Burmese
border security offices at several border checkpoints, headed
by local administrative and military officers, as channels to
resolve and keep both sides abreast of any border problems to
prevent them from escalating into national disputes or
conflicts.

The Third Army Region Command, which oversees security affairs
in the norethern provinces with Burma, did not expect the
sudden withdrawl of the KNU troops and was" unprepared when
thousands of Karen villagers began to flee from the fighting
across the Moei and salween rivers into Thailand. The Kingdom
has suddenly found itself playing "kind host" to 10,000
"uninvited" new arrivals, in addition to about 80,000 long-
stayer refugees, mainly of ethnic stock, who have been taking
shelter for the past decade in a dozen border camps from Mae
Hong Son province down to Prachuab Khiri Khae.

Although the Burmese junta has tried to deflect and appease
international outrage by claiming that the assults on
Manerplaw were the work of breakaway KNU mutineers, and that
the Burmese army only assisted them in the fight, evidence and
witnesses from the scene contradict its unconvincing claims and
provide clear proof that Rangoon has infact breached its
unilateral ceasefire, declared in April 1992 "in view of
national unity and goodwill", and was fully involved with and
responsible for the Manerplaw offensive.

The KNU and the exiled Burmese opposition have rejected the
Burmese claims, saying that the breakaway Karen group,
Democratic Kayin (Karen) Buddhist Army (DKBA),whose strength
is about 300-400 troops, was just a minor component of the 18
Burmese batallions - about 10,000 troops - deployed in the
operation.

Moreover, the weaponary used in the operation - heavy
artillery, mortars, ammunition and even the military rubber
boats used to transport the troops across the Salween river
where those the SLORC has bought from China.

The Burmese army also launched simultaneous attacks on other
KNU strongholds - Kawmoora, about 150 kilometers south of
Manerplaw, and the 4th Brigade in Burma's southeastern
Tenasserim division - where the DKBA has no prescence, they
said.

They believe that the SLORC "had a hand" in the internal
split and armed clashes between the KNU's Christian and
Buddhist factions and is behind the creation of the  breakaway
rival DKBA, which assisted and collaborated with the Burmese
troops in capturing the 21-year-old base at Manerplaw.
Burma observers predict that SLORC will use the DKBA and its
political wing, the Democratic Kayin Buddhist Organisation, as
"a puppet" and recognise or legitimise it as a representative
of the Karen populace and Karen guerilla force, who want "to
return to legal fold" and "sign a truce with Rangoon".
The observers and several Western embassies believe that the
offensive is a clear signal that the hardline faction in the
SLORC has staged a "comeback' after losing its grip to those
soft-liners who initiated and supported peaceful dialog with
armed ethnic groups.


The hardliners who advocate the use of force to wipe out
ethnic "insurgency", are now said to be in control of the
SLORC policy towards "ethnic insurgents" after nearly three
years of unsuccessful efforts to lure the three remianing
active armed ethnic Karen, Kareni, and Mon groups into a
ceasefire settlement. 

Although the SLORC has every reason to be jubilant about its
military victory against its long -time foe, the 46-year-old
Karen movement, the Burmese offensive has provoked several
points of pondering and proved otherwise "the benefit of the
doubt" the world community has given to the SLORC.

The SLORC's about-turn in reviving the unrelenting use of
force has shown that it is not sincere in seeking peace and
national reconciliation through peaceful dialogue as it has
tried to proclaim, and that it is determined to use force
whenever the situation permits.

it also proves that the West's  softening position towards the
SLORC, and Aseans controversial constructive engagement
policy, with which it "hopes to bring the SLORC to the outside
world," have failed to reform the military rulers in Rangoon.
the argument that Burma will prosper and the SLORC will bring
about democratic changes through engagement and dialouge, and
through increased economic activity, has already run aground
as it is self-evident from the latest Burmese offensive that
the junta has spent huge amounts of its income from foreign
investment to purchase more weaponary to suppress its own
populace, ethnic and Burmese  majority alike.

The international community, which failed miserably to react
promptly to stop the refugee outflow and to avert the human
misery, has the responsibility to condemn the SLORC and to
assist the fugitives.

The UN Human Rights Commission in Geneva, which will debate
the human rights situation in Burma later this month, should
make the SLORc accountable for its violent actions and serve
it notice that the world community would not tolerate such
behaviour.

Thailand, which initiated the constructive engagement policy,
is now bearing the brunt of its  own creation. Its argument
that the policy helps bring about peace and prosperity in
Burma has been proven wrong. A big proportion of the country's
earnings, boosted by the policy, is spent on military hardware
to fortify the 300,000-strong Burmese army and the SLORC's
power and rule. 

In fact, several Thai security authorities confided in recent
interviews that the latest Burmese offensive has put Thailand
in an "extreme dilemma". 

While the Thai government and the military can continue that
the fighting is an "internal affair" of Burma, the reality is
that this country is and will inevitably be affected by the
continuing Burmese offensive and will be held accountable for
the SLORC's misdeeds in providing humanitarian refuge and
assistance to Burmese asylum seekers.                          
                   
Thai forces along the 2,400 km western border with Burma will
have to be placed on alert around the clock from now on to
provide security to local people and to defend Thai territory
against any military spillovers and violation by rival forces.
the border populace will once again be in constant fear of
military violence now that the KNU has decided to adopt
guerilla warfare and is transforming its 6,000-8,000 forces
into small hit-and-run guerilla units for agitation inside
Burma. The Thai government also has to allocate its budget and
official human resources to look after the refugees and
possible a massive influx of asylum seekers from Burma.
Although Thailand has committed itself to provide temporary
asylum and humanitarian assistance to the diplaced persons
from Burma, its previous record of forcibly repatriating about
6,000 Mon refugees, who fled into Thailand from their camp
inside Burma after an attack by Burmese army troops last July,
has created strong scepticism of Thai humanitarian policy
among private relief agencies and members of the world
community.

Interior Minister Sanan Kachornprasart, who governs the
ministry responsible for refugee affairs, made a shocking
statement on Tuesday when he announced that the 10,000 new
arrivals "will be pushed back [into Burma] without having to
wait for fighting to cease", and that Thailand "can push the
refugees out at any time". He also stated clearly that KNU
leader General Bo Mya will be arrested if he is found to have
entered the Kingdom. 

Sanan's statement, while contradicting those of other
government and military leaders, including prime minister
Chuan Leekpai, confirmed international fears that Thailand
willl always maintain its right to dictate when the situation
is safe for repatriation without giving the refugees
themselves a say in their fate.

Unfortunately, Thailand is again falling victim to its own
defense and the policy of the Burmese regime in Rangoon. What
it considers as Burma's "internal affairs" will continue to
backfire on the Kingdom. (TN) 

***************************THAILAND***************************
BKK POST: BORDER TALKS WITH BURMA NEXT MONTH
3 Feburary 1995

Thailand and BUrma will hold talks next month in an attampt to
resolve long-standing border disagreements, Deputy Foreign
Minister Surin Pituwan said Yesterday.

The Thai-Burmese Joint Boundary Committee, chaired by the
deputy foreign ministers from both countries, will discuss the
outcome  of a technical survey of the disputed Hill 491 at the
mouth of the Chan River in Rangoon Province, Mr Surin said.
The venue of the meeting has not been set. It culd in Thailand
or Burma, he said.

Mr Surin defended the pilicy of "constructive engagement" sa
"an important tool, since Thailand and Burmese in close
proxinately".

Other countries are not under any pressure  and can criticize
Burma because they are far away from it geographically he
explained. The United State and Australia's Democrats have
warned the Rangoon government against finding itself
isolated after the launch of its offensive against the Karen
guerrillas.

Thailand continues to talk to the Rangoon government and
informs Burma about Thailand's concerns about the prolonged
fighting which affects the Thai border, he said. (BP)

***************************THAILAND***************************
NATION: LETTER TO THE EDITOR--"SELF-SERVING"

3 February 1995

I was horrified to read the article headed "fleeing Karen
refugees to be sent back" (Nation February 1). How can the
Interior Ministry contemplate forcing rrefugees back to Burma
when it is absolutely clear that the Burmese military and
Karen forces are in open conflict?  

Both the foreign ministry and National Security Council have
stated that refugees from the fighting will be given temporary
shelter. This accords with Thailand's own image of itself as a
country with humanitarian principles. I note that General
Charan Kullavanijaya, secretary-general of the NSC, is quoted
in another paper as saying "We never push out people who
escape to seek refuge. We have sympathy for our fellow humans:
we want them to survive."

Apparently Interior Minister Sanan Kachornprasart could not
care less about the survival of fellow humans. "we will
certainly push them back," he says. this is in line with the
treatment meted out to the Mon refugees from Halockhini, who
were, in fact pushed back, though not at gunpoint. Imagine how
such statemants fuel the fears of refugees - displaced by war,
often stateless, and utterly vulnerable.

Clearly Thai policy is inconsistent, and ministries appear to
be squabbling  amongst themselves. Thailand cannot expect to
promote a humanitarian image when ministers make such
extrodinarily callous remarks. And please - don't let's read
tomorrow that Minister Sanan was "misinformed" or
`misunderstood' or "misqouted". Such attempts at face-saving
only serve to make the person concerned look even more self-
serving.  -Anna Mitchell, (TN)

**************************INTERNATIONAL**************************
BKK POST: NOBEL LAUREATES PUSH FOR SUU KYI'S RELEASE

3 February 1995

Nobel Laureate Mairead Corrigan Maguire will adress the
Northwest International Women's Conference in Seattle on
Sunday to press for action on Burma to release fellow Nobel
laureate Aung San Suu Kyi.

MS Maguire, winner of the Nobel Peace prize in 1976, will
later meet Seattle and King County political leaders to seek
their help on behalf of the incarcerated Burmese leader. 
Suu Kyi is the world's only Nobel Laureate who is not free.
She has been held under house arrest by the Burmese junta for
more than five years.

Ms Maguire and six fellow laureates, including arch Bishop
Desmond Tutu and the Dalai Lama, have called for sanctions
against the military regime in Burma.

The Burmese junta voided the 1990 elections which were won by
Suu Kyi's National League for Democracy and the regime has
compiled a record of brutality after crushing pro-democracy
demonstrations in 1988. 

"At a time when world events can seem beyond our control, here
is a practical way for people to act locally on behalf of
peace, freedom, and democracy," Ms Maguire said.
She was referring to support for selective purchasing
legislation which discourages US companies from doing business
with the Burmese generals. Ms Maguire said:  "Let's raise our
voices and speak for those who have been silenced." 

A press release issued by the Seattle Campaign for a free
Burma said that while there were hundreds of US companies in
South Africa when selective purchasing rules were promulgated
in the 1980s, only a handful of US companies were active in
Burma.

The companies doing business in Burma are Unocal, Texaco,
pepsioco,and redmond-base Eddie Bauer Inc, which buys garments
from a factory that is owned 45% by the Burmese military. 
Levi Strauss, Liz Clairbourne, Amoco and Petro-Canada are
among companies that have voluntarily pulled out of Burma,
while Reebok and others have vowed not to enter until there is
a substantial improvement  in the human rights situstion.
The Us State Department recedes "repeated, unquestionably
accurate reports on human rights violations" by the Burmese
military, according to Burma Desk officer John Lyle.
The US has refused to name an ambassador to Burma since 1989
and has refused to grant GSP privileges and Exim or OPIC
financing. it has also blocked world bank loans to the junta.
Freedom House characterises Burma as "one of the worst of the
worst" governments in terms of repressiveness among 191
countries studied. 

Last week, the Burmese army overran the Karen headquarters in
Mannerplaw, sending more than 10,000 refugees fleeing into
Thailand. The number adds to what is already the worst refugee
problem in Asia, with about 300,000 Burmese, many of them
victims of "ethnic cleansing" campaigns, seeking refuge in
Bangladesh and Thailand. (BP)

**************************INTERNATIONAL**************************
NATION: US RETAILER SEVERS ITS LINKS WITH BURMESE GARMENT
PRODUCERS

3 February 1995

EDDIE Bauer, an American retailer, announced yesterday that it
will pull its business out of Burma.

The sportswear company said in a statement from Seattle that it
had been studying the situation in Burma for several months.
"We deemed that the political climate and growing opposition
to trade in Burma posed a potential threat to our future
manufacturing opportunities, " it said.

The company, which has contracts with factories in Burma to
make its garments, said it would stop doing business in Burma
after fulfilling its current contracts.

On Wednesday, Australian politicians issued a statement
calling for international trade sanctions against the Burmese
government for breaking a unilateral ceasefire it declared in
1992 with rebel groups.

Last week, the Burmese government seized the Karen stronghold
of Manerplaw.

Burma's ambassador to Thailand, Tin Winn, said the Government
had merely supported attacks by defectors from the rebels who
wanted to end the bloodshed.

"These breakaway  groups, they want peace," he told AP.
"Our government cannot stop these people who want to make
peace."

Tin Winn did not directly respond to questions about whether
the world community would further isolate Burma because of the
bloodshed.

Liz Claiborne announced late last year that it would join
other US companies, including Levi Strauss, Reebok
International, and Smith and Hawkins, in pulling its business
out of Burma.

Eddie Bauer had  been the target of an international campign
to further isolate the junta.

Aung San Oo, spokesman for the National League for Democracy,
applauded Eddie Bauer's plan to stop dealing with the State
Law and Order Restoration Council.
"Business with Slorc is like a bullet," Aung San Oo said. (TN)


**************************************************************
NEWS SOURCES REGULARLY COVERED/ABBREVIATIONS USED BY BURMANET:

 AP: ASSOCIATED PRESS
 AFP: AGENCE FRANCE-PRESSE
 AW: ASIAWEEK
 AWSJ: ASIAN WALL STREET JOURNAL
 Bt.: THAI BAHT; 25 Bt.3 DUS$1 (APPROX),
 BBC: BRITISH BROADCASTING CORPORATION
 BI: BURMA ISSUES
 BKK POST: BANGKOK POST (DAILY NEWSPAPER, BANGKOK)
 BRC-CM: BURMESE RELIEF CENTER-CHIANG MAI
 BRC-J: BURMESE RELIEF CENTER-JAPAN
 CPPSM: C'TEE FOR PUBLICITY OF THE PEOPLE'S STRUGGLE IN MONLAND
 FEER: FAR EAST ECONOMIC REVIEW
 IRRAWADDY: NEWSLETTER PUBLISHED BY BURMA INFORMATION GROUP
 JIR: JANE'S INTELLIGENCE REVIEW
 KHRG: KAREN HUMAN RIGHTS GROUP
 Kt. BURMESE KYAT; UP TO 150 KYAT-US$1 BLACK MARKET
                   106 KYAT US$1-SEMI-OFFICIAL
                   6 KYAT-US$1 OFFICIAL
 MOA: MIRROR OF ARAKAN
 NATION: THE NATION (DAILY NEWSPAPER, BANGKOK)
 NLM: NEW LIGHT OF MYANMAR (DAILY STATE-RUN NEWSPAPER, RANGOON)
 R.T.A.:REC.TRAVEL.ASIA NEWSGROUP
 S.C.B.:SOC.CULTURE.BURMA NEWSGROUP
 S.C.T.:SOC.CULTURE.THAI NEWSGROUP
 SEASIA-L: S.E.ASIA BITNET MAILING LIST
 SLORC: STATE LAW AND ORDER RESTORATION COUNCIL
 USG: UNITED STATES GOVERNMENT
 XNA: XINHUA NEWS AGENCY
**************************************************************