The BurmaNet News: June 2, 1998

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The BurmaNet News: June 2,1998
Issue #1017

Noted in Passing: "The net effect of US and international measures to
pressure the SPDC to end its repression and move toward democratic
government has been a further decline in investor confidence in Burma and
deeper stagnation of the Burmese economy. Observers agree that the Burmese
economy appears to be further weakening and that the government has a
serious shortage of foreign exchange reserves with which to pay for
imports."  - U.S. President William J. Clinton (see U.S. GOV'T: PRESIDENT'S
LETTER RE: BURMA SANCTIONS)

HEADLINES:
==========
ASIAWEEK: THE TRAGEDY OF MYANMAR (WITH COMMENTARY) 
THE NATION: SULTAN ARRIVES IN BURMA 
THE NATION: ACTIVIST UNJUSTLY JAILED (LETTER) 
U.S. GOVERNMENT: PRESIDENT'S LETTER RE: BURMA SANCTIONS 
ASIAWEEK: ESCAPING TO AUSTRALIA 
ANNOUNCMENT: WOMEN OF BURMA DAY 1998
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Asiaweek: The Tragedy of Myanmar 
5 June, 1998 by Garry Prior, commentary by <kabaraye@xxxxxxxxxxx> 

Asia's downturn threatens a reformist breakthrough

GARRY PRIOR is a British businessman who has lived and worked in East Asia
for the past quarter century and is now based in Kuala Lumpur.

Much to my regret, a year-long stay in Myanmar ended in February when my
planned business venture was not able to raise the requisite funds because
of the regional economic downturn. But I maintain my interest in Myanmar
and I hope that its people will be spared the pain of purely exploitative
modernization.

No matter how unfashionable the view, I believe that a strong degree of
central control is necessary to help nations make the initial transition
from agricultural subsistence to a modernizing semi-industrial economy and
that it is the job of other nations, through their governments, investors
and commentators, to try to ensure that oppression is ameliorated and that
the benefits of development are shared with the populace.

Local oppositionists are inevitably weakened during such a transition, and
their audience is quite rightly the international media, who do much to
shape perceptions. In one sense, that is an extension of the marketplace.

I do not share the view that Asian Values are dead or never existed. They
served their purpose in most countries -- without them Asia would not have
been taken seriously on the world stage -- and they should now be adapted
to meet the new circumstances.

Myanmar is among countries that still need to complete the initial
transition. A so-called open democracy will not lead to a utopia but
instead allow the economy to be hijacked by vested interests who may prove
more unattractive than he military. Whatever its faults (and they are
legion), the military at least recognizes that it is a transitional
government.

Until I went to Myanmar (and despite spending 26 years in the region), I
believed what I read: that it was ruled by a stupid, brutal regime. I was
pleasantly surprised on nearly all fronts. When I got to know them, I found
that most members of the State Law and Order Restoration Council (SLORC)
wanted workable solutions.

They juggled within a collective responsibility to achieve a consensus
between the wildly disparate views of fighting generals who want the fruits
of victory and the genuine reformers who want more durable benefits. The
ensuing inertia led to the virtual coup last November which brought in the
State Peace and Development Council (SPDC) _ and possibly a temporary
victory for the moderates. This breakthrough came as Asia's economy
slumped, drying up investment.

Now there is a risk that without economic progress, the reformers will be
rejected by the military, who were not pleased to see SLORC colleagues put
under house arrest.

The tragedy: I believe that Lt.-Gen. Khin Nyunt, the SPDC's secretary- 1,
was trying to create a dialogue with the National League for Democracy that
would have led to some accommodation with Aung San Suu Kyi. But she flatly
rejected the overture for rather selfish reasons and put him in an
impossible position in the SPDC and the international community.

It is never good negotiating tactics to totally alienate the most
sympathetic party in the opposing camp and yet that is what she did,
encouraged by some but not all of the diplomatic community. The military is
a fact of life in Myanmar. Although it is widely detested, even its
hardcore opponents know that sooner or later they will have to negotiate
with the soldiers and co-exist.

That Suu Kyi is treated as an international icon who is above criticism and
therefore the SPDC is seen as an international pariah, only makes it harder
to reach a sensible solution. The SPDC is no worse than many regimes and a
great deal better than some. By demonizing it, the (mostly Western) press
makes a dialogue more difficult.

SPDC members feel the abuse personally and it warps their perceptions of
what is worthwhile and doable. I have talked with several of the more
moderate figures shortly after an attack; deeply angry and hurt, they
expressed themselves in understandably emotional terms. Repeated abuse
makes it more difficult for them to defend their moderate stance and may
force them to take a harder line just to stay in the game. Myanmar's people
are not helped by this.

Disenchantment with the polarity of Suu Kyi's and the SPDC's positions is
evident among an increasing number of former "radicals" in Yangon who want
to see some progress. In my year in Myanmar, I came to admire the people's
cheerfulness in the face of poverty and the fear of repression. It is
testament to their decency that after 50 years of civil wars, there is no
general resort to terrorism. In my year there were three bombs and one
fatality. During one week I was in Hong Kong when there were bomb scares.
No one in the media suggested that Hong Kong was becoming unsafe. But after
the Myanmar blasts, the State Department warned Americans against visiting,
much to the indignation of some I knew who went in anyway to find no troops
on the streets and smiles on people's faces.

U.S. Embassy reports are driven by a political agenda, not shared by the
embassy staff, that interprets facts in the most hostile manner. Sadly,
this is not unusual in Western analysis of Myanmar today. I suppose that is
why the very small band of us who try to look beyond stereotypes and
political correctness sometimes go too far in the other direction in trying
to present a more balanced picture. 

COMMENTARY

Prior's narrative of the situation of Burma seems warped with a strong
tendency to sympathise with the military dictators, whom he shows a high
regard for. Is this because of the capacity in which he visited Burma, with
the primary objective of setting up a business venture and obviously
requiring him to have close contact and pampered reception from the present
powers that be?
His "new vision" that the SLORC is not a "stupid and brutal regime" can
arise only from the view he was exposed to. They were not stupid as in
"morons and imbeciles" and on the contrary are full of cunning. Their
"stupidity" is in trying to govern a country by the use of force and
managing to drag the economy and status of Burma to hit rock bottom during
their dictatorial reign. We were a strong nation 30 years ago and while
others in the region have moved forwards in this period we went the other way.

As for Daw Aung San Suu Kyi's refusal to meet Khin Nyunt, where does he get
this information which he "believes" and yet dares to put it to print. It
is a well known fact that SLORC/SPDC refuses to accept Daw ASSK in any
likely talks with the NLD and that has always been one of the main obstacles.

Since when did a businessman, with one year's exposure in the bosom of the
military government get to become an expert on the economy and politics of
Burma, that Asiaweek should use his article.

As for brutality, he should make another visit to the country and meet the
people who are denied freedom of speech, movement and news, people who are
uprooted and displaced, people who serve as slaves and human fodder for the
army, people who are raped and pillaged, people who have lost their loved
ones for no reason at all -- and then, maybe he will begin to see what the
description applies to.

You can fool some of the people all of the time -- or all of the people
some of the time -- and it seems Prior has fallen into the first category.
International outcries and condemnations are not made based on rumours but
on facts as well as eyewitness accounts of the long suffering population.

I would be most grateful if anyone can communicate this message to Prior.

K A.

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The Nation: Sultan Arrives in Burma
30 May, 1998 

Rangoon -- The sultan of Brunei arrived here yesterday for alargely
ceremonial three-day visit, the latest in a series by regional leaders
since Burma joined the Association of Southeast Asian Nations last July.

But his entourage apparently found the state guest house laid on by the
ruling junta below the standard expected for their leader and checked him
into a modern hotel, sources said.

The sultan, accompanied by a 27-strong delegation which includes 13 members
of the royal family, was greeted on arrival at Rangoon's airport with a
21-gun salute and thousands of schoolchildren shouting out wishes for his
good health and a long life.

Senior General Than Shwe and other members of the ruling State Peace and
Development Council (SPDC) were also on hand to welcome the sultan.

The visit, his first here, follows a trip to Brunei last month by Than
Shwe. An advance party from Brunei was unhappy with the accommodation
provided by the government and he is instead to stay at a hotel built with
foreign funds, the sources said.

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The Nation: Activist Unjustly Jailed 
1 June, 1998 by Francesco Fabbi 

Letter to the Editor

Recently learned of the arrest and imprisonment of Thiha Thu in Burma.
According to information provided by the American Physical Society, Thiha
was arrested for participating in peaceful demonstrations, was given a
10-year prison sentence and has been harshly treated in prison.

Such arbitrary and harsh arrest, imprisonment and treatment of a peaceful
demonstrator violates international standards on human rights.

I respectfully request that you lobby for the release of Thiha and others
who were arrested and imprisoned for participating in peaceful
demonstrations. I would also urge that you petition the government of Burma
to guarantee freedom of expression, freedom of assembly and the freedom to
participate in peaceful political activities.

I also request information about charges, trial, sentence and current
status of Thiha. 

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U.S. Government: President's Letter to Congress Re: Burma Sanctions 
26 May, 1998 

THE WHITE HOUSE Office of the Press Secretary

For Immediate Release May 26, 1998

TEXT OF A LETTER FROM THE PRESIDENT TO THE SPEAKER OF THE HOUSE OF
REPRESENTATIVES AND THE PRESIDENT OF THE SENATE

May 26, 1998

Dear Mr. Speaker: (Dear Mr. President:)

I hereby report to the Congress on developments concerning the national
emergency with respect to Burma that I declared in Executive Order 13047 of
May 20, 1997, pursuant to section 570 of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1997, Public Law
104-208 (the "Act") and the International Emergency Economic Powers Act
(IEEPA). This report is submitted pursuant to section 204(c) of IEEPA, 50
U.S.C. 1703(c) and section 401(c) of the National Emergencies Act, 50
U.S.C. 1641(c). This report discusses only matters concerning the national
emergency with respect to Burma that was declared in Executive Order 13047.

On May 20, 1997, I issued Executive Order 13047 (62 Fed. Reg. 28301, May
22, 1997), effective on May 21, 1997, to declare a national emergency with
respect to Burma and to prohibit new investment in Burma by United States
persons, except to the extent provided in regulations, orders, directives,
or licenses that may be issued in conformity with section 570 of the Act. I
renewed this order on May 19, 1998. The order also prohibits any approval
or other facilitation by a United States person, wherever located, of a
transaction by a foreign person where the transaction would constitute new
investment in Burma prohibited by the order if engaged in by a United
States person or within the United States. This action was taken in
response to the large-scale repression of the democratic opposition by the
Government of Burma since September 30, 1996. A copy of the order was
transmitted to the Congress on May 20, 1997.

By its terms, Executive Order 13047 does not prohibit the entry into,
performance of, or financing of a contract to sell or purchase goods,
services, or technology, except: (1) where the entry into such contract on
or after May 21, 1997, is for the general supervision and guarantee of
another person's performance of a contract for the economic development of
resources located in Burma; or (2) where such contract provides for
payment, in whole or in part, in (i) shares of ownership, including an
equity interest, in the economic development of resources located in Burma;
or (ii) participation in royalties, earnings, or profits in the economic
development of resources located in Burma.

On May 21, 1998, the Department of the Treasury's Office of Foreign Assets
Control (OFAC) issued the Burmese Sanctions Regulations (the "BSR" or the
"Regulations"), 31 C.F.R. Part 537, to implement the prohibitions of
Executive Order 13047. The Regulations apply to United States persons,
defined to include US citizens and permanent resident aliens wherever they
are located, entities organized under US law (including their foreign
branches), and entities and individuals actually located in the United
States. The sanctions do not apply directly to foreign subsidiaries of US
firms, although foreign firms' activities may be affected by the
restriction on United States persons' facilitation of a foreign person's
investment transactions in Burma.

The term "new investment" means any of the following activities, if such an
activity is undertaken pursuant to an agreement, or pursuant to the
exercise of rights under such an agreement, that is entered into with the
Government of Burma, or a nongovernmental entity in Burma, on or after May
21, 1997: (a) The entry into a contract that includes the economic
development of resources located in Burma; (b) the entry into a contract
providing for the general supervision and guarantee of another person's
performance of a contract that includes the economic development of
resources located in Burma; (c) the purchase of a share of ownership,
including an equity interest, in the economic development of resources
located in Burma; or (d) the entry into a contract providing for the
participation in royalties, earnings, or profits in the economic
development of resources located in Burma, without regard to the form of
participation.

Since the issuance of Executive Order 13047 on May 20, 1997, OFAC, acting
under authority delegated by the Secretary of the Treasury, has implemented
sanctions against Burma as imposed by the order. OFAC has issued several
determinations with respect to transactions provided for by agreements
and/or rights pursuant to contracts entered into by United States persons
prior to May 21, 1997. One license was necessary to authorize a United
States person's disinvestment in Burma, since this transaction facilitated
a foreign person's investment in Burma.

On May 21, 1997, OFAC disseminated details of this program to the
financial, securities, and international trade communities by both
electronic and conventional media. This included posting notices on the
Internet, on ten computer bulletin boards, and two fax-on-demand services,
and providing the material to the US Embassy in Rangoon for distribution to
US companies operating in Burma.

In addition, in early July, OFAC sent notification letters to approximately
50 US firms with operations in or ties to Burma informing them of the
restrictions on new investment. The letters included copies of Executive
Order 13047, provided clarification of several technical issues, and urged
firms to contact OFAC if they had specific questions on the application of
the Executive order to their particular circumstances.

The expenses incurred by the Federal Government in the 6-month period from
November 20, 1997, through May 19, 1998, that are directly attributable to
the exercise of powers and authorities conferred by the declaration of a
national emergency with respect to Burma are estimated at approximately
$370,000, most of which represent wage and salary costs for Federal
personnel. Personnel costs were largely centered in the Department of the
Treasury (particularly in the Office of Foreign Assets Control, the Office
of the Under Secretary for Enforcement, and the Office of the General
Counsel), and the Department of State (particularly the Bureau of Economic
and Business Affairs, the Bureau of East Asian and Pacific Affairs, and the
Office of the Legal Adviser).

The situation reviewed above continues to present an extraordinary and
unusual threat to the national security and foreign policy of the United
States. The declaration of the national emergency with respect to Burma
contained in Executive Order 13047 in response to the large-scale
repression of the democratic opposition by the Government of Burma since
September 30, 1996, reflected the belief that it is in the national
security and foreign policy interests of the United States to seek an end
to abuses of human rights in Burma, to support efforts to achieve
democratic reform that would promote regional peace and stability, and to
urge effective counter-narcotics policies.

In the past 6 months, the State Law and Order Restoration Council, recently
renamed the State Peace and Development Council (SPDC), has shown no sign
of willingness to cede its hold on absolute power. Since refusing to
recognize the results of the free and fair 1990 elections in which the
National League for Democracy won a vast majority of both the popular vote
and the parliamentary seats, the ruling junta has continued to refuse to
negotiate with pro-democracy forces and ethnic groups for a genuine
political settlement to allow a return to the rule of law and respect for
basic human rights. Burma has taken limited but insufficient steps to
counter narcotics production and trafficking.

The net effect of US and international measures to pressure the SPDC to end
its repression and move toward democratic government has been a further
decline in investor confidence in Burma and deeper stagnation of the
Burmese economy. Observers agree that the Burmese economy appears to be
further weakening and that the government has a serious shortage of foreign
exchange reserves with which to pay for imports. While Burma's economic
crisis is largely a result of the SPDC's own heavy-handed mismanagement,
the SPDC is unlikely to find a way out of the crisis unless political
developments permit an easing of international pressure. I shall continue
to exercise the powers at my disposal to deal with these problems and will
report periodically to the Congress on significant developments.

Sincerely,

/signed/

WILLIAM J. CLINTON

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Asiaweek: Escaping to Australia 
5 June, 1998 

And here is another three-sided affair to consider: Australia, Myanmar and
Thailand. Last week, police in suburban Bangkok rounded up 14 Myanmar
activists -- including Burmese government-in-exile justice minster Thein
Oo. The men were convicted of illegally entering the country and ordered to
be deported.

This despite the fact that most of them have lived openly in Thailand since
the crackdown by the Yangon junta after the 1990 elections. Why the Thais'
sudden change? Maybe because Australia is conveniently indicating a
willingness to take in some of the exiles. Since Myanmar joined ASEAN last
year, it has become embarrassing for Thailand to host the dissidents --
ASEAN members tend not to interfere in the internal affairs of other member
countries.

Increased harassment, including the fear that the activists might be
returned to Myanmar, could provide the appropriate humanitarian grounds for
Canberra to allow them in as immigrants. "That's the plan," says one of the
Myanmar leaders-in-exile. "We want some legal document from Australia, so
we can settle there in case the Thais make it more difficult for us here."
Indications are that Canberra has agreed in principle to accept them,
though some worry about how the decision may harm Australia's long-term
ties with ASEAN.

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Announcement: Women of Burma Day 1998 
1 June, 1998 by ALTSEAN-BURMA <altsean@xxxxxxxxxx>

WOMEN OF BURMA DAY 1998 AND THE LAUNCH OF THE BILINGUAL BOOK BURMA: VOICES
OF WOMEN IN THE STRUGGLE

ABOUT WOMEN OF BURMA DAY: June 19th marks "Women of Burma Day" and Daw Aung
San Suu Kyi's birthday. Last year, Women of Burma Day was initiated to
increase the profile of women from all ethnic backgrounds in Burma's
struggle for peace, democracy and human rights.

"Women of Burma Day" provides us all with the opportunity to express our
support for and solidarity with millions of sometimes invisible women who
not only participate directly in the movement, but also support the
involvement of family members, colleagues and friends in the movement.

Women of Burma Day also stresses to women's groups throughout the world
that the situation in Burma is a matter of grave concern for ALL women.

To mark Women of Burma Day, Altsean-Burma has produced a bilingual book
(English & Burmese) entitled BURMA: VOICES OF WOMEN IN THE STRUGGLE. The
book features articles by women inside Burma, along the border and in
exile, including a foreword by Daw Aung San Suu Kyi.

To support Free Burma groups' Women of Burma Day events, Altsean-Burma is
offering up to 20 free books with which to make your own launch. While the
first 20 books are provided free of charge, we request that you COVER
SHIPPING COSTS FROM BANGKOK or arrange their safe transportation. Books
will be ready for dispatch on the 9th of June. Please contact us
immediately if you plan to hold a launch.

If you wish to order further copies of the book, they will cost US$12.00
each, inclusive of postage. A discount is available if you order in bulk
(10 or more) and/or organize your own shipping.

SUGGESTIONS FOR WOMEN OF BURMA DAY ACTIVITIES: 
*  organize a book launch of Burma: Voices of Women in the Struggle in your
capital city for Women of Burma Day, including readings in both English and
Burmese. Invite the media and local women's networks. *  issue a statement,
press release or letter to the media to mark Women of Burma Day. *
generate articles and discussions about women in Burma. *  organize a
silent protest outside the nearest Burmese Embassy or diplomatic mission
wearing a mask of a prominent political prisoner or Daw Aung San Suu Kyi.

ABOUT BURMA: VOICES OF WOMEN IN THE STRUGGLE, Altsean-Burma's new
publication, is a compilation of articles, poems and stories written by
women from different ethnic backgrounds in Burma, with a foreword by Aung
San Suu Kyi. While some of the contributions were written, significantly,
inside Burma, many others were written by women in exile. The collection is
a concerted effort to being the voices of women of various ethnic,
religious and political persuasions in Burma into a single volume.

The collection was assembled for two main purposes. Firstly, to educate
both men and women of the experience, visions and hopes of women involved
in the movement to free Burma. The second main purpose is one of
empowerment. We hope the book will encourage more women of Burma to play
more visibly in the wider struggle for democracy, in direct protest of the
many political, social and cultural obstacles placed in their way. The
articles themselves express a deep commitment to securing a future for
Burma in which women, young and old, will be able to actively participate.
The visions of women in the struggle are the foundations on which a new
democratic and just society must be built.

EXCERPTS FROM THE BOOK "... we want a democracy in which we can exercise
our women's rights...we may be asked which movement is more important at
present, democracy or women's rights. The answer to this question must be
both- for those especially living inside Burma who have never heard of the
term "women's rights," and for those who are not very clear about the
meaning of democracy- There can be no real democracy without recognition of
women's rights." - Nang Lao Liang Won, "What Does Democracy Mean to Us-
Burmese Women?"

"To the women of Burma themselves I would like to send a message of
solidarity. Together, in full knowledge of both our strengths and
weaknesses, we can contribute towards the building of a nation that is a
safe and happy home for its peoples. Together we can overcome the troubles
of today and create a happier tomorrow for ourselves and our fellow human
beings." - Aung San Suu Kyi, Foreword, "Women of Burma"

"The increasing number of women joining the workforce in developing
countries is considered a good sign, many people arguing that the
development of such countries improves women's status. But in the case of
Burma, the increase in number of women in the work force is merely the
result of the country's poverty" - Konmari, "The Status of Burmese Women: A
Comparative Essay"

"The struggle for women's rights which have been demanded now for more than
a hundred years, will last for more than a hundred years to come. (History
can provide)  us with the best strength for our future struggle. Let their
be peace in the world, created by the hands of women, rocking the cradles
of babes." - Ma Thida, "A History of International Women's Day"

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