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Showing posts with label Asia. Show all posts
Showing posts with label Asia. Show all posts

Suu Kyi awarded Congressional Gold Medal



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The pro-democracy campaigner was awarded in 2008 but because of house arrest in Myanmar, she was unable to travel to the US for the ceremony. After years of seclusion, Myanmar has been making strong efforts to open up and work with Western governments. Having visited Myanmar and witnessed first hand the state of the country, I was admittedly unconvinced that they would follow through with promises of more openness. Seeing Suu Kyi in Washington gives me some level of hope that things may change over time.

Proof will be determined over many more years but this is good progress. The Guardian:
Aung San Suu Kyi has been presented with the US Congress' highest civilian honour at a ceremony in Washington, describing it as "one of the most moving days of my life."

The Burmese democracy campaigner was awarded the Congressional Gold Medal in 2008 while under a 15-year house arrest for her peaceful struggle against military rule.

Her long-awaited visit to America finally provided an opportunity for her to receive the honour in person in Congress' most majestic setting, beneath the dome of the Capitol and ringed by marble statues of former presidents.
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Sino-Japanese relations deteriorate over oil



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Though the story has not been widely followed in the West, in Asia, the most recent fight over the Senkaku Islands/Diaoyu Islands has the potential to cause a broad list of problems in the region. There's an interesting overview of the history over at Daily Kos (h/t @MiroCollas). Until oil reserves were noticed in 1968, none of the current countries claiming ownership expressed much interest in the distant, uninhabited island.

Banging the drums of war over oil is nothing new and it's likely to be seen elsewhere in the world as easy drilling supplies become more limited. From China's perspective, it's hard to see how this is going to help them long term. The reasonably good will that they've built up in recent years can easily be washed aside. These particular islands are only one spot of many that are being contested, so other countries in the region (Vietnam, Philippines) will be watching closely.

The other aspect that should be a concern for China is the business side of this fight. China has too many mob outbursts like this against foreign nationals and businesses. As the cost of doing business in China rises, instability like this is not going to help. A few years ago it may not have mattered as much but now that the economy is softening, China ought to give it a lot more thought. Their business model is at risk when the government allows nationalistic mob violence.

From Japan's perspective, though they can share in the blame for provoking this crisis, they no longer need China the way they did ten years ago. Their businesses are being attacked and this latest violence can easily be used as an excuse to pack up and move to another location in the region.

A skirmish of some sort is a possibility as the article above suggests, though China has a lot to risk with military action. The last thing that government needs is losing factories and foreign investment. Countries have taken stupid action over oil (Iraq comes to mind) so China will have to decide between nationalism and foreign business. For a few decades, China's growth has been tied to foreign business so any change would be a radical departure for Beijing.

China may have the upper hand in this dispute for now due to its military and control over rare earth minerals but it would also come at a heavy cost. Is a long forgotten island worth disrupting the business model and damaging regional relations? Time will tell. Read the rest of this post...

Fish near Fukushima 258 more radioactive than legal limit



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The problem seems to be the worst with fish that eat along the bottom of the sea, but this is still a significant problem.
Radioactive cesium measuring 258 times the amount that Japan's government deems safe for consumption has been found in fish near the damaged Fukushima Daiichi nuclear power plant, Japan's Kyodo news agency reported Tuesday.

The Tokyo Electric Power Co. found 25,800 becquerels per kilogram of radioactive cesium in two greenlings in the sea within 20 kilometers of the plant on August 1 – a record for the thousands of Fukushima-area fish caught and tested since the March 2011 earthquake and tsunami that led to a nuclear disaster at the plant, Kyodo reported.

Japan's government considers fish with more than 100 becquerels per kilogram unsafe for consumption. A becquerel is a measurement of radioactive intensity.
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Is TPP ("NAFTA on steroids") Obama's Bain Capital?



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More about the super-secret (and genuinely scary) Trans-Pacific Partnership ("TPP") trade agreement, courtesy of Public Citizen.

The TPP pact is a world-wide "corporate coup d'état"

A characterization of the super-secret TPP from Lori Wallach, writing in The Nation (my emphasis and paragraphing throughout):
The TPP has been cleverly misbranded as a trade agreement (yawn) by its corporate boosters. As a result, since George W. Bush initiated negotiations in 2008, it has cruised along under the radar.

The Obama administration initially paused the talks, ostensibly to develop a new approach compatible with candidate Obama’s pledges to replace the old NAFTA-based trade model. But by late 2009, talks restarted just where Bush had left off. [Note this; I have a separate point to make on this below.]

Since then, US negotiators have proposed new rights for Big Pharma and pushed into the text aspects of the Stop Online Piracy Act, which would limit Internet freedom, despite the derailing of SOPA in Congress earlier this year thanks to public activism.

In June a text of the TPP investment chapter was leaked, revealing that US negotiators are even pushing to expand NAFTA’s notorious corporate tribunals, which have been used to attack domestic public interest laws. [Our coverage of those sovereignty-killing trade courts here.]

Think of the TPP as a stealthy delivery mechanism for policies that could not survive public scrutiny. Indeed, only two of the twenty-six chapters of this corporate Trojan horse cover traditional trade matters.

The rest embody the most florid dreams of the 1 percent—grandiose new rights and privileges for corporations and permanent constraints on government regulation.

They include new investor safeguards to ease job offshoring and assert control over natural resources, and severely limit the regulation of financial services, land use, food safety, natural resources, energy, tobacco, healthcare and more.
"The most florid dreams of the 1 percent—grandiose new rights and privileges for corporations and permanent constraints on government regulation." Like them apples? Obama does. That's why he's negotiating for them.

Ms. Wallach makes the same point we did earlier, that TPP is a world-wide "corporate coup d'état":
The stakes are extremely high, because the TPP may well be the last “trade” agreement Washington negotiates. This is because if it’s completed, the TPP would remain open for any other country to join. ...

Countries would be obliged to conform all their domestic laws and regulations to the TPP’s rules—in effect, a corporate coup d’état[.]
This means, as we said earlier:
Because treaties like NAFTA are folded into national constitutions, international corporations have found a way to establish a new international system of dispute resolution that trumps national governments. ... "NAFTA" Bill Clinton has much to answer for.
Like them apples? Obama does.

Does TPP undercut Obama's "enemy of vulture capital" pose?

As you know (I hope) a presidential election is just an ad campaign — "these hub caps are shinier" or "this candidate is nicer to dogs." Like with all ad campaigns, the campaigners are primarily concerned with the manipulation of appearances.

As in 2008, Barack Obama has reverted from the "here's how I roll" reality to his "think of me this way" self-presentation. (See here for a Tale of Two Baracks.)

So President Obama is back in the closet, and Candidate Obama is back on the stump, saying nice things about himself.

This year's version of "Candidate Obama" is selling himself as the Bane of Bain, the enemy of offshoring predator capitalism.

You're not the first to have noticed that Obama, Bane of Bain is the enemy of Obama, Friend of the Corporate Coup. Will voters notice? They will if this keep up. From a Public Citizen press release:
Growing congressional, state legislator and activist protests of closed-door negotiations on the Obama administration’s first trade pact, the Trans-Pacific Partnership (TPP), threatened to undermine the Obama campaign’s attack on Mitt Romney’s Bain Capital U.S. job offshoring activities.

The latest round of TPP talks wrapped up today in San Diego following a week of protests outside the venue, growing concern about TPP in Congress, a letter warning of opposition from state legislators representing all 50 states and delivery of two different petitions with nearly 100,000 signatories each.

A text of the TPP’s investment chapter that leaked last month shows that it includes an expanded version of the rules in the North American Free Trade Agreement (NAFTA) that incentivize investment and job offshoring by eliminating the risks of relocating to lower-wage countries and guaranteeing preferential treatment for relocated firms.

“U.S. negotiators have tried to keep TPP negotiations totally below the radar, but even so opposition to the current “NAFTA-on-steroids-with-Asia” approach is escalating, which is good news for the public but a serious complication for the Obama campaign’s attack on Romney as a U.S. job offshorer,” said Lori Wallach, director of Public Citizen’s Global Trade Watch.
Ms. Wallach is the author of the Nation article quoted above, and well-versed in this subject.

Will Obama's high-pressure support for TPP undercut the Obama campaign's primary selling point? Stay tuned.

A post-2012 note to Progressives: We need a plan

NeoLiberal Robert Rubin–acolyte Barack Obama is pushing TPP as hard — and as secretly — as he can. What does that make Barack Obama?

In my view, it might make Barack Obama the second most dangerous enemy of progressive and anti-corporate causes in the country. The first most dangerous is anyone bankrolled by Movement Conservative billionaires, because those guys don't even have to pretend.

This doesn't mean I'm telling you how to vote in November. In my opinion, that election is over, and I have no interest in inciting Left-on-Left violence over a done deal. People can do what they like till November; I'm good with all of it.

But I am saying that Movement Progressives better get ready, starting now if possible. Because of all possible outcomes post-November, one of them is a full-on assault on progressive values by a completely unfettered 2nd-term friend-of-the-corporate-coup.

It's up to you to decide what an unfettered Obama will do. I don't have a crystal ball. But whatever it is he really really wants, I guarantee that's what he'll shoot for.
We could spend a long time on that list. I haven't even touched Israel and the war with Iran.

My point? Hope is not a plan. If Progressives want to be a player in the Battle of the Next Four Years, we need to do better than hope for the best. We need a plan for a worst-case Obama second term. It's called hugging the monster.

I'm serious. It's a good thing to act. It's better to act with a plan. Mes centimes (French for "word").

Our previous TPP coverage

For reference, a short list of our previous coverage:

Why are the Trans Pacific free trade negotiations secret? — May 11, 2012

Obama trade document leaked, reveals new corporate powers and broken promises — June 14, 2012

Thanks for your attention to this subject. In my opinion, this pales next to the global warming catastrophe, but not by much, since it will structurally change the government of the world. And this catastrophe will happen first, unless we put ourselves in the way of it.

Mes centimes,

GP

To follow or send links: @Gaius_Publius
 
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Roman jewelry found in 5th century tomb in Japan



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What an amazing discovery.
Glass jewellery believed to have been made by Roman craftsmen has been found in an ancient tomb in Japan, researchers said Friday, in a sign the empire's influence may have reached the edge of Asia.

Tests have revealed three glass beads discovered in the Fifth Century "Utsukushi" burial mound in Nagaoka, near Kyoto, were probably made some time between the first and the fourth century, the Nara National Research Institute for Cultural Properties said.

The government-backed institute has recently finished analysing components of the glass beads, measuring five millimetres (0.2 inches) in diametre, with tiny fragments of gilt attached.
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Most whale meat in Japan failed to sell



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Outside of some vocal extremists who prefer tradition, whaling fails to make sense in modern Japan. The ships are (rightly) harassed at sea, driving up costs for the hunts and people at home don't even want the whale meat. On top of that Japan has to bribe poor countries who participate in the IWC, so they can win their votes.

Japan needs to cut its losses and move on because the whale hunts make no sense from any perspective.
Japan's failing appetite for whale meat left three-quarters of meat from whales caught in the north-west Pacific last summer unsold, according to a report.

Junko Sakuma, a freelance journalist, said the body responsible for selling meat from Japan's controversial "scientific" whaling programme had failed to sell 908 tonnes of the 1,211-tonne catch, despite holding 13 public auctions since last October.

The report, published on the website of the Tokyo-based Dolphin and Whale Action Network, said the Institute of Cetacean Research, a quasi-governmental body that oversees the hunts, had hoped to use sales from the meat to cover the costs of the whaling fleet's expeditions.
Well done by the Sea Shepherd for speeding up the death of the ugly annual hunts. Read the rest of this post...

Sanctions easing against Myanmar, but should they?



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In recent months, the West has been responsive to discussions with the government in Myanmar to open up the relationships. In return for ending sanctions, Myanmar allowed elections and have freed some (not all) of the political prisoners. With each step, Western governments have made moves to normalize the relationships including steps leading to aid agreements and eventually trade agreements.

One of the opposition groups in Myanmar is pushing back, arguing that these rapid changes are sending the "wrong signal" to the government since so many more political prisoners remain and the war against ethic groups continues. They're not wrong with this argument, though without some links into the previously secretive and closed government, the West has almost no leverage with the government.

If you look at countries like Iran and Syria, the US faces challenges in pushing the local governments since there are so few links. The reasons behind the lack of links is understandable, but without any leverage, is being completely cut off really in the best interest of the West or the local opposition groups? More on the evolving links between the West and Myanmar at Al Jazeera. Read the rest of this post...

North Korean rocket launch fails



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It did launch, though the rocket broke into pieces shortly after launch. Maybe the west was trying to help the new leader avoid embarrassment when they begged him not to fire the rocket, which violated UN resolutions. The Guardian:
A much-heralded test of North Korea's rocket technology has ended in failure and embarrassment for the regime in Pyongyang less than two minutes after lift-off.

The Unha-3 rocket, which Washington claimed was cover for a ballistic missile test and drew condemnation from around the world, exploded into about 20 pieces fell into the Yellow Sea.

The North Koreans ignored eleventh-hour pleas from the US, South Korea and Japan not to go through with the launch, insisting its sole purpose was to put an earth observation satellite into orbit.
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US Coast Guard sinks Japanese ghost ship



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The boat was swept out to sea during the tsunami last year and had been approaching the west coast of North America. There was no way an unmarked ship drifting into a busy shipping area was going to continue. MSNBC:
The Coast Guard says the fishing vessel set adrift by the tsunami in Japan has sunk in the Gulf of Alaska after a cutter fired at it.

Petty Officer David Moseley told msnbc.com that the vessel caught fire and took on water after the Coast Guard Cutter Anacapa fired its 25mm cannon at the derelict ship on Thursday, aiming to sink what it called a threat to shipping.

Citing a Coast Guard spokesman, the Associated Press reported the firing began after a brief delay caused by a Canadian ship that wanted to salvage the Ryou-un Maru -- but then quickly found it it wasn't able to tow it back to shore.
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US to ease sanctions against Myanmar



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There are certainly plenty of positive signs from the Myanmar government that can justify this action. Whether it will continue is another story. BBC News:
The United States has announced that it will ease some sanctions against Burma.

Secretary of State Hillary Clinton said some travel and financial restrictions would be relaxed, with Burmese leaders allowed to visit the US.

European Union leaders had said earlier on Wednesday that they may lift some sanctions.
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Suu Kyi's party wins 43 of 44 seats in Myanmar elections



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Keep in mind that she has won before, so it doesn't necessarily mean anything yet. It's a positive sign that the military junta even allowed elections (again) and that people were able to get out and vote but this is still going to be an uphill struggle to make it translate into actual reform. The Guardian:
Speaking to thousands of red-clad supporters outside the headquarters of her opposition party, the National League for Democracy' (NLD), the Nobel laureate called the election "a triumph of the people" and said: "We hope this will be the beginning of a new era."

Traffic slowed to a crawl as throngs of people, many of them waving flags and clutching red and white roses, spilled into the street to cheer, clap and call out "Amay Suu" (Mother Suu) as her motorcade arrived. At least one person was trampled underfoot when bodyguards pushed back the crowds and people swarmed to the car to see the woman who spent almost 22 years under house arrest and who many hope will create a new future for Burma's 60 million people.

Aung San Suu Kyi spoke briefly in both Burmese and English to loud applause and cheers from the crowd.
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Myanmar voting today



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It's been a long time coming and the process has not been clean, but it's a start. NY Times:
For the first time in two decades, voters in 45 districts across Myanmar had the chance to vote for the party of Ms. Aung San Suu Kyi, a milestone after years of military rule and brutality.

From a strictly numerical standpoint, the election itself will not affect the balance of power in Myanmar, as less than 10 percent of seats in Parliament were in play.

But voters described it as a joyous day, another step toward democracy as the country undergoes radical changes under President Thein Sein, the former general who has led the country for the last year and is encouraging reconciliation with Ms. Aung San Suu Kyi.
Early reports are positive for Suu Kyi, who appears to have one a seat in parliament. Read the rest of this post...

Japanese boat lost from tsunami nearing North America



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In the coming months, we're likely to see a lot more of this reach the west coast of North America. CNN:
A fishing trawler swept away more than a year ago by a tsunami off the east coast of Japan has been spotted floating near British Columbia, Canadian officials said Friday.

"It looks fairly sound and has rust streak from being out there for a year," said Marc Proulx, the maritime coordinator of the Joint Rescue Coordination Center in Victoria, British Columbia.

The trawler is part of a giant debris field that was generated by the giant wall of water that struck the east coast of the island nation following a 9.0 earthquake, sweeping everything from cars to houses into the ocean.
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Radiation detected 400 miles off Japanese coast



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Not good. Whether it's still below the safety levels or not, this is bad news.
Radioactive contamination from the Fukushima power plant disaster has been detected as far as almost 400 miles off Japan in the Pacific Ocean, with water showing readings of up to 1,000 times more than prior levels, scientists reported Tuesday. But those results for the substance cesium-137 are far below the levels that are generally considered harmful, either to marine animals or people who eat seafood, said Ken Buesseler of the Woods Hole Oceanographic Institution in Massachusetts.
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Myanmar monk taken away by police



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The new peace with Western governments didn't last for very long. Yesterday there was a story out there about the price of real estate rising in Myanmar due to the new understanding. Suddenly, it looks like the same old, same old dictatorship. BBC News:
Some 15 officials came in three cars at about 01:15 local time (1845 GMT Thursday), a monk who was with Gambira told the BBC. These officials were from the government religious authority department and Rangoon division government, he added. After he was freed last month, Gambira has reportedly been reopening monasteries that were locked up by the authorities since the ''saffron revolution'' movement led by monks in 2007. "He was taken this morning from his monastery for questioning because he broke the locks of three monasteries since his release," the official who wished to remain anonymous told AFP.
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Apple has created up to 700,000 jobs ... in Asia



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This is a two-fer; I'm going to link two opinion pieces to make one point.

First, Paul Krugman, in a recent column commenting on Mitch Daniels' assertion that American businessman Steve Jobs was a hero–job creator who should be emulated. He gets to the Apple point midway through (my emphasis):
[A]nyone who reads The New York Times knows that [Daniels'] assertion about job creation was completely false: Apple employs very few people in this country.

A big report in The Times last Sunday laid out the facts. Although Apple is now America’s biggest U.S. corporation as measured by market value, it employs only 43,000 people in the United States, a tenth as many as General Motors employed when it was the largest American firm.

Apple does, however, indirectly employ around 700,000 people in its various suppliers. Unfortunately, almost none of those people are in America.
Krugman points out that it's not just the low wages; it's also the local supply infrastructure. But even so, how did the whole of it, the factories and that lovely network of local parts suppliers, get there to begin with?

Answer — American industrial policy. Yes, we did it to ourselves. (By "we" I mean the do-ers, Our Betters; and by "ourselves" I mean the do-ees, you and me.)

American government always has an industrial policy. We've never been without one. And in the last 30 years, the right-wing Reagan government — and every U.S. government since — has grown campaign-contribution-fat by picking corporate winners and labor losers in the newspeakishly named "free market." The rest is just disinformation, something to keep you confused until they've robbed you totally blind.

Here's Robert Reich to make the connection:
Jobs Won't Come Back to America Until the Government Pushes Greedy Corporate Executives to Invest at Home
That's his headline, not to put too fine a point on it.

And here's a bit of the meat (my emphasis below).
... An Apple executive says “We don’t have an obligation to solve America’s problems. Our only obligation is making the best product possible.” He might have added “and showing a big enough profits to continually increase our share price.”

Most executives of American companies agree. If they can make it best and cheapest in China, or anywhere else, that’s where it will be made. Don’t blame them. ... What they want in America is lower corporate taxes, less regulation, and fewer unionized workers. But none of these will bring good jobs to America. These steps may lower the costs of production here, but global companies can always find even lower costs abroad. ...

But here’s the political problem. American firms have huge clout in Washington. They maintain legions of lobbyists and are pouring boatloads of money into political campaigns. After the Supreme Court’s Citizen’s United decision, there’s no limit.

Who represents the American workforce? ... [C]orporate America isn’t their friend. Without bold government action on behalf of our workforce, good American jobs will continue to disappear.
The headline makes the point stronger than the piece itself, but still, the point is there.

Government always acts (or not-acts) in someone's behalf. It always picks winners and losers, in exactly the same way you do when you decide to see Chucky Does Paris rather than Midnight in Missoula — or even when you stay home instead with a big box of deep-fried Drummer Boy Wings and your tears. Someone walks away with your dollar, and the rest just walk. Same diff.

The real question is — What's American labor, chained as it is to the NeoLiberal-dominated Democratic party, going to do about it?

Not many choices, are there? I can think of just three — Leave the party. Kick those corporate-financed NeoLibs out of first position and take over. Whine.

If you don't pick (1) or (2), the third picks you (not to put too fine a point on it).

GP Read the rest of this post...

US restores diplomatic ties with Myanmar



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The pace of change between Myanmar and the west has been rapid lately. This past week, Myanmar released a number of political prisoners, which led to this latest move by the US. Nudging the closed government into opening up should be good for the people of Myanmar. LA Times:
The Obama administration formally restored U.S. diplomatic relations with Myanmar on Friday in recognition of the isolated regime’s recent steps toward reform, including the release of political prisoners and a cease-fire with a rebel group. Capping months of cautious steps toward normalization, U.S. officials said they had growing confidence that the Myanmar’s government is serious about political reforms and opening up to the outside world after years of repression. President Obama hailed the pardon and release Friday of 651 prisoners in Myanmar, also known as Burma, calling it "a substantial step forward for political reform." The released group included a number of prominent pro-democracy leaders, some of whom were imprisoned after major protests in 1988.
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Myanmar signs peace treaty



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If it holds, this is a very big deal as the internal fighting has gone on for decades. Parts of Myanmar were off-limits due to the ethnic fighting. We've seen visits from the UK and US recently which have indicated a new Myanmar, plus the call for more open elections so perhaps there is going to be actual change there. Perhaps. Al Jazeera:
Myanmar's government and one of the country's most prominent ethnic rebel groups, the Karen National Union (KNU), have signed a ceasefire after decades of civil conflict. A delegation of ministers from the capital Naypyidaw and senior members of the KNU signed the pact in Hpa-an, the capital of eastern Karen state, an AFP news agency reporter witnessed on Thursday. The military-dominated government, which came to power in March last year after decades of outright army rule, has been trying to reach out to ethnic groups as part of reforms seemingly aimed at ending its isolated status. Civil war has gripped parts of the country since its independence in 1948, and an end to the conflicts, as well as alleged human rights abuses involving government troops, is a key demand of the international community.
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Myanmar releases more political prisoners



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British foreign secretary William Hague is currently visiting Myanmar, following Hillary Clinton's visit last month. There seems to be a new interest from Myanmar in opening to the west but their track record is not great. When I visited Myanmar nearly ten years ago, it was a country that had mostly stood still and not progressed. Is Myanmar eager to be the next factory country for the west or do they have other plans? Surely they have a plan though it's not yet clear. BBC News:
Mr Hague's visit is the latest by top world diplomats after Burma's first elections in 20 years which brought in a nominally civilian government. Since then the new administration has freed pro-democracy leader Aung San Suu Kyi and begun a process of dialogue. Last month she formally registered her National League for Democracy as a political party, after boycotting the 2010 polls because of electoral laws that prevented her taking part. In December US Secretary of State Hillary Clinton visited Burma, in what was seen as an endorsement of the reform process - although Western observers say much more is needed.
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E&Y auditors investigating massive 'errors' at Olympus



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Whether it's Enron or Lehman or more recently the scandal at Olympus, somehow the auditors are always in the thick of financial scandals.

The audit firms like Ernst & Young are paid big money to audit the internal books of companies, large and small. In theory, they're supposed to be providing an outside look into the numbers and making sure that they're accurate. The workers tend to be very smart and meticulous people. The results of the audit are supposed to carry weight since they receive the official stamp of approval by one of the big firms. This means outside investors are counting on the books being accurate as well as outside business partners. When there's a mistake or they're inaccurate, the consequences can be severe as we discovered at Enron.

The inherent problem with the model is that the contracts for providing this outside audit are worth a lot. To cover a major corporate account such as Enron or Olympus, the annual cost can easily be worth millions of dollars. It doesn't take a rocket scientist to figure out that the loss of even one account can have a painful impact on the annual revenue of the auditor. Much like the conflict of interest between Wall Street and the ratings agencies, a similar conflict of interest exists in the auditing field. There's almost too much at risk for the auditors to find any significant problems because that will likely mean they will be replaced in the next cycle.

In the case of Andersen Consulting and Enron, Andersen was generating over $50 million per year with Enron before the collapse. That alone should have raised red flags but it didn't. Ernst & Young is now allegedly focused on auditing their audit at Olympus but one has to wonder what they were doing before. Again, these are clever people so it sounds hard to believe that they would somehow miss a nearly $2 billion accounting fraud. Mistakes happen, but when the mistakes are this large, one has to wonder. Should E&Y really be in business if they can't manage to locate an accounting scandal of this magnitude? How competent is any auditor who misses such an enormous amount of money? Bloomberg:
An Ernst & Young ShinNihon LLC committee said it’s still investigating whether the audit of Olympus Corp. (7733)’s accounting was appropriate after the Japanese camera maker admitted hiding investment losses. Olympus’s purchase of Gyrus Group Plc has complicated links to the company’s overall cover-up and will require more time to probe, the panel said today in a statement. ShinNihon, which signed off on Olympus’s 2010 results, formed the committee this month to verify an internal investigation that earlier found nothing wrong in its audit of the endoscope maker. Olympus, reeling from a $1.7 billion accounting fraud, restated more than five years of past earnings on Dec. 14, wiping out 70 percent of its net assets.
E&Y auditors have of course found no problems in an audit of E&Y but is that really a surprise? Read the rest of this post...