Sri Lanka to seek World Bank help in tracking down hidden assets

Sri Lanka to seek World Bank help in tracking down hidden assets
Feb 06, 2015 10:34 AM
COLOMBO (EconomyNext) - Sri Lanka is seeking World BANK help to track down assets hidden abroad, Foreign Minister Mangala Samaraweera said, with an ant-corruption watchdog due to visit Washington soon.

Minister Samaraweera said J C Weliamuna an anti-corruption activist and head of the Sri Lanka chapter of Transparent International, will visit Washington for talks with World BANK.

The government has already announced it will seek help from the IMF, World Bank and the Reserve bank of India to track down over five billion US dollars of CASH suspected to have been stashed abroad, but the visit next week will be the first practical move to establish a mechanism to track down ill-gotten wealth.

Ministers of Sri Lanka's Maithripala Sirisena administration have claimed that the members of the Rajapaksa regime skimmed off billions of dollars from inflated state contracts mainly awarded to China without tender.

But the new regime said Thursday it will go ahead with a 1.4 billion US dollar concession awarded to a Chinese company to reclaim and develop a 'Port City' in the main beachfront of the capital Colombo, after earlier slamming the project as an environmental disaster.

Financial INVESTIGATIVE Units were set up in many countries following a United Nations initiative spearheaded by developed countries.

Though Sri Lanka also has an FIU, Samaraweera said the country lacked expertise in tracking down complex MONEY laundering networks involving Sri Lankans.

In the US, the Federal Bureau of Investigations has an Asset Forfeiture/MONEYLaundering Unit (AF/MLU) which seizes assets of criminal networks and also a Financial Intelligence Centre which is engaged in data analysis to combat crimes including those against governments.

Govt. keen on FTA with China

Govt. keen on FTA with China
2015-02-06 20:18:49

Chinese Special Envoy Liu Jianchao, who is also the Assistant Minister of Foreign Affairs, after meeting Sri Lankan leaders, said the new Sri Lankan Government was keen on entering into a the FREE TRADE Agreement( FTA) with China.

The new Government has decided to review all China-funded projects in Sri Lanka and CONTINUE with the previously initiated dialogue with China on the signing of the proposed FTA.

Addressing the media and Sri Lankan scholars at a function in the Chinese embassy, Mr. Jianchao said the new hopeful of signing the FTA with China. He said China appreciated the progress made in this regard.

"It will help Sri Lanka to achieve its TARGET of increasing its export volume to US$20 billion by 2020," Mr. Jianchao said adding that the Government had agreed to proceed with all Chinese-funded projects subject to revaluation and

reassessment in a manner that would not disrupt the “time tested and time honoured relationship” between the two countries.

He met President Maithripala Sirisena and Prime Minister Ranil Wickremesinghe.

"I don’t see any obstacles. Sri Lanka is an all-weather friend of China. This friendship started with the Rubber-Rice Pact. It was an agreement important both in terms of economic and strategic interests," Mr. Jianchao said.

He said China-Sri Lanka relations had not been designed to target a third party and it was meant only to ensure peace and prosperity for the people. Asserting that both sides agreed to further strengthen the existing bilateral relations, Mr. Jianchao said China was happy about Sri Lanka having more friends both in the region and other parts of the world.

With regard to China-funded projects, he said all these projects were initiatives with the accepted procedures and regulations stipulated by the Sri Lankan Government.

When asked about India raising concerns about a Chinese submarine which docked in the Colombo Port, Mr. Jinchao said Chinese warships had continued to escort TRADING vessels through this shipping lane, and therefore it was nothing new. He said China would never use Sri Lanka against the security interest of another country.

China welcomes Lanka's decision to go ahead with port project

China welcomes Lanka's decision to go ahead with port project

China today welcomed new Sri Lankan government's decision to go ahead with the controversial USD 1.5 billion Colombo Port City project FUNDED by it, calling the country an important partner in implementing its mega Maritime Silk Road project in South Asia.

"We regard Sri Lanka as an important cooperative partner in promoting belt and road initiative in South Asia," Chinese Foreign Ministry spokesman Hong Lei told reporters.

The port, expected to play a key role for China's ambitious Maritime Silk Road project in India's backyard, is being seen as the single largest private sector development ever in the island.

The project involving the 233 hectares of reclaimed land in capital Colombo was cleared by the new Sri Lankan government after expressing reservations over its environmental impact.

The deal included state-run China Communications Construction Co Ltd, taking over 108 hectares including 20 hectares on an outright basis and the rest on a 99-year lease.

The deal was struck by former Sri Lankan President Mahinda Rajapaksa as he moved closer to China much to the disquiet of India permitting even Chinese submarines docking in Colombo harbour.

A detailed discussion is expected to be held during new Sri Lankan President Maithripala Sirisena proposed visit to Beijing in March.

The threat to review has caused concern here as Colombo Port was regarded as key to the success of Chinese President Xi Jinping's mega Silk Road and Maritime Silk Road project.

Colombo's decision came as China dispatched its Assistant Foreign Minister Liu Jianchao as Special Representative of Chinese government to hold talks with Sri Lankan government.

"We believe that Sri Lanka's new government will bare in mind the overall interests of China Sri Lanka friendly relations and the fundamental interests of Sri Lanka ensure that major cooperation projects between the two countries will not influenced by political changes in Sri Lanka," Hong quoted Liu telling Sri Lankan Foreign Minister, Mangala Samaraweera in Colombo yesterday.

Liu also said Chinese side places the China-Sri Lanka relations on important position on China's neighbourhood diplomacy.

Liu also met new Prime Minister Ranil Wickaramasinghe and discussed the bilateral ties.

"All the major cooperation project between China and Sri Lanka including the Colombo Port meets the requirements of Sri Lanka to improve people's livelihood and deliver tangible benefits in Sri Lanka," Liu said.

Wickamarsinghe said China has become largest partner of development of Sri Lanka and the country is thankful for all the help.
============== 

U.S. security adviser Rice pledges help for Sri Lanka 'transition'

U.S. security adviser Rice pledges help for Sri Lanka 'transition'
Reuters By David Brunnstrom

WASHINGTON (Reuters) - The United States pledged on Friday to assist Sri Lanka's new government in creating a more open and democratic society.

In a speech laying out President Barack Obama's updated national security strategy, U.S. National Security Adviser Susan Rice included Sri Lanka alongside Myanmar - which is also known as Burma - and Tunisia as a country "in transition."

"We’ll help countries in transition - like Burma, Tunisia, and Sri Lanka - become more open, more democratic, and more inclusive societies," Rice said in a speech at the Brookings Institute.

Earlier, State Department spokeswoman Marie Harf said the United States had commended steps by new Sri Lankan President Maithripala Sirisena to address post-war reconciliation and long-standing issues such as governance and accountability.

"Certainly have seen some positive steps here," she told a regular news briefing.

On Thursday, Nisha Biswal, the U.S. State Department's senior official for South Asia, who visited Sri Lanka last week, told reporters Sri Lanka still faced "big challenges" dealing with issues such as reconciliation.

"But there’s such a strong commitment that’s visible in this government to want to address these issues that we very much want to work with them to see that happen," she said.

The United States is keen to bolster ties with countries throughout Asia as part of its effort to counterbalance an increasingly powerful and assertive China, which has sought strategic influence in Sri Lanka.

The Sri Lankan government said this week it was planning a new investigation into accusations of human rights abuses in the final stages of a 26-year civil war that ended in 2009, amid international frustration at the failure of former president Mahinda Rajapaksa to look into numerous civilian deaths.

Rajapaksa had refused to cooperate with any United Nations investigation into claims the army committed atrocities in the war. He was ousted in a surprise election defeat last month.

Sri Lanka's new Foreign Minister Mangala Samaraweera is expected to visit Washington next week.

(Reporting by David Brunnstrom; Additional reporting by Roberta Rampton and Lou Charbonneau; Editing by Ken Wills)

Obama on Ukraine: Keep military Option Open!

EUROPE
Obama, Meeting With Merkel on Ukraine Crisis, Keeps Military Aid Option Open

By JULIE HIRSCHFELD DAVIS and ANDREW HIGGINS FEB. 9, 2015

Chancellor Angela Merkel of Germany and President Obama said the alliance between the United States and Europe remained strong, despite potential disagreements on whether to provide arms to Ukraine. 

Publish Date February 9, 2015. Photo by Stephen Crowley/The New York Times.

WASHINGTON — President Obama said he was weighing providing lethal weapons to Ukraine to help Kiev defend against Russia’s aggression if diplomatic efforts fail to defuse the tensions there, even as he said the United States remained united with Europe in maintaining sanctions against Moscow.

“The prospect for a military solution to this problem has always been low,” Mr. Obama said, given the extraordinarily powerful military that is at the disposal of President Vladimir V. Putin of Russia, and the length of Russia’s border with Ukraine.

Nevertheless, at a joint news conference with Chancellor Angela Merkel of Germany at the White House Monday, the president said it was clear a set of steep sanctions against Russia “has not yet dissuaded Mr. Putin from following the course that he is on.” He said that had prompted him to ask his team to “look at all options,” including providing an array of defensive weapons to bolster Ukraine’s forces.

Most European countries, including Germany and France, oppose sending arms, arguing that doing so would only make the conflict worse.

“We CONTINUE to pursue a diplomatic solution, although we have suffered a lot of setbacks,” Ms. Merkel said. “I’ve always said I don’t see a military solution to this conflict.”

The issue has threatened to cleave what has until now been a united front among the United States and its European allies over how to respond to the Ukrainian conflict, which has been stoked by a steady supply of weapons and soldiers from Russia.

Many European capitals share Washington’s distrust of Mr. Putin, but continue to hope that the pressure of economic sanctions will lead him to accept some sort of settlement.

Despite their possible differences on weapons, Mr. Obama and Ms. Merkel worked to project a unified front.

“Russian aggression has only reinforced the unity between the United States, Germany and other European allies,” the president said. “There’s going to continue to be a strong, unified response between the United States and Europe —  that’s not going to change.”

The two leaders spoke after European foreign ministers agreed to postpone imposing a new round of sanctions against Russia, hoping to avert a rift with the United States over sending arms and to nudge forward so far fruitless talks with Moscow.

Diplomats who attended Monday’s meeting of foreign ministers in Brussels said that Federica Mogherini, the European Union’s foreign policy chief, had proposed delaying new sanctions for a few days after a request for a pause from the leadership in Kiev.

Ukraine had previously lobbied Europe to take tough action against Moscow, but apparently now worries that further moves might jeopardize efforts for a truce with rapidly advancing pro-Russian rebels. Such an accord could be reached at a possible meeting later this week among the leaders of France, Germany, Russia and Ukraine.

European governments decided to expand the list of sanctioned individuals who are facing asset freezes and travel bans after pro-Russian rebels mounted a rocket attack late last month on the port city of Mariupol, killing about 30 Ukrainian civilians.

The sanctions apply currently to more than 130 Russians and Ukrainian separatist leaders backed by Russia.

The leaders of France, Germany, Russia and Ukraine have tentatively agreed to meet on Wednesday in Minsk, the capital of Belarus. But it was unclear on Monday whether that meeting would actually take place.

Speaking to reporters early Monday in Brussels, the German foreign minister, Frank-Walter Steinmeier, also expressed uncertainty over what he called the “possible summit in Minsk.”

As Europe pushes for a diplomatic settlement to the Ukraine crisis, the Obama administration is weighing whether to send arms to help Ukraine’s military counter an offensive by the pro-Russian rebels in the east. Most European countries, including Germany and France, oppose sending arms, arguing that doing so would only add fuel to the fire.

Even generally pro-American nations like the Netherlands are skeptical about the wisdom of sending weapons. “I don’t think it is the moment right now,” said the Dutch foreign minister, Bert Koenders. “We really need to come to a political solution.”

The issue has threatened to divide what has until now been a united front among the United States and its European allies over how to respond to the Ukrainian conflict, which has been stoked by a steady supply of weapons and soldiers from Russia. Many European capitals share Washington’s distrust of President Putin, but CONTINUE to hope that the pressure of economic sanctions will lead him to accept some sort of settlement.

Mr. Fabius, the French foreign minister, said that any future settlement must be based “as far as possible” on the terms of a stillborn truce reached last September in Minsk. But he acknowledged that “there have been certain evolutions on the ground” that make a settlement difficult. Russian-backed separatists have captured more territory since September and have said they will never agree to retreat to their previous positions.

The sanctions delay, Mr. Fabius said, will give the 28 nations of the European Union time to review Russia’s willingness to work toward a peaceful solution. He said a critical issue was whether a firm agreement could be reached to withdraw heavy weapons behind specified lines. Previous agreements have all collapsed.

More hawkish countries, notably Britain, argued against a pause in sanctions but went along with other nations on Monday in endorsing a delay. “Until we see Russia complying on the ground, we can’t relieve the pressure,” the British foreign secretary, Philip Hammond, said ahead of the meeting. “We need not just words but deeds on the ground.”

One of the few countries urging military support for Ukraine’s beleaguered government is Lithuania, a tiny Baltic nation that, along with other countries once occupied by the Soviet Union, takes a highly skeptical view of the Kremlin’s declarations in favor of peace and Western Europe’s hopes for a political settlement.

“How can you have a peaceful solution when the other side is still fighting?” asked Linas Linkevicius, Lithuania’s foreign minister, “The only peaceful solution in this case is surrender.” Russian statements, he added, “are all worthless.”

Julie Hirschfeld Davis contribued reporting from Washington, Andrew Higgins contributed from Brussels, Alison Smale and Melissa Eddy contributed from Berlin.

Vladimir Putin condemns West in Ukraine blame game for 'breaking pledges'

Vladimir Putin condemns West in Ukraine blame game for 'breaking pledges'
Nigel Wilson By Nigel Wilson
February 9, 2015 10:02 GMT69 2  

Western countries had reneged on a pledge not to expand Nato eastwards and pushed countries to choose between Russia and the West, Putin told an Egyptian newspaper on Monday (9 February).

 Putin has recently re-entered talks with European leaders, who have sought to revive the defunct Minsk peace deal agreed in September 2014.

The ceasefire was never fully respected and violence in eastern Ukraine has escalated dramatically since the start of the year.

More than 5,300 people have been killed in the conflict since April 2014, according to United Nations figures.

The United States and the European Union have accused Russia of fuelling the conflict in eastern Ukraine by providing weapons and fighters to the pro-Russian separatist cause.

US President Barack Obama has come under increasing domestic pressure to send lethal aid to Ukraine's government.

Prominent foreign policy specialists in the Republican party have argued that Kiev needs military support against rebels being supplied by Moscow.

The US and EU have sought maintain a united front over the Ukraine crisis, although some analysts have argued that the allies differ on the question of whether to provide arms to Kiev.

Govt. to extend controversial detention law by 2 more years

Govt. to extend controversial detention law by 2 more years

The new Government is to extend for two years a controversial law which allows the Police to detain for upto 48 hours persons arrested without a warrant on charges of murder and other serious crimes. 

The Minister of Justice has issued a Gazette notification to extend for another two years the operation of the provisions of the Code of Criminal Procedure (Special Provisions) Act No. 2 of 2013, a law that was opposed by the UNP when it was introduced by the previous government.

The Act was certified by the Speaker on February 6, 2013 and its two year period of validity lapsed this week. The validity of the law can be extended with a Gazette notification, following which it will have to be approved by Parliament.

The law allows for persons arrested without a warrant to be detained up to 48 hours and also allows the Attorney General to forward indictments directly to the High Court in special cases where murder, attempted murder, kidnapping, rape, and offences committed with the use of explosives or an offensive weapon or gun. Such proceedings have to be concluded within ninety days under the terms of this Act.