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Friday, February 12, 2010

An Indonesian court has convicted the former head of the country’s anti-corruption agency of murder. The prosecution of Antasari Azhar and three others has been controversial, with some fearing the so-called “Judicial Mafia” played a role.

The Corruption Eradication Commission (KPK) already saw a proven plot to discredit it and frame its senior members. Shortly after Azhar’s arrest in May last year police came to take away Bibit Rianto and Chandra Hamzah, two deputy commissioners, to face trial for corruption. The trial, instead, unveiled a plot to convict the men of offences they had not committed. Protests in the street ensued, and locals gave corrupt officials the joint nickname of the “Judicial Mafia”.

The scandal resulted in the resignations of a chief detective and a deputy attorney general; the KPK had begun probing the attorney general’s office and that of the national police. During Azhar’s time as chair the KPK has exposed bribery at the former and prosecuted an in-law relative of the president during the country’s election preparations, with a jail sentence being the result.

The defendants had claimed political elements orchestrated a conspiracy to see the quartet convicted. The judges disagreed, with judge Herri Swantoro telling the court, “Defendant Antasari Azhar has been legitimately proven guilty of participating in persuading the carrying out of a premeditated murder.” The court’s judgement ran to 179 pages.

The case saw the four accused of plotting the March 2009 murder of tycoon Nasruddin Zulkarnaen, shot dead in his car by a motorbike assassin in Jakarta. Zulkarnaen was Azhar’s golfing partner and the businessman was alleged by the prosecution to have been blackmailing the KPK leader, who is a former prosecutor.

Azhar is alleged to have had an affair with one of Zulkarnaen’s wives, a golf caddie. With Zulkarnaen threatening to inform the press and parliament, Azhar is alleged to have plotted murder with several other officials. Police commissioner Wiliardi Wizar was accused of locating the assassins used; he claimed his senior had ordered him to testify he had been told by Azhar to kill Zulkarnaen.

Media mogul Sigid Haryo Wibisono stood accused of financing the contract killing, and businessman Jerry Hermawan Lo of arranging a meeting with the gunmen. All three were convicted alongside Azhar, who received an eighteen-year prison sentence. Wizar was jailed for twelve years, Wibisono for fifteen and Lo for five. All intend to appeal the verdicts.

One person who feels the court got it wrong is a human rights lawyer who defended Bibit and Chandra. “I think that this is all still a mystery,” said Taufik Basari. “I don’t think the judge had all the necessary facts to warrant a verdict of eighteen years.”

Despite the conviction of his relative, Susilo Bambang Yudhoyono retained the presidency last June by a landslide majority. Originally elected in 2004, Yudhoyono has used an anti-corruption stance in his campaigns, heaping praise upon the KPK which Azhar was head of from December 2007 until his arrest.

The four new convicts join five men convicted of the murder in December. Alleged to have comprised the gang behind the shooting, they received sentences varying from seventeen to eighteen years imprisonment.

Saturday, May 21, 2005

In an effort to ease complaints by the U.S. and Europe about a heavy influx of low priced Chinese goods, China will raise export tariffs on 74 categories of textile products in June. This follows plans from the U.S. to impose quotas on Chinese textiles and clothing.

Products likely to see an increase from the Chinese move include synthetic fiber shirts, trousers, knit shirts and blouses, cotton shirts, and combined cotton yarn. Last week, similar restrictions were imposed by the U.S. on cotton trousers, knit shirts, and underwear. Currently, a 2.5 cent charge per item is imposed; the new tariff will raise this to the equivalent of 12 cents per piece now. While this is a fourfold increase, it is not expected to affect consumer prices. Because of this, some doubt the tariff will have any effect on correcting the trade imbalance.

This move is in response to U.S. trade quotas imposed due to concerns that increased Chinese goods would put U.S. textile manufacturers out of business. According to Auggie Tantillo, executive director of the American Manufacturing Trade Action Coalition, a textile industry group in the U.S., the move will preserve 10,000 U.S. jobs. The new U.S. trade quota will limit the growth of Chinese textile imports to 7.5 percent compared with shipments over the past year.

Prior to January 1, a global quota system helped regulate the trade. With the quota system gone, fears have arisen that a flood of Chinese goods could undercut U.S. competitiveness in the market. China is able to market its goods cheaply due to an artificially weak yuan. The U.S. Treasury criticized the China yuan policy as “highly distortionary”, posing a major risk to China’s economy itself and to global economic growth. They challenged China to revalue its currency to bring it to a level they believe will allow fairer competition between global manufacturers.

China has disputed the charges of the U.S. Treasury. Chinese Commerce Minister Bo Xilai said, “I believe they are not reasonable”.

Laura Jones, a representative of large retailers, also criticized the move, saying “These restrictions on imports from China will do absolutely nothing to help the U.S. textile industry — and the government knows it.”

China has seen a boom in economic growth in recent years due to growing trade surpluses with the West, but economists worry that the trade gap will cause longer term global economic problems. China’s textile and apparel exports are the most noteworthy example, with exports up over 1,000 percent in some categories this year and the rapid loss of marketshare and jobs by U.S. textile manufacturers.

Beginning in 1978, the Chinese economy has been transforming from a Soviet-style centrally planned economy to more of a free market style system, under the rigid political control of Communist Party of China.

To this end, the government has leveraged foreign trade to stimulate economic growth. The result has been a fourfold increase in GDP, making China the sixth largest economy in the world. By 2012 the People’s Republic of China may have the highest GDP in the world.

According to U.S. statistics, from 1999 to 2004 China’s trade surplus with the U.S. doubled to $170 billion. Wal-Mart is China’s seventh largest export partner, just ahead of the United Kingdom.

However, the gains from their “socialist market economy” have not been without problems. The Chinese leadership has often experienced the worst results of socialism and capitalism: bureaucracy, lassitude, corruption, and inflation. Inflation rates have been an on-going challenge, reaching as high as 17% in 1995.

Environmental deterioration is a longer-term threat to economic growth. In 1998, the World Health Organization reported that China had seven of the 10 most-polluted cities on Earth. Another concern among some economists is that China’s economy is over-heating, and due to its global economic expansion this could have major repercussions among other nations.

Typically, wages have been low and working conditions poor, with workers living in restrictive dormitories and working at boring factory jobs. However, recent labor shortages have started improving conditions, and raising the minimum wage towards the equivalent of 100-150 US dollars per month. The labor shortages are in part a result of a demographic trend caused by strict family planning.

• “Economy of the People’s Republic of China” — Wikipedia, May 22, 2005
• “China raises tariffs on textile exports. Beijing hoping to counter criticism from U.S., Europe.” — CNN, May 21, 2005
• “China to increase export tariffs” — CNN, May 19, 2005

Wednesday, October 21, 2009

A Scottish lawyer today denied reports that Lockerbie bomber Abdelbaset Ali Mohmed Al Megrahi had died, after it was reported on Sky News earlier today that “unidentified sources” had said that he was dead.

The reports came onto Sky News at around 16.00 BST today. The information could not be confirmed, and it was not immediately clear where Sky News had obtained their information. Megrahi is suffering from terminal prostate cancer. Scottish Cabinet Secretary for Justice Kenny MacAskill MSP decided on 20 August 2009 to grant Megrahi compassionate release from Greenock Prison in Glasgow, Scotland and to allow him to return to Libya, after medical advisers reported that he was likely to die in just three months.

On Wednesday, Megrahi’s lawyer, Tony Kelly, responded to the claims made, saying that “it’s absolutely untrue. He’s definitely not dead. I’m not saying anything about his health condition other than the fact he is alive and breathing.” He declined to release any information about Abdelbaset’s current health condition. Following these comments, Sky News removed the information from their website.

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