----------------------------------BurmaNet---------------------------- "Appropriate Information Technologies, Practical Strategies" --------------------------------------------------------------------------- The BurmaNet News: November 19, 1996 Issue #572 HEADLINES: ========== WALL STREET JOURNAL: EDITORIAL-THE BAD NEIGHBOR JOURNAL OF COMMERCE: REICH CANCELS MYANMAR BRIEFING AP: REMOTE PIPELINE A POLITICAL HEADACHE THE NATION: WORLD POWERS ISSUE WARNING TO RANGOON AP: SUU KYI FAILS TO APPEAR AS SUPPORTERS WAIT BKK POST: SO NOW THE LADY IS ON THE HIT-LIST AP: BURMA LAUNCHES TOURISM DRIVE DESPITE IMAGE PROBLEM BKK POST: BUSINESSMEN CONFIDENT OF TOURIST DRAW FBC: WENTE VINEYARDS ANNOUNCES IT IS OUT OF BURMA JOURNAL OF COMMERCE: WINERY, SEVERS MYANMAR TIES THE NATION: KAREN HAVE NO FAITH IN DIALOGUE ON CEASE-FIRE KNU: HUMAN RIGHTS VIOLATIONS IN THE KAREN STATE, BURMA ---------------------------------------------------------------------------- ------------------- WALL STREET JOURNAL: EDITORIAL-THE BAD NEIGHBOR November 18, 1996 Try to imagine what it would be like if the great manorial estate located at the end of your street was inhabited by a crypto-military gang. And every time you drove by, someone was beating up the help out in the driveway. Meanwhile, on the back 30 acres, you know they've got a mammoth drug dealing operation; in fact, one of the city's biggest drug dealers lives in a cottage back there. You wouldn't call the police; you'd call in the army. Problem is, the army's already employed inside the manor. Welcome to Burma. The encouraging news for people still interested in minimal standards of international civility is that Burma is becoming too much even for its Asian neighbors. The Association of Southeast Asian Nations, or Asean, which prides itself on its hands-off approach to the domestic politics of its neighbors, has begun distancing itself from the regime in Rangoon. Some member countries had hoped to grant Burma Asean membership in 1997, arguing for "constructive engagement." But the human rights record of Burma's ruling junta, comically titled State Law and Order Restoration Council (Slorc), has only worsened since Burma joined Asean as an observer this summer. Just last weekend a 200-strong mob that was apparently working for the junta threw rocks and swung crowbars at a car carrying Aung San Suu Kyi, leader of the opposition National League for Democracy. Today, the Asean neighbors are less eager to soil the organization's reputation by embracing an international pariah. The Burmese generals who seized power after the NLD won 80% of the vote in democratic elections in 1988 have long been the focus of international outrage and disgust due to events like last weekend's. The United States now has a law that will allow President Clinton to ban investment in Burma if political freedoms there are further restricted, and the European Union is considering imposing sanctions. If Asean is uncomfortable condemning Burma's "internal affairs," neither neighbors nor anyone else can afford to ignore Slorc's record on drugs, an issue that affects the region and the world as a whole. Opium production in Burma has doubled since Slorc took power, according to the State Department's annual opium survey. That report, and others, notes that Golden Triangle drug lords have been free to go about their business so long as Slorc could count on them to quash ethnic uprisings in remote areas. But far from disappearing after the areas they controlled came under Slorc's domain, some big-time traffickers have been welcomed in Rangoon as prospective investors. As the Far Eastern Economic Review's Bertil Lintner pointed out recently, drug lord Khun Sa, who surrendered his Shan United Army early this year, now lives in Rangoon and has a government contract to provide bus services. Drugs produced in Burma don't just get smuggled to America and throughout the West. Beijing officials put the number of heroin addicts in China at 500,000, most of them along the drug trafficking route in Yunnan province. Vietnam is believed to have 200,000 addicts and Thailand another 500,000. Inside Burma, nearly 70% of the estimated 300,000 addicts are said to be HIV positive. Slorc's sorry record on drugs can't be written off as mere domestic politics. Like its human rights record, these are the products of unaccountability. That in turn should set off alarm bells in anyone who thinks large powerful governments can club public sentiment into silence and remain benign members of the world community. Asean will do the world a great service if it uses its special influence to steer Burma from its current destructive course. *************************************************************** JOURNAL OF COMMERCE: REICH CANCELS MYANMAR BRIEFING November 15, 1996 by Tim Shorrock Clinton Administration is Cautious Washington-- A briefing by US Labor Secretary Robert Reich on labor rights in the Asian dictatorship of Myanmar was canceled at the last minute Thursday, raising questions about the Clinton administration's policies toward that country. Mr. Reich, a key advisor to President Clinton, was set Thursday to announce a new initiative urging US clothing importers not to buy products made in Myanmar, formerly known as Burma. A Labor Department press release said Mr. Reich - who is resigning in January - was going to make the request based on the country's "record of forced labor and child exploitation." Mr. Reich also was planning to highlight US companies that have stopped doing business in Myanmar. But hours before his announcement, aides announced that a telephone interview with Mr. Reich was postponed indefinitely. A spokeswoman cited logistical problems for the delay, saying Mr. Reich was in Boston. The interview was not rescheduled. Some observers suggested the Clinton administration did not want Mr. Reich to answer questions at a time when the political situation in Myanmar is worsening. During the past week, a car carrying opposition leader Aung San Suu Kyi was attacked by a mob, and a top general made a speech suggesting that Myanmar citizens should "crush" the dissident movement. Meanwhile, a bipartisan group in Congress and human rights groups are pushing for a tougher US response to the repression. "Burma is a human rights disaster that demands a further response," said Mike Jendrzejczk, Washington Director of Human Rights Watch/Asia. "The situation has dramatically deteriorated in recent weeks." US interest in Myanmar has been growing since 1990, when the military government canceled the results of a popular election that brought an overwhelming victory for Ms. Suu Kyi. The dissident leader, who was awarded the Nobel Peace Prize in 1991, was released from house arrest in July 1995. But serious human rights and labor problems have worsened Myanmar's reputation as a police state. Many US and European companies have either pulled out of the country or refused to do business there. Still, Japanese corporations and several US oil companies have major interests in the country. This year, lawmakers sought legislation that would have cut off all US investments in Myanmar. At the suggestion of the Clinton administration, however, the bill was softened. The final language said US investment should be prohibited if the president determines that the government of Myanmar has harmed or re-arrested Ms. Suu Kyi or "committed large-scale repression of or violence against the democratic opposition." With those conditions now present, putting Mr. Reich in a position where he would have to answer questions may have been awkward, one observer suggested. The Labor Department said political considerations did not play a role in the cancellation. ***************************************************************** AP: REMOTE PIPELINE A POLITICAL HEADACHE November 18, 1996 by ROBERT HORN KANBAUK, Burma (AP) _ Along a red clay road in southern Burma, workers have begun laying the heavy, white steel pipes for one of the most politically controversial infrastructure projects in the world. The dlrs 1 billion pipeline _ a joint venture of France's Total, UNOCAL of the United States, the Petroleum Authority of Thailand and Burma's military government _ will carry natural gas from an offshore field in the Gulf of Martaban to a power plant in Thailand in 1998. But it's already delivered a stain as black as an oil spill on the reputations of the companies involved. Earlier this year, protesters converged on both Total's and UNOCAL's shareholders' meetings demanding they pull out of Burma. The few outsiders who have been able to venture unescorted to Burma's forbidding Tenasserim Division _ and the thousands of refugees who have fled from the region _ tell tales of beatings, rapes and arbitrary executions by Burmese soldiers, and of forced labor imposed on the local population. The Burmese army is trying to wrest control of the area from ethnic insurgents, who, in turn, have vowed to attack the pipeline. In March 1995, rockets killed five Burmese employees of Total. But ethnic rebels are not the pipeline's only opponents. Burma's democracy leader Aung San Suu Kyi, exile opposition groups and a slew of human rights organizations have criticized the project for purportedly destroying the lives of local people and filling the coffers of a military regime engaged in massive arms purchases to repress the population. UNOCAL President John Imle, however, insists the local people want his company in the area. A one-day, whirlwind press tour of the pipeline route conducted by Total and UNOCAL officials offered some evidence for his claim. As a convoy of oil company executives and journalists drove along a dusty road leading to Total's barbed wire-rimmed base camp at Kanbauk, three young Buddhist monks walking by broke into smiles and gave the thumbs up sign. Some here apparently welcome big oil. That's probably because of a dlrs 2 million-a-year aid program launched by Total to bring development to the desperately poor villages along the pipeline route. The oil companies expect to share dlrs 200 million a year in profits from the pipeline. Total, with financial contributions from UNOCAL, has built or is building 30 new schools, health clinics and malaria research centers, plus providing 12 doctors in an area which normally has none. ``We want to create self-sustainable development,'' said Herve Madeo, Total's general manager in Burma. So the company has also helped villagers set up farming and breeding projects for shrimp, pigs, poultry and cattle. Madeo says Total has initiated such programs in other countries, but never on such a massive scale. ``We didn't have to do this,'' Madeo said. ``It was not an obligation.'' However, Total's vice president for public affairs, Joseph Daniel, said it was. ``We had to do it for the survival of the pipeline project,'' Daniel said. ``The villagers had to receive some immediate benefit from our being here. They can't wait for the pipeline to become profitable in 2001 or 2002.'' Daniel says that timetable means the regime isn't making any money yet, and there is no guarantee they will be in power when the profits roll in. Total admits, however, to paying the government a dlrs 15 million contract signing bonus. What draws a more angry response from Total executives is the issue of forced labor, which critics link to the pipeline project. There is no reliable information suggesting the line itself is being built with slave labor. What critics allege is that the Burmese army is using forced labor to build infrastructure necessary to construct the pipeline. Refugees have reported being forced to work on what they call ``pipeline roads.'' Total's Daniel and Madeo don't deny there are army abuses in Burma. But they insist the roads and railways being built with forced labor have nothing to do with their pipeline. Nearly all supplies arrive by sea, they said. Total admits, however, that pipeline security is provided by the Burmese army. United Nations human rights investigators have said that the presence of the Burmese army and human rights violations against civilians go hand in hand. The military's widespread use of civilian porters _ sometimes given a choice to buy their way out of work, sometimes not _ is well-documented by such organizations as Amnesty International. It was clear from the beginning that the project would bring in export earnings for the military government, since it would not be economical for the relatively low demands of the domestic market. Critics say a partnership with Burma's military government makes Total, UNOCAL and the Petroleum Authority of Thailand complicit in the army's campaign to control the area. ``But if we weren't there, what would be the advantage?'' Daniel fires back. ``Do you really think there would be more development, more human rights, more democracy?'' Some of the project's opponents already have an answer to that _``yes.'' They say that without the financial support of foreign investors such as the oil companies, the cash-starved regime might have collapsed, and democracy might have come to Burma long ago. **************************************************************** THE NATION: WORLD POWERS ISSUE WARNING TO RANGOON November 17, 1996 Reuters THE United States and the European Union (EU) expressed grave concern on possible further violence in Burma this weekend and said it would hold the military junta responsible for any attack on its democratic opponents. State Department spokesman Burns said in Washington on Friday (Saturday Bangkok time) that Burma's military leaders were reportedly organizing more demonstrations by the Union Solidarity Development Association, which he described as "a front organization for the military dictators" and the group responsible for the attack on Nov. 9 on democracy leader Aung San Suu Kyi's motorcade. Burns said Washington had "clear evidence" that the attack on the motorcade was organized by the Union Solidarity group. "The US is gravely concerned by reports about the potential for violence this weekend in Rangoon in the wake of an extremely disturbing attack last weekend by hired thugs on Aung San Suu Kyi," Burns said in a statement. "And we understand that this demonstration may be held with the express purpose of provoking further violence in Rangoon," he added. Burn said Washington rejected attempts by the military junta, the State Law and Order Restoration Council (Slorc), who blamed this attack on the democracy activists. "We and the international community will hold the Slorc responsible for any violent attack, or any harm that may come to Aung San Suu Kyi, other senior supporters of the democratic opposition," he said. Meanwhile, in Dublin, the EU had called for a full and thorough investigation and explanation of what happened on Nov. 9. "The EU holds the Slorc responsible for safeguarding the security of the NLD leaders and considers that these incidents mark a clear deterioration in the political situation," a statement from EU president, Ireland, said. "The EU will monitor the situation very carefully to watch for any repetition of such acts," it said. The grouping called on the Burmese government to engage without delay in a meaningful dialogue with members of the democratic movement. Washington called on the Slorc to punish those responsible for the Nov. 9 attack, prevent further violent incidents and engage in discussions with pro-democracy groups. (TN) **************************************************************** AP: SUU KYI FAILS TO APPEAR AS SUPPORTERS WAIT November 18, 1996 RANGOON, Burma (AP) _ Burma's democracy leader, Aung San Suu Kyi, failed to meet supporters waiting beyond police roadblocks and at the capital's main pagoda Sunday. Last weekend, a motorcade carrying Suu Kyi and the vice chairmen of her political party, Tin Oo and Kyi Maung, was attacked by government-organized mobs wielding sticks, pipes, rocks, chains and knives. Although they escaped unharmed, aides to Suu Kyi expressed fears that the government would bring in mobs for more violence this weekend. They worried that mobs would attack either Suu Kyi's home or party supporters who normally gather behind police lines to wait for her to drive out to meet them. The government said the attack was carried out by saboteurs from Suu Kyi's party. No mobs assembled this weekend as both the military government and Suu Kyi appeared to be proceeding cautiously after widespread international condemnation of last week's incident. About 200 of the 1991 Nobel Peace Prize winner's supporters gathered at Goodliffe Junction as riot police blocked the roads to her home for the eight straight weekend. Before the roadblocks began appearing, Suu Kyi regularly had addressed supporters outside her home since her release from six years of house arrest in July 1995. More of her followers, along with diplomats and journalists, waited at the Shwedagon Pagoda, a golden, bell-shaped Buddhist shrine, after hearing rumors that Suu Kyi would appear there. She did not show up, however, and her supporters dispersed at around 5 p.m. ***************************************************************** BKK POST: EDITORIAL - SO NOW THE LADY IS ON THE HIT-LIST November 16, 1996 (abridged) The dictators in Rangoon are bringing Burma into a darker age in which they are making open threats to Aung San Suu Kyi. Following the mob attack on her motorcade last Saturday, the generals have said she is in danger. That danger can only come from one source, and that source is the ruling junta. If the State Law and Order Restoration Council thinks it can fool the international community into believing that any attack on Aung San Suu Kyi is a demonstration of popular opposition, it is again badly mistaken. Only the simple-minded would see last Saturday's attack on the opposition leader's motorcade as anything other than another demonstration of the junta's paranoia and tendency to loutishness in the face of what it does not like. As if to demonstrate that it has been gulled by its own simple brand of propaganda, Slorc responded to the attack, which was carried out by its hired goons, by predicting the further such ugly acts cannot be ruled out as long as the leader of the National league for Democracy persists in the cause of dialogue. Slorc has no need to consult an oracle about the next spasm of violence by its goons with iron rods, slingshots, ball bearings, iron chains and walkie-talkies. It knows when they will strike because they obey orders, and those orders come from Slorc. In the first response to Saturday's attack, Slorc, through its New Light of Myanmar mouthpiece, said: "Suu Kyi will get into trouble if she thinks that every group she sees is her supporter." It continued: "Upon reaching the stage of being hit by stones openly, she will have to exercise restraint." The very next day, Slorc offered another vision of the future which has been seen as both an incitement to violence and a further threat to the safety of Aung San Suu Kyi. This time, it went further. Not only did it predict an attack, it also identified the likely culprits as members of Suu Kyi's National League for Democracy. Again, the vehicle was a commentary the New Light of Myanmar: "It should be borne in mind that those people would sacrifice her and create their own scenario if they consider it would be more profitable than keeping her alive. No one can say with certainty that there is no schemer among those closely surrounding Suu Kyi, and those she deems trustworthy, who in reality plot to sacrifice her as a dual stroke to clear up complication." Having written a plot that is both cheap and sinister from start to finish, the commentary concluded, in hysterical terms, with an incitement to violence in which it accused Suu Kyi of striving to "destroy prospects of stability with state with her fangs". Threats and infantile insults against Suu Kyi are nothing new: Slorc indulges itself by referring to her as Mrs Aris- the name of her English husband _ in the manner of a Queensland fish and chip shop proprietor-turned MP. But what is worrying this time is that the junta cut short the visas of journalists who had been invited to the country in an effort to convince the international community that human rights have been a priority in a gas pipeline project. UNOCAL will no doubt be overjoyed with the SLORC's behavior, which turned the trip into a public relations disaster. By marching into the journalists' hotel rooms and whiting out their visas, Slorc obviously plans to deal with the inconvenience of witnesses before its next brutal premonition can be realized. Again, the generals who have brought such devastation to the people of Burma and its economy are wrong. Even though the messengers were given their marching orders out of the country by Wednesday, the diplomatic community in Rangoon is watching. Slorc is also blind to the fact that the day will come when it will be judged by the Burmese people. If it paused for thought, it may realize its best option is dialogue with the National League for Democracy. Ill-considered and brutal plots will ultimately present a greater danger to the junta itself. (BP) ***************************************************************** AP: BURMA LAUNCHES TOURISM DRIVE DESPITE IMAGE PROBLEM November 18, 1996 (abridged) By GRANT PECK BANGKOK, Thailand (AP) _ The Burmese government on Monday launched ``Visit Myanmar Year 1996,'' a long-odds effort to promote foreign tourism in the country despite its political turmoil and reputation for repression. When the government decided in 1994 to launch Visit Myanmar year, it projected half a million tourist arrivals. The figure was later scaled down to 230,000. Much of the foreign investment in Burma in the past few years has been in the tourism sector, particularly the construction of hotels. Under the previous military administration, tourism was discouraged, and foreigners were given visas limiting them to a week's stay. The opening ceremony for Visit Myanmar Year was held at a youth training center in eastern Rangoon, and marked by the singing of an official theme song, the release of birds and balloons, and displays of traditional dances and martial arts. The event was attended by members of the ruling junta, including its influential secretary, Lt. Gen. Khin Nyunt, as well as diplomats and other foreign officials and invited guests. The logo for Visit Myanmar Year features a mythical character called ``Thungedaw'' _ a boy in traditional Burmese sarong with shoulder bag. In local legend, Thungedaw was a page who attended the king in the bygone days of the Burmese monarchy. Larger-than-life papier-mache representations of Thungedaw have been erected at road junctions, joining banners hailing Visit Myanmar Year. ***************************************************************** BKK POST: BUSINESSMEN CONFIDENT OF TOURIST DRAW November 18, 1996 (abridged) Nussara Sawatsawang Successes claimed for Visit Myanmar Year Tour operators are optimistic that Burma will be able to attract more visitors, despite an international campaign to boycott Visit Myanmar Year which kicks off today. According to Werner Senft, general manager of Myanmar Diethelm Travel, the campaign has had "a reverse effect" because it as helped more people become familiar with the country's new name. "Even bad news is good news," he said in a telephone interview from Rangoon. Bangkok-based Diethelm Travel says it expects to organize tours to Burma for about 4,500 tourists next year, up from 3,000 this year. "Most people who go to that country do not care about politics. It's tourists who decide," said general manager Matzig Luzi. Most foreign tourists come from Germany, France and Switzerland. Malaysians, Japanese, Singaporeans and Thais lead visitors from Asia. Both offices of Diethelm admitted that the boycott campaign and international pressure on Burma had had some negative impact o their business. Fewer tourists from Britain and the Scandinavian nations have gone to Burma because they were influenced by what Mr Luzi called "negative propaganda" in their countries. Mr Senft acknowledged that some American tour agents had canceled their reservations due to the political situation in Burma. Other firms seems to believe that American citizens cannot get visas due to a ban by the US government. But the restriction covers only Slorc members, he said. And he praised Burma as being one of the safest place for tourists. Luzi said tourists visit Burma mainly because of their desire to escape their winter season and getaway to tropical weather and the culture of Southeast Asia. The government's campaign has had little impact in attracting foreigners due to its limited budget, he added. A Thai tour operator said the number of Thai tourists to Burma has increased due to their impression of the country from a Thai TV soap opera entitled The True Love of Jenjira, which was shot in Rangoon. The demonstration of Burmese students in late October did not affect tourist attractions because it took place on the streets, she said. The protest was one of the series of clampdowns on its opponents which resulted in the detention of Kyi Maung, one of Aung San Suu Kyi's close aides. The Rangoon government has concentrated on improving infrastructure to accommodate tourists and prepare for its Visit Myanmar Year. Hotel and Tourism Minister Kyaw Ba said last week that 40 new hotels with 8,330 rooms are being built with foreign investment worth more than 1.55 billion dollars. The country already has 10,856 rooms of locally-operated small hotels and guest houses. More airlines have opened links to Rangoon in the second half of this year: Japan's All Nippon Airways, Royal Brunei Airlines, Malaysia's MAS and Condor Airlines of Germany. (BP) **************************************************************** FBC: WENTE VINEYARDS ANNOUNCES IT IS OUT OF BURMA November 15, 1996 from dohrs@u.washington.edu November 15--Livermore, CA--Just a week after a boycott was called by an international coalition of activist groups, Wente Vineyards of Livermore has announced that it has suspended its business in Burma. The company statement, released on November 11, said "Wente Vineyards shares the concern of US government officials and human rights organizations regarding allegations of human rights abuses by the government of Myanmar (formerly Burma) and heroin exports from that country to the US. Due to its concern, Wente decided... to suspend any further promotional activity in or shipments to Burma." "We will not consider resuming any business activities in Burma until the situation clarifies and improves" said Wente VP John Schwartz. Wente's distribution arrangement with Burma-based Asia World Company had been the focus of the boycott. Asia World is chaired by Lo Hsing Han, called "one of Southeast Asia's leading heroin traffickers" by the Washington Post. Asia World's managing director is Steven Law, Lo Hsing Han's son. Law has been denied a visa to the United States under a law which bars entry to people suspected of involvement in the drug trade, according to press reports. The Wente statement noted that Asia World also does business with Singapore-based Tiger Breweries and Shangri-La Hotels, as well as the United Distillers group. In an article published in The Journal of Commerce in July, Wente export manager Jeff Teckle had waxed enthusiastic about Burma "crawling with foreign tourists and especially business people." "We're pleased that Wente has changed its tune" said Free Burma Coalition spokesman Larry Dohrs. "It's clear that responsible businesses will not have anything to do with those involved in heroin trafficking." A demonstration planned for this weekend was called off, and the boycott has ended, Dohrs added. The close relationship between drug traffickers and Burma's ruling military leaders has come under increased scrutiny by the State Department and investigative journalists. "This is just the tip of the iceberg" says Dohrs. Contact: Larry Dohrs, Free Burma Coalition, 206-784-5742. ***************************************************************** JOURNAL OF COMMERCE: WINERY, SEVERS MYANMAR TIES November 15, 1996 by Peter Tirschwell San Francisco -- Wente Vineyards, the export-driven winery hit with a boycott last week over alleged ties to the Myanmarese drug trade, said its business in that country was suspended several months ago. A statement issued Wednesday by the private California winery confirming it has "suspended" ties with Myanmarese businessman Steven Law is sufficient for the boycott to be lifted, according to a spokesman for the Free Burma Coalition. Myanmar was formerly known as Burma. That group and others are pressing several of U.S. companies, including PepsiCo and UNOCAL, to sever ties with the military-dominated country. Mr. Law is a principle of Asia World Co., which Wente named in February as its local Myanmarese partner. He has reportedly been denied a U.S. visa based on suspected ties to heroin trafficking. Wente said that because it shares the U.S. government's concerns about human rights violations and heroin exports, it decided "this past spring to suspend any further promotional activity in or shipments to Burma." But the company was clearly agitated by what it said were "inappropriate, misleading and fraudulent" allegations about Mr. Law and Asia World. John Schwartz, international vice president, lashed out at rights groups for failing to understand U.S. policy and using the media to pressure the government to alter its policy. "They're all just students on campus. What do they know about business and federal policy? They're just trying to make this a hot issue at U.S. business' expense," he said. The 113-year-old Wente is the leading exporter of California wine, shipping to more than 100 countries. Last year, Wente exported about 45% of its production, far exceeding the 10% of production exported by California vineyards overall. Rights groups welcomed Wente's suspension of ties. "We're pleased they've suspended (ties). Obviously it is the right decision for the company to make," said Larry Dohrs, a spokesman for the Free Burma Coalition in Seattle, noting the statement would result in the lifting of the 1 1/2-week-old boycott. At the same time, Mr. Dohrs and other activists said Wente, a fourth-generation family business based in Livermore, has been less than forthcoming about the status of its partnership with Mr. Law. In its statement, Wente said it suspended its relationship with Mr. Law in April after its first shipment, and exported no more wine to Myanmar after that time. But Wente officials made no mention of the suspended ties in June when interviewed for a story in the Weekly San Francisco Bay Guardian by Leslie Kean, author of "Burma's Revolution of the Spirit," (Aperture, 1994) and a representative for The Burma Project USA. To the contrary, officials said Wente had recently sent its first shipment of wine to Myanmar and were optimistic about a market with a vibrant foreign tourist trade. "They misrepresented their decision to pull out by saying it happened earlier than it actually did," Ms. Kean said in an interview. Mr. Schwartz said the company kept silent because it was reviewing U.S. commercial policy about Myanmar. "We felt it was not timely to make any further announcements about our corporate business activities in that part of the world," he said. 'We believed we established good relations with the company there, and it will be long term, active or inactive." ***************************************************************** THE NATION: KAREN HAVE NO FAITH IN DIALOGUE ON CEASE-FIRE November 16, 1996 AFP Burma's ethnic Karen resistance, reduced to guerrilla warfare in a series of military setbacks since last year, have little hope of success in upcoming cease-fire talks, a Karen source said yesterday. A Karen National Union (KNU) delegation should be leaving next week for a fourth round of talks with the military government in the eastern Burmese town of Moulmein, said David Tharckabaw, of the Karen Information Centre (KIC). But the Thailand-based KIC director said that due to the hard-line preconditions set by the junta: "We do not foresee reaching any agreement soon, even a cease-fire." Guerrilla fighting occurs daily in Karen areas, as the junta promised only to abstain from major offensives while the talks continue, while the KNU responded that it will refrain from attacks on towns ands cities, he said. The military's ruling State Law and Order restoration Council (Slorc) has demanded that the KNU officially return to the "legal fold," forsaking their "armed revolutionary line" and promising to eventually lay down arms, he said. Slorc has signed cease-fire agreements with 15 armed ethnic groups since took power from the previous military government in 1988 and often touts its success in arranging the return of those groups to what it calls the legal fold. But many of the parties to the cease-fires have objected to the junta's use of the term and none of their agreements make reference it-only the KNU was being required to assent to this status officially, Tharckabaw said. "Laying down arms is not relevant here because the Slorc is not a legitimate government. Only when there is a democratic government and a genuine federal union" will Karen put their forces under the control of Rangoon, he said. The KNU's official position is to push for a tripartite political dialogue with democratic forces led by Aung San Suu Kyi's National Leaguer for Democracy, ethnic groups and the Slorc, he said. "We are very hopeful of that. Now the Slorc is weakening under international pressure and the weakening economic situation," he added. The ethnic groups envision the transfer of their forces to state militias on the model of state national guard troops in the United States or the canton militias of Switzerland, Tharckabaw said. (TN) **************************************************************** KNU: HUMAN RIGHTS VIOLATIONS IN THE KAREN STATE, BURMA November 18, 1996 Nyaunglaybin district On October 14.1996, Slorc Company 3 commander of LIB 349, Saw E Sec, staged a robbery at a place called "Payadaga" and took 10,700 Kyats (Burmese currency) from Maung Tin Shwe, 7,800 Kyats from Myint Lwin, 14,800 Kyats from Thein Tun, 10,000 kyats from Myo Thein, two tins of rice from U K'la and two tins of rice from Po Thein. This Slorc commander always robbed and confisticated money and goods from the villagers who trade in the area. On October 15,1996, he forcibly took 4 buffaloes from Saw Win Bo, a villager in the area. Slorc soldiers at Kyauk Kyi area forcibly took 64 women some of who have breast feeding babies, to help clear the road from Kyauk Kyi town to the village of Pwa Gaw where there is a military camp. Papun district On October 26,1996, Battalion commander Thein Htoo of LIB 19, entered Kyaw Nyo Hta village and set fire to the villagers' barns and destroyed about 500 baskets of rice. On October 27, 1996, he relocated 240 villages from two villages to Kaw Pu Military Camp and the villagers had to take shelter under the trees. On the same day, SLORC officer, Ye Lin Tun from LIB 434, relocated 65 villagers of Kyaw Nyo Hta village to Paw Hta Military Camp. The villagers were forced to go in front of the soldiers to clear mines and one woman, age 28, was reported killed by a land mine. The Slorc troops destroyed all the villagers' food and livestock that remained in the villages. The villagers are now facing starvation and disease. Six deaths were reported so far. The Slorc troops in the area still have plans to relocate all the remaining villages. Thaton district Battalion Commander Thein Tun of LIB 24, issued orders that villagers in the area could not go outside their villages to cut wood or do their daily activities. If they were seen outside the village, they would be shot and killed. On October 26,1996, Company 3 commander Sein Aung of LIB 24, arrested two villagers, Maung San age 65 and Ko Toe age 55 and accused them of having contacts with the KNU in the area and thus were tortured seriously until now. Thein Tin, Battalion Commander from LIB 24, ordered the villagers of NO Ber Baw village to relocate to Ta Maw Daw village within 3 days. Three Slorc battalions are now active in the area.