China, Russia, Pak joining hands on Afghan problem: Report

Islamabad, Apr 3: China, Pakistan and Russia are inching closer to form an alliance to stabilise war-torn Afghanistan, where the three countries see the emergence of Islamic State terror group as a common threat, a media report today said.

The strategic calculation are changing after competing for well over two decades. Islamabad and Moscow are all set to become part of a possible alliance in a dramatic turnaround in their otherwise frosty relationship for decades.

What has compelled Pakistan and Russia to join hands is apprehensions that the United States may not be interested in bringing stability to Afghanistan for its own strategic interests, The Express Tribune reported.

"These fears have now opened up the possibility of an alliance between Pakistan, Russia and China in an unprecedented development that will shape the future of this volatile region," according to the report.

It quoted military and Foreign Office sources as saying that the three countries were inching closer to formalising their relationship with an aim to bring regional stability, particularly seeking a political solution to the Afghan war.

The sources said Pakistan as well as China and Russia reached a conclusion that the US wanted to prolong the conflict in Afghanistan. This situation, officials pointed out, has left Pakistan with no other option but to seek a regional solution by involving Russia, China and Iran.

Moscow already hosted two meetings involving Pakistani and Chinese officials to discuss the Afghanistan problem. Another such gathering with a larger audience is scheduled later this month. The objective of these meetings is to evolve a regional consensus for the lingering conflict in Afghanistan.

The biggest fear among the regional countries, including China and Russia, is the emergence of IS in Afghanistan. There were reports that thousands of fighters were being sent to Afghanistan from Syria, a development, Pakistan, Russia and China believe is aimed at further destabilising the war-torn country.

These countries suspect the US may be using IS as a proxy to further its interests, particularly to counter China and a resurgent Russia.

For Pakistan, this is dangerous scenario as prolonged instability in Afghanistan will continue to cast shadow on its progress and stability. "Due to these compulsions Pakistan has now reached out to Russia and other regional countries," commented defence analyst Lt Gen (retd) Amjad Shoaib.

Gen Shoaib, who is closely connected with the military establishment, endorsed the assessment that the US was not ready to bring stability to Afghanistan. He also claimed that Pakistan has already conveyed to the Trump Administration that Russia and China were coming in a big way in Afghanistan if the United States does not take steps to clear the mess.

In a trilateral meeting in Moscow in December, Russia and China agreed to a flexible approach to remove certain Taliban figures from the UN sanctions lists as part of efforts to foster a peaceful dialogue between Kabul and the Taliban.

However, the US was not ready to accept it, something officials here said showed Washington's lack of interest in seeking a peace deal. In fact, Taliban chief Mullah Akhtar Mansoor, before being killed in a US drone strike in Pakistan's restive Balochistan province in May last year, was pushing for this demand in order to show sceptics within his insurgent group the benefits of seeking the peace process.

The Afghan problem has brought Pakistan and Russia close in terms of strategic and defence cooperation. Last week, the Pakistan army took a high-powered Russian military delegation to the volatile North Waziristan Agency to give them a firsthand account of the country's anti-terror gains.

The development is part of a series of steps taken to open a new chapter in Pakistan-Russia ties that have long been held hostage to the politics of 'Cold War' era.

The rapprochement began in 2011 when Pakistan decided to broaden its foreign policy options after its ties with the US deteriorated due to a secret raid at Abottabad to kill Osama bin Laden in May that year and later the killing of 24 Pakistani soldiers in NATO airstrikes along the Afghan border.

"This is a realistic approach and is good for our interests," said Gen Shoaib, who added that increased cooperation with Russia did not necessarily mean that ties between Pakistan and the US lost their utility.

Comments

Add new comment

Coastaldigest.com reserves the right to delete or block any comments.
Coastaldigset.com is not responsible for its readers’ comments.
Comments that are abusive, incendiary or irrelevant are strictly prohibited.
Please use a genuine email ID and provide your name to avoid reject.

Vietnamese billionaire Truong My Lan sentenced to DEATH for $44bn fraud

News Network

April 11,2024

Real estate tycoon Truong My Lan was sentenced Thursday to death by a court in Ho Chi Minh city in southern Vietnam in the country's largest financial fraud case ever, state media Thanh Nien said.

It's a rare verdict - she is one of very few women in Vietnam to be sentenced to death for a white collar crime, i.e. looting one of the country's largest banks over a period of 11 years.

The decision is a reflection of the dizzying scale of the fraud. Truong My Lan was convicted of taking out $44bn (£35bn) in loans from the Saigon Commercial Bank. The verdict requires her to return $27bn, a sum prosecutors said may never be recovered. Some believe the death penalty is the court's way of trying to encourage her to return some of the missing billions.

The habitually secretive communist authorities were uncharacteristically forthright about this case, going into minute detail for the media. They said 2,700 people were summoned to testify, while 10 state prosecutors and around 200 lawyers were involved.

The evidence was in 104 boxes weighing a total of six tonnes. Eighty-five defendants were tried with Truong My Lan, who denied the charges.

"There has never been a show trial like this, I think, in the communist era," says David Brown, a retired US state department official with long experience in Vietnam. "There has certainly been nothing on this scale."

The trial was the most dramatic chapter so far in the "Blazing Furnaces" anti-corruption campaign led by the Communist Party Secretary-General, Nguyen Phu Trong.

A conservative ideologue steeped in Marxist theory, Nguyen Phu Trong believes that popular anger over untamed corruption poses an existential threat to the Communist Party's monopoly on power. He began the campaign in earnest in 2016 after out-manoeuvring the then pro-business prime minister to retain the top job in the party.

The campaign has seen two presidents and two deputy prime ministers forced to resign, and hundreds of officials disciplined or jailed. Now one of the country's richest women has joined their ranks.

Truong My Lan comes from a Sino-Vietnamese family in Ho Chi Minh City, formerly Saigon. It has long been the commercial engine of the Vietnamese economy, dating well back to its days as the anti-communist capital of South Vietnam, with a large, ethnic Chinese community.

She started as a market stall vendor, selling cosmetics with her mother, but began buying land and property after the Communist Party ushered in a period of economic reform, known as Doi Moi, in 1986. By the 1990s, she owned a large portfolio of hotels and restaurants.

Although Vietnam is best known outside the country for its fast-growing manufacturing sector, as an alternative supply chain to China, most wealthy Vietnamese made their money developing and speculating in property.

All land is officially state-owned. Getting access to it often relies on personal relationships with state officials. Corruption escalated as the economy grew, and became endemic.

By 2011, Truong My Lan was a well-known business figure in Ho Chi Minh City, and she was allowed to arrange the merger of three smaller, cash-strapped banks into a larger entity: Saigon Commercial Bank.

Vietnamese law prohibits any individual from holding more than 5% of the shares in any bank. But prosecutors say that through hundreds of shell companies and people acting as her proxies, Truong My Lan actually owned more than 90% of Saigon Commercial.

They accused her of using that power to appoint her own people as managers, and then ordering them to approve hundreds of loans to the network of shell companies she controlled.

The amounts taken out are staggering. Her loans made up 93% of all the bank's lending.

According to prosecutors, over a period of three years from February 2019, she ordered her driver to withdraw 108 trillion Vietnamese dong, more than $4bn (£2.3bn) in cash from the bank, and store it in her basement.

That much cash, even if all of it was in Vietnam's largest denomination banknotes, would weigh two tonnes.

She was also accused of bribing generously to ensure her loans were never scrutinised. One of those who was tried used to be a chief inspector at the central bank, who was accused of accepting a $5m bribe.

The mass of officially sanctioned publicity about the case channelled public anger over corruption against Truong My Lan, whose fatigued, unmade-up appearance in court was in stark contrast to the glamorous publicity photos people had seen of her in the past.

But questions are also being asked about why she was able to keep on with the alleged fraud for so long.

"I am puzzled," says Le Hong Hiep who runs the Vietnam Studies Programme at the ISEAS - Yusof Ishak Institute in Singapore.

"Because it wasn't a secret. It was well known in the market that Truong My Lan and her Van Thinh Phat group were using SCB as their own piggy bank to fund the mass acquisition of real estate in the most prime locations.

"It was obvious that she had to get the money from somewhere. But then it is such a common practice. SCB is not the only bank that is used like this. So perhaps the government lost sight because there are so many similar cases in the market."

David Brown believes she was protected by powerful figures who have dominated business and politics in Ho Chi Minh City for decades. And he sees a bigger factor in play in the way this trial is being run: a bid to reassert the authority of the Communist Party over the free-wheeling business culture of the south.

"What Nguyen Phu Trong and his allies in the party are trying to do is to regain control of Saigon, or at least stop it from slipping away.

"Up until 2016 the party in Hanoi pretty much let this Sino-Vietnamese mafia run the place. They would make all the right noises that local communist leaders are supposed to make, but at the same time they were milking the city for a substantial cut of the money that was being made down there."

At 79 years old, party chief Nguyen Phu Trong is in shaky health, and will almost certainly have to retire at the next Communist Party Congress in 2026, when new leaders will be chosen.

He has been one of the longest-serving and most consequential secretary-generals, restoring the authority of the party's conservative wing to a level not seen since the reforms of the 1980s. He clearly does not want to risk permitting enough openness to undermine the party's hold on political power.

But he is trapped in a contradiction. Under his leadership the party has set an ambitious goal of reaching rich country status by 2045, with a technology and knowledge-based economy. This is what is driving the ever-closer partnership with the United States.

Yet faster growth in Vietnam almost inevitably means more corruption. Fight corruption too much, and you risk extinguishing a lot of economic activity. Already there are complaints that bureaucracy has slowed down, as officials shy away from decisions which might implicate them in a corruption case.

"That's the paradox," says Le Hong Hiep. "Their growth model has been reliant on corrupt practices for so long. Corruption has been the grease that that kept the machinery working. If they stop the grease, things may not work any more."

Comments