Sarawak Sights Rights and Might

Rio Tinto is raising money to buy Alcan (no debt crisis for the fat cats then), and there are rumblings about a plan to build a smelter in Sarawak, in conjunction with the chief minister of that jungle paradise (oops, I meant logging and mineral-extraction opportunity). I quote from the Herald Tribune of 7 August 2007. "Rio Tinto will hold a 60 percent stake in the venture to be known as Sarawak Aluminium Company. The remaining 40 percent will be owned by Cahya Mata, in which the family of Sarawak Chief Minister Abdul Taib Mahmud is a key shareholder".

OK, then how strange is it that Bakun Dam issues suddenly wash downstream (Bakun electricity will power the smelter). You can read between the lines in this press release that arrived today from Suaram [MYKAD is the curiously named Pass Card/Identity card of cyber-Malaysia - old visions from Mahathir dreams come true]):

Press Statement: 24 August 2007

SUARAM DIRECTOR DENIED ENTRY INTO SARAWAK
MYKAD IS AN ACCESSORY OF A MALAYSIAN POLICE STATE

Dr Kua Kia Soong, a director of SUARAM was denied entry into Sarawak at 9pm, 23 August 2007. Kua, who is also principal of the community-funded New Era College, was on his way to officiate the graduation ceremony of teachers who have attained the New Era College Diploma in Education at Kuching and Sibu.

After screening Kua’s MyKad, the immigration officer at Kuching airport informed him that he had been refused entry into Sarawak because he is on the “blacklist for involvement in anti-logging activities”. From the computer reading of Kua’s MyKad, the officer also knew that Kua is a former member of parliament.

Dr Kua has been an active campaigner against the Bakun Dam project and was a member of the fact finding mission to enquire into the conditions faced by indigenous peoples displaced from the Bakun area to Sungai Asap resettlement camp in 1998.

This action by the Sarawak state government is a gross violation of Malaysians’ right to freedom of movement in their own country. How can we celebrate fifty years of independence when our state governments can arbitrarily decide to deny a Malaysian the sovereign right to move freely in their own country?

More insidious is the way the new Malaysian identity card ‘My Kad’ has become the accessory of a Malaysian police state. This is a most serious abuse of Malaysians’ human right to privacy. It is clear from this incident that the My Kad is now used to store updated information and to be used arbitrarily by the authorities without any explanation being given. The immigration officer had at first refused to divulge the reason for refusing entry to Kua. The reason was only forced out of the officer through persistent demands by Kua.

In recent years, Kua has been going in and out of Sarawak using his old identity card without being refused entry. Clearly, the new “smart” My Kad carries an entire dossier about every Malaysian and has given authorities new resolve to settle old scores!

This incident shows that all information about Malaysians is used interchangeably between federal and state governments. For certain, all government departments have access to MyKad dossier about every Malaysian. Is this dossier also available to banks and credit companies? Who decides? Do we know?

As we reach the 50th anniversary of independence, we grieve the death of our right to privacy and the coming of age of a Malaysian police state. We baulk at the fact that one who cares for the forests, resources and indigenous peoples of Malaysia can be cast out of a Malaysian state while tycoons and politicians who rape an entire forest are feted as “towering Malaysians” and patriots. This brings to mind Samuel Johnson observation that “Patriotism is the last refuge of the scoundrel!”

Suaram condemns the Sarawak government for this arbitrary exercise of state power to refuse entry to a Malaysian who has been actively concerned to protect Sarawakian forests, resources and indigenous peoples’ rights.

Suaram calls for an explanation from the federal government regarding the information about Malaysian citizens that have been encoded in the My Kad and the extent of interchangeability of this information with other authorities and bodies.

Suaram calls on the Malaysian people to demand accountability from their government regarding the invasion of their right to privacy and an end to the makings of a police state in Malaysia.

I have more on Bakun (from Left Curve 23 1999 'Resettling Bakun: Consultancy, Anthropologists and Development'
and more on Rit Tinto to post later, but start here.
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Rumour - evil Rio Tinto Sucked into vortex of evil - the dark side eats its own kind.

Rio shares surge amid BHP takeover rumour

The Age May 7, 2007 - 5:24PM

Shares in Rio Tinto Ltd surged above $90 for the first time today amid speculation that BHP Billiton Ltd could take out its rival in a $122 billion-plus deal.

The stock closed up more than five per cent after Citigroup analysts fuelled takeover talk about the company.

Citigroup said while Rio Tinto's strong cashflow could make it an attractive target for private equity firms, BHP Billiton was a more likely bidder given the synergies that could be generated.

"Rio Tinto's strong cashflow and nominal gearing may bring it into the crosshairs of private equity, but we think BHP Billiton is a much more likely bidder given synergies and nationalistic control issue of Australian assets," Citigroup said.

"Applying even a modest bid premium means that any party will need to finance $US100 billion ($A121.99 billion)-plus through debt and equity.

"The deal is highly earnings accretive using conservative assumptions, with the major obstacle being concentration iron ore/coking coal market share and lack of BHP CEO-elect."

Rio Tinto shares surged $4.53 or 5.22 per cent to end a closing high of $91.38 while BHP Billiton put on 96 cents or 3.14 per cent to $31.56.

Rio Tinto's closing price gives the company a market value of $105.92 billion.

A union between BHP Billiton and Rio Tinto would create the world's largest producer of coking coal, thermal coal, copper and position the company as the equal largest iron ore producer with Brazilian giant CVRD.

"The greatest gains would be achievable in the iron ore assets in the Pilbara through optimising product specifications, mining fleet, rail distances to the port, etc," Citigroup said.

"Considering the scale and importance of these businesses to both companies, it is hard not to see $US500 million ($A609.94 million)-plus in synergies and cost savings in this area alone."

The brokerage said cost savings and synergies would also be achieved at the Australian coal assets, Canadian diamond mines, product marketing, logistics and global procurement.

Apart from competition concerns, Citigroup listed the lack of an anointed chief executive to replace Chip Goodyear as a major near-term impediment to any bid.

The brokerage said the disposal of non-core assets could overcome the competition concerns.

Citigroup ruled out any interest in Rio Tinto from the major oil companies and suggested private equity would need to team up with an existing industry player like Xstrata to formulate a potential bid.

"From a pure market capitalisation perspective, the major oil companies like BP and Royal Dutch Shell have the size and balance sheet capability to entertain such a transaction, but we do not believe they are interested in returning to investing in the Metals & mining sector after exiting the space in the 1980s and 1990s," Citigroup said.

"Strategic and diversification drivers could prompt other corporates to bid, but ultimately BHPB can pay the most given it has the most synergies to extract."

The Queen's duck

When someone mentions the English Queen, I'm afraid I always think 'unaccountable and irredeemably wicked shareholder of major corporations of the likes of Riotinto' (though that is spurious rumour of course). Well this week, while Riotinto reels under the PartiZans activist intervention at its annual shareholders meeting, and while the Queen's grandson Billy dumps his consort (already I forget her name - [Capital Kate I think]), I found this on the Community Radio 3CR radio compere Suzanna's news round-up. The wooden and pale imitator of celluloid glam Helen Mirror is still doing her bit for commodity sales. This time ducks (made in China I expect - which is fine - [sing the song]):

"Rubber Duckie shares Royal bath
The Queen is reported to share her bath with a yellow rubber duck that wears a crown
According to The Sun, the toy was spotted by a decorator as he refurbished Her Majesty's Buckingham Palace living quarters
The newspaper also says a spokesman for the Queen would not comment on the duck
The paper reports the unnamed decorator saying: "I was repainting the Queen's bathroom walls in the same colour she's had for the last 50 years when I glanced down at the bath. "I nearly fell off my step-ladder when I saw the yellow rubber duck with an inflatable crown on its head
"I suppose she was given it by her grandchildren as a joke." It was revealed recently the Queen has a mobile phone and a Big Mouth Billy Bass novelty singing fish
Now sales are soaring"

At least that has the merit of being a little funny, whereas unaccountable Royals and their filthy riches, even as they do duty as faded tourist attractions and tabloid fodder in the low season, are not always so amusing.

Australians of course voted her to stay in power (it was rigged - the only other choice was a Howard appointee - ie, Georgie B2's appointee...) but here in England she is in power by habit and by default. Still in power.

Riotinto in court strife

Of course picking on arms trader Spicer over Bougainville as I have done previously, perhaps overlooks the real gangsters in this scenario - the mining company, pretend 'community friendly', plunderer of Islands, destroyer of worlds - RioTinto Zinc. It was they that ripped the hole in the planet that was the Panguna mine on Bougainville, and their posting of 3.8 Billion in net income during the rise of copper prices this year only reminds us that its the legalised fat cats that sit in head office 6 St James Square London - and shareholders like Queen Lizzie and her nefarious gang - that were the real target of the Bougainville Revolutionary Army uprising and war throughout the 1990s. Austrailian military support and the PNGDF were just the front for the company's interests.

Lawyers seem to be making a decent effort to corner some of the gangsters though. News from the US circuit court offers something to smirk about. Light up your fat-cat stodgies now! May they go the way of Enron. Thanks Vikki John, check Partizans.

"Islanders Win Court Appeal - Reuters August 7 2006.

By Steve James

NEW YORK, Aug 7 (Reuters) - A U.S. appeals court on Monday reinstated a human rights claim brought by Bougainville islanders in Papua New Guinea against international mining giant Rio Tinto Plc (RIO.L: Quote, Profile, Research).
The Ninth Circuit Court of Appeals in San Francisco ruled the case may be heard in the United States. A U.S. District Court had dismissed the suit, siding with the State Department that the case could not be heard in U.S. courts.
There was no immediate comment from Rio Tinto and a State Department official said it had no comment until it looked into the ruling.
The suit claims that London-based Rio Tinto conspired with the government of Papua New Guinea to quell civil resistance to an environmentally devastating copper mining operation, actions that led to the deaths of thousands.
The State Department argued the case could interfere with the peace process on Bougainville, which is the largest of the North Solomon islands and is part of Papua New Guinea, off the northeast coast of Australia.
The ruling remands the case to U.S. District Court in San Francisco, and says Rio Tinto could be held liable for actions by the PNG government if the company's involvement is proven.
The suit was filed in 2000 and seeks to represent Bougainvilleans exposed to toxins resulting from the Panguna copper mine, people who lost property due to environmental contamination, and people injured or killed during the Bougainville conflict between 1989 and 1999.
Under the Alien Tort Claims Act, foreign nationals can bring suit in the United States against companies that violate international law. Rio Tinto's subsidiary, U.S. Borax Inc., has headquarters in Los Angeles.
The Panguna mine and the political events that erupted since the mine was established are at the core of the case. Between 1969 and 1972, the Australian Colonial Administration leased land on the island to Bougainville Copper Limited (BCL), a subsidiary of Rio Tinto. The suit claims that landowners unsuccessfully resisted intrusion onto their land, and many Bougainvilleans were forced to move or flee the island.
According to the suit, Rio Tinto destroyed villages, razed the rain forest, sliced off a hillside and established the world's largest open-pit mine. The mine excavated 300,000 tons of ore and water every day between 1972 and 1988.
The suit alleges that Rio Tinto improperly dumped waste rock and tailings, emitting chemical and air pollutants. The waste destroyed local fish stock, it alleges.
The Bougainville people -- especially children -- began dying more frequently from upper respiratory infections, asthma and tuberculosis, the suit states.
According to the complaint, in 1990, villagers started an uprising which closed the mine, and in response, Rio Tinto and the Papua New Guinea government brought troops in to reopen it. The complaint alleges that Rio Tinto provided transport for the troops and played a role in instituting a military blockade of the island that lasted for almost 10 years."
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double think Australia-PNG etc etc

Here is an amazing article from the Australian newspaper today, also (double think) discussed on Trinketization:



Australia has 'opened PNG door to JI'

By Lloyd Jones in Port Moresby

July 19, 2006

INDONESIAN terrorists have an open door into PNG to target Australians and their mining and energy interests thanks to Canberra's push to slash the size of PNG's military, says the force's former commander.

Retired Major-General Jerry Singirok, who in 1997 defied PNG's government and ousted Sandline mercenaries deployed to crush Bougainville secessionists, said the downsizing of the PNG military from more than 5000 troops to 2000 had crippled it.
Security on the border with the Indonesian province of Papua was already severely compromised with few or no PNG Defence Force (PNGDF) soldiers in place where full companies should patrol, he said.
The Indonesian terrorist group Jemaah Islamiah (JI) posed a huge threat to Australia and PNG when the porous 760km border allowed illegal and suspicious migrants to cross with ease, Maj-Gen Singirok said.
"They would certainly target Australia's major investments in Papua New Guinea.
"As we have seen with the calls by Osama Bin Laden and his cohorts, they group Australia together with America and England as their enemy."
Major resource targets such as the Hides gas project, the proposed gas pipeline to Australia, the Ok Tedi and Porgera gold and copper mines, and oil installations in the Gulf of Papua were potential targets, he said.
"Any terrorist with intention (to do harm) would obviously strike where there's no defence, no security systems in place.
"If they cannot hit Australia on its home soil, they're going to hit Australia where it hurts.
"There's billions of dollars of Australian investment in PNG and there's a relatively significant population of Australians."
The downsizing of the PNGDF, with soldier payouts funded by Australia, was "humiliating" and "a major security blunder" that compromised PNG, Australian and regional security, he said.
Maj-Gen Singirok said Australia constantly accused the PNGDF of being a destabilising factor though the force had never threatened to take over the government.
"My challenge to Australia is it should not see us a destabilising force, it should strengthen us, give us equal training and the same standards as the Australian Defence Force because we can be a major force of deterrence in the region."
An Australian-backed program to destroy around 3000 surplus PNGDF weapons also compromised the force's capability, Maj-Gen Singirok said.
http://www.theaustralian.news.com.au/story/0,20867,19840036-1702,00.html
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Shareholders join Rio protest

Shareholders join Rio protest
From: AAP
May 04, 2006

SHAREHOLDERS have joined protesters outside the annual general meeting of mining giant Rio Tinto in Melbourne, concerned about the company's mining practices in Papua New Guinea.
Organised by the Mineral Policy Institute (MPI) and Free West Papua campaign, the protest – outside the Sofitel hotel in busy Collins Street – was against alleged corruption and human rights abuses at the giant Freeport mine in Indonesia's Papua province.
MPI said the Freeport mine was engaging in similar irresponsible conduct to that at the Rio Tinto-owned mine in Bougainville, which led to a 10-year civil war.
It follows the release of a report by the Indonesian Environment Forum which alleged that Rio Tinto was releasing copper tailings from its Freeport mine into a nearby river.
Shareholder John Poppins said he was concerned about the report and was there to support the protest as well as voice his opinion at the AGM.
"I have a growing level of concern as I grow older in the way in which my dividends are earned, and the impacts on the other people, particularly in countries where the law is not as strong as it is here," Mr Poppins said.
Mr Poppins said he was concerned about the report which was released this week by the Indonesian Environment Forum.
"Deeply, yes. It seems in my youth I invested all my savings in the bad guys," he said.
"There are really only two alternatives: you can sell in disgust or you can hold on to the shares and start to question the company."
Some shareholders had given their proxy votes to Papuan and environmental activists, allowing them to attend the meeting.
Herman Wanggai, one of the Papuan asylum seekers recently given visas to stay in Australia, was at the protest and said there was one thing he wanted to ask at the AGM.
"The question I ask is why are we suffering for the rich resources?" Mr Arumisore said.
Moses Havini, who described himself as the international representative for Bougainville, said Rio Tinto should be held accountable for what it was doing to the environment in Papua.
"There seems to be two rules: one for Rio Tinto in other countries; and the other one is in other countries such as Bougainville and Papua New Guinea where it is fine to pump mine tailings directly into the water systems and the sea," Mr Havini said.
Rio Tinto has invested $2.2 billion in the mine.
http://finance.news.com.au/story/0,10166,19022917-31037,00.html
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