Romania – Factors to Watch on July 27

July 27 (Reuters) – Here are news stories, press reports and events to watch which may affect Romanian financial markets on Tuesday.

IMF MISSION IN ROMANIA

An IMF mission reviews Romania 20 billion euro aid-deal between July 26 and August 4.

IMF mission chief Jeffrey Franks is expected to meet Finance Minister Sebastian Vladescu on Tuesday.

ROMANIA STICKS TO YIELD CAP, SELLS LESS THAN PLANNED

Romania sold just over a third as much as planned at a T-bills tender on Monday, sticking to its self-imposed cut-off yield of 7 percent, a tactic which analysts say debt managers could be forced to scrap next month.

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ISRAELI MILITARY HELICOPTER CRASHES IN ROMANIA

An Israeli military transport helicopter carrying seven soldiers crashed in a mountainous area of central Romania on Monday during a joint exercise, Romania’s Defence Ministry and the Israeli military said.

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WEALTH TAX

Romania could introduce a wealth tax, Prime Minister Emil Boc said on Monday. He did not give details.

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GDP FCAST

The IMF will revise Romania’s 2010 growth forecast, but it will not be as pessimistic as the EBRD’s 3.0 percent contraction estimation, IMF mission chief Jeffrey Franks said.

Daily Ziarul Financiar quoted an unnamed source saying the GDP was expected to contract 1.5-1.8 percent in 2010.

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TOURISM

Romania will launch its new tourism brand on Thursday in China.

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PARLIAMENT

An extraordinary session of parliament could take place on August 16 to discuss changes to the law that sets up the National Integrity Agency, an EU-backed anti-graft body.

The powers of the agency have been watered down after a court branded some of its activities unconstitutional in April.

Opposition Social Democrats and Liberals plan to introduce the government’s decision to hike the VAT on the agenda.

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Sahara raid may endanger hostage: Algerian sources

ALGIERS, July 25 (Reuters) – The participation of French troops in a raid on an al Qaeda camp in the Sahara could increase the risk to the hostage they tried to rescue and strengthen the insurgents, Algerian security sources said.

Mauritanian troops said that, backed by French special forces, they killed fighters from al Qaeda’s north African wing AQIM at a base in Mali on Thursday. Paris said it had no news of 78-year-old hostage Michel Germaneau. [ID:nLDE66N08O]

Asked about the operation at the weekend, serving and former security officers in Algeria, the main base for al Qaeda’s north African wing where the government has long experience fighting the insurgents, said the operation was a failure on several levels.

“France failed to release its hostage. It failed to eliminate (local AQIM leader) Abu Zeid,” a former Algerian security officer who hunted insurgents for years said.

He said the potential repercussions went beyond that. “It angered the terrorist group which will now either demand a ransom or kill the hostage if it has not done it already,” the former officer, who did not want to be identified, told Reuters.

Algeria is sensitive about the role of former colonial ruler France in its backyard. It says the al Qaeda problem in the Sahara is best solved by the region’s states and bristles at any sign Western powers are acting without consultation.

A French Defence Ministry source said on Saturday Paris had “consulted” Spain on the operation and “informed” Mali and Algeria before the attack.

The source said the operation was launched after AQIM failed to provide proof that Germaneau was alive or engage in negotiations over him.

PROPAGANDA TOOL

One serving Algerian security official said the operation would help the insurgents recruit more followers by allowing them to cast their campaign as a fight against Western “infidels” and not just fellow Muslims.

“The failure will be used by the extremists to spread their anti-Western propaganda,” the security official, who did not want to be identified because he was not authorised to speak to the media, told Reuters.

Hardline Islamists already appeared to be exploiting the operation. “Mauritania made a big mistake when it opened its borders to France to kill our people in the land of Islam,” said Sheikh Abdelfetah Zeraoui, an Algerian cleric who represents the ultra-conservative Salafist strain of Islam.

“A Muslim should never help a non-Muslim to kill a Muslim,” he said on his website. The cleric advocates non-violence and his Salafist faith is shared by most of the insurgents.

Algerian security forces have been fighting Islamist insurgents since the early 1990s in a conflict in which an estimated 200,000 people have been killed, although the violence has subsided in the past few years.

AQIM’s senior leaders are all Algerians and the organisation evolved from an Algerian insurgent group called the Salafist Group for Preaching and Combat.

A second serving Algerian security official told Reuters another problem with the French operation was that it ran counter to Algeria’s policy of promoting cooperation among Saharan states to defeat al Qaeda.

“France’s failure shows that our approach is the most appropriate,” said the official.

Algerian officials say only the countries of the region have the local knowledge needed to track-down the insurgents. They point to the creation of a joint military headquarters in the Sahara earlier this year as a big step forward. [ID:nLDE63Q2QV] (Additional reporting by John Irish in Paris; Editing by Andrew Dobbie)

Romania – Factors to Watch on July 6

July 6 (Reuters) – Here are news stories, press reports and events to watch which may affect Romanian financial markets on Tuesday.

ENERGY RESOURCES

The National Statistics Board to release energy resource data for May at 0700 GMT.

SEMINARS

* Romania deputy Finance Minister Bodgan Dragoi is expected to attend a seminar on human resources.

* Romania Economy Minister Adriean Videanu is expected to hold a speech at a university seminar.

ROMANIA SELLS ONLY ONE-THIRD OF PLANNED T-BILLS

Romania sold fewer six-month treasury bills than planned on Monday and at higher yields than in a previous auction, indicating the European Union member may continue to have problems financing its fiscal deficit.

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ROMANIA C.BANK SEES INFLATION AT 8 PCT AT END-YEAR

Romania’s central bank sees the country’s inflation rate to rise to around 8 percent by the end of 2010 after the government raised value added tax, Governor Mugur Isarescu said on Monday.

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IMF: ROMANIA VAT HIKE TO PUSH CPI TO 7.9 PCT -REPORT

Romania’s inflation is forecast to sharply rise to 7.9 percent this year against a previous estimate of 3.5 percent, after a hike in value-added tax, an IMF official was quoted as saying.

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ROMANIAN MILITARY AIRCRAFT CRASH KILLS 10

Ten people died on Monday when a military aircraft carrying 13 people crashed soon after taking off from an airport in the southeast Romanian town of Tuzla, the defence ministry said.

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CEZ MUST DECIDE ON ROMANIA POWER PLANTS -MINISTER

Romania has asked Czech power utility CEZ (CEZPsp.PR) to decide whether it still wants to partner the country in building power plants, Economy Minister Adriean Videanu said on Monday.

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ROMANIA NET WAGES ROSE 5.3 PCT Y/Y IN MAY

Average net wages in Romania rose by a nominal 5.3 percent year-on-year in May but fell by 0.6 percent on the month, data showed on Monday.

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UNEMPLOYMENT

The unemployment rate fell in June, Labour Minister Mihai Seitan said. May unemployment rate was 7.7 percent. The employment agency is expected to release June figures in the next days.

Ziarul Financiar, Page 3

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Suspect held in Yemen over raid that killed 11

SANAA, June 20 (Reuters) – Yemeni security forces on Sunday arrested the head of the group suspected of carrying out an attack on a police building in the southern city of Aden which killed 11 people, the Defence Ministry said.

Yemen blamed al Qaeda for Saturday’s attack in which gunmen wearing military uniforms raided a police headquarters in the port of Aden, killing seven security officers, three women and a 7-year-old boy, and freeing several detainees.

“Security bodies in Aden succeeded in arresting the leader of the terrorist group which carried out the attack on the political security (police) building, killing a number of people and officers, women and children,” a ministry website said.

It identified him as Ghodel Naji, who it said belong to terrorist groups and had “a long history of terror and crime” and was also wanted for an armed bank robbery last year.

Yemen is struggling to curb a separatist movement in the south and to cement a ceasefire with Shi’ite rebels in the north. It is under international pressure to quell domestic conflicts to focus on a growing al Qaeda presence in the country.

A day before Saturday’s attack, al Qaeda’s Yemen-based regional branch threatened to respond to a state crackdown against it in eastern Yemen, calling on local tribesmen to take up arms against the government.

Yemen, a neighbour of oil exporter Saudi Arabia, has been a growing security concern for the West since a Yemeni-based arm of al Qaeda claimed responsibility for an unsuccessful attempt to set off a bomb on board a U.S.-bound airliner in December.

POLICE OFFICERS KILLED IN AMBUSH

In a separate incident, suspected southern separatists ambushed and killed two Yemeni police officers on a routine patrol on Sunday, despite a deal for calm in the flashpoint city of Dalea, provincial officials and state media said.

Separatists had agreed a deal two days earlier to end a weeks-long government siege of the city, with the government promising to remove roadblocks and the separatists agreeing to pull gunmen out of strategic points, the officials said.

Yemen’s Western allies and Saudi Arabia fear a resurgent al Qaeda wing could exploit unrest and use Yemen as a base for attacks in the region and beyond.

The separatist movement in the south has gathered steam in recent months, with deaths on both sides, while a separate civil war with Shi’ite rebels subsides in a northern corner of the Arabian Peninsula state.

Tension has grown in Dalea, with government forces surrounding the city shelling separatist positions in town earlier this month and engaging in gun battles with secessionists.

After Sunday’s ambush, in which suspected separatists set fire to a military vehicle after shooting dead the two police officers inside, security forces combed the city for the perpetrators. There was no immediate word on any arrests.

North and South Yemen formally united in 1990 but many in the south, where most of impoverished Yemen’s oil facilities are located, complain northerners have used unification to seize their resources and discriminate against them. (Reporting by Mohammed Ghobari, additional reporting by Mohammed Mukhashaf in Aden; Writing by Cynthia Johnston and Firouz Sedarat; editing by Andrew Dobbie)

Suspect held in Yemen over raid that killed 11

SANAA, June 20 (Reuters) – Yemeni security forces on Sunday arrested the head of the group suspected of carrying out an attack on a police building in the southern city of Aden which killed 11 people, the Defence Ministry said.

Yemen blamed al Qaeda for Saturday’s attack in which gunmen wearing military uniforms raided a police headquarters in the port of Aden, killing seven security officers, three women and a 7-year-old boy, and freeing several detainees.

“Security bodies in Aden succeeded in arresting the leader of the terrorist group which carried out the attack on the political security (police) building, killing a number of people and officers, women and children,” a ministry website said.

It identified him as Ghodel Naji, who it said belong to terrorist groups and had “a long history of terror and crime” and was also wanted for an armed bank robbery last year.

Yemen is struggling to curb a separatist movement in the south and to cement a ceasefire with Shi’ite rebels in the north. It is under international pressure to quell domestic conflicts to focus on a growing al Qaeda presence in the country.

A day before Saturday’s attack, al Qaeda’s Yemen-based regional branch threatened to respond to a state crackdown against it in eastern Yemen, calling on local tribesmen to take up arms against the government.

Yemen, a neighbour of oil exporter Saudi Arabia, has been a growing security concern for the West since a Yemeni-based arm of al Qaeda claimed responsibility for an unsuccessful attempt to set off a bomb on board a U.S.-bound airliner in December.

POLICE OFFICERS KILLED IN AMBUSH

In a separate incident, suspected southern separatists ambushed and killed two Yemeni police officers on a routine patrol on Sunday, despite a deal for calm in the flashpoint city of Dalea, provincial officials and state media said.

Separatists had agreed a deal two days earlier to end a weeks-long government siege of the city, with the government promising to remove roadblocks and the separatists agreeing to pull gunmen out of strategic points, the officials said.

Yemen’s Western allies and Saudi Arabia fear a resurgent al Qaeda wing could exploit unrest and use Yemen as a base for attacks in the region and beyond.

The separatist movement in the south has gathered steam in recent months, with deaths on both sides, while a separate civil war with Shi’ite rebels subsides in a northern corner of the Arabian Peninsula state.

Tension has grown in Dalea, with government forces surrounding the city shelling separatist positions in town earlier this month and engaging in gun battles with secessionists.

After Sunday’s ambush, in which suspected separatists set fire to a military vehicle after shooting dead the two police officers inside, security forces combed the city for the perpetrators. There was no immediate word on any arrests.

North and South Yemen formally united in 1990 but many in the south, where most of impoverished Yemen’s oil facilities are located, complain northerners have used unification to seize their resources and discriminate against them. (Reporting by Mohammed Ghobari, additional reporting by Mohammed Mukhashaf in Aden; Writing by Cynthia Johnston and Firouz Sedarat; editing by Andrew Dobbie)

Over 1,000 landmines found in Colombia

Bogota, May 26 (IANS/EFE) At least 1,053 landmines, which rebel guerrillas were planning to use in attacks ahead of the May 30 presidential elections in Colombia, have been found buried in a rural area in the northwestern region, police said.

The mines found in Antioquia province belonged to the Revolutionary Armed Forces of Colombia (FARC), ‘which planned to utilize the landmines to carry out terrorist attacks against the upcoming elections’, the National Police said Tuesday.

Last week, the commander of an army explosives disposal team was killed in a landmine blast, while the team was clearing a mine field in Antioquia province.

Capt Victor Hugo Valencia was killed May 17 near a place where the rebels blasted electricity transmission towers using dynamite, leaving residents of four towns without power.

Since 1990, over 1,700 people have been killed in landmine blasts planted by guerrillas and drug traffickers, the defence ministry said.

EXCLUSIVE – Germany suspends EADS helicopter purchase

Germany is suspending its 3 billion euro ($3.7 billion) purchase of EADS’s Tiger attack helicopter due to technical problems, potentially delaying delivery to its forces in Afghanistan until end-2011.

An internal ministry report obtained by Reuters on Tuesday said the step was being taken because of serious problems with the wiring of the helicopter built by EADS unit Eurocopter.

“Until the faults have been effectively and systematically rectified, the defence ministry plans to suspend the purchase of the … helicopters,” the report said.

The problems, which also cropped up with Tigers which had only had a few hours flying time, meant delivery of the first deployable helicopters would be delayed by at least seven months until November 2011, according to the report.

Germany’s order for the 80 Tiger helicopters was worth around 3 billion euros, according to previous estimates.

None of the 11 Tiger helicopters delivered so far has been suitable for operational use or training, the report added.

The Franco-German attack helicopter first flew in 2003 but its entry into service has been delayed by technical problems.

France and Germany ordered 80 Tigers each but they are being built in different versions to suit their operational needs.

France first deployed its version of the Tiger to Afghanistan last year. Germany is still waiting for the first fully combat-capable version of the type it has ordered.

Eurocopter said it was working on the wiring problems and would meantime continue to deliver helicopters for testing.

The freeze on deliveries ordered in the leaked report refers to the final version to be delivered to support combat troops.

INTENSIVE TESTS

“Corrective measures related to wiring problems have been developed, agreed by the customer and are being implemented,” a Eurocopter spokeswoman said in an e-mailed statement.

“The first two helicopters will be handed over to the German official services in June and July for intensive tests. In alignment with the customer, additional helicopter deliveries to the German Army are foreseen from the fourth quarter of 2010.”

The helicopter is needed to provide air support for German forces deployed in northern Afghanistan, where they face mounting losses due to an increase in the number of direct engagements with Taliban fighters, military sources say.

Germany’s area of operations includes difficult terrain with low visibility, where combat helicopters can deliver a clearer picture of the situation to the troops.

Currently German forces rely solely on American air support.

The fresh delay, coming two weeks ahead of the Berlin air show, is the latest in a series of setbacks for EADS.

It comes on top of delays to the A400M military transporter and the NH-90 multi-role helicopter, both of which have strained industrial relations between EADS and German defence chiefs.

Wiring was also blamed for delays to the A380 superjumbo built by Eurocopter sister company Airbus, but company officials insist there is little comparison between the two projects. EADS has made more reliable delivery a top priority.

Besides France and Germany, the battlefield Tiger helicopter has been ordered by Spain and Australia.

(Additional reporting by Tim Hepher; Writing by Dave Graham; Editing by Louise Heavens and David Holmes)

Government to discuss use of air power against Maoists: Antony

New Delhi, May 20 (ANI): Defence Minister A K Antony on Thursday said the government will thoroughly discuss the use of air power for fighting Maoists, and added that the decision would be binding on all, including the defence ministry.

“I will not entertain a public debate on this. The strategy is not to be debated in public. Government will discuss thoroughly, then ultimately government will take a decision. That decision will be binding on everybody, including the Ministry of Defence,” Antony said.

Earlier on Wednesday, Chhattisgarh Chief Minister Raman Singh had said air power could not be used to attack the insurgents as it may result in major collateral damage.

Reacting to a question about the use of air strikes against the rebels, Singh said air power could not be used to attack the insurgents as it may result in major collateral damage. He, however, favoured the use of helicopters.

“As far as the use of helicopters is concerned, military helicopters can be used for rescue and relief. I don”t think anybody would have problems with that,” said Singh.

About 35 persons including policemen were killed when Maoist rebels detonated a landmine targeting a bus in Chhattisgarh”s Dantewada District on Monday (May 17), the second major attack in as many months.

The attack in the mineral-rich state was the worst since a brutal strike by Maoists in the same region in April, which killed at least 76 policemen. (ANI)

Militants kill Yemen soldier in convoy ambush

Armed separatists ambushed a military convoy on a road in southern Yemen on Saturday, killing one soldier and wounding four, a security official told Reuters.

Authorities closed the road to avoid further incidents after the fighting in Lahej province in south Yemen where the government has faced increasing secessionist protests in recent months.

“Security forces are chasing the saboteurs,” the security official said.

A defence ministry website denied reports that Rshad al-Alimi, deputy prime minister for security affairs, was travelling in the convoy.

Yemen’s deputy prime minister for internal affairs escaped an assassination attempt on Thursday, after militants opened fire on his convoy in a different southern province, where he had attended celebrations marking the 20th anniversary of Yemen’s unity.

North and south Yemen united in 1990. But many in the south, where most of the impoverished Arab country’s oil facilities are, complain that northerners take their resources and deny them political rights.

Several soldiers, separatist gunmen and bystanders have been killed in the recent months’ escalating tension in the south.

The government, struggling to stabilise a fractious country in which central authority is often weak, faces international pressure to quell domestic conflicts in order to focus on fighting a resurgent al Qaeda.

(Reporting by Mohammed Mukhashaf in Aden and Mohamed Sudam in Sana; Writing by Firouz Sedarat in Dubai; Editing by Myra MacDonald)

Hacking of army major”s computer is a cyber security breach: Antony

New Delhi, May 7 (ANI): Defence Minister A K Antony on Friday said an army investigation has found that the information e-mailed from a major”s computer was a case of ”cyber security breach” and not espionage.

“It is a case of alleged misuse of computer by an officer of the army. The moment we got information, the government took action and we ordered an inquiry. The army itself ordered the inquiry, which is still going on,” said Antony.

“One thing is clear, established (that) there is a clear case of breach of cyber security. That is proven beyond doubt,” he added replying to questions about the investigation against the officer, who is posted in Andaman and Nicobar Islands, and from whose computer critical information was allegedly e-mailed to a Pakistani agent.

“They have not got any proof (on espionage),” said Antony, adding that nothing else has been proved so far.

“The government as a whole and Defence Ministry in particular has taken sufficient precautionary steps to prevent this kind of misuse and hijacking,” he claimed.

The major came under the scanner of security agencies in the wake of the alleged transfer of data from his computer to Pakistani agencies.

Some classified data of the tri-service Andaman and Nicobar Command (ANC) is likely to have leaked after an Army Major”s personal computer was accessed by online espionage agents, possibly from Pakistan, a couple of months ago.

The Army on Thursday strongly denied that the Major has been taken into custody for spying for Pakistan.

Indian authorities were alerted about the episode by the US after some intercepts showed the picture of a brigadier, on a training course in the US, being dispatched to Pakistan from the computer of a user based in Andaman and Nicobar Islands. (ANI)

Acquisition of 126 fighter jets on track, deadline can be extended: IAF Chief

New Delhi, May 4 (ANI): Chief of the Air Staff, Air Chief Marshal P V Naik, has said the acquisition of the 126 Medium Multi-Role Combat Aircraft (MMRCA) is right on the track, and added that the deadline for the 10 billion dollar purchase can be extended by an year.

The acquisition of 126 air and ground attack fighters will elevate India’s Air Force to super-power status.

The Defence Ministry asked the short listed vendors to resubmit their bids after the original deadline expires shortly. The government accepted bids for 126 fighter jets two years ago.

“Actually it is three year deadline. It’s a routine thing, deadline would extend, but as far as process is concerned it is on track as it was visualised at that time and is continuing on that track,” Air Chief Marshal Naik told ANI when asked about delay in the acquisition of MMRCA and expiry of the deadline.

The Indian Air Force chief said there is no delay in the modernisation of the IAF.

The Defence Ministry was expected to complete the bid evaluation by April 28 after all the six vendors complete flight trials early last month. Now, the deadline has been missed contract rules call for rebidding.

“Everything takes time. There are six aircrafts to be evaluated and it is not an easy task. I am very happy and proud who have done this on time. Few things are left and they will end by mid May,” Air Chief Marshal Naik said.

“Because of ash cloud over Europe, flights got delayed, but only for 5-10 days, our testing is on schedule, deadline expiry is a routine thing, which happens everywhere,” he added.

The contenders for mother of all Indian defence deals are Lockheed Martin’s F-16, Boeing’s F/A-18 Super Hornet, France’s Dassault Rafale, Russia’s MiG-35, Sweden’s Saab (SAABb.ST) JAS-39 Gripen and the Eurofighter Typhoon, made by a consortium of European companies. (ANI)

North Korean human torpedoes sunk South Korean ship

London, Apr 22 (ANI): The South Korean ship, which was sunk in mysterious circumstance on March 26, was the handiwork of an elite North Korean suicide squad of human torpedoes.

South Korea now plans to raise the front half of the 1,200-tonne Cheonan, which went down near a disputed sea border with North Korea.

The South Korean military points to intelligence gathered in a joint investigation with the United States, marking the strongest accusations yet that North Korea was behind the March 26 incident.

South Korea’s Defence Intelligence Command had alerted the navy weeks ahead of the sinking that North Korean suicide squads were being deployed, according to reports in Seoul.

These “human torpedo” squads were said to involve small submarines and navigated so close to the target that their torpedoes or explosives blow up both target and the attackers, SKY News reports.

They can also be timed to explode while the attackers escape from the vessel, the mass-circulation South Korean newspaper Chosun Ilbo reported.

The attack by North Korea was in retaliation for an earlier defeat, the report added.

“It is the military intelligence’s assessment that the North attacked with a heavy torpedo,” a military source was quoted as saying by the news agency Yonhap.

“The military intelligence has made the report to the Blue House the Presidential residence – and to the Defence Ministry immediately after the sinking of the Cheonan that it is clearly the work of North Korea’s military,” the source added.

North Korea has denied it had anything to do with the sinking, SKY News reports. (ANI)

North Korea torpedoed South’s navy ship – report

South Korea’s military believes a torpedo fired from a North Korean submarine sank its navy ship last month, based on intelligence gathered jointly with the United States, a news report said on Thursday.

The Yonhap news report appears to be the clearest sign yet that Seoul blames Pyongyang for what would be one of the deadliest incidents between the rivals since the end of the 1950-53 Korean War. It puts more political pressure on President Lee Myung-bak, but analysts do not see it triggering a war.

The military’s intelligence arm sent the report of “certain” North Korean involvement to the presidential Blue House soon after the incident, Yonhap quoted a high-ranking military source as saying.

Lee’s government has come under criticism for what many see as its overly cautious handling of possible links to North Korea. It has called for a thorough investigation of the sinking, thought to have killed 46 sailors.

Market players have been calmed by the South’s measured response, seeing Seoul as unlikely to take aggressive moves that would escalate into armed conflict and harm the export-driven economies of North Asia, responsible for about one-sixth of the global economy.

South Korea’s defence ministry had no comment on the report.

“North Korean submarines are all armed with heavy torpedoes with 200 kg (441 lb) warheads,” the military source was quoted as saying by Yonhap. “It is the military intelligence’s assessment that the North attacked with a heavy torpedo.

“The military intelligence has made the report to the Blue House and to the Defence Ministry immediately after the sinking of the Cheonan that it is clearly the work of North Korea’s military,” the source was quoted as saying.

South Korea plans to soon raise the front half of the 1,200-tonne Cheonan, which went down near a disputed sea border with North Korea, and will issue its verdict on the cause of the explosion that sank the warship after that.

Analysts said there is little South Korea can do even if Pyongyang is found to be the culprit, because a military response was likely to hurt its own quickly recovering economy and bolster North Korean leader Kim Jong-il’s standing at home.

Lee ended a decade of no-questions-asked aid to the destitute North and called for a hardline push for Pyongyang to disarm.

“The nuclear issue has still not been resolved. This and the Cheonan incident all serve to inflict a negative impact on the Lee administration,” said Lee Nam-young, a political analyst at the Sejong University in Seoul.

The reclusive North has denied it had anything to do with the sinking near the disputed sea border off the west coast that has been the scene of two deadly naval battles in the past decade.

It accused Lee of using the incident for political gains ahead of crucial local elections in June.

South Korea has few economic options left to hurt the North. It has already suspended its unconditional handouts that once were worth more than $1 billion to the North, which has an estimated yearly GDP of $17 billion.

The greatest risk to the region is a brief armed conflict where North Korea fires tens of thousands of artillery shells into the Seoul area, home to about half of the South’s 49 million people, and fires its hundreds of missiles at major cities in the South and Japan.

Yonhap said the South Korean and U.S. military suspected the North was stepping up drills to infiltrate a submarine south of the naval border, hidden among Chinese fishing boats, and wage a surprise attack against the South.

(Reporting by Jack Kim and Christine Kim; Editing by Jon Herskovitz and Alex Richardson)

FACTBOX-Security developments in Afghanistan, April 11

April 11 (Reuters) – Following are security developments in Afghanistan at 1730 GMT on Sunday:

* Shows new or updated item.

KANDAHAR – Four Afghan deminers were killed and 18 others were wounded by a homemade bomb on Saturday in Daman district of southern Kandahar province, said Mohd Ibrahim, a doctor at the main hospital in the province said.

* KUNDUZ – Three Afghan soldiers were killed during a clash with Taliban insurgents in an area of northern Kunduz province overnight, the Defence Ministry said on Sunday.

* KUNDUZ – President Hamid Karzai cancelled a planned meeting with the German troops of the NATO-led force after rockets landed outside the troops’ base in Kunduz on Sunday, an officer for the troops said.

* SOUTHERN AFGHANISTAN – Two service members from the NATO-led force were killed by homemade bombs in separate incidents in the south of the country, the alliance said.

* GHAZNI – An Afghan army soldier opened fire on NATO-led troops, slightly wounding one of them on Saturday in Ghazni province to the southwest of Kabul, an alliance official said.

* BADAKHSHAN – Afghan Taliban ambushed a convoy carrying provincial police officials of northeastern Badakhshan late on Saturday, wounding a district police chief and killing one of his body guards, an official said on Sunday. (Compiled by Jonathon Burch, Peter Graff and Sayed Salahuddin; Editing by Raju Gopalakrishnan)

India to open 100 Kashmir peaks to foreign climbers

SRINAGAR, India, April 9 (Reuters Life!) – Mountaineers, rejoice: India will, for the first time, allow foreign climbers to scale more than 100 high-altitude peaks this summer in the Himalayan state of Kashmir.

Officials said the move was an effort to boost the scenic region’s ailing tourism industry, hit by two decades of separatist rebellion. Officials say 60 percent of Kashmiris are dependent on tourism.

Kashmir was once dubbed the Switzerland of the east. It was once a mecca for climbers, skiers, honeymooners and film-makers drawn to the state’s soaring peaks, fruit orchards and timber houseboats bobbing on Dal Lake in Srinagar, the summer capital.

But the number of visitors began falling after a revolt broke out in 1989 that has killed more than 47,000 people so far.

Pakistan and India have fought two wars over Muslim majority Kashmir, which is divided between the South Asian neighbours who both claim it in full. India accuses Pakistan of backing separatist militants fighting its forces. Pakistan says it only offers them political backing.

The peaks to be opened for trekking and mountaineering are situated at an altitude ranging from 3,000 meters (9,842 feet) to 7,800 meters (25,590 feet), mostly in the Eastern Karakoram mountain range of Ladakh.

“This summer 104 peaks in Ladakh region will open for trekking and expeditions which would pave the way for adventure tourism and attract foreign tourists in a big way,” Nawang Rigzin Jora, Kashmir’s tourism minister, told Reuters.

“The defence ministry, which had earlier expressed reservation on throwing open the peaks, has given its nod.”

The mountainous Ladakh region along India’s border with Pakistan and China, which has been largely free of rebel violence, is a heavily militarised zone.

“The situation is fast improving in the state and tourism is picking up, we hope a very good (tourist) season ahead,” Jora added.

Officials say violence involving Indian troops and separatist militants has declined since a peace process began in 2004 between India and Pakistan.

But people are still killed in daily shootouts and occasional bomb attacks.

Many foreign governments still advise against travel to Kashmir, where six Western tourists were infamously abducted while trekking in 1995. Of the six, a Norwegian was beheaded, an American escaped and the rest are presumed dead.

Tourism operators say opening new peaks will help Kashmir tourism but they remain sceptical about a lasting peace in the region.

“Climbers will definitely find plenty to love in this remote and stunningly beautiful region, and this will help our business in a big way,” Umar Tibatbakal, a tour operator said. “But Kashmir is unpredictable, violence can break out any time.”

(Editing by Matthias Williams and Miral Fahmy)

China denies hacking Indian Defence Ministry computers

New Delhi, Apr 7 (ANI): China has denied that Chengdu-based hackers stole information from the Indian Defence Ministry.

A group of researchers at the Munk Centre for International Studies at the University of Toronto claimed that a cyber-espionage group based in southwest China stole documents from the Indian Defence Ministry and emails from the Dalai Lama’s office.

The hackers allegedly stole classified reports about security in several Indian states, and about several Indian missile systems.

“China firmly opposes any kind of cyber crime, including cyber attacks. The cyber attack is an international issue requiring the cooperation and joint efforts of the international community,” Foreign Ministry spokesperson Jiang Yu told reporters.I don’t know what evidence these people have, or what their motives are,” the China Daily quoted Jiang said, as referring to the researchers.

The spokesperson added that China could investigate if these allegations were provided with evidence.

“Our policy is very clear. We resolutely oppose all Internet crime, including hacking,” she said.

The “cyberspies” used popular online services, including Twitter, Google groups and Yahoo mail, to access infected computers, ultimately directing them to communicate with command and control servers in China, said the report released by the Munk Centre, entitled Shadows in the Cloud.

Stolen documents recovered by the researchers contained sensitive information taken from India’s National Security Council Secretariat, the group of researchers said.

“We have heard about the hacking report and the concerned department is looking into the case,” said Sitanshu Kar, Indian Defence Ministry’s spokesman. (ANI)

Thirteen arrested over Iraq village killings

Iraqi security forces arrested 13 suspects and blamed the al Qaeda militant group on Wednesday for killing 24 people in a village near Baghdad last week.

The attack was one of a series that prompted Prime Minister Nuri al-Maliki to step up security in the capital, a month after a parliamentary election that Iraqis had hoped would stabilise their nation after years of sectarian warfare.

Gunmen wearing military uniforms stormed Albusaifi, a Sunni Muslim village south of Baghdad, on Friday. Among those killed were former members of the Awakening movement, or Sons of Iraq — insurgents who turned against al Qaeda and helped turn the tide of the war.

“It was a criminal incident and the print of the al Qaeda organization was clear,” Major General Ali al-Fraji, the head of army security south of Baghdad, said at a news conference.

The defence ministry said 16 people were involved in the attack on Albusaifi, all members of one family. Thirteen were arrested and 10 had confessed, Fraji said, though he did not specify the charges.

The March 7 vote produced no clear winner and could deepen Iraq’s sectarian divide, stirring fears of increased violence as politicians jockey for positions in a new coalition government.

The Albusaifi killings were followed two days later by suicide car bomb attacks on foreign embassies in Baghdad that killed at least 41 people and wounded more than 200.

On Tuesday, coordinated bombings across Baghdad destroyed seven buildings and killed at least 35 people.

The formation of a new government could still be weeks or months away, raising concerns about a power vacuum that could cause violence.

Sectarian killing exploded when politicians took more than five months to agree on a government after the parliamentary elections in 2005.

(Reporting by Jim Loney, editing by Paul Taylor)

Lieutenant General Bikram Singh takes over as GOC-in-C of Eastern Command

Kolkata, Apr 1(ANI): Lieutenant General Bikram Singh on Thursday assumed office of the General Officer Commanding–In-Chief (GOC-in-C) of the Eastern Command in Kolkata.

An alumnus of the National Defence Academy, Lieutenant General Singh was commissioned into the Sikh Light Infantry Regiment in 1972.

He is a Post Graduate from the Defence Services Staff College, Wellington, and has done the Higher Command Course at Mhow and the US Army War College, Pennsylvania.

With over 38 years of active service, he has held a number of important command and staff appointments.

He commanded an infantry battalion in the northeast and along the Line of Control in Jammu and Kashmir.

He was the Corps Commander of the prestigious 15 Corps in his last command tenure.

Lieutenant General Singh has also served in three United Nations (UN) peacekeeping missions.

In his last UN assignment, he was the Deputy Force Commander and GOC of a multinational division in Africa, comprising officers and troops of 48 nationalities.

He has been awarded the Uttam Yudha Seva Medal (UYSM), Ati Vishisth Seva Medal (AVSM), Sena Medal and Vishisht Seva Medal (VSM) for his meritorious service so far.

He has also held some important staff appointments at Army Headquarters, which include, two tenures each in the Directorate General of Military Operations and the Directorate General of Perspective Planning. Before taking over as GOC-in-C, Eastern Command, he was the Director of General of Staff Duties at IHQ of Defence Ministry (Army). (ANI)

U.S. general apologises for Dutch gay soldier remark

Wed, Mar 31 08:41 AM

A retired U.S. general has apologised for comments this month linking the defeat of Dutch troops by Serb forces at Srebrenica in July 1995 to the presence of openly gay soldiers in the Dutch military.

On March 18, former NATO Supreme Allied Commander John Sheehan told a U.S. congressional hearing that European armies had been weakened by efforts to “socialise” them, including allowing gay soldiers to serve.

He specifically cited the example of Srebrenica, where Serb paramilitaries overran lightly armed Dutch peacekeepers before slaughtering over 7,000 Muslim men and boys. It was Europe’s worst atrocity since World War Two, and a six-year investigation into the attack led to the fall of the Dutch government in 2002.

Sheehan said he had been told by a Dutch military commander that the Dutch felt the presence of gay soldiers was one of the reasons the peacekeepers were so easily defeated.

But in a letter on Monday to that commander, retired general Henk van den Bremmen, Sheehan acknowledged that Van den Bremmen had said no such thing at the time.

“I am sorry that my recent public recollection of those discussions of 15 years ago inaccurately reflected your thinking on some specific social issues in the military,” Sheehan said in the letter. “To be clear, the failure on the ground in Srebrenica was in no way the fault of the individual soldiers.”

The Dutch Defence Ministry provided Reuters with a copy of the letter, which it said it had “absolutely” confirmed was written and sent by Sheehan to Van den Breemen.

Sheehan’s comments caused a storm of controversy in the Netherlands, which in some ways is still scarred by the memory of events during the Bosnian conflict.

Prime Minister Jan Peter Balkenende said his comments were “beneath contempt”, the Defence Ministry called them “absolute nonsense” and the head of the gay soldiers’ group SHK called them “the ridiculous convulsion of a loner”.

Another group, calling itself the Pink Army, began soliciting donations and potential plaintiffs as it contemplated a defamation lawsuit against Sheehan in the United States. The group said it would drop those plans following the apology.

(Reporting by Ben Berkowitz; Editing by Kevin Liffey)

South Korea navy diver dies during ship search

A South Korean navy diver died on Tuesday during a rescue operation in search of 46 sailors who are believed trapped in a ship that sank on Friday near a tensely disputed maritime border with the North.

The Underwater Demolition Team member was brought to the surface unconscious after working 24 metres (79 ft) deep in search of the missing seamen, a Defence Ministry official said.

Frantic rescue efforts have been hampered by murky water and strong currents at the site, which lies just south of the disputed border and within range of North Korean artillery.

Fifty-eight crew members were rescued before the ship snapped in half and sank on Friday night.

Early reports that the North may have been involved rattled financial markets but South Korean officials later said there was no clear indication Pyongyang had played a part.

South Korea’s defence minister said on Monday nothing had been ruled out as a possible cause, including the chance the ship was struck by one of the thousands of sea mines laid by North Korea during the 1950-53 Korean War.

President Lee Myung-bak visited the site of the rescue operation on Tuesday about 170 km (105 miles) from the west coast port of Incheon. Lee ordered vigilance against the North.

North Korea has made no mention of the sinking in its official media but issued a warning on Monday about moves by the South and the United States it said could lead to unpredictable incidents.

(Reporting by Jo Yonghak; Writing by Jack Kim; Editing by Paul Tait)