FACTBOX-Security developments in Pakistan, July 25

(Reuters) – Following are security developments in Pakistan at 1630 GMT on Sunday.

* denotes new or updated items.

* SOUTH WAZIRISTAN – Two U.S. drone planes fired four missiles into a militant hideout in the lawless region of South Waziristan on the Afghan border, killing five militants and wounding four, intelligence officials in the region said.

Hours later, three drone missiles killed three Pakistani militants in a strike on a house in the same area.

The latest strikes came a day after a similar drone attack killed at least 16 militants in South Waziristan, once known as a stronghold of militants led by Pakistani Taliban leader Hakimullah Mehsud.

The Pakistan army says forces largely cleared the area in last year’s operation.

* NORTH WAZIRISTAN – Two missiles fired by a pilotless drone plane struck killed four militants in North Waziristan region, a hotbed for al Qaeda and Taliban militants on the Afghan border, security officials said.

United States has stepped up drone strikes in Pakistan’s border region since last year. (Compiled by Islamabad Bureau) (For more Reuters coverage of Pakistan, see: here)

FACTBOX-Security developments in Pakistan, June 11

(Reuters) – Following are security developments in Pakistan at 1100 GMT on Friday:

NORTH WAZIRISTAN – A U.S. drone fired three missiles into a Taliban compound in North Waziristan region near the Afghan border, killing 11 militants and wounding four, Pakistani officials said.

It was the second drone strike in the last 24 hours in the militants’ stronghold of North Waziristan. In an earlier attack, a drone killed three suspected militants. (Compiled by Islamabad Bureau; Editing by Jeremy Laurence)

Research and Markets: Lead-Acid Batteries Line Is Forecast To Expand 20 Percent Annually In The Next Few Years, With Output Reaching $10.3 Billion By 2015 Says China Sourcing Report

DUBLIN–(Business Wire)–
Research and
Markets(http://www.researchandmarkets.com/research/c5a48c/china_sourcing_rep)
has announced the addition of the “China Sourcing Report: Batteries 2010″ report
to their offering.

Battery suppliers in China will continue to ramp up production amid positive
forecasts for the industry, strengthening the country’s position as the world’s
largest supplier of the product.

The lithium battery segment is expected to lead development, riding at the back
of the environmental protection trend. It has been rising 20 percent YoY and
will remain buoyant in years to come as applications widen in portable
electronics, computers, power tools and electric vehicles.

The line is projected to experience at least 20 percent annual output growth in
the next few years, driven mainly by the consumer electronics, automotive,
computer, toy and mobile phone sectors.

NiMH is also poised for steady growth. Although lithium has dominated the
majority of applications, the former will maintain its stronghold in the global
HEV segment until 2020. Aside from HEVs, local suppliers are eyeing the markets
originally for NiCd as the cadmium-containing variant continues to dwindle in
supply.

Primary batteries such as drycell units still have a significant market share
because of their many everyday applications and low prices. Environment-friendly
rechargeable rivals, however, are expected to catch up and turn the tables on
them in future.

Projections for lead-acid batteries remain rosy, buoyed by the robust global
automotive industry. The line is forecast to expand 20 percent annually in the
next few years, with output reaching $10.3 billion by 2015.

In coming months, R&D will focus on lithium variants amid rising emphasis on
green initiatives. Makers are likewise improving waste management practices to
minimize environmental hazards.

Development efforts also revolve around enhanced safety features, wider
operating temperature and lower self-discharge rate to improve battery
performance. Toward this end, new cathode and anode materials are being eyed as
well.

Companies continue to improve operating efficiency to close the gap with foreign
counterparts in terms of automation. Upbeat projections are encouraging plans to
boost annual capital expenditure this year.

This report covers lithium, NiMH, lead-acid and dry-cell batteries.

What you’ll get

* In-depth profiles of 29 major suppliers with a comprehensive look at their
manufacturing and export capability, verified contact details, and more this
information is not available anywhere else
* 124 full-color images that depict popular batteries export models, complete
with product descriptions, prices, minimum order requirements and delivery times

* Verified supplier contact details of an additional 36 exporters, including
names, e-mails, telephone numbers and websites
* Supplier information in tabular format to help you compare companies at a
glance
* Results of the custom-designed supplier survey, which forecasts industry
trends for the next 12 months
* An extensive overview of the industry discussing the main challenges facing
suppliers
* An in-depth examination of the supplier base highlighting key characteristics
of different types of companies
* Details of the primary production centers
* An update of the latest trends in design, R&D, materials and components
* A review of the key factors that influence the price and quality of low-end,
midrange and high-end products
* Comprehensive pricing tables featuring export price ranges

Who should read this report

* CEOs, Directors, Presidents, Business Owners
* Export/ Import Managers, Sourcing Representatives, Sourcing Engineers, Supply
Chain Directors, Procurement Managers, Agents
* Sales Executives & Managers, Marketing Executives & Managers, International
Buyers
* Business Consultants, Investment Managers
* Anyone who needs to understand the China supply market

The following are some of the key trends in Chinas battery industry:

* Prices in coming months will likely remain at current levels because of a
similar trend in material costs.
* R&D will focus on lithium variants amid rising emphasis on green initiatives.
Makers are likewise improving waste management practices to minimize
environmental hazards.
* Future releases will highlight larger storage capacity to meet various power
requirements, and longer life span to extend product use and cut down rate of
disposal.
* Development efforts also revolve around enhanced safety features, wider
operating temperature and lower self-discharge rate to improve battery
performance. Toward this end, new cathode and anode materials are being eyed as
well.
* China companies continue to improve operating efficiency to close the gap with
foreign counterparts in terms of automation. Upbeat projections are encouraging
plans to boost annual capital expenditure this year.

This report covers lithium, NiMH, lead-acid and dry-cell batteries manufactured
in China. Each category has its own product section that details the mainstream
features, prices and R&D plans for the main types. Raw materials and components
are also discussed.

The Industry Overview elaborates on the status of each segment, covering key
growth drivers, major challenges and strategies to address them, and projections
for the line in coming years.

There are more than 2,000 suppliers of various batteries in China. The majority
of the companies are engaged in the manufacture and export of lithium variants.
Guangdong province plays host to the most number of enterprises, which benefit t
from the areas abundant supply of zinc, manganese oxide, carbon and steel. The
others are located in Jiangsu, Zhejiang, Hubei, Fujian and Shandong provinces.

Methodology:

To produce this report, the author surveyed a wide range of suppliers. Rather
than focus simply on high-profile makers, we compiled a representative sample of
large, midsize and emerging manufacturers. All profiled companies are
export-oriented professional suppliers that are verified by the author.

Each supplier is confirmed to be authentic with a legally registered business.
All companies are visited three or more times to ensure they are export-ready
and have real offices and products.

The listed contact person has been verified to represent the registered company.
In each case, companies were required to answer specific questions designed to
verify their manufacturing and export credentials.

All profiled suppliers participated in a survey designed to provide insight into
product and price trends, and challenges facing the industry in the next 12
months. All survey questions are single choice. Results were calculated based on
the actual number of valid responses to each question. Suppliers are ranked
based on a 6-star ranking system. Companies with a higher star ranking provide
more business information and verification reports on their online homepages.

Suppliers rated 5 or 6 stars have a Credit Check report from First Advantage or
Sino-Trust and a Supplier Capability Assessment report provided by Bureau
Veritas online.

For more information visit

http://www.researchandmarkets.com/research/c5a48c/china_sourcing_rep

Research and Markets
Laura Wood, Senior Manager,
press@researchandmarkets.com
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716

Copyright Business Wire 2010

Analysis: Slow Afghan gains weigh on Obama strategy

(Reuters) – The slower pace of U.S. military advances in the Taliban stronghold of Kandahar may weigh heavily on President Barack Obama’s efforts to sustain public support for the war in Afghanistan.

World

Obama has ordered a review of U.S. strategy in December and had been counting on progress in Kandahar, the Taliban’s birthplace, to show momentum is shifting and troops can start to pull out in July 2011 as planned.

But the top U.S. and NATO commander in Afghanistan, General Stanley McChrystal, said on Thursday that after lessons learned in neighboring Helmand province, he wanted more time to shore up Afghan support for the Kandahar operation and to build up local governance and capacity to get the job done.

McChrystal said he expected there would be progress by year-end but warned of “very, very difficult days” ahead and that the pace would be slower in Kandahar than expected.

The balance between military priorities and political agenda will become harder to manage as pressure mounts on the U.S. government to stick to its July 2011 pullout deadline.

Obama needs to show progress by December to bolster his case for a continued U.S. commitment and ask for more time to consolidate gains, said Lisa Curtis, an expert on Afghanistan at the Heritage Foundation, a conservative thinktank.

“But if the situation seems unchanged and there is still a stalemate then it will be much more difficult. The withdrawal date will them loom much more heavily,” added Curtis,

Kandahar had been billed as the linchpin to turn around war in Afghanistan but U.S. officials say it has been tough to win local support and show the public the Afghan government is not corrupt and can be trusted to deliver services.

“Ultimately the equation is not how many schools can we open by July of next year or how many miles of tarmac can we lay, but what is the governance situation and do people believe that the government that is there has their long term interests at heart,” said Alex Thier of the U.S. Institute of Peace.

“That is very much an open question,” added Thier, who is joining the Obama administration next week to work on Afghanistan and Pakistan issues.

KARZAI FACTOR

One big risk factor for Obama is how President Hamid Karzai handles Kandahar, where his half-brother is a powerful political figure. Karzai is set in the coming weeks to hold joint community meetings there with McChrystal.

Eyebrows were raised last weekend when Karzai fired his interior minister and intelligence chief, two cabinet members who were broadly respected by Washington and some in Congress are worried about that as well as the slowdown in Kandahar.

“I think there is some cause for concern there both to that (the slowdown), and with the firing,” said Democratic Senator Ted Kaufman.

Karzai has had prickly relations with the White House and before his visit to Washington last month there was a war of words between the two, particularly after the Afghan leader made a string of anti-Western statements.

But U.S. officials say they planned now to keep criticism of Karzai behind closed doors so that diplomatic spats did not sour activities on the battlefield.

Karzai said during his Washington visit that the issue of his brother had been “resolved”.

Kimberly Kagan, president of the Institute for the Study of War, said that despite these assurances, Karzai’s brother complicated the situation in Kandahar and NATO forces needed to serve as a buffer between the population and the government.

“The fundamental list of grievances of Afghans is that the government is predatory and they need a system of justice and they need to be able to have a say over how their community is organized,” said Kagan.

JULY PULL-OUT LOOMS

Another concern of the Afghan population is the July 2011 pullout date and whether the United States is committed long-term to the country’s interests.

“I think one of the biggest problems is the president’s continued statement that we’re leaving in the middle of next year. It gives a degree of uncertainty to our allies and gives encouragement to our adversaries,” said Arizona Sen. John McCain, ranking Republican on the Armed Services Committee.

Another circle on Obama’s political timetable will be U.S. congressional midterm elections in November where his own Democratic Party is expected to lose some seats.

However, several experts said that could actually work in Obama’s favor as Republicans tend to be more supportive of the Afghan war effort than some Democrats are, particularly the more liberal wing of his party.

(Additional reporting by Susan Cornwell)

ANALYSIS-Slow Afghan gains weigh on Obama strategy

WASHINGTON, June 11 (Reuters) – The slower pace of U.S. military advances in the Taliban stronghold of Kandahar may weigh heavily on President Barack Obama’s efforts to sustain public support for the war in Afghanistan.

Obama has ordered a review of U.S. strategy in December and had been counting on progress in Kandahar, the Taliban’s birthplace, to show momentum is shifting and troops can start to pull out in July 2011 as planned.

But the top U.S. and NATO commander in Afghanistan, General Stanley McChrystal, said on Thursday that after lessons learned in neighboring Helmand province, he wanted more time to shore up Afghan support for the Kandahar operation and to build up local governance and capacity to get the job done.

McChrystal said he expected there would be progress by year-end but warned of “very, very difficult days” ahead and that the pace would be slower in Kandahar than expected.

The balance between military priorities and political agenda will become harder to manage as pressure mounts on the U.S. government to stick to its July 2011 pullout deadline.

Obama needs to show progress by December to bolster his case for a continued U.S. commitment and ask for more time to consolidate gains, said Lisa Curtis, an expert on Afghanistan at the Heritage Foundation, a conservative thinktank.

“But if the situation seems unchanged and there is still a stalemate then it will be much more difficult. The withdrawal date will them loom much more heavily,” added Curtis,

Kandahar had been billed as the linchpin to turn around war in Afghanistan but U.S. officials say it has been tough to win local support and show the public the Afghan government is not corrupt and can be trusted to deliver services.

“Ultimately the equation is not how many schools can we open by July of next year or how many miles of tarmac can we lay, but what is the governance situation and do people believe that the government that is there has their long term interests at heart,” said Alex Thier of the U.S. Institute of Peace.

“That is very much an open question,” added Thier, who is joining the Obama administration next week to work on Afghanistan and Pakistan issues.

KARZAI FACTOR

One big risk factor for Obama is how President Hamid Karzai handles Kandahar, where his half-brother is a powerful political figure. Karzai is set in the coming weeks to hold joint community meetings there with McChrystal.

Eyebrows were raised last weekend when Karzai fired his interior minister and intelligence chief, two cabinet members who were broadly respected by Washington and some in Congress are worried about that as well as the slowdown in Kandahar.

“I think there is some cause for concern there both to that (the slowdown), and with the firing,” said Democratic Senator Ted Kaufman.

Karzai has had prickly relations with the White House and before his visit to Washington last month there was a war of words between the two, particularly after the Afghan leader made a string of anti-Western statements.

But U.S. officials say they planned now to keep criticism of Karzai behind closed doors so that diplomatic spats did not sour activities on the battlefield.

Karzai said during his Washington visit that the issue of his brother had been “resolved”.

Kimberly Kagan, president of the Institute for the Study of War, said that despite these assurances, Karzai’s brother complicated the situation in Kandahar and NATO forces needed to serve as a buffer between the population and the government.

“The fundamental list of grievances of Afghans is that the government is predatory and they need a system of justice and they need to be able to have a say over how their community is organized,” said Kagan.

JULY PULL-OUT LOOMS

Another concern of the Afghan population is the July 2011 pullout date and whether the United States is committed long-term to the country’s interests.

“I think one of the biggest problems is the president’s continued statement that we’re leaving in the middle of next year. It gives a degree of uncertainty to our allies and gives encouragement to our adversaries,” said Arizona Sen. John McCain, ranking Republican on the Armed Services Committee.

Another circle on Obama’s political timetable will be U.S. congressional midterm elections in November where his own Democratic Party is expected to lose some seats.

However, several experts said that could actually work in Obama’s favor as Republicans tend to be more supportive of the Afghan war effort than some Democrats are, particularly the more liberal wing of his party. (Additional reporting by Susan Cornwell)

U.S. believes it killed al Qaeda No. 3

(Reuters) – Al Qaeda’s third-in-command, whose role spanned from operations to fundraising, is believed to have been killed last month in a U.S. missile strike in Pakistan, dealing a serious blow to the embattled group.

World

Sheikh Sa’id al-Masri, also known as Mustafa Abu al-Yazid, was believed to be killed along with members of his family in a strike by a pilotless CIA-operated drone attack. Al Qaeda confirmed his death in a statement on a Islamist website earlier on Monday.

“We have strong reason to believe … that al-Masri was killed recently in Pakistan’s tribal areas,” a U.S. official in Washington said on condition of anonymity. “In terms of counterterrorism, this would be a big victory.”

A Pakistani security official said Yazid was most probably killed in a missile strike in North Waziristan on the night of May 21.

“We had a report at the time that one Arab was killed in that strike with some of his family members and I think it was probably him,” said the official, who declined to be named.

The attack targeted a house owned by a tribesman some 25 km (15 miles) west of Miranshah, the main town in North Waziristan, a stronghold of al Qaeda and Taliban militants that borders Afghanistan.

Intelligence officials at the time said six militants were killed but residents said 12 people, including four women and two children, were killed. Six women and two children were wounded and treated at a hospital in Miranshah, residents said.

“He was known as Mustafa in the area. His wife was killed in the strike,” a resident of the village where attack took place said on condition of anonymity.

The U.S.-based SITE Intelligence Group, which monitors Islamist websites, said earlier on Monday that al-Qaeda announced al-Masri’s death in an Internet posting.

In addition to al-Masri, the announcement stated that his wife, three of his daughters, his granddaughter and other men, women and children were killed, according to SITE.

The CIA has stepped up the pace of unmanned aerial drone attacks, targeting not only high-level al Qaeda and Taliban targets but largely unknown foot soldiers as well.

A U.S. official said al-Masri was widely seen as al Qaeda’s No. 3 figure and its main conduit to leader Osama bin Laden.

As al Qaeda’s chief operating officer, he had a hand in everything from finances to operational planning, the official said.

CAPACITY DAMAGED, COMMITMENT REMAINS

Analysts say his death will be a major loss for al Qaeda but there would be no weakling of the group’s fighting resolve.

“Definitely it will have an impact because it was their important figure, it’s a big loss for them but there appears to be a generational change taking place in al Qaeda where new ones are replacing old ones,” said Rahimullah Yusufzai, a newspaper editor and expert on militant affairs.

“Al Qaeda’s capacity to operate and strike has been badly damaged because of their losses in Afghanistan, Pakistan and Iraq but we have not yet seen any weakening of their commitment.”

A senior intelligence official in Islamabad said al Qaeda’s No. 3 position was “the most dangerous” rank in the group.

Five other al Qaeda leaders considered third-in-command have been killed or captured since the September 11, 2001 attacks on the United States, but al-Masri may be the most difficult to replace.

“They’re not getting enough people of the right caliber that they require as they were getting earlier,” the intelligence official said, crediting pressure from the drone strikes, Pakistani military actions in the tribal areas and stepped-up intelligence actions in the rest of Pakistan.

Yazid served as al Qaeda’s leader in Afghanistan and as well as al Qaeda’s “chief financial officer,” according to the U.S. 9-11 commission.

As chief financier, he was responsible for disbursing al Qaeda funds, making him one of the most trusted and important leaders of the group.

He was a founding member of Ayman al Zawahiri’s branch of the Egyptian Islamic Jihad, one of the original groups that merged to form al Qaeda. Following the assassination of Egyptian President Anwar Sadat in 1981, al-Masri was implicated in the killing along with Zawahiri and others, and they spent time in jail together.

He also served as a top propagandist for al Qaeda and the Taliban.

In March, U.S. officials said a drone strike in Pakistan killed a key al Qaeda planner.

Malaysians warned of rising debt without cuts

Malaysia risks becoming the next Greece unless voters swallow subsidy cuts that will see the price of petrol, food, electricity and other staples rise, a government minister warned on Thursday.

A government think-tank charged with producing plans to cut the country’s subsidy bill presented its plans to the public in a bid to win acceptance for painful cuts, which have yet to be voted on by the government.

Idris Jala, a minister in the prime minister’s department who heads the body advising the government, said that Malaysia’s debt would rise to 100 percent of gross domestic product by 2019 from 54 percent of GDP at present without the cuts.

“We don’t want to end up as another Greece,” he told a roadshow, referring to the European Union member whose debt woes have unsettled global markets.

For related graphic click on

http://graphics.thomsonreuters.com/10/MY_SBSDY0510.gif)

Malaysia spent 15.3 percent of total federal government operating spending on subsidies in its 2009 budget when its deficit surged to a 20-year high of 7 percent of GDP.

The cabinet discussed the subsidy proposals on Wednesday, but any decision on cuts could be months away, a government source told Reuters.

Political analysts and economists say the failure of the government to push through previous subsidy cuts casts doubt on whether it can do it this time, especially with state elections looming in Sarawak, a government stronghold that is under threat from the opposition.

The proposals presented would see petrol prices for the benchmark RON95 blend rise by an initial 15 sen (Malaysian cents) per litre from their current price at some stage this year.

The benchmark RON 95 grade currently costs 1.80 ringgit ($0.543) per litre.

Under the proposals presented by the advisory body, the price of petrol would be hiked some time this year followed by two price hikes totalling 20 sen per litre in 2011 and two more totalling 20 sen per litre in 2012.

In 2013-2015, the price hikes would slow and by the end of 2015, the price of RON95 would stand at 2.60 ringgit per litre, according to the plans that have yet to be approved by the government.

The forecasts were based on a crude oil price forecast of $73.06 per barrel for 2011 and $79.41-$94.52 for 2013-2015.

(Reporting by Royce Cheah and Razak Ahmad; Writing by David Chance; Editing by Liau Y-Sing and Sugita Katyal)

30 killed in drug related clashes in Jamaica

Mexico City, May 26 (DPA) At least 26 civilians were killed in the Jamaican capital of Kingston as police stormed a drug gangster’s stronghold and violence spread to outlying regions, local media reported Tuesday.

The deaths confirmed by the Jamaica Constabulary Force would bring to 30 the number of people, including three members of the security forces, killed since clashes began over the weekend.

Another 25 people have been injured and more than 200 arrested.

The clashes broke out when military and police officials attempted to arrest accused drug kingpin Christopher ‘Dudus’ Coke, wanted in the US on criminal charges. He is believed to be hiding in the Tivoli Gardens neighbourhood of the capital, where the clashes have centred.

Explosions were heard near the quarter in the capital, and heavy clouds of smoke rose from the area late Monday, according to local media reports.

Violence initially broke out Sunday after Jamaican Prime Minister Bruce Golding vowed to extradite Coke to the United States.

Police reportedly came under fire in parts of West Kingston Sunday, and a police station was set ablaze after being abandoned by besieged officers who had run out of ammunition.

In response, Golding declared a month-long state of emergency in parts of the capital and outlying St Andrew, media reports from the Caribbean island said.

Strategy and timing of North Waziristan offensive Pak’s discretion: NATO

Islamabad, May 21 (ANI): A top North Atlantic Treaty Organisation (NATO) official has said that it is for Pakistan to decide as to when it wants to launch an offensive against the Taliban and other extremists in North Waziristan.

“It is for Pakistan to set its strategy and the timings,” The Daily Times quoted NATO’s deputy assistant secretary general Robert Simmons, as saying.

Pakistan has already made it clear that it would not succumb to any pressure from the United States as regards the timing of the offensive in the Taliban’s stronghold, and that any decision in this regard would be ‘sovereign’.

“Be it the Tribal Areas or any other part, Pakistan will proceed in accordance with its own priorities and plans.” Foreign Office (FO) spokesperson Abdul Basit said while responding to a question whether Islamabad would launch a full-fledged military offensive in North Waziristan, the Taliban stronghold, for which the Obama administration has been piling pressure on it.

“Be it the Tribal Areas or any other part, Pakistan will proceed in accordance with its own priorities and plans,” Basit said during a regular press briefing here.

It may be noted that President Obama’s top two security advisors National Security Adviser General James Jones and Central Investigation Agency (CIA) chief Leon Panetta were recently in Islamabad with a White House’ message that Pakistan, without wasting any more time, should initiate an operation against the extremists flourishing in the tribal regions along the Afghanistan border. (ANI)

North Waziristan offensive Pak’s ‘sovereign’ decision: FO

Islamabad, May 21 (ANI): Pakistan has made it clear that it would not succumb to any pressure from the United States about when to launch an offensive in North Waziristan, and that any decision in this regard would be ‘sovereign’.

“Be it the Tribal Areas or any other part, Pakistan will proceed in accordance with its own priorities and plans.” Foreign Office (FO) spokesperson Abdul Basit said while responding to a question whether Islamabad would launch a full-fledged military offensive in North Waziristan, the Taliban stronghold, for which the Obama administration has been piling up pressure on it.

“Be it the Tribal Areas or any other part, Pakistan will proceed in accordance with its own priorities and plans,” Basit said during a regular press briefing here.

It may be noted that President Obama’s top two security advisors National Security Adviser General James Jones and Central Investigation Agency (CIA) chief Leon Panetta were recently in Islamabad with a White House’ message that Pakistan, without wasting any more time, should initiate an operation against the extremists flourishing in the tribal regions along the Afghanistan border.

Responding to a question regarding the massive increase in number of US officials in Pakistan, he said except India there was no fixed quota for diplomatic presence of any other country.

“Pakistan and India have a mutual agreement about maximum number of personnel in their respective high commissions in Islamabad and New Delhi,” The Daily Times quoted Basit, as saying. (ANI)

Pak Army Major arrested over alleged links with failed Times Square bomber

Los Angeles, May 19 (ANI): Pakistani security agencies have reportedly arrested an Army major, who is said to have had contacts with Faisal Shahzad, the US civilian of Pakistan origin accused of plotting the botched Times Square bombing.

It is for the first time that a Pakistan Army official has been linked directly in the failed bombing plot, however, authorities are mum on the major’s links with Shahzad.

Sources privy to the arrest said that the military official had met Shahzad and that both had frequent chats over the cellphone also, The Los Angeles Times reports.

Meanwhile, US and Pakistani agencies continue to investigate Shahzad’s terror trail, and the truth behind his claims that he had met the Tehreek-e-Taliban Pakistani (TTP) chieftain Hakimullah Mehsud during one of his many visits to the extremist stronghold North Waziristan.

Shahzad, who appeared in a court in New York on Tuesday, has told U.S. investigators that he had gone to North Waziristan, where he met with Taliban leaders and got training in bombmaking.

According to Pakistani and US officials briefed about the investigations, Shahzad had likely visited Mohmand, a lawless tribal region along the Pakistan-Afghanistan border which is considered as the hub of the Taliban and other extremist outfits. (ANI)

25 killed, over 100 hurt in Iraq blasts

Baghdad, May 15 (IANS) Twenty-five people were killed and over 100 injured Friday in two bomb attacks in Iraq’s northern Nineveh province, police said.

An explosives-laden car was detonated targeting a football match played between two local teams in Telaffer city of Nineveh province. Minutes after the initial blast, a suicide bomber blew himself up in the middle of a crowd who gathered at the site, Xinhua reported citing police.

The Nineveh province is a stronghold of Al Qaida terrorists.

Indonesian police uncover plot to kill president

Indonesian security forces say they have uncovered a plot to assassinate president Susilo Bambang Yudhoyono.

They say Indonesian militants captured in recent raids were planning to strike during an Independence Day ceremony in August.

Police say all government officials and state guests attending the event would have been targets.

The authorities say the militants were also planning to kill Western nationals in Jakarta and Java by laying siege to hotels in a Mumbai-style attack.

National police chief Bambang Hendarso Danuri said 58 terror suspects have been arrested and 13 people killed in anti-terrorism raids in the past three months.

He said one of the arrested suspects was set to collect firearms and a grenade launcher from an Islamist stronghold on Mindanao, the main island in the southern Philippines, to be used in the planned attack.

Experts said the recent raids found that terrorists in Indonesia may be shifting their strategy from bombings to military-style shootouts.

U.S. arrests three in Times Square bomb probe

Investigators arrested three people linked to the suspect in the failed Times Square bombing during raids on Thursday in suburbs of New York, Boston and Philadelphia but officials said there was no new threat.

The three arrested people may have provided money to Faisal Shahzad, who is accused of trying to set off a crude bomb made of fuel and fireworks in a vehicle parked in New York’s Times Square on May 1, U.S. Attorney General Eric Holder said.

In Pakistan, authorities have arrested a man linked to the Pakistani Taliban who said he helped Shahzad travel to Pakistan’s tribal areas for bomb-making training, the Washington Post reported.

The man provided an “independent stream” of evidence that the Tehrik-e-Taliban Pakistan (TTP) was behind the failed attack, the newspaper said, citing U.S. officials.

The TTP claimed responsibility for the attempted bombing. If proven, it would be the group’s first act in the United States.

Shahzad, a naturalized U.S. citizen from Pakistan, has admitted to the plot and to receiving bomb-making training in a Taliban and al Qaeda stronghold in Pakistan, prosecutors said, but he claims to have acted alone.

The Boston-area searches occurred at a house in Watertown, where two people were known to have been taken into custody, and at a gasoline station in affluent Brookline.

U.S. federal agents could be seen carrying boxes, envelopes and a crowbar out of the multifamily building in Watertown, a working-class town with a large Middle Eastern community.

Massachusetts authorities said the people had been under surveillance for some time but did not specify how long.

“These are people who are connected to Mr. Shahzad. We’re still trying to determine exactly what the nature of that connection was,” Holder told reporters in Washington.

“There’s at least a basis to believe that one of the things that they did was provide him with funds,” he said, calling the arrests a significant step.

He said investigators were looking into whether those arrested knew what the money would be used for.

A law enforcement source said the two people arrested near Boston were Pakistani. The third arrest occurred in South Portland, Maine, according to local media.

In 2001, two men suspected in the Sept. 11 attacks, including accused mastermind Mohammed Atta, left Portland to fly to Boston, where they hijacked one of the airliners that was crashed into New York’s World Trade Center.

The New York searches were in the towns of Shirley and Centereach on Long Island, while the searches in New Jersey were in Cherry Hill and Camden, not far from Philadelphia. The FBI said there were no arrests in New York or New Jersey.

The U.S. Attorney’s Office in New York and the U.S. Immigration and Customs Enforcement (ICE) in Washington said earlier that the three people were taken into custody for alleged immigration-related violations.

NO KNOWN THREAT

Also on Thursday, President Barack Obama visited New York Police Department headquarters to thank officers involved in the Times Square case.

The searches follow the arrest of Shahzad, who was detained as he tried to leave the United States on a Dubai-bound flight two days after the failed attack in New York.

He has been charged with attempting to use a weapon of mass destruction and trying to kill and maim people.

Holder said the searches were “the product of evidence that has been gathered in the investigation … and do not relate to any known immediate threat to the public or active plot against the United States.”

“We now believe that the Pakistani Taliban was responsible for the attempted attack,” Holder said.

Investigators are also looking at possible links to a Kashmiri Islamist group.

In Washington, Secretary of State Hillary Clinton said that despite its recent improved efforts, Pakistan must do more to fight extremists on its soil.

“We think that there is more that has to be done and we do fear the consequences of a successful attack that can be traced back to Pakistan because we value a more comprehensive relationship,” she said at the U.S. Institute of Peace.

The Al Jazeera news agency reported a statement from Taliban spokesman Azam Tariq as saying: “God willing, one of those days, a car like this will explode in America.”

“And America will not be the only target but also all the countries which are allied with it. America and all its allies will burn,” the statement said.

(Additional reporting by Jeremy Pelofsky and Sue Pleming in Washington, Ros Krasny in Boston and Ross Colvin, Daniel Trotta, Michelle Nichols and Christine Kearney in New York; Editing by Philip Barbara and John O’Callaghan)

Malaysia by-election campaign starts in key Borneo state

Campaigning began on Saturday for a Malaysian by-election in a government stronghold state whose outcome could boost Prime Minister Najib Razak’s confidence to call snap national polls as early as next year.

The race for the mainly urban and ethnic Chinese parliament seat of Sibu in the timber and resource rich Borneo state of Sarawak pits a party in Najib’s National Front coalition against the opposition Democratic Action Party (DAP).

The May 16 vote will not alter the balance of power but Najib’s ability to reverse the coalition’s record losses in the last general election in 2008 will require strong support in Sarawak, which provides it with 30 of its 137 seats in parliament.

Analysts say a strong government win in Sibu could embolden Najib to call for state-wide elections in Sarawak by the end of this year followed soon after by general elections, which do not have to be held until 2013.

An opposition win in Sibu would help the People’s Alliance grouping, of which the DAP is a member, remain on track as a contender to wrest federal power after a series of recent setbacks including the resignation of four of its MPs.

VOTING TREND

“Sibu will be an indicator of the voting trend in the upcoming Sarawak state election. If the opposition wins the seat by a big margin it will be a big worry for Najib going ahead,” said James Chin, a politics professor at Monash University in Kuala Lumpur.

Najib took office in April last year pledging economic and political reforms to woo lagging investment and turn back his ailing coalition from the 2008 polls losses. [ID:nSGE62T035]

The National Front, which has ruled the Southeast Asian country uninterrupted for 52 years since Independence from Britain in 1957, lost control in five of Malaysia’s 13 states and its once iron clad two-thirds control of parliament.

The uncertainties have helped dent foreign investment, with net portfolio and direct investment outflows reaching $61 billion in 2008 and 2009 according to official data.

Retention improved this year, mainly into a bond market fuelled by a Malaysian interest rate hike and the use of the ringgit as a proxy for a possible Chinese yuan revaluation, although Malaysian assets have been hit by risk aversion due to investor fears that Greece may default.

Political tensions in Malaysia are also being fueled by opposition leader Anwar Ibrahim’s ongoing trial for sodomy that resumes next week and which he says is a political conspiracy. [ID:nSGE6430A0]

A contentious verdict in the trial that ends late August could anger his supporters and lead to a repeat of the street demonstrations that rocked the capital following Anwar’s sacking as Deputy Prime Minister in 1998, political analysts have said.

(Editing by David Fox)

US describes Marja offensive as a success

Kandahar, May 7 (ANI): While terming their offensive on the Taliban stronghold of Marja as successful, American officials maintain that steep challenges remain insofar as improving local government functions throughout Afghanistan is concerned.

As Afghan President Hamid Karzai prepares to travel to Washington next week, Pentagon officials hope the upcoming visit will lead to an improvement in ties between the two countries.

According to the Los Angeles Times, lawmakers, military officers and other officials are looking closely at the Marja campaign and its aftermath for lessons that can be applied to the upcoming offensive in Kandahar.

American officials have said that they will try to build up and improve local government in Kandahar concurrently with military operations in the city.

Brigadier General. John W. Nicholson Jr., who directs the Pentagon”s Pakistan-Afghanistan Coordination Cell, called Marja a “work in progress, but trending in the right direction.” (ANI)

Shahzad’s ex-PAF chief father taken into custody for interrogation

Lahore, May 7 (ANI): Former Pakistan Air Force Chief Air Vice Marshal Baharul Haq, the father of Faisal Shahzad, who has been accused of plotting the failed Times Square bombing, has been taken into custody for interrogation.

According to The Daily Times, Pakistani intelligence agencies have arrested Haq for questioning his son’s involvement in last week’s bungled bombing attempt at New York’s Times Square.

It may be noted that Haq along with his other family members had vacated their Hayatabad house and left for an undisclosed location just hours after news regarding Shahzad’s involvement in the bombing plot was flashed.

Haq was seen vacating his house situated in a posh locality of Hayatabad town as soon as media started converging outside his residence to learn more about Shahzad, a private television channel said.

Eyewitnesses said Haq along with other male and female members of the family left for some unknown destination in a car to avoid the media glare.

None of Shahzad’s family members have spoken to the media about his arrest in New York over alleged involvement in terror activities.

Air Vice Marshal Haq had retired from the Pakistan Air Force few years ago. His brother Major General (retired) Tajul Haq reportedly served as the Inspector General of Frontier Corps (IGFC).

Shahzad, 30, was arrested on Tuesday while he was trying to board a plane to Dubai. Soon after his arrest media reports said that eight to ten people had also been arrested in Pakistan in connection with the failed bombing plot.

Earlier, US officials said Shahzad has admitted to his role in the Times Square bombing plot, saying he had received bomb-making training in Pakistan.

During interrogation, Shahzad, who had returned from Pakistan in February, said that he received training in the restive tribal region in Pakistan along the Afghanistan border, a stronghold of the Tehreeke-e-Taliban Pakistan (TTP), adding that he was alone in the bombing plot and didn’t receive any help from banned terror groups operating from that region. (ANI)

Woman fined for wearing burka in Italy

Italian police have fined a Muslim woman for wearing a full Islamic veil in a street in the northern city of Novara, possibly the first such incident in Italy, city officials said.

“City police ticketed her last night and she will have to pay a 500-euro ($715) fine,” Mauro Franzinelli of the Novara municipal police said.

“As far as I know this is a first in Italy.”

Novara, in Italy’s north-eastern Piedmont region, is a stronghold of the anti-immigration Northern League, a key party in prime minister Silvio Berlusconi’s conservative government.

The woman, a Tunisian national, was stopped by police officers outside a post office in the company of her husband.

When her husband refused to have her identified by male officers they called in a patrol comprising a woman officer.

“City hall adopted a decree in late January banning the burka in public places and their vicinity, which is based on a commentary by the interior ministry who received a copy of the draft,” said Mr Franzinelli.

Covering one’s face – with a veil or a motorcycle helmet – in public has been banned in Italy since 1975.

10 policemen injured in NWFP suicide attack

Peshawar, Apr.24 (ANI): At least 10 policemen were wounded when a suicide attacker targeted a prison van in Pakistan’s troubled tribal region of North West Frontier Province (NWFP).

Senior police officials said that the attackers came in an explosives laden car, which they rammed into the prison van as it arrived at a jail in Timergarh town of the Lower Dir District.

The prison vehicle was empty at the time of the attack, The Dawn reports.

“We have found the engine of the car used in the attack and some body parts of the bomber including his sliced head from the site,” senior police official Shakeel Ahmad said.

Another senior police official, Qazi Jamil, confirmed the attack, saying: “It was a suicide attack targeting the police van.”

Timergarah, which is situated near the Afghan border, was a stronghold of the Taliban 2009 when the Pakistan Army launched a major offensive and established its control over the region.

Extremists have been targeting security forces stationed in the region since they were forcibly flushed out last year, which shows that they still hold ground. (ANI)

Factbox: Key risks to watch in Kyrgyzstan turmoil

(Reuters) – Following last week’s uprising in Kyrgyzstan, the main questions remain whether violence rises and how the United States, Russia and China react to turmoil in a country where all have interests.

World | China | Russia | Kyrgyzstan

The United States leases the Manas airbase to support NATO troops in Afghanistan. Russia also leases a base, while China has a long border with Kyrgyzstan and will be concerned for the growing number of Chinese residents and businesses there.

A Russian official has said Moscow alone should have a base in Kyrgyzstan.

Domestic strains appear to be the main reason for the uprising.

VIOLENCE OR STABILISATION?

Around 80 people were killed in the uprising that forced President Kurmanbek Bakiyev to flee to his southern stronghold, and Bakiyev is now hinting he may attempt to go into exile.

The new leadership, led by former opposition leader Roza Otunbayeva, looks to be in control of the security forces, some of whom fired on opposition demonstrators last week.

The self-proclaimed government at first offered Bakiyev safe passage abroad should he resign but on Monday said it was planning a special operation against him after he warned that any attempt to seize him would lead to bloodshed. It now says it wants to put him on trial.

However, on Tuesday Bakiyev hinted he could leave the country if the interim government guarantee his safety and that of his family.

What to watch:

– Does Bakiyev yield, or does the self-proclaimed government move against him? Does he have sufficient support to attack in Bishkek or control areas in the south where he has his power base and will hold rallies this week? So far, outside powers look to be abandoning him.

– What happens with the security forces? So far, they look to have switched loyalty to the new leadership. Is this the case across the country, particularly in the south? What happens to commanders involved in shooting opposition demonstrators?

– Does looting continue and is it put down? So far, mining businesses and the minority Jewish community have been targeted. Does it target Chinese businesses in the capital, as some previous violence has? If so, how would China react?

– The Ferghana Valley in the south, where Bakiyev has his power base, has been the scene of ethnic violence in the past, and there are some signs that tension surrounding the ethnic Uzbek minority may not be far below the surface.

SUPERPOWER POLITICS

The United States and Russia are at loggerheads, although neither publicly acknowledges this.

Washington’s priority will be keeping its Manas base open while a Russian official with President Dmitry Medvedev’s delegation said last week Moscow wanted it closed.

A senior White House adviser on Russia told reporters in Prague: “This is not some anti-American coup. That we know for sure, and this is not a sponsored-by-the-Russians coup.”

Prime Minister Vladimir Putin has denied Russia played a part in the turmoil, but a Kyrgyz opposition leader, Omurbek Takebayev, said: “Russia played its role in ousting Bakiyev.”

So far Russia is the only country to recognize the interim government officially — although Medvedev warns the country is on the brink of civil war.

On Wednesday, a visiting U.S. diplomat said Washington was willing to help the new rulers, putting additional pressure on Bakiyev to go into exile.

Russian Prime Minister Vladimir Putin approved a $50 million aid and loan package for Kyrgyzstan hours later.

What to watch:

– How overt is Russian support for the self-proclaimed government, not to mention pressure to close the base? Does Russia offer military support?

– Does the uprising worsen broader Russia-U.S. relations just as Washington hoped they were improving?

– Do other countries — particularly the United States and China — ultimately recognize the self-proclaimed government or continue to support the ousted leadership?

– How does China react? Analysts say it had lent money to the ousted government. Does it shift to the new rulers, perhaps sweetening relations with a new loan, or support Bakiyev tacitly or overtly? Does it make any comment on the U.S. base?

AFGHANISTAN WAR

The United States has cut back flights through Manas, which officials it has been central to the war effort in Afghanistan, allowing round-the-clock combat airlift, airdrop, medical evacuation and refueling.

Pentagon officials say they have other options to Manas, although they are more expensive, and the base is not in itself essential.

U.S. officials say only around 20 percent of their supplies into Afghanistan go by air, with 30 percent transported overland through former Soviet states and 50 percent by road through Pakistan, a route which is vulnerable to attack on both sides of the border.

What to watch:

– What happens to the base? The new rulers talk of shortening of the five-year lease rather than outright immediate U.S. departure. Is it able to operate fully?

– Does the dispute prompt Washington to rethink its strategy of relying heavily on transport through the Russian sphere of influence?

ECONOMY AND INVESTMENT

Kyrgyzstan’s economic problems are seen as a big factor in the uprising. Recent energy tariff increases have been unpopular and many people are angry about alleged government corruption and recent privatization deals. The self-proclaimed government says it badly needs financial aid.

As much as 40 percent of gross domestic product is estimated to come from remittances from Kyrgyz workers in Russia, Russia’s Uralsib says.

Foreign investors are mainly Russian and Chinese, with little Western interest outside the small gold mining sector. Canadian mining company Centerra Gold and London-listed Chaarat Gold Holdings Ltd, both of which operate in the country, have seen their shares fall.

South African gold miner Gold Fields said groups of villagers had seized one of its camps, one of a series of attacks and looting episodes against businesses.

Kyrgyzstan has no significant oil and gas reserves, although Russia’s Gazprom is involved in exploration.

What to watch:

– How long does the crisis last? Analysts say there is already little Western interest in investing, but that buying insurance at present would probably be impossible, potentially prompting delays in any planned ventures. Does looting continue or do the police step in?

– Does Russia or someone else provide financial aid, or does the U.S. agree to pay more for its base?

– Most analysts say the uprising does not mean other central Asian states are less stable, but might investors view events as a sign of heightened regional risk and charge higher premiums for investing in Kazakhstan, Uzbekistan and elsewhere? (Editing by Sonya Hepinstall)