All corrupt leaders in Pakistan will go to jail: Imran Khan

Agencies
October 26, 2018

Islamabad, Oct 26: Promising that all corrupt leaders will go to jail, Prime Minister Imran Khan has said that no politicians and officials who have put Pakistan into the debt trap through their corrupt practices will get protection from any legislation like the defunct National Reconciliation Ordinance (NRO).

The controversial NRO was promulgated in October 2007 by the government of then-president Gen Pervez Musharraf. Under the ordinance, cases against politicians were removed, paving the way for many of them to return to the country. It was declared unconstitutional by the Supreme Court of Pakistan in December 2009.

Addressing the nation on Wednesday to share the details of his efforts to bring cash-strapped Pakistan out of financial difficulties, Prime Minister Khan lashed out at the previous governments for raising Pakistan's debt to Rs 30,00,000 crore.

In a reference to the PPP and PML-N, Khan said the opposition parties that are accusing his government of incompetence are doing so because they fear that "their corruption will be unearthed when we do an audit of the Rs 30,00,000 crore.

"They just want an NRO from us," he said. "I want to give them a message: 'open your ears and hear this: you can come out on the streets. We will give you containers and give you food. You can do whatever you want in the assemblies... (But) no one will get an NRO'," he was quoted as saying by the Dawn.

"No corrupt person will be let go," Khan said, recalling that he had been elected by the nation on the promise that he will "put the corrupt people in jails".

The premier said the country has no future until and unless corruption is rooted out.

"The fake bank accounts... where is all this money coming from? The money is being stolen (from the nation). The country's leaders then have to go and ask for loans abroad... because dollars are laundered out of the country," he said.

He said the entire burden of loans taken by corrupt officials falls on the nation. Taxes are imposed and prices are raised in order for the country to be able to pay back the loans.

"This is the cycle that is functioning in Pakistan... a small class is growing wealthier, while the masses are becoming poorer."

In order to break this cycle, Khan said, the government will ensure accountability is carried out "no matter what anyone does".

Urging the nation to not be dismayed by the economic difficulties, he said his government was cracking down against corruption and money laundering.

"Don't worry at all," he told the nation, adding that people who tolerate a corrupt leadership, unfortunately, have to pay the price for it.

He said the government is making all-out efforts to prevent stolen money from flowing out of the country.

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News Network
May 11,2020

May 11: Saudi Arabia will triple its value-added tax rate and suspend a cost of living allowance for state workers, it said on Monday, seeking to shield finances hit by low oil prices and a slump in demand for its lifeline export worsened by the new coronavirus.

Historic oil output cuts agreed by Riyadh and other major producers have given only limited support to prices after they sank on oversupply caused by a war for petroleum market share between the kingdom and its fellow oil titan Russia.

Saudi Arabia, the world's largest oil exporter, is also being hit hard by measures to fight the new coronavirus, which are likely to curb the pace and scale of economic reforms launched by Crown Prince Mohammed bin Salman.

"The cost of living allowance will be suspended as of June 1, and the value added tax will be increased to 15% from 5% as of July 1," Finance Minister Mohammed al-Jadaan said in a statement reported by the state news agency. "These measures are painful but necessary to maintain financial and economic stability over the medium to long term...and to overcome the unprecedented coronavirus crisis with the least damage possible."

The austerity measures come after the kingdom posted a $9 billion budget deficit in the first quarter.

The minister said non-oil revenues were affected by the suspension and decline in economic activity, while spending had risen due to unplanned strains on the healthcare sector and the initiatives taken to support the economy.

"All these challenges have cut state revenues, pressured public finances to a level that is hard to deal with going forward without affecting the overall economy in the medium to long term, which requires more spending cuts and measures to support non-oil revenues stability," he added.

The government has cancelled and put on hold some operating and capital expenditures for some government agencies, and cut allocations for some reform initiatives and projects worth a total 100 billion riyals ($26.6 billion), the statement said.

Central bank foreign reserves fell in March at their fastest rate in at least 20 years and to their lowest since 2011, while oil revenues in the first three months of the year fell 24% from a year earlier to $34 billion, pulling total revenues down 22%.

"The reforms are positive from a fiscal side as greater adjustment is essential. However, the tripling of VAT is unlikely to help that much in 2020 revenue wise with the expected fall in consumption," said Monica Malik, chief economist at Abu Dhabi Commercial Bank.

She said she kept unchanged her deficit forecast of 16.3% of GDP for this year, which already factors in a greater than previously announced spending cut.

About 1.5 million Saudis are employed in the government sector, according to official figures released in December.

In 2018, Saudi Arabia's King Salman ordered a monthly payment of 1,000 riyals ($267) to every state employee to compensate them for the rising living costs after the government hiked domestic gas prices and introduced value-added tax.

DIFFICULT TIMES

A committee has been formed to study all financial benefits paid to public sector employees and contractors, and will submit recommendations within 30 days, the statement said.

In late 2015, when oil prices fell from record highs, the kingdom slashed lavish bonuses, overtime payments and other benefits once considered routine perks in the public sector.

In a country without elections and with political legitimacy resting partly on distribution of oil revenue, the ability of citizens to adapt to such reforms is crucial for stability.

"Tripling the VAT will test the limits of the balance between revenues and consumption as the economy dives into a deep recession. The move will impact consumption and could also lower the expected revenues," said John Sfakianakis, a Gulf expert at the University of Cambridge.

"These are pro-austerity and pro-revenue moves rather than pro-growth ones," he said.

Hasnain Malik, head of equity strategy at Tellimer, said the VAT rise could bring about $24-$26.5 billion in additional non-oil fiscal revenue. The rise would hit consumer spending further but was a needed step towards fiscal sustainability, he said.

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News Network
March 6,2020

Mumbai, Mar 6: Harried Yes Bank depositors rushed to ATMs to withdraw cash but faced multitude of problems including closed down machines and long queues, after the RBI placed the bank under a moratorium, capping maximum withdrawals at Rs 50,000 per account for a month.

Aggravating the problems of depositors were difficulties accessing the internet banking channel, which ensured that they can't transfer the funds online as well. At an ATM in south Mumbai's Horniman Circle, with the RBI headquarters overlooking it, the shutters were pulled down.

The guard on duty said the machine was non-operational before he reported to work late in the evening and he was ordered to shut it after 2200 hrs. In the residential area of suburban Chembur, one ATM was dispensing cash but had a long queue of anxious depositors.

One man said it was still possible to withdraw up to Rs 50,000 in multiple transactions from the machine.

However, another machine nearby had run dry within minutes of the RBI announcement, a woman said.

The regulatory actions, undertaken by the RBI and the government, came hours after finance ministry sources confirmed that SBI was directed to bail out the troubled lender.

For the next month, Yes Bank will be led by the RBI-appointed administrator Prashant Kumar, an ex-chief financial officer of SBI.

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Agencies
May 31,2020

Minneapolis, May 31: The full Minnesota National Guard was activated for the first time since World War Two after four nights of civil unrest that has spread to other U.S. cities following the death of George Floyd, a black man shown on video gasping for breath as a white Minneapolis policeman knelt on his neck.

Minnesota Governor Tim Walz said the deployment was necessary because outside agitators were using protests over Monday’s death of George Floyd to sow chaos and that he expected Saturday night’s demonstrations to be the fiercest so far.

From Minneapolis to several other major cities including New York, Atlanta and Washington, protesters clashed with police late on Friday in a rising tide of anger over the treatment of minorities by law enforcement.

“We are under assault,” Walz, a first-term governor elected from Minnesota’s Democratic-Farmer-Labor Party, told a briefing on Saturday. “Order needs to be restored. ... We will use our full strength of goodness and righteousness to make sure this ends.”

He said he believed a “tightly controlled” group of outsiders, including white supremacists and drug cartel members, were instigating some of the violence in Minnesota’s largest city, but he did not give specific evidence of this when asked by reporters.

As many as 80% of those arrested were from outside the state, Walz said. But detention records show just eight non-Minnesota residents have been booked into the Hennepin County Jail since Tuesday, and it was unclear whether all of them were arrested in connection with the Minneapolis unrest.

The Republican Trump administration suggested civil disturbances were being orchestrated from the political left.

“In many places, it appears the violence is planned, organized and driven by anarchic and left extremist groups - far-left extremist groups ... many of whom travel from outside the state to promote violence,” U.S. Attorney William Barr said in a statement.

In an extraordinary move, the Pentagon said it put military units on a four-hour alert to be ready if requested by Walz to help keep the peace.

Activists staged another round of protests on Saturday in at least a dozen major U.S. cities coast to coast, including Seattle, Los Angeles, Chicago, Cleveland, Dallas, Atlanta, New York and Atlanta.

In the nation’s capital, hundreds of demonstrators assembled near the Justice Department headquarters, then marched toward the U.S. Capitol, chanting, “Black lives matter,” and “I can’t breathe,” a rallying cry echoing Floyd’s dying words.

Many later ended up near the White House, where they faced off with shield-carrying police, some mounted on horseback.

The streets of Minneapolis were largely quiet during daylight on Saturday, though several National Guard armoured personnel carriers were seen rolling through town.

On Friday, in defiance of a newly imposed curfew, Minneapolis protesters took to the streets for a fourth night - albeit in smaller numbers than before - despite the announcement hours earlier of murder charges filed against Derek Chauvin, the policeman seen in video footage kneeling on Floyd’s neck.

Three other officers fired from the police department with Chauvin on Tuesday are also under criminal investigation in the case, prosecutors said.

The video of Floyd’s arrest - captured by an onlooker’s cellphone as he repeatedly groaned, “please, I can’t breathe” before becoming motionless - triggered an outpouring of rage that civil rights activists said has long simmered in Minneapolis and cities across the country over persistent racial bias in the U.S. criminal justice system.

‘PAINS ME SO MUCH’

The mood was sombre on Saturday in the Minneapolis neighbourhood of Lyndale, where dozens of people surveyed the damage while sweeping up broken glass and debris.

“It pains me so much,” said Luke Kallstrom, 27, a financial analyst, standing in the threshold of a fire-gutted post office. “This does not honour the man who was wrongfully taken away from us.”

Some of Friday’s most chaotic scenes were in the New York City borough of Brooklyn, where police armed with batons and pepper spray made more than 200 arrests in sometimes violent clashes. Several officers were injured, police said.

In Washington, President Donald Trump said on Saturday that if protesters who gathered the night before in Lafayette Square, across from the White House, had breached the fence, “they would have been greeted with the most vicious dogs, and most ominous weapons, I have ever seen.”

CHAOS IN ATLANTA

In Atlanta, Bernice King, the youngest daughter of slain civil rights icon Martin Luther King Jr., urged people to go home on Friday night after more than 1,000 protesters marched to the state capitol and blocked traffic on an interstate highway.

The demonstration turned violent at points. Fires burned near the CNN Center, the network’s headquarters, and windows were smashed at its lobby. Several vehicles were torched, including at least one police car.

Rapper Killer Mike, in an impassioned speech flanked by the city’s mayor and police chief, also implored angry residents to stay indoors and to mobilize to win at the ballot box.

“But it is not time to burn down your own home.”

Floyd, a Houston native who had worked security for nightclubs, was arrested on suspicion of trying to pass counterfeit money at a store to buy cigarettes on Monday evening. Police said he was unarmed. An employee who called for help had told a police dispatcher that the suspect appeared to be intoxicated.

In a striking coincidence, Floyd and Chauvin had both worked security at the same Latin nightclub in Minneapolis, though it was unlikely they ever interacted, former owner Maya Santamaria, who sold the El Nuevo Rodeo club in January, told Reuters.

Santamaria said Floyd worked inside the club on certain nights, supporting other staff with security. She said Chauvin, who worked outside the club as an off-duty cop for 16 years, had a reputation for roughing up customers, but she considered him responsible and a friend.

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