Wednesday, February 28, 2007

Italian envoy, nine others injured in LTTE attack on helicopter

Manjula Fernando and Rafik Jalaldeen

BATTICALOA: The LTTE targeted an aircraft carrying six top foreign diplomats, international humanitarian organisations' country coordinators and Disaster Management Minister Mahinda Samarasinghe in Batticaloa around 8.15 a.m. yesterday.

The aircraft came under LTTE artillery attack soon after landing at Weber Stadium near the STF base in Batticaloa.

The diplomats were being airlifted to attend a field visit in Vakarai and discuss humanitarian assistance to Vakarai IDPs, chaired by Minister Samarasinghe in Batticaloa.

Italian Ambassador Pio Miriani was slightly injured in the incident but later joined the other members after treatment to continue with the pre-planned discussion on improving the humanitarian situation in the East.

"The Italian Ambassador received injuries to his head and the US ambassador to the back by the flying shrapnel," a Disaster Management Ministry official who accompanied the diplomats in the helicopter told the Daily News.

"It was a narrow escape. It could have been a major disaster," he added. He said the delegates subsequently held their meeting at the Batticaloa Police station before taking off for Colombo around 2.30 p.m. Over 10 people including four policemen, three STF men, two diplomats, one airman, a student and the cameraman of the Disaster Management Ministry media team were injured in the attack.

They were rushed to Batticaloa hospital, where the Italian envoy was given a saline drip after his wounds were dressed.

The delegation comprised US Ambassador Robert Blake, EU Ambassador Julian Wilson, German Ambassador Juregun Weerth, Italian Ambassador Miriani, Japanese Ambassador Kiyoshi Araki and the newly appointed French Ambassador Michel Lummah. Resident Coordinators of the World Food Programme, UNICEF and FAO were also in the delegation.

An Air Force helicopter MI-17 was deployed to take the foreign envoys to the East. A private passenger carrier of "Daya Aviation Company" which was parked at the Airbase was also slightly damaged.

"The LTTE attacked with artillery from Vaunathivu targeting the aircraft when it was landing at Weber Stadium. Two diplomats sustained minor injuries and both aircraft were slightly damaged," military spokesman Brigadier Prasad Samarasinghe said.

Brigadier Samarasinghe said despite the artillery attack pilots managed to fly both the choppers, a back-up and the MI-17 to a safer place.

"The MI-17 was landing at the Weber stadium near the STF base in Batticaloa when they came under LTTE fire," he added.

A Foreign Ministry spokesman confirmed the delegation was caught up in the attack and corroborated that the Italian Ambassador was injured in the attack. He was admitted to the Colombo National Hospital upon his return for a neuro-scan.

The reports from Batticaloa earlier said the US ambassador was also injured in the attack but later the Foreign Ministry and the US Embassy corrected saying Blake was safe.

A release from the US embassy quoting Spokesperson Terry White stated: "The US Embassy confirms that Ambassador Robert Blake is in Batticaloa along with some other foreign envoys and Minister Mahinda Samarasinghe on a pre-planned visit.

The Embassy also confirms that Ambassador Blake is alright."

The LTTE later admitted carrying out the attack, claiming they were unaware of the presence of diplomats. More >>

Tuesday, February 27, 2007



BEIJING (Reuters) - Sri Lanka and China signed a series of cooperation agreements on Tuesday during a visit by Sri Lankan President Mahinda Rajapakse marking 50 years of diplomatic relations.

The eight agreements included a memorandum of understanding on investment promotion and a memorandum on the donation of eye corneas from Sri Lanka, but there were no details as to how much the deals were worth.

Chinese President Hu Jintao said he had "high praise" for Sri Lanka's efforts at building bilateral ties. Foreign Ministry spokesman Qin Gang also expressed China's support for the Sri Lankan government in its long-running civil war with the Tamil Tiger rebels.

"As a friendly neighbour of Sri Lanka, China has been closely following the internal situation there," Qin told a regular news conference.

"We support the efforts made by the Sri Lankan government for the stability of the country, harmony of the nation, and the development of the economy and society. We hope Sri Lanka can become peaceful and stable as soon as possible," he said.

Rajapakse's visit comes as the Tigers shelled army helicopters carrying a delegation of diplomats while they visited the island's restive east on Tuesday, the latest incident in a wave of renewed violence that has killed about 4,000 people in the past 15 months. The diplomats escaped serious injury.

Sri Lanka also turned the tables on China, which routinely hands out pandas as a gesture of goodwill in its diplomacy, by offering the gift of a five-year-old elephant named Migara, who was settling into his new home at the Beijing Zoo.
SL Human Rights Minister and Foreign diplomats narrowly escape LTTE Mortar attack- Batticaloa [2nd Lead]

A delegation comprising Minister of Disaster Management and Human Rights Mahinda Samarasinghe, US Ambassador Robert O'Blake, Italian Ambassador Prio Mariani, German Ambassador Jurgen Weerth and several other foreign diplomats have narrowly escaped from a fierce Mortar attack launched by the LTTE terrorists this morning. Eleven people including the Italian Ambassador for Sri Lanka suffered injuries in the attack.

The LTTE terrorists have launched a mortar attack targeting the VIP air movement that was carried out by two Air Force helicopters and an aircraft belonging to a private airliner from Colombo to Batticaloa.

The Mortars have started to hit the Webber stadium, STF camp and the Air Force airstrip in Batticaloa around 8:45 a.m. as the aircraft touched down. The air force pilots managed to liftoff the chopper carrying the government officials and the foreign ambassadors and vacated the Webber ground tactically amid the LTTE mortar fire. However, the chopper carrying the foreign ambassadors was slightly hit and few of the passengers suffered slight injuries.

Meanwhile, the fixed wing aircraft carrying four UN officials landed safely to the airstrip despite the mortar attack. The air force personnel at the camp managed to evacuate the foreign diplomats safely. The aircraft belonging to a private air line was slightly damaged.

The injured were rushed for immediate medical attention. Batticaloa Hospital sources said, that the injured included the Italian Ambassador, a school girl, four police personnel, three STF personnel and two airmen.

The delegation however continued with their schedule despite the terror attack. Having obtained the medical treatment all the officials attended a meeting on developing the eastern province and providing humanitarian assistant to the displaced.

Sunday, February 25, 2007

CID thrown open; top officers moved out

What is easily the Police Department's most coveted arm, the Criminal Investigation Department (CID), is undergoing a complete purge.

Officers at the higher echelons are all being moved out after a new decision that they should also serve in operational or war-torn areas. Until now, the CID has remained a closed unit and its senior officers were never transferred. This was on the basis that their appointees were handpicked personnel with good professional records and high integrity. However, the National Police Commission (NPC) has accepted a recommendation that senior officers in the CID too should serve terms outside the unit.

Asoka Wijetilleke, presently DIG (CID) is expected to be moved out to Police Headquarters to be in charge of a newly created international unit. Upali Gunasekera, a newly promoted DIG is tipped to succeed him. Mr. Gunasekera was posted to the Trincomalee division as acting DIG and is currently serving in that capacity.

Sisira Mendis, SSP who has served in the CID for more than 30 years and now its Director is to take over the Vavuniya Division.
He is tipped to be succeeded by an old CID hand, SSP Nimal Kulatunga, who is now attached to the Sri Lanka High Commission in Canada. Three Assistant Superintendents of Police in the CID have already been transferred out. They are Mevan Silva (with 22 years service) to Talaimannar, Senaka Kumarasinghe to Vavuniya and N Wickremasinghe to Batticaloa.

The CID is the equivalent of the Federal Bureau of Investigation (FBI) in the United States and the Central Bureau of Investigation (CBI) in India.

Thursday, February 22, 2007


Five years on, Norway ready to continue role

Govt. says LTTE now clearly an international terror outfit

Keheliya hopes India will do more to curb LTTE activities

By Easwaran Rutnam and Sunil Jayasiri

As the ceasefire agreement completes five years today the Norwegian Government said yesterday it stood ready to continue to serve as facilitator in the peace process, provided both the Government and the LTTE requested its continued assistance, and it felt it could make a constructive contribution.

Speaking at a function at the BMICH yesterday, Norwegian Ambassador Hans Brattskar said the country had witnessed a regrettable return to large-scale fighting and military offensives last year and this year, resulting in a dire humanitarian situation for thousands of civilians.

The Government meanwhile said it hoped India would play a more expanded role to curb the activities of the LTTE which continued to come under the spotlight on Indian soil following the seizure of an explosives laden rebel boat last week.

Addressing the weekly defense media briefing yesterday Government defense spokesman Keheliya Rambukwella said the capture proved the LTTE was very much an active international rebel movement despite the ban imposed by India and several other countries.

“The capture shows the LTTE may have been trying to carry out some terrorist act in India years after it killed Prime Minister Rajiv Gandhi. This shows it is an international terrorist outfit,” Minister Rambukwella said.

The boat, which was ultimately destroyed by the Indian authorities on Tuesday, was seized together with A-K47 rifles, ammunition, suicide kits and cyanide capsules. Three suspects who were on the vessel were arrested.

Initially cautious on commenting on the need for India to do more to curb LTTE activities on its soil, Minister Rambukwella, giving into pressure from foreign correspondents, conceded “I request India to do more than this.”

Despite the Indian ban on the LTTE the rebels are believed to be very much active on Indian soil, especially in Tamil Nadu, where it gathers support from pro-LTTE politicians including Vaiko Gopalaswamy and others.

Commenting on the completion of the fifth year anniversary of the CFA Minister Rambukwella said the agreement contained clauses which violated the Constitution and the Government stands firm to deal with any activities which threaten Sri Lanka’s territorial integrity and national security

“When President Rajapaske came to power he made it clear he will not allow the CFA to violate the Constitution. As far as the Government is concerned national security and sovereignty came first,” Minister Rambukwella said.

Ambassador Brattskar said so far neither party had abrogated the CFA, and it was his strong hope that they will soon see the need to secure its full implementation as it continues to be violated by both sides with a spate of killings, abductions and other human rights abuses, including child recruitment.

“Norway strongly believes that any efforts to bring about lasting peace in Sri Lanka must be supported by all ethnic communities. Norway has made repeated efforts to encourage multi-ethnic support, but cannot generate it alone. It is the people of Sri Lanka and their leaders, not Norway or any other party, who are ultimately responsible for deciding the future of this country and finding a peaceful, negotiated settlement to the present conflict. Norway is ready to lend its firm support,” the Norwegian Ambassador said.

He said the SLMM had managed to prevent many potential conflicts and had played an important role in shedding light on issues that would otherwise have remained hidden.

Wednesday, February 21, 2007

Sri Lanka, 2 - 20 - 2007: Eight hundred new doctors receive appointments in Sri Lanka

Feb 20, Colombo: Sri Lankan President Mahinda Rajapaksa presented appointment letters to 800 new doctors in a ceremony at Temple Trees this evening.
Ministers Nimal Siripala de Silva, A.H.M. Fowzie, P. Dayaratne, and Dr. Rajitha Senaratne are also pictured.

Sunday, February 18, 2007

New savings bank from March

Sri Lanka Savings Bank (SLSB), set up last year to absorb the now defunct Pramuka Bank depositors’ assets and liabilities, will be ready to run by next month, according to Central Bank and Finance Ministry sources.

“We are looking for premises to set up the SLSB and have earmarked a few places,” a Finance Ministry official told The Sunday Times FT, adding that things are moving very fast. Dr. Ranjith Siyambalapitiya, Deputy Finance Minister will hold a meeting with Pramuka Bank depositors together with several other stakeholders on Tuesday.

“Ven. Athuraliye Rathana Thero, Jathika Hela Urumaya MP will also participate at this meeting,” he added.

Ven. Rathana Thero told The Sunday Times FT that he will attend the meeting on Tuesday together with Central Bank and Finance Ministry officials and the Pramuka Depositor's Association. “We will be discussing issues pertaining to the depositors’ funds, how to repay the depositors’, the areas for concerns, etc,” he said.

The Central Bank facilitated SLSB’s incorporation last year through an amendment to the Banking Act. “It is assisted through the Banking Act amendment 46 of 2006,” a Central Bank official told The Sunday Times FT, adding that the amendment seeks to facilitate the vesting of a Licensed Specialised Bank (LSB), whose license (Pramuka) has been cancelled, into a state bank. She explained that the amendment explains how the assets and liabilities of such a LSB are transferred to a state bank.

“The Central Bank has drawn up a scheme to account for the depositors’ assets and liabilities,” she pointed out, adding that the regulator will publish the necessary guidelines for the depositors. She also said that SLSB will function as a commercial bank and that there is a plan to re-invest the Rs.3.5 billion in treasury bills, thereby providing higher value and security.

“We have got the furniture, sorted out without any payment and we want to minimise the administration costs as much as possible,” the Finance Ministry official explained, adding that the government will put in nearly Rs.1.5 billion minimum capital requirement initially. Former Chairman, Insurance Corporation, Dr. Jagath Wickramasinghe has been appointed as the Chairman of SLSB.

Meanwhile, the Pramuka Bank Depositors’ are voicing concerns over the delay in setting up the SLSB which was to start by the end of last year.

“Dr. Siyambalapitiya together with COPE Chairman. Wijedasa Rajapakse is expediting the process and we hope it will be done by next month,” K.C. Vignaraja, Chairman, Pramuka Bank Restructuring Committee told The Sunday Times FT. He said that more than one year ago it was agreed with the Treasury to settle the depositors’ liabilities with due interest. “We agreed to not withdraw the fixed deposits for one year, exempting the depositor's in dire straits – that too on a case by case basis,” he explained, reiterating that this decision to protect the depositors’ have taken more than five years and is long overdo.

The Pramuka Bank which was seized by the Central Bank in October 2002 has 15, 495 depositors and state institutions which had deposited nearly Rs 350 million. Around 3,500 depositors have accounts amounting to less than Rs.100,000.

Thursday, February 15, 2007

India seizes weapons, explosives destined for Tigers

K.N. Arun

India's Navy and Coast Guard have seized two caches of weapons and explosive-making material destined for the Liberation Tigers of Tamil Eelam and detained five people, officials said yesterday.

Both hauls were made off the coast of the southern Indian state of Tamil Nadu.

In the biggest seizure on Monday, a Navy patrol recovered nearly three tons of material for making explosives from a small boat off the coast of Rameswaram, about 700 kilometers south of Chennai, the capital of Tamil Nadu, said Navy Cmdr. Philip van Haltern.

The material included hundreds of anodes, metal rings, rubber washers and metal nails - all of which are used to make the lethal roadside bombs and land mines favoured by the Tigers.

"We are convinced the consignment was meant for the LTTE," van Haltern said. Another suspected LTTE cache was found Tuesday aboard a boat intercepted near the town of Point Calimere, about 450 kilometers south of Chennai, said coast guard Cmdr. S.K. Panwar.

All five of the men detained were aboard the fiberglass boat, and three are suspected to be members of the Tigers, Panwar told the AP.

"We have seized one AK-47 assault rifle, 124 rounds of ammunition, huge quantities of hand grenades and detonators.

There were also eight barrels containing a white coloured chemical, which we suspect could be ammonia-based and usable in making explosives," he said.

AP

Wednesday, February 14, 2007

Indian Navy arrests LTTE supporters while transporting explosives to Sri Lanka
Source sri lankan Defence

A boat carrying a heavy load of explosives belonging to the LTTE was detected by the Indian Navy and was taken under custody on last Tuesday (12) in Dhanushkoadi in Ramanathapuram in Tamil Nadu

These explosives weighing approximately 2 tons are used by the terrorists for manufacturing bombs. According to Indian sources, these explosives were taken under custody by the Indian Navy when these items were transporting from India to Sri Lanka.

The Indian Navy while on a night detection patrol last night had detected this suspicious boat in the Rameshwaram Sea. These explosives contained in 92 boxes. Each box weighing 30 kilograms were hidden in the fishing nets at the time of the Navy observance.

The two suspects were later identified as inhabitants of Rameshwaram area.

According to the statements given by the two suspects, arrangements were made under the guidance of a third person known as Ravi in Mandapam camp to secretly transport these explosives to the LTTE.

Courtesy: National Information Department

Tuesday, February 13, 2007

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Monday, February 12, 2007

Peace is now much closer to SL than any other time- US anti terror expert says

(By Walter JAYAWARDHANA)

The prospect for peace in Sri Lanka is in a better track today than ever before said Dr. Peter Leitner, President Counter Terrorism Research Center and Professor National Center for Bio Defense of the George Mason University.

He was delivering the keynote address of Sri Lanka's 59th Independence Day celebrations organized by the Sri Lanka Patriots at the Veteran's Memorial Auditorium in Culver City, a suburb of Los Angeles California.

Dr. Leitner said prospects for an eventual accommodation for peace are very bright and there is reason for great optimism.

He said the reasons for his conclusions are the increasing economic prosperity for the country, increasing global intolerance for terrorism, greater international problem solving efforts, particularly in the non-proliferation area, a slow but dawning realization among the larger global powers that their fate is inescapably linked to developments in nations far from their shores, an increasingly local awareness that the long term insurgency will not succeed in partitioning the nation and a growing sense that a violent, corrupt, self-perpetuating insurgent movement like the LTTE is not the avenue to building a harmonious society.

The counter terrorism expert said these developments must be carefully nurtured with tangible incentives for all.

Drawing his final conclusions Leitner said a unitary state is vastly preferable to fractious micro states with incomplete economies.

Dr. Leitner said Sri Lanka, an area as big as the US state of West Virginia has lost 63,000 lives since 1983 due to the insurgency created by the terrorist group Liberation Tigers of Tamil Eelam (LTTE). It is an equivalent of losing 9, 90,000 people when compared to the US. That equates an innumerable amount of 9/11's, he pointed out.

The Counter Terrorism expert reminded the audience that the West consistently tolerates the presence of terrorist groups on its soil if they are not actively engaged in direct attacks against locals. That way they allow fundraising activities. He pointed out that as a prime example of duplicitous behavior on the part of the West. The West "unlearns" lessons as quickly as it learns them. He said the loss of overseas bureaus of Western media "distorts" their "understanding" of the Sri Lankan situation.

Leitner said experiences with the consequences of non-Islamic terrorism were clearly seen in the 1970's and 80's. Sri Lanka is suffering from such a scourge today he pointed out.

Dr. Leitner said that the conflict in Sri Lanka is often mischaracterized as a civil war by some. He said in reality it is an armed insurgency attempting to severely damage a successful nation in an attempt to create an estate or domain for a feudal lord.

Pointing out the LTTE brutality towards co-nationalists he said the terrorist movement now has lost a significant amount of popular support and cited the New York based web link:-

http://www.tothecenter.com/news.php?readmore=947 .

He said fortunately the group is now listed by the US and EU as a terrorist organization. He said the LTTE effectively wages PSYOPS against the West. Leitner reminded that the LTTE is engaged in the old semantic game of using "National Liberation Movement" for terrorists and the word "Homeland" for "fiefdom".

He said the recent LTTE interest in negotiations appear to have been a direct result of US effectiveness in stopping the flow of billions of dollars to the coffers of the LTTE.

Dr. Peter Leitner said terrorism should be called terrorism every where. If it is unacceptable when it is wielded against the US it should be unacceptable wherever it is wielded. He charged that certain inconsistencies in US counter terrorism policy create sanctuaries from which innocents are victimized. He said elimination of vagaries in definition, prosecution, and response should be a primary goal. He said the West need to pressure LTTE to engage in a negotiated settlement for their re-integration in to a unitary Sri Lanka.

He said the West needs to overcome its tendency to create a romanticized moral equivalency between legitimate nation state and the terrorist who attack them. He categorically stated what happens in Sri Lanka does not stay there. It travels to other countries.

Leitner said the LTTE has become the world's most innovative terrorist organization. He said the suicide bombers known as black Tigers, boat-bombs, home-made mini submarines female combatants(30% of the Sea Tigers are women) , assassination of political officials, (it has killed two state heads) and claims that persist that some LTTE members have been trained in flying ultra-light aircraft are very good examples to that. These techniques have been copied, he said, by other terrorist groups that later target other nations. He said Sri Lanka therefore has become the world's greatest learning lab for counter terrorism.

Showing pictures taken moments before the assassination of Rajiv Gandhi in 1991 by the LTTE suicide bomber Dhanu, Leitner said the

Western ambivalence towards this long running tragedy has come at a big price. Marking those pictures Leitner showed how the bomber, the target-Gandhi, and the security remained close and unperturbed until the deadly explosion.

He said the same Western ambivalence has produced female suicide bombers in the Middle East with a high price. He said it was LTTE suicide boat bombs first. And then it was USS Cole. He said the West has slept until the war has come home

He insisted that Sri Lankans should never give up and they should stand up resolutely and say we want nothing but one country undivided.

Dr. Peter Leitner said terrorism is not an isolated phenomenon. Tamil militant groups trained alongside Fattah and the Popular Front for the Liberation of Palestine in the Middle East. In the 1990's small numbers were trained in Thailand by former Norwegian naval instructors in underwater sabotage. They were trained in Sudan in the use of the global positioning satellite.

Their link to Al Qaeda is manifest since every terrorist group is linked altogether. Their aims could be ideologically different. For instance, the attack on behalf of the Palestinians on the international Air Port in Tel Aviv was carried out by the Japanese Red Army but the brunt of the attack was taken by some innocent Porto-Rican Catholics who were on a pilgrimage to the holy land.

He said there is no other illegitimate group as illegitimate as the LTTE in the world. It is financed through donations through individual benefactors, private organizations, extortion of Tamil and Muslim communities in Sri Lanka and abroad practiced extensively and involves direct threats and taxes on transport services , trade and private incomes, smuggling of narcotics and weapons, trafficking in refugees, forging currency, credit cards and travel documents, piracy and operation of "legitimate" business front organizations.

He said insurgents do not seek military victory as goal. Rather, Leitner said military attacks support the "political war" and are used to obtain foreign and domestic support , dispute and exhaust government troops, damage the government's economy, recruit insurgents, build insurgent morale, demoralize government troops, demonstrate insurgent strength, terrorize the population and inflict a level of casualties that is politically unsustainable and causes the enemy to withdraw or negotiate and provoke an overreaction by the enemy that will alienate the people and drive them to support the insurgency.

Leitner pointed out that the insurgency is protracted political war. It is ambiguous and governments often don't understand what the struggle is about. It uses asymmetric violence and military victory is not always the purpose. Insurgents avoid decisive military engagements and the survival becomes the key. Guerilla tactics overcome advanced weaponry and they fight a total war with limited resources. He said suicide attacks and ruthless terrorism provide insurgents with strategic power projection.

Leitner said it employs constant use of propaganda and psychological operations to de-legitimize the government and gain support for selves. He said an insurgent movement seeks to outlast the government while it works to change the balance of power in its favor. The counter terrorism expert said there were 50 insurgencies in the 20th century. Some major ones were Philippine Hukbalahap rebellion (1946-1954) Malayan Emergency (1948-1960) Kenyan Emergency (1952-1956 ) Algerian Revolt ( 1954-1962) Venezuelan (1958-1963) Vietnam (1958-1975) Salvadorian Civil War (1979-1991) Soviet Afghan War(1979-1988) and Tamil Rebellion in Sri Lanka (1983-2007) .

Leitner said the amount of explosives and mortars transported by the LTTE remains the largest quantity of armaments ever transported by a non-state armed group. Most armaments he said have been obtained by using forged or adapted end-user certificates. He listed the following as sources for LTTE's arms consignments 1. Explosives, weapons and other supplies have come from the Southern Indian state of Tamil Nadu. 2. Bulgaria (SA14, LAW), 3. Ukraine (50 tons of TNT and 10 tons of RDX), 4. Cyprus (RPGS), 5. Cambodia (small arms) 6. Thailand (small arms) 7. Burma (small arms) 8. Croatia (32,400 mortars)

He said it was General Vo Nguen Giap of North Vietnam who said, "Political activities are more important than military activities and fighting less important than propaganda." The LTTE pays priority to its propaganda.

Dr. Peter Leitner said in 1975 Colonel Harry Summers told a North Vietnamese counter part, "You know you never defeated us on the battlefield" and the North Vietnamese replied, "That may be so, but it is also irrelevant."

In his final conclusions, Dr. Leitner said, Sri Lanka should always leave open an avenue to redemption for the purpose to compensate bad aspects of affairs. He said in this kind of a situation generally any government should ensure an equitable political future for the minority-particularly for young people. He said the government should guard against vendettas since today's enemies could become tomorrow's friends like the Japanese, once the worst enemies of America are the best friends today.

He also said there is a great need to eradicate Western friends on the misleading use of language. Local meanings are sometimes very different from foreign perceptions. He said federalism for instance has altogether different meaning. So, does civil war.

He said Sri Lanka should continually document and emphasize the problem of terrorism at home and its direct and indirect linkages to international terror networks. (EOM)

Monday, February 05, 2007

London Times says Tamils in Britain forced to fund LTTE

Tamils living in Britain are being pressured into donating money to support the LTTE Tiger rebels and face harassment if they refuse, The London Times reported yesterday.


According to the newspaper, which interviewed a number of Sri Lankan Tamils living in Britain, the problem has become so widespread that the country's High Commission here has alerted the British interior ministry and the Serious and Organised Crime Agency.


“We know the LTTE are coercing money from Tamils but it seems that, unlike with Al-Qaeda-linked terrorist groups, the police do not have the resources to act,” a spokesman for the Sri Lankan High Commission was quoted as saying by the daily.


The Times said that unnamed sources in the police had confirmed that they were investigating the LTTE's activities but would not officially comment on investigations.


A spokeswoman for London's Metropolitan Police told AFP: “The Metropolitan Police Service continues to monitor groups and individuals, and any evidence we get will be considered and appropriate action taken in order to disrupt and deter individuals who provide financial support to terrorists.”


The LTTE in Britain are listed as a terrorist organisation and are banned from holding meetings or raising money.


There are about 150,000 Tamils in Britain, most of whom live in London, according to The Times.


According to the daily, some Tamils have been pressured with persistent house calls over the past year with requests for between 1,000 pounds (1,520 euros, 1,970 dollars) and 50,000 pounds.


“They said they were collecting for the LTTE. I told them, 'We have helped in the past but we're unable to do anything at the moment'. People are very scared to deal with them,” an unidentified Tamil shopkeeper told The Times.


“They have all the information about you. If they find that you are working against them or not committing, they harass the family back home.”Another Tamil shopkeeper, identified only as Deva, told the daily: “People have to work long hours to feed their children. The LTTE come to visit, demanding thousands of pounds -- just to kill people. The LTTE know how to fight but they don't know how to get around a table and talk.” (AFP)

Mayor of London Ken Livingstone today called for more homes with three or more bedrooms to be built in the capital and for improvements to the way that private new rented housing is managed on some new developments.

He was commenting on an independent report published today called Who buys new market homes in London? which was commissioned by the Greater London Authority, with support from the London Development Agency, to gain a better understanding of the market for new build private homes.

It found that private investment whether for selling on or for letting on the open market was not detrimental to housing delivery in London. In fact it helps deliver more housing by reducing the risk for developers as well as increasing the supply of affordable homes on larger schemes, a requirement under planning law.

Investors account for 67 per cent of all new-build private housing, with 45 per cent being “buy to let”. However the report identified some concerns around the long-term effect on new housing developments of this high level of ‘buy to let’ investment.

The report also identified that 91 per cent of all new private homes built in the last year were one or two bedroom homes at a time when more family sized homes with three or more bedrooms are desperately needed. However, the report argues that the high proportion of smaller new homes being built is driven as much by the demand from first time buyers as it is by the investment market.

The Mayor said:

‘We want to encourage investment to provide more homes to rent in all new housing developments, both private rented and social rented homes. This will meet the needs of the many Londoners who simply cannot afford, or do not wish, to own their homes but want to live in well managed housing.’

‘ However, while we value the contribution made by private investors in driving up the supply of new and affordable homes in the capital, if large housing developments are to be sustainable we must increase the supply of larger homes to meet the needs of families and ensure that new rented housing is properly managed.


Some of the most common concerns about investment activity; that it is crowding out first time buyers; that it results in an unsustainably large proportion of private renting in local areas; and that it results in many new homes being left empty were not supported by the findings of the report. The report argues that the new-build market is too small a part of overall sales of homes in any year to affect the overall market or the balance of tenures. It also found no real evidence of homes on new developments in London being left empty, suggesting that new private homes are being let and that they are meeting demand.

Concerns remain, however, over reported poor management of investor owned homes on some developments; the effects on the sustainability of very large housing developments should a high proportion of homes be privately rented; and over the possible effect on the investor market of falling house prices in the future.


Following analysis of the report the Greater London Authority is considering further investigation into the following areas to inform the Mayor’s housing strategy:

- assessing the net impact of private investors on house prices for first time buyers
- effective housing management on new developments
- encouraging greater investment by Build to Let, company and investment funds
- bedroom size mix on new developments

ENDS


Notes for editors:

1. The report was commissioned by the GLA, with support from the London Development Agency. The research was undertaken by London Development Research (www.ldr.cc) and is available at: www.london.gov.uk/gla/publications/housing.jsp

2 List of possible areas that have been identified by the Mayor for further investigation

• impact of current tenure mix and bedroom size on the sustainability of large new housing developments
• how to promote effective and unified housing management on mixed tenure developments
• encouraging greater investment by Build to Let, company and investment funds
• a rigorous investigation into the extent of empty homes on new developments
• an economic assessment of the net impact on house prices for first time buyers

3 Summary of the findings of the report

• two thirds (67 per cent) of the buyers of new-build market homes in London are investors, with the remaining one third being sold directly to owner-occupiers
• that buyers could be categorised as set out in the table below:


Category Sub-category Percentage of new homes bought
Buy to Let Private individuals - 1 or 2 homes 28%
Private individuals - larger portfolios 12.5%
Investment funds 4.5%
Buy to Let total 45%
Buy to Sell Buy to Sell total 16%
Build to let Developers 6%
RSLs 3%
Build to let total 9%
Owner occupiers First home 27%
Second home 3%
Owner occupiers total 30%
London total 100%



• of the Buy to Let (BTL) investors, 28 per cent are private individuals owning just one or two homes

• because of the Buy to Sell category (which sells homes on to other groups, including owner-occupiers upon completion) the owner-occupied proportion is estimated to rise slightly from 30 per cent to 33 per cent

• the proportion of new homes bought by investors does not alter significantly across London. LDR found that the proportion of homes bought by investors in the London Thames Gateway area (68 per cent) is a very similar proportion to other Inner London areas and indeed only slightly higher than for London as a whole

• the report estimates that some two thirds of all new market homes developed in London are initially let within the private rented sector - providing homes for those wanting to rent, meeting London’s need for a flexible workforce and enabling it to fulfil its role as an international business and financial centre, and providing homes for those who are presently unable to afford to buy.

• The report concludes that although there is a general perception within the media and among housing and regeneration professionals that Buy to Let investment on new developments has a negative impact, this is outweighed by the benefits in promoting new development.

• Investors perform a valuable market function by allowing perceived development risk to move from the developer to the purchaser, therefore increasing confidence among house-builders. Forward buying is often a condition of bank lending and it also helps reduce development interest costs for developers, as investors are willing and able to buy homes ahead of construction completion.

Owner-occupiers, on the other hand, generally purchase homes following or just before construction completion. The report concludes that many housing schemes, particularly larger ones in emerging areas, would simply not go ahead without sales to investors.

• Market participants generally concurred that investor demand leads to more new homes being developed, especially in emerging areas where there is not an established residential market. This is especially important to enable larger schemes to go ahead which, in turn, results in higher levels of S.106 affordable housing provision. The report found no evidence of significant levels of these homes being left empty following completion.

• The report concludes that if the investment market were to shrink there is a real danger that the number of new homes being built would fall to the detriment of all. It believes that investors should be viewed as providing a valuable function in the market for new homes.

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