CPM against FDI rollout till Walmart probe is over

NEW DELHI: The CPM on Thursday demanded the Congress-led UPA government operationalise its decision to allow FDI in multi-brand retail after the enquiry into Walmart's lobbying is over. The government would also have to wait for Parliament to dispose of amendments to FEMA made by the Reserve Bank of India before it can go ahead with FDI in retail.

The FEMA amendments that allow 51% FDI in multi-brand retail were tabled in the Rajya Sabha on Thursday. Two weeks ago, five amendments notified by the RBI between May and October were tabled in the Lok Sabha by Namo Narayan Meena, minister of state for finance.

"Why this gap of two weeks between tabling the FEMA amendments in Lok Sabha and Rajya Sabha?" asjed CPM Rajya Sabha MP Sitaram Yechury.

The government had earlier said it was enough to pass the notification in one house of Parliament. Opposition parties, especially the CPM, have been demanding a vote on the FEMA amendments.

Starting Thursday, the opposition in Rajya Sabha can move amendments or annulments within 30 sittings. "We will move for amendments and annulments, some now and some in the beginning of the budget session," said Yechury.

Under Section 47 of FEMA, 1999, the RBI can amend rules to allow FDI in retail. But, Section 48 of the FEMA says every rule and regulation made under this Act should be laid for consideration in each House of Parliament as soon as possible.

Once the amendments are tabled in the House, the members can move for their annulment or amendment.

Opposition members in Rajya Sabha though wanted the Chair to clarify if the time for tabling amendments in the upper house will be calculated starting Thursday.

"According to law, members have 30 days to move amendments. Will our time start from today?," asked Yechury.

Deputy chairman P J Kurien said Rajya Sabha proceedings will be as per law.

So, the amendments tabled in the House have to be disposed of through voting within 30 sittings. "Hence, the disposing off of any amendment can only take place in the next budget session of the Parliament. Thus, the government cannot legally operationalise this decision before these matters are settled during the budget session," the CPM said in an editorial in its mouthpiece, People's Democracy.

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Study: People worldwide living longer, but sicker


LONDON (AP) — Nearly everywhere around the world, people are living longer and fewer children are dying. But increasingly, people are grappling with the diseases and disabilities of modern life, according to the most expansive global look so far at life expectancy and the biggest health threats.


The last comprehensive study was in 1990 and the top health problem then was the death of children under 5 — more than 10 million each year. Since then, campaigns to vaccinate kids against diseases like polio and measles have reduced the number of children dying to about 7 million.


Malnutrition was once the main health threat for children. Now, everywhere except Africa, they are much more likely to overeat than to starve.


With more children surviving, chronic illnesses and disabilities that strike later in life are taking a bigger toll, the research said. High blood pressure has become the leading health risk worldwide, followed by smoking and alcohol.


"The biggest contributor to the global health burden isn't premature (deaths), but chronic diseases, injuries, mental health conditions and all the bone and joint diseases," said one of the study leaders, Christopher Murray, director of the Institute of Health Metrics and Evaluation at the University of Washington.


In developed countries, such conditions now account for more than half of the health problems, fueled by an aging population. While life expectancy is climbing nearly everywhere, so too are the number of years people will live with things like vision or hearing loss and mental health issues like depression.


The research appears in seven papers published online Thursday by the journal Lancet. More than 480 researchers in 50 countries gathered data up to 2010 from surveys, censuses and past studies. They used statistical modeling to fill in the gaps for countries with little information. The series was mainly paid for by the Bill & Melinda Gates Foundation.


As in 1990, Japan topped the life expectancy list in 2010, with 79 for men and 86 for women. In the U.S. that year, life expectancy for men was 76 and for women, 81.


The research found wide variations in what's killing people around the world. Some of the most striking findings highlighted by the researchers: — Homicide is the No. 3 killer of men in Latin America; it ranks 20th worldwide. In the U.S., it is the 21st cause of death in men, and in Western Europe, 57th.


— While suicide ranks globally as the 21st leading killer, it is as high as the ninth top cause of death in women across Asia's "suicide belt," from India to China. Suicide ranks 14th in North America and 15th in Western Europe.


— In people aged 15-49, diabetes is a bigger killer in Africa than in Western Europe (8.8 deaths versus 1 death per 100,000).


— Central and Southeast Asia have the highest rates of fatal stroke in young adults at about 15 cases per 100,000 deaths. In North America, the rate is about 3 per 100,000.


Globally, heart disease and stroke remain the top killers. Reflecting an older population, lung cancer moved to the 5th cause of death globally, while other cancers including those of the liver, stomach and colon are also in the top 20. AIDS jumped from the 35th cause of death in 1990 to the sixth leading cause two decades later.


While chronic diseases are killing more people nearly everywhere, the overall trend is the opposite in Africa, where illnesses like AIDS, malaria and tuberculosis are still major threats. And experts warn again shifting too much of the focus away from those ailments.


"It's the nature of infectious disease epidemics that if you turn away from them, they will crop right back up," said Jennifer Cohn, a medical coordinator at Doctors Without Borders.


Still, she acknowledged the need to address the surge of other health problems across Africa. Cohn said the agency was considering ways to treat things like heart disease and diabetes. "The way we treat HIV could be a good model for chronic care," she said.


Others said more concrete information is needed before making any big changes to public health policies.


"We have to take this data with some grains of salt," said Sandy Cairncross, an epidemiologist at the London School of Hygiene and Tropical Medicine.


He said the information in some of the Lancet research was too thin and didn't fully consider all the relevant health risk factors.


"We're getting a better picture, but it's still incomplete," he said.


___


Online:


www.lancet.com


http://healthmetricsandevaluation.org


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Court: CIA Tortured German in Botched Rendition












Nearly a decade after a German man claimed he was snatched off the street, held in secret and tortured as part of the CIA's extraordinary rendition program -- all due to a case of mistaken identity -- a panel of international judges said today what Khaled El-Masri has been waiting to hear since 2004: We believe you.


The European Court of Human Rights (ECHR) handed down a unanimous verdict siding with El-Masri in his case against the government of Macedonia, which he claimed first played an integral role in his illegal detention and then ignored his pleas to investigate the traumatic ordeal. For his troubles, the ECHR ordered the government of Macedonia to pay El-Masri 60,000 Euros in damages, about $80,000.


"There's no question 60,000 Euros does not begin to provide compensation for the harm he has suffered," James Goldston, executive director of the Open Society Justice Initiative, which is representing El-Masri, told ABC News today. "That said... for Mr. El-Masri, the most important thing that he was hoping for was to have the European court officially acknowledge what he did and say that what he's been claiming is in fact true and it was in fact a breach of the law... It's an extraordinary ruling."






Felix Kaestle/dapd/AP Photo







El-Masri's dramatic story, as detailed in various court and government documents, began in late 2003 when he was snatched off a bus at a border crossing in Macedonia. Plainclothes Macedonian police officers brought him to a hotel in the capital city of Skopje and held him there under guard for 23 days. In the hotel he was interrogated repeatedly and told to admit he was a member of al Qaeda, according to an account provided by the Open Society Justice Initiative.


The German was then blindfolded and taken to an airport where he said he was met by men he believed to be a secret CIA rendition team. In its ruling today, the EHRC recounted how the CIA men allegedly beat and sodomized El-Masri in an airport facility, treatment that the court said "amounted to torture." The CIA declined to comment for this report.


El-Masri was then put on a plane and claims that the next thing he knew, he was in Afghanistan, where he would stay for four months under what his lawyers called "inhuman and degrading" conditions.


According to the Initiative, it wasn't until May 28, 2004 that El-Masri was suddenly removed from his cell, put on another plane and flown to a military base in Albania. "On arrival he was driven in a car for several hours and then let out and told not to look back," the group says on its website. Albanian authorities soon picked El-Masri up and took him to an airport where he flew back to Frankfurt, Germany.


According to El-Masri's lawyers, the CIA had finally realized they accidentally picked up the wrong man.


In their decision today, the ECHR said El-Masri's account was established "beyond reasonable doubt," in part based on the findings of previous investigations into flight logs and forensic evidence.


Before the EHRC, El-Masri and his supporters had tried to bring his case to trial in several courts, including in the U.S. in 2005. There, the American Civil Liberties Union filed a suit on behalf of El-Masri against George Tenet, then director of the CIA, but the case was dismissed in 2006 after the U.S. government claimed hearing it would jeopardize "state secrets." The U.S. Supreme Court declined to review the case in 2007.






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North Korea rocket launch raises nuclear stakes


SEOUL/TOKYO (Reuters) - North Korea successfully launched a rocket on Wednesday, boosting the credentials of its new leader and stepping up the threat the isolated and impoverished state poses to opponents.


The rocket, which North Korea says put a weather satellite into orbit, has been labeled by the United States, South Korea and Japan as a test of technology that could one day deliver a nuclear warhead capable of hitting targets as far away as the continental United States.


"The satellite has entered the planned orbit," a North Korean television news reader clad in traditional Korean garb announced, after which the station played patriotic songs with the lyrics "Chosun (Korea) does what it says".


The rocket was launched just before 10 a.m. (0100 GMT), according to defense officials in South Korea and Japan, and was more successful than a rocket launched in April that flew for less than two minutes.


The North American Aerospace Defense Command (NORAD), a joint U.S.-Canadian military organization, said that the missile had "deployed an object that appeared to achieve orbit".


North Korea followed what it said was a similar successful launch in 2009 with a nuclear test that prompted the U.N. Security Council to stiffen sanctions that it originally imposed in 2006 after the North's first nuclear test.


North Korea is banned from developing nuclear and missile-related technology under U.N. resolutions, although Kim Jong-un, the youthful head of state who took power a year ago, is believed to have continued the state's "military first" programs put in place by his late father, Kim Jong-il.


North Korea hailed the launch as celebrating the prowess of all three members of the Kim family to rule since it was founded in 1948.


"At a time when great yearnings and reverence for Kim Jong-il pervade the whole country, its scientists and technicians brilliantly carried out his behests to launch a scientific and technological satellite in 2012, the year marking the 100th birth anniversary of President Kim Il Sung," its KCNA news agency said. Kim Il Sung, the current leader's grandfather, was North Korea's first leader.


The United States condemned the launch as "provocative" and a breach of U.N. rules, while Japan's U.N. envoy called for a Security Council meeting. However, diplomats say further tough sanctions are unlikely from the Security Council as China, the North's only major ally, will oppose them.


"The international community must work in a concerted fashion to send North Korea a clear message that its violations of United Nations Security Council resolutions have consequences," the White House said in a statement.


U.S. intelligence has linked North Korea with missile shipments to Iran. Newspapers in Japan and South Korea have reported that Iranian observers were in the North for the launch, something Iran has denied.


Japan's likely next prime minister, Shinzo Abe, who is leading in opinion polls ahead of an election on Sunday and who is known as a hawk on North Korea, called on the United Nations to adopt a resolution "strongly criticizing" Pyongyang.


A North Korean Foreign Ministry spokesman reiterated that the rocket was a "peaceful project".


"The attempt to see our satellite launch as a long-range missile launch for military purposes comes from hostile perception that tries to designate us a cause for security tension," KCNA cited the spokesman as saying.


"STUMBLING BLOCK"


China had expressed "deep concern" prior to the launch which was announced a day after a top politburo member, representing new Chinese leader Xi Jinping, met Kim Jong-un in Pyongyang.


On Wednesday, its tone was measured, regretting the launch but calling for restraint on any counter-measures, in line with a policy of effectively vetoing tougher sanctions.


"China believes the Security Council's response should be cautious and moderate, protect the overall peaceful and stable situation on the Korean peninsula, and avoid an escalation," Chinese Foreign Ministry spokesman Hong Lei told journalists.


Bruce Klingner, a Korea expert at the Heritage Foundation, said: "China has been the stumbling block to firmer U.N. action and we'll have to see if the new leadership is any different than its predecessors."


A senior adviser to South Korea's president said last week it was unlikely there would be action from the United Nations and Seoul would expect its allies to tighten sanctions unilaterally.


Kim Jong-un, believed to be 29 years old, took power when his father died on December 17 last year and experts believe the launch was intended to commemorate the first anniversary of his death. The April launch was timed for the centennial of the birth of Kim Il Sung.


Wednesday's success puts the North ahead of the South which has not managed to get a rocket off the ground.


"This is a considerable boost in establishing the rule of Kim Jong-un," said Cho Min, an expert at the Korea Institute of National Unification.


There have been few indications the secretive and impoverished state, where the United Nations estimates a third of people are malnourished, has made any advances in opening up economically over the past year.


North Korea remains reliant on minerals exports to China and remittances from tens of thousands of its workers overseas.


Many of its 22 million people need handouts from defectors, who have escaped to South Korea, for basic medicines.


Given the puny size of its economy - per capita income is less than $2,000 a year - one of the few ways the North can attract world attention is by emphasizing its military threat.


It wants the United States to resume aid and to recognize it diplomatically, although the April launch scuppered a planned food deal.


The North is believed to be some years away from developing a functioning nuclear warhead although it may have enough plutonium for about half a dozen nuclear bombs, according to nuclear experts.


It has also been enriching uranium, which would give it a second path to nuclear weapons as it sits on big natural uranium reserves.


"A successful launch puts North Korea closer to the capability to deploy a weaponized missile," said Denny Roy, a senior fellow at the East-West Center in Hawaii.


"But this would still require fitting a weapon to the missile and ensuring a reasonable degree of accuracy. The North Koreans probably do not yet have a nuclear weapon small enough for a missile to carry."


The North says its work is part of a civil nuclear program although it has also boasted of it being a "nuclear weapons power".


(This story has been refiled to clarify reference to NORAD in paragraph five)


(Additional reporting by Jumin Park and Yoo Choonsik in SEOUL; David Alexander, Matt Spetalnick and Paul Eckert in WASHINGTON; Linda Sieg in TOKYO, Sui-Lee Wee and michael Martina in BEIJING,; Rosmarie Francisco in MANILA; Writing by David Chance; Editing by Raju Gopalakrishnan and Robert Birsel)



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Berlusconi sows confusion with support for Monti as PM






ROME: Italy's Silvio Berlusconi sowed confusion Wednesday saying he could abandon his re-election bid if Prime Minister Mario Monti decided to run as leader of a centre-right coalition, a stunning twist to his two-decade political career.

"If Monti runs for leader, I would take a step back," Berlusconi said, a day after he criticised his successor for failing to revive the Italian economy and said he was "too German-centric".

"I think it would be a great benefit for the country if professor Monti becomes the next prime minister as leader of a moderate movement," he said.

Berlusconi said he could also be a coordinator of a broad centre-right coalition without being its candidate or choose to go for some "well-deserved rest".

There is growing speculation in Italian media that Monti, a former high-flying European commissioner, could run in the elections, but the 69-year-old economist has so far declined to comment.

To the general confusion of journalists at the book presentation where he was speaking, billionaire Berlusconi added: "At the moment I am a candidate for Palazzo Chigi" -- the prime minister's residence.

The three-time prime minister then said the current secretary of his People of Freedom (PDL) party, Angelino Alfano, could be a possible candidate instead.

"I was pushed by my supporters to be the candidate, I did not put myself forward," Berlusconi said.

"I do not at all exclude" Alfano's candidacy, the 76-year-old said, adding: "It is absolutely possible that he will be the prime minister."

Berlusconi's comments surprised political observers, since he and Monti have been clashing at a distance this week with barbed references to each other's government records.

Riccardo Barenghi, a columnist for La Stampa daily, dismissed Berlusconi's offer as "a joke".

"It's clear that the candidate from the centre-right is still Silvio Berlusconi. He's back in full form," Barenghi said.

Berlusconi's party withdrew its support for Monti's unelected, technocratic government in parliament last week, prompting the prime minister to announce that he will resign as soon as next year's budget is approved in the coming days.

Berlusconi officially launched his campaign for a new term as premier on Saturday, saying "I am running to win."

Monti replaced Berlusconi in November 2011 after the tycoon was forced out by a parliamentary revolt, a wave of panic on the financial markets and a series of damaging sex scandals.

Monti is widely credited with dragging Italy back from the brink of bankruptcy by keeping a lid on public finances, launching long-delayed economic reforms and restoring Italy's credibility abroad.

Unemployment has risen to record highs and austerity has hit the middle class hard, however, and the economy has remained mired in recession with a slight recovery only expected in the second half of 2013.

Monti said on Wednesday that Berlusconi had resigned "leaving a lot left to be done", adding: "That is why whoever wins the elections will have to try and continue reforms."

Reacting to criticism of his candidacy from European leaders, Berlusconi on Wednesday said: "I think there have been misunderstandings and a lot of malice from these people.

"I am against a European Union with hegemonic countries that do not show solidarity," he added.

He said that a "hegemonic Germany" gave the European Central Bank only the power to fight inflation when the single currency was formed.

"That's why the euro is not a real currency," he said.

Germany reacted to earlier criticism from Berlusconi on Tuesday, with Foreign Minister Guido Westerwelle saying it was unacceptable for Germany to be used as a target in a "populist election campaign".

"Neither Germany nor Europe is to blame for the difficulties in Italy. On the contrary, Germany has always been a great help in overcoming the problems," Westerwelle said.

The German minister also warned that if Italy's new government goes back on Monti's reforms "it would be a dangerous development for Europe."

Berlusconi on Wednesday also criticised European Council President Herman Van Rompuy saying "he was not a part of the history of the European Union."

A convicted tax fraudster who is on trial for abuse of power and having sex with an underage prostitute, Berlusconi is running for election for the sixth time since 1994, when he started out with a party called Forza Italia (Go Italy).

The current favourite to win in the elections expected in February is Pier Luigi Bersani, head of the centre-left Democratic Party.

Bersani has promised to follow Monti's agenda in terms of "discipline and austerity" but adding more "jobs and equity".

-AFP/ac



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477 convicts in jails awaiting hanging, govt tells Rajya Sabha

NEW DELHI: As many as 477 convicts awarded death sentence are awaiting hanging in various jails across the country, the government told the Rajya Sabha on Wednesday.

Maharashtra, which last month hanged LeT terrorist Ajmal Kasab in a secret operation after President Pranab Mukherjee rejected his mercy petition, has 50 convicts in its jails awaiting hanging, putting it third on the list of states with maximum number of convicts awaiting hanging.

The data was released by the government in Rajya Sabha in response to a question on number of criminals in jails, as on December 1, 2012, who have been awarded death sentence and are yet to be hanged.

The data revealed that UP had the maximum number of criminals (174) in jails with a death sentence. Second on the list was Karnataka with 61 convicts awaiting hanging. Bihar is at fourth place with 37.

Delhi, which has Parliament attack accused Afzal Guru as one of the convicts awaiting hanging, has 24 such convicts. None of the other Union Territories have any such convict in their jails.

Among larger states, Andhra Pradesh and Rajasthan have the least number of pending hangings with three and four respectively.

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Congress examines science behind HGH test for NFL


WASHINGTON (AP) — A congressional committee has opened a hearing to examine the science behind a human growth hormone test the NFL wants to start using on its players.


Nearly two full seasons have passed since the league and the players' union signed a labor deal that set the stage for HGH testing.


The NFL Players Association won't concede the validity of a test that's used by Olympic sports and Major League Baseball, and the sides haven't been able to agree on a scientist to help resolve that impasse.


Among the witnesses before the House Oversight and Government Reform Committee on Wednesday is Pro Football Hall of Fame member Dick Butkus. In his prepared statement, Butkus writes: "Now, let's get on with it. The HGH testing process is proven to be reliable."


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Mall Gunman Identified as Jacob Tyler Roberts













The masked gunman who killed two people in the crowded Clackamas Town Center mall in suburban Portland, Ore., was identified today as Jacob Tyler Roberts.


Roberts, 22, was armed with a stolen AR-15 semi-automatic weapon, Sheriff Craig Roberts told a news conference today. He was not wearing a bullet-proof vest as previously reported.


Earlier today the sheriff told "Good Morning America" the gunman was intent on killing "as many people as possible."


"At this time we do not understand the motive of this attack except to say no apparent relationship between suspect and victims," the sheriff said at the news conference.


The shooter, wearing a white hockey mask and black clothing, tore through the mall just before 3:30 p.m. Tuesday, entering through a Macy's store and heading to the food court and public areas spraying bullets, according to witness reports.


"We have been able to identify the shooter over this last night," Roberts said. "I believe, at least from the information that's been provided to me at this point in time, it really was a killing of total strangers. To my knowledge at this point in time he was really trying, I think, to kill as many people as possible."


Police said today that Roberts had stolen the gun from someone he knew, and was equipped with a load bearing vest and "several" fully loaded magazines. Police are still trying to determine how many shots were fired.


Roberts described himself on his Facebook page as an "adrenaline junkie," and said he is the kind of person who thinks, "I'm going to do what I want."


Roberts, who attended Clackamas Community college, said on his Facebook page that he worked in a gyro shop in downtown Portland and posted a picture of himself firing a gun at a target. His Facebook photo showed graffiti in which the words "Follow Your Dreams" were painted over with the word "Cancelled."


School officials at Milwaukie High School, where Roberts attended from 2004 to 2007, describe him as an "average student with average grades." He had no disciplinary record at the school, but transferred his senior year to Oregon City High School, according to Joe Krumm, an administrator at the North Clackamas School District. Krumm did not know why he transferred, and said that in all, Roberts did not stand out in memory for anything in particular.


His shooting victims were identified as Cindy Ann Yuille, 54, and Steven Mathew Forsyth, 45.






Craig Mitchelldyer/Getty Images











Oregon Mall Shooting: 2 Dead in Clackamas Town Center Watch Video









Oregon Mall Shooting: 'Killing of Total Strangers' Watch Video









Oregon Mall Shooting: Woman on Macy's Employee's Heroism Watch Video





Yuille's family released a statement today calling Yuille a "wonderful person."


"Cindy was everybody's friend, she was a wonderful person, she was very caring and put others first," the family said, noting that they needed time to grieve their loss.


Forsyth, who owned a business at the mall, was described as a married father of two.


"Steve was one of most passionate people, with an entrepenurial spirit that led him to start his business," the family said in a statement. They said he had a "zest for life, a vision and belief in others that brought great joy.."


A third shooting victim, Kristina Shevchenko, 15, was taken to a hospital and has undergone an initial surgery, according to a Facebook page set up by her family members. Family members said a bullet bruised her lung but avoided piercing any major organs.


PHOTOS: Oregon Mall Shooting


Police said today that Roberts parked his car outside of the Macy's department store, entered the mall on the second floor, and then "moved quickly" toward the food court, firing shots. Yuille and Forsyth were hit by bullets near the food court, police said. Other shoppers provided medical aid to the victims.


Roberts' gun jammed briefly while shooting at the food court, but he was quickly able to resume shooting, police said.


Roberts then ran down a hallway and a flight of stairs to the first floor of the mall, near an REI store, where he apparently shot himself, police said.


Shevchenko was hit on the second floor but made it outside to the first floor, where she met police and was taken to the hospital, police said.


Investigators searched Roberts' home and car in the wake of the shooting, but did not disclose what they found. They confirmed that his fingerprints matched prints in a law enforcement database, though they did not find any crimes he was convicted of.


Sheriff Craig Roberts said that he believed that the gun jamming, in addition to the quick response of mall employees to enact lockdown procedures, prevented more individuals from being shot and killed during the spree.


The sheriff said that the first calls of gunshots came in at 3:29 p.m. and the first police officers to respond arrived a minute later at 3:30 p.m.


"Officers initiated an active shooter protocol, a technique we train with, and equipped each of our officers to move to immediately engage the threat wherever it might be. We were well prepared for this incident. We had practiced active shooter techniques at Clackamas Town Center earlier this year. We had practiced for just this type of situation," the sheriff said.


Witnesses from the shooting rampage said that the gunman ran through the upper level of Macy's to the mall food court, firing multiple shots, one right after the other.


By 4:40 p.m., police reported finding a group of people hiding in a storeroom. In a surreal moment, even the mall Santa was seen running for his life.


"I didn't know where the gunman was, so I decided to kind of eased my way out," said the mall Santa, who the AP identified as 68-year-old Brance Wilson.


Cell phone video shot at the scene shows the chaos soon after the shooting. When police arrived they were met head on by terrified shoppers, children and employees streaming out. Customers, even a little girl, were being lead out with their hands up.






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Egypt army seeks national unity as crisis mounts


CAIRO (Reuters) - Egypt's army chief called for talks on national unity to end the country's deepening political crisis after a vital loan from the IMF was delayed and thousands of pro- and anti-government demonstrators took to the streets.


The meeting, scheduled for Wednesday afternoon, was called in response to a destabilizing series of protests since President Mohamed Mursi awarded himself sweeping powers on November 22 to push through a new constitution shaped by his Islamist allies in a referendum on Saturday.


"We will not speak about politics nor about the referendum. Tomorrow we will sit together as Egyptians," armed forces chief and Defense Minister Abdel Fattah al-Sisi said at a joint gathering of army and police officials.


An aide said Mursi had supported the call for talks. The Muslim Brotherhood announced it would be there, while the main opposition coalition said it would decide on Wednesday morning whether to attend.


Earlier, the finance minister disclosed that a $4.8 billion International Monetary Fund loan, a cornerstone of Egypt's economic recovery hopes, would be delayed until next month.


Mumtaz al-Said said the delay was intended to allow time to explain a widely criticized package of economic austerity measures to the Egyptian people.


On Monday Muris backed down on planned tax rises, seen as essential for the loan to go ahead, but which the opposition had fiercely criticized.


"Of course the delay will have some economic impact, but we are discussing necessary measures (to address that) during the coming period," Said told Reuters, adding: "I am optimistic ... everything will be well, God willing."


Prime Minister Hisham Kandil said the measures would not hurt the poor. Bread, sugar and rice would not be touched, but prices of cigarettes and cooking oil would go up and fines would be imposed for public littering. In a bid to rebuild consensus, he said there would be a public consultation about the program next week.


In Washington, the IMF said Egypt had asked for the loan to be postponed "in light of the unfolding developments on the ground". The Fund stood ready to consult with Egypt on resuming discussions on the stand-by loan, a spokeswoman said.


GUNMEN OPEN FIRE


On the streets of Cairo, tensions ran high after nine people were hurt when gunmen fired at protesters camping in Tahrir Square, according to witnesses and Egyptian media.


The opposition has called for major protests it hopes will force Mursi to postpone the referendum. Thousands gathered outside the presidential palace, whose walls are scrawled with anti-Mursi graffiti.


A bigger crowd of flag-waving Islamist Mursi backers, who want the vote to go ahead as planned on Saturday, assembled at a nearby mosque, setting the stage for further street confrontations in a crisis that has divided the nation of 83 million.


In Egypt's second city of Alexandria, thousands of rival demonstrators gathered at separate venues. Mursi's backers chanted: "The people want implementation of Islamic law", while his opponents shouted: "The people want to bring down the regime". Others cities also witnessed protests.


The upheaval following the fall of Hosni Mubarak last year is causing concern in the United States, which has given Cairo billions of dollars in military and other aid since Egypt, the Arab world's most populous nation, made peace with Israel in 1979.


State Department spokeswoman Victoria Nuland emphasized "deep concerns" over the situation in Egypt and repeated calls on protesters to demonstrate peacefully and on security forces to act with restraint.


"Key stakeholders in Egypt are raising real and legitimate questions, both about the substance and about the process for moving to a constitutional referendum this weekend," Nuland told a news briefing. She declined to be drawn on whether Washington believed the referendum itself should be postponed.


The turmoil has also put a big strain on the Egyptian economy, sending foreign currency reserves down to about $15 billion, less than half what they were before the revolt two years ago as the government has sought to defend the pound.


"Given the current policy environment, it's hardly a surprise that there's been a delay, but it is imperative that the delay is brief," said Simon Williams, HSBC economist in Dubai. "Egypt urgently needs that IMF accord, both for the funding it brings and the policy anchor it affords."


The IMF deal had been seen as giving a seal of approval to the government's economic plans, vital for drawing more cash into the economy to ease a crushing budget deficit and stave off a balance of payments crisis.


MASKED ATTACKERS


In central Cairo police cars surrounded Tahrir Square, the first time they had appeared in the area since shortly after Mursi awarded himself the sweeping temporary powers in a move that touched off widespread protests.


The attackers, some masked, also threw petrol bombs that started a small fire, witnesses said.


"The masked men came suddenly and attacked the protesters in Tahrir. The attack was meant to deter us and prevent us from protesting today," said John Gerges, a Christian Egyptian who described himself as a socialist.


The latest bout of unrest has so far claimed seven lives in clashes between the Muslim Brotherhood and opponents who gathered outside Mursi's presidential palace.


But the Republican Guard, which protects the palace, has yet to use force to keep protesters away from the building, now ringed with tanks, barbed wire and concrete barricades.


The army has told all sides to resolve their differences through dialogue. For the period of the referendum, the army has been granted powers by Mursi allowing it to arrest civilians.


In statement issued after rights groups criticized the army's new police powers, the presidency said anyone arrested by the military during the referendum would face civil rather than military courts. It said the army's new role would only last until results are declared after Saturday's referendum.


Leftists, liberals and other opposition groups say the hastily arranged constitutional referendum is polarizing the country and could put it in a religious straitjacket.


Islamists have urged their followers to show support for Mursi and for a referendum they feel sure of winning.


(Additional reporting by Tamim Elyan and Edmund Blair in Cairo, and Andrew Quinn in Washington; Writing by Giles Elgood; Editing by Will Waterman and David Stamp)



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Republicans open spending front in "cliff" row






WASHINGTON: US President Barack Obama and Republicans waged a new spat over spending cuts Tuesday, as time ran short and little progress was evident towards ending a vexing year-end austerity and tax crisis.

After days dueling over Obama's demand for higher taxes on the rich, each side accused the other of failing to lay out specific spending cuts, digging in to familiar positions on the showdown known as the "fiscal cliff."

If the two sides cannot agree a deal before the end of the year, taxes will go up on all Americans and automatic and savage cuts to government spending will begin, prompting fears the economy could dive into a new recession.

Top Republicans accused Obama of failing to lay out spending reductions that they say are needed for them to bargain on tax rates, saying he was running down the clock and could force America past the damaging January 1 deadline.

"The longer the White House slow-walks this process, the closer our economy gets to the fiscal cliff," Republican House speaker John Boehner said.

"We're still waiting for the White House to identify what spending cuts the president is willing to make as part of the balanced approach that he promised the American people," Boehner said on the House floor.

"Where are the president's spending cuts?" he asked, referring to Obama's proposal to pare the runaway debt by raising $1.6 trillion in new tax revenues.

Mitch McConnell, the top Senate Republican, made a similar charge, and then told reporters "we're running out of time."

At the White House, however, spokesman Jay Carney insisted that Obama had laid out clear, detailed savings, in a deficit reduction document he sent to Congress in September 2011.

"The president, unlike any other party to these negotiations, has put forward detailed spending cuts as well as detailed revenue proposals," Carney said.

Obama and Boehner met Sunday at the White House for a meeting described by both sides as "cordial."

The White House said it was deliberately not revealing details of any talks with Republicans in the hopes of not prejudicing progress.

Boehner has also remained tight-lipped, but said Tuesday that he was "hopeful that we can reach an agreement."

It was tough to tell amid radio silence from both sides whether Tuesday's posturing masked intensifying behind-the-scenes talks.

It was also unclear whether Republicans decided to switch the conversation to spending as they thought they were losing the tax issue, as polls show a majority of Americans back Obama's call to raise taxes on the rich.

If there is no deal by January 1, tax cuts passed under former president George W. Bush will expire and all Americans will get a tax hike.

Obama wants to extend the cuts for 98 percent of taxpayers, but to allow rates on the top two percent to go up from 35 percent to 39.6 percent.

Republicans want to extend the tax cuts for everyone, and make up the revenue that both sides agree is needed to chip away at the deficit by closing loopholes and capping some deductions.

Obama says that such an approach will not secure sufficient funds and there is no alternative for well off Americans paying more.

-AFP/ac



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