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      India, China jostle for influence in Indian Ocean  

    Associated Press, Sat June 7, 2008 12:03 EDT . GAVIN
    RABINOWITZ - Associated Press Writer - HAMBANTOTA, Sri
    Lanka - (AP) This battered harbor town on Sri Lanka - 's southern tip,
    with its scrawny men selling even scrawnier fish, seems an unlikely
    focus for an emerging international competition over energy supply
    routes that fuel much of the global economy. China has given massive
    aid to Indian Ocean nations, signing friendship pacts, building ports in
    Pakistan and Bangladesh as well as Sri Lanka - , and reportedly setting
    up a listening post on one of Myanmar's islands near the strategic Strait
    of Malacca.
    Now, India is trying to parry China's moves. It beat out China for a port
    project in Myanmar. And, flush with cash from its expanding economy,
    India is beefing up its military, with the expansion seemingly aimed at
    China. Washington and, to a lesser extent, Tokyo are encouraging
    India's role as a counterweight to growing Chinese power.

    Among China's latest moves is the billion dollar port its engineers are
    building in Sri Lanka - , an island country just off India's southern coast.

    The Chinese insist the Hambantota port is a purely commercial move,
    and by all appearances, it is. But some in India see ominous designs
    behind the project, while others in countries surrounding India like the
    idea. A 2004 Pentagon report called Beijing's effort to expand its
    presence in the region China's ``string of pearls.''

    No one wants war, and relations between the two nations are now at
    their closest since a brief 1962 border war in which China quickly routed
    Indian forces. Last year, trade between India and China grew to $37
    billion and their two armies conducted their first-ever joint military
    exercise.

    Still, the Indians worry about China's growing influence.

    ``Each pearl in the string is a link in a chain of the Chinese maritime
    presence,'' India's navy chief, Adm. Sureesh Mehta, said in a speech in
    January, expressing concern that naval forces operating out of ports
    established by the Chinese could ``take control over the world energy
    jugular.''

    ``It is a pincer movement,'' said Rahul Bedi, a South Asia analyst with
    London-based Jane's Defense Weekly. ``That, together with the slap
    India got in 1962, keeps them awake at night.''

    B. Raman, a hawkish, retired Indian intelligence official, expressed the
    fears of some Indians over the Chinese-built ports, saying he believes
    they'll be used as naval bases to control the area.

    ``We cannot take them at face value. We cannot assume their intentions
    are benign,'' said Raman.

    But Zhao Gancheng, a South Asia expert at the Chinese government-
    backed Shanghai Institute for International Studies, says ports like
    Hambantota are strictly commercial ventures. And Sri Lanka - says the
    new port will be a windfall for its impoverished southern region.

    With Sri Lanka - 's proximity to the shipping lane already making it a
    hub for transshipping containers between Europe and Asia, the new port
    will boost the country's annual cargo handling capacity from 6 million
    containers to some 23 million, said Priyath Wickrama, deputy director
    of the Sri Lankan Ports Authority.

    Wickrama said a new facility was needed since the main port in the
    capital Colombo has no room to expand and Trincomalee port in the
    Northeast is caught in the middle of Sri Lanka - 's civil war. Hambantota
    also will have factories onsite producing cement and fertilizer for export,
    he said.

    Meanwhile, India is clearly gearing its military expansion toward China
    rather than its longtime foe, and India has set up listening stations in
    Mozambique and Madagascar, in part to monitor Chinese movements,
    Bedi noted. It also has an air base in Kazakhstan and a space monitoring
    post in Mongolia both China's neighbors.

    India has announced plans to have a fleet of aircraft carriers and nuclear
    submarines at sea in the next decade and recently tested nuclear-capable
    missiles that put China's major cities well in range. It is also reopening
    air force bases near the Chinese border.

    Encouraging India's role as a counter to China, the U.S. has stepped up
    exercises with the Indian navy and last year sold it an American warship
    for the first time, the 17,000-ton amphibious transport dock USS
    Trenton. American defense contractors shut out from the lucrative
    Indian market during the long Cold War have been offering India's
    military everything from advanced fighter jets to anti-ship missiles.

    ``It is in our interest to develop this relationship,'' U.S. Defense
    Secretary Robert Gates said during a visit to New Delhi in February.
    ``Just as it is in the Indians' interest.''

    Officially, China says it's not worried about India's military buildup or its
    closer ties with the U.S. However, foreign analysts believe China is
    deeply concerned by the possibility of a U.S.-Indian military alliance.

    Ian Storey of the Institute of Southeast Asian Studies in Singapore said
    China sent strong diplomatic messages expressing opposition to a
    massive naval exercise India held last year with the U.S., Japan,
    Singapore and Australia. And Bedi, the Jane's analyst, added ``those
    exercises rattled the Chinese.''

    India's 2007 defense budget was about $21.7 billion, up 7.8 percent
    from 2006. China said its 2008 military budget would jump 17.6 percent
    to some $59 billion, following a similar increase last year. The U.S.
    estimates China's actual defense spending may be much higher.

    Like India, China is focusing heavily on its navy, building an increasingly
    sophisticated submarine fleet that could eventually be one of the world's
    largest.

    While analysts believe China's military buildup is mostly focused on
    preventing U.S. intervention in any conflict with Taiwan, India is still
    likely to persist in efforts to catch up as China expands its influence in
    what is essentially India's backyard. Meanwhile, Sri Lankans who have
    looked warily for centuries at vast India to the north welcome the
    Chinese investment in their country.

    ``Our lives are going to change,'' said 62-year-old Jayasena Senanayake,
    who has seen business grow at his roadside food stall since construction
    began on the nearby port. ``What China is doing for us is very good.''


    Associated Press Writer Christopher Bodeen contributed to this report




    Tiger BrigadierThamilchelvan as a “Peace Dove”




















































    Tamil Tigers (LTTE) from Sri Lanka is portraying Brigadier Thamilchelvan as a
    “Peace Dove” between the LTTE and the Sri Lankan government. The ulterior
    motive of the Tigers was to use the talk to change their terrorist image in the wake
    of the 9/11. The Tigers also used the time to buy arms to prepare for the final war.
    During the peace talks, he traveled freely using the Sri Lankan government’s
    helicopters, passport and airport and smuggled arms, parts for planes and
    communication equipments. He was given VIP treatment and was never harmed
    by the Sri Lankan government.

    Following the attack on the Sri Lankan Air Force base in Anuradhapura by the
    Tiger suicide bombers, the Sri Lankan government has resorted to retaliatory
    attacks on selected targets of the Tigers. Thamilchelvan is reported to have been
    killed in one of the attacks.

    He was not a disciple of Mahatma Gandhi but follower of Piraphaharan, the
    ruthless leader of the Tigers which is called the mother of all terrorist groups as it is
    responsible for the killings of political leaders, academics and civilians. They killed
    former Indian Prime Minister Rajiv Gandhi and Sri Lankan President Ranasinghe
    Premadasa. They nearly killed another Sri Lankan President Chandrika
    Bandaranayke Kumaratunge. Naturally, Tigers have been banned by 35 world
    countries including US, Canada, UK and India.

    Thamilchelvan was personally involved in many of these killings. At one time, he
    was in charge of a military unit of LTTE called “Pistol Group.” The duty of the pistol
    group was to kill those who don’t toe their line or who oppose them.

    Thamilchelvan personally mounted several attacks against the Indian Peace
    Keeping Force that came to Sri Lanka to restore peace following the Indo-Sri
    Lanka agreement. He took part in several military operations against the Sri
    Lankan armed forces. When he attacked the Sri Lankan naval base in Kilaly in
    1993, one of his legs got injured.

    Even as late as a few months ago, he was in the war front (the top picture shows
    him with a rocket launcher). Although he was clad in a business suit, he carried a
    pistol with him.

    The Tiger leader aptly promoted this “Peace Dove”, to the rank of Brigadier, the
    highest award which anyone in the Tigers has received.

    Tigers are abusing the freedom in this country to propagate their terrorist activities.
    Even schools are being used for this purpose.
    The peace loving mainstream of this country is appealing you to refrain from
    participating in any event where suicide bombers are glorified.

    Canadian Tamils for Peace and Democracy
_________________________________________________________________________________________________________________
__

    Sri Lanka Rebel Arms-Buying Goes Global
    By MATTHEW ROSENBERG
    The Associated Press
    Monday, November 5, 2007
    http://www.washingtonpost.com

    He's known only as KP, and he runs a shadowy smuggling network that stretches from
    the skyscrapers of New York to the suicide bomber training camps of Sri Lanka.

    At 52, with a medium build, mustache, slight paunch and thinning hair, KP operates right
    under the nose of the West, which experts say is so preoccupied with al-Qaida that it
    largely ignores other terrorist groups, even ones as accomplished as Sri Lanka's Tamil
    Tigers.

    The Tigers are thought to have pioneered the explosive vests used in suicide
    bombings, and with the West distracted, they carry out crimes worldwide - such as an
    alleged plan to loot ATM machines in New York - to fund their fight for a homeland for Sri
    Lanka's Tamil minority. It's a campaign that has led to 70,000 deaths in the past 24 years.

    In dozens of interviews with Sri Lankan officials, Western diplomats and former rebels,
    The Associated Press found that the Tigers raise $200 million to $300 million a year,
    mostly through extortion and fraud. They then use front companies or middlemen to buy
    arms from legitimate weapons makers in Europe and Asia and move them back to Sri
    Lanka on their own ships.

    KP, for example, buys weapons in places like Thailand, Indonesia, Bulgaria and South
    Africa. He has dozens of passports - Indian, Egyptian, Malaysian and more - along with
    a steady hand for forging whatever paperwork he doesn't have, Sri Lankan officials say.

    The money comes from places like New York, where eight suspects have been
    arrested in the ATM scandal and seven others are accused of trying to bribe U.S.
    officials to drop the Tigers from the government's list of terror groups. One suspect
    once worked for Microsoft Corp. and allegedly helped the Tigers buy computers,
    according to court papers.

    Another suspect was caught with a laptop with spreadsheets detailing more than $13
    million in payments in the summer of 2006 for military equipment, including anti-aircraft
    guns and 100 tons of high explosives, court papers say. His passport showed more
    than 100 trips in the past five years to countries such as China, Kenya and even Sri
    Lanka.

    Authorities are also investigating a Wall Street financier suspected of donating millions
    of dollars to the rebels. He is identified only as "Individual B" in court papers and has
    not been arrested.

    The Tigers' success in arming a 10,000-strong force has come into sharp focus in the
    past year with the resumption of full-scale civil war in Sri Lanka. Experts on terrorist
    financing say the Tigers' network has thrived even after the al-Qaida attacks of Sept. 11,
    2001.

    "After 9/11, the know-your-client principle was supposed to be integrated into the
    financial markets and into pretty much every business," said Shanaka Jayasekra, a
    terrorism expert at Macquarie University in Sydney, Australia. The Tigers are "showing
    what can be done to exploit the holes in this system."

    Sri Lanka has stepped up its efforts to cut off rebel supply lines. Its navy has sunk
    seven insurgent ships in the last year, and several suspected Tiger operatives in the
    United States, Europe and Australia have been arrested. And on Friday, its air force
    bombed a rebel facility and killed five people, including a top rebel leader.

    But Sri Lanka's resources are limited, as is the interest of the West.

    "If we find (Tiger operatives) breaking the law, of course we'll go after them," said one
    Western diplomat, who spoke anonymously to avoid upsetting Sri Lankan officials. "But
    we're not running around hunting for these guys."

    Even Islamic groups with ties to al-Qaida - such as Pakistan-based Lashkar-e-Tayyaba,
    blamed for killing more than 300 Indians in bombings over the past two years - fly
    largely below the radar of the West, noted Peter Chalk of the Rand Corp., a U.S. think
    tank.

    "No one is paying a bloody bit of attention to any other group" apart from al-Qaida,
    especially one like the Tigers, whose fight is in a relatively poor country, said Chalk.
    These often ignored groups "pose real threats."

    The Tigers' network mirrors the sophistication of the mini-state they've built in northern
    Sri Lanka. There, they levy sales taxes - 10 percent on building materials, 7.5 percent
    on car parts, 20 percent on cigarettes - to support their own courts, traffic police and
    military, a cult-like force whose fighters don't drink or smoke, wait until their mid-20s to
    marry and carry cyanide pills to swallow if they are captured.

    The Tigers have set up front companies in more than a dozen countries, legitimately
    selling everything from dried fish in Thailand to mobile phones in Toronto. The Tigers
    give seed money to the businesses in return for profits. They also use their small fleet
    of ships to haul lawful cargo for paying clients.

    But the bulk of their money comes from the Tamil diaspora, which stands at between
    600,000 and 800,000 people, many of whom fled the war and often-violent persecution
    by Sri Lanka's Sinhalese majority. They run the socio-economic gamut from doctors and
    bankers in upscale New Jersey suburbs to construction workers and cab drivers in
    London's gritty immigrant neighborhoods.

    Some donate willingly. "Others have to be convinced," said a former Tiger who worked
    in London as a fundraiser.

    The preferred method of persuasion, he said, is threats aimed either directly at the
    unwilling donor or at family members back in Sri Lanka, which is "always the easiest
    because they knew we were the law at home."

    If threats fail - "very rare" - then "maybe we would beat him. Or if he had a shop, we
    could smash it."

    The former Tiger, who would not discuss why he left the group, spoke on condition of
    anonymity because he feared retribution and because it is a crime to raise money for a
    terror group in Britain. Reports from activists such as Human Rights Watch detail dozens
    of such cases in London and Toronto.

    The Tigers find fundraisers who have never actually fought in Sri Lanka so they won't be
    on any watch lists. The former Tiger said the money was deposited in bank accounts
    under his own name at Natwest, and then transferred to an HSBC account, also in
    London. Where it went from there, he couldn't say.

    It's a safe bet, though, that at least some of it ended up with KP and his team.

    KP is, said one Western diplomat, "like something out of a James Bond movie." He
    emerged as the chief weapons supplier of the Tigers in the late 1980s, after India
    withdrew its clandestine support. He has surfaced as far afield as Vietnam and South
    Africa and has had bank accounts in London, Singapore, Frankfurt and Bangkok.

    He is now believed to live in Thailand, where he owns at least one company and a
    boatyard and is married to a Thai woman, Sri Lankan officials say.

    In the early days, KP picked up weapons wherever he could - Afghanistan, the tribal
    areas of Pakistan, Cambodia, the weapons bazaars of the former Soviet Union. But by
    the mid-1990s, KP's team was arranging for 70,000 mortar shells bought by the Sri
    Lankan government from Zimbabwe Defense Industries to be diverted to the Tigers by
    allegedly bribing an Israeli subcontractor.

    It was about this time that KP began using forged or illegally obtained documents to buy
    weapons - a strategy shown in purchases from China North Industries Corp., known as
    Norinco, a state-run company.

    According to former and current Sri Lankan intelligence officials, Norinco sold the Tigers
    two consignments of assault rifles, light artillery, rockets and ammunition, each large
    enough to fill a 230-foot cargo ship. The purchases were arranged through a middleman
    as part of a larger order certified with North Korean documents, presumably obtained
    through bribery, the officials said. The consignments were loaded onto rebel-owned
    ships in September 2003 and October 2004 in Tianjin, China.

    The weapons are then believed to have gone to a supply point along the Indian Ocean
    coast of either Thailand or Indonesia, and been loaded into smaller ships and then even
    smaller fishing boats to make it past Sri Lanka's navy into rebel territory.

    Senior Chinese officials were first warned of the purchases in July 2006, said a former
    Sri Lankan official who helped prepare a dossier laying out evidence for them. But a
    third order remained on track for delivery in spring 2007 until Sri Lankan President
    Mahinda Rajapaksa personally appealed to Chinese leaders in Beijing in February, the
    official said.

    Two officials said the Chinese, who were described as extremely apologetic, have
    launched an investigation into the sales. At Norinco's parent company, China North
    Industries Group Corp., the director of the information office refused to comment.

    "We are not authorized to answer such very sensitive questions," the director, who gave
    his name as Jiang, said before hanging up.

    In the last two years, KP is also thought to have arranged for arms from Bulgaria and
    North Korea, Sri Lankan officials say. So when news broke in early September that he
    had been caught in Thailand, the Sri Lankans were ecstatic. "It's almost too good to be
    true," gushed a senior official.

    But Thailand - where KP is widely believed to have ties to senior officials - hastily
    denied the arrest. And within days, Sri Lankan officials glumly acknowledged he had
    again disappeared
___________________________________________________
_______
    Sri Lankan terror gang busted in
    ATM heist plot

    --------------------------------------------------------------------------------

    By BARBARA ROSS
    DAILY NEWS STAFF WRITER

    Tuesday, October 16th 2007, 4:00 AM
       
    --------------------------------------------------------------------------------
    Abdifatah

    --------------------------------------------------------------------------------

    Rasanayagan

    Until his arrest, alleged ringleader Sivapalasri Velayuthampillai
    worked three jobs at Newark Airport as a security agent and
    baggage handler with complete security clearance.
    Tamil Tigers
    The Tamil Tigers are one of the world's most ruthless and violent
    nationalist organizations. Thirty-two countries, including the U.S.,
    have branded the Tigers a terrorist group.

    Founded three decades ago in Sri Lanka, the Tigers have
    indiscriminately attacked civilians in order to create a separate
    Tamil state in parts of Sri Lanka, formerly known as Ceylon.

    Known formally as the Liberation Tigers of Tamil Eelam, the
    group pioneered the use of suicide bombers, called the Black
    Tigers. Female suicide bombers were employed in the
    assassination of former Indian President Rajiv Gandhi and in an
    attempt on the life of Sri Lankan President Chandrika
    Kumaranatunga.

    Experts have linked them to other terrorist organizations and note
    the similarity between the Tigers' attack on Sri Lanka Navy ships
    and the Al Qaeda attack on the U.S. destroyer Cole that killed 17
    American sailors.

    Their sources of worldwide funding, in addition to credit card
    fraud, include sea piracy, human smuggling and drug trafficking,
    the experts say.
    A band of men linked to Tamil Tiger terrorists - led by a Sri
    Lankan who used a fake passport to get security clearance at
    Newark Airport - has been busted in a massive plot to loot city
    ATMs.

    Manhattan prosecutors told the Daily News the eight men had
    ties to the terror group and were part of a scheme to use stolen
    credit card numbers to steal $250,000 in New York - and tens of
    millions from ATMs worldwide.

    Six were nabbed in January in a raid at the Chelsea Inn, a
    reputed lair for the ultraviolent Sri Lankan separatist group.

    The other two, including alleged ringleader Sivapalasri
    Velayuthampillai, 31, of Newark, were busted in July.

    Until his arrest, Velayuthampillai worked three jobs at Newark
    Airport as a security agent and baggage handler with complete
    security clearance.

    Prosecutors said Velayuthampillai entered the U.S. with a fake
    passport and dubious tale of persecution. He was given political
    asylum in December 2001 under circumstances still under
    investigation by District Attorney Robert Morgenthau.

    "The defendant is part of a large, highly organized ring of
    international criminals who steal account and PIN numbers ... and
    then come to the United States to steal money from our financial
    institutions," Manhattan Assistant District Attorney Kim Han said
    in court papers.

    The U.S. and other Western governments consider the Tamil
    Tigers a terror organization. Velayuthampillai and the other
    alleged cell members came from families who emigrated from Sri
    Lanka, Pakistan and Somalia.

    Prosecutors contend the men became part of a massive global
    identity theft scam last year when credit card numbers and PINs
    were stolen from thousands of customers at 200 gas stations in
    the United Kingdom.

    In recent bail arguments, Han said Velayuthampillai booked hotels
    for his "criminal cohorts," rented cars, drove them to various
    banks, moved them to different hotels every few days and hooked
    them up with a man who sent the money abroad.

    Han said Velayuthampillai had 30 forged cards on him when he
    was arrested in midtown in July and more than 400 bogus cards
    in his rented car, all bearing account numbers stolen from two U.
    K. gas stations.

    The operation was accidentally uncovered in the Chelsea Inn on
    11th Ave. when NYPD narcotics detectives raided the hotel and
    one investigator shouted to everyone in the lobby, "Freeze! I will
    shoot you if you move!"

    That's when one rattled suspect, Ibrahim Abdifatah, 27, dropped
    67 blank credit cards on the floor, police said.

    "These are playing cards. We play with them," Abdifatah said.

    Cops found more than 250 blank credit cards, a coding machine,
    lists of financial account information and a laptop in an upstairs
    room that four of the defendants shared.

    Abdifatah, who has pleaded guilty to more than 500 counts of
    identity theft and fraud, told cops he was recruited in England and
    promised $5,000 to use the bogus cards. Investigators said the
    Tamil Tigers target the U.S. because American credit cards don't
    have the extra microchip security device that has helped curtail
    credit card frauds in Britain.

    Another Sri Lankan, Krishantha Rasanayagan, 19, quickly
    fingered a cohort, Usman Mahmood, as the man who had
    organized the effort in London.

    "He showed us how to encode the cards. We all do the encoding,
    and we each make withdrawals. Our goal was to reach
    $250,000," Rasanayagan said.

    All of the defendants, except Velayuthampillai, are being held
    without bail. Bail was set for him at $2 million.

    Lawyers for the defendants deny their clients have terror ties. "I
    don't think he was politically motivated," Abdifatah's lawyer Adam
    Freedman said.

    "This is like tying a sidewalk crack dealer ... to the Medellin drug
    cartel [in Colombia]," said Mahmood's lawyer Michael Dailey.

    British and Sri Lankan authorities say the proceeds from this kind
    of international ATM fraud are routed back to the Tamil Tigers,
    Han wrote.

    This summer, Jane's Intelligence Review said the Tamil Tigers
    raise up to $300 million a year through international credit card
    fraud, extortion and donations
    Tamil Tigers
    The Tamil Tigers are one of the world's most ruthless and violent
    nationalist organizations. Thirty-two countries, including the U.S.,
    have branded the Tigers a terrorist group.

    Founded three decades ago in Sri Lanka, the Tigers have
    indiscriminately attacked civilians in order to create a separate
    Tamil state in parts of Sri Lanka, formerly known as Ceylon.

    Known formally as the Liberation Tigers of Tamil Eelam, the
    group pioneered the use of suicide bombers, called the Black
    Tigers. Female suicide bombers were employed in the
    assassination of former Indian President Rajiv Gandhi and in an
    attempt on the life of Sri Lankan President Chandrika
    Kumaranatunga.

    Experts have linked them to other terrorist organizations and note
    the similarity between the Tigers' attack on Sri Lanka Navy ships
    and the Al Qaeda attack on the U.S. destroyer Cole that killed 17
    American sailors.

    Their sources of worldwide funding, in addition to credit card
    fraud, include sea piracy, human smuggling and drug trafficking,
    the experts say.

_________________________________________________________________________________
_______________
    Tamil Tigers 'have deep Aussie links'
    24-09-2007

    An expert on security issues in South Asia has told a Melbourne court that Sri
    Lanka's Tamil Tigers organisation has roots which run deep in Australia's Tamil
    community.
    Dr Christopher Smith has given evidence to the Melbourne Magistrates Court in the
    committal hearing for three men accused of using the Melbourne-based Tamil
    Coordinating Committee to raise funds for Sri Lanka's Liberation Tigers of Tamil
    Eelam (LTTE), also known as Tamil Tigers.

    Melbourne pair Aruran Vinayagamoorthy, 33 and Sivarajah Yathavan, 36, along
    with Arumugan Rajeevan, 41, of Old Toongabbie in Sydney's west, have been
    charged with being members of a terrorist organisation, making funds available to a
    terrorist organisation and making an asset available to a proscribed entity.

    Vinayagamoorthy, of Mount Waverley, and Yathavan, of Vermont South, have also
    been charged with intentionally providing support or resources to a terrorist
    organisation.

    Dr Smith, who was giving evidence via video-link from the United Kingdom, has
    prepared reports on Sri Lanka for the National Commission on Illegal Weapons and
    is currently involved in the