SUNDAY, MAY 27, 2012
@alwatandaily
Issue No. 1447
16 PAGES
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150 Fils with IHT
MP Al-Mutawa predicts Cabinet resignation
Government to dispatch legal delegation to handle Dow Chemical issue: Source Staff Writers
KUWAIT: His Highness the Amir Sheikh Sabah Al-Ahmad Al-Sabah is expected to meet today with the outgoing Minister of Finance Mustafa Al-Shamali, to discuss the resignation which he tendered on Thursday, following a marathon and heated interpellation at Parliament. Al-Shamali is also due to have an audience with His Highness the Prime Minister Sheikh Jaber Al-Mubarak AlSabah for the same purpose. An official source affirmed that the political leadership will ask Al-Shamali to stay in the Cabinet lineup, as he will be redeployed to another portfolio. However, a source close to the outgoing minister asserted that the latter has no desire to remain in government and that he is firm on his decision to quit. The source further indicated that Al-Shamali will express regret over the performance of the Cabinet in the said session for abandoning him to the extent that none of the ministers showed intention to defend him despite
the unprecedented stinging criticisms he endured. Meanwhile, the source explained that Al-Shamali is willing to attend Cabinet’s session tomorrow (Monday) to explain to the ministers the verbal assault launched against him during the questioning . The outgoing minister will also offer advice to the government, as well as thank the premier and his aides for supporting him. In addition, informed sources have expressed concern that the departure of the finance minister has the potential to weaken government’s position amid hints at further interpellations against the ministers of defense, social affairs and interior. An MP warned that “these interpellations may force Cabinet resignation at any moment.” In this vein, MP Adnan Al-Mutawa affirmed that he does not rule out the prospect of mass Cabinet resignation in solidarity with the outgoing finance minister. “Political dispensation is edging toward a critical and terrifying juncture,” the lawmaker sternly warned. For his part, MP Mohammad Al-
Flavor of tomatoes lie in chemicals
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Syrian activists decry ‘massacre’ in Houla
BEIRUT: At least 90 people have been killed in an attack by Syrian government forces and loyalists on Houla, a town in Homs province, activists say. The victims of Friday’s assault included at least dead 25 children, killed after government forces tried to break into the town, the UK-based Syrian Observatory for Human Rights said. Houla has been the scene of frequent anti-government protests since the uprising against Syrian President Bashar Al-Assad began in March last year. The town has also become a hub for opposition fighters. Syria’s main opposition bloc put the toll at more than 100 and urged the UN Security Council to convene an emergency meeting to examine the massacre. “More than 110 people were killed (half of whom are children) by the Syrian regime’s forces”, the Syrian National Council said in a statement. “Some of the victims were hit by heavy artillery while others, entire families, were massacred,” said the statement by Bassma Kodmani, the council’s head of foreign relations. A team of UN observers visited the area to assess the situation on Saturday, but some activists complained that they just visited the village of Taldou, at the edge of Houla, rather than entering the town. Videos posted online by activists showed more than a dozen bodies lined up More on 4 inside a room.
Dancers perform during the 342nd celebration of the anniversary of Makati City Saturday, May 26, 2012 south of Manila, Philippines. (AP)
Kandari has denounced the derogatory language used during the interpellation, saying that they deviated from public morale. In other news, the government appears increasingly puzzled over the best way to overcome the payment of 2.16 billion US dollars to the Dow Chemical Company, in compensation from Kuwait for pulling out of a multi-billiondollar joint venture in 2008. An informed official source reported that the government is seriously considering dispatching a legal delegation to hammer out a mechanism for dealing with this issue at the lowest possible costs. Correspondently, the government is likely to hold all those behind the deal accountable. The source went on to state that the “disaster” paves the way for the formation of a specialized international legal team to be tasked with scrutinizing all the contracts and agreements that all the sectors, including the oil industry, intend to sign to ensure that there are no flaws that may incur losses for public funds. CONTINUED ON PAGE 2
Facebook market makers’ losses at least $100 million
CAPITALS: Claims by four of Wall Street’s main market makers against Nasdaq over Facebook’s botched initial public offer (IPO) are likely to exceed 100 million US dollars, as they and other traders continue to deal with thousands of problems with customer orders. A technical glitch delayed the social networking company’s market debut by 30 minutes on Friday and many client orders were delayed, giving some investors and traders significant losses as the stock price dropped. The exchange operator is facing lawsuits from investors and threats of legal action from brokers. Four of the top market makers in the Facebook IPO - Knight Capital, Citadel Securities, UBS AG and Citi’s Automated Trading Desk – collectively have probably lost more than $100 million from problems arising from the deal, said a senior executive at one of the firms. Knight and Citadel are each claiming losses of $30 million to $35 million, potentially overwhelming a $13 million fund the exchange set up to deal with potential claims. Nasdaq also has to contend with the outside prospect that it could lose the Facebook listing entirely after having just obtained it. Facebook shares ended regular trading on Thursday up 3.2 percent at $33.03, about $5 short of their offering price. Action on the stock, however, has essentially become secondary to the fallout from the IPO – its price, its size, its execution and questions about selective disclosure of its financial More on 9 prospects.
Prince Ali stunned by FIFA experts’ hijab knock back BUDAPEST: Evidence from FIFA’s medical experts on why the ban on Muslim women footballers wearing the Islamic headscarf or hijab should remain in place was deeply flawed and had no foundation, the campaign’s principal supporter said on Friday. Prince Ali Bin Al-Hussein of Jordan, whose presentation to soccer’s law-making body IFAB six weeks ago saw the approval of the headscarf pending health and safety checks, said he was “shocked and disturbed” by the evidence presented on Thursday. “If it is true, I would accept it, but I believe it was without foundation,” he told reporters. The IFAB, or International Football Association Board, comprises FIFA and the four British Home Associations. Michel D’Hooghe of Belgium, the head of FIFA’s medical committee, said he would only recommend to the extraordinary IFAB meeting on July 5 in Zurich that extra tests should be carried out on the headscarf which is crucial to millions of Muslim women playing the game all over the world. Prince Ali, the youngest member of FIFA’s executive committee, declined to comment when asked if he faced opposition from the committee’s older, more conservative officials but there was no hiding his anger when he spoke on Friday. “I was shocked when I heard about Dr D’Hooghe’s press conference on Thursday. We covered all the issues raised including heat coming out of the head, breathable material, the More on 16 neck issue.
Bosnian Muslims toss 3000 roses in the River Drina, each representing people killed in the 199295 war, after a mass funeral in Visegrad, May 26, 2012. The remains of 66 Bosnian Muslims, murdered and dumped in the River Drina 20 years ago, were buried in Visegrad on Saturday in a solemn ceremony marred by a march through the eastern town by Serb veterans of the 1992-95 war. Visegrad is indicative of Bosnia’s unhealed wounds 20 years since its war began; the town’s majority before the war, just a few hundred Muslims driven out by Bosnian Serb forces and paramilitaries in the first weeks of the war have since returned. (Reuters)
Kuwaiti crude continues upward trend, settles at $102.91 per barrel
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Final polls show Irish set to pass referendum
DUBLIN: Final opinion polls show that Irish voters are likely to give the green light to the European Union’s new fiscal treaty, with the ‘Yes’ campaign leading comfortably ahead of the referendum on Thursday. Ireland will hold what is likely to be the only popular vote on the socalled “fiscal compact”, a German-inspired pact for stricter budget discipline. The ‘Yes’ campaign, supported by the three largest political parties who have warned a rejection would undermine the country’s position in the euro zone, has been ahead in the polls since the vote was called three months ago. While opponents have tried to tap growing anger at the government’s austerity drive to defeat the treaty, 49 percent of voters plan to vote in favor, with 35 percent against and 16 percent undecided, according to a Sunday Business Post/ Red C poll. If undecided voters are excluded, the treaty is backed by 58 percent of voters, with 42 percent against. Debate in Dublin has focused mainly on a clause that allows access to Europe’s new bailout fund only to states that ratify the treaty something the government has described as an essential backstop to its plans to return to bond markets. But as voters go to the polls on Thursday, Irish politicians are mindful that voters have
twice rejected European treaties in recent years before reversing course in repeat votes. Those who have yet to make up their minds could also cause a late swing. More than one-in-four said they are yet to make up their minds according to the Sunday Independent/Millward Brown Lansdowne poll, while 42 percent supported the treaty and 28 percent were opposed. The ‘undecided’ figure has lowered from 35 percent a week ago. A Sunday Times poll also supported a likely victory for the ‘Yes’ camp with some 45 percent of voters saying they would support the treaty, 30 percent were opposed and 20 percent yet to decide or unlikely to vote. Opponents, led by the increasingly popular Sinn Fein party, have seized on a push by newly elected French President Francois Hollande to do more to stimulate growth and not only focus on cost-cutting measures. The Irish government has rejected calls for the referendum to be postponed to allow the treaty to be changed. While the treaty needs the approval of only 12 of the 17 euro zone countries to be ratified, an Irish rejection would undermine Europe’s strategy for overcoming a debt crisis thrown sharply into focus by political disarray in Greece. -Reuters
Afghan parliament approves US-Afghan security pact
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Islamist, ex-PM vie for mantle of Egypt’s revolt
CAIRO: The Muslim Brotherhood and a military man close to ousted leader Hosni Mubarak courted defeated first-round candidates in Egypt’s presidential election on Saturday, each trying to claim the mantle of the uprising before a run-off next month. State television said the Brotherhood’s Mohamed Mursi led this week’s vote with 26.4 percent, against 23 percent for ex-air force chief Ahmed Shafiq, according to preliminary results. Hamdeen Sabahy, a secular leftist came a close third with 21.5 percent, followed by independent Islamist Abdel Moneim Abol Fotouh. Only the top two go to the deciding vote on June 16 and 17. Official first-round results are expected on Tuesday. But Sabahy’s lawyer said he would demand that the electoral committee halt the election until alleged voting irregularities had been investigated and until the constitutional court rules on whether Shafiq was legally eligible to stand. “There are several irregularities that must be looked into before official results are announced and before the run-off starts,” the lawyer, Essam El-Islamboly, told Reuters. The choice between Mursi and Shafiq, representing forces that have wrestled for the past six decades, has dismayed many Egyptians who voted for candidates offering a middle ground.
They fear a victory for the 70-year-old Shafiq, Mubarak’s last prime minister, would snuff out hopes for change ignited by last year’s uprising, while a win for Mursi would pitch Egypt into the uncertainties of experimenting with Islamic rule. The Brotherhood invited Sabahy, Abol Fotouh and other politicians for talks to canvas their support before the runoff, but a source in Abol Fotouh’s campaign said he would not attend. Warning of “determined efforts to recreate the old regime”, it said parties that supported the uprising against Mubarak must unite “so that the revolution is not stolen from us”. The Brotherhood already holds the biggest bloc in parliament after an election completed in January, but has been unable to assert itself against an armyappointed interim government. Shafiq used strikingly similar language at a news conference in which he addressed youth groups that spearheaded last year’s revolt. For many, he represents everything they want changed. “Your revolution was stolen,” Shafiq told them. “I pledge to return its fruits to your hands.” He said “the clock cannot be turned back”, but that he would not let Egypt “drown in chaos”. Much of his rhetoric indirectly targeted the Broth-
erhood, playing on fears among Egypt’s minority Christians and secular liberals that a Mursi presidency would threaten their freedoms. “No exclusion of anyone or distancing of anyone,” Shafiq declared. “Everyone has a right to be a part of this nation.” On Friday he told Egyptian television he saw no problem with the idea of a Muslim Brotherhood-led government if he were elected president. The generals who took over when Mubarak quit on Feb. 11, 2011, have promised to make way for a new president by July 1, formally ending a messy and often bloody political transition. But the military, the source of all Egypt’s past presidents, is keen to keep its privileges and influence, preferably enshrined in a new constitution. Political wrangling has held up the drafting process, so the next president will take office not knowing his powers or those of parliament and government. Shafiq has won support among Egyptians who see him as the kind of strongman they feel the country needs to end 15 months of political instability, economic failure and rising crime. Although Mursi topped the poll, his score was unimpressive compared to the Brotherhood’s performance in the parliamentary election in which it gained nearly half the seats. -Reuters
Jordanians gather in support of Jordan’s King Abdullah during a rally in Amman May 26, 2012. Thousands of Jordanians took to the streets on Saturday to express support for King Abdullah on Jordan’s 66th Independence Day. (Reuters)