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Global Witness Report Exposes Cambodian Prime Minister’s Corruption

Global Witness believes the actual value of the family's holding is likely to be much higher than $200 million because of incomplete information and the use of third parties to hold shares.

Global Witness believes the actual value of the family’s holding is likely to be much higher than $200 million because of incomplete information and the use of third parties to hold shares.

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PHNOM PENH – A damaging report issued Thursday by Global Witness say’s the family of Prime Minister Hun Sen has built a vast corporate empire through cronyism and corruption that has allowed him to cement his decades-long grip on power.

The London-based group, which focuses on exposing the corrupt exploitation of natural resources in the developing world, says the family of Prime Minister Hun Sen uses a business empire worth at least $200 million along with influential positions they hold in the military and government to keep a lock on power. Significant holdings in the media, along with close ties with other power holders and business cronies tighten their grip.

The report, ‘Hostile Takeover: The Corporate Takeover of Cambodia’s Ruling Family,’ describes the 30 years Hun Sen has been in power as “characterized by electoral fraud and the brutal suppression of political opposition, including through murder, torture and arbitrary imprisonment,” an assessment shared by human rights groups such as Amnesty International.

It said that 40 percent of the country’s 16 million people still live below or close to the poverty line.

Hun Sen, who became prime minister in 1985, vowed during the 2013 election campaign to stay in power until the 2028 polls. Now 63, he is seen as grooming one of his three sons to succeed him.

Data for the report mainly came from the Cambodian Commerce Ministry’s online corporate registry, where Global Witness found that 21 of Hun Sen’s closest relatives were registered as holding interests in 114 private domestic companies. It says the holdings “span many of Cambodia’s most profitable sectors, including those known to be riddled with corruption such as mining, gambling and real estate.” Trading, energy, real estate and construction are other sectors in which the family is active.

There was no immediate comment from the government. However, two of Hun Sen’s children posted responses on their Facebook pages, saying the report contained misinformation and was intended as a political attack on their father. Hun Mana, who was highlighted as the family member most active in business, sarcastically thanked Global Witness for its work, which she said was “all lies and deceitful to confuse the public about what my Father has accomplished.”

She and her brother Hun Manith accused the country’s two main English-language newspapers, The Phnom Penh Post and the Cambodia Daily, of colluding with Global Witness to defame their family. Hun Sen, who in the past year has become very active on Facebook, re-posted their comments and said he shared their point of view.

Global Witness believes the actual value of the family’s holding is likely to be much higher than $200 million because of incomplete information and the use of third parties to hold shares.

Some of their businesses, through direct and indirect relationships such as franchising and distribution deals, have links to international brands such as Apple, Nokia, Visa, Unilever, Proctor & Gamble and Honda, it said.

“These relationships not only raise ethical questions for the brands, they also pose significant risk,” said Global Witness, saying there are worries about an opaque business environment and the risk of breaking national and international anti-corruption laws.

Besides facing a stacked deck in any business dispute – Cambodian courts are considered vulnerable to political influence – foreign companies face possible legal sanctions under their own home countries’ anti-corruption laws.

“Due to a lack of transparency and pervasive corruption, all business transactions involving the Cambodian government, including public procurement, infrastructure contracts and natural resource allocation, present heightened risk for foreign investors,” Global Witness said.

The report said that appointing family members to key official and semi-official posts – in politics, the military, police and the media – is another essential element of Hun Sen’s control.

His two older sons hold important military posts. The youngest is a member of Parliament. The eldest daughter – who has the largest number of business holdings in the family – is one of Cambodia’s only two tycoons with radio, television and newspaper outlets. Two of the children are married to offspring of deputy prime ministers.

With rapid economic growth for the past two decades along with a cheap labor force and minimal regulation, Cambodia has attracted foreign investment from the West as well as China. In 2015, Britain was the second-largest foreign investor in Cambodia after China. The United States is Cambodia’s largest trading partner and export market.

Other critics point out that the powerless pay the price for corruption through the destruction of their environment and land grabs.

“In Cambodia, economic control and political repression are two sides of the same coin. Under Hun Sen, political power is used to obtain economic resources, which are in turn used to obtain more political power,” Sebastian Strangio, author of the book “Hun Sen’s Cambodia,” told The Associated Press.

“The cycle never ends. This has had pernicious effect on Cambodia’s development. Instead of flowing to the national budget, where it can be spent on services like health and education, a huge proportion of the national wealth circulates in a nether-economy that is opaque to outside scrutiny.”

By Grant Peck – Associated Press

 

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Marine Le Pen’s National Rally Wins the First Round in France 2024 Election

Marine Le Pen's far-right National Rally (RN) party scored historic gains in France

Exit polls in France showed that Marine Le Pen’s right-wing National Rally (RN) party made huge gains to win the first round of election on Sunday. However, the final outcome will depend on how people trade votes in the days before next week’s run-off.

Exit polls from Ipsos, Ifop, OpinionWay, and Elabe showed that the RN got about 34% of the vote. This was a big loss for President Emmanuel Macron, who called the early election after his party lost badly in the European Parliament elections earlier this month.

The National Rally (RN) easily won more votes than its opponents on the left and center, including Macron’s Together group, whose bloc was predicted to get 20.5% to 23% of the vote. Exit polls showed that the New Popular Front (NFP), a hastily put together left-wing alliance, would get about 29% of the vote.

The results of the exit polls matched what people said in polls before the election, which made Le Pen’s fans very happy. But they didn’t say for sure if the anti-immigrant, anti-EU National Rally (RN) will be able to “cohabit” with the pro-EU Macron in a government after the runoff election next Sunday.

Voters in France Angry at Macron

Many French people have looked down on the National Rally (RN) for a long time, but now it is closer to power than it has ever been. A party known for racism and antisemitism has tried to clean up its image, and it has worked. Voters are angry at Macron, the high cost of living, and rising concerns about immigration.

Fans of Marine Le Pen waved French flags and sang the Marseillaise in the northern French district of Henin-Beaumont. The crowd cheered as Le Pen said, “The French have shown they are ready to turn the page on a power that is disrespectful and destructive.”

The National Rally’s chances of taking power next week will rest on what political deals its opponents make in the next few days. Right-wing and left-wing parties used to work together to keep the National Rally (RN) out of power, but the “republican front,” which refers to this group, is less stable than ever.

If no candidate gets 50% of the vote in the first round, the top two candidates and anyone else with 12.5% of the registered voters immediately move on to the second round. The district goes to the person who gets the most votes in the runoff.

France is likely to have a record number of three-way runoffs because so many people voted on Sunday. Experts say that these are much better for the National Rally (RN) than two-way games. Almost right away on Sunday night, the horse trade began.

Macron asked people to support candidates who are “clearly republican and democratic.” Based on what he has said recently, this would rule out candidates from the National Rally (RN) and the hard-left France Unbowed (LFI) party. Leaders on the far left and the center left both asked their third-placed candidates to drop out.

Minority government

Jean-Luc Melenchon, leader of France Unbowed, said, “Our rule is simple and clear: not a single more vote for the National Rally.” But the center-right Republicans party, which split before the vote when some of its members joined the RN, didn’t say anything.

The president of the RN party, Jordan Bardella, who is 28 years old, said he was ready to be prime minister if his party gets a majority of seats. He has said he won’t try to make a minority government, and neither Macron nor the communist NFP will work with him.

“I will be a “cohabitation” Prime Minister, respectful of the constitution and of the office of President of the Republic, but uncompromising about the policies we will implement,” he said.

A few thousand anti-RN protesters met in Paris’s Republique square on Sunday night for a rally of the leftist alliance. The mood was gloomy.

Niya Khaldi, a 33-year-old teacher, said that the RN’s good results made her feel “disgust, sadness, and fear.”

“This is not how I normally act,” she said. “I think I came to reassure myself, to not feel alone.”

Election Runoff

The result on Sunday didn’t have much of an effect on the market. In early Asia-Pacific trade, the euro gained about 0.23%. Fiona Cincotta, a senior markets expert at City Index in London, said she was glad the outcome “didn’t come as a surprise.”

“Le Pen had a slightly smaller margin than some of the polls had pointed to, which may have helped the euro a little bit higher on the open,” she noted. “Now everyone is waiting for July 7 to see if the second round supports a clear majority or not. So it does feel like we’re on the edge of something.”

Some pollsters thought the RN would win the most seats in the National Assembly, but Elabe was the only one who thought the party would win all 289 seats in the run-off. Seat projections made after the first round of voting are often very wrong, and this race is no exception.

On Sunday night, Reuters reported there were no final results for the whole country yet, but they were due in the next few hours. In France, exit polls have usually been very accurate.

Voter turnout was high compared to previous parliamentary elections. This shows how passionate people are about politics after Macron made the shocking and politically risky decision to call a vote in parliament.

Mathieu Gallard, research head at Ipsos France, said that at 1500 GMT, nearly 60% of voters had turned out, up from 39.42% two years earlier. This was the highest comparable turnout since the 1986 legislative vote. It wasn’t clear when the official number of people who voted would be changed.

 

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Pakistan Seeks US Support for Counter-Terrorism Operation Azm-e-Istehkam

Pakistan

(CTN News) – Pakistan’s Ambassador to the United States, Masood Khan, has urged Washington to provide Pakistan with sophisticated small arms and communication equipment to ensure the success of Operation Azm-e-Istehkam, a newly approved counter-terrorism initiative in the country.

The federal government recently approved the reinvigorated national counter-terrorism drive, which comprises three components: doctrinal, societal, and operational.

Ambassador Khan noted that work on the first two phases has already begun, with the third phase set to be implemented soon.

Addressing US policymakers, scholars, and corporate leaders at the Wilson Center in Washington, Khan emphasized the importance of strong security links, enhanced intelligence cooperation, and the resumption of sales of advanced military platforms between Pakistan and the US.

He argued that this is crucial for regional security and countering the rising tide of terrorism, which also threatens the interests of the US and its allies.

“Pakistan has launched Azm-i-Istehkam […] to oppose and dismantle terrorist networks. For that, we need sophisticated small arms and communication equipment,” said Ambassador Khan.

Pakistan–United States relations

The ambassador observed that the prospects of Pakistan-United States relations were bright, stating that the two countries “share values, our security and economic interests are interwoven, and it is the aspiration of our two peoples that strengthens our ties.”

He invited US investors and businesses to explore Pakistan’s potential in terms of demographic dividend, technological advancements, and market opportunities.

Khan also suggested that the US should consider Pakistan as a partner in its diplomatic efforts in Kabul and collaborate on counterterrorism and the rights of women and girls in Afghanistan.

He stressed that the bilateral relationship should be based on ground realities and not be hindered by a few issues.

“We should not base our engagement on the incongruity of expectations.

Our ties should be anchored in ground realities, even as we aim for stronger security and economic partnerships. Secondly, one or two issues should not hold the entire relationship hostage,” said the ambassador.

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China Urges Taiwanese to Visit Mainland ‘Without Worry’ Despite Execution Threat

China Urges Taiwanese to Visit Mainland Without Worry Despite Threats

China has reassured Taiwanese citizens that they can visit the mainland “without the slightest worry”, despite Taiwan raising its travel alert to the second-highest level in response to Beijing’s new judicial guidelines targeting supporters of Taiwanese independence.

Last week, China published guidelines that could impose the death penalty for “particularly serious” cases involving “diehard” advocates of Taiwanese independence.

In response, Taiwan’s government urged the public to avoid “unnecessary travel” to mainland China and Hong Kong, and raised its travel warning to the “orange” level.

However, Zhu Fenglian, a spokeswoman for a Chinese body overseeing Taiwan affairs, stated that the new directives are “aimed solely at the very small number of supporters of ‘Taiwan independence’, who are engaged in malicious acts and utterances”.

She emphasized that “the vast majority of Taiwan compatriots involved in cross-strait exchanges and cooperation do not need to have the slightest worry when they come to or leave mainland China”.

“They can arrive in high spirits and leave fully satisfied with their stay,” Zhu added.

What’s Behind The China-Taiwan Tensions?

The tensions stem from the longstanding dispute over Taiwan’s status. Mainland China claims Taiwan as part of its territory and has refused to rule out using force to bring the democratic island under its control, while Taiwan sees itself as a sovereign state.

Beijing has not conducted top-level communications with Taipei since 2016, when the Democratic Progressive Party’s Tsai Ing-wen became Taiwan’s leader. China has since branded her successor, President Lai Ching-te, a “dangerous separatist”.

“The DPP authorities have fabricated excuses to deceive the people on the island and incite confrontation and opposition,” Zhu said in her statement.
Despite the political tensions, many Taiwanese continue to travel to mainland China for work, study, or business.

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