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DFAT(AUST) REPORT ON FORCED LABOR &



Subject: DFAT(AUST) REPORT ON FORCED LABOR &ROHINGYAS, AUG-1995.

/* posted Mon 1 Jul 12:00am 1996 by drunoo@xxxxxxxxxxxx in igc:reg.burma */
/* --------" DFAT report on forced labour& Rohingyas, Aug 1995 "-------- */
[Following is report by Australian Foreign Affairs, from Human rights 
sub-committee report by the australian parliament, vol 6; 
published 5 September 1995.--U Ne Oo]
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DEPARTMENT OF FOREIGN AFFAIRS AND TRADE
CANBERRA ACT 2600

8 August 1995

Ms Margaret Swieringa
Secretary
Human Rights Sub-Committee
Joint Standing Committee on Foreign Affairs, Defence and Trade
Parliament House
CANBERRA ACT 2600

Dear Margaret

Please  find the following information which you requested on behalf of the
Human Rights Sub-Committee, Joint Standing Committee for  Foreign  Affairs,
Defence and Trade.

Government and Administrative Structures

Myanmar's  Government  at all levels is overseen by the State Law and Order
Restoration Council (SLORC), a  military  junta  established  in  September
1988.  AT  the  same  time,  a hierachy of lesser Law and Order Restoration
Councils (LORCS) was established at the state/division, township  and  ward
levels.  Their  members  are  appointed by the SLORC or, at lower level, by
regional military commanders.

The SLORC itself is composed of the senior military officers  who  led  the
army's  intervention in 1988. They now number 21, and although several have
been virtually incapacitated by illness,  only  one  member  has  left  the
SLORC:  General  SAw  Manug,  the first chairman, was removed in April 1992
following a nervous breakdown. The SLORC, which  performs  legislative  and
executive  function,  meets  regularly. A meeting of the SLORC plus the ten
regional commanders and  the  full  cabinet  takes  places  every  quarter.
Decision  making  throughout  the  country is extremely centralised and the
SLORC operates essentially  on  a  consensus  basis,  though  there  is  an
informal  kitchen  cabinet  of  fewer  than  ten  members  which decides on
directions and policy proposals to be put to the full SLORC.  There  is  no
legislature,  and  the  judiciary  has  shown  itself  to be at the SLORC's
command. The SLORC, of its committees, make decisions on  an  extraordinary
range  of  detailed  issues,  including  sucm  matters as agreement to send
government officials (at any level) to  meetings  overseas,  or  travel  to
unuwsual areas within Myanmar by individual diplomats.

At  the  national  level,  there  is  also  a cobinet made up of government
ministers representing a mix of mlitary officers, some  of  whom  are  also
SLORC  members,  and a few civilians. The Commander-in-Chief of the defence
forces, Senior General Than Shwe is also SLORC chairman, Prime Minister and
Minister of Defence on an ex officio  basis.  In  day  to  day  terms,  the
ministers  run  their  ministeries  but are subject to decision made in the
SLORC,and any important ( and many unimportant  )  issues  arising  in  the
ministry have to be passed to the SLORC for decision, even by ministers who
are also SLORC members.

States and divisions are run, often with a considerable degree of authnomy,
by the regional military commander, who is usually also the Chairman of the
state/division  Law  and  Order  Restoration  Council.  The  SLORC appoints
military officers to government positions  at  all  levels  throughout  the
country.  The  formal  relationship  between the military and government at
lower  levels  consists  of  military  oversight  of  the  various   LORCS.
State/division,  township  and ward LORCS often have a civilian membership,
though typically the Chairman is a military  officer,  with  the  Secretary
usually civilian.

The  SLORC  runs  the  country, in effect, on a martial law basis. Although
martial law was never formally declared, a  number  of  individual  martial
laws  were  introduced,  only  some of which have been rescinded. There has
been no declaration that martial law has ended and, in  the  absence  of  a
costitution,  such  a  declaration  could only be made, if at all, as a new
system of government is introduced. In the memorable words  of  Saw  Maung,
who  was (presumably) referring the the constitutional basis for SLORC rule
and decisions, "SLORC law means no law at all".

The police force, like all other structres, operates under the SLORC and is
thus subject to  the  will  of  the  army.  As  with  all  other  areas  of
government,  the  military  has  pursued  a policy of transferring military
officers into the police force  at  middle  and  senior  levels  to  ensure
trustworthy  administration  by  officers used to the military way of doing
things.

Please find attached the latest list  of  members  of  the  SLORC  and  the
Cabinet.  This  has  been  updated  following  the military and ministerial
reshuffle announced on 15 June. This reshuffle did not produce a change  in
SLORC  membership, although several seniro military officials were divested
of their military positions in a move that concentrated  power  further  in
the hands of the top four SLORC leaders - Chairman Than Shwe, Vice-Chairman
Maung  Aye  and the two secretaries Khin Nyunt and Tin Oo. The reshuffle of
military officers is thought to reflect an attempt to satisfy long  pent-up
demand for promotions at senior officer levels.

Political Prisoners

Based  on  the  anecdotal reporting of ex-prisoners, we estimate that there
are between 500-1000 political prisoners in Myanmar. The number may  be  as
low as 300 but it is impossible to obtain accurate figures. It also depends
how a political prisoner is defined. According to the embassy's list, 28 of
the  485  perlamentarians  elected in 1990 are confirmed as still in prison
(this accords with the US embassy's figure). A further  two  are  known  to
have  been  arrested  but whether they are still detained without trial, in
prison  or  released is not clear. Since April 1992, the SLORC has released
2234 prisoners detained for political reasons.

Levy/Fee/Tax on foreign operations

According to Austrade, the only formal levy/fee/tax on foreign  enterprises
wishing  to  invest  or  establish  trading  operations  in  Myanmar  is  a
registration fee. Teh fee is not a percentage but a flat rate which  varies
according to the type of investment as follows:

a. Joint venture (at least 35 per cent foreign registered capital)
   Registration  fee  of  kyat  15,000  or  equivalent  in US dollar at the
   official rate.

b. One hundred percent foreign owned operations

   Registration fee of kyat 15,000 or  equivalent  in  US  dollars  at  the
   official rate.

c.   Foreign  companies  operating  through  a  local  representative  fees
according to the representative's monthly salary.

   For Salaries over US$1000, registration fee of kyat 10,000 in first year
   and kyat 5,000 per annum thereafter

   For salaries between US$501-US$1,000, registration fee of kyat 5,000  in
   the first year and kyat 2,500 per annum thereafter.

   For  salaries  between  US$100-US$500, registration fee of kyat 2,500 in
   the first year and kyat 1,000 per annum thereafter

Foreign investments in another category - those operating under the foreign
investment (incentive) law - are not required  to  pay  registration  fees.
However,  benefits  under  this  law are conditional on the foreign partner
commiting a  minimum  investment  capital  in  the  first  three  years  of
operation.  The  amount  is  negotiated with each project but, according to
Austrade, the figure never reaches 15 per cent of total planned capital.

Forced labour

We have received reports that the SLORC issued a  directive  in  late  July
that   the   use   of   forced   labour  for  public  works  at  the  local
village/township level (the basic  administrative  unit  equivalent  to  an
Australian  Shire) was to cease and that in future these projects are to be
carried out exclusively with the use of paid labour.  The  directive  notes
public  complaints about the conditions under which such projects have been
carried out  preciously,  particularly  concerning  summons  for  voluntary
labour,  collection  of  funds  and procurement of crops. Officials are now
advised to completely refrain from organising voluntary labour  for  public
works such as railroads, roads, embankments and canals. These works are now
to  be implemented only by wage labour with the person in charge paying the
daily wage/piece meal labour charges with corectly registered records.  The
directive also prohibits undesirable collection of funds in the localities.
Funds  that  should  be  collected should be done so systematically in ways
acceptable to the local populace by forming responsible bodies  and  to  be
dispersed   systematically  with  proper  accounts.  In  relation  to  crop
procurement, in purchasing paddy, cotton,  dhal  and  other  crops,  it  is
necessary  to  negotiate  with farmers and arrive at an agreement, without
using force.

In  principle,  the  Government  should  already be paying "volunteers" for
their time. Funds appropriated for public works normally include  provision
for  payment  demanded  from local communities. In reality, if the money is
paie at all, officials claim it is allocated in accordance with the  wishes
of  the communities concerned, often for the construction of infrastructure
facilities such as schools/clinic in the local community where  the  labour
is  raised.  It remains to be seen how effectively the above directive will
be applied. The UNHCR has said it will monitor closely the  application  of
the  directive  in  areas  covered  by  the  Rohingya refugees repatriation
program where  forced labour has been a major contributory  factor  in  the
outflows of Rohingyas in the past.

Repatriation of Rohingya Refugees

The UNHCR briefed the Australian missions in Dhaka and Rangoon in late July
on  progress  in the repatriation of Rohingya refugees. The UNHCR expressed
confidence that the  repatriation  of  Rohingya  refugees  would  be  fully
resumed  following  the  monsoon period (about October). In addition to the
directive on  forced  labour  (outlined  above),  the  UNHCR  has  received
undertakings  from the Myanmar authorities aht the program of establishment
of model-villages, with its associated relocation  of  targetted  religious
groups  would be discontinued. The latter had been another causal factor in
the outflow of Rohingya refugees. The UNHCR believes that with these  SLORC
undertakings  on  land and labour issues, the likelihood of Rohingyas again
seeking refuge in Bangladesh would considerably diminished.

The UNHCR estimates the repatriation process will be largely  completed  by
the  end  of the year. 192,541 refugees have been repatriated as at 31 July
1995. A balance of 52,551 people remain in the camps, based on a Government
head count conducted in April with appropriate adjustments  for  subsequent
births  and  deaths.  The UNHCR is expected to conduct its own "unofficial"
census of camp population shortly, which  is  expected  to  indicated  that
perhaps  five  to  six  thousand people have left the camps and assimilated
into nearby communities. The rate of  repatriations  has  declined  sharply
since  April, due to the onset of the monsoon season as well as a change in
the regional commander in Myanmar and the formation of a  new  Ministry  of
Immigration. New officials have been required to familarise themselves with
the  UNHCR  and  the  program  causing a delay in progress. In addition the
program is getting down to the more difficult part of the  case  load.  The
slowdown  als  reflects  the difficulties facing the Myanmar authorities in
verifying residency claims of individual refugees. Once clearance is given,
returns proceed promptly. The authorities concerned that the return program
not provide a vehicle for illegal immigration.  Given  these  difficulties,
the  UNHCR  does  not  expect the rate of return to exceed more than two to
three thousand per month for the remainder of the program.

The UNHCR believes that at the end of the repatriation process,  there  are
likely  to  be  a  pool of refugees either unwilling to return of unable to
obtain clearance for their return from Myanmar authorities. Of  the  50,000
still  in  camps, some 30,000 are still being verified by the Myanmar side.
Only five to six thousand have actually declined return. These  falls  into
two  categories:  those  who  wish  to return but cannot substantiate prior
legal residence and those who do not wish to  go  back.  According  to  the
UNHCR,  the  latter  are few - most of these claiming some association with
Moslem insurgent groups. The UNHCR  indicated  that  it  would  seek  third
country  placements  for  people  that  cannot  or do not want to return to
Myanmar at the end of the repatriation program.

Despite concerns and bureaucratic delays on the Myanmar side, the UNHCR  is
confident   that   Myanmar   Government  is  committed  to  completing  the
repatriation program.

With regard to criticism of the program by some NGOs, UNHCR officials noted
claims by MSF Holland  and  France  that  the  returns  are  not  genuinely
voluntary.  They  concede  that  some of the 50,000 returns made before the
implementation of the UNHCR program in Myanmar may not have been completely
voluntary. Returnees might not have been forced back but  pressure  in  the
camps  had  been  a  significant factor in the decisions by the families to
return. MSF's concerns related to the fact that the UNHCR  has  moved  from
"facilitating"  to  "promoting" repatriation - UNHCR is encouraging returns
on the basis of changes in the situation in Rakhine State in Myanmar. UNHCR
considers the area safe for return but MSF  claimed  better  screening  was
necessary  to ensure that families understood fully the conditions to which
they would  be  returning.  In  consultation  with  the  NGOs,  changes  to
procedures have been made, mainly to ensure returnees are fully informed of
conditions inside Myanmar. Both organisations now agree that returns should
proceed. UNHCR had found only three cases in which returnees were forced to
return.

Yours sincerely
Sd. Michael Potts
Assistant Secretary
ASEAN Bilateral Branch.
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* STATE LAW AND ORDER RESTORATION COUNCIL
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