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AP-Myanmar Rebels Deal in Diamonds



Thursday August 5 4:31 PM ET

Myanmar Rebels Deal in Diamonds
By MICOOL BROOKE Associated Press Writer

BANGKOK, Thailand (AP) - In response to the Thai army's new pressure against
drug smuggling operations, the leader of a Myanmar rebel group has said that
diamonds, not narcotics, are his group's main source of income.

But Thai army commander Gen. Surayud Chulananont told The Associated Press
that military intelligence indicates otherwise, and that forces along the
Thai-Myanmar border were finally determined to rid the rugged area of drug
gangs.

Maj. Sai Tong of the United Wa State Army told a news conference Wednesday
at Mong Yawn, a border stronghold inside Myanmar, that his group is not
involved in drugs.

The United States has identified the Wa as one of the world's largest armed
drug gangs, producing opium, heroin and methamphetamines at jungle bases
inside Myanmar. The Wa allegedly smuggle the wares to Thailand for sale or
shipment to world markets.

Thailand kicked up a diplomatic furor with Myanmar's military government
last week when a senior narcotics official said the Myanmar's ruling
generals were in league with the Wa.

Surayud said in an interview Wednesday that Thailand was unlikely to mount
cross-border raids that could jeopardize national relations.

The area is in the middle of the Golden Triangle, where the borders of
Myanmar, also known as Burma, Laos and Thailand meet. The region has long
been the world's chief producer of heroin.

``We are expecting more clashes with the drug-traffickers coming from the
Golden Triangle into Thailand,'' Surayud said. ``But I think they are no
match for us.''

Surayud, a reform-minded general appointed to the top army job last year,
said the operation would continue indefinitely.

Thai authorities have announced they will close the border checkpoint
serving Mong Yawn within a week because they believe a huge flow of drugs
enters the country there.

Mong Yawn has been undergoing major construction work that will transform it
from a village into a modern town, with most labor being done by Thai
construction firms.

Sai Tong claimed that the money for the work comes from sales of diamonds
from a mine in the area, despite reports to the contrary. He noted that his
group had recently signed a five-year agreement with the Myanmar government
to cooperate in narcotics suppression.

The Wa signed a cease-fire with the military government several years ago.
Critics say, however, that the government agreed to turn a blind eye to drug
trafficking.

In recent weeks, Thailand has launched a crackdown on the drug trade and
seized a million or more methamphetamine pills near the border. Several drug
couriers have been killed.

Thailand views the methamphetamine traffic as an explosive social problem.
The stimulants are targeted at the Thai market, whereas opium and heroin
were primarily aimed at Europe and the United States.