"Muslims first and French citizens last"

[. . . . ] Both girls I interviewed wore veils and one also wore a full Afghan-like head-to-toe covering; one was of Egyptian parents, the other of Tunisian parents, but both were born and raised in France. What did I learn from them? That they got all their news from Al Jazeera TV, because they did not believe French TV, that the person they admired most in the world was Osama bin Laden, because he was defending Islam, that suicide "martyrdom" was justified because there was no greater glory than dying in defense of Islam, that they saw themselves as Muslims first and French citizens last, and that all their friends felt pretty much the same.

Ever since 9/11, I've argued the war on terrorism is really a war of ideas within the Muslim world - a war between those who want to wall Islam off from modernity, and defend it with a suicide cult, and those who want to bring Islam into the 21st century and preserve it as a compassionate faith. This war of ideas is not one that the West can fight, only promote. Muslims have to fight it from within. That is what is at stake in the Iraqi elections. This is the first great battle in the post-9/11 war of ideas.

On Thursday, China and Canada agreed to view the energy sector as priority areas for long-term cooperation.

A statement issued after a meeting between the Canadian prime minister, Paul Martin, and Premier Wen Jiabao said the two nations have "decided to work together to promote cooperation in the oil and gas sector, including Canada's oil sands, as well as in the uranium resources sector,"

[. . . . ] The National Development and Reform Commission and Natural Resources Canada will maintain regular dialogue and exchanges of views. Contacts will be conducted through the Canada-China Joint Working Group on Energy Cooperation, under a 2001 memorandum of understanding (MOU), the statement said

[. . . . ] "There is a need for the two countries to deepen understanding," said Wen, adding that Canada has great advantages in energy and minerals, while China has advantages in the production of electrical appliances, daily necessities and electrical and mechanical products.

[. . . . ] The real threat from China remains in the arbitrary power of its state, and in the dangers of statist approaches to the economy. It is disturbing that the Canadian government might be prepared to go along with those approaches. About what, for example, could this shadowy energy agreement be that Mr. Martin is allegedly negotiating this week?

Canadian pundits have taken to parroting that China just wants to "secure" commodity supplies for its huge and growing population. After all, as one such pundit pointed out this week on the CBC, there are 43 of them for every one of us. Run that past me again. Such a detail is utterly irrelevant except if you happen to be a totalitarian state that thinks "it" has to feed "its" people. When it comes to free enterprise societies, more always equals better (and merrier).

The Chinese government wants to buy commodity companies because it believes that if you don't control something, it might suddenly be taken away. After all, that's the way they exercise power: arbitrarily.

[. . . . ] Ottawa can, and should, state quite clearly that takeovers of Canadian companies by Chinese state companies are off limits. This is not "punishing" the Chinese state for its human rights abuses, it's just to point out that Canada has tried state control here, and we know that it doesn't work. Hell, we're doing you guys a favour. But please encourage your private entrepreneurs to invest all the money they want here, let Canadians invest in your country with security, and, when it comes to trade, bring it on. [. . . . ]

China is trying to avert a pension crisis fuelled by its ageing population and the bankruptcy of its antiquated social security system, creating a opportunity for foreign financial services firms like Manulife Financial Corp.
This week, the Chinese subsidiary of Manulife won permission to expand into pensions and group health and life insurance products. [. . . . ]

But to find relief, China must address a fundamental question, said James Dorn, a professor of economics at Towson University in Maryland: Should pension funds be fully funded and individually owned or should the state socialize assets by taking wealth from the younger working generation and redistribute it to retired workers? If the system is privatized, it will encourage savings and investments and create a new market for financial services. If the government remains the sole provider of retirement benefits, there's little incentive to save and invest for the best possible return. [. . . . ]

Telecomms solutions provider, Alcatel (NYSE: ALA and PARIS: CGEP.PA), has announced that it has signed a deal with China Telecom to provide and deploy an optical backbone network in the southeast of the country.

The multi-million USD project will provide connectivity for the ChinaNet2 network.

Spanning 2,300km, the network will connect seven cities and be composed of two main transmission lines - one from Shanghai to Guangzhou, via Changsha and the other Shanghai to Uzhou, via Chongming, Nantong and Lianyungang. [. . . . ]

[. . . . ] It means Western firms must partner or perish as such Chinese players as Putian, UTStarcom Inc. and Huawei Technologies Co. improve their technology and establish more credibility with cost-conscious customers. Shenzen-based Huawei, which has joint ventures with Siemens AG and 3Com Inc., aims to quadruple exports to US$10-billion by 2008.

[. . . . ] The Chinese government is supporting export growth by offering vendor-financing and soft loans. [What happens when Canada has an imbalance in trade and our economy is down?]

As a result, most of the largest foreign equipment makers -- Nortel, Alcatel SA, Cisco and Lucent Technologies Inc. -- are moving to ensure a significant presence in China through joint ventures and partnerships to capitalize on sales by Chinese-based suppliers in domestic and exports markets.

[. . . . ] Nortel's pursuit of a venture with Putian is logical because wireless technology has accounted for about 60% of capital spending over the past three to five years. China has more than 300 million wireless subscribers and four million new ones are added a month.

Other markets are also experiencing strong growth. The Internet access market will climb to more than 100 million customers this year from 80 million in 2004, while the wireline market is adding three million customers a month.

Mr. Pritchard said joint ventures are a strategic necessity in China. "If you are committed to the marketplace, it's not just a matter of access to low-cost manufacturing. These relationships point to growing diversification of resources where you have centres of excellence around the world."

Nortel, which has been doing business in China since 1972, already has three joint ventures that employ more than 3,500 people. Its business is led by Bob Mao, president and CEO of Nortel Networks China since 1997.

One of Nortel's biggest foreign rivals in China is Paris-based Alcatel, which created its first joint venture -- Shanghai Bell -- in 1984. Last year, Alcatel enhanced its foothold by creating a venture with TCL Communication to handle R&D, sales, manufacturing and distribution of wireless devices. [. . . . ]

Businessman Cai Lujun, 35, will be in jail for the next two years because he posted essays discussing problems affecting Chinese farmers on the internet.

Zhao Chunying, 57, from Heilongjiang was found beaten to death in a Chinese jail after being arrested for writing an account of how she was tortured during a previous detention.

Computer engineer Yang Zili, 31, and freelance writer Zhang Honghai, 30, were sent to jail for eight years each for "subverting state power". They had sent articles of political and social concerns via e-mail.

[. . . . ] Among the multinational corporations helping the communist regime block websites and build the so called "Great Firewall of China" is Nortel Networks, a frequent recipient of Ottawa's largesse" -- the latest of which is a waiver on a $750 million Canadian taxpayer-backed financing agreement.

[. . . . ] "What this company is doing is basically telling China that we at Nortel can help you track down activists and free speech advocates," said Ansley, a former professor of Chinese studies and Chinese law in Canada, who was the first foreign lawyer to open a law office in Shanghai.

"Instead of implementing laws to control the export of such technology that results in scores being rounded up, jailed and even killed, the Liberal government has been handing out tax dollars to companies like Nortel.

This is indicative of the close links the Liberals have with China's trade and corporate community and human rights is not part of the deal." [. . . . ]

CALGARY - Oilsands miner Suncor Energy Inc. said it will be producing oil at half its capacity until the third quarter, as it repairs damage from a fire in one of its two upgraders.

The setback is the most significant for the oilsands pioneer since a major fire shut down its plant in 1987. "We can't produce oil without the fractionator. We have only got one upgrader," said spokeswoman Patty Lewis.

[. . . . ] The financial hit is expected to be lessened by property damage and business interruption insurance worth US$1.15-billion, the company said. However, Suncor will still lose revenue because the insurance only kicks in after 30 days.
"The recovery plan is focused on investigating the cause of the fire, completing a damage assessment, completing repairs, and working to mitigate the impact of the outage to Suncor and its customers," [. . . . ]

[. . . . ] Already, there's talk the stakes are so big, and positions so entrenched, a showdown in the courts is inevitable.

It could involve the federal government; Canada's two top pipeline companies, TransCanada Corp. and Enbridge Inc.; and Alaska's reserve holders, BP PLC, ExxonMobil Corp. and ConocoPhillips.

On one side is TransCanada, which through smart acquisitions built itself into one of North America's dominant gas pipeline companies.

The Calgary-based company claims it has the exclusive right to build the Canadian portion of the line under the NPA because it owns certificates originally granted to a predecessor company, Foothills Pipe Lines.

TransCanada says the certificates are still valid because they have no expiration date. Indeed, it argues it spent up to $2-billion over the years to maintain those rights, including building sections of the pipeline (that are now in use) in anticipation they would eventually be connected to the Alaska line, and has worked on agreements with aboriginals whose land the line would cross.

The company has also paid fees to the Northern Pipeline Agency of $200,000 to $300,000 a year. [. . . . ]

LONDON, Ont. - This fall, the Richard Ivey School of Business will offer a two-year MBA that will give students experience in Hong Kong and mainland China, in addition to an introduction to Chinese culture and language.

The first year. . . at the school's University of Western Ontario campus in London. . . . second year at Ivey's Hong Kong campus, the Cheng Yu Tung Management Institute.

[. . . . ] to produce business leaders who have the requisite knowledge, sensitivity, appreciation for rapid change and sophistication to conduct business in Asia."

Shody came to Ivey from Hong Kong in 1969 to earn his MBA.

[. . . . ] Shody provided exceptional guidance to the school at a critical juncture in its expansion and development in Asia. As a member of the Asian Advisory Committee and the Hong Kong Campaign Steering Committee.[. . . . ]

When it comes to China, Professor Paul Beamish, of Ivey believes that all manufacturers should remember his simple rule. For every Canadian, there are 43 citizens in the People's Republic of China. And most of them are happy to a take a manufacturing job for a daily wage equivalent to the price of a new golf ball.

In an Ivey Global luncheon event entitled "The Impact of Chinese Manufacturing on the Future of Canadian Manufacturing", Professor Beamish, Associate Dean of Research and Development and Director of the School's Asian Management Institute, laid out some of the threats and opportunities that lay ahead for Canadian manufacturers. [. . . . ]

Ottawa, Jan. 24 (CNA) Communist Chinese spies stole Canadian nuclear secrets to build a pirate copy of a research reactor, and has been marketing its cheap clone around the world, a Canadian newspaper reported on Monday.

Atomic Energy of Canada Ltd. (AECL), the federal Crown corporation that developed the Slowpoke reactor, has shelved its own sales program because it cannot make money on exports, the paper said in a front-page report.

"The Chinese pretty well picked the place clean,". . .

The report said that in many ways, Beijing's elaborate espionage operations to steal Canadian nuclear power reactor plans parallel its theft of nuclear weapons designs from US government facilities at Los Alamos.

It quoted counterintelligence officers as saying they were aware of communist Chinese interest in stealing Canadian nuclear technology going back to the late 1960s and early 1970s, but only obtained hard evidence of Beijing's success in 1985 when a visiting Canadian scientist from the University of Toronto saw a Slowpoke clone in operation at a lab about 25 kilometers outside Beijing. [. . . . ]

Bu cultivated contacts among Canadians who worked at the Chalk River lab and at other AECL facilities. Mainland China sent other spies to help him when Beijing opened its embassy in Ottawa in 1970. "Nuclear technology was No. 1 on their list of targets," a counterintelligence official was quoted as saying.

Operating under diplomatic cover, the spies organized Chinese friendship and cultural organizations and cultivated contacts with Canadians of Chinese ancestry. But it wasn't just people of Chinese ancestry who were targeted. Beijing also invited scientists and engineers from a variety of universities and institutes to visit mainland China, the daily said. The guided tours invariably included suggestions about how the treasured Canadian friends might help a poorer, less advanced country such as mainland China, it noted.

Mr. Kenney said later that he made the effort as a show of support for those who back the underground democratic movement in China. "Why should we as Canadians be shy about appropriate expressions of support for democracy and human rights in China?" Mr. Kenney asked.

"I hope other foreigners do something symbolic to show the underground democracy movement here that there is support for it outside of China. There are friends for the forces of democracy in Canada."

[Martin] said the government defends human rights in China by funding universities and legal scholars and promoting exchanges. [To whose benefit? For democracy to flourish?]

[. . . . ] Although Mr. Kenney and a handful of reporters were able to get to the front of the house, a camera crew shooting the scene from at least 100 metres away was forced to leave the area.

Mr. Kenney was accompanied to the door by a young translator, who said he had been apprehensive about the visit. Upon arrival, though, the man said he found his courage.

Asked what might happen to him, the man, who asked that his name not be used, said the government could "be unpredictable." [. . . . ]

Over the centuries China has been devastated by peasant revolts, and today's leaders, like past emperors, are obsessed with the need for stability. They fear that the enormous wealth gap, rural poverty, restive migrants and pervasive party corruption could explode. . . .

China encompasses many mini-Chinas, among the most notable being the "world's factory", Guangdong province. It's part of a great necklace, the Pearl River Delta, embracing nine provinces plus Hong Kong and Macau [noted for gambling] and is an industrial planner's dream of incalculable riches - if integration succeeds. By 2016 it could become within China what Spain or Ireland became within the EU.

OTTAWA -- The Canadian government reluctantly got into the insurance business after the terrorist attacks of Sept. 11, 2001, when private insurers got cold feet about terrorism. More than three years later, Ottawa is still stuck providing insurance to the aviation and nuclear industries because commercial providers remain skittish about terrorist attacks.

In the aviation sector, where commercial insurers around the world invoked a seven-day cancellation notice immediately following the 9/11 attacks, Ottawa stepped in to provide terrorism-related coverage at no charge to Canadian airlines. [. . . . ]

Significant Effects of Drug Trafficking in China

* China is a transit area for Southeast Asian heroin bound for international drug markets.
* China is a key source of crystal methamphetamine. . .
* China is developing a significant 3, 4-methylenedioxymethamphetamine
(MDMA) production, trafficking, and consumption problem.
* China is also a major source of precursor chemicals that are necessary for the
production of cocaine, heroin, crystal methamphetamine, and MDMA. . . . .

[. . . . ] Synthetic Drugs

Manufacture of crystal methamphetamine ( ice, shabu, bingdu) is facilitated by the
availability of precursor chemicals, such as pseudoephedrine and ephedrine. The
unrestricted availability of these chemicals in the country facilitates the production of large quantities of crystal methamphetamine. Seizure information indicates that methamphetamine laboratories are located in provinces along the eastern and southeastern coastal areas. Many of the traffickers for the clandestine crystal methamphetamine laboratories are from organized crime groups based in Hong Kong, Taiwan, and Japan.

[. . . . ] Some laboratory operators in China mix MDMA powder, imported from Europe, with substances, such as caffeine, heroin, and ketamine, while making the Ecstasy tablets. Given the availability of the precursor chemical needed, open source reporting indicates that MDMA tablets in China cost only US$.06 to produce, while the tablets sell for as much as US$36 in the city of Shanghai.

[. . . . ] Trafficking Groups

Many of the individuals involved in the international trafficking of Southeast Asian heroin are ethnic Kokang, Yunnanese, Fujianese, Cantonese, or members of other ethnic Chinese minority groups that reside outside of China. These groups reside, and are actively involved in . . . Canada. . .

* Diamonds, Criminal Activity, Canada, RCMP Comments -- in response to a reader's query

* Criminal Intelligence Service Canada - 2003

* Organized crime targets N.W.T. diamond mines -- with a link to Asian * Organized Crime in Canada 2003

* Canada Fears Possible Mafia Infiltration of Diamond Mines

* Youth gang 'epidemic' predicted -- Almost half of gang members linked to organized crime, federal report says

* European mob targets diamond mines -- RCMP: Burgeoning Canadian industry vulnerable

DRUG-RELATED MONEY LAUNDERING

. . . However, with the booming economy promoting greater trade investment and the ever-increasing number of foreign bank branches opening throughout the country, it appears that China may become an emerging money laundering center.

[. . . .] KEY JUDGMENTS AND CONCLUSION

* China is a major source of precursor chemicals necessary for the production of cocaine, heroin, and crystal methamphetamine. . . . China is also a leading exporter of bulk ephedrine and has been a source country for much of the ephedrine and pseudoephedrine imported into Mexico; . . .

* China not only continues to be a major transit route for Southeast Asian heroin, but also for Southwest Asian heroin entering northwestern China from Afghanistan, Pakistan, and Tajikistan. A majority of the Southeast Asian heroin that enters China from Burma transits southern China to various international markets by maritime transport. Drug traffickers take advantage of expanding port facilities in coastal cities, such as Qingdao, Shanghai, Tianjin, and uangdong, to ship heroin along maritime routes.

This study is based on open source research into the scope of Asian organized crime and terrorist activity in Canada during the period 1999 to 2002, and the extent of cooperation and possible overlap between criminal and terrorist activities in that country. The analyst examined those Asian organized crime syndicates that direct their criminal activities at the United States via Canada, namely crime groups trafficking heroin from Southeast Asia, groups engaging in the trafficking of women, and groups committing financial crimes against U.S. interests. . . .

[. . . . ]Chinese Organized Crime Groups Operating in Canada

Big Circle Boys

The Big Circle Boys had its origins in Guangzhou, the capital of Guangdong province, in the late 1960s. Its presence was detected in Canada in the late 1980s, and by the early 1990s it had established criminal cells throughout Canada where it has come to dominate the heroin trade within the country. [. . . . ] The gang also makes use of sophisticated technologies such as counterfeiting machines to evade law enforcement investigations and is currently the most active Chinese organized crime group operating in Canada. The Big Circle Boys’ greatest concentration is in Toronto.84

By the late 1990s, the group had approximately 500 members in Toronto and 250 in Vancouver.85 Ex-mainland Chinese criminals comprise much of the organization. . . . cooperate with Vietnamese gangs and Laotian, Fukienese, and Taiwanese criminals, as well as non-Asian groups, such as the Italian mafia and the Hells Angels. The group essentially cooperates with any criminal organization able to facilitate its activities.86

The Big Circle Gang is primarily responsible for much of the exportation of Southeast Asian heroin . . . trafficking of other illegal narcotics, including South American cocaine and marijuana produced in Canada. They are known to work especially closely with Vietnamese gangs in drug trafficking.87

In addition to involvement in the heroin trade and other narcotics, the gang is extensively involved in alien smuggling, prostitution, gaming offenses, vehicle theft and trafficking, and various financial, intellectual property rights, and high-tech crimes. Big Circle has been connected to sex slave rings based in the United States that had apparent links to such activities in Toronto. Big Circle also have been linked to other groups that engaged in the trafficking of women. In regard to credit cards fraud, most open-source information suggests that the gang is responsible for a relatively high percentage of the counterfeit cards used in North America.88 . . . . sophisticated high-tech counterfeit credit card operation supplying hundreds of credit cards. . . . the bootlegging of microchips and computer software, as well as prostitution and fraud in cooperation with the United Bamboo gang, the Four Seas Triad, and the Wah Ching.89 In the city of Regina, the capital of the province of Saskatchewan, local individuals with links to the Big Circle Boys in Vancouver have been actively involved in counterfeiting, drug trafficking, and auto theft.90

United Bamboo Gang

. . . established in Taiwan by ethnic Chinese . . . . the largest Taiwanese-based triad, with an estimated membership of 20,000. The group maintains criminal relationships with less organized gangs, including the Black Dragons, the Vietnamese V-Boys, and Hung Pho. In Canada, the group is believed to be involved in heroin trafficking and alien smuggling, which likely involves the trafficking of women as well. . . . supplying members with guns, narcotics, and fraudulent identifications.91

The alleged leader of the UBG is Chang An-lo, . . . . lives in China. . . . Chang might have government support because he advocates reunification of China and Taiwan. . . . Chang’s connections in China have raised the issue of possible collusion between organized crime figures and the Communist Party. . . .

14K

. . . one of the most powerful triad organizations in Hong Kong, with over 30 sub-groups, more than 20,000 members, and a well-dispersed leadership.94 The triad maintains a chapter in Toronto. . . .14K is currently the fastest-growing triad in Canada. Prominent members have emigrated from Hong Kong and Macau to Canada. 14K’s global network has allowed it to steal credit card data from all over the world, including the United States and Canada, by installing magnetic recorders in credit card terminals. . . . trafficking of women. . . . Credit card forgery. . . expanding and very profitable activity for 14K in Canada and elsewhere. . . .