Obama backers turn from re-election to “fiscal cliff” fight






WASHINGTON (Reuters) – After a year of knocking on doors and working the phones to get President Barack Obama re-elected, Meechie Biggers had gotten over her fear of talking politics with strangers.


So when she came to Washington last week, the small-town real estate agent and a few like-minded Tennesseeans paid a visit to one of their Republican senators, Bob Corker, to try to persuade him to back Obama’s proposal to raise tax rates for the wealthy.






Biggers didn’t think she had much of a chance of changing his mind, and perhaps she didn’t. But four days later, Corker became the latest Republican to say his party should consider Obama’s proposed tax hike as part of a year-end budget deal.


“It’s a testament to knocking on doors and giving people your two cents,” Biggers said.


The election ended more than a month ago, but the campaign continues for many of the 2 million-plus foot soldiers who helped secure Obama’s second term.


Flush with victory, many volunteers and staffers are now mounting a grassroots effort to ensure that any deal that emerges from year-end “fiscal cliff” discussions includes a tax increase on the wealthiest households.


It’s an open question how many will stick with him if he is forced to consider cutting popular programs such as Medicare that enjoy broad support on the left.


But for now, it’s a chance to help Obama fulfill one of his central campaign promises – economic justice – and build on the momentum of his re-election. It also enables them to maintain friendships and a sense of purpose that were forged through the campaign.


“You can only go to so many celebrations, parties and lunches. And then you’re ready to help the president get done what he needs to get done,” said Lenda Sherrell, a retired accountant from Monteagle, Tennessee, who visited Corker along with Biggers.


The effort gives Obama added leverage in Washington at a time when many Republican allies are undergoing a painful re-examination in the wake of last month’s election.


Groups aligned with the conservative Tea Party movement, who pressed successfully for deep spending cuts in earlier budget fights, have been less visible in the fiscal-cliff battle, and business groups have pressed Republican lawmakers to abandon their no-tax-hike stance.


The grassroots pressure from the left could weaken Republicans’ resolve to hold the line against tax hikes, said Chris Arterton, a professor of political management at George Washington University. “It tends to take the wind out of their sails if their citizens are pushing in a direction that is absolutely contradictory to the politician’s views,” he said.


Corker’s office said he appreciates hearing from his constituents but he has not changed his view that increased tax revenue should come from eliminating deductions rather than raising rates.


The post-election effort stands in stark contrast to Obama’s first term, when officials did not keep his massive grassroots organization engaged in battles over spending, health care and climate change. This time around, campaign officials and liberal allies have made a concerted effort to harness the network for inside-the-Beltway policy battles.


ACTIVISTS INVITED TO WHITE HOUSE


One week after the election, Obama thanked 30,000 volunteers in a conference call and asked them to stay involved in the budget fight. Top activists such as Biggers and Sherrell have been invited to the White House for strategy and networking sessions.


Even as he tries to hammer out a deal with House of Representatives Speaker John Boehner, Obama has jetted to campaign-style rallies around the country to keep up the pressure. He has encouraged backers to send Twitter messages describing how they would be hurt by the automatic tax increases due to kick in if the fiscal cliff isn’t averted. On Monday, his campaign urged supporters in Republican congressional districts to call their lawmakers to support the tax hike.


Many of the volunteers and staffers who powered the campaign’s massive get-out-the-vote effort are continuing their work under the banner of The Action, a coalition of labor and liberal groups that launched three days after Obama’s November 6 victory.


As Obama’s Tennessee state director, Justin Wilkins steered volunteers in the deeply Republican state to phone banks and door-knocking efforts in more competitive states such as North Carolina. Now he is overseeing many of those same volunteers as part of The Action.


“Nobody had to be called. People literally came running,” he said.


Like both of Obama’s election campaigns, The Action combines cutting-edge digital tools with an emphasis on boots-on-the-ground action. A slick website directs supporters to events in their local area and provides the phone numbers of House lawmakers who have yet to back a legislative maneuver that would force a vote on Obama’s proposed tax hike in the Republican-controlled chamber. Backers can download distinctive yellow-and-black signs to wave at local rallies or post online.


Participants have spent the past month mounting demonstrations outside Republican lawmakers’ local offices and writing letters to local newspapers – a strategy designed to boost local news coverage and build public support for the tax hike.


Republicans have complained that the campaign-style tactics are complicating efforts to reach a deal. “A month after his re-election and weeks before the fiscal cliff, he’d still rather campaign than cooperate,” Senate Republican Leader Mitch McConnell said on Wednesday.


Public opinion polls show that a majority of Americans support the idea of raising taxes on the wealthiest 2 percent of U.S. households.


Volunteers see the fight as central to Obama’s prospects for a successful second term. Obama will have a tough time pursuing priorities like education without additional revenue, they say.


The Action’s narrow focus on raising taxes for the wealthy has allowed the coalition to avoid conflicts over other elements of the fiscal cliff fight that might prove more divisive, such as spending cuts or changes to popular entitlements such as Medicare and Social Security. Participants say they’re not sure whether the coalition will stay intact once the tax-hike battle is resolved.


“It’s relatively easy for the Democrats to coalesce around this, but there won’t be the same united front for the next issue,” said University of Michigan politics professor Michael Traugott.


Whether the coalition survives, many of those involved say they intend to keep up the effort to advance Obama’s agenda in the years to come.


“It was kind of a little bit scary to me to go knock on people’s doors and ask them their political stance, but I did it,” Biggers said.


“For me to go to somebody else and say, this is my opinion, do you want to hear it? That’s not me. But maybe it is now.”


(Reporting by Andy Sullivan. Editing by Fred Barbash, Mary Milliken and Lisa Shumaker.)


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Asian shares rise, yen slips after Fed’s stimulus steps






TOKYO (Reuters) – Asian shares extended gains for a seventh day on Thursday, after the U.S. Federal Reserve took new stimulus steps to bolster the economy, pressuring the yen with expectations the Japanese central bank will follow suit with more easing next week.


While stocks gained, oil and gold fell from post-Fed rallies, as investors took profits ahead of the year-end, and concerns over the U.S. budget impasse also weighed on sentiment.






The upside for equities was also contained despite the Fed‘s fresh dose of liquidity-pumping measures, as investors were worried the United States would miss a year-end deadline to avert the “fiscal cliff,” some $ 600 billion of tax hikes and spending cuts scheduled to start in January.


U.S. House of Representatives Speaker John Boehner said on Wednesday “serious differences” remain with President Barack Obama on the budget talks.


Failure to reach a compromise by the end of the year risks pushing the U.S. economy into recession and has stoked fears that a fragile recovery trend emerging in China and some other countries would be stifled.


Against this backdrop, European shares were expected to start narrowly mixed, with financial spreadbetters predicting London’s FTSE 100 <.ftse>, Paris’s CAC-40 <.fchi> and Frankfurt’s DAX <.gdaxi> will open flat to 0.2 percent higher. A 0.1 percent gain in U.S. stock futures hinted at a firm Wall Street open. <.l><.eu><.n></.n></.eu></.l></.gdaxi></.fchi></.ftse>


MSCI’s broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> added 0.3 percent to a 16-month peak, having hit successive 16-month highs since December 5. South Korean shares <.ks11> advanced 0.8 percent to a two-month high.</.ks11></.miapj0000pus>


“The Fed’s easing measures met the market’s expectations, while the setting of clear inflation and unemployment targets exceeded hopes and will clear uncertainty on the monetary front,” said Kim Yong-goo, an analyst at Samsung Securities.


The U.S. central bank committed to monthly purchases of $ 45 billion in Treasuries on top of the $ 40 billion per month in mortgage-backed bonds it started buying in September. But it also took the unprecedented step of indicating interest rates would remain near zero until unemployment falls to at least 6.5 percent.


YEN WEAKNESS CONTINUES


The dollar advanced to its loftiest in nearly nine months against the yen, touching a high of 83.635 yen. The slumping yen boosted Japan’s Nikkei share average <.n225> up 1.6 percent and above 9,700 for the first time in eight months. <.t></.t></.n225>


Japan holds an election on Sunday, with opinion surveys showing conservative former Prime Minister Shinzo Abe‘s opposition Liberal Democratic Party and its smaller ally heading for a resounding victory.


Abe wants to step up aggressive monetary easing along with heavy public works spending, policy prescriptions dubbed “Abenomics” by the media, and while he threatens to curtail the Bank of Japan‘s independence, investors reckon the responsibility of power will prevent Abe taking excessive risks that could lead to a bond market meltdown.


“As the Fed sets direction on policy rates for the rest of central banks and equity markets, the Bank of Japan sets the currency vehicle, by stepping up asset purchases and driving down the yen once LDP Chief Abe becomes the likely PM at Sunday’s elections,” Ashraf Laidi, chief global strategist at City Index, said in a note to clients.


At its December 19-20 meeting, the BOJ is widely expected to further ease monetary policy to support its weak economy.


The Fed’s latest move to make the jobless rate a target for its monetary policy could have a longer-term implication on the BOJ.


“While the BOJ’s ultimate goal is to pull Japan out of deflation, the Fed’s latest move could prompt Japanese politicians or the government to urge the BOJ to also commit itself to growth, not just price stability,” said Chotaro Morita, chief fixed income strategist at Barclays.


Morita said that market consensus is for the BOJ to expand its asset-buying and lending program, currently at 91 trillion yen ($ 1.1 trillion), by another 5-10 trillion yen, and put off taking bolder steps until after a new cabinet is formed.


Rising U.S. Treasury bond yields also drew demand for the dollar against the yen, given the stable and low Japanese yields.


BETTER EUROPEAN NEWS


The euro was relatively more robust than the dollar and the yen, inching up 0.1 percent to $ 1.3082 to approach Wednesday’s high of $ 1.3098, as some positive news emerged.


Europe clinched a deal on Thursday to give the European Central Bank new powers to supervise euro zone banks, the first step in a new phase of closer integration to help underpin the single currency.


Greece’s foreign lenders welcomed a bond buyback, paving the way for Athens to get long-delayed aid to avoid bankruptcy.


In Italy, another debt-straddled euro zone country, Silvio Berlusconi offered to stand back and make way for Mario Monti as Italy’s next leader if the outgoing technocrat premier agreed to run as the candidate for a center-right coalition. Monti’s intention to resign has raised concerns that his austerity policies may not be carried out.


Oil prices retreated from overnight gains, with U.S. crude futures down 0.2 percent to $ 86.57 a barrel and Brent falling 0.2 percent to $ 109.24.


Gold tumbled more than 1 percent on stop-loss selling after touching their highest in nearly two weeks on Wednesday. Spot gold dropped as much as 1 percent to $ 1,693.80.


($ 1 = 82.9300 Japanese yen)


(Additional reporting by Somang Yang in Seoul; Editing by Jacqueline Wong)


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Corruption probe shrouds Quebec in new darkness






MONTREAL (Reuters) – Half a century ago, a new crop of Quebec leaders sparked the so-called Quiet Revolution to eradicate the “Great Darkness” – decades of corruption that kept Canada‘s French-speaking province under the dominance of one party and the Catholic church.


The revolution’s reforms, including cleaning up the way lawmakers were elected and secularizing the education system, seemed to work, paving the way for decades of growth, progress and prominence as Canada emerged as a model of democracy.






Fifty years later, a public inquiry into corruption and government bid-rigging suggests the province’s politics are not as clean as Quebecers had hoped or believed.


Since May, when the inquiry opened in Montreal, Canadians have been getting daily doses of revelations of fraud through live broadcasts on French-language television stations. Corruption involving the Mafia, construction bosses and politicians, the inquiry has shown, drove up the average building cost of municipal contracts by more than 30 percent in Montreal, Canada’s second-largest city.


Last month, Montreal Mayor Gerald Tremblay resigned as did the mayor of nearby Laval, Gilles Vaillancourt. Both denied doing anything wrong, but said they could not govern amid the accusations of corruption involving rigging of municipal contracts, kickbacks from the contracts and illegal financing of elections.


Tremblay has not been charged by police. Vaillancourt’s homes and offices have been raided several times by Quebec’s anti-corruption squad, which operates independently of the inquiry, but no charges have been filed against him either. Police said the raids were part of an investigation but they would not release further details.


“Quebecers lived for several years under the impression that they had found the right formula, that their parties were clean,” said Pierre Martin, political science professor at the University of Montreal. Now, he said, “people at all levels are fed up.”


The inquiry must submit its final report to the Quebec government by next October. It has exposed practices worthy of a Hollywood noir thriller – a mob boss stuffing his socks with money, rigged construction contracts, call girls offered as gifts, and a party fundraiser with so much cash he could not close the door of his safe.


“Even though we are in the early days, what is emerging is a pretty troubling portrait of the way public contracts were awarded,” said Antonia Maioni, director of the McGill Institute for the Study of Canada in Montreal.


Quebec’s Liberals, the force behind the Quiet Revolution, launched the inquiry as rumors of corruption swirled. The government then called an election for September, a year ahead of schedule, in what was seen as an attempt to stop damaging testimony hurting its popularity.


The tactic did not help. Jean Charest’s Liberals lost to the Parti Quebecois, whose ultimate aim is to take the French-speaking province, the size of Western Europe, out of Canada.


‘IT WASN’T COMPLICATED’


According to allegations at the inquiry, the corruption helped three main entities: the construction bosses who colluded to bid on contracts, the Montreal Mafia dons who swooped in for their share, and the municipal politicians who received kickbacks to finance campaigns.


In Quebec, the Mafia has been dominated by the Rizzuto family, with tentacles to the rest of Canada and crime families in New York and abroad. But recently the syndicate has been facing challenges from other crime groups in Montreal, according to the Toronto-based Mafia analyst and author Antonio Nicaso.


The reputed godfather of the syndicate, Vito Rizzuto, has been subpoenaed to appear before the commission, but the date for his testimony has not been set.


The hearings have zeroed in on four construction bosses and how their companies worked with the Mafia, bribed municipal engineers and provided funds for mayoralty campaigns in Montreal, the business capital for Quebec’s 8 million people.


“It’s not good for the economy,” said Martin. “It’s not good for any kind of legitimate business that tries to enter into any kind of long-term relationship with the public sector.”


Quebec’s anti-corruption squad has arrested 35 people so far this year, staging well-publicized raids on mayoral offices and on construction and engineering companies. The squad has arrested civil servants and owners of construction companies, among others.


“I now must suffer an unbearable injustice,” Tremblay said in a somber resignation speech earlier this month after a decade as mayor of Montreal, saying he could not continue in office because the allegations of corruption were causing a paralysis at City Hall.


Some of the most explosive allegations at the inquiry, headed by Quebec Superior Court Justice France Charbonneau, came from Lino Zambito, owner of a now bankrupt construction company, and from a top worker for Tremblay’s political party, Union Montreal.


Zambito, who is seen as one of the smaller players and who also faces fraud charges, described a system of collusion between organized crime, business cartels and corrupt civil servants, with payments made according to a predetermined formula.


“The entrepreneurs made money, and there was an amount that was due to the Mafia,” Zambito told the inquiry. “It wasn’t complicated.”


Zambito said the Mafia got 2.5 percent of the value of a contract, 3 percent went to Union Montreal and 1 percent to the engineer tasked with inflating contract prices.


Tremblay did not respond to emails requesting comment on the allegations of corruption at city hall.


A former party organizer, Martin Dumont, alleged the mayor was aware of double bookkeeping used to hide illegal funding during a 2004 election.


Dumont said the mayor walked out of the room during a meeting that explained the double bookkeeping system, saying he did not want to know anything about it.


Dumont also described how he was called into the office of a fundraiser for Union Montreal to help close the door of a safe because it was too full of money.


“I think it was the largest amount I’d ever seen in my life,” Dumont said at the inquiry.


GOLF, HOCKEY, ESCORTS


The inquiry also saw videos linking construction company players with Mafia bosses. In one police surveillance video, a Mafia boss was seen stuffing cash into his socks.


A retired city of Montreal engineer, Gilles Surprenant, described how he first accepted a bribe in the late 1980s after being “intimidated” by a construction company owner. Over the years he said he accepted over $ 700,000 from the owners in return for inflating the price of the contracts.


Another retired engineer, Luc Leclerc, admitted to bagging half a million dollars for the same service. He said the system was well-known to many at city hall and simply part of the “business culture” in Montreal. He also got gifts and paid golf trips to the Caribbean with other businessmen and Mafia bosses.


Gilles Vezina, who is currently suspended from his job as a city engineer, concurred.


“It was part of our business relationships to get advantages like golf, hockey, Christmas gifts” from construction bosses, he told the inquiry in mid-November.


The gifts didn’t stop there. Vezina said he was twice offered the services of prostitutes from different construction bosses in the 1980s or early 1990s, which he said he refused.


The accusations are jarring for a country that prides itself on being one of the least corrupt places in the world, according to corruption watchdog Transparency International. But experts say corruption in Montreal was something of an open secret.


“The alarm signals have been going off here for 20 years and no one has done anything,” said Andre Cedilot, a former journalist who co-wrote a book on the Canadian Mafia.


Quebec’s new government has introduced legislation tasking the province’s securities regulator with vetting businesses vying for public contracts and allowing it to block companies that do not measure up.


Anti-corruption activist Jonathan Brun was not optimistic.


“You’ve got to use modern technology,” said Brun, a co-founder of Quebec Ouvert, a group that wants to make all information about contracts freely available rather than asking regulators to oversee individual companies. “You’ve got to change the entire system if you really want to fight corruption.”


(Writing by Russ Blinch; Editing by Janet Guttsman, Mary Milliken and Prudence Crowther)


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Proper jailbreak for iOS 6 reportedly coming December 22nd






The speed at which a jailbreak for a new iOS device is released has slowed down considerably over the last few years. A tethered jailbreak  for devices running iOS 6 has been out September, but most people have been holding out for the untethered version – a hack that doesn’t erase everything upon reboot. A new jailbreak developer called “Dream JB” claims he will release a proper untethered jailbreak for devices running iOS 6 or 6.0.1 including the iPhone 5, iPad mini and iPad 4 on December 22nd. Dream JB also promises to release a video on Wednesday as proof. According to his website’s FAQ page, the jailbreak will be a one-click process and will differ from previous jailbreak methods in the past by using a prepared “Webkit exploit” and “userland exploit.” After it’s all done, Cydia, the App Store’s alternative for jailbroken smartphones, can be installed on the device. Unfortunately, the jailbreak won’t support Apple TV boxes.


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Legendary Indian sitarist, composer Ravi Shankar dead at 92






LOS ANGELES (Reuters) – Sitarist and composer Ravi Shankar, who helped introduce the sitar to the Western world through his collaborations with The Beatles, died in Southern California on Tuesday, his family said. He was 92.


Shankar, a three-time Grammy winner with legendary appearances at the 1967 Monterey Festival and at Woodstock, had been in fragile health for several years and last Thursday underwent surgery, his family said in a statement.






“Although it is a time for sorrow and sadness, it is also a time for all of us to give thanks and to be grateful that we were able to have him as a part of our lives,” the family said. “He will live forever in our hearts and in his music.”


In India, Prime Minister Manmohan Singh‘s office posted a Twitter message calling Shankar a “national treasure and global ambassador of India‘s cultural heritage.”


“An era has passed away with … Ravi Shankar. The nation joins me to pay tributes to his unsurpassable genius, his art and his humility,” the Indian premier added.


Shankar had suffered from upper respiratory and heart issues over the past year and underwent heart-valve replacement surgery last week at a hospital in San Diego, south of Los Angeles.


The surgery was successful but he was unable to recover.


“Unfortunately, despite the best efforts of the surgeons and doctors taking care of him, his body was not able to withstand the strain of the surgery. We were at his side when he passed away,” his wife Sukanya and daughter Anoushka said.


Shankar lived in both India and the United States. He is also survived by his daughter, Grammy-winning singer Norah Jones, three grandchildren, and four great-grandchildren.


Shankar performed his last concert with his daughter Anoushka on November 4 in Long Beach, California, the statement said. The night before he underwent surgery, he was nominated for a Grammy for his latest album “The Living Room Sessions, Part 1.”


‘NORWEGIAN WOOD’ TO ‘WEST MEETS EAST’


His family said that memorial plans will be announced at a later date and requested that donations be made to the Ravi Shankar Foundation.


Shankar is credited with popularizing Indian music through his work with violinist Yehudi Menuhin and The Beatles in the late 1960s, inspiring George Harrison to learn the sitar and the British band to record songs like “Norwegian Wood” (1965) and “Within You, Without You” (1967).


His friendship with Harrison led him to appearances at the Monterey and Woodstock pop festivals in the late 1960s, and the 1972 Concert for Bangladesh, becoming one of the first Indian musicians to become a household name in the West.


His influence in classical music, including on composer Philip Glass, was just as large. His work with Menuhin on their “West Meets East” albums in the 1960s and 1970s earned them a Grammy, and he wrote concertos for sitar and orchestra for both the London Symphony Orchestra and the New York Philharmonic.


Shankar served as a member of the upper chamber of the Parliament of India, from 1986 to 1992, after being nominated by then Indian Prime Minister Rajiv Gandhi.


A man of many talents, he also wrote the Oscar-nominated score for 1982 film “Gandhi,” several books, and mounted theatrical productions.


He also built an ashram-style home and music center in India where students could live and learn, and later the Ravi Shankar Center in Delhi in 2001, which hosts an annual music festival.


Yet his first brush with the arts was through dance.


Born Robindra Shankar in 1920 in India‘s holiest city, Varanasi, he spent his first few years in relative poverty before his eldest brother took the family to Paris.


For about eight years, Shankar danced in his brother’s Indian classical and folk dance troupe, which toured the world. But by the late 1930s he had turned his back on show business to learn the sitar and other classical Indian instruments.


Shankar earned multiple honors in his long career, including an Order of the British Empire (OBE) from Britain’s Queen Elizabeth for services to music, the Bharat Ratna, India‘s highest civilian award, and the French Legion d’Honneur.


(Editing by Eric Walsh)


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U.N.’s Ban launches bid to stamp out cholera in Haiti






UNITED NATIONS (Reuters) – U.N. Secretary-General Ban Ki-moon launched a $ 2.2 billion initiative on Tuesday to stamp out cholera over the next decade in impoverished Haiti, where an epidemic has killed thousands of people and been blamed on U.N. peacekeepers.


Cholera – an infection causing severe diarrhea that can lead to dehydration and death – has killed some 7,750 Haitians and sickened almost 620,000 since October 2010. It occurs in places with poor sanitation and can be treated with clean fluids.






An independent panel appointed by Ban to study the epidemic issued a May 2011 report that did not determine conclusively how the cholera was introduced to Haiti. But the U.S. Centers for Disease Control and Prevention in June 2011 found that evidence strongly suggested U.N. peacekeepers from Nepal were the source.


The World Health Organization projects up to 112,000 cases in Haiti during 2012.


“Haiti has seen a dramatic fall in infection and fatality rates. But this will not be a short-term crisis. Eliminating cholera from Haiti will continue to require the full cooperation and support of the international community,” Ban said.


Ban said Haiti needed $ 500 million to implement the first two years of the initiative, which will also address the spread of the cholera outbreak to neighboring Dominican Republic.


“The main focus is on the extension of clean drinking water and sanitation systems,” Ban said. “But we are also determined to save lives now through the use of an oral cholera vaccine.”


“Because global vaccines are in short supply, we will first target high-risk areas: densely populated urban areas and rural areas far removed from health services,” he said. “As production increases, the vaccine effort will expand its reach.”


Ban announced that $ 215 million in existing funds from donors would be used to support the initiative, while the United Nations would contribute $ 23.5 million on top of $ 118 million the U.N. system has already spent on the cholera outbreak.


“I will use every opportunity in the months ahead to mobilize even more funding,” Ban said.


Haiti’s Prime Minister Laurent Lamothe told Reuters in September that the epidemic was “regrettable” but had been brought under control. {ID:nL1E8KQ8WX]


Haiti is still struggling to lift itself from the rubble left by an earthquake in January 2010 that killed about 300,000 people and left more than 1.5 million homeless. Lamothe said 1.2 million of those had been moved back into homes, while the United Nations said 390,000 were still living in tent camps.


(Reporting by Michelle Nichols; Editing by Cynthia Osterman)


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India factory output surges 8.2%







India’s industrial output rose more than expected in October, boosted by increased demand during the festive season in the country.






Factory output rose 8.2% from a year earlier. Most analysts had forecast a rise of 4.5%.


Manufacturing activity, which accounts for almost two-thirds of overall output, rose 9.6% from a year earlier.


Analysts said the data was also helped by a low base and did not indicate a recovery in India’s economy.


Industrial production had dipped 5.1% during the same month last year.


“It’s a positive surprise, but bear in mind the jump is distorted by last year’s low base, and this is going to reverse in November,” said Rajeev Malik, a senior economist with CLSA.


Mr Malik explained that the festival of Diwali, which is traditionally associated with a surge in consumer demand in India, was celebrated in October last year and in November this year.


Factories mostly manufacture and ship their goods ahead of the festival, and as a result, there had been a fluctuation in demand during the respective months.


“The real, credible assessment will be possible only after the November data,” Mr Malik said.


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Egypt army given temporary power to arrest civilians






CAIRO (Reuters) – Egypt’s Islamist president has given the army temporary power to arrest civilians during a constitutional referendum he is determined to push through despite the risk of bloodshed between his supporters and opponents accusing him of a power grab.


Seven people were killed and hundreds wounded last week in clashes between the Islamist Muslim Brotherhood and their critics besieging Mohamed Mursi’s graffiti-daubed presidential palace. Both sides plan mass rallies on Tuesday.






The elite Republican Guard has yet to use force to keep protesters away from the palace, which it ringed with tanks, barbed wire and concrete barricades after last week’s violence.


Mursi, bruised by calls for his downfall, has rescinded a November 22 decree giving him wide powers but is going ahead with a referendum on Saturday on a constitution seen by his supporters as a triumph for democracy and by many liberals as a betrayal.


A decree issued by Mursi late on Sunday gives the armed forces the power to arrest civilians and refer them to prosecutors until the announcement of the results of the referendum, which the protesters want cancelled.


Despite its limited nature, the edict will revive memories of Hosni Mubarak’s emergency law, also introduced as a temporary expedient, under which military or state security courts tried thousands of political dissidents and Islamist militants.


But a military source stressed that the measure introduced by a civilian government would have a short shelf-life.


“The latest law giving the armed forces the right to arrest anyone involved in illegal actions such as burning buildings or damaging public sites is to ensure security during the referendum only,” the military source said.


Presidential spokesman Yasser Ali said the committee overseeing the vote had requested the army’s assistance.


“The armed forces will work within a legal framework to secure the referendum and will return (to barracks) as soon as the referendum is over,” Ali said.


Protests and violence have racked Egypt since Mursi decreed himself extraordinary powers he said were needed to speed up a troubled transition since Mubarak’s fall 22 months ago.


The Muslim Brotherhood has voiced anger at the Interior Ministry’s failure to prevent protesters setting fire to its headquarters in Cairo and 28 of its offices elsewhere.


Critics say the draft law puts Egypt in a religious straitjacket. Whatever the outcome of the referendum, the crisis has polarized the country and presages more instability at a time when Mursi is trying to steady a fragile economy.


On Monday, he suspended planned tax increases only hours after the measures had been formally decreed, casting doubts on the government’s ability to push through tough economic reforms that form part of a proposed $ 4.8 billion IMF loan agreement.


“VIOLENT CONFRONTATION”


Rejecting the referendum plan, opposition groups have called for mass protests on Tuesday, saying Mursi’s eagerness to push the constitution through could lead to “violent confrontation”.


Islamists have urged their followers to turn out “in millions” the same day in a show of support for the president and for a referendum they feel sure of winning with their loyal base and perhaps with the votes of Egyptians weary of turmoil.


The opposition National Salvation Front, led by liberals such as Mohamed ElBaradei and Amr Moussa, as well as leftist firebrand Hamdeen Sabahy, has yet to call directly for a boycott of the referendum or to urge their supporters to vote “no”.


Instead it is contesting the legitimacy of the vote and of the whole process by which the constitution was drafted in an Islamist-led assembly from which their representatives withdrew.


The opposition says the document fails to embrace the diversity of 83 million Egyptians, a tenth of whom are Christians, and invites Muslim clerics to influence lawmaking.


But debate over the details has largely given way to noisy street protests and megaphone politics, keeping Egypt off balance and ill-equipped to deal with a looming economic crisis.


“Inevitability of referendum deepens divisions,” was the headline in Al-Gomhuriya newspaper on Monday. Al Ahram daily wrote: “Political forces split over referendum and new decree.”


Mursi issued another decree on Saturday to supersede his November 22 measure putting his own decisions beyond legal challenge until a new constitution and parliament are in place.


While he gave up extra powers as a sop to his opponents, the decisions already taken under them, such as the dismissal of a prosecutor-general appointed by Mubarak, remain intact.


“UNWELCOME” CHOICE


Lamia Kamel, a spokeswoman for former Arab League chief Moussa, said the opposition factions were still discussing whether to boycott the referendum or call for a “no” vote.


“Both paths are unwelcome because they really don’t want the referendum at all,” she said, but predicted a clearer opposition line if the plebiscite went ahead as planned.


A spokeswoman for ElBaradei, former head of the U.N. nuclear watchdog, said: “We do not acknowledge the referendum. The aim is to change the decision and postpone it.”


Mahmoud Ghozlan, the Muslim Brotherhood’s spokesman, said the opposition could stage protests, but should keep the peace.


“They are free to boycott, participate or say no, they can do what they want. The important thing is that it remains in a peaceful context to preserve the country’s safety and security.”


The army stepped into the conflict on Saturday, telling all sides to resolve their disputes via dialogue and warning that it would not allow Egypt to enter a “dark tunnel”.


A military source said the declaration read on state media did not herald a move by the army to retake control of Egypt, which it relinquished in June after managing the transition from Mubarak’s 30 years of military-backed one-man rule.


The draft constitution sets up a national defense council, in which generals will form a majority, and gives civilians some scrutiny over the army – although not enough for critics.


In August Mursi stripped the generals of sweeping powers they had grabbed when he was elected two months earlier, but has since repeatedly paid tribute to the military in public.


So far the army and police have taken a relatively passive role in the protests roiling the most populous Arab nation.


(Additional reporting by Edmund Blair and Yasmine Saleh; editing by Philippa Fletcher)


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Royal phone scandal highlights new media risks






CANBERRA (Reuters) – Back in 2007, as investigations were gathering strength into the UK phone hacking scandal involving journalists working under the umbrella of the Murdoch media empire, a comedy show based around prank telephone calls made a low-key debut in Britain.


‘Fonejacker’ proved such a hit with the British public that the next year the program, in which a masked caller bamboozles hapless victims, won a coveted BAFTA award for best comedy, underscoring the attraction of the prank call amid a blurring of a ceaseless news cycle with social media and entertainment.






But just such a prank telephone call, to a London hospital where Prince William‘s pregnant wife Kate was being treated, has sparked a firestorm in traditional and social media after the apparent suicide by the nurse who put the call through.


Much of the fury has been directed at laying blame for the nurse’s death on the Australian DJs who made the prank call, or the media in general, with the most vitriolic comments appearing on the public domains of Facebook and Twitter.


The social media outrage has become a story of its own, outlasting the original news value of a prank call, and has seen advertising pulled from the program which broadcast the hoax call and the suspension of the two radio announcers.


Shares in radio station 2DayFM’s owner, Southern Cross Austero fell 5 percent on Monday as the public backlash gathered strength.


Media commentators and analysts warn the rapidly changing traditional and social media worlds may have given people greater freedom of expression, but can unleash a genie which can have destructive or negative repercussions, without responsible behavior by both mainstream and social media operators.


“It’s all changing so fast that societal norms have retreated in confusion,” said veteran newspaper columnist Jennifer Hewett in the Australian Financial Review.


“What is clear is that we will soon look back to count the mounting costs and destructive force, as well as the great benefits, of the explosion of communication in an all-media, all-in, all-the-time world,” Hewett said.


Jacintha Saldanha, 46, was found dead in staff accommodation near London’s King Edward VII hospital on Friday after putting the hoax call through to a colleague who unwittingly disclosed details of Kate’s morning sickness to 2DayFM’s presenters.


Her death, still being investigated, followed still simmering outrage in Britain over phone hacking, as well as Australian anger over the power of radio announcers to plump ratings with a diet of shock, including a 2Day announcer who sparked fury by calling a woman journalist rival a “fat slag”.


And while in Britain the popular press were quick to seize the moral high ground and point the finger “Down Under”, Australian commentators pointed blame the other way, or at confusion over the changing role of media and voracious public demand for not only information, but increasingly titillation.


Australian newspaper columnist Mike Carlton said while 2Day FM and its parent company made good money by “entertaining simple minds”, for tabloid British papers to point “Down Under” over a ‘gotcha’ news genre they created was “towering hypocrisy”.


CHANGING MEDIA ETHICS


The social media condemnation of Saldanha’s death should prompt a re-think of ethics in the era of celebrity news, said Jim Macnamara, a media analyst from Australia’s University of Technology, Sydney.


“There is a lesson in this for media organizations everywhere, and for journalists and media personalities, and that is that they need to look at community standards and better self regulate,” said Macnamara.


The tragic fallout from the radio stunt has rekindled memories of the death of William’s mother Diana in a Paris car crash in 1997 and threatens to cast a pall over the birth of his and Kate’s first child.


Public amusement at the prank started turning when British media reported the call as a major security breach of the royal family’s privacy, despite the call never reaching Kate’s room and the information revealed by a nurse was already public.


But news of Saldanha’s death is what sparked the Internet firestorm, that once unleashed could not be controlled.


Hypocritically, some of the harshest criticism was on Twitter and Facebook, where people unleashed fury on Australian and British media, after having themselves publish news of Saldanha’s error under a Twitter topic #royalprank, which was repeated more than 15,000 times.


“When the twitterverse goes into meltdown, we all react with a chain reaction any nuclear plant would be proud of. I hope, in time, the world will learn to splash cold water on itself when these stories break and cool down, before we all get dragged into the mud of our own making,” Tristan Stewart-Robertson, a Glasgow-based journalist wrote in a blog on www.firstpost.com


(Editing by Michael Perry)


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“Homeland” creator: Stop using animals in military training






LOS ANGELES (TheWrap.com) – “Homeland” executive producer Gideon Raff is urging a cease-fire between the U.S. military and the animal kingdom.


Joining with the People for the Ethical Treatment of Animals, Raff has sent a letter to U.S. Secretary of Defense Leon Panetta, asking him to halt the use of animals in medical training exercises in favor of high-tech human simulators.






In his letter, Raff – a former paratrooper in the Israeli Defense Forces – claims that research by the IDF Medical Corps indicates that military personnel are better prepared for battlefield medical procedures when they’re trained with human stimulators and given real-life experience with patients than when they utilize “crude animal laboratories.”


“Having served as a paratrooper in the Israeli Defense Forces (IDF), I have the utmost concern for the health and security of the heroic service members – like those portrayed on my shows ‘Homeland’ and ‘Prisoners of War’ – who risk their lives to protect our safety and freedom,” Raff wrote in his letter to Panetta. (“Homeland” is a U.S. adaptation of his Israeli series, “Prisoners of War.”)


“But the U.S. Department of Defense is not saving soldiers’ lives by shooting, dismembering, blowing up, and killing thousands of animals each year for crude medical training drills,” he added. “I am troubled that this violence still goes on when more humane and effective ways of training medics and doctors are available, so I have joined PETA’s campaign to end this cruel practice.”


The letter concludes, “Caring for the well-being of animals and preparing the troops serving our countries are not mutually exclusive. In this case, sparing animals pain and death in training drills means that military personnel receive better medical training and ultimately better care if they are wounded on the battlefield.”


Raff, a vegan whose pro-animal crusade includes lobbying against monkey experiments in Israel, isn’t the only famous former military personnel to protest the U.S. government’s use of animals in allegedly cruel capacities. Oliver Stone and Bob Barker have also condemned the practice.


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