LCCC NEWS BULLETIN
May 8/2006

Below news from the Daily Star for 8/05/06
Aoun takes aim at Future Movement
Lebanon marks Press Martyrs Day
Mourners gather to pay respects to Frem
Jumblatt meets Mubarak as Berri visits Assad
Siniora in London to seek Israeli pullout from Shebaa
Sayyed's defense attorney suspends work on case
Arslan decries law ousting Ghaith
PLO and Fatah leaders bury the hatchet
March 14 attacks protest plan as 'Syrian order'
Beirut backs World Bank report on reform
Salameh paints rosy economic picture
Syrian farm worker found with throat slit near Tyre
Don't think Iranians are united on the nuclear issue.By: Sadegh Zibakalam
A new approach is needed to advance UN reform.By: George Soros
Fatal attraction: the Hamas-Iran alliance -By Anna Mahjar-Barducci
Below news from miscellaneous sources for 8/05/06
Syria Sets Summons for Lebanese Politician-Washington Post
PLO to open consulate office in Beirut-Xinhua
Lebanese politician: Syria holding up border demarcation-Ha'aretz
Lebanon's parliament head in Syria-Alarab online
Jumblatt says Syria is delaying peace-Jerusalem Post
Syria's Broken Promises-Media Monitors Network

Syria Sets Summons for Lebanese Politician
By ALBERT AJI-The Associated Press
Sunday, May 7, 2006
DAMASCUS, Syria -- A Syrian military court has issued a summons for a Lebanese parliamentarian over allegations he urged the United States to invade Syria as it did Iraq. Syrian attorney Hossam al-Deen Habash said Saturday that the legislator, Walid Jumblatt, will be tried in absentia if he defies the summons. Syrian Lawyer Hossam el-Dein Habash who launched a case against Lebanese Parliament Member Walid Jumblat on charges of provoking the United States to invade Syria, as it did Iraq is shown in this photo Saturday May 6, 2006. A Syrian military court has issued a summons for the Lebanese parliamentarian. Habash told the Associated Press in Damascus on Saturday, May 6, 2006, that he expected the general proscutor to issue absantia warrants through the Interpol if Jumblat refused to appear before the military court in Syria. (AP Photo) (AP)
Jumblatt has scoffed at the summons, and the United States on Friday condemned it. "These actions are cynical attempts by the Syrian government to continue its interference in the Lebanese political process," State Department spokesman Sean McCormack said. "These actions must come to an end now."The case stems from an interview with the Washington Post in January when Jumblatt was asked what he wanted from the United States. "You came to Iraq in the name of the majority. You can do the same thing in Syria." he reportedly said.Under judicial agreements signed by Syria and Lebanon, Habash said, Lebanese judicial authorities have to hand Jumblatt over to Syria. International pressure led to Syria's pulling its troops out of Lebanon in April last year, ending nearly a three-decade domination of its smaller neighbor.

Aoun takes aim at Future Movement
FPM leader wants cabinet to make way for new elections
By Nada Bakri -Daily Star staff
Monday, May 08, 2006
BEIRUT: The leader of the Free Patriotic Movement lashed out at what he called the "forged parliamentary majority" and the Cabinet on Sunday, calling for the toppling of the government and the holding of parliamentary elections.
Speaking from behind bulletproof glass for the first anniversary of his return from exile in Paris, Aoun held Prime Minister Fouad Siniora's Cabinet and the Future Movement responsible for the country's $38 billion debt.
"They are a forged parliamentary majority and they refuse to admit that you are the real majority," MP Michel Aoun told thousands of supporters at the Forum de Beyrouth. Aoun's FPM is challenging the results of the last elections, claiming that the parliamentary majority led by Future Movement leader Saad Hariri stole 10 seats.
"The big challenge ahead of us is to draft a new electoral law to hold early parliamentary elections," he said. "But they don't want to draft a new law because they know the current situation requires early elections."
The June elections were held according to the 2000 electoral law, which was drafted by the late former chief of Syrian military intelligence in Lebanon, Ghazi Kenaan, who allegedly committed suicide last year.
The government has promised to draft a new law and to pass it by December 2005, but disputes among the committee in charge of forming the law in question has been stalling the process. Aoun said the Future Movement has failed to honor its promises to rebuild the country after the 15-year Civil War. "The Future Movement has been promising the Lebanese a brighter future since they came to power in 1992," he said. "I tell them that they are incapable of creating a brighter future because they spend public money on unnecessary projects, increasing the debt and taxes."
The Future Movement was established by former Premier Rafik Hariri in the early 1990s. He took office for the first time in 1992. "Why should we renew for Siniora and his allies who were responsible for the country's budget deficit and increased public debt?" Aoun asked. "The Cabinet should be toppled. We will not shut up from now on. We want leaders who honor their word. We don't liars to govern us," Aoun added.
Aoun also lashed out at his opponents for criticizing his intentions to run for presidency.
"Running for the presidency is our legitimate right, especially wince we are seeking the seat to reform this country," the former general said. The MP reminded his supporters of the vows he took upon his return to Lebanon - namely to fight political feudalism, sectarianism and political money. "We have eliminated part of political feudalism and with Hizbullah part of sectarianism and we have established peace among the Lebanese while the government has failed to do so," Aoun said.
The FPM and Hizbullah signed a cooperation agreement earlier this year.

Lebanon marks Press Martyrs Day
'One of countries where freedom of expression is most attacked'
By Therese Sfeir -Daily Star staff
Monday, May 08, 2006
BEIRUT: Prime Minister Fouad Siniora called Lebanon "one of the countries where freedom of expression is most attacked" in remarks at a ceremony on the occasion of Press Martyrs Day Saturday. The ceremony at the Press Federation headquarters was one of many held throughout the country to honor journalists and others killed in the name of free speech. "As long as we work for the freedom of expression, the country will survive and the Lebanese people will live in peace," Siniora said.
"However, I believe that freedom will always be the basis of the country."Press Federation president Mohammed Baalbaki said that late former Prime Minister Rafik Hariri was "one of the biggest supporters of the freedom of the press and helped the federation in its efforts to cancel all the laws that imposed restrictions on the press."
Another ceremony was held on Saturday by the League to Honor Martyrs in Tallet al-Druze, where the representatives of the three top officials laid wreaths on the martyrs' tombs. The event was attended by Minister Tarrad Hamade, MP Qassem Hashem and Minister Khaled Qabbani, representing President Emile Lahoud, Speaker Nabih Berri and Siniora respectively, in addition to Baalbaki and Journalists Union president Melhem Karam.
Elsewhere, media workers and students paid tribute to anti-Syrian journalists targeted by a series of assassinations by participating in a rally organized by the Press Club.The rally was held on Saturday to honor late journalist Samir Kassir, late MP and former director general of An-Nahar Gebran Tueni, prominent anchorwoman May Chidiac and Telecommunications Minister Marwan Hamade.
Participants in the rally stopped at six stations before gathering at Martyrs Square, where a ceremony was organized with the support of Information Minister Ghazi Aridi and Acting Youth and Sports Minister Ahmad Fatfat.
The stations included Renee Mouawad Garden in Sanayeh; AUST University and Future TV building in Hamra; Free Lebanon radio station; Dbayyeh's maritime boulevard; and the LBC headquarters in Adma. In a speech delivered at Martyrs Square, Aridi hailed the "journalists who sacrificed their lives for the sake of a free and democratic country," and added a tribute to all Lebanese media workers. At the end of the ceremony, winners received gifts that included trips to Amsterdam, Athena and Varna and a cruise on board the Orient Queen. Meanwhile, Sidon MP Bahia Hariri honored female journalists during a banquet held Sunday at her residence in Majdalyoun, in the presence of Information Minister Ghazi Aridi. The attendees also included Tueni's daughter, journalist Nayla Tueni, and Kassir's widow, journalist Gisele Khoury. Speaking on the occasion, Hariri stressed the Lebanese "are facing the challenge of preserving our freedom and Arab identity, for which the martyrs offered their lives." She also paid tribute to the "martyrs of the press, who stood against all obstacles to achieve Lebanon's democracy."
- Additional reporting by Mohammed Zaatari

Jumblatt meets Mubarak as Berri visits Assad
By Leila Hatoum -Daily Star staff
Monday, May 08, 2006
BEIRUT: As Lebanese Speaker Nabih Berri visited Syrian President Bashar Assad in Damascus Sunday, Chouf MP Walid Jumblatt simultaneously met with Egyptian President Hosni Mubarak in Cairo. According to Syria's official news agency, SANA, Berri's unexpected trip to Syria came in the context of "informing Assad of the results of Lebanon's (sixth round) of the national dialogue."Berri, who heads the pro-Syrian Amal Movement, also met with Syrian Vice President Farouk al-Sharaa and "discussed the bilateral sisterly relations between Lebanon and Syria," reported SANA.
Berri's media office issued a statement late Sunday which quoted Berri as saying: "The Syrians are holding the doors open to any Lebanese official, whether it is Premier Fouad Siniora or any other one."This comes as a clear reference to Siniora's long awaited visit to Damascus to discuss the establishment of diplomatic ties between the two countries, and demarcating the borders among other unresolved issues. Until Berri's declaration, Siniora hadn't received the green light to make his trip to Syria. Berri's statement added that Assad "is not against the principle of having diplomatic ties
with Lebanon ... and that both countries' duty is to maintain good relations with each other."
Ties between the two states deteriorated after last year's killing of former Premier Rafik Hariri, was blamed on Damascus by many Lebanese politicians. So far, there has been no diplomatic representation between the two countries, as Syria had extensive military presence in its tiny neighbor for almost three decades.
Berri's visit coincided with Jumblatt's, who slammed Leba-non's resistance from Cairo, insisting that the group disarm.
Jumblatt informed Mubarak of the results of Lebanon's sixth round of national dialogue and informed him the seventh round, scheduled this May 16, would discuss "Hizbullah's weapons ... and that the resistance should join the army once the issue of the Shebaa Farms is resolved."
He added the Lebanese government "must control all the weapons and all its territories.""Why should Lebanon continue to be the only battleground of the Arab-Israeli conflict?" Jumblatt asked."It is about time Lebanon knows some peace," he added.
Hizbullah refuses to disarm while Israel still occupies the Shebaa Farms, whose identity remains disputed between Syria and Lebanon, and which Hizbullah and the Lebanese government claim is Lebanese.
The second reason is continuous Israeli threats to Lebanon; according to Hizbullah chief Sayyed Hassan Nasrallah in several of his speeches, "if we disarm, what assures us that Israel won't attack Lebanon again if Hizbullah drops its arms?"
Hizbullah's MP Mohammad Raad said Sunday: "No one can touch the resistance's weapons because it is the pride of this country," adding: "Those who question Hizbullah's arms want to push us to negotiate with the enemy (Israel) ... who would negotiate on our blood, security, water, and refusal to settle the Palestinians in Lebanon."
"Until today Syria has only agreed in speech to demarcate its borders with Lebanon in the Shebaa Farms. We haven't seen any real translation of this approval on the ground ... we are still waiting for Syria to agree to welcome Siniora in Damascus to discuss these issues," said Jumblatt. Syrian attorney Hossam-Eddine Habash said Saturday Jumblatt and Lebanese Telecommunications Minister Marwan Hamade would be tried in absentia if they defied the summons issued by a Syrian military court. The charges brought against both men "are inciting the U.S. to invade Syria, and building hatred against Damascus."Habash said: "Under binding bilateral judicial agreements between Syria and Lebanon, the Lebanese judiciary has to hand Jumblatt over to Damascus."Hamade scoffed the summons in an earlier interview with The Daily Star saying he has immunity as an MP. - With agencies

Siniora in London to seek Israeli pullout from Shebaa
By Majdoline Hatoum -Daily Star staff
Monday, May 08, 2006
BEIRUT: Lebanese Prime Minister Fouad Siniora headed to the United Kingdom on Sunday to meet his British counterpart, Tony Blair, and ask that Britain pressure Israel to withdraw from Lebanese territory it still occupies. The premier - who heads a delegation consisting of Foreign Minister Fawzi Salloukh, Finance Minister Jihad Azour and Economy and Trade Minister Sami Haddad - had urged the U.K. before he left to pressure Israel to withdraw from the Shebaa Farms, the same request he had put forward to U.S. President George W. Bush during his visit to the U.S. capital last month.
In a statement issued by his office on Saturday, Siniora said that he would also raise the issue of constant Israeli breaches of Lebanese sovereignty with British officials. Siniora is also expected to discuss ways in which the U.K. could help enhance technical and security measures in Lebanon, and cooperation between Lebanese security agencies and their British counterparts, the statement added.
Before leaving, Siniora suggested that several groups of experts work on demarcating borders between Lebanon and Syria, which would save time. In an interview with United Press International (UPI) Sunday, the premier said: "I support this option ... and we should start taking practical steps to accomplish this goal."
Lebanon's national dialogue recently agreed to demarcate borders and establish diplomatic relations between the two countries. Syria is still vague on its willingness to do so, with Syrian President Bashar Assad and his regime refusing to meet with Siniora to discuss the issue.Siniora also tackled the issue of Hizbullah's weapons, and said that an Israeli withdrawal from the Shebaa Farms would be an "important step on the way to accomplishing full Lebanese sovereignty over all Lebanese territories ... including the Shebaa Farms, which means there will be no weapons except for those of the Lebanese state."
"Hizbullah's arms continue to exist," he said, "but if we can accomplish an Israeli withdrawal and free the rest of occupied Lebanese land, there would only be a need for the state's armed presence."
The premier had said during an interview with British Broadcasting Corp. (BBC) on Saturday that arms are no longer allowed into the country unless the army has authorized them.
"The Lebanese Army has strict orders, and if this issue is raised it has to pass by the government first ... and nothing has been asked of the Cabinet," he said in reference to a shipment of arms delivered to Hizbullah earlier this year which entered the country - with the army's permission - from Syria. In his interview with UPI, Siniora also said he wanted better relations with Syria. He added that borders and diplomatic ties would be discussed eventually.
"We have to deal with this ... with a lot of patience," he said.He also said Beirut would appreciates Arab mediation.
"We have to encourage such effort," he said. "I will try all ways to communicate with our Syrian brothers, whether through the Arab League or through Arab countries."

Sayyed's defense attorney suspends work on case
By Rym Ghazal -Daily Star staff
Monday, May 08, 2006
Interview
BEIRUT: The defense attorney for former Lebanese security chief Jamil Sayyed, detained in the investigation into the assassination of ex-Premier Rafik Hariri, called the case a "charade" on Sunday and announced that he was "suspending" his work. In an interview with The Daily Star, Akram Azouri said "The case is like a tennis match, where the referee is holding the tennis ball, and the partner I am playing with is invisible.
"My job has so far been to hold a racket in that match, to give the illusion that everything is being carried out properly and legally," said Azouri. "I am walking out of the match until the ball is thrown back in and a real enquiry resumes its place."
Azouri said that for the past eight months he has been "jobless" because "no one has come to question Sayyed since his arrest, which is highly irregular.
"My job has turned political where I end up releasing statements in response to verbal attacks by politicians on my client, which is not really the job of a lawyer. "I am not giving up on my client, but rather feel that this is the best way to defend him, by refusing to be part of a conspiracy," said Azouri. Azouri called Sayyed "a political hostage."
The attorney listed several legal "irregularities" that he said have caused him to put his services on hold, including the treatment of the key witness in the assassination of former Prime Minister Rafik Hariri, the Syrian national Mohammed Zuheir Siddiq.
Siddiq was released last month after the French judiciary rejected Beirut's request to extradite him to Lebanon, citing Lebanon's use of capital punishment. He has been giving interviews to the media, which Azouri criticized as "unacceptable."
"My fear is that Siddiq will disappear or made to disappear before the actual trial and I will have to defend against one of Siddiq's taped TV interviews," he said.
"President Emile Lahoud, along with State Prosecutor Saeid Mirza, can make the proper legal arrangements, to assure the French authorities of not applying capital punishment on Siddiq ... but they haven't so far."
Azouri went on to criticize a memorandum of understanding between the Lebanese Justice Ministry and the UN commission as another legal irregularity, "where the UN probe is allowed to retain information and evidence from the Lebanese Judiciary."
"There are far too many obstacles to have a fair trial, and I feel my role as a defense lawyer is undermined and until irregularities are taken seriously, I will not be part of this political theater," he said.

PLO and Fatah leaders bury the hatchet
By Mohammed Zaatari -Daily Star staff
Monday, May 08, 2006
SIDON: Secretary general of the Palestine Liberation Organization in Lebanon Brigadier Sultan Abu al-Aynayn visited Fatah militia commander Mounir Maqdah Sunday, ending 13 years of hostility between the leaders. Maqdah, a leading figure in the Ain al-Hilweh refugee camp, split from Fatah in 1994 in protest at the signing of the Oslo Accords but rejoined the movement in spring 1999. Despite the official reconciliation, relations between Maqdah and Abu al-Aynayn have been strained until Abu al-Aynayn made a surprise visit to Ain al-Hilweh to join a popular gathering organized by Fatah and the PLO to denounce western countries' boycott of the new Hamas-led government. In a speech delivered on the occasion, Abu al-Aynayn said that the "Palestinian opposition will protect the government of Hamas and the Palestinian cause."
He also expressed Palestinian refugees' rejection of "any form of settlement," saying: "Lebanon is a beautiful country and the Lebanese are a great people but Palestine, is for us, the most beautiful country in the world." "We did not offer 90 thousand martyrs to end up in an Arab sister-country," he added.
He commended the Lebanese government for its recent efforts to improve the standard of living in the camps and said that officials had promised to "make every effort to ease the sufferings of refugees."
"The Lebanese are now more aware of refugees' living and economic conditions," he said.
Abu al-Aynayn refused to discuss Palestinian disarmament, saying: "We are serious in organizing our weapons inside the camps and we will prevent Fatah from holding military parades."Abu al-Aynayn, who arrived at the camp in an armored convoy, met with Maqdah at the house of Fatah official Khaled Shayeb, where they embraced and ended the long years of enmity, which have resulted in the death of hundreds of people. He also toured the camp and paid his condolences to the family of Mohammad Tayssir Awad, who was killed by a stray bullet last week during a shoot-out between the Jund al-Sham militia and Fatah members.

Arslan decries law ousting Ghaith
Daily Star staff-Monday, May 08, 2006
BEIRUT: Former Minister Talal Arslan criticized on Sunday Parliament's endorsement last week of a draft law that would replace pro-Syrian acting Druze spiritual leader Bahjat Ghaith with someone closer to MP Walid Jumblatt. Arslan called the draft law a "wrongdoing to the confession." He went on to say that Speaker Nabih Berri should have played a conciliatory role instead of taking a divisive stand in the issue. Speaking to Sawt al-Ghad radio, Arslan said President Emile Lahoud was justified in revoking the draft law and asked why Berri did not see that the law would create a rift between the Druzes. In a separate speech before a delegation of Druze clerics, Arslan blamed Berri for passing the draft law before the Druze reached internal consensus. Arslan called the confession's clerics for a meeting next Sunday at his home in Khaldeh to examine future steps, welcoming any solution that respects the traditions and customs of the confession. Commenting on the gunfire in Khalwat al-Kfeir last month between pro-Syrian former minister Wiam Wahhab's bodyguards and pro-Jumblatt supporters, Arslan said: "The instigators, conspirers and perpetrators were known to all." Arslan expressed his readiness to solve the problem according to the traditions and customs of the Druzes. "We will never accept any solution, whether by the judiciary or tribes, to be tampered with in an attempt to cover up for the criminal," he added. Arslan went on to say that MP Michel Aoun has the
qualifications of a good president, pointing to Aoun's transparent reform project and his promise to establish civil peace. - The Daily Star

Mourners gather to pay respects to Frem
Daily Star staff-Monday, May 08, 2006
BEIRUT: Flocks of prominent political, religious and social personalities gathered on Sunday to accompany George Frem, the late former Cabinet minister, MP and founder of the Industrial Development Company, to his final resting place.
Prayers were held at the Saydet al-Maounat Church in Haret Sakhr, Jounieh, after which the family of the deceased received condolences at the church hall.Minister Charles Rizk, MP Neamatallah Abi Nasr and Minister Pierre Gemayel represented President Emile Lahoud, Speaker Nabih Berri and Prime Minister Fouad Siniora at the service, respectively.
Bishop Roland Abu Jawdeh, representing Maronite Patriarch Nasrallah Butros Sfeir, led the Mass.At the end of the Mass, Rizk, on behalf of Lahoud, decorated Frem with the Lebanese Golden Order of Merit for his national service.Among the attendees was MP Michel Aoun, who expressed his deepest regrets on the Voice of Tomorrow radio station, comparing Frem to a "national model.""The deceased was always loyal to moral and human principles and committed good deeds in his private and public life," Aoun said, adding that the late former minister represented his country and people with devotion.Condolences can be paid until Tuesday, May 9, from 10 a.m. to 8 p.m. at the church hall. Frem suffered from a lengthy illness and died early Friday at his home in Haret Sakhr. He was 72. He is survived by his wife, Hayat, and five children. - The Daily Star

March 14 attacks protest plan as 'Syrian order'
Hizbullah, FPM back demonstration against civil service reforms
By Raed El Rafei -Daily Star staff
Monday, May 08, 2006
BEIRUT: Following the Union Coordination Committee's decision to go ahead with the demonstration planned Wednesday and backed by Hizbullah and the Free Patriotic Movement, the March 14 Forces said the step was "politicized" in line with a Syrian agenda. "Threatening to hold a demonstration is a Syrian order that aims at bringing down the government," a source close to March 14 Forces told The Daily Star Sunday.
"Syria wants to destabilize the government, anticipating an imminent UN Security Council decision which is expected to call on Syria to establish diplomatic relations and demarcate its borders with Lebanon," the source said.
By trying to bring down the government, Syria wants to hamper formation of a legal committee to discuss the establishment of an international court to try those accused of the assassination of former Premier Rafik Hariri, the source added.
In an interview with Future TV Saturday, Democratic Left MP Elias Atallah said the demonstration was linked to the upcoming Security Council meeting expected to condemn Syria's refusal to demarcate its borders with Lebanon.
"The March 14 Forces said they unanimously refused the contract plan or an increase in taxes ... Therefore, the decision to hold the demonstration has nothing to do with demands related to social problems," Atallah said.
Atallah is a member of the parliamentary majority headed by Future Movement MP Saad Hariri.
Before leaving for London, Premier Fouad Siniora, who held talks with the union committee Saturday, said the demonstration was "unjustified," adding that dialogue over the committee's demands had not ended.
"I can't see any reason behind the demonstration but a political one," he said in an interview with the Voice of Lebanon radio station Sunday. He also warned against using the planned reforms for political purposes.
Meanwhile, Hizbullah Energy and Water Minister Mohammad Fneish said if the government scotched plans related to public sector employment Hizbullah would not participate in the demonstration. Fneish was talking to Future Television Sunday.
However, the committee, which is made up of members of the unions of public university professors, private and public high-school teachers and current and former state employees, insisted, Saturday, that there were many other problem issues as well as the contract plan. "There are many proposals that threaten our rights and with which we disagree with Siniora," Hamid Hakam, one of the committee's members, said following the meeting.
Although the government decided not to discuss the plan, the committee refused to call off the demonstration. The committee is expected to meet Monday to make a final decision.
Over the past weeks, the committee decided to hold a demonstration on May 10 in protest against the government's plan to increase working hours in public schools and administrations, lower the retirement age to 60 and modify other laws related to civil servants. The committee also objected to a plan which would hire civil servants on five-year contracts instead of on open-ended contracts; a plan widely discussed in the media after Hizbullah openly criticized it.
Voicing his support for the demonstration and in contradiction to Fneish's comments, Sheikh Naim Qassem, Hizbullah's deputy secretary general, said the disagreement with the government was not only over contracts, but also over new taxes imposed on the underprivileged and plans to remove their established rights.Delivering a speech Sunday, Qassem said the Shiite group does not have any political agenda behind their decision to participate in the demonstration, their intention was only to defend the interests of the people.

Beirut backs World Bank report on reform
By Lysandra Ohrstrom -Special to The Daily Star
Monday, May 08, 2006
BEIRUT: In a bold swipe against public-sector corruption, the Lebanese government backed the findings of a World Bank report that proposes structural reforms to increase accountability and efficiency in the management of state resources.
The Country Financial Accountability Assessment report (CFAA) provides a risk assessment of the current public financial management (PFM) system, and proposes a package of structural reforms to increase efficiency, accountability, and coordination in the disbursement of public funds.
Based on the results of the report, the World Bank concludes in its Quarterly Update on Lebanon that there are "significant" fiduciary risks within the existing PFM framework, and outlines a set of priorities for the state to concentrate on over the next two-three years in order to "rationalize public spending," and downgrade to a "moderate" risk-assessment rating.
Recommendations are made for each of the "three pillars of the government's PFM system": the budget formulation and execution process, the accounting and reporting system in place for all public entities, and the internal control system (comprising the executive, internal auditors, and the legislature).
At the moment there is a dual budget system, comprising a regular budget drafted by the Finance Ministry and submitted to Parliament, and a second Foreign Financed Investments budget submitted by the Council for Development and Reconstruction.
The report says "the budget entity does not cover all of the activities of the central government. Significant expenditures are not accounted for ... many of its (public sector) financial activities are still not transparent to the government itself, to Parliament, or to the public."
Streamlining the dual system would allow the government to better manage public revenues and expenditures, thus increase its provision of social safety nets and improve its financial relations with public utilities.
The second problem with the budget, says the CFAA report, is the absence of a "budget challenge process," which should be an intrinsic element of the MOF mandate. The formulation system as it stands uses a "bottom-up" approach, meaning the government determines funding to each sector based on allocations from the previous year. Since ministries only need to justify spending when requesting supplementary budget allocations from MOF, negotiations fall outside its purview, and often take place "at the political level."
"Proper scrutiny by the MOF would force ministries to justify the entire base, rather than just incremental increases."
Reforming the public sector accounting system and codifying the 2001 standards into law is the most urgent area for reform. Requiring all state entities to adopt a new system would ultimately support a long-term move (over five to 10 years), to performance-based budgeting.
The World Bank urges the government to develop an "internal audit function," since at present there is nobody charged with evaluating the performance of the government or offering recommendations to maximize the efficiency of its operations.
The highest priority is reforming the Court of Accounts whose dual responsibility for both the pre-approval and review of budgetary expenditures poses two problems.
"First it duplicates the approval performed by the commitment officer, undermining accountability and responsibility, and second, it violates the INTOSAI (the revised international auditing standards adopted by most countries in the decades corresponding to Lebanon's Civil War) principle of interdependence, because the COA will subsequently have to perform an ex-post audit of the very procedure it approved ex-ante."

Lebanon's parliament head in Syria
Lebanon's powerful parliament speaker Nabih Berri visited Syria on Sunday to discuss bilateral ties that deteriorated after last year's assassination of former Lebanese Prime Minister Rafik al-Hariri.
Lebanese political leaders, divided by sect as well by loyalty or enmity toward Syria, agreed in March in meetings chaired by Berri to establish diplomatic ties with Damascus for the first time since the two countries were carved out of the remnants of the Ottoman Empire in 1920.
Damascus, however, has maintained that embassies are not needed because there were already enough links and representation between the two countries, such as the Higher Syrian Lebanese Council, which coordinates bilateral ties.
Syria was the dominant political force in Lebanon after the end of the 1975-1990 civil war, but the two countries have never exchanged diplomatic missions. Lebanese officials said Berri, who heads Lebanon's national dialogue talks, raised the issue of opening embassies with Syrian President Bashar al-Assad. The Syrian official news agency SANA said they discussed "the special relationship" between the two countries, giving no indication whether Syria would agree to the Lebanese demands.
A U.N. investigation has implicated senior Lebanese and Syrian security officials in Hariri's killing.
Damascus has strongly denied involvement, saying a stable Lebanon was in Syria's interest.
Syrian forces withdrew from Lebanon after a 29 year presence under domestic and international pressure in April 2005, following the assassination of Hariri. Anti-Syrian Lebanese politicians said the Syrian position showed unwillingness by Damascus to open a new page in relations with Lebanon. cxlbx

Jumblatt says Syria is delaying peace
By JPOST STAFF AND AP
A Lebanese political leader, sought by a Syrian military court over accusations he urged the US to invade Syria, accused Damascus on Sunday of delaying a solution for its contentious border area with Israel and Lebanon.
"Syria, until now, has only shown theoretical readiness to draw the borders in the Shaba Farms, but there is nothing workable on the ground," Walid Jumblatt told reporters after meeting with Egyptian President Hosni Mubarak.
Jumblatt also said that there was no reason for the continued armament of Hizbullah, because Israel was no longer in Lebanon. The Druse leader told reporters he wondered why Lebanon continued to be an arena for the Israeli-Palestinian conflict. He added that it was time to integrate Hizbullah into the Lebanese army, so that the country could finally enjoy the fruits of peace.
Both Lebanon and Syria claim that the Shaba Farms area is Lebanese. But Israel and the United Nations say it is Syrian. Israel captured the territory from Syria during the 1967 Middle East war and continues to hold it. Egypt and Saudi Arabia have made repeated attempts in the past few months to mediate a formula that would ease tensions between Syria and Lebanon.
Jumblatt, who heads the Lebanese Socialist Party and leads the offshoot Muslim Druse sect, is at the forefront of a campaign to eliminate Syrian influence in Lebanon. He and Lebanon's Information Minister Ghazi Aridi met with Egypt's Mubarak on Sunday to brief him on the advancement of the inter-Lebanese dialogue conference, Jumblatt said.
A Syrian attorney said Saturday that Jumblatt would be tried in absentia if he defied the summons from a military court to answer allegations that he urged the United States to invade Syria. The lawyer said that under binding judicial agreements signed by Syria and Lebanon, Lebanese judicial authorities have to hand Jumblatt over to Damascus.
Jumblatt has scoffed at the summons, and the United States also condemned it.

Syria's Broken Promises
By: Hichem Karoui-Media Monitors Network
(Sunday May 07 2006)
"Observers have described President Bachar al Assad’s modernization program as akin to the Chinese model, with emphasis on economic reform while retaining one party rule. Although he called for “steady, yet gradual steps” towards introducing economic changes and “removing bureaucratic obstacles to the flow of domestic and foreign investments”, Syria’s economy continues to suffer from a bloated and inefficient public sector, rigid central planning, and excessive administrative regulations."
There have been more and more cases of arrests in Syria, making some people wonder: does the regime benefit from the state of anarchy in neighboring Iraq, the amplified uproar on the Iranian nuclear dossier and Hamas’ ascent to power to tighten the grip on the opposition and the civil society? The Syrian regime sounded to be focused on the security issue, which raises questions about the credibility of any change at the top while the same structures and organizations remain unchanged.
The late President Hafedh Assad stayed in power for 30 years until he died in 2000. His severe rule had paved the way for the access to power of his son Bachar Assad, whose legitimacy is still affected by the regime’s failure to handle the economic and social challenges and the reformists’ aspirations. Needless to say, like the majority of other Arab countries, Syria is facing serious economic, social and political problems, and at the same time it is witnessing a population boom.
In spite of his promises and despite the fact that he belongs to the young generation educated in the West, familiar to freedom of thought and democracy, Bachar Assad has not introduced himself as the Gorbachev of Syria: he does not seem eager to launch the equivalent Syrian Perestroika or Glasnost, which might possibly lead him to being ousted from power. Bachar has actually pursued some political reforms, but many observers believe he remains circumscribed by power elites who have a vested interest in maintaining the status quo. A British-educated ophthalmologist who had held the rank of colonel in the Syrian army, Bachar had no government position at the time of his father’s death. However, he had become increasingly active in an anticorruption drive and in bringing the Internet to Syria.
Observers have described President Bachar al Assad’s modernization program as akin to the Chinese model, with emphasis on economic reform while retaining one party rule. Although he called for “steady, yet gradual steps” towards introducing economic changes and “removing bureaucratic obstacles to the flow of domestic and foreign investments”, Syria’s economy continues to suffer from a bloated and inefficient public sector, rigid central planning, and excessive administrative regulations.
Some Syrian observers say that Bachar repressed the reform movement that he himself had helped to launch as soon as he noticed its results on the political order. The government reshuffle initiated by Bachar shows that the authority center in Syria is still unstable, and subsequently the decision making in the country more obscure.
Some reports show that official powers of the country have remained in the hands of Alaouite officials. As an illustration, they say that Bachar’s brother, Maher, appeared as the strong man in the Republican Army, whose main task is protecting the presidential palace and the capital. Bachar appointed Ghazi Kanaan, the former head of intelligence in Lebanon and a trusted man of his father, as Interior Minister in October 2004. It seems that Kanaan is well known for his rude methods and precise tactics, although he has become a “supporter of gradual reform”. Bachar also had appointed his brother in law, Asef Shawket – considered a hardliner – as head of the military intelligence, well before some reports saw him as one of the occult master minders of the Lebanese former prime minister, al Hariri assassination.
Another hardliner, Bahjat Suleiman, presided over the internal security branch of General Intelligence. Besides, Gen. Mohamed Mansour replaced Kanaan as the head of the political security, and some reports pointed that his power was increasing. As for Gen. Shalash, Bachar’s cousin, he is in charge of the President’s protection. Brigadier Ali Habib replaced Hassen Turkmani as the Chief of Staff in May 2004; the latter replaced Mustapha Talas as the Minister of Defense. Except for Turkmani –a Turkmen, as his name indicates – all other officials are Alaouites. [1] The only Sunni official who was holding an important position was the former Vice President, Abdelhalim Khaddam; before he fled abroad and started accusing his old friends.
It can be concluded that the new hierarchical order of government positions in Syria has followed the same old method used by the late Assad. No substantial change has occurred in the institutional structures of the state.
Note:
[1]. The Alaouite sect is a small Islamic group, which comprises approximately 12 % of the Syrian population, but is disproportionately represented in the country’s political and military institutions.

PLO to open consulate office in Beirut
May 7 (Xinhua) -- A Palestinian official announced on Sunday that the Palestine Liberation Organization (PLO) would open a consulate office in Lebanon's capital of Beirut in mid-May.
Speaking to Voice of Palestine, Abbas Zaki, a member of Fatah central committee said that he will head to Lebanon to give final touches on preparation for the opening of the office, which is scheduled on May 15.
The opening date coincides with the 58th anniversary of Palestinian catastrophe known as "Nakba", which marks the day when the state of Israel was declared. The PLO had its office in Beirut in the 1970s, but it was shutdown during the Lebanese civil war. The office was later reopened but closed again when Israel invaded Lebanon in 1982, and remained closed since then, said Zaki, who holds the file of the Palestinian-Lebanese relations. More than 400,000 Palestinians live in refugee camps in Lebanon amid poverty and hardship.