LONDON: Human rights groups have criticized two of the UK’s largest banks after they granted tens of millions in loans to a technology business developing a telecommunications project used by Myanmar’s military, British newspaper The Observer reported on Sunday.
HSBC and Standard Chartered loaned $60 million to Vietnamese telecoms giant Viettel over the past four years, at a time when the Myanmar military has been accused of war crimes and genocide against Rohingya Muslims.
Viettel is a major investor in Mytel, a Myanmar mobile network that has grown to service more than 10 million users since its launch in 2018. Mytel’s shareholding structure confirms its revenues partly flow to Myanmar’s military.
Star High Co. Ltd., a state-owned enterprise and subsidiary of the military-operated Myanmar Economic Corp., has a 28 percent stake in the network, while Viettel’s international investment subsidiary, Viettel Global JSC, controls 49 percent.
The information was revealed in a report by campaign group Justice For Myanmar. The human rights organization used open-source data and an accidental file leak from Viettel that uncovered how Mytel upgraded Myanmar’s military infrastructure, including a fiber-optic network.
Maj. Gen. Thaw Lwin, director of the Directorate of Signals in the Myanmar military, is also a director of Mytel.
A Viettel subsidiary is leading the construction of about 38 Mytel network towers in Myanmar military bases too.
Justice For Myanmar revealed that HSBC loaned $40 million to Viettel Global JSC over the past four years, while Standard Chartered’s UK body loaned about $20 million during the same period.
Christopher Sidoti, a former member of the UN Human Rights Council’s Independent International Fact-Finding Mission on Myanmar, said: “The report sets out very well the position of Mytel in relation to the Myanmar military and the position of Viettel in relation to Mytel.”
He added: “The facts establish that Mytel plays a vital role for the military and that Viettel makes Mytel possible.”
Justice For Myanmar said businesses invested in the country have responsibilities under UN guidelines and those of the Organization for Economic Co-operation and Development to uphold human rights protections.
The group also warned that HSBC and Standard Chartered “could be in breach of EU restrictive measures on Myanmar.”
Sidoti said: “The report reflects where the money trail leads. Among other places, it leads to HSBC and Standard Chartered. The report does this very cautiously, conservatively, not asserting that HSBC and Standard Chartered are liable for prosecution for crimes under international law or that they are directly aiding and abetting the commission of such crimes.
“Rather, the report puts these companies into a third category of entities that have human rights due diligence responsibilities that they have breached. That is a conclusion with which I agree.”
Yadanar Maung, a Justice For Myanmar spokesman, said: “HSBC and Standard Chartered should be transparent and show exactly how they monitor and prevent their loans from financing human rights abuses.”
In response to the criticism, HSBC said: “We comply with sanctions, laws and regulations in all the jurisdictions in which we operate and strongly support observance of international human rights principles as they apply to business. We do not comment on client relationships, even to confirm or deny that a relationship exists.”
Standard Chartered declined to comment to The Observer.
UK banks face pressure over loans to Myanmar military-linked firms
https://arab.news/94epp
UK banks face pressure over loans to Myanmar military-linked firms
- Activist groups: Money trail reveals “breach of human rights responsibilities”
- The Myanmar military has been accused of war crimes and genocide against Rohingya Muslims
Israel is risking global security, warns Somali Information Minister
- Tel Aviv’s actions boost terror groups, Daud Aweis Jama tells Arab News in exclusive interview
- He accuses Tel Aviv of wanting to relocate Palestinians from Gaza to region
RIYADH: Israel’s recognition of Somaliland and its presence in the region risks inflaming the situation there, allowing terrorist groups to undermine regional security and stability, according to Somali Information, Culture and Tourism Minister Daud Aweis Jama.
In a special interview with Arab News, Jama insisted that Israel’s unprecedented Dec. 26 move to recognize Somaliland as a sovereign state represents a major setback for Mogadishu’s fight against terrorist organizations like Al-Shabab and Daesh.
“The presence of Israel will be used by the terrorist groups to expand their operations in the region. (They will) have a pretext to spread their ideologies in the region,” he said.
“That is another factor that is also risking global security and regional stability, because we have been in the last stage of overcoming the challenges of the terrorist groups Al-Shabab and ISIS,” he added, using another term for Daesh.
Jama added: “We have been putting all our resources and all our time into making sure that we finalize the final stages of the fight against Al-Shabab. So, if something else interrupts us, that means that we are not going to focus fully on the operations against Al-Shabab. And that means we are giving more opportunities to Al-Shabab or other organizations.”
The consequences of this hit to Somalia’s ability to fight terror will not be restricted to the country’s borders, according to Jama, but will spread across the region and beyond.
“This might invite other, external terrorist groups to the region, because they will take advantage of this crisis and will make sure that they take over all the areas that have been defeated before,” the minister said.
“We believe this has come at a time that is going to affect our security as a Somali government, the security of the Horn of Africa, the security of the Gulf of Aden, the security of the Red Sea, the security of the Middle East and global stability. This is a very important location that holds the trade of the world.”
The minister underlined that Israel’s recognition and larger presence in the region are leading to more challenges, “putting more fuel on the ongoing challenges that exist in the region, especially in Somalia.” He added: “And at this time, it is not only limited to Somalia, but it’s going to be a challenge that is going to spread like a fire all over the region and all over the world.”
Jama told Arab News that Israel has other strategic motives for its recognition of Somaliland — including the forced resettlement of Palestinians from Gaza.
“According to reliable sources that our intelligence gathered, one of the conditions that Israel put forward (for recognizing Somaliland) was to have a place that they can settle the people from Gaza,” he said.
“We find that it is a violation also of the people of Palestine, because we believe that the people of Palestine have the right to self-determination. The two-state solution that has been the call of the international community has to be adhered to and implemented.”
Israel’s coalition government, the most right-wing and religiously conservative in its history, includes far-right politicians who advocate the annexation of both Gaza and the West Bank and encouraging Palestinians to leave their homeland.
Somalia’s UN Ambassador Abukar Dahir Osman said Security Council members Algeria, Guyana, Sierra Leone and Somalia “unequivocally reject any steps aimed at advancing this objective, including any attempt by Israel to relocate the Palestinian population from Gaza to the northwestern region of Somalia.”
Israel last month became the first country to recognize Somaliland as an independent nation. In the three-plus decades since its self-declaration of independence in 1991, no state had recognized the northwestern territory as being separate from Somalia.
Mogadishu immediately rejected the Israeli move, alongside countries all over the world.
Saudi Arabia affirmed its rejection of any attempts to impose parallel entities that conflict with the unity of Somalia. It also affirmed its support for the legitimate institutions of the Somali state and its keenness to preserve the stability of Somalia and its people.
A group of foreign ministers from Arab and Islamic countries, alongside the Organization of Islamic Cooperation, also firmly rejected Israel’s announcement. In a joint statement, the ministers warned that the move carries “serious repercussions for peace and security in the Horn of Africa and the Red Sea region” and undermines international peace and security.
The 22-member Arab League rejected “any measures arising from this illegitimate recognition aimed at facilitating forced displacement of the Palestinian people or exploiting northern Somali ports to establish military bases,” the organization’s UN Ambassador Maged Abdelfattah Abdelaziz told the UN Security Council.
In the most recent development in Israel-Somaliland relations, less than two weeks after Tel Aviv’s recognition, Israeli Foreign Minister Gideon Saar visited the region on Tuesday to publicly formalize diplomatic relations.
“It was a blatant violation of Somalia’s sovereignty that Israel recognized a region within the Somali Federal Republic as an independent state,” Jama underlined. “That was a total violation of international laws. It was a violation of the territorial integrity and sovereignty of Somalia.
“From the beginning, our path was to follow diplomatic efforts. And we kind of started with a successful UN Security Council meeting that supported Somalia’s territorial integrity and sovereignty. (This was) followed by other international actors like the Arab League, the Organization of Islamic Cooperation, the African Union and regional bodies like the East African Community and IGAD.
“Also, the Peace and Security Council of the African Union has reiterated the importance of supporting Somali sovereignty and territorial integrity.”
