Chemical arms watchdog wins right to assign blame for attacks

The logo of the Organisation for the Prohibition of Chemical Weapons (OPCW) is seen during a special session in the Hague, Netherlands June 26, 2018. REUTERS/Yves Herman

By Anthony Deutsch

THE HAGUE (Reuters) – The world’s chemical weapons watchdog won new powers on Wednesday to assign blame for attacks with banned toxic munitions, a diplomatic victory for Britain just months after a former Russian spy was poisoned on its territory.

In a special session, member states of the Organization for the Prohibition of Chemical Weapons (OPCW) voted in favor of a British-led proposal by a 82-24 margin, easily reaching the two-thirds majority needed for it to succeed.

The motion was supported by the United States and European Union, but opposed by Russia, Iran, Syria and their allies.

British Foreign Secretary Boris Johnson said the vote would empower the OPCW “not just to identify the use of chemical weapons but also the to point the finger at the organization, the state that they think is responsible.”

“That’s crucial if we are going to deter the use of these vile weapons.”

Russia said that the vote called the future of the organization itself into question.

“The OPCW is a Titanic which is leaking and has started to sink,” Industry Minister Georgy Kalamanov told reporters.

“A lot of the countries that voted against the measure are starting to think about how the organization will exist and function in the future,” he told reporters.

Though the use of chemical weapons is illegal under international law, the taboo on deploying them has been eroding after their repeated use in the Syrian civil war, but also in Iraq, Malaysia and Britain since 2012.

The poisoning of the Russian former double agent Sergei Skripal and his daughter in England in March led to tit-for-tat expulsions of diplomats by Moscow and the West and was one reason for Britain’s push to strengthen the OPCW. Russia has denied any involvement in their poisoning.

From 2015 to 2017 a joint United Nations-OPCW team had been appointed to assign blame for chemical attacks in Syria. It found that Syrian government troops used nerve agent sarin and chorine barrel bombs on several occasions, while Islamic State militants were found to have used sulfur mustard.

But at a deadlocked U.N. Security Council, the joint team was disbanded last year after Moscow used its veto to block several resolutions seeking to renew its mandate.

The British proposal declares the OPCW will be empowered to attribute blame for attacks, though details of how it will do so will still need to be further defined by the organizations’ members.

(Reporting by Anthony Deutsch. Additional reporting by Toby Sterling, Editing by Jon Boyle)

Few Islamic State fighters return but home-grown attacks rise, Europol says

Manuel Navarrete, head of Europol's Counter Terrorism Centre and Catherine De Bolle, head of Europol, hold a news conference in The Hague, Netherlands June 19, 2018. Picture taken June 19, 2018 REUTERS/Eva Plevier

THE HAGUE (Reuters) – Europeans who went off to fight on behalf of Islamic State have not flooded back in large numbers since losing strongholds in Syria and Iraq, Europe’s police agency said on Wednesday, but they have inspired a growing number of home-grown attacks.

Tracking battle-hardened fighters is still the main concern of Western counter-terrorism officials, though a big influx did not materialize, Manuel Navarrete, head of Europol’s Counter Terrorism Centre, told reporters at its Hague headquarters.

“The main threat is coming from foreign terrorist fighters even though the numbers … that are returning are quite low,” he said, referring to outsiders who traveled to Syria and Iraq to fight alongside militants there.

There has been a spike in recent years in IS-inspired attacks by “lone wolves” using little more weaponry than a knife or car. Most have been less deadly than strikes by former fighters, but they are harder for police to stop, he said.

The number of attacks and foiled plots in Europe more than doubled last year to 205, killing 62 people, Europol’s annual report showed.

“Even though we suffer more attacks, they were less sophisticated,” Navarrete said.

Of more than 5,000 Europeans – most from Britain, France, Germany and Belgium – who joined the ranks of fighters in Syria and Iraq, some 1,500 have returned and 1,000 were killed, according to the EU intelligence-sharing body. There is only limited intelligence available about the fate of the rest.

Many fighters have been detained. Some traveled to Malaysia, the Philippines and Libya. Others are thought to be laying low or in third countries like Turkey, he said.

Tougher border controls, surveillance and prosecution in Europe have also dissuaded some from returning, with EU nations making more than 700 arrests linked to jihadi activity in 2017, he said.

The suicide bomber who killed 22 people at an Ariana Grande concert in the English city of Manchester in May 2017 had just returned from Libya. But most recent attacks have been carried out by home-grown jihadists who never went to conflict zones.

As the Islamic State was routed last year from Mosul in Iraq and Raqqa in Syria, it urged followers to carry out attacks at home, rather than travel to its self-declared caliphate.

“Now the message of the Islamic State has changed … to being more negative and asking for retaliation,” Navarrete said.

While lone actors often use tactics that result in fewer victims, they pose a threat that is difficult to prevent. In 2016, a man killed 86 people by driving a truck into a crowd in the Mediterranean city of Nice, France.

“You have to be very, very close to a person in order to take action on the police level to prevent this,” Navarrete said. “And the closest you can be to a person right now is not going to the front door, it is going to Facebook, to Twitter.”

(Reporting by Alissa de Carbonnel; Editing by Peter Graff)

Death, POWs and buried silver: Chequered history of Trump-Kim summit venue

FILE PHOTO: Interpol's headquarters are seen in Singapore November 18, 2015. REUTERS/Thomas White/File Photo

By Dewey Sim and Aradhana Aravindan

SINGAPORE (Reuters) – A resort island off Singapore that once housed a prisoner of war camp run by wartime Japanese forces and was called “Rear Death Island” is the venue for Tuesday’s summit between U.S. President Donald Trump and North Korean leader Kim Jong Un.

The island is now called Sentosa, or Peace and Tranquility, and the two leaders will meet in the Capella hotel, a refurbished British Royal Artillery mess, where, according to legend, there may be silver buried under the lawn.

There were few tourists at the Capella on Wednesday but police, other security personnel and workers were thronging the luxury sprawling hotel to prepare for the meeting that is set to start in six days time.

The hotel is honoring existing guest reservations for now but no new bookings were being accepted.

While Singapore has hosted major summits in the past, none have been held on Sentosa, better known for its beaches, hotels, a casino and a Universal Studios theme park.

“That means having to plan the security strategy from scratch,” said Toby Koh, group managing director at Ademco Security Group, which provides security systems to businesses in several Asian countries.

Koh is not involved in security for the summit.

The United States and North Korea are technically still at war, being the signatories along with China of the armistice that ended the 1950-53 Korean War. Trump has indicated he would try to sign a document that formally ends the war.

Singapore has declared all of Sentosa island a “special event area” for the Trump-Kim summit, which means it will be subject to enhanced security checks, potentially slowing the movement of traffic, and banning the use of loudspeakers and drones.

Even though hotels and other establishments on the island was bracing for disruptions for several days next week, the government agency that handles its management said it would be “business as usual.”

But those who live in the multi-million dollar homes on the island, linked to Singapore by a causeway, monorail and cable car, were braced for delays.

“Sentosa has only one entrance and if the entrance is blocked completely, it will definitely be a major inconvenience,” said Patricia Siswandjo, a Sentosa resident.

Once a graveyard and named Pulau Belakang Mati, which roughly means “Rear Death Island” in Malay, it was developed as a tourist attraction in the 1970s, when it was enlarged through land reclamation.

UNDER THE LAWN

Included in the Capella are two colonial-era bungalows that used to accommodate British artillery officers and was also their regimental mess. According to the hotel’s web site, the officers buried the regimental silver in front of the mess before the Japanese invasion.

Part of the silver was recovered from Malaysia in later years “but the whereabouts of the rest is still unknown, and possibly still lying under the lawn”, the web site said.

Today the Capella is a part of real estate development company called Pontiac Land Group, which is owned by Singapore’s billionaire Kwee family that bought the brand from former Ritz Carlton president Horst Schulze last year.

It has 112 rooms, suites, villas and manors, including the three-bedroom colonial manor, which goes for 10,000 Singapore dollars ($7,500) a night. The grounds have three pools, tennis courts and a spa.

Although no announcements have been made, the leaders are unlikely to stay on Sentosa.

Singapore has designated a separate area near its main downtown district as another special event zone, which has several luxury hotels, which could house the two delegations.

The Orchard Road district also has most major embassies, the Interpol regional office, condominiums, high-end shops and malls and some seedy bars and massage parlours.

The Orchard Towers, a short stroll from some of the major hotels that have been mentioned as possible venues to host Trump and Kim, is home to the embassies of Cambodia and Romania but also a series of establishments with names such as “Naughty Girl” and “Top 5” that come to life after dark.

Not far from there is the Shangri-La Hotel, the site for the historic and only meeting between China’s President Xi Jinping and then-Taiwan leader Ma Ying-jeou in 2015. Last weekend, the hotel hosted Indian Prime Minister Narendra Modi, U.S. Defense Secretary Jim Mattis and other defense ministers for the annual Shangri-La Dialogue and local media have said it could be where Trump stays.

Security will be the biggest priority for Singapore, ranked one of the safest countries in the world, but which has been stepping up efforts to deter terrorism in recent years.

While both leaders will bring their own personal security teams, elite Singaporean police, including its Gurkha Contingent, will be securing the summit venue, roads and hotels, according to diplomats familiar with VIP security in the island state.

“Because of the unique sensitivities and peculiarities of the summit, almost anything unpredictable could possibly affect the summit itself,” Graham Ong-Webb, a research fellow, at the S. Rajaratnam School of International Studies in Singapore, said.

(Additional reporting by Fathin Ungku; Editing by Jack Kim and Raju Gopalakrishnan)

Malaysia outlaws ‘fake news’; sets jail of up to six years

Commuters walk past an advertisement discouraging the dissemination of fake news at a train station in Kuala Lumpur, Malaysia March 28, 2018. Picture taken March 28, 2018. REUTERS/Stringer

KUALA LUMPUR (Reuters) – Malaysia on Monday approved a law against “fake news” that would allow for prison of up to six years for offenders, shrugging off critics who say it was aimed at curbing dissent and free speech ahead of a general election.

Prime Minister Najib Razak’s government secured a simple majority in parliament to pass the Anti-Fake News 2018 bill, which sets out fines of up to 500,000 ringgit ($123,000) and a maximum six years in jail. The first draft of the bill had proposed jail of up to 10 years.

The government said the law would not impinge on freedom of speech and cases under it would be handled through an independent court process.

“This law aims to protect the public from the spread of fake news, while allowing freedom of speech as provided for under the constitution,” Law Minister Azalina Othman Said told parliament.

The law defines fake news as “news, information, data and reports which is or are wholly or partly false” and includes features, visuals and audio recordings.

It covers digital publications and social media and will apply to offenders who maliciously spread “fake news” inside and outside Malaysia, including foreigners, if Malaysia or a Malaysian citizen were affected.

Co-opted by U.S. President Donald Trump, the term “fake news” has quickly become part of the standard repertoire of leaders in authoritarian countries to describe media reports and organizations critical of them.

The U.N. Special Rapporteur on freedom of opinion and expression, David Kaye, had earlier on Monday urged the government not to rush the legislation through parliament.

“I urge the government to reconsider the bill and open it up to regular and genuine public scrutiny before taking any further steps,” David Kaye said in a Twitter post.

OTHERS CONSIDER LAWS

Other countries in Southeast Asia, including Singapore and the Philippines, are considering how to tackle “fake news” but human rights activists fear that laws against it could be used to stifle free speech.

Malaysia is among the first few countries to introduce a law against it. Germany approved a plan last year to fine social media networks if they fail to remove hateful postings.

Malaysia already has an arsenal of laws, including a colonial-era Sedition Act, that have been used to clamp down on unfavorable news and social media posts.

News reports and social media posts on a multi-billion dollar scandal at state fund 1Malaysia Development Berhad (1MDB) have hounded Prime Minister Najib, who faces arguably his toughest contest in a general election this year that could be called in days.

Najib has denied any wrongdoing in connection with losses at the fund.

A deputy minister was quoted in media last month as saying any news on 1MDB not verified by the government was “fake”.

Lim Kit Siang, a senior opposition lawmaker with the Democratic Action Party, described the bill as a “Save Najib from 1MDB Scandal Bill” which would criminalize news on the affair.

(Reporting by Joseph Sipalan; Writing by Praveen Menon; Editing by Robert Birsel)

Record number of U.S. Marines to train in Australia in symbolic challenge to China

FILE PHOTO - U.S. Marines aboard the USS Bonhomme Richard amphibious assault ship stand in formation during a ceremony marking the start of Talisman Saber 2017, a biennial joint military exercise between the United States and Australia aboard the USS Bonhomme Richard amphibious assault ship on the the Pacific Ocean off the coast of Sydney, Australia, June 29, 2017. REUTERS/Jason Reed/File Photo

By Colin Packham

SYDNEY (Reuters) – The United States will deploy a record number of Marines to train in Australia, the Australian defense minister said on Friday, as Washington seeks to counter what it describes as Chinese aggression in the region.

Payne said 1,587 U.S. Marines will spend six months training in Australia’s remote north, an increase of nearly 27 percent on its 2017 rotation for the program known as the Force Posture Initiatives.

“The U.S. military plays a vital role in underwriting security and stability across the Indo-Pacific, and the Force Posture Initiatives will be an essential component in preserving stability and security over the coming decades,” Defence Minister Marise Payne said in a statement.

The deployment, first introduced in 2011 as part of a U.S. “pivot” to Asia, has emerged as a key indicator of Washington’s commitment to the region under U.S. President Donald Trump and his willingness to counter Chinese influence in a region where tensions have spiked amid disputes over the South China Sea.

China claims most of the South China Sea, an important trade route that is also believed to contain large quantities of oil and natural gas, and has been building artificial islands on reefs, some with ports and air strips.

In a move likely to irk Beijing, the U.S. Marines will train with personnel from Australia, Indonesia, Japan, Malaysia, the Philippines, Singapore and Thailand, some of which also have claims in the South China Sea.

“China will monitor whatever the U.S. does and it would prefer that the United States not work with the Asian countries included in these exercises,” said Euan Graham, director of the international security program at Australian think tank the Lowy Institute.

“Beijing would like to deal one-on-one with Southeast Asia nations that have counter claims,” he said.

The U.S. Marines will also bring additional military equipment, including helicopters and F-18 jets, Payne said.

The military deployment also threatens to further weaken Australia-Chinese relations.

Australia, a staunch U.S. ally with no claim to the South China Sea, has long maintained its neutrality in the dispute to protect its economic relationship with China.

But bilateral relations have soured in recent months after Australian Prime Minister Malcolm Turnbull said China was improperly interfering in Canberra’s affairs, an accusation that triggered a rare protest from Beijing.

(Reporting by Colin Packham; Editing by Paul Tait)

‘My life is in danger,’ North Korean leader’s half-brother quoted as saying months before poisoning

FILE PHOTO - Kim Jong Nam arrives at Beijing airport in Beijing, China, in this photo taken by Kyodo February 11, 2007. Picture taken February 11, 2007. Mandatory credit Kyodo/via REUTERS/File Picture.

KUALA LUMPUR (Reuters) – Kim Jong Nam, the poisoned half-brother of North Korean leader Kim Jong Un, told a friend in Malaysia his life was in danger six months before he was killed, a police official told a court on Tuesday.

Two women, Indonesian Siti Aisyah and Vietnamese Doan Thi Huong, have been charged with murdering Kim by smearing his face with VX, a banned chemical poison, at Kuala Lumpur airport on Feb. 13 last year.

Four North Korean fugitives have also been charged with murder.

Defence lawyers say the women thought they were playing a prank for a reality show, as they had been paid to do elsewhere at airports and shopping malls, and did not know they were poisoning Kim. They face the death penalty if convicted.

Kim arrived in Malaysia on Feb. 6 last year and was picked up at the airport by the driver of friend Tomie Yoshio, lead police investigator Wan Azirul Nizam Che Wan Aziz said.

The driver was instructed to take Kim to his lodgings and other places he wanted to go after Kim told Yoshio his “life was in danger” during a prior visit to Malaysia.

“Six months before the incident on Feb. 13, Kim Jong Nam said ‘I am scared for my life and I want a driver’,” Wan Azirul said, citing police interviews with Yoshio.

He did not give any other details about Yoshio or his whereabouts.

Gooi Soon Seng, Siti Aisyah’s lawyer, has argued the killing was politically motivated, with key suspects linked to the North Korean embassy in Kuala Lumpur, suggesting his client was being made a scapegoat.

Kim had criticized his family’s dynastic rule of North Korea, some South Korean officials have said.

Under questioning, Wan Azirul agreed with Gooi that the two accused women had no motive for the killing, but denied accusations that the police investigation had been “lop-sided”.

Gooi had earlier asked about Hong Song Hac, a North Korean who had paid Siti Aisyah to act on a prank show and was caught on airport video recordings fleeing the country on the day of the killing.

Hong, one of the four North Koreans charged with the murder, was an official with the North Korean embassy in Indonesia from 2016 to 2017, Gooi told the court, citing records obtained from Indonesia’s foreign ministry.

Wan Azirul could not confirm Gooi’s assertion, admitting he had not looked into Hong’s background despite naming Hong as a suspect.

The trial resumes on Mar. 14.

(Reporting by Rozanna Latiff; Editing by Nick Macfie)

Shady triangle: Southeast Asia’s illegal oil and fuel market

A bird's-eye view of ships along the coast in Singapore July 9, 2017.

By Henning Gloystein and John Geddie

SINGAPORE (Reuters) – An alleged oil heist in Singapore that has already led to 20 arrests, the seizure of at least one tanker and allegations that thieves siphoned thousands of tonnes (1 tonne is approx. 2, 204.6 pounds) of fuel from Shell’s biggest refinery is shining a spotlight on an illegal trade worth tens of billions of dollars worldwide.

Working routes in a triangle of sea anchored by Thailand, Vietnam and Singapore and encompassing the oil facilities of Malaysia, the smugglers take advantage of a difficult-to-patrol sea and enticing black market prices, experts say.

The suspects in the latest case are accused of stealing oil from Royal Dutch Shell’s Pulau Bukom refinery, often during business hours, and distributing it around the region.

Several of the men charged worked for Shell. Employees of a major Singaporean fuel trading company and a London-listed business that inspects and certifies cargos have also been charged.

“Siphoning off fuel is a common thing in Southeast Asia. There is a huge black market for it,” said Ben Stewart, commercial manager of the shipping security firm Maritime Asset Security and Training, which has helped authorities in the region fight fuel theft and smuggling.

Singapore is by far the world’s biggest ship refueling port, and Southeast Asia’s petroleum refining hub. Hundreds of vessels pass through the small city-state’s waters every day.

Security officers say the sheer amount of traffic makes checking every ship impossible, opening the door to illegal trade.

In most cases, oil is discreetly siphoned from legal storage tanks and sold into the black market. But there have also been thefts at sea and even hijackings of entire ships to steal their fuel.

Data from the Regional Cooperation Agreement on Combating Piracy and Armed Robbery against Ships in Asia (ReCAAP), based in Singapore, shows more than half of the serious shipping incidents reported in the past year have occurred off the east coast of the Malaysian peninsula.

Some officials put the value of the illegal trade in Southeast Asia at $2 billion to $3 billion per year. But Yousuf Malik, principal at security consultancy Defence IQ, estimated about 3 percent of Southeast Asia’s consumed fuel is sourced illegally, worth $10 billion a year.

“The scale of the illegal oil trade varies with oil prices – when oil prices are high, so is the level of smuggling,” said Praipol Koomsup, former Thai vice minister of energy and professor at Thammasat University.

Crude oil prices have risen by more than 50 percent since mid-2017 to about $70 per barrel, the highest level in over three years. That increases the black market demand in poorer Southeast Asian countries, including Vietnam and Thailand.

“Smuggled oil has been known to be sold to factories for industrial use, or unnamed roadside oil stations. Regular citizens and fishermen are involved in the smuggling,” Koomsup said.

OPEN SEA FUEL STATIONS

Several fuel traders told Reuters that the illegal sale of fuel is common enough that companies plan for losses of 0.2-0.4 percent of ordered cargo volumes.

Stewart said one common method of theft involves a simple fudging of paperwork at sea: captains overstate how much fuel their ship is using, then sell the excess.

Sometimes entire ships are captured for their fuel cargo.

When fuel is stolen on such a large scale, it tends to be transferred to other ships at sea.

Legal ship-to-ship transfers frequently happen between oil tankers in registered zones. In the South China Sea, however, illegal traders use purpose-built ships – with some even disguised as fishing trawlers – to take in and distribute fuel.

According to ReCAAP, the waters around the remote Natuna Islands, which sit between peninsular Malaysia and Borneo but belong to Indonesia, are a hot spot for piracy and illegal fuel transfers.

The Atlantic Council, a policy research group, said many of the region’s illegal fuel operations had links to organized crime.

Police in Thailand and Vietnam said most illegal fuel comes into the country by sea, usually transported on mid-size trawlers in unmarked drums. Smaller vessels then bring the fuel ashore for sale on the street.

“The coasts of Thailand and Vietnam are vast, and its cities big. To catch or even trace the illegal fuel in this area is virtually impossible. That’s why it happens,” said one security source, speaking on the condition of anonymity as he was not cleared to talk to media about contraband operations.

THE BUKOM HEIST

Bukom, just south of Singapore, is an island serving just one purpose: 1.5 square kilometers (0.6 square miles) of tropical land devoted to the biggest petroleum refinery owned by Anglo-Dutch Shell. It can process 500,000 barrels of crude oil per day.

As global markets were gearing up for a new year in early January, Singapore authorities conducted coordinated raids across the city-state, arresting 20, charging 14 Singaporean and Vietnamese men, and seizing millions of dollars in cash. They even confiscated an oil tanker.

At the heart of the police operations is Bukom, where suspects, including current and former Shell employees, are accused of stealing oil worth millions of dollars in the past six months.

Singapore’s biggest marine fuel supplier, Sentek, last weekend saw its marketing and operations manager, as well as a cargo officer, charged in connection with the case.

Another person charged works for Intertek in Singapore, a British-listed company specializing in quality and quantity assurance, including for fuel products.

In a statement to Reuters, Shell said, “Fuel theft is an industry problem globally and not something that anyone can solve on their own.” The company added that it was working with governments and ReCAAP to address the issue.

A representative for Intertek was not immediately available for comment. Sentek declined to comment.

A lawyer representing one of the accused men said he had not yet had opportunity to obtain instructions from his client. Lawyers for some of the others charged were not immediately available for comment.

The Prime South, the small 12,000-tonne Vietnamese tanker police seized, frequently shipped fuel between Singapore and Ho Chi Minh City. The ship had also recently made stops at Rayong, Thailand.

Between ports, the tanker often switched off its transponder, which every merchant vessel is required to carry.

The scale of the theft was big enough that Shell did not think it could handle the case internally. Instead, in August the company contacted authorities, triggering one of the biggest police operations in Singapore in years.

Police investigations are ongoing. The charges in court documents allege the suspects in the Singapore case stole over $5 million worth of oil.

Globally, oil theft could be worth as much as $133 billion, said Malik of Defence IQ.

“Its sheer scale and the flows of illicit cash related to oil and fuel theft and smuggling exacts a toll on virtually every aspect of the economy,” Malik said.

(Reporting by Henning Gloystein and John Geddie in SINGAPORE; Additional reporting by Chayut Setboonsarng and Panu Wongcha-Um in BANGKOK, Mai Nguyen and James Pearson in HANOI, and Fathin Ungku and Roslan Khasawneh in SINGAPORE; Editing by Gerry Doyle)

Malaysia to pay U.S. firm up to $70 million if it finds missing MH370

Civil Aviation Malaysia's Director General Azharuddin Abdul Rahman and Ocean Infinity's CEO Oliver Plunkett sign documents, witnessed by Malaysia's Transport Minister Liow Tiong Lai, during the MH370 search operations signing ceremony between Malaysia's government and Ocean Infinity, in Putrajaya, Malaysia January 10,

KUALA LUMPUR (Reuters) – Malaysia signed a deal on Wednesday to pay a U.S. seabed exploration firm up to $70 million if it finds the missing Malaysia Airlines aircraft MH370 within 90 days of embarking on a new search in the Southern Indian ocean.

The disappearance of the aircraft en route from Kuala Lumpur to Beijing in March 2014 with 239 people aboard ranks among the world’s greatest aviation mysteries.

Australia, China and Malaysia ended a fruitless A$200-million ($157 million) search of a 120,000 sq. km area in January last year, despite investigators urging the search be extended to a 25,000-square-km area further to the north.

Malaysian Transport Minister Liow Tiong Lai said a Houston-based private firm, Ocean Infinity, would search for MH370 in that 25,000-sq-km priority area on a “no-cure, no-fee” basis, meaning it will only get paid if it finds the plane.

“As we speak, the vessel, Seabed Constructor, is on her way to the search area, taking advantage of favorable weather conditions in the South Indian ocean,” Liow told a news conference.

The search will begin on Jan. 17, said Ocean Infinity Chief Executive Oliver Plunkett, who attended the signing event.

Ocean Infinity will be paid $20 million if the plane is found within 5,000 sq km, $30 million if it is found within 10,000 square km and $50 million if it is found within an area of 25,000 square km. Beyond that area, Ocean Infinity will receive $70 million, Liow said.

Its priority is to locate the wreckage or the flight and cockpit recorders, and present credible evidence to confirm their location within 90 days, Liow added.

“They cannot take forever or drag it on for another six months or a year.”

‘UNIQUE SOLUTION’

Ocean Infinity’s vessel carries eight autonomous underwater vehicles that will scour the seabed with scanning equipment for information to be sent back for analysis.

It has 65 crew, including two government representatives drawn from the Malaysian navy.

The ship could complete the search within three or four weeks, and cover up to 60,000 square km in 90 days, or four times faster than earlier efforts, Plunkett told Reuters.

“It was a unique problem that required a unique solution… We looked at it and said, ‘Let’s do something different than what other people would do,’ and that’s the essence of our business.”

Ocean Infinity’s core business is in the oil and gas industry, as well as subsea exploration services for tasks such as underwater cabling and seabed mapping, he said.

The company’s shareholders would bear the upfront costs of the search, Plunkett added.

Debris from MH370 could provide clues to events on board before the crash. There have been competing theories that the aircraft suffered mechanical failure or was intentionally flown off course.

Investigators believe someone may have deliberately switched off the plane’s transponder before diverting it thousands of miles out over the Indian Ocean.

At least three pieces of debris collected from sites on Indian Ocean islands and along Africa’s east coast have been confirmed as being from the missing plane.

(Reporting by Rozanna Latiff; Writing by Praveen Menon; Editing by Jamie Freed and Clarence Fernandez)

U.S. firm Ocean Infinity says hopeful of getting MH370 search contract soon

- A woman leaves a message of support and hope for the passengers of the missing Malaysia Airlines MH370 in central Kuala Lumpur March 16, 2014.

KUALA LUMPUR (Reuters) – U.S.-based seabed exploration firm Ocean Infinity on Wednesday said it was moving a vessel closer to a possible search area for missing Malaysia Airlines flight MH370 as it soon expects to be awarded a contract by Malaysia to resume the search.

The disappearance of the aircraft en route from Kuala Lumpur to Beijing in March 2014 with 239 people aboard ranks among the world’s greatest aviation mysteries. Australia, China and Malaysia ended a fruitless A$200-million ($156.62 million) search in January last year.

But in October, Malaysia said it was in talks with Ocean Infinity to resume the search on a “no-cure, no-fee” basis, meaning it will only get paid if it finds the plane.

“Ocean Infinity is hopeful of receiving the final contract award for the resumption of the search for MH370 over the coming days,” a company spokesman told Reuters in an emailed statement.

“With a relatively narrow weather window, we are moving the vessel, Seabed Constructor, towards the vicinity of the possible search zone. This is designed to save time should the contract award be forthcoming, as hoped,” he said.

Reuters shipping data showed the Seabed Constructor left Durban, South Africa, on Tuesday and was headed to Perth, Australia, where it is due on Feb. 7.

Malaysia’s deputy transport minister, Aziz Kaprawi, said the government was negotiating final terms of the agreement with Ocean Infinity and he was not aware of the vessel’s movement.

“We are in the final stages of the decision. On our part, we have yet to finalize the agreement,” he told Reuters.

When asked whether Australia and China would be consulted about the contract award, Aziz said: “Basically, Malaysia will make the decision, as this offer was made to the Malaysian government. The cost will also be decided by Malaysia.”

Investigators believe someone may have deliberately switched off the transponder of the Boeing 777 before diverting it over the Indian Ocean.

Various pieces of debris have been collected from Indian Ocean islands and Africa’s east coast and at least three of them have been confirmed as coming from the missing plane.

($1 = 1.2770 Australian dollars)

(Reporting by Rozanna Latiff in Kuala Lumpur, Additional reporting by Ed Stoddard in Johannesburg; Editing by Robert Birsel)

Malaysian teacher seen as new ’emir’ of pro-Islamic State militants

Soldiers distribute pictures of a member of extremist group Abu Sayyaf Isnilon Hapilon, who has a U.S. government bounty of $5 million for his capture, in Butig, Lanao del Sur in southern Philippines February 1, 2017.

By Rozanna Latiff and Joseph Sipalan

KUALA LUMPUR (Reuters) – The battlefield deaths of two leaders of an Islamic State alliance in the southern Philippines could thrust a Malaysian who trained at an Al-Qaeda camp in Afghanistan as the militant group’s new regional “emir”, experts and officials say.

Intelligence officials describe Malaysian Mahmud Ahmad as a financier and recruiter, who helped put together the coalition of pro-Islamic State (IS) fighters that stormed Marawi City in May.

Isnilon Hapilon, Islamic State’s anointed “emir” in Southeast Asia, and Omarkhayam Maute, one of two Middle East-educated brothers at the helm of the militant alliance, were killed in a raid on a building in Marawi and their bodies recovered on Monday, Philippine Defence Secretary Delfin Lorenzana said.

Philippine authorities said they were still searching for Mahmud.

“Based on our information, there is still one personality, Dr. Mahmud of Malaysia, and he is still in the main battle area with some Indonesians and Malaysians,” military chief, Gen. Eduardo Ano, said on Monday. “But their attitude is now different, they are no longer as aggressive as before.” He did not elaborate.

Ano urged the 30 militants remaining in a shrinking combat zone to surrender and free hostages as troops stepped up their fight.

Abdullah Maute, the alliance’s military commander, was reported killed in August, though no body was found.

Intelligence officials in Malaysia believe Mahmud left Marawi months ago.

Malaysia’s police counter-terrorism chief Ayob Khan Mydin Pitchay told Reuters in July that Mahmud “managed to sneak out from Marawi city to another safe place with his followers”.

The 39-year-old Mahmud, who holds a doctorate in religious studies and was a university lecturer in Kuala Lumpur, was Hapilon’s second-in-command in the IS’s Southeast Asia “caliphate”, according to a July report by Indonesia-based Institute of Policy Analysis and Conflict (IPAC).

 

RECRUITMENT AND FINANCING

Sitting in the inner circle of the Marawi command center, Mahmud controlled recruitment and financing, the IPAC report said.

He was the contact for foreigners wanting to join the fight in the Philippines or with IS in the Middle East, it said.

“It wasn’t just Indonesians and Malaysians contacting Dr. Mahmud … he was also the contact for Bangladeshis in Malaysia who wanted to join the fighting in Mindanao,” IPAC’s director Sidney Jones told Reuters.

Rohan Gunaratna, an analyst at the S. Rajaratnam School of International Studies in Singapore, described Mahmud as

“the most important IS leader in Southeast Asia”.

Ahmad El-Muhammady, a lecturer at the International Islamic University of Malaysia (IIUM) and a counter-terrorism advisor to the police, said Mahmud often solicited funds for IS operations.

“He’s always the one asking people “does anyone have any money they’d like to donate?”, and he will usually reply when followers in the region ask him about the situation in the Philippines,” Ahmad said.

 

Men identified by Philippines Intelligence officers as Isnilon Hapilon (2nd L, yellow headscarf) and Abdullah Maute (2nd R, standing, long hair) are seen in this still image taken from video released by the Armed Forces of the Philippines on June 7, 2017.

FILE PHOTO: Men identified by Philippines Intelligence officers as Isnilon Hapilon (2nd L, yellow headscarf) and Abdullah Maute (2nd R, standing, long hair) are seen in this still image taken from video released by the Armed Forces of the Philippines on June 7, 2017. Armed Forces of the Philippines/Handout via REUTERS TV/File Photo

 

‘JUST DISAPPEARED’

Mahmud grew up in Batu Caves, a crowded Kuala Lumpur suburb, famous for a Hindu temple housed in a large complex of caverns.  Mahmud’s wife and three children were last known to be living there, although Reuters could not locate them.

Before leaving Malaysia in 2014, Mahmud taught young Muslim students at a tahfiz, a school to memorise the Koran, in Nakhoda, a village near Batu Caves, residents said.

“When he (Mahmud) started the school, he did stay there for the first one or two years, but then he just disappeared,” said 50-year-old Zainon Mat Arshad, a Nakhoda resident who went to the mosque where Mahmud prayed.

“When he was at the tahfiz school, he kept mostly to himself and if he had come over to pray on Friday, I don’t think anyone would have recognized him,” said Zainon. “He didn’t mingle with the local community.”

Security experts say Mahmud studied at Pakistan’s Islamabad Islamic University in the late 1990s before going to Afghanistan where he learned to make improvised explosive devices at an al Qaeda camp.

In 2000, he returned to Malaysia to get a doctorate, which earned him a post as a lecturer in the Islamic Studies faculty at the University of Malaysia in Kuala Lumpur.

Former students described Mahmud as a quiet person who kept to himself.

“He wasn’t the kind of lecturer who hung out at cafes with his students as some others did,” said one former student, who declined to be identified.

 

WROTE JIHAD BOOK

The few signs of his militant beliefs were discovered later, including a book he wrote on jihad under his nom de guerre, Abu Handzalah, said Ahmad, the IIUM lecturer.

He was put on Malaysia’s most-wanted list in April 2014 after leaving the country with several others, including his aide, a Malaysian bomb maker named Mohammad Najib Husen, to work with the Abu Sayyaf group, notorious for violent kidnappings and beheadings in the southern Philippines, Ahmad said.

Mahmud received funding for the Marawi operation directly from IS headquarters, through the group’s Southeast Asian unit led by Syrian-based Indonesian militant Bahrumsyah, the IPAC report said.

In a video released by the Philippines army in June, Mahmud is seen alongside Hapilon as well as Omarkhayam and Abdullah Maute – the pair of brothers who orchestrated the Marawi siege.

 

 

(Editing by Praveen Menon and Bill Tarrant)