As talks with North near, South Korea sees familiar hurdles ahead

FILE PHOTO: North Korean leader Kim Jong Un watches the launch of a Hwasong-12 missile in this undated photo released by North Korea's Korean Central News Agency (KCNA) on September 16, 2017. KCNA via REUTERS/File Photo

By Hyonhee Shin

SEOUL (Reuters) – With the specter of two past summits that failed to blunt North Korea’s nuclear ambitions, South Korean officials planning talks next month now face the thorny task of overcoming familiar sticking points with the threat of war looming over any failure.

A South Korean delegation returned home on Tuesday from a first-ever meeting with North Korean leader Kim Jong Un, to announce the agreement on a North-South summit next month, the first since 2007.

Seoul officials see the talks as the starting point of President Moon Jae-in’s initiative to denuclearize and build lasting peace on the peninsula, beginning with a freeze in the North’s nuclear program and ending in its complete abolishment.

“While pursuing a fundamental resolution of the standoff, we need to take some initial denuclearization steps, putting a halt to further testing and returning to dialogue,” a senior South Korean government official said on condition of anonymity.

“One could argue we would be deceived by the North as we have been for the last 20 years, but that’s the past – we have different people and different programs now,” the official said.

Moon said on Wednesday he had suggested to the North a rough roadmap progressing from a nuclear freeze to denuclearization, an opposition party chair told reporters after meeting with him.

But Moon said there won’t be “many agreements” to come out of the summit, according to a ruling party lawmaker who took part in the meeting.

Moon also called a 2005 deal of six-nation nuclear talks, under which Pyogyang agreed to give up its nuclear program in return for economic and energy aid and an end to its diplomatic isolation, a “failed model”, the first politician said.

FAMILIAR PATTERN

Former officials in Washington and Tokyo reacted with scepticism to the North’s offer of talks on denuclearization, seeing a familiar pattern of threats followed by talks that fail to win significant concessions.

Chief among the disagreements that have scuttled past efforts to defuse the standoff is North Korea’s requests for security guarantees in return for abandoning its nuclear weapons.

During talks with Moon’s envoys this week, the North expressed its willingness to denuclearize if military threats against it are eliminated, and the security of its regime is guaranteed, without presenting precise conditions.

“(North Korea) has never said what they mean by the guarantee of regime security,” one former senior South Korean official told Reuters.

“That means it’s up to them to decide whether the security is guaranteed or not, and that means they have full control.”

Pyongyang has protested South Korea-U.S. joint military drills as a rehearsal of war.

It has also called the roughly 28,000 American troops stationed in South Korea a potential invasion force that can only be countered by a robust nuclear deterrent.

The North’s official KCNA news agency said on Wednesday the United States is “getting frantic” with the deployment of U.S. troops on the Korean peninsula and their drills to get “familiar with its terrain and arms buildup there”.

Moon’s special advisor Moon Chung-in has raised the possibility for a possible pullout of U.S. forces, saying the president has the right to “let them out”.

Moon declined to comment on the summit, saying: “We will see.”

SECURITY GUARANTEE?

Any discussion of a U.S. troop withdrawal will be fraught, however, as both Seoul and Washington see them as a bulwark against North Korean provocations.

“For the North, a peace treaty and denuclearization means the removal of U.S. forces from not only the peninsula but also Japan and other bases in the Pacific theater,” said Kim Young-mok, a former South Korean diplomat who was involved in the making of a 1994 freeze-for-aid framework deal between Pyongyang and Washington.

“We responded by pledging non-aggression, but I guess it wasn’t enough.”

South Korean officials expect the issue to arise again, but are hoping Pyongyang won’t make impossible demands.

Another senior official acknowledged the difficulty in making progress in any peace talks without addressing the issue of eliminating the military threat to North Korea and guaranteeing the security of its regime.

“The North bring up disarmament talks and the withdrawal of U.S. forces”, the official said.

“If they do, things could get ugly quickly despite the summit, and the South Korea-U.S. alliance would face serious problems. But if the North were to move things forward, they would hopefully present something more realistic.”

Wi Sung-lac, a former South Korean nuclear negotiator, said there needs to be clearer mutual understanding of the definition of denuclearization to facilitate future talks.

“It’s unlikely to see any tangible outcome on the nuclear issue before the summit,” he said.

“The United States and North Korea could sit together at the negotiating table in the meantime, which would provide better optics for the summit but probably not in terms of substance.”

(Reporting by Hyonhee Shin; Additional reporting by Christine Kim; Editing by Josh Smith and Lincoln Feast)

North Korea says willing to hold talks with U.S., halt nuclear tests: South

North Korean leader Kim Jong Un meets members of the special delegation of South Korea's President in this photo released by North Korea's Korean Central News Agency (KCNA) on March 6, 2018. KCNA/via Reuter

By Christine Kim

SEOUL (Reuters) – North Korea is willing to hold talks with the United States on denuclearisation and will suspend nuclear tests while those talks are under way, the South said on Tuesday after a delegation returned from the North where it met leader Kim Jong Un.

North and South Korea, still technically at war but enjoying a sharp easing in tension since the Winter Olympics in the South last month, will also hold their first summit in more than a decade next month at the border village of Panmunjom, the head of the delegation, Chung Eui-yong, told a media briefing.

“North Korea made clear its willingness to denuclearize the Korean peninsula and the fact there is no reason for it to have a nuclear program if military threats against the North are resolved and its regime is secure,” Chung said.

Reacting to the news, U.S. President Donald Trump tweeted: “We will see what happens!”

Chung cited the North as saying it would not carry out nuclear or missile tests while talks with the international community were under way. North Korea has not carried out any such tests since November last year.

“The North also said it can have frank talks with the United States on denuclearisation and the normalization of ties between North Korea and the United States,” Chung said.

The prospect of talks between the isolated North and the United States helped boost global stock markets, with the broadest gauge of global shares, MSCI’s All Country World Index, rising 0.6 percent and U.S. stock futures pointing to a higher opening on Wall Street.

TRADING THREATS

Washington and Pyongyang have been at loggerheads for months over the North’s nuclear and missile programs, with Trump and Kim Jong Un trading insults and threatening war. North Korea has regularly vowed never to give up its nuclear program, which it sees as an essential deterrent and “treasured sword” against U.S. plans for invasion.

The United States, which stations 28,500 troops in the South, a legacy of the Korean War, denies any such plans.

To ensure close communication, the two Koreas, whose 1950-53 conflict ended in a mere truce, not a peace treaty, will set up a hotline between South Korean President Moon Jae-in and Kim Jong Un, Chung said.

The last inter-Korean summit was in 2007 when late former president Roh Moo-hyun was in office.

The agreement came on the heels of a visit made by a 10-member South Korean delegation led by Chung to the North Korean capital, Pyongyang, on Monday in hopes of encouraging North Korea and the United States to talk to one another.

Kim Jong Un met senior South Korean government officials for the first time and said it was his “firm will to vigorously advance” inter-Korean ties and pursue reunification, the North’s official news agency said.

“Through this delegation visit, the South Korean government created a very important opportunity to manage North Korea’s nuclear and missile threats, prevent war on the Korean peninsula and create military trust going forward,” said Cheong Seong-chang, a senior research fellow at the Sejong Institute.

Tensions between the two Koreas eased during the Olympics in South Korea, where Moon hosted a high-level North Korean delegation and the two sides presented a joint women’s ice hockey team. Kim Jong Un had invited Moon to North Korea for a summit, which was the first such request from a North Korean leader to a South Korean president.

Some U.S. lawmakers reacted with cautious optimism to signs of an opening for dialogue.

“This is encouraging,” Democratic Senator Chris Coons said in an interview with MSNBC on Tuesday. “This suggests that diplomacy can be the follow on to confrontation.”

Republican Senator Jeff Flake told MSNBC: “This is encouraging news. It’s not definitive. I mean, I’m not sure that this will hold, but it is encouraging to see that they’re ready to talk.”

North Korean leader Kim Jong Un greets a member of the special delegation of South Korea's President at a dinner in this photo released by North Korea's Korean Central News Agency (KCNA) on March 6, 2018. KCNA/via Reuters

North Korean leader Kim Jong Un greets a member of the special delegation of South Korea’s President at a dinner in this photo released by North Korea’s Korean Central News Agency (KCNA) on March 6, 2018. KCNA/via Reuters

U.S.-S.KOREA DRILLS TO GO ON

North Korea has boasted of developing nuclear-tipped missiles capable of reaching the United States, in defiance of U.N. Security Council resolutions, but Pyongyang and Washington both say they want a diplomatic solution to the stand-off.

The first inter-Korean talks in more than two years were held early this year to bring North Korea to the Winter Olympics, when South Korea and the United States also postponed an annual joint large-scale military exercise that North Korea views as a preparation for invasion.

During this week’s visit, a senior Blue House official said North Korea was informed it was not feasible to postpone the joint military drills between South Korea and the United States again and that Kim Jong Un acknowledged the situation.

Kim Jong Un said he understood the drills, expected in April, would be of a similar scale seen in previous years, the official said. The North Korean leader also had a request for the world: that he be seriously acknowledged as a dialogue counterpart, said the official.

The South’s delegation leader, Chung, said he would travel to the United States to explain the outcome of the visit to North Korea and that he had a message from North Korea he would deliver to Trump.

Chung will later visit China and Russia, while Suh Hoon, the head of South Korea’s spy agency and another member of the delegation, will head to Japan.

The United States has said before it is open to talks but its position has been that dialogue must be aimed at North Korea’s denuclearisation, something Pyongyang has rejected.

Moon has also remained vigilant against North Korea’s weapons ambitions, saying on Tuesday South Korea should bolster its defenses in tandem with talks with Pyongyang.

The Pentagon has nevertheless said it was “cautiously optimistic” about the North-South talks, which resumed in January for the first time in two years.

(Reporting by Christine Kim; Additional reporting by Hyonhee Shin; Editing by Nick Macfie and Alex Richardson)

Trump-Netanyahu meeting is chance to project common front vs. Iran

FILE PHOTO: U.S. President Donald Trump speaks with Israeli Prime Minister Benjamin Netanyahu during the World Economic Forum (WEF) annual meeting in Davos, Switzerland January 25, 2018. REUTERS/Carlos Ba

By Matt Spetalnick and Jeffrey Heller

WASHINGTON/JERUSALEM (Reuters) – U.S. President Donald Trump and Israeli Prime Minister Benjamin Netanyahu hold talks on Monday that offer a chance to project a common front against Iran but are expected to do little to advance seemingly stalled Israeli-Palestinian peace prospects.

Mired in corruption investigations threatening his political survival, Netanyahu was confronted, only hours before the White House meeting, by news back home that a former spokesman had turned state’s witness in one of the probes. Netanyahu has denied any wrongdoing.

U.S. and Israeli officials said the agenda of Netanyahu’s talks with Trump would be topped by the president’s push to change or scrap Iran’s 2015 nuclear deal with world powers and concerns over Tehran’s foothold in Syria.

Both leaders have railed against the deal, citing its limited duration and the fact it does not cover Iran’s ballistic missile program or its support for anti-Israel militants in the region.

Trump has threatened to quit the agreement unless European allies help “fix” it with a follow-up accord. An Israeli official said Netanyahu and Trump were likely to talk about how to overcome European resistance on the matter.

“I intend to discuss a series of issues with (Trump), but foremost Iran, its aggression, nuclear ambitions and aggressive actions in the Middle East, including along our very border,” Netanyahu told reporters on his departure from Israel.

Israel has accused Tehran of seeking a permanent military presence in Syria, where Iranian-backed forces support Syrian President Bashar al-Assad in a civil war.

Netanyahu has cautioned that Israel could act against Iran itself after an Iranian drone flew into Israel last month and an Israeli warplane was downed while bombing air defenses in Syria. He accuses Iran of planning to build precision-guided missile factories in Lebanon, amid tensions on that border.

“We want to know and we must know, what the U.S. position will be if we do enter into some wider confrontation with Iran,” Michael Oren, a deputy Israeli cabinet minister and former ambassador to Washington, said on Israel’s Channel 13 TV.

U.S. Secretary of State Rex Tillerson has called on Iran to withdraw its military and militia from Syria. But with Russia the dominant international player in Syria, it is unclear what practical steps Washington could take to ease Israeli concerns.

Trump and Netanyahu will also discuss efforts led by the president’s son-in-law and senior adviser Jared Kushner to develop an Israeli-Palestinian peace proposal, which the president has said could lead to the “deal of the century.”

The process has gone nowhere, however, since Trump’s recognition of Jerusalem as Israel’s capital in December and announcement of the move of the U.S. embassy to the city in May, shortly after Israel’s 70th anniversary.

Kushner is on the defensive amid investigations into alleged meddling by Russia in the 2016 presidential campaign. It is a case that has bedeviled Trump, who – like Netanyahu – has accused law enforcement officials of conducting a “witchhunt”.

Palestinian leaders have reacted to the change in decades-old U.S. policy on Jerusalem by rejecting Washington’s traditional leadership of peace efforts.

‘ROUTINE CHECK-IN’

No major announcements or breakthroughs are expected from Trump’s talks with Netanyahu, whose relationship with the president has been among the closest of any other world leader.

“This is a routine check-in meeting,” one U.S. official said of Netanyahu’s second visit to the Trump White House.

For Netanyahu, the Oval Office meeting and an address to the pro-Israel lobby group AIPAC on Tuesday offered little respite from his legal troubles in Israel.

His former spokesman, Nir Hefetz, is one of the suspects in a case revolving around allegations that regulatory favors were granted to Israel’s biggest telecoms company and that in return, its owners provided favorable coverage for Netanyahu on a news site they controlled.

Netanyahu awaits a decision by Israel’s attorney general on whether to indict him, as police have recommended in two other bribery cases.

U.S. officials have said the investigations in Israel are not expected to affect Netanyahu’s talks.

The Trump administration remains hopeful the Palestinians can be drawn back into negotiations after a “cooling-off” period, one U.S. official said, while conceding there had been no sign that would happen any time soon.

Some analysts believe Kushner’s ability to run the Middle East initiative has been further handicapped by his loss of access to certain valued U.S. intelligence because of a recent White House clampdown on access to such secrets for those without full security clearance.

The Trump administration has no plans to use Netanyahu’s visit to roll out peace proposals Kushner’s team is crafting, a second U.S. official said, speaking on condition of anonymity.

“We are as committed to peace as ever,” the official said. “We will release the plan when it is done and the time is right.”

U.S. officials have told Reuters it would deal with all major issues, including Jerusalem, borders, security and the future of Jewish settlements on occupied land and Palestinian refugees, and would also urge Saudi Arabia and other Gulf states to provide significant financial support to the Palestinians.

(Reporting by Matt Spetalnick in Washington and Jeffrey Heller in Jersusalem; Editing by Daniel Wallis, William Maclean)

Russia violating duty to halt Syria’s use of chemical weapons: U.S.

A person inspects damaged building in the besieged town of Douma, Eastern Ghouta, Damascus, February 20. REUTERS/Bassam Khabieh

By Stephanie Nebehay

GENEVA (Reuters) – Russia has violated its duty to guarantee the destruction of Syria’s chemical weapons and prevent the Assad government from using banned poison gas, the United States said on Wednesday.

“For Russia to claim that the Assad regime has eliminated its chemical stockpiles is just absurd. Its continued denial of the Assad’s regime culpability in the use of chemical weapons is simply incredible,” U.S. disarmament ambassador Robert Wood told the Conference on Disarmament.

“Russia needs to be on the right side of history on this issue. It is currently on the wrong side of history,” he said.

Syria again denied U.S. allegations that it had used chemical weapons against rebel-held areas, and said that “terrorist groups” including Nusra Front and Islamic State had obtained some stocks.

“Syria cannot be possibly using chemical weapons because it very simply has none in its possession,” Hussam Aala, Syrian ambassador to the United Nations in Geneva, told the forum.

The world’s chemical weapons watchdog in the Hague opened an investigation on Sunday into attacks in the besieged, rebel-held Syrian region of eastern Ghouta to determine whether banned munitions had been used, diplomatic sources told Reuters.

Syria signed up to the international ban on chemical weapons in 2013, as part of a deal brokered by Moscow to avert U.S. air strikes in retaliation for a nerve gas attack that killed hundreds of people, which Washington blamed on Damascus. In the years that followed, Syria’s declared stockpile of banned poison gasses was destroyed by international monitors.

Syria’s government had made an “unprecedented achievement by destroying all its chemical weapons in record time and in a manner that is irrevocable, although field conditions were extremely complex due to our war against terrorism”, Aala said.

The United States said last year that Syria again used the banned nerve gas sarin, and President Donald Trump ordered air strikes.

Washington has since said it has evidence that Syria has used chlorine gas in attacks in recent weeks. Rescue workers and medics on the ground have described residents choking on fumes after air strikes.

Unlike nerve gas, chlorine is legal for countries to possess for water purification and other civilian purposes, but using it as a weapon is banned.

Russian Foreign Minister Sergei Lavrov, addressing the Conference on Disarmament, said Syria had eliminated its chemical weapons stockpile and placed its arsenal under international control.

Lavrov said the United States was repeating allegations by what he called “fully-discredited” Syrian rescue workers in rebel-held areas, who had put forth “absurd claims against the government of Syria”.

“We note that the U.S. and its allies are simply exploiting baseless allegations of toxic weapons use by Damascus as a tool of anti-Syrian political engineering,” Lavrov added.

(Additional reporting by Cecile Mantovani; Editing by Raissa Kasolowsky and Peter Graff)

White House: Talks with North Korea must lead to ending nuclear program

Pyeongchang 2018 Winter Olympics - Closing ceremony - Pyeongchang Olympic Stadium - Pyeongchang, South Korea - February 25, 2018 - Ivanka Trump (L to R), U.S. President Donald Trump's daughter and senior White House adviser, South Korean President Moon Jae-in and Kim Yong Chol of the North Korea delegation attend the closing ceremony. REUTERS/Lucy Nicholson

By Yuna Park and Roberta Rampton

SEOUL/WASHINGTON (Reuters) – The White House said any talks with North Korea must lead to an end to its nuclear program after senior officials from Pyongyang visiting South Korea said on Sunday their government was open to talks with the United States.

The North Korean delegation, in Pyeongchang for the closing ceremony of the Winter Olympics, met at an undisclosed location with South Korean President Moon Jae-in, and expressed a willingness to meet with the United States, Moon’s office said in a statement.

The Pyongyang delegation said developments in relations between the two Koreas and between North Korea and the United States should go hand in hand, according to the statement.

The Olympics gave a boost to recent engagement between the two Koreas after more than a year of sharply rising tensions over the North’s missile program and its sixth and largest nuclear test in defiance of U.N. sanctions.

The United States announced on Friday it was imposing its largest package of sanctions aimed at getting North Korea to give up its nuclear and missile programs.

On Sunday, North Korean state media accused the United States of provoking confrontation on the Korean peninsula with the sanctions.

The White House said its sanctions would continue.

“We will see if Pyongyang’s message today, that it is willing to hold talks, represents the first steps along the path to denuclearization,” the White House said in a statement.

“In the meantime, the United States and the world must continue to make clear that North Korea’s nuclear and missile programs are a dead end,” it said.

NO INTERACTION WITH IVANKA TRUMP

Moon, the North Korean delegation, and Ivanka Trump, U.S. President Donald Trump’s daughter, were among dignitaries who attended the Olympics closing ceremony on Sunday.

Ivanka Trump, a senior White House adviser, did not interact with the North Korean delegation, a senior U.S. administration official said. She met Moon on Friday as part of a weekend trip leading the U.S. delegation to the closing ceremony.

North Korea sent former military intelligence chief Kim Yong Chol, an official accused of being behind a deadly 2010 attack on a South Korean warship, to lead its delegation.

The decision enraged the families of 46 sailors killed in the torpedo attack and threatened the mood of rapprochement that Seoul sought to create at what it called the “Peace Games.”

North Korea has denied its involvement in the sinking.

Moon met Kim in Pyeongchang, where the Olympics were held, before the closing ceremony, the South Korean government said.

Earlier, about 100 conservative South Korean lawmakers and activists staged a sit-in near the border with North Korea, to protest Kim’s arrival and facing off against about 2,500 South Korean police.

The North’s delegation took a different route, prompting the opposition Korea Liberty Party to accuse Moon’s administration of “abuse of power and an act of treason” by rerouting the motorcade to shield it from the protest.

TRUMP WARNING

The North sent Kim Yo Jong, the younger sister of North Korean leader Kim Jong Un, to the opening ceremony.

She was the center of a frenzy of attention, especially when she appeared at the opening ceremony and was only a few feet from U.S. Vice President Mike Pence. They did not speak.

Kim Yo Jong and the North’s nominal head of state were the most senior North Korean officials to visit the South in more than a decade. The North Korean leader later said he wanted to create a “warm climate of reconciliation and dialogue.”

The U.S. president, in announcing the new sanctions on Friday, warned of a “phase two” that could be “very, very unfortunate for the world” if the sanctions did not work.

North Korea denounced the sanctions in a statement carried on its state media and said a blockade by the United States would be considered an act of war.

China also reacted angrily, saying on Saturday the unilateral targeting of Chinese firms and people risked harming cooperation on North Korea.

Moon won election last year promising to try to improve relations with the North.

(Reporting by Yuna Park and Christine Kim in Seoul; additional reporting by Yasmeen Abutaleb and Roberta Rampton in Washington; Writing by Josh Smith; Editing by Daniel Wallis and Jeffrey Benkoe)

Global watchdog to put Pakistan back on terrorist financing watchlist: sources

A man stands at the entrance of Government Al-Aziz Hospital, previously known as Al-Aziz Hospital, run by the Islamic charity organisation Jamaat-ud-Dawa (JuD) in Muridke near Lahore, Pakistan February 15, 2018. Picture taken February 15, 2018. REUTERS/Mohsin Raza

 

By Kay Johnson and Drazen Jorgic

ISLAMABAD (Reuters) – A global money-laundering watchdog has decided to place Pakistan back on its terrorist financing watchlist, a government official and a diplomat said on Friday, in a likely blow to Pakistan’s economy and its strained relations with the United States.

The move is part of a broader U.S. strategy to pressure Pakistan to cut alleged links to Islamist militants unleashing chaos in neighboring Afghanistan and backing attacks in India.

It comes days after reports that Pakistan had been given a three-month reprieve before being placed on the list, which could hamper banking and hurt foreign investment.

The United States has spent the past week lobbying member countries of the Financial Action Task Force (FATF) to place Pakistan on a so-called grey list of nations that are not doing enough to combat terrorism financing.

Pakistan had launched last-minute efforts to avoid being placed on the list, such as taking over charities linked to a powerful Islamist figure.

But the campaign proved insufficient and the group decided late on Thursday that Pakistan would be put back on the watchlist, a senior Pakistani official and a diplomat with knowledge of the latest FATF discussions told Reuters.

“The decision was taken yesterday. The chair (of FATF) is expected to make a statement some time this afternoon in Paris,” the diplomat said.

Both officials spoke on condition of anonymity.

Pakistan’s foreign ministry spokesman declined to confirm or deny the news at a regular news briefing on Friday, saying the FATF would make an announcement on its website.

“Let the things come out, and then we can comment on the U.S.-Pakistan relationship,” spokesman Mohammad Faisal said.

Pakistan was on the list for three years until 2015.

PAINFUL CONSEQUENCES?

Earlier in the week China, Turkey, and the Gulf Cooperation Council (GCC) were opposing the U.S.-led move against Pakistan but by late on Thursday, both China and the GCC dropped their opposition, the diplomatic source said.

He added that the financial consequences would not kick in until June, which, in theory, could allow Pakistan time to fix financing issues.

“But the odds of that, particularly in an election year, seem slim,” he added.

Pakistani officials and analysts fear being on the FATF list could endanger Pakistan’s handful of remaining banking links to the outside world, causing real financial pain to the economy just as a general election looms.

Under FATF rules one country’s opposition is not enough to prevent a motion from being successful. Britain, France and Germany backed the U.S. move.

Pakistan has sought to head off its inclusion on the list by amending its anti-terrorism laws and by taking over organizations controlled by Hafiz Saeed, a Pakistan-based Islamist accused by the United States and India of being behind 2008 militant attacks on the Indian city of Mumbai in which 166 people were killed.

On Tuesday, Foreign Minister Khawaja Asif tweeted that Pakistan had received a three-month reprieve, adding that it was “grateful to friends who helped”.

U.S. President Donald Trump last month ordered big cuts in security aid to Pakistan over what the United States sees as its failure to crack down on militants.

Pakistan rejects accusations that it sponsors Taliban militants fighting U.S. forces in neighboring Afghanistan and says it is doing all it can to combat militancy.

(Writing by Drazen Jorgic; Editing by Clarence Fernandez, Robert Birsel)

in a likely blow to Pakistan’s economy and its strained relations with the United States.

The move is part of a broader U.S. strategy to pressure Pakistan to cut alleged links to Islamist militants unleashing chaos in neighboring Afghanistan and backing attacks in India.

It comes days after reports that Pakistan had been given a three-month reprieve before being placed on the list, which could hamper banking and hurt foreign investment.

The United States has spent the past week lobbying member countries of the Financial Action Task Force (FATF) to place Pakistan on a so-called grey list of nations that are not doing enough to combat terrorism financing.

Pakistan had launched last-minute efforts to avoid being placed on the list, such as taking over charities linked to a powerful Islamist figure.

But the campaign proved insufficient and the group decided late on Thursday that Pakistan would be put back on the watchlist, a senior Pakistani official and a diplomat with knowledge of the latest FATF discussions told Reuters.

“The decision was taken yesterday. The chair (of FATF) is expected to make a statement some time this afternoon in Paris,” the diplomat said.

Both officials spoke on condition of anonymity.

Pakistan’s foreign ministry spokesman declined to confirm or deny the news at a regular news briefing on Friday, saying the FATF would make an announcement on its website.

“Let the things come out, and then we can comment on the U.S.-Pakistan relationship,” spokesman Mohammad Faisal said.

Pakistan was on the list for three years until 2015.

PAINFUL CONSEQUENCES?

Earlier in the week China, Turkey, and the Gulf Cooperation Council (GCC) were opposing the U.S.-led move against Pakistan but by late on Thursday, both China and the GCC dropped their opposition, the diplomatic source said.

He added that the financial consequences would not kick in until June, which, in theory, could allow Pakistan time to fix financing issues.

“But the odds of that, particularly in an election year, seem slim,” he added.

Pakistani officials and analysts fear being on the FATF list could endanger Pakistan’s handful of remaining banking links to the outside world, causing real financial pain to the economy just as a general election looms.

Under FATF rules one country’s opposition is not enough to prevent a motion from being successful. Britain, France and Germany backed the U.S. move.

Pakistan has sought to head off its inclusion on the list by amending its anti-terrorism laws and by taking over organizations controlled by Hafiz Saeed, a Pakistan-based Islamist accused by the United States and India of being behind 2008 militant attacks on the Indian city of Mumbai in which 166 people were killed.

On Tuesday, Foreign Minister Khawaja Asif tweeted that Pakistan had received a three-month reprieve, adding that it was “grateful to friends who helped”.

U.S. President Donald Trump last month ordered big cuts in security aid to Pakistan over what the United States sees as its failure to crack down on militants.

Pakistan rejects accusations that it sponsors Taliban militants fighting U.S. forces in neighboring Afghanistan and says it is doing all it can to combat militancy.

(Writing by Drazen Jorgic; Editing by Clarence Fernandez, Robert Birsel)

Trump says launching ‘largest-ever’ package of sanctions against North Korea

U.S. President Donald Trump takes questions from to reporters before departing the White House to speak at CPAC in Washington, U.S., February 23, 2018. REUTERS/Jim Bour

By Christine Kim and Steve Holland

SEOUL/WASHINGTON (Reuters) – U.S. President Donald Trump said on Friday the United States would launch the “largest-ever” package of sanctions against North Korea, intensifying pressure on the reclusive country to giving up its nuclear and missile programs.

“Today I am announcing that we are launching the largest-ever set of new sanctions on the North Korean regime,” Trump said in excerpts of a speech he was to deliver on Friday.

He said the Treasury Department soon will be taking action to further cut off sources of revenue and fuel that North Korea uses to fund its nuclear program and sustain its military.”

He said the effort will target more than 50 “vessels, shipping companies and trade businesses that are assisting North Korea in evading sanctions.

North Korea’s missile and nuclear program, which is seeking to develop a nuclear-tipped missile capable of reaching the U.S. mainland, is the Trump administration’s biggest national security challenge. Trump and North Korean leader Kim Jong Un have taunted each other through the media and Trump has threatened him with “fire and fury like the world has never seen.”

Tougher sanctions may jeopardize the latest detente between the two Koreas, illustrated by the North’s participation in the Winter Olympics in the South, amid preparations for talks about a possible summit between North Korean leader Kim Jong Un and South Korean President Moon Jae-in.

U.S. Vice President Mike Pence had hinted at such a sanctions package two weeks ago during a stop in Tokyo that preceded his visit to South Korea for the Pyeongchang Olympics.

North Korea last year conducted dozens of missile launches and its sixth and largest nuclear test in defiance of U.N. Security Council resolutions. It defends the weapons programs as essential to deter U.S. aggression.

It has been more than two months since North Korea’s last missile test.

Kim said he wants to boost the “warm climate of reconciliation and dialogue” with South Korea, which hosts 28,500 U.S. troops, after a high-level delegation, including his sister, returned from the Olympics.

In an extension of that rapprochement, the North agreed on Friday to hold working-level talks on Tuesday for the Pyeongchang Winter Paralympics on the North’s side of the border village of Panmunjom.

The new U.S. sanctions will be announced while Trump’s daughter, Ivanka, is visiting South Korea. She had dinner with Moon after a closed-door meeting with the president.

“We are very, very excited to attend the 2018 winter Olympic games to cheer for Team USA and to reaffirm our strong and enduring commitment with the people of the Republic of Korea,” Ivanka, a senior White House adviser who has a long been a close confidante of her father’s, said at Incheon airport.

Ivanka Trump’s visit to South Korea coincides with that of a sanctioned North Korean official, Kim Yong Chol, blamed for the deadly 2010 sinking of a South Korean navy ship that killed 46 sailors. His delegation will attend the closing ceremony and also meet Moon.

The South Korean president said South Korea cannot acknowledge North Korea as a nuclear state and talks with the North on denuclearization and improving inter-Korean relations must go hand in hand, Moon’s spokesman, Yoon Young-chan, said at a news conference.

He said close cooperation between the United States and South Korea is important for the talks.

“President Moon also said out of all countries, South Korea has the strongest will to say it cannot acknowledge North Korea as a nuclear state,” he said.

Moon made the comments to Ivanka.

The Blue House has said there are no official opportunities for U.S. and North Korean officials to meet.

“RIGHT PERSON”

Kim Yong Chol is the vice chairman of the North’s ruling Workers’ Party’s Central Committee and was previously chief of the Reconnaissance General Bureau, a top North Korean military intelligence agency that South Korea blamed for the sinking of its navy corvette, the Cheonan. North Korea has denied any involvement.

Seoul said it approved the pending visit by Kim Yong Chol in the pursuit of peace and asked for public understanding in the face of opposition protests.

“Under current difficult circumstances, we have decided to focus on whether peace on the Korean peninsula and improvement in inter-Korean relations can be derived from dialogue with (the visiting North Korean officials), not on their past or who they are,” said Unification Ministry spokesman Baik Tae-hyun in a media briefing.

Kim Yong Chol currently heads the United Front Department, the North’s office responsible for handling inter-Korean affairs.

South Korea’s decision on Thursday to allow in Kim Yong Chol, currently sanctioned by the United States and South Korea, sparked protest from family members of the dead sailors and opposition parties.

Many have been angered at the North’s participation at the Games, which they say has been a reward for bad behavior with no quid pro quo from Pyongyang.

(Reporting by Christine Kim in SEOUL and Steve Holland in WASHINGTON; Editing by Nick Macfie and Bill Trott)

U.S. says ready to talk Mideast peace; Abbas calls for conference

White House senior adviser Jared Kushner seen with United States Ambassador to the United Nations (UN), Nikki Haley, and lawyer Jason Greenblatt (R) before a meeting of the UN Security Council at UN headquarters in New York, U.S., February 20, 2018. REUTERS/Lucas Jackson

By Michelle Nichols

UNITED NATIONS (Reuters) – The United States is “ready to talk” Middle East peace with the Palestinians, U.S. Ambassador to the United Nations Nikki Haley said on Tuesday in remarks directed at Palestinian President Mahmoud Abbas during a meeting of the U.N. Security Council.

U.S. President Donald Trump’s son-in-law and senior adviser, Jared Kushner, and U.S. Middle East envoy Jason Greenblatt, who are working on a new peace plan, sat behind Haley. Speaking after Abbas made a rare address to the 15-member council, Haley gave no details of the U.S. plan.

“Our negotiators are sitting right behind me, ready to talk. But we will not chase after you. The choice, Mr. President, is yours,” Haley said. Abbas did not stay in the council chamber to listen to her.

White House spokesman Josh Raffel said Washington would present a peace plan “when it is done and the time is right.”

The Palestinians no longer view the United States as a neutral negotiator, and Abbas on Tuesday called for an international Middle East peace conference to be convened later this year.

The Palestinians are furious over the Trump administration’s recognition of Jerusalem as Israel’s capital in December and its decision to cut U.S. funding for the U.N. agency that helps Palestinian refugees (UNRWA).

“It has become impossible today for one country or state alone to solve a regional or international conflict,” Abbas said. “It is essential to establish a multilateral international mechanism emanating from an international conference.”

Abbas, who shunned a visit by U.S. Vice President Mike Pence to the region last month, said the conference should include the Palestinians, Israel, the five permanent U.N. Security Council members – the United States, Russia, China, Britain and France – the European Union and the United Nations.

French U.N. Ambassador Francois Delattre told the council: “We are open to studying the development of the ways of international accompaniment for the peace process.” Deputy British U.N. Ambassador Jonathan Allen described U.S. leadership on the issue as “indispensable.”

Israel’s U.N. Ambassador Danny Danon told the Security Council that Abbas was part of the problem, not the solution, and that the “only way to move forward is direct negotiations” between Israel and the Palestinians.

Russian U.N. Ambassador Vassily Nebenzia said the so-called Quartet – made up of the United Nations, the United States, Russia and the EU – and the League of Arab States could play a role in kick-starting the stalled peace process.

(Additional reporting by Steve Holland in Washington; Editing by Paul Simao)

Russia looms large as U.S. election officials prep for 2018

People walk by the U.S. Capitol building in Washington, U.S., February 8, 2018. REUTERS/ Leah Millis

By Dustin Volz

WASHINGTON (Reuters) – Ten months before the United States votes in its first major election since the 2016 presidential contest, U.S. state election officials huddled in Washington this weekend to swap strategies on dealing with an uninvited guest: Russia.

A pair of conferences usually devoted to staid topics about election administration were instead packed with sessions dedicated to fending off election cyber attacks from Russia or others, as federal authorities tried to portray confidence while pleading with some states to take the threat more seriously.

“Everyone in this room understands that what we are facing from foreign adversaries, particularly Russia, is real,” Chris Krebs, a senior cybersecurity official at the Department of Homeland Security (DHS), told an audience of secretaries of state, who in many states oversee elections. Russia, he added, is “using a range of tools against us.”

The department said last year that 21 states had experienced initial probing of their systems from Russian hackers and that a small number of networks were compromised. Voting machines were not directly affected and there remains no evidence any vote was altered, officials say.

While virtually all 50 states have taken steps since the 2016 election to purchase more secure equipment, expand the use of paper ballots, improve cyber training or seek federal assistance, according to groups that track election security, some officials at the conferences expressed an added sense of urgency.

That is because the meetings came immediately after U.S. Special Counsel Robert Mueller unsealed an indictment accusing 13 Russians and three Russian companies of conducting a criminal conspiracy to interfere in the 2016 election.

The charges alleged a sophisticated multi-year operation carried out by a Russian propaganda factory to use false personas on social media to boost Donald Trump’s campaign. Russia has repeatedly denied it attempted to meddle.

“Loud and clear I hear that the biggest threat is this campaign of disinformation as opposed to the election process itself,” said Denise Merrill, Connecticut’s secretary of state, a Democrat.

DHS has taken the lead on working with states to improve voting machine security, but no federal agency is specifically responsible for combating online propaganda.

Several secretaries of state said they needed more rapid notification from federal partners about not just attempts to breach voting systems but disinformation campaigns as well.

“I don’t want to find out about propaganda two years later, after I elect my congressman,” said Mississippi Secretary of State Delbert Hosemann, a Republican, in an interview while clutching his own printed copy of the 37-page indictment.

Frustration boiled over at times among the secretaries of state, some of whom criticized a classified briefings U.S. intelligence agencies held with them over the weekend as largely unhelpful.

Federal officials, they said, continued to provide inadequate information to states about the nature of the Russian cyber threat and how to protect against it.

“I would have thought that behind closed doors, I would have heard, ‘This is why this has to be classified.’ And I heard none of it,” said West Virginia Secretary of State Mac Warner, a Republican. Still, other secretaries of state and election directors said relationships with DHS had improved dramatically compared with a year ago.

Speaking on a panel and attempting to quell frustration, Robert Kolasky, another DHS cybersecurity official, stressed that U.S. intelligence officials were genuinely worried about how Russia or others may attempt to interfere in 2018.

“There are reasons we are worried that things could become more serious,” Kolasky said. “The Russians got close enough, and we anticipate it could be different, or worse, the next time around,” he said.

(Reporting by Dustin Volz; Editing by Daniel Wallis)

Turkey denies allegation of chemical attack in Syria

Turkish-backed Free Syrian Army fighter stands on rubble in Northern Afrin countryside, Syria, February 16, 2018. REUTERS/Khalil Ashaw

MUNICH (Reuters) – Turkey never used chemical weapons in its operations in Syria, and takes the utmost care of civilians, its foreign minister said, after Syrian Kurdish forces and a monitoring group accused it of carrying out a gas attack in Syria’s Afrin region.

“It’s just a fabricated story. Turkey has never used any kind of chemical weapons,” Turkish Foreign Minister Mevlut Cavusoglu told reporters at the Munich Security Conference.

Cavusoglu dismissed the reports as propaganda by organizations close to the outlawed Kurdistan Workers Party (PKK) that has waged a three-decade insurgency on Turkish soil.

He said Turkey took the utmost care to protect civilians in the military operation, while the YPG was using civilians as “human shields” in areas under its control.

Syrian Kurdish forces and a monitoring group said the Turkish military carried out a suspected gas attack that wounded six people in Syria’s Afrin region on Friday.

Turkey launched an air and ground offensive last month on the Afrin region, opening a new front in the multi-sided Syrian war, to target Kurdish fighters in northern Syria.

The White House said it was aware of the reports but could not confirm them.

“We judge it is extremely unlikely that Turkish forces used chemical weapons,” a spokesman for the U.S. National Security Council said. “We continue to call for restraint and protection of civilians in Afrin.”

Birusk Hasaka, a spokesman for the Kurdish YPG militia in Afrin, told Reuters that a Turkish bombardment hit a village in the northwest of the region, near the Turkish border. He said it caused six people to suffer breathing problems and other symptoms indicative of a gas attack.

The Syrian Observatory for Human Rights told Reuters that Turkish forces and their Syrian insurgent allies hit the village on Friday with shells. The Britain-based war monitoring group said medical sources in Afrin reported that six people in the attack suffered breathing difficulties and dilated pupils, indicating a suspected gas attack.

Syrian state news agency SANA, citing a doctor in a Afrin hospital, said Turkish shelling of the village caused choking in six people.

On Feb. 6, the United Nations called for an immediate humanitarian ceasefire in Syria.

Since the onset of the conflict in 2011, the YPG and its allies have set up three autonomous cantons in the north, including Afrin. Their sphere of influence expanded as they seized territory from Islamic State with U.S. help, though Washington says it opposes their autonomy plans.

U.S. support for Kurdish-led forces in Syria has infuriated Ankara, which views them as a security threat along its frontier. Turkey sees the YPG as terrorists and an extension of the banned PKK.

(Reporting by Andrea Shalal; Editing by Peter Graff)