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by Muttukrishna Saravananthan

Therefore, the low crime rate in the Wanni as claimed by the LTTE police does not seem to be a manifestation of their efficiency or control over the population rather it could be a manifestation of lack of confidence in their police and judicial services. The police and judicial services of the LTTE are yet another major impediment to economic revival in the LTTE held areas of the North and East province.

The Tamil Eelam Economic Development Organisation (TEEDO) claims that it is due to their development activities the people of the Wanni were rescued from starvation during the time of economic embargo between 1996 and 2001. This claim seems to be very unconvincing. The people of the Wanni escaped from starvation during the severe economic embargo because of the assistance provided by international relief organisations such as the UNHCR, WFP, Care International, Oxfam, et al, and the GoSL. The role of the TEEDO in cushioning the negative impacts of the economic embargo was marginal,if at all.

Despite huge revenue collection by way of various direct/indirect and ad valorem/unit taxes the LTTE has not embarked on any socio-economic programs in the North and East province whether in their own territory or in government controlled territory. Strangely, the LTTE is expecting the GoSL and the external donors to undertake rehabilitation and reconstruction work. In spite, of numerous public prouncements about LTTE's proposed development plans for the North and East province (Thinakural, 23-12-2002, pp6; Uthayan, 21-12-2002, pp1, Virakesari, 10-09-2002, 14-12-2002, 17-12-2002) it has not forwarded any rehabilitation and reconstruction plan for the North and East or how it intends to fund such programs.

In respect of the LTTE policy of harassing political opponents in the North and East it may be useful to reflect on the wisdom of Che Guevara.

"......It is necessary to distinguish clearly between sabotage, a revolutionary and highly effective method of warfare, and terrorism a measure that is generally ineffective and indiscriminate in its results, since it often makes victims of innocent people and destroys a large number of lives that would be valuable to the revolution. Terrorism should be considered a valuable tactic when it is used to put to death some noted leader of the oppressing forces well known for his cruelty, his efficiency in repression, or other quality that makes his elimination useful. B ut the killing of persons of small importance is never advisable...." (Che Guevara, op cited, pp62-63). "We sincerely believe that terrorism is of negative value, that it by no means produces the desired effects, that it can turn a people against a revolutionary movement...." (Che Geuvara, op cited, pp140).

It is also interesting to note that despite huge collections of tax revenue the LTTE has requested the government for financial assistance to open its peace secretariat in Killinochchi. It has also asked for import duty exemption from the Ministry of Finance for the import of FM transmitter and accessories (to run a FM broadcasting service) and a VSAT communication unit, which was reportedly rejected by the Ministry of Finance. In this circumstances, the taxpayers to the LTTE would like to know where the tax monies are going. The LTTE is in possession of satellite communication for past several years, and therefore the need for another VSAT communication unit (that too duty-free) remains unexplained.

Are there no more import and urgent needs of the masses? Communication and dialogue are essential prerequisites for conflict resolution. Therefore, the LTTE's FM broadcasting service is timely, but certainly not the duty exemption obtained by courtesy of the Norwegian embassy. Whilst acknowledging the paramount importance of communication and dialogue we only hope the FM radio broadcasting would be utilised for the professed purpose. The most potent weapon of the LTTE has not been its suicide bombers, rather its very effective propaganda. On the issue of propaganda it is appropriate to reflect on a bit of advice for the LTTE from Che Guevara.

"One of the characteristics of revolutionary propaganda must be truth. Little by little, in this way, the masses will be won over" (Che Guevara, op cited, pp 131). ".....observing always the fundamental principle that truth in the long run is the best policy" (Che Guevara, op cited, pp 145). "The radio is a factor of extraordinary importance...However, the radio should be ruled by the fundamental principle of popular propaganda, which is truth, it is preferable to tell the truth, small in its dimensions, than a large lie artfully embellished" (Che Guevara, op cited, pp. 146).

There is also anecdotal evidence of the LTTE appropriating building materials destined for the returning IDPs in the Wanni. Good quality building materials sent by donors to put up shelter for the returnees are reported to be replaced with thatched huts.

It is also known that the LTTE demands a percentage of the tender from contractors who undertake construction work (shelter, roads, rehabilitation of irrigation tanks, etc) in the areas under their control. Such types of appropriation taking place during peace time is unacceptable and a behaviour unbecoming of the sole representatives of the Tamil nation.

In this background, it is not advisable for the GoSL and the LTTE to be the joint custodians of the donor funds earmarked for immediate humanitarian needs and rehabilitation (and beyond) in the North and East because the track record of both in managing donor funds is poor.

On December 1st the LTTE banned the transport of historical and cultural artefacts from the Jaffna peninsula to the southern parts of the country on the pretext of preserving the symbols of the history and culture of the Tamil nation. Included in this list of banned items are statues/figurines of Hindu religious idols, heirlooms, memorabilia, bronze metal vessels, ola leaf manuscripts, vintage cars, window/door/

Frames and antique furniture (Virakesari, 01-12-2002; North Eastern Herald, 06-12-2002, pp1). Although there is some rationality in banning the commercial exploitation of historical and cultural artifacts, the banning of the transport of vintage cars, window/door frames, and antique furniture are unjustifiable simply because they have nothing to do with the history and culture of the Tamil nation. The vintage cars of Jaffna (Austin A40, Morris Oxford, Morris Minor, etc) are a relic of British colonialism in Sri Lanka. Likewise, window/door frames, and antique furniture found in Jaffna are a relic of Dutch colonialism in Sri Lanka.

Hence, to ban the transport of these items in the pretext of preserving the history and culture of the Tamils is absurd. Furthermore, the LTTE seems to be playing the nationalist card as and when it suits their political ends, because the LTTE members (including the ones from the Wanni) don western attire while taking part in the peace negotiations with the GoSL.

The act of banning the transport of above items seems to be a manifestation of economic nationalism practised by the LTTE ever since 1990.

The LTTE's economic policies such as self-reliance control of markets, etc, smacks of economic nationalism. It is high time the LTTE spells out its economic philosophy unambiguously. This is vital for the economic resurgence of the N&E province. The imposition of taxes, prohibitions, etc. in ad hoc manner creates uncertainty among prospective investors in the province. No business can prosper in uncertain conditions and no economy can progress under economic nationalism.

Due to the insular economic policies followed by the LTTE in the past 12 years in the areas under their control the majority of the entrepreneurial class has migrated (either voluntarily or involuntarily) from the N&E to the rest of the country (especially to Vavuniya, Colombo and suburbs), particularly the Tamils and Muslims. It is important for the LTTE to create a conducive environment for those who were displaced to re-establish their businesses and invite them to return to their places of origin. Although the LTTE has invited the Muslim traders who were expelled (with just 24 hour notice) from Jaffna and Mannar districts in 1990 to return it was too little too late. The LTTE should go further and pay compensation to these entrepreneurs for the arbitrary and unjust expulsion, because it is the LTTE who ransacked the business premises and homes of the fleeing Muslims. This is the only way to show remorse and instil confidence among the largest minority community in the N&E.

Another group of people the LTTE should encourage to return to their homeland is the Tamil expatriates who had fled the country during the past 20 years. These Tamil expatriates could ring in their skills, knowledge and capital, which are woefully lacking in the N&E. However, these expatriates are accustomed to an entirely new way of life; including freedoms of thought, expression, and movement, which they would expect to enjoy here as well. Therefore, it is the duty of the LTTE to ensure such freedoms should the expatriates decides to return to their homeland. The foreign donors also will be hesitant to put their money where there is no accountability, transparency, and political and economic freedoms.

On the one hand, justifiably, the LTTE is demanding the Sri Lankan armed forces to vacate the private dwellings occupied by them in the N&E province without payment of compensation, particularly in Jaffna.

But, on the other hand, the LTTE is occupying deserted private dwellings in Jaffna without payment of compensation. More so, at present the LTTE is inspecting several private dwellings in numerous towns and villages in Jaffna to take over. In this respect the predicament of the Jaffna people has not much changed during the current peacetime. Disturbingly, the people of Jaffna are faced with a situation where one tyranny is replaced by another.

The following recommendations are made to revive the dormant economy of the N&E after 20 years of civil war.

1. The Sri Lankan armed forces should drastically reduce the size of the High Security Zones in the N&E province, especially in the Jaffna peninsula. This issue cannot be absolved in the pretext of national security. The national security was not threatened during the period 1990-1995 when the Sri Lankan Army was confined to the Palali base in the peninsula. It is very important for the Sri Lankan security forces to vacate all private dwellings and lands in the N&E Province to win the hearts and minds of the population. It is also vital to withdraw fully from the city centre of Jaffna in order to boost business.

2. Remaining restrictions on fishing in the N&E should be removed forthwith.

3. The A9 highway should be open 24-hours a day, 7 days a week. Further, checking of goods on the A9 should be restricted to just two points (one by the Sri Lanka Army and the other by the LTTE) from the present four points.

4. The traders in the N&E should be able to engage in import/export trade directly. That is, they should be able to open LC at the banks in the province. Besides, the Kankesanthurai and/or Point Pedro harbours in the Jaffna peninsula should be developed and made available for import/export trade directly with the rest of the world in general, and with India in particular. For example, imports from India directly to the Kankesanthurai and Point Pedro harbours would considerably reduce transport cost. At the moment only cement is imported directly to the Point Pedro harbour from India under an Indian credit line. Kankesanthurai harbour is out of bounds for commercial purpose because of a Sri Lanka naval base there.

5. The commercial banks (both state and private) in the N&E province should be proactive in promoting businesses and productive activities with flexible lending policies. Special circumstances such as in the N&E warrant special services.

6. The LTTE should refrain from taxing people in the N&E. Instead it should ask for sponsorship from businesses for community and social service for the needy.

7. The LTTE should annually publish the donations/taxes they receive locally and from abroad and how they are expended.

8. The LTTE should dramatically improve their governance - indiscriminate recruitment, harassment of political opponents, occupation of private dwellings without due payment should stop forthwith.

9. The LTTE should desist from undertaking economic activities and running a parallel public administration (including police and judiciary) in their areas of control. They should exclusively concentrate on what they have been doing very successfully in the past two decades; that is, defending the Tamil nation. Fighting a war is hugely different from managing an economy and running a public administrative system. The latter two tasks require completely different skills and knowledge, which the LTTE woefully lacks.

10. In general, the LTTE should drastically reform itself to qualify to solely represent the nation of Tamils. If the two protagonists of the civil war in Sri Lanka, viz. the LTTE and the Sri Lankan armed forces, fail to remove the institutional impediments to economic revival in the North & East Province identified in this paper it may be worth exploring the possibility of inviting a United Nations Peacekeeping Force to be stationed in the province for the sake of the wellbeing of the people and the economic prosperity of the Tamil nation of Sri Lanka.

(Concluded)

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