A Khun Sa confidante sets his sights on parliament as a USDP candidate

Former militia leader Sai Mon looks to use his influence in eastern Shan state to win respectability as an MP   

Drug lord Khun Sa’s former confidante Sai Mon is contesting in the upcoming election as a USDP candidate. 

At 72, Sai Mon has seen more than his fair share of change in his lifetime. A former commander in the Mong Tai Army (MTA), he was once a close confidante to Myanmar’s most notorious drug lord. But when Khun Sa “joined the legal fold” in 1996 and moved to Yangon, Lt Sai Mon stayed behind in north-eastern Shan state to start a militia of his own.

Now, after a failed attempt to win public office five years ago, he is ready to try his luck again. If successful, the former lawbreaker will join the ranks of the country’s lawmakers, and his transformation will be complete.

Sai Mon is contesting this year’s election in Tangyan township, in eastern Shan state’s Lashio district, as a candidate for the military-backed Union Solidarity and Development Party (USDP). This also happens to be the home base of the Manpang militia, an armed group now run by his son. 

In addition to Tangyan township’s Manpang village tract, Sai Mon is said to control about 50 village tracts in Mongyai and Lashio townships, making him an influential figure in Tangyan and beyond.

 

 

“There are things we know and maybe things we don’t know,” MP Sai Aung Pwint said of the Manpang militia’s finances

He is also widely believed to retain a significant degree of control over the Manpang militia, despite officially stepping down as its leader ahead of the 2015 election.  

 

 

“He did hand over his position, but it’s still under his influence,” said Sai Aung Pwint, the current Pyithu Hluttaw representative for Tangyan township.

Sam Vara, a liaison officer for the militia, insisted that Sai Mon’s son, Sai Kham Mon, was now in charge, even if the father still had a role to play.

“He has retired completely. Of course there’s some guidance to his son, who is now the leader. But he [Sai Mon] is no longer officially involved,” he told Myanmar Now.

Notably, however, Sai Mon was present at a meeting held in Naypyitaw in September between Tatmadaw commander-in chief Min Aung Hlaing and leaders of Myanmar’s various militia groups and self-administered areas.

The leadership question is not the only one that hangs over the Manpang militia. There is also some suspicion about how the group finances its operations.

“Like other militias, it receives no funding from the government, so they have to find some way to make a living. Do you understand what I’m getting at? There are things we know and maybe things we don’t know,” said MP Sai Aung Pwint.

The militia economy

According to the Directorate of Investment and Company Administration (DICA), Sai Mon owns three companies: Shan Yoma Aye Chan Yay Co. Ltd., Shan Yoma Aye Chan Yay Gems Co. Ltd., and Shan Yoma Aye Chan Yay Gold & Mine Product Co. Ltd. He also operates agriculture and mining businesses.

Sai Mon is director of all three of these companies, with his son Sai Kham Mon and liaison officer Sam Vara acting as members on their boards of directors.

There have been charges that the Manpang militia often extorts money from local villages in Tangyan, Mongyai and Lashio townships, where it is also said to recruit new members and stands accused of land-grabbing.

Sam Vara denied this last charge, saying that all of the group’s land acquisitions have been legal.

“The militia paid for the plots of land, and some people took advantage of vacant plots whose owners are only appearing now,” he said.

However, according to an Amyotha Hluttaw committee on confiscated farmland and other land issues in Shan state, the militia is involved in disputes with local farmers over thousands of acres of land in the village tracts of Nampaung and Mai Kyaing.

“The villagers lost not only the land but also the water,” MP Sai Wan Hlaing Kham

Amyotha Hluttaw MP Sai Wan Hlaing Kham, who is a member of the committee, said the Manpang militia acquired the land under a company’s name but took more than they applied for.

“On more than one thousand acres of land in Nampaung, they got Chinese people who don’t even speak Myanmar or Shan and started planting pumpkins and chilli with the villager’s water resources. The villagers lost not only the land but also the water,” he told Myanmar Now.

Tangyan township is located in the middle of an area that is notable for its economic activity, both legal and illegal. Lashio, the largest town in northern Shan state, is about 135 km northwest of the town of Tangyan, and the ruby-mining centre of Mong Hsu is roughly 80 km due south. Panghsang, the headquarters of the United Wa State Army, is about 169 km to the southeast, along a well-maintained highway.

The town itself is unremarkable, except for its association with Khun Sa. The former home of the drug lord is located in ward 1, and is known to locals simply as “Khun Sa House”. It is currently being used as the office of the Manpang militia.

A pattern of harassment 

Candidates from parties other than the USDP have complained of being followed by armed members of the Manpang militia while trying to campaign in areas under its control. In some cases, they say, they have even been barred from entering the region.

Shan Nationalities League for Democracy (SNLD) candidate Sai Hla Htwe said members of the militia tailed the party during a recent campaign trip to Manpang and Na Nang village tracts.

“This is a threat to our voters,” he said.

Sai Naw Kham, a candidate for the Shan Nationalities Democratic Party (SNDP), said he had a similar experience.

“Other parties feel they have to be careful about gathering without the militia’s permission, which has made it difficult to run campaigns. The militia has ties to someone contesting in the election and we would like to ask for help so that we can campaign freely,” he said.

Liaison officer Sam Vara scoffed at suggestions that there was anything unusual about the way the former militia leader engages in politics or makes his money. He added that Sai Mon has spent billions of kyat on developing the region.

“Where does he get the money to do these things? He is involved in the jewellery business in Hpakant and Mong Hsu on a huge scale. He spends money he gets from his Shan Yoma Aye Chan Yay companies,” he said.

He was less forthcoming, however, about the militia’s finances (and with a response to Myanmar Now’s request for a meeting with Sai Mon himself).

“Where would a militia get money?” he said, laughing.

The answer to that question might come from local civil society organizations, who say that the Manpang militia routinely exploits people living in areas under its control.

Sources from the Ta’ang Students and Youth Union and the Ta’ang Women’s Organization said that a total of about 50 households in several Ta’ang villages are forced to provide 12 bags of rice each to the militia annually, in addition to 200,000- 300,000 kyat in cash. They are also pressured to provide recruits and volunteers, the groups said.

“People just post whatever they like on Facebook. In reality, we haven’t seen any recruitment,” said Sai San Sein, a USDP MP in the stateparliament 

They also said that the Ta’ang Health Committee, formed by youths living in predominantly Ta’ang villages, has been prevented from providing health care to villagers in the Manpang region.

Sai Kham Aung, of the Tangyan branch of the Shan Youth Organization, said that many villagers have lost their land to the militia.

“There’s someone called Lieutenant Lon Aing. He’s been confiscating land in four or five village tracts. When I say confiscating, I mean he pressures villagers into selling their land at a really low price,” he said.

He also accused the militia of using coercive methods to recruit new members. In some cases, he said, former drug addicts are forced to join if they can’t pay for rehabilitation treatment provided by the militia. 

Others are offered up to a million kyat to join. “It happens quite regularly,” he said.

However, Sai San Sein, a USDP candidate who represents Tangyan township constituency 1 in the state parliament, dismissed these claims.

“People just post whatever they like on Facebook. In reality, we haven’t seen any recruitment,” he said.

According to official figures, Tangyan has a population of over 174,000 residents living in 10 wards and 49 village tracts. Most are Shan, Ta’ang or Lahu, while about 5 percent are Wa or Kokang. There are over 109,000 eligible voters in Tangyan.

Two of Tangyan’s three elected representatives are from the SNLD; the third is from the USDP. A total of 11 candidates from six parties are contesting in the Tangyan constituency this year.

An ex-convict businessman says that he gave the State Counsellor more than $550,000 in cash when ‘there was no one around.’ 

Published on Mar 18, 2021
Maung Weik (first from left) is pictured near State Counsellor Aung San Suu Kyi at the opening ceremony of a government housing built by his Say Paing Company. (Maung Weik/ Facebook)

The military council announced on March 17 that it would attempt to charge State Counsellor Daw Aung San Suu Kyi, who has been detained since Myanmar’s February 1 coup, with corruption.

The junta’s move is linked to new allegations against Aung San Suu Kyi by businessman Maung Weik. The owner of the Say Paing construction and development company, Maung Weik was formerly imprisoned on drug charges and is known to have close relationships with members of the military’s inner circle.  

Military-run media aired a recorded statement made by Maung Weik alleging that he had given Aung San Suu Kyi more than US$550,000 in cash-filled envelopes on the four occasions he met her between 2018 and 2020. 

“There was no one around when I gave her the money,” he said in the video statement. 

Under Myanmar’s earlier military regime, Maung Weik maintained ties to several generals, including former intelligence chief Khin Nyunt.

He was sentenced to 15 years in prison on drug charges in 2008, but was released in 2014 while the country was led by the military-backed Union Solidarity and Development Party.  

Upon his release, Maung Weik founded Say Paing–a construction company–and ran various business ventures through his connections to military officials.  

Maung Weik’s wife is also the niece of military-appointed Vice President Myint Swe, who was also the former chief minister of Yangon under the former military administration. 

The coup council announced on March 11 that the now-ousted National League for Democracy’s (NLD) Yangon Region chief minister Phyo Min Thein had given Aung San Suu Kyi $600,000 and more than 11 kilograms of gold. The announcement provided no reason as to why the money and gold were allegedly given to the State Counsellor by the chief minister. 

A top NLD figure told Myanmar Now that the funds in question were donations to build a pagoda. 

“They’re trying to fabricate this and ruin [Aung San Suu Kyi’s] reputation, but the public already clearly knows it’s not true. There’s no need to say anything else,” the official said. 

The junta has also accused the Daw Khin Kyi Foundation and an affiliated project, the La Yaung Taw Academy, of losing public funds. The foundation was founded by Aung San Suu Kyi and named after her late mother. 

According to the military council, the land lease for the Daw Khin Kyi Foundation’s headquarters, located on Yangon’s University Avenue, is not commensurate with the market price for land in the area. It argues that the country had lost more than 1 billion kyat (more than $700,000) in public funds as a result.

The junta declared that from 2013 to 2021, more than $7.9 million in donations from foreign NGOs, INGOs, companies and individual international donors flowed into the foundation’s three foreign currency accounts.

Also under investigation by the junta is the La Yaung Taw Academy in Naypyitaw, which trains young people in environmental conservation and horticulture in association with the Daw Khin Kyi Foundation. The military said the rate at which the land for the project was purchased came at a discount of at least 18 billion kyat (more than $12.7 million), which was subsequently a loss to the state. 

It also reportedly included some plans—such as the construction of a museum—that used funds in a way that strayed from the project’s, and the Daw Khin Kyi Foundation’s, original aims.

“The construction of a building with finance from the foundation for the chair of the foundation has deviated from the foundation’s objective,” the March 17 announcement in the military-run newspaper said. 

Prior to the corruption allegations, the military council had hit Aung San Suu Kyi with four charges at the Zabuthiri Township court in Naypyitaw.

She has been accused of violating Section 505(b) of the Penal Code for incitement, which carries a sentence of two years in prison; Article 67 of the communications law for possession of unauthorized items; an import-export charge for owning walkie-talkie devices; and a charge under the Natural Disaster Management Law for not following Covid-19 measures during the 2020 election campaign period.

The military council has not allowed Aung San Suu Kyi to meet with her legal team. 

“I’ll most likely see her via video conferencing on March 24 for the next hearing,” lawyer Min Min Soe told Myanmar Now. 

The military council has only allowed lawyers Yu Ya Chit and Min Min Soe to take on Aung San Suu Kyi’s case, ignoring the requests of more established legal experts, including Khin Maung Zaw and Kyi Win, to be granted power of attorney.

 

 

Myanmar Now is an independent news service providing free, accurate and unbiased news to the people of Myanmar in Burmese and English.

Continue Reading

A month and a half after the military seized power, most banks in Myanmar are barely operating

Published on Mar 18, 2021
People queue in front of a KBZ Bank branch in Yangon on March 17. (Supplied) 

Banking in Myanmar has come almost to standstill in the more than six weeks since the February 1 coup, with only basic services still available at a limited number of locations.

In the commercial capital Yangon, only a handful of branches of two of the biggest domestic banks, KBZ and AYA, remain open, according to customers.

As of Wednesday afternoon, every bank in the city’s Yankin, Tamwe, Bahan, Thingangyun and South Okkalapa townships appeared to be closed, Myanmar Now found in an effort to confirm these reports.

However, a customer who had used the AYA Bank branch on Sayarsan road in Yankin said it was still open for withdrawals.

Meanwhile, services in other cities were even more restricted.  In Mawlamyine, the capital of Mon state, local sources said there was only one KBZ Bank branch still in operation on Wednesday, while all banks were reportedly closed in Bago. 

While some banks continue to fill ATMs with cash, few other services are available, bank employees said. 

Unhappy customers

Large crowds have been reported at some of the few branches in Yangon that are still dispensing cash, occasionally resulting in tensions between staff and customers.

“At the KBZ Bank headquarters on Pyay road, they were writing down people’s names and phone numbers as the crowd got bigger. They said they would get back to us,” said Aye Aye Phway, a customer who was seeking to withdraw money.

KBZ Bank came under fire on Tuesday when four of its customers were arrested following a dispute with bank staff. 

On Wednesday, the bank released a statement denying that it had called the police, as alleged by some who criticized its handling of the incident. It also said that it would assist the customers who had been detained.

According to the junta-controlled broadcaster MRTV, the customers were arrested for pressuring bank staff to take part in the Civil Disobedience Movement (CDM) against military rule.   

Pressure from above

A month after many of their employees joined the CDM, privately-owned banks have come under growing pressure from the junta to reopen for business.   

Banks that haven’t reopened have been instructed to turn over all of their customers’ information to the state-owned Myanma Economic Bank or one of two military-owned banks, Innwa Bank or Myawady Bank. 

The Central Bank of Myanmar would not be responsible for the consequences if banks failed to abide by this demand, the regime warned.

The regime originally issued this order, through the Central Bank, on March 8, to no avail. Despite repeating it again on Wednesday, the situation remains unchanged.

Currently, private banks are required to allow regular customers to withdraw 500,000 kyat per day from ATMs or 2,000,000 kyat per week if they appear at the bank in person. 

Companies are permitted to withdraw 20 million kyat at a time, according to Central Bank instructions issued on March 1.

Myanmar has 27 private banks and 17 branches of foreign-owned banks.

Editor's note: This article has been edited to include KBZ Bank's statement on the arrest of four of its customers on Tuesday and the state-owned broadcaster MRTV's claims about the incident.

Myanmar Now is an independent news service providing free, accurate and unbiased news to the people of Myanmar in Burmese and English.

Continue Reading

Some of those released were made to sign a statement confirming military allegations of electoral fraud in their respective townships, an official said.

Published on Mar 18, 2021
An election official shows a ballot for verification in Yangon’s Kyauktada Township on November 8 (Myanmar Now)

The military regime on Wednesday released all election sub-commission members who were detained following last month’s coup, state and township level election officials said.

The coup regime detained the state, regional and township-level sub-commission members on February 11, ten days after it seized power, and tried to justify the move with unsubstantiated claims of fraud during Myanmar’s 2020 general election. 

They members were released on Wednesday morning, confirming rumours on Tuesday that they would be freed.

State and regional commission members were detained at divisional military headquarters, while township level members were detained at guest quarters inside battalion bases.

Some members of township-level sub-commissions were made to sign a statement before their release confirming the military’s findings about voting irregularities in their areas during the November 8 poll, said a chair of a state-level sub-commission who asked not to be named.

But one member of a township sub-commission denied that they had to sign such a statement.

Kyi Myint, chair of the Yangon Region sub-commission, said that the military didn’t ask him to sign anything and there was no interrogation. 

“We were summoned and asked to take a rest,” Kyi Myint said.

He added that he didn’t know why the military had allowed them to go home. Nor did he know the situation of members of the union-level commission who were also detained.

Kin Khanh Pawng, chair of the township sub-commission in Kale, Sagaing, was detained in mid-February and was among those released on Wednesday. He said he was called in to help with data and paperwork.

“I had to help them find the data they wanted to see,” he said.

A new union election commission body was formed a day after the military seized state power and arrested civilian leaders on February 1.

The new commission met with 53 political parties on February 26 and officially annulled the results of the 2020 general election.

Another 38 registered parties did not attend that meeting. They include the Shan National League for Democracy, the Democratic Party for a New Society, and the People's Party.

 

 

 

Myanmar Now is an independent news service providing free, accurate and unbiased news to the people of Myanmar in Burmese and English.

Continue Reading