Amended law throws Myanmar back into media dark age

Changes to the Electronic Transactions Law signal the junta’s aim of returning to an era of tight control over flows of information

Police barricaded the downtown area of Yangon on Friday morning

On Monday, exactly two weeks after seizing power, Myanmar’s new ruling junta introduced changes to the Electronic Transactions Law that represent a great leap back to the days before the country started opening up to the outside world a decade ago.

The Electronic Transactions Law was first enacted in 2004 by the State Peace and Development Council (SPDC), the regime headed by former dictator Senior General Than Shwe.

The law emerged in response to the regime’s needs at a time when most information technologies were still very new to Myanmar. Except for the heavy punishments it imposed, it was not so different from laws drafted for similar purposes in other developing countries, according to IT experts.

Then, 10 years later and under very different political circumstances, parliament revised the law to make it more compatible with the needs of the eCommerce industry and the explosion of IT-related activities that are now a part of everyday life.

 

 

With this week’s amendments, however, the regime has reversed this trend towards greater openness in order to address a more pressing concern—its desire to rein in growing protests against the return to military rule.

‘Heading back into a dark age’

 

 

For millions of people around the country, smartphones and social media have become tools for expressing their anger at the military takeover and organizing their resistance to it.

At the same time, new technologies have been invaluable to local and international media outlets as they seek to cover every aspect of the ongoing crisis, from mass protests to police crackdowns and the arrests of MPs, activists and civilians.

But while the changes to the Electronic Transactions Law are clearly aimed at the current situation, their impact will likely be deep and far-reaching.

“We are now heading back into a dark age,” said Zayar Hlaing, the editor of Mawkun magazine.

He said that the newly amended law has many provisions that lack clear definitions, which he believes will inevitably result in journalists falling afoul of the law as they try to do their jobs.

Section 38c of the law, for instance, makes it a crime punishable by up to three years in prison to spread “fake news or disinformation” online with the intent to “defame, divide an association, alarm the public, or destroy public trust”—all of which are open to very broad interpretation.

“If they are not happy with the way a journalist reports on a certain subject—or indeed, even if it is an ordinary person who posts something that they don’t like on social media—they can arrest him right away by accusing him of causing alarm or defaming somebody,” said Zayar Hlaing, who is also one of five members of the Myanmar Press Council (MPC) who resigned on Wednesday in protest over the amendments.

mya_5778.jpg

Anti-coup protesters have painting a slogan on the streets of Yangon. 

A question of legitimacy

IT experts who spoke to Myanmar Now noted that the amended Electronic Transactions Law contains provisions the military initially tried to introduce in a new cybersecurity bill drafted soon after it seized power. That bill was immediately rejected by stakeholders, including the Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI) and the Myanmar Computer Federation (MCF).

In a joint statement issued last Friday, 50 digitally-enabled companies said that no new laws governing the use of electronic media should be drafted without consultations with experts of various backgrounds and from different organizations. They also stated that under the constitution, only the elected parliament had the right to introduce new legislation.

The statement also noted that the cybersecurity bill includes open-ended clauses which seriously violate human rights, including the rights to freedom of expression and personal-data privacy and protection, as well as other basic democratic principles.

An IT expert who asked not to be identified said that the changes to the Electronic Transactions Law appeared to serve as a shortcut to implementing draconian measures aimed at protesters in the face of resistance to the cybersecurity bill from influential groups and companies.

“Since the MCF, UMFCCI and [Norwegian telecoms company] Telenor are still objecting to the cyber law, they amended this law so they could use it to oppress,” he said.

He added that the Electronic Transactions Law was originally introduced to facilitate the development of communications technologies and enable the verification of digital records and other data, not to deal with cybercrimes.

Htike Htike Aung, the executive director of Myanmar ICT for Development Organization (MIDO), agreed that the amendments had little to do with the law’s intended purpose.

“The additional clauses under section 38 are exactly the same as provisions described in the cybersecurity bill. The law itself was supposed to make eCommerce and online transactions secure, but the amendments are just there to put whatever they want into law,” she said.

“A military regime that came to power by committing a coup has no authority to enact a law, so any laws they make will be unacceptable, since their legitimacy remains questionable. Therefore, we didn’t accept the cybersecurity bill,” she added.

A warning to the press

Even before the amendments were introduced, the newly installed regime put the media on notice that its already very limited freedoms were not to be taken for granted.

The first sign of trouble came on February 2, the day after the coup, when a number of freelance journalists in Pathein, the capital of Ayeyarwady region, were summoned by police and warned about their activities.

Nearly two weeks later, when soldiers fired on protesters in Myitkyina on February 15, they also rounded up five journalists who witnessed the incident. They were released the next day, but the message was clear: members of the press are also in the army’s sights.

Although journalists in Myanmar already faced restrictions that could easily land them in prison, the latest changes are making the country’s media terrain even more treacherous to navigate.

“I can’t accept a law that’s like a rubber loop that can be opened and closed at will to impose control,” said Htet Naing Zaw, a Naypyitaw-based senior reporter for The Irrawaddy, a local news outlet.

“Not only as a journalist, but also as a citizen, I cannot accept such a law that could restrict the right to information of the people,” he added.

Others in the profession also expressed concern with the wider repercussions of the amendments, but noted that they were especially troubling for those in the business of keeping the public informed.

The amendments seem particularly concerning for the media, as they would introduce heavy penalties for anyone who distributes news that causes panic or defames the government,” said Thomas Kean, the editor-in-chief of Frontier Myanmar magazine.

mya_5456.jpg

Tens of thousands of protesters gathered in downtown Yangon on Wednesday to reject the military coup early this month. 

Noting that Myanmar already has several laws that include defamation and others, like the Telecommunications Law, that restrict freedom of expression, Kean suggested that the country should be trying to introduce further reforms, not more restrictions.

“Instead of adding more problematic laws, it should focus on reforming the framework for freedom of expression both online and offline,” he said.

For Myanmar’s journalists, who are well acquainted with the mindset of the country’s military rulers, none of this comes as a surprise. For some, like Ye Naing Moe, the founder of the Yangon Journalism School (YJS), the coup automatically marked the end of all basic freedoms, including freedom of expression.

But that doesn’t mean that journalism is dead in Myanmar; on the contrary, those who practice this profession will now be more determined than ever to make their mark as they resist a return to darker days by covering the coup as accurately as they can.

“Any law or order enacted or amended by the military won’t be able to change the mentality of the journalists. Because we, the journalists, know what is true,” said Ye Naing Moe.

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