First High Seas Stop-And-Search Exercise Begins 

Reuters, Friday, September 12, 2003; 10:32 PM

SYDNEY (Reuters) - The U.S. navy led four countries on Saturday in the first in a series of contentious high seas exercises to stop and search ships, particularly those of North Korea, suspected of trafficking weapons of mass destruction. Washington says the exercise is not specifically aimed at North Korea, but few doubt its target is the reclusive communist state that Washington and others accuse of making clandestine shipments of drugs, counterfeit cash and missiles. "Exercise Pacific Protector" in the Coral Sea off Australia's northeast coast will see navies of the United States, Australia, Japan and France hunt and board a merchant ship suspected of carrying anything from biological agents to components for nuclear bombs. 

North Korea's neighbor, China, has questioned the legitimacy of intercepting ships and aircraft, saying dialogue is the best way to stop the proliferation of weapons of mass destruction. Beijing has pushed for talks to try to end a standoff between Washington and Pyongyang over North Korea's nuclear program, which threatens stability across northeast Asia. Some experts say high seas interception may be illegal. 

"It's one of these pre-emptive actions, like all such types of responses, that depends to 100 percent on reliable intelligence," said Scott Burchill, lecturer in international relations at Deakin University in Melbourne. "If the intelligence is wrong, the crime is committed," he told Reuters. Burchill said the war on Iraq, started because of fears Iraq was harboring weapons of mass destruction which have so far not been found, showed the importance of making sure that intelligence used to justify the interceptions is correct. 

"Without that kind of assurance the risk of committing an act of piracy, which is a very serious crime under international law, is a high likelihood," he said. However, the top U.S. arms official, John Bolton, stressed at a meeting this month in Paris that the stop-and-search exercise was in line with the law. The Coral Sea exercise is the first since the United States in May launched the Proliferation Security Initiative (PSI), which 11 nations have signed. Ten PSI exercises are planned...

N.Korea Biochemical Expert Said Detained in China 

Reuters, Saturday, September 6, 2003. BEIJING (Reuters) - A North Korean biological weapons expert has been detained while trying to slip into the Australian consulate in China's southern city of Guangzhou to seek political asylum, an anti-Pyongyang activist said on Saturday. 

Norbert Vollertsen, a German doctor-turned-activist, said plainclothes security agents had detained Ri Chae Woo, who planned to testify in the United States against Pyongyang's chemical and biological weapons program. Vollertsen, quoted on a human rights Web site, said Ri had evidence of human experiments in North Korea. 

A spokeswoman for the Australian Department of Foreign Affairs said the government was unaware of the incident. "We have no knowledge of the reported incident. We checked with our consul-general there, who has no knowledge of it either," she told Reuters. 

While North Korea's nuclear weapons program has been a top international concern recently, the reclusive state is also believed to be capable of making large amounts of chemical weapons such as nerve, blister and choking agents. Ri had worked for the Chiha-ri Chemical Corp in Anbyon, south of Wonsan, North Korea, until June 2003 when he, his wife and two teenage children fled to China, Vollertsen said. 

"He (Ri) was disguised in the uniform of maintenance staff of the building which houses the consulate," Vollertsen said in a statement on the Chosun Journal Web site, which promotes human rights in North Korea. "He was apprehended in the fire escape stairwell. His family members escaped via a nearby fast food restaurant and are at large," Vollertsen said. Guangzhou police declined to comment, and the Australian consulate was not immediately available for comment... 

Our Taxes Pay for Heroin Ship

By Geoff Wilkinson, 25Aug 2003, news.com.au

THE seized North Korean drug ship Pong Su has become a floating white elephant that could cost taxpayers more than a million dollars. A dispute over who pays the rapidly mounting bill for the ship's security and maintenance is unlikely to be settled for at least a year. The freighter, which is under 24-hour guard at Snails Bay in Sydney Harbour, has already cost more than $350,000 to secure and maintain since it was confiscated by the Australian Federal Police in April. Costs have already exceeded the freighter's estimated value of $300,000. 

Lawyers from the Commonwealth Director of Public Prosecutions office, acting for the AFP, have told the ship's owners it is costing $90,000 a month to maintain. The lawyers have told the owners they are responsible for "all costs associated with keeping the ship in Australian waters", but the owners say they won't pay. 

Jon Hak Bom, a director of the company that owns the Pong Su, yesterday called on the AFP or the Federal Government to return the 4000-tonne cargo ship. "Why we must pay?" Mr Jon said. "If they give back ship, we pay. Very much money is lost while she sleeps in Sydney. "I am not interested in who pay for Pong Su now, but not me. We want ship back - and crew." 

An AFP spokeswoman confirmed that solicitors acting for the owners of the Pong Su had lodged a claim for the ship's return. But legal proceedings to decide whether the ship should be forfeited will not be heard until criminal matters are finalised. Lawyers have estimated the freighter could be held in Sydney Harbour for at least another year before its forfeiture is resolved. 

A Commonwealth DPP solicitor has told lawyers representing the owners the ship is unseaworthy and needs substantial work to make it safe. But a marine surveyor's report seen by the Herald Sun describes the ship as "well built and currently well maintained". Mr Jon vehemently denied the ship was owned or operated by the North Korean Government. 

He also rejected claims by the US and Australian governments that the North Koreans used the ship for drug running to prop up their economy and fund nuclear weapons. Mr Jon said his company was one of many small private companies owned and operated by civilians in North Korea. He said the AFP should be investigating the Malaysian company that chartered the freighter early this year and was using it at the time it was seized. 

A company called Kim To, registered in Kuala Lumpur, chartered the Pong Su in February for three months, with an option of a further three months, at $3800 a day. Mr Jon said it was the first time the Malaysian company had used the ship, and the first time it had been to Australia. The charter company said the ship would pick up a load of cars and other cargo in Melbourne. 

AFP agents seized 50kg of heroin, which was allegedly brought ashore from the Pong Su 14km from Lorne on April 16. Another 75kg was later found hidden beside the Great Ocean Rd and 25kg was thought to have been lost at sea. The total haul had a street value of up to $200 million. The ship was seized when it was intercepted by armed troops off Newcastle four days later. 

All 30 members of the crew were arrested and charged with aiding and abetting the huge drug importation. Four more men were arrested onshore near Lorne and Geelong. All 34 are being held at Barwon Prison, and are expected to face committal proceedings held in the jail in November. Mr Jon said he knew nothing about the ship's alleged cargo of heroin. "I have never seen any drug in all my life," Mr Jon said. "Our country not allow drugs. Very important - not allowed." 

Mr Jon said he was one of four owners of the Pong Su Shipping Company and had been a director for seven years. He came to Melbourne to talk to lawyers representing the ship's crew and reassure the 30 crew members, who he has visited in jail nearly a dozen times. "I tell them don't worry about your families - our company take care of them." Mr Jon said he told the crew to be quiet because he was confident the matter would be resolved fairly. "Australian law is very good law," he said. 

The Dear Leader's diffident diplomats

July 20, 2003.

The North Korean embassy operates from the suburb of O'Malley, the nouveau - and sometimes but not always riche - end of Canberra's embassy belt. It looks on to restful mountain views. 

The mottled cream two-storey building with white balcony railings has a leafy garden, with a cross between a large fish pond and small swimming pool in front. This is covered with heavy mesh; the water is so low you can hardly see it. Atop are a few fairly hideous small stone birds and animals and a miniature windmill. 

Established again last year after a quarter century "interruption" - the North Koreans did a dramatic bolt in 1975 when their country severed relations over differences with the Whitlam government - the mission has five diplomats and their families. 

Whatever else they do, the diplomats are not, at this point, anxious to talk to the media on behalf of their country. 

When The Sunday Age arrived on Thursday afternoon, an official who said his name was Kim insisted there was absolutely no one who could be spoken to. He took numbers and promised someone would call. 

Meanwhile, in a front room, Sydney businessman Richard Haren was deep in discussions with the embassy's economic counsellor. 

Dr Haren is a technical director in a joint venture called Kumsan (Gold Mountain) that has been mining gold in North Korea for several years. He was escorting a visiting four-member delegation, including the managing director of the enterprise (Mr Li), a manager, a metallurgist and a protocol officer.

Next morning The Sunday Age rang the embassy, reaching second secretary Ma Tong Hui. 

The ambassador was too busy to be interviewed, Mr Ma said. So were he and the others. It was Friday, he said, the day for shopping. He referred The Sunday Age to the Korean news agency on the Internet. 

He did offer to fax over the ambassador's CV, then asked: would the afternoon be all right? He obviously had more urgent tasks. Another call to the embassy later and yes, Mr Ma said, the shopping had gone well. Did we really want the CV? What did we intend to do with it? 

Finally it arrived. It told us Ambassador Chon Jae Hong, in his 60s and married with children, was a student of the Institute of International Relations. Among his previous postings were Egypt, the United Nations, Zimbabwe and Thailand; before coming to Australia, he was adviser to the minister for foreign affairs. 

The brief about the Democratic People's Republic of Korea on the Australian Foreign Affairs website has nothing encouraging to say about trade between the two countries. 

"Australian companies can pursue business opportunities in the DPRK, or with DPRK companies," it says, but warns, "Australian companies should be aware of the poor payments record of many DPRK agencies in past commercial ventures."

The brief says two-way trade is small, falling from $20 million in 1991 to $3.9 million in 2001-02. In 2000-01, coal was the principal export from Australia. "There were no recorded exports in 2001-02," the brief says. "We have zero trade," a Foreign Affairs spokeswoman said.

Dr Haren presents a slightly more optimistic picture. "I've been going there for nine years. We're buying plant for them to produce gold."

He says the Australian side has put $2 million into the gold venture, and now a Singaporean interest has joined because the Koreans wanted to boost the investment and the Australians did not wish to go further.

"We're now putting in a reasonably large plant to produce around half-a-tonne of gold a year, using Australian technology," says Dr Haren. He's brought gold back in lots of 10 or 20 kilograms at a time. 

"I've been to North Korean more than 20 times - and I was there on September 11, 2001." Understandably, he was on that occasion a little worried about his situation. But in general North Korea "is probably one of the safest countries in the world" to be in. 

He believes the "reclusive" description a bit overdone. "They are reclusive to an extent but there are more and more people visiting. It's not as bleak or difficult a country as made out."

The members of the delegation, who left from Perth for Singapore yesterday, listened to the Australian news bulletins as they travelled around (Mr Li speaks perfect English and two others some). Dr Haren said they thought "the nuclear threat issue a bit of a beat-up by the West. There's a little bit of bemusement - and a little bit of concern." 

Unlike his embassy countrymen, Mr Li, speaking from Perth, was anything but reticent. He'd been studying Friday's letters page in Sydney's Daily Telegraph and said he agreed absolutely with Jane Chifley, of Bathurst, who had asked whether Australia was a responsible nation or just a puppet of American foreign policy. 

"Any dignified nation shouldn't follow others in a blind way," said Mr Li, blaming "a few people in the political circles".

"I highly respect Australia as a nation," he said.

He was confident "the current crisis will be resolved in a peaceful manner and very soon Australia will be one of the DPRK's best friends. I'm sure Australia is likely to come to the table with us and start talking about business relationships." 

Meanwhile, back at the embassy, they enjoy aspects of life in Canberra while they watch the international events unfold. One of the wives who met the delegation said the local water was the best she had ever tasted.

Agence France-Presse reported that Australian Prime Minister John Howard agreed with Japan's foreign minister to work together to defuse the DPRK nuclear threat, but remained at odds over a beef trade row, an official said. Howard, who arrived here late Tuesday on the second leg of his three-nation Asian tour, met Yoriko Kawaguchi ahead of talks with Japanese Prime Minister Junichiro Koizumi later in the day. "During the meeting, the two shared the view that both dialogue and real action are needed when we handle the issue of DPRK nuclear arms development," said a foreign ministry official, who attended the meeting. "Prime Minister Howard told our minister that quiet diplomacy is important, but it is also important to step up inspections" on DPRK ships amid concerns that the Stalinist state allegedly smuggled nuclear arms-related equipment and illegal drugs. 

Australia has committed its military, police and intelligence services to participate in maritime exercises -- probably starting in September -- as part of a US-led 11-nation alliance aimed at stopping the trade in illicit arms and drugs principally by the DPRK. At a later speech before an Australia-Japan symposium, Howard urged caution in dealings with the DPRK. "The threat of North Korea is real, but like all threats it has to be dealt with in a careful and sober fashion," he said. He downplayed an earlier suggestion by Philippines President Gloria Arroyo for a joint-sponsored regional meeting to deal with the DPRK, saying the focus should remain on a "five power" discussion involving the two Koreas, Japan, the US and the PRC. "We shouldn't at the moment get diverted by a focus on some other initiative," he said, adding it was "one that we should perhaps come to if other components don't work." ("PM HOWARD, KAWAGUCHI AGREE ON NKOREA ISSUE, BUT AT ODDS OVER TRADE ROW," 07/16/03)

No N.Korean Ship Plan: Government

National, 12:01 AEST Wed 9 Jul 2003. Australia had not considered intercepting North Korean ships or aircraft to
stop the Asian nation transporting weapons of mass destruction, Foreign Minister Alexander Downer said. But he refused to rule out the move in the future.

US Under Secretary for State for Arms Control, John Bolton, has said Australia has the capacity to take military steps in territorial waters to stop the spread of weapons. He is in Australia for multilateral talks, including a discussion of the transportation of weapons.

Asked on ABC radio if Australia would consider intercepting North Korean ships or warplanes, Mr Downer replied: "That is trying to generate a very dramatic headline out of what is at this stage is a very preliminary process.

"Now whether it would ever come to something like that, that's pretty much a moot point.

"Obviously we haven't given consideration to Australian aircraft intercepting for a North Korean aircraft or our ships intercepting their ships.

"I'm not saying it would never be considered but I'm saying we haven't given consideration to that yet."

Mr Downer said the 11 nations at the Proliferation Security Initiative meeting in Brisbane would discuss whether there was enough legal authority to act against nations transporting nuclear, chemical and biological weapons.

"We need to work through a lot of that and see whether there's a need to change international law or whether we could put together some sort of international convention that countries would voluntarily sign up to and having signed up to the convention would take on certain obligations to address the problem of this trade," he said.

"Some of those countries might be countries which historically have been transit countries, they might even be destination countries.

"But you would bring this to bear as a very new, I think a very effective, component of the anti proliferation regime."

Mr Downer said while North Korea was unlikely to agree to any new international laws to stop the shipping of weapons, it would have to pass through another country that might agree to blocking the transportation. 

"Traditionally they might have been able to take materials through China or over China by air," he said.

"They would have to do that or else they would obviously have to arrive at some port if they went by sea. 

"In those circumstances it would depend what port they used and what agreements you had with that particular country."

Mr Downer said the 11 nations willing to stop North Korea selling weapons of mass destruction were keeping China informed of their plans.

"We don't want to keep China in the dark on this because ... China could become a very key player in a process like this, particularly in relation to North Korea."

Agence France-Presse reported that the DPRK said on Tuesday US allegations that the DPRK exported illegal narcotics and counterfeit money were groundless and a shameful attempt to ostracize the impoverished communist state. The DPRK has since the 1970s been accused of trafficking drugs and latterly counterfeiting cash. The US and its allies say the money is helping fund the North's drive to develop nuclear weapons and are tightening checks on cargo from the North to choke off illicit money. 

"There is no need for the DPRK to do such illegal acts as 'drugs trafficking' and 'counterfeiting of money' overseas," the DPRK's official KCNA news agency said. "This is part of the Bush administration's foolish and shameful moves to ostracize the DPRK," the agency said. The KCNA said that the DPRK had built its own economy and was carrying out economic reforms, for which it would welcome help, particularly in running markets selling farm produce and industrial goods. It said US accusations about drugs and counterfeiting were a challenge to those efforts. 

KCNA also took a separate swipe at Australia, where the 30-strong crew of the DPRK-owned and Tuvalu-registered vessel Pong Su have been accused of aiding and abetting the import of heroin and taken into custody. It reiterated that the DPRK had nothing to do with the case, in which a huge haul of heroin was seized. The agency set out a range of economic reform measures introduced last year, including raising prices and some wages. Foreign analysts say this has had disastrous inflationary consequences that have brought the possible collapse of the economy closer. Tuesday's report on the DPRK's economic reforms came after KCNA's announcement on Monday that the DPRK was developing nuclear weapons so it could cut conventional forces and divert funds to the economy. The US swiftly dismissed this argument and called on the DPRK to take part in multilateral talks on its nuclear plans. ("NORTH KOREA CLAIMS DRUG-SMUGGLING SHIP 'NON-GOVERNMENTAL,' 006/10/03) and Reuters ("N.KOREA REJECTS US DRUGS, FAKE MONEY CHARGES," Seoul, 006/10/03)

New Drug Haul Linked to N.Korean Ship

14:11 AEST Tue 27 May 2003

Police have found another huge heroin stash believed to be linked to the North Korean freighter, Pong Su. Australian Federal Police (AFP) revealed that on May 7 they found 75kg of heroin buried in bushes about 15km west of the Victorian coastal town of Lorne. Police believe it was unloaded from the Pong Su at the same time as 50kg of heroin seized at Lorne on April 16. It appeared to be identical in form and packaging to the earlier drug seizure, they said.

Thirty-four men are facing charges in Melbourne over the importation after Australian special forces troops and police intercepted the North Korean freighter off the Australian coast on April 20. The seizure of drugs has caused a diplomatic row, with the federal government giving Pyongyang's ambassador a dressing down because of the alleged involvement of North Korean officials in the trafficking. The latest drug find takes the total quantity of drugs seized in the operation to 125kg, which has an estimated street value of $220 million. Police say it is the largest seizure of heroin in Victoria and the sixth largest seizure in Australia.

Working with Australian Customs and Victorian, Tasmanian and NSW police, the AFP found the first, 50kg shipment of drugs in a vehicle stopped in Lorne on April 16. Four days later, the North Korean ship Pong Su was intercepted by Australian authorities at sea, 35km south-east of the NSW city of Newcastle. "At the time of the original seizure, we were aware that more heroin had possibly been off-loaded during the (Lorne) landing," AFP general manager southern region Graham Ashton said.

"As a result of extensive searches by AFP and Victoria Search and Rescue and ongoing police inquiries, we located three packages of heroin buried less than two kilometres from Boggaley Creek, the alleged landing site for the drugs," he said. "We will allege that this latest haul was offloaded from the Pong Su on 15 April along with the 50kg seized originally," he said. Mr Ashton said it was lucky no one else had found the second drug shipment. "It was fairly visible once undergrowth had been removed so there wasn't a serious attempt made to conceal the heroin," he said.

Mr Ashton hailed the operation an outstanding success and an excellent example of cooperation between government agencies. "The removal of such a large quantity of drugs and the seizure of the alleged mother ship represents a significant disruption to the activities of an illegal drug syndicate," he said. "We have sent a very strong message to drug traffickers that Australia is not an easy target for the importation of illegal substances."

Opposition foreign affairs spokesman Kevin Rudd today urged the federal government to expel the North Korean ambassador if evidence linked the regime with the Pong Su.

North Korea diplomacy problems for Australia 

ABC Radio, Reporter: Louise Yaxley, Monday, 5 May , 2003

MARK COLVIN: In diplomacy, Australia appears to be caught in a bind over North Korea. The Prime Minister has had a lengthy discussion with George W. Bush over the Stalinist State's apparent intention to breach and go on breaching the nuclear non-proliferation treaty.

On another level, Australia is sending strong messages to North Korea over its concern that the nation was involved with smuggling 50 kilos of high-grade heroin to Australia.

Now Australia has to decide whether to deal with the two issues separately or together, and today an expert on North Korea is saying the two could be directly linked with the drugs used to finance the weapons of mass destruction.

Louise Yaxley reports.

LOUISE YAXLEY: The Prime Minister, John Howard, says he and President George W Bush devoted quite some time to North Korea.

JOHN HOWARD: Well, we had a very lengthy discussion about North Korea. We didn't discuss economic sanctions, but we discussed the various aspects of the relationship between North Korea and many other countries.

It's fair to say that America's attitude towards North Korea is pretty well understood. It makes a great deal of sense. North Korea has been in clear and open breach of her obligations under the nuclear non-proliferation treaty.

LOUISE YAXLEY: But as the US and Australia discuss how to handle the Pyongyang regime's nuclear ambitions, Australia has another major concern over North Korea. 

It suspects the nation of attempting to smuggle in 50 kilos of heroin last month. A North Korean cargo ship was intercepted off the east coast last month, and its crew is in custody awaiting trial.

One man drowned off the Victorian coast, apparently trying to deliver the drugs; his death will be investigated by the Coroner. North Korea's ambassador was called in last week, and bluntly told by the Foreign Affairs Department of the concern.

Professor James Cotton of the Australian Defence Force Academy says there could be a link between the drugs and the nuclear weapons.

JAMES COTTON: And indeed the two issues may be related, because the North Koreans may be trying to raise money in part to finance their development of weapons of mass destruction.

But the issue suggests to me that if it is a regime-linked transaction, the people involved took such extraordinary risks that this shows they are desperate for revenue raising, and so perhaps our concern will not weigh in the balance against their need for money.

LOUISE YAXLEY: Professor Cotton says there's evidence North Korea's been involved in such drug smuggling to other countries.

JAMES COTTON: Well, over the years there have been a number of cases. Some defectors have reported that since 1992 there has been an official program to raise opium poppy crops. 

There was a ship, a North Korean ship in a harbour in Japan, in Hiroshima, that was found to be carrying Heroin. Several individuals who seemed to be linked to the regime were arrested in the rush of ferries carrying heroin a few years ago.

So there have been enough of these incidents for there to be a belief that the regime, or some parts of the regime, do actually engage in this kind of traffic. It is a matter of, of course, enormous concern.

LOUISE YAXLEY: And James Cotton says the evidence suggests this ship might have been sent by the regime.

JAMES COTTON: The fact that there was no legitimate cargo on the ship, the fact that the ship had apparently been modified for this purpose; all of these things point to a continuing program. But of course we have to wait until the court case before we can determine one way or the other.

LOUISE YAXLEY: James Cotton says while the nuclear issue and potential development of weapons f mass destruction is so grave it's been handled at the prime ministerial and presidential level, sending shipments of high-grade heroin can't be ignored.

JAMES COTTON: I would have thought, though, drug smuggling is such a serious matter, particularly in such quantities, that this should really be dealt with on its merits. The nuclear issue, after all, has been running since the early 1990s and involves, as I say, major global questions. So it would be prudent to keep them separate.

MARK COLVIN: James Cotton from the Defence Force Academy talking to Louise Yaxley.