EDITORIAL

Decisive round begins

With almost all political parties having finalised their candidates for the coming Assembly elections in five states, the contest has entered the decisive month. Time for lobbying for nominations in Delhi, Rajasthan, Madhya Pradesh, Chhattisgarh and Mizoram is nearly over. The scene shifts to the actual battle ground. Behind-the-scene strategy sessions are also coming to an end. They have so far yielded two notable developments. One is that the Bahujan Samaj Party has made it clear that its prime target is the Bharatiya Janata Party and the other is the merger of the Samata Party and the Janata Dal (United). The BSP’s changed attitude towards the BJP is a direct fall-out from the drama in Uttar Pradesh leading to the exit of Ms Mayawati from the office of the Chief Minister. She has, moreover, felt humiliated with the Central Bureau of Investigation rattling the skeletons in her cupboard in the wake of the Taj heritage corridor scam. Although the BSP has split in Madhya Pradesh and Rajasthan, it is unlikely to cause any major setback to Ms Mayawati. Any party centering around an individual remains as strong or weak as that particular leader is. This has been the experience...........more

Better late than never

This should have come much earlier. That is the Union Government’s draft notification requiring urban property developers to secure environmental clearance for large projects. For J&K, this has much....more

Reconstruction politics
and Indo-Pak rivalry

By Fazal Mehmood

NATO, which has the responsibility for the International Security Force (ISF) in Kabul, will soon move to main provincial centres and other areas in the interior. With that, the external security presence in Afghanistan will get a new edge. The ISF, the UN-mandated multinational force, was earlier headed by one of the constituents........more

Vajpayee's overgenerosity
Musharraf's obduracy

By J N Raina

India’s fresh peace overtures to break the logjam of wretched relationship of sorts with Pakistan seem to have hit the hay. Soon after Prime Minister Atal Bihari Vajpayee made a dramatic announcement on the eve of Diwali, offering a 12-point peace package — including the most ambitious one to start a bus service on the highly sensitive route between Srinagar and Muzaffarabad.......more

Economy bounces back

By K R Sudhaman

None knows what Finance Minister Jaswant Singh does in his office. But all that one knows is that he sits late, works on Saturdays and listens to music while at work. When he assumed office he had declared that he wants to be as transparent as possible, no Finance Minister in the recent past..........more

EDITORIAL

Decisive round begins

With almost all political parties having finalised their candidates for the coming Assembly elections in five states, the contest has entered the decisive month. Time for lobbying for nominations in Delhi, Rajasthan, Madhya Pradesh, Chhattisgarh and Mizoram is nearly over. The scene shifts to the actual battle ground. Behind-the-scene strategy sessions are also coming to an end. They have so far yielded two notable developments. One is that the Bahujan Samaj Party has made it clear that its prime target is the Bharatiya Janata Party and the other is the merger of the Samata Party and the Janata Dal (United). The BSP’s changed attitude towards the BJP is a direct fall-out from the drama in Uttar Pradesh leading to the exit of Ms Mayawati from the office of the Chief Minister. She has, moreover, felt humiliated with the Central Bureau of Investigation rattling the skeletons in her cupboard in the wake of the Taj heritage corridor scam. Although the BSP has split in Madhya Pradesh and Rajasthan, it is unlikely to cause any major setback to Ms Mayawati. Any party centering around an individual remains as strong or weak as that particular leader is. This has been the experience in our political culture so far. The BSP is no exception. Efforts made by the party in the direction of giving political voice to the oppressed sections of society have, doubtless, earned for it a wide base. They have not thrown up many powerful leaders, however. As a result, Ms Mayawati is the sole main vote-catcher for the BSP after Mr Kanshi Ram who is ailing. Her charisma among the party’s traditional followers is likely to outdo the maneouvres of her friends turned foes. At the same time, this will be nursing an illusion if one presumes that Ms Mayawati will do wonders. A greater possibility is that more than gaining itself, the BSP will end up working to the advantage of the Congress. Ms Mayawati’s own utterances leave no doubt that she is prepared for such an eventuality should this help her carry out her latest plans to put the BJP in its place. This gives some hope to the Congress in MP where, all reports have indicated, that the Digvijay Singh Government is facing the heat. This should also stand the party in a good stead in Rajasthan. The BSP has come a long way after having made its electoral debut in the historic 1983 Assembly polls in Jammu and Kashmir. In its earlier ‘avtar’ as the Dalit Shoshit Samaj Sangharash Samiti, popularly nicknamed as the DS-4, it had then done well enough to get noticed as an emerging political force at the national level.

Admittedly, the merger of the Samata Party and the JD (U) does not dramatically alter the existing election scenario. Neither of them can claim to have much influence in four states going to the polls in the Hindi belt. In Mizroram, as in the other north-eastern states, the political fortunes tend to swing at times according to the whims of the politicians ruling at the Centre. Viewed in this context, Defence Minister and National Democratic Alliance convener George Fernandes can be a reckonable factor in the tiny State. The merger of the two parties would have an impact in Bihar which, however, is not going to the polls this time. This could gradually become a rallying-point for those forces in the State in the long run which are opposed to Rashtriya Janata Dal supremo Laloo Prasad Yadav outside the spectrum of the BJP and the Congress. Incidentally, Mr Yadav and the Congress appear to have come closer in the recent days. To counter BJP’s star-studded campaign --- the party proposes to field quite a few film stars --- Mr Yadav may come to the rescue of the Congress during electioneering in the run-up to the polling on December 1. In his own way, he has his fan following among the electorate.

The aftermath of these elections holds the key to quite a few possibilities that may influence politics at a broader level. If the BJP does well, it would gain from the Samata-JD (U) merger which would strengthen its as the leader of the NDA government. However, if the party is unable to wrest at least two of the States from the Congress in the mainland, it might find the new combine becoming a headache. In that event, nobody can rule out the chances of the reunited JD (U) and other like-minded parties exploring the formation of a third front. Quite a few splinter groups of the erstwhile Janata ideology, like Mr Mulayam Singh Yadav’s Samajwadi Party and the JD (S) of former Prime Minister H.D. Deve Gowda, are still floating around in their shrunken territories. They may not be averse to the idea of rejoining with an eye on the next year’s Parliamentary polls. Of course, if the BJP rides back to power in two or more states, its present partners will dread the very thought of moving out of its favour. The party to worry in that case should be the Congress. Not only its stock would take a severe knocking, it would have also to contend with a more recalcitrant Nationalist Congress Party. It should not, therefore, surprise anyone that the present elections are being described as a semi-final. This is because no way the build-up to the final in the form of the 2004 Lok Sabha elections can be immune from its impact.

Better late than never

This should have come much earlier. That is the Union Government’s draft notification requiring urban property developers to secure environmental clearance for large projects. For J&K, this has much relevance. The sorry state of the Dal Lake and Jhelum is a telling example of the havoc caused by the dumping of untreated sewage into the rivers. Although one is not quite sure whether the notification can be made applicable to the existing projects around the water bodies in the State, this, nevertheless, gives a welcome idea of what is ought to be done. In the same context, one can’t also overlook the increasing number of haphazard constructions on either side of the Tawi. The notification provides that developers of building projects for more than a thousand people, or those that will produce more than 50,000 litres of waste every day, or that will cost more than Rs 50 crores to build must obtain the prior approval of the Ministry for Environment for determining their impact on environment. The purpose of the environment impact assessment (EIS) is to ensure effective sewage disposal system and necessary open space for the residents to breathe fresh air. In the case of the smaller cities, the norms can perhaps be significantly lowered to suit their requirements. In Jammu, Srinagar or Leh, for instance, a large number of hotels and guest houses have come up in lanes and bylanes. On paper at least, there is no doubt that they would be having all the necessary documents justifying their construction legally. Suspicion, nevertheless, exists whether they have a proper disposal system. The majority of them has just been converted into hotels by making alternations in the old structures. Most of them, particularly in Jammu city, don’t have any open, environment-friendly space. The latest notification is, evidently, meant for metropolitan cities and big State capitals. That should not be the reason to deny its benefits to equally deserving but small urban areas. Its objective would be well achieved if it is fairly implemented.

Reconstruction politics and Indo-Pak rivalry

By Fazal Mehmood

NATO, which has the responsibility for the International Security Force (ISF) in Kabul, will soon move to main provincial centres and other areas in the interior. With that, the external security presence in Afghanistan will get a new edge. The ISF, the UN-mandated multinational force, was earlier headed by one of the constituents, on a rotational basis but, later, its charge was given to NATO to ensure continuity. Its internal decision which, surprisingly, has not attracted media attention in India is expected to reach the implementation stage soon, after it receives specific authorisation by the UN and the names of the countries willing to contribute their troops for expanded operations are known. But, Afghanistan’s two immediate neighbours have not joined the ISF. While, Pakistan has its own political compulsions, but India is engaged in developing the basic infrastructure of the strife-torn country.

Here the two countries are engaged in an unacknowledged bid for primacy in their bilateral relationship with Kabul. For the moment, India seems to be winning this new version of the great game effortlessly. The warmth for India is visible and palpable, both among the people and the Government, leaving Pakistan to cope with the bitter legacy of its long and tortuous involvement in Afghanistan.

India has had a long history of backing both militarily and politically, the Northern Alliance, whose key members are now in positions of power in the Hamid Karzai Government. Without the problems of a contiguous border, India has been able to reap the rewards of being a neighbourhood friend. The goodwill that has seeped into public consciousness over the past several decades has been cemented with India’s no-strings-attached aid package to Afghanistan after the Karzai Government took over. Pakistan suffers from the constant comparison.

Though the contribution of India and Pakistan to the process of reconstruction in Afghanistan is only a fraction of the international aid being poured into the country, their presence and role is certainly attracting international attention. Central to it is the proximity of both countries to Afghanistan. The relationship between India and Pakistan and their ties with Kabul are an important component in the issues relating to Afghanistan’s security and stability.

The Indian Ambassador to Afghanistan, Vivek Katju, says Pakistan is "no factor" and that "we don’t view Afghanistan through the prism of any third country." While Mr. Katju may be right in that India has never publicly raised any issue vis-à-vis Pakistan in Afghanistan, Islamabad’s sharp focus on New Delhi’s role has made it a factor nonetheless. The public interface during the Kabul visit of the Pakistan Foreign Minister, Khurshid Kasuri, last month was dominated by his comment on India’s role in Afghanistan. Mr. Kasuri claimed both were equal but added, "our [Pakistan’s] support is not as visible as buses going on the road nevertheless it has made a very basic and very immediate impact on the lives of the Afghans. Now the lesson therefore is that some things that you do should be visible." Pakistan, Mr. Kasuri said, did not feel it needed to score a point. May be wheat from Pakistan, he suggested facetiously, could be put in "bags of a kilo with Pakistan stamped on it."

India has opened consulates in Herat, Mazar-e-Sharif, Kandahar and Jalalabad, in addition to its embassy in Kabul–the cause of consternation to Pakistan. Islamabad’s earlier private protests to the Americans over this gave way recently to public charges against New Delhi on the grounds that its consulates were being used for anti-Pakistani activities. In private, Pakistani officials have even stated that India is using its consulates and officials based there to instigate local armed forces against the Pakistanis. The issue is more serious than that of pure political rhetoric. With an unstable and volatile border between Pakistan and Afghanistan, charges that India is instigating trouble against Pakistan have serious security implications with the potential of destabilising the ongoing operations against the remnants of the Al-Qaeda and the Taliban in Afghanistan. It is a charge that has received short shrift from the Karzai Government.

"It is for India and Afghanistan, and not for any third country to decide the level and nature of Indian diplomatic presence," says Mr. Katju. Describing the allegations in the Pakistan media as "utter rubbish," he emphasise that Indian consulates are acting completely in accordance with international norms and will continue to do so.

The Afghanistan Foreign Minister, Dr. Abdullah Abdullah, echoes the sentiment, saying the activities of the Indian consulates "are in the limits of their duty as consulates in accordance with international norms and principles." He adds that sometimes suspicions in relations between different countries are reflected on Afghanistan and it is something the country wishes to overcome.

Pakistan continues to block the transport of Indian goods through its territory even though it allows Afghanistan to send its goods to India. This has severely limited the trade opportunities between India and Afghanistan as all the goods have to be routed through Iran or airlifted by Ariana’s biweekly flights, an expensive proposition either way.

In fact, Pakistan’s unwillingness to allow Indian goods transit has also caused problems in the transit of material that India wishes to send as assistance to Afghanistan. Mr. Abdullah will not comment on this but says, "It is in the interest of the region that relations between both countries grow in the line of cooperation." It is Afghanistan’s wish, he says, that "grievances which exist between different countries will not be reflected towards us." Right now however, the sentiment remains a fond hope. INAV

Vajpayee's overgenerosity Musharraf's obduracy

By J N Raina

India’s fresh peace overtures to break the logjam of wretched relationship of sorts with Pakistan seem to have hit the hay. Soon after Prime Minister Atal Bihari Vajpayee made a dramatic announcement on the eve of Diwali, offering a 12-point peace package — including the most ambitious one to start a bus service on the highly sensitive route between Srinagar and Muzaffarabad (in Pakistan-occupied Kashmir)— it was expected that immediately thereafter, there would be a quid pro quo from our petulant neighbour. But strangely enough, this latest offer has caused hay fever in Islamabad.

But Pakistan’s mixed reaction, coming as it did after a week, under US pressure, and its Kashmir-centric counter proposals, have belied the hope for rapprochement of relationship between the two countries.

The counter proposals concerning the Srinagar-Muzaffarabad road are spiteful and evil-minded. Accepting the Indian proposal in ‘principle’, Pakistan has viewed the opening of the road with suspicion; inter alia suggesting that the United Nations should issue travel documents and monitor the checkpoints on the route. Pakistan has feared that opening of the road will ‘legitimise the existence of Jammu and Kashmir as an integral part of India’.

The most, obnoxious part of Pakistan’s proposal is what it said: "assistance for widows, rape victims and those affected by various operations launched by the (Indian) securities agencies". Pakistan has also suggested 100 scholarships for graduate and postgraduate students from Kashmir in Pakistan and treatment of disabled Kashmiris.

Pakistan’s Foreign Secretary Riaz Khokhar has reiterated that Kashmir is the ‘core’ issue and its resolution is essential for peace. He also described Kashmir as a ‘cancerous and poisonous issue.’ But the Indian reaction is going to be harsh and tough for Pakistan’s reference to alleged ‘rape’. India has already ruled out direct talks with Islamabad on Kashmir until cross-border terrorism is ended.

New Delhi’s offer, made simultaneously along with the 12-point peace package, deputing Deputy Prime Minister L K Advani to hold talks with the separatist Hurriyat Conference leaders, has been generally welcomed in the Valley, but as expected, the offer has been rejected by the Jamaat-i-lslami leader Syed Ali Shah Geelani, leading another faction of the Hurriyat. He has even sought UN intervention to resolve the Kashmir tangle.

The Hurriyat Conference had for long been demanding to discuss the issue with political leadership, rather than talking to a retired bureaucrat. The Hurriyat has now been formally invited for talks as demanded. Whether the moderate HC leadership will succumb to the feelers as expected, from Pakistan, is to be seen.

Not only the initial response from our hostile neighbour was lukewarm, but mercenaries-who have been assigned a lucrative job of killing innocent people— made a bold vain bid to blow up the Shalimar Express near Jammu on October 26, significantly on the eve of the holy month of Ramzan. Six bogies of the train got derailed due to the impact of the massive bomb blast. The passengers had a providential escape. May be, it was meant as a Ramzan moon gift in response to Vajpayee’s Diwali gift of peace offer. It seems to be a tactical move to derail yet another peace process initiated by India, to enhance people-to-people contact in a big way.

The tragic train incident was followed by series of bomb blasts, IED explosions, encounters, and ambushes, indicating the level of large-scale infiltration from across the border, giving lie to the fact that Pakistan is interested in peace. The only tangible response from Pakistan, after initial dithering to India’s peace programme was made available five days after India’s ‘tactical’ peace offer, saying it would soon give a 'robust and constructive’ reply; and the reply has finally come but as a naught.

However, Pakistan did not back off completely and it expressed its eagerness to continue peace efforts. After all, there are saner elements in Pakistan, but alas, they are helpless. Pakistan was candid enough to convey that its counter proposals could not be released on October 27, as was hoped earlier, because ‘they (proposals) were yet to be cleared by General Pervez Musharraf.’ How could he rely on his own establishment? He knows acceptance of the Indian proposals will give him a phyyric victory. Perhaps Musharraf might be planning for another Kargil.

October 27 is significant. It was on this day in 1947 that Indian troops had landed in Srinagar, soon after Jammu and Kashmir’s accession with India, to drive away Pakistan tribal raiders, who had at Pakistan’s behest penetrated deep into the Valley, indulging in mayhem.

Earlier, on this day, almost the entire Kashmir valley would remain shut down since the eruption of militancy, but this year there was hardly any response to the separatists’ call for protest rallies. The Hurriyat Conference has got divided. Firebrand leader Syed Ali Geelani has been isolated.

Again coming to the brass-tacks, Pakistan has an ego problem, and genuinely so, at least this time. Pakistan’s Foreign Office spokesman Masood Khan blamed India’s Foreign Affairs Minister Yashwant Sinha for his diatribe that the Indian proposals were a move to ‘corner’ Pakistan, aimed at winning the international opinion in India’s favour. But was it necessary to dilute the significance of peace efforts? That so at ab initio.

It is unnecessary to believe that Pakistan would be forced to kow-tow by utterances like ‘ Indian proposals were a ploy to win the world opinion’. It is wrong to presume that the international opinion will get sliced in favour of India by such perceptions. India need not bother about the world opinion, which is divided on the issue of global terrorism because of double standards adopted by the U S.

India’s problem lies essentially in the removal of barriers between the people of the two countries. Peace proposals are basically aimed at confidence building measures. Neither the peace initiative could be termed as the ‘last one’.

Pakistan’s grouse is that India did not include its offer to resume a dialogue on Kashmir.’ India has simultaneously reiterated its rejection of Pakistan offer to resume substantive and sustained dialogue to resolve all issues, notably the Kashmir issue’, the Pakistan spokesman has said. But Pakistan has been time and again told to desist from abetting terrorism in Kashmir before meaningful talks could be held.

Pakistan is piqued as it feels many of the proposals have been ‘recycled’ from those made by Mir Zaffarullah Khan earlier. Pakistan has also taken serious exception to Defence Minister George Fernandes’ statement that this was the last chance for peace.

'The option he has given is an oxymoron . You cannot negotiate peace at gunpoint’, the spokesman has said. The point is if Jammali believes his proposals have been recycled, he should have taken no time in welcoming the Indian move. Vajpayee has however, redoubled his zeal to continue the peace process and Gen Musharraf cannot escape, as he has been put on the litmus paper test. He knows people-to-people relationship if strengthened will be detrimental to his interests.

The proposal to open the route between Srinagar and Muzaffarabad is in fact the most covetous part of the 12-point peace programme, aimed at enhancing peace in the subcontinent, which is bound to help finally in the resolution of the Kashmir issue amicably. It was the lifeline between the Valley and the rest of subcontinent before the partition. It is also called Rawalpindi road. Late Kashmir leader Sheikh Abdullah and many like-minded opposition leaders in the country had frequently been demanding to open the road. And make the borders soft. Even Jammu and Kashmir Chief Minister Mufti Mohammad Sayeed has pleaded for its opening now, unlike in the past.

However, the BJP and other parties have vehemently opposed the move and expressed concern about it, on the ground that it would open flood gates for terrorist activities. Pakistan does not bother now, because the terrorists are otherwise infiltrating into the Valley by other means. India has taken a great risk and might have thought hundred times before including this peace point in the 12 point package. Pakistan has rejected the proposal, to Kashmiris’ chagrin.

On-again, off-again initiation of unilateral peace offer with Pakistan has been long- winded, often resulting in heinous militant acts. Such acts make it clear that Pakistan is uninterested in issues other than Jammu and Kashmir, one-third of which has been illegally grabbed by Pakistan since the tribal invasion shortly after our independence from the British yoke.

If Pakistan thinks Kashmir is the core issue for its survival, so it is for India too. Vajpayee had made it clear a few days before announcing his peace,, that while talking to Pakistan on Kashmir at some stage, it will be the occupied part of Kashmir, which will come under full debate. Pakistanis are being fed on false notion that if India agrees to talk about Kashmir, the entire state will be handed over to them on a platter. India has equally miffed the Islamic countries for raising the bogey of self- determination for the people of Kashmir. (Syndicate Features).

Economy bounces back

By K R Sudhaman

None knows what Finance Minister Jaswant Singh does in his office. But all that one knows is that he sits late, works on Saturdays and listens to music while at work. When he assumed office he had declared that he wants to be as transparent as possible, no Finance Minister in the recent past has been as opaque as Jaswant Singh.

Journalists in particular have been kept away from his office, making it difficult to even gauge what is going on in his office.

His opaqueness apart, the economy has started looking up, perhaps he is luckier than his predecessors and economic indicators show upward trend after slower GDP growth in the last few years.

Apparently, agriculture has done the trick. With good monsoon this year, North Block, various research institutions are elated about the prospects of a double digit growth in the farm sector in over a decade. Backed by industrial recovery and encouraging growth in the services sector, the economy is projected to grow by at least 6.5 per cent and CMIE and NCAER have forecast over 7 per cent growth. Finance Ministry's Chief Economic Advisor Ashok Lahiri has even gone to the extent of saying that it was imminently possible that the economy posts a GDP growth of upto 8 per cent this fiscal.

With strong economic fundamentals like comfortable foreign exchange reserves of over 87 billion dollars, inflation hovering at less than five per cent, softer interest rates and buoyant stock markets backed by good monsoon after worst-ever drought in decades last year, the economy is certainly likely to do well. But the question is whether all these are happening because of reforms or cyclical factors.

Jaswant Singh must be a happy man as all these have happened in an election year and that too in his tenure as Finance Minister but the fact remains that there is general feeling among the think-tank that the reform process has slowed down during his era and that if he does not press of the accelerator it would become dificult to sustain the high growth in the economy and agriculture.

The main hurdle is infrastructure bottlenecks and unless Government takes some bold initiatives, the encouraging signs in the economy would not get translated into high growth over medium and long-term. The country has witnessed double digit growth in agriculture in the late eighties when it touched up to 14.5 per cent but it witnessed a major economic crisis in 1991 when the Government had to pledge its gold reserves to ensure there was no default in the repayment of its loans to multilateral financial institutions.

Similar situation might not arise now because of burgeoning foreign exchange reserves making the balance of payment situation comfortable and the resilience of the economy to withstand crisis situation. But the fact remains, the country could ill afford to be content with a growth rate of 4.5 per cent if cherished goal of Prime Minister Atal Bihari Vajpayee to be a developed country by the year 2020 is to be achieved.

Poverty could be eradicated only if the country has a sustained growth of 9-10 per cent annually in the next 15-20 years. The key to it is more reforms, freeing the economy from the shackles of bureaucratic control, infrastructure bottlenecks and moving away from populism for the sake of electoral politics.

Somehow all political leaders swear by reforms but when it comes to implementing them, they shy away fearing dire electoral consequences. For example, power sector reform, crucial to improve infrastructure, is painfully slow. Disinvestment has become a virtual non-starter.

One might now fully agree with the Government's policy on privatisation, which is directionless and some of the criticism valid. There is no rationale behind selling profit making PSUs which amounts to selling family silver to pay the grocer's debt. But the policy cannot be wavered as it sends wrong signals derailing reforms. Once decided it has to be taken to the logical conclusion. Stability in policies is crucial to win investors' confidence.

Lack of stability and transparency in Government policy has been the bane of the Indian economy, shooing away investors particularly foreign. That is why India is far behind China in the race. After 12-13 years of reforms, we still attract FDI in single digit while China attracts annually much more than what India attracted in all the 12 years. The annual FDI flow is over 50 billion dollars in China for the last several years.

The reasons are well known-quick decisions, adequate infrastructure and stability in policies. All these are lacking in the country.

Despite all these negative factors, the salient feature is that economy has started looking up this year, providing the necessary springboard to jump start the economy. This is a one-time opportunity and Government should cash in by pushing the unfinished reform agenda so that the burst in growth takes place.

There are three or four areas on which Government should concentrate. Apart from sustaining the agriculture growth, it has to reform taxes to improve tax-GDP ratio and rein in fiscal deficits besides reforming the banking sector to ensure adequate flow of resources in the infrastructure sector.

Time is ripe for moving on to higher growth trajectory. But the question is whether Government would take bold decisions, particularly in the forthcoming budget, considering the general elections in 2004? Jaswant Singh appears to be bent upon not sharing his thoughts by maintaining his stoic silence and keeping journalists at an arms length. The North Block is increasingly becoming opaque even as it swears to become more transparent in decision-making. Whatever be his strategy, one only hopes it pushes forward reforms to take the economy to higher growth pedestal. PTI Feature

 
 



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