2A -The Michigan Daily - Monday, February 4, 2002 NATION/WORLD Rival Afghan tribes agree to cease-fire GARDEZ, Afghanistan (AP) - Afghan and United Nations mediators, joined by American officials, extracted a conditional cease-fire agree- ment yesterday from two rival tribal warlords in an eastern Afghan town that was rocked by two days of fighting last week. With factional fighting threatening government efforts to assert control throughout the country, the delegation hopes to avert more tribal clashes in Gardez, a town of about 40,000 people that is, the capital of Paktia, a strategic border province. U.S. forces want to ensure that al-Qaida fugitives cannot flee through Paktia's border passes into neighboring Pakistan. On Wednesday and Thursday, soldiers for warlord Bacha Khan exchanged artillery fire with forces loyal to Gardez's tribal council, or shura, which bitterly opposes Khan's appoint- ment as provincial governor. At least 61 people were killed. Just before meeting the mediators, Khan said he was ready to fight on to assert his rights as governor - an appointment that was initially self-declared, but later sanctioned by the govern- ment of interim leader Hamid Karzai. "I am officially the governor of Gardez. I am ready for more fighting," Khan said, gesturing toward 200 of his soldiers standing near a mud- walled outpost outside of Gardez, where the dele- gation traveled to meet him. "You can see my fighters." Shura leaders say Khan is corrupt and brutal and have appealed for another governor. During a break in the talks, Khan said he had agreed to a request by mediators to hold off until Friday on any new assault on Gardez, 60 miles south of the Afghan capital, Kabul. But Khan said he would resume the attack if he was not satisfied with the pace of prisoner exchanges and return of the bodies of slain fighters. NEWs NBRIEF Congress finds Enron scandal 'criminal' Members of Congress pointed to possible criminality in the Enron Corp. scandal yesterday, saying the company manufactured income out of its off-the-books deals that led it to financial disaster. On the eve of congressional testimony by former company chairman Kenneth Lay, a new review of Enron disclosed that in at least two cases, key documents could not be found that would show which top executives signed their names to the controversial deals that brought about the company's downfall. "We're finding what may clearly end up being securities fraud," said House Ener- gy and Commerce Committee Chairman Billy Tauzin. "Fraudulent, phony attempts" to move debt out of the company "in violation of current accounting practices." Tauzin (R-La.) said that "we found instances where some employees were invited in on the deals ... for a small investment of $6,000 ... six weeks later ... that $6,000 investment became $1 million." Sen. Byron Dorgan said that in one failed deal, an Enron partnership named Braveheart borrowed $110 million from a Canadian bank and the company booked the money as income. "They were doing almost no business, but they manufacture income from a bank loan," said Dorgan, who appeared with Tauzin on NBC's "Meet the Press." WASHINGTON Budget cuts result in loss for health care President Bush's new budget will propose $591 billion in tax cuts over the next decade, even as he battles to turn federal deficits back into surpluses, documents obtained Saturday by The Associated Press show Though a new round of tax reductions is not a major White House priority this year, the numbers show those cuts would claim a large share of dwindling federal surpluses. The documents show that Bush's $2.13 trillion budget for next year, to be released today, will draw upon savings from Medicaid and a health-insurance program for low-income children. It also will propose raising money by leasing mineral drilling rights in Alaska's Arctic National Wildlife Refuge, which Congress blocked last year. While shedding little light on specifics, the documents confirm the crunch many programs face next year in Bush's plan to contain a deficit he projects at $80 billion. The figures show that spending for all programs except automatically paid bene- fits would grow from $688 billion this year to $746 billion next year, or 9 percent. 4 AP PHOTO Haji Saifullah, an ethnic Pashtun fighter loyal to tribal leader and chief of the Gradez council, holds his AK-47 rifle as the contrail of a U.S. warplane can be seen in the background. False reports produce no " a r w iw leadsto KARACHI, Pakistan (AP) - With leads into Islamic extremist groups running dry, Pakistani investigators said yesterday they were expanding their search for the kidnappers of Wall Street Journal reporter Daniel Pearl into Karachi's murky criminal underworld. The investigation has been com- plicated because of several e-mails purportedly from the kidnappers which police now believe were missing journalist hoaxes. Late yesterday, police tions Friday claimed that Pearl had searched an eastern Karachi neigh- been killed and his body dumped in borhood from which e-mails a Karachi cemetery. Police combed believed genuine may have been cemeteries Saturday, but found no sent. trace of Pearl and regard the claim Investigators still consider Islam- as a hoax. ic extremists, especially Harkat ul- The discovery in Karachi of a Mujahedeen, as the most likely light-skinned man in his late 30s suspects in the Jan. 23 abduction of led to initial media reports yester- Pearl, the newspaper's South Asian day that the body was Pearl's, but bureau chief. police said the corpse was that of An e-mail sent to news organiza- an Iranian. 0 0 6 L_ _ _ 1 JERUSALEM Arafat denounces Palestinian terrorist Yasser Arafat and Ariel Sharon each took unusual steps yesterday: the Pales- tinian leader pledged to stamp out Pales- tinian "terrorist groups," while the Israeli leader announced he would con- tinue cease-fire talks he began last week with senior Palestinians. Arafat, in an article in The New York Times, employed some of the strongest language he has ever used to denounce Palestinian militants who carry out bombings and shootings against Israeli civilians. "These groups do not represent the Palestinian people or their legitimate aspirations for freedom," Arafat wrote. "They are terrorist organizations, and I am determined to put an end to their activities." Sharon said he would hold more cease-fire talks when he returns from a meeting this week with President Bush. NASHVILLE Voters hopin for Gore in '04 eions A handmade sign propped on an easel in the middle of the emptying ballroom after Al Gore spoke sim- ply read "Gore 2004." . The question was on the lips of nearly everyone who shook hands, hugged and posed for pictures with the man who narrowly lost the 2000 presidential election. "Are you going to run again?" they asked, and "I hope you're in the race, Al," they said. The response varied little: "Well, we'll see. I haven't decided yet." But Gore, who is still wearing his post-election beard, was certainly lay- ing the groundwork with his "return to the national debate" speech Saturday night. The 2001 presidential candidate and former vice president held a $25-a-person fund-raiser for the Tennessee Democratic Party. CHICAGO Pediatric Academy supports gay parents The American Academy of Pediatrics has endorsed homosexual adoption, say- ing gay couples can provide the loving, stable and emotionally healthy family life'that-children need. The new policy focuses specifically on gaining legally protected parental rights for gay "co-parents" whose part- ners have children, but it also could apply to gay couples who want to adopt a child together, said Dr. Joseph Hagan Jr., chairman of the committee that wrote the policy. Citing estimates suggesting that as many as 9 million U.S. children have at least one gay parent, the academy urged its 55,000 members to take an active role in supporting measures that allow homosexual adoption. "There's no existing data to support the widely held belief that there are neg- ative outcomes" for children raised by gay parents, Hagan said. - Compiled from Daily wire reports. The Michigan Daily (ISSN 0745-967) is published Monday through Friday during the fall and winter terms by students at the University of Michigan. Subscriptions for fall term, starting in September, via U.S. mail are $105. Winter term (January through April) is $110, yearlong (September through April) is $190. University affiliates are subject to a reduced subscription rate. On-campus subscriptions for fall term are $35. Subscrip- tions must be prepaid. The Michigan Daily is a member of The Associated Press and The Associated colle- giate Press. 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