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Armenian Reporter - 10/13/2007 - front section

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  • Armenian Reporter - 10/13/2007 - front section

    ARMENIAN REPORTER
    PO Box 129
    Paramus, New Jersey 07652
    Tel: 1-201-226-1995
    Fax: 1-201-226-1660
    Web: http://www.reporter.am
    Email: [email protected]

    October 13, 2007 -- From the front section

    To see the printed version of the newspaper, complete with photographs
    and additional content, visit www.reporter.am and download the pdf
    files. It's free.

    1. House committee passes Genocide resolution (by Emil Sanamyan)
    * Congressional leaders overcome unprecedented opposition
    * House vote pending

    2. Catholicos Karekin's first week in U.S. includes a prayer to open Congress

    3. From Washington, in brief (by Emil Sanamyan)
    * U.S. security officials flock to the Caucasus
    * Europe's Caucasus envoy speaks of "broken region"
    * Russia's Putin hints at staying in power beyond 2008
    * Georgian president's challenger recants, leaves politics

    4. In turnaround, California Rep. Jane Harman joins effort to defeat
    Genocide resolution

    5. Excerpts from the debate on House Resolution 106

    6. Genocide resolution looms large over Karekin II's visit to
    Washington (by Antranig Dereyan)
    * On the Road with Catholicos Karekin II

    7. Two Iraqi-Armenian women killed by security guards (by Emil Sanamyan)

    8. Armenia's foreign policy is being tested, but does not need to
    change, says Oskanian at Tufts (by Ara Nazarian)

    9. An exclusive interview with Vahe Aghabegians, executive director of
    the Armenia Fund (by Maria Titizian)
    Sidebars:
    * The measure of success
    * History of the Armenia Fund
    * Tavush Khashtarak Cluster
    * Vahe Aghabegians

    10. Market update (by Haik Papian)

    11. Living in Armenia: Searching for Camelot (by Maria Titizian)

    12. Letter: On locking out the chief donor (by Shaghig Mankerian)

    13. Editorial: Thank you!

    14. Editorial: Turkey threatens the U.S.

    ******************************************** *******************************

    1. House committee passes Genocide resolution

    * Congressional leaders overcome unprecedented opposition

    * House vote pending

    by Emil Sanamyan

    WASHINGTON -- The Foreign Affairs Committee of the U.S. House of
    Representatives voted 27 to 21 on October 10 to send the Armenian
    Genocide resolution to the House floor and recommend passage.

    In an interview with PBS the next day, committee chair Rep. Tom
    Lantos (D.-Calif.) called the vote "a significant step in restoring
    the moral authority of U.S. foreign policy."

    Speaker Nancy Pelosi (D.-Calif.), a longtime supporter, again
    pledged to bring the resolution to a vote following the committee
    vote. "I don't have a date in mind, but it will [come to a vote]
    before the end of this session," Ms. Pelosi said in a briefing on
    October 11. The session is scheduled to end in late November.

    The vote came amid unprecedented lobbying against the resolution by
    President George W. Bush, his secretaries of state and defense, and
    senior U.S. military commanders, who citied Turkey's importance for
    U.S. military operations in Iraq.

    As in the past, Turkey's leaders hinted that they would retaliate
    against U.S. interests if the measure passes the House and unless U.S.
    helps Turkish interests in Iraq.

    The president's open involvement in opposing the resolution and
    Congressional leaders' determination to pass it brought the
    decades-long grassroots struggle for reaffirmation of the Armenian
    Genocide an unprecedented level of worldwide attention.

    * The cause

    For decades, the Armenian-American community and its allies have
    worked to educate their elected representatives on the facts and the
    legacy of the Genocide and urge the U.S. government to unambiguously
    condemn this crime against humanity.

    Most recently in 2000 and 2005 congressional resolutions passed in
    committees only to be blocked before reaching a vote in the House. In
    both cases, the U.S. administration (under Presidents Clinton and
    Bush) acceded to Turkish pressure and urged then-Speaker Dennis
    Hastert to suppress the measure.

    Last year, the Bush administration went as far as to sack its
    ambassador to Armenia for using the term genocide. In Turkey,
    references to the Genocide cost Turkish-Armenian journalist Hrant Dink
    his life, in an assassination plot linked to Turkish security
    officials.

    Although House Resolution 106 was first introduced just days after
    Mr. Dink's assassination, its consideration was delayed repeatedly,
    with opponents arguing that it would cause a nationalist backlash
    during elections in Turkey, where the public is already heavily
    anti-American and nationalist.

    But as the Turkish electoral season wrapped up and Congress returned
    into session, the congressional leadership began to deliver on its
    pledge to bring the resolution, which was by then backed by more than
    a half House members, to a vote.

    * The debate

    In the days since the committee on October 2 scheduled the vote, the
    president himself, the secretaries of state and defense and their
    deputies, in addition to Turkish leaders and a slew of hired
    lobbyists, called committee members to underline Turkey's warnings.

    In a statement made on the South Lawn of the White House hours
    before the Foreign Affairs Committee meeting, President Bush told
    reporters that "this resolution is not the right response to these
    historic mass killings [of Armenians]. Its passage would do great harm
    to our relations with a key ally in NATO and in the global war on
    terror." He urged a no vote on the resolution.

    Secretary of State Condoleezza Rice and Secretary of Defense Robert
    Gates were on hand to play up Turkey's importance to the U.S. war
    effort and argue that congressional recognition of the genocide would
    put U.S. soldiers at risk.

    "This is not to ignore what was a really terrible situation. And we
    recognize the feelings of those who want to express their concern and
    their disdain for what happened many years ago," said Ms. Rice. "But
    the passage of this resolution AT THIS TIME would indeed be very
    problematic for everything that we are trying to do in the Middle East
    because we are very dependent on a good Turkish strategic ally to help
    with our efforts," she continued.

    In a congressional briefing the next day, Ms. Pelosi was asked, "Why
    do it now?"

    The Speaker of the House said, "I have been in Congress for 20 years
    and for 20 years people have been saying the same thing that Turkey's
    strategic location [makes it a bad time for the resolution]. We are
    reiterating Americans' acknowledgement of the Genocide. . . . As long
    as there's genocide, there's need to speak against it."

    * The vote

    Mr. Lantos, the committee chair, is the only Holocaust survivor in
    Congress. He began the October 10 meeting outlining arguments for and
    against the measure.

    "We are not considering whether the Armenian people were persecuted
    and died in huge numbers at the hands of Ottoman troops in the early
    20th century," he said. "There is unanimity in the Congress and across
    the country that these atrocities took place. If the resolution before
    us stated that fact alone, it would pass unanimously."

    "The controversy lies in whether to make it United States policy at
    this moment in history to apply a single word -- genocide -- to
    encompass this enormous blot on human history," Mr. Lantos stated.
    After outlining the administration's arguments against the resolution,
    he added, "This is a vote of conscience, and the committee will work
    its will."

    A two-hour debate ensued. Nineteen members spoke in favor of
    passage, and 16 against. The remaining members of the 50-person
    committee, including Mr. Lantos, did not say how they intended to
    vote, leaving the outcome too close to call.

    Committee members Reps. Brad Sherman (D.-Calif.), Gary Ackerman
    (D.-N.Y.) and Ed Royce (R.-Calif.) led the arguments in favor. While
    many of the members who spoke in favor of passage called Turkey a
    good, loyal, or essential ally of the United States, Reps. Dana
    Rohrabacher (R.-Calif.), Albio Sires (D.-N.J.), and Joe Crowley
    (D.-N.Y.) harshly criticized Turkey for its tactics.

    The administration's lobbying succeeded in having two members, Reps.
    Mike Pence (R.-Ind.) and Ruben Hinojosa (D.-Tex.) and Delegate Luis
    Fortuno (R.-Puerto Rico) defect to the opposition; another past
    supporter Rep. Joe Wilson (R.-S.C.) did not show up for the vote.

    In the end 27 members, including Rep. Lantos, voted in favor,
    assuring the resolution's passage. While there are 27 Democrats and 23
    Republicans on the committee, the vote crossed party lines.

    Of the 27 members voting in favor, 19 were Democrats and 8
    Republicans. Of the 21 voting against, 8 were democrats and 13
    Republicans. Two Republicans were absent.

    The Jewish Telegraph Agency noted that seven of eight Jewish members
    of the committee voted in favor of the resolution, in spite of the
    heavy lobbying by Turkish leaders for the Jewish-American
    organizations to oppose passage.

    * The reaction

    The vote was welcomed by President Robert Kocharian and parliamentary
    leaders in Armenia, and criticized by their counterparts in Turkey.
    The Bush Administration expressed "regret" and a State Department
    spokesperson promised to continue to fight the resolution's adoption.

    The Armenian National Committee of America (ANCA), which in recent
    years has led community advocacy on the issue, said "the vote
    represents a meaningful step toward reclaiming our right -- as
    Americans -- to speak openly and honestly about the first genocide of
    the 20th century, free from the gag rule that Turkey has, for far too
    long, sought to impose on nation's elected officials."

    The U.S.-Armenia Public Affairs Committee (USAPAC) called the vote
    "a powerful statement of truth to power."

    The Armenian Assembly of America (AAA) welcomed the decision as "a
    historic day and a critically important step forward."

    All organizations thanked Speaker Pelosi, Chairman Lantos, the
    resolution's original co-sponsors Reps. Adam Schiff (D.-Calif.),
    George Radanovich (R.-Calif.), Frank Pallone (D.-N.J.) and Joe
    Knollenberg (R.-Mich.) and other members of Congress for their
    leadership, and said they looked forward to the prompt passage of the
    resolution by the House of Representatives.

    * The impact

    Even before consideration by the full House of Representatives, and
    in large part owing to President Bush's efforts to oppose it, the
    Armenian Genocide has received an unprecedented level of worldwide
    media attention. The story headlined reporting by virtually all major
    television channels and featured in every major newspaper around the
    world.

    While the coverage focused on the threats of Turkish retaliation,
    for many in the world it provided a first-ever opportunity to learn
    about the Armenian Genocide and its continued relevance today.

    At the same time the administration's lobbying has had an impact on
    some of the 226 co-sponsors of the resolution, making eventual passage
    more difficult.

    In the past, some Turkish members of parliament have also threatened
    to retaliate against Armenia by banning Armenian civilian flights over
    Turkey's territory and restricting Armenian citizens' entry into the
    country -- something Turkish governments have done in the past. That
    has not stopped the Armenian government from speaking in favor of
    passage.

    Opponents of the resolution have also argued that U.S. defense
    companies may suffer, as Turkey is increasingly turning to alternative
    sources of weapons and technology. They also suggest that Turkey may
    undermine U.S. military's logistical lines that run through Turkey.

    But U.S. military officials told the NEW YORK TIMES on October 12
    that any impact on U.S. military would be of a short-term nature and
    contingency plans have already been put in place to resupply U.S.
    forces in Iraq through Jordan and Kuwait.

    In his PBS interview, Mr. Lantos said that he "has much higher
    regard for the intelligence of our Turkish friends and for their sense
    of responsibility. I don't think they will [retaliate]. I think it is
    demeaning to the Turks [to think] that they will take such an
    irresponsible action."

    And Turkish officials appear ready to bargain. On a visit to
    Washington, Egemen Bagis, a senior member of Turkish parliament from
    the ruling party, suggested that Ankara may not retaliate against U.S.
    after all if Washington helps neutralize anti-Turkey Kurdish forces in
    northern Iraq, Eurasianet.org reported on October 11.

    ********************************************* ******************************

    2. Catholicos Karekin's first week in U.S. includes a prayer to open Congress

    NEW YORK -- The first week of Catholicos Karekin II's pontifical visit
    to the Eastern Diocese began with a clergy retreat on Long Island. The
    week culminated in Washington, where the Catholicos met with House
    Speaker Nancy Pelosi and delivered the opening prayer before Congress,
    on the very day that the Armenian Genocide resolution was scheduled
    for a vote by the House Foreign Affairs Committee.

    In between was a four-day sojourn in New England, where the region's
    large Armenian community had numerous opportunities to see and
    interact with their pontiff, including several youth gatherings, a
    Pontifical Divine Liturgy, a gala banquet, and a cornerstone-blessing
    ceremony for a new church.

    While in Boston Catholicos Karekin also met with figures from the
    region's ecumenical and interfaith communities, and made a pilgrimage
    to the New England Holocaust Memorial.

    In Washington he met with local parishioners as well as community
    leaders -- the latter during a dinner at the Italian Embassy -- and
    traveled to a Habitat for Humanity construction site, where he
    pronounced his blessing on both the project and the future occupants.

    The ARMENIAN REPORTER's correspondent Antranig Dereyan has been
    traveling with the pontifical entourage for the duration, capturing
    the tour's momentum as it progresses through the 16-stop itinerary,
    and giving an insider's perspective on some of its more informal
    moments. Our exclusive coverage begins in this issue.

    See item 6 below and the Community section of this newspaper.

    ************************************** *************************************

    3. From Washington, in brief

    by Emil Sanamyan

    * U.S. security officials flock to the Caucasus

    America's preoccupation with Iran continues to contribute to a steady
    stream of security officials visiting the Caucasus, particularly
    Azerbaijan, which shares both a land and maritime borders with the
    Islamic republic.

    On October 11 one of the coordinators of America's Iran policy,
    Deputy Assistant Secretary of Defense Debra Cagan was in Armenia,
    where she thanked its leaders for the country's contribution to the
    U.S. effort in Iraq and praised Armenian soldiers that she met there
    as "brave and courageous."

    Ten days earlier, on October 1, Ms. Cagan was in Azerbaijan to
    discuss military cooperation, Interfax reported. And during a
    September 11 meeting, Ms. Cagan reportedly "intimidated" a group of
    British parliamentarians with her rhetoric on Iran, London's DAILY
    MAIL claimed on September 29.

    On September 27 CIA Director Michael Hayden made a stopover in Baku
    while on a regional tour, to discuss, as Azerbaijani news agencies
    reported, a possible exchange of intelligence information and regional
    developments. Two House Intelligence Committee members visited
    Azerbaijan earlier this year.

    In mid-September deputy director of the U.S. Missile Defense Agency
    Brig. Gen. Patrick O'Reilly together with Russian security officials
    visited the Gabala early warning radar in Azerbaijan.

    Russia offered U.S. to use the Russian facility at Gabala as an
    alternative to building facilities in central Europe, which Moscow
    argues can be used against its interests (see this column in July 7
    ARMENIAN REPORTER). While U.S. officials have declined the trade off,
    they did not rule out other forms of missile defense cooperation with
    Russia.

    Meantime, a senior Azerbaijani official warned that possible U.S.
    use of the Gabala radar would pose a threat to Azerbaijan, RFE/RL
    reported on September 20 citing Turan and The AP. Deputy Foreign
    Minister Araz Azimov said that in such an event his country would need
    "security guarantees" from the United States. Fearing Iranian
    retaliation, Azeri officials have repeatedly said they would not allow
    U.S. to launch attacks from its territory.

    * Europe's Caucasus envoy speaks of "broken region"

    In October 2 testimony to the European Parliament's Foreign Relations
    Committee, the European Union's envoy for the Caucasus Peter Semneby
    said that "old-fashioned, ethnically exclusive" nationalism remains
    dominant in the region, RFE/RL reported the next day.

    Amb. Semneby said that Armenia, Azerbaijan and Georgia lack a common
    identity. "Given the rivalries between and inside the countries, this
    identity has to be larger than the region itself," he said. "An
    additional layer of identity, a European identity, is what comes to
    mind here."

    The European envoy said that such an identity could bring the region
    together based both on shared interests and common values.

    In Amb. Semneby's assessment Georgia was most advanced along the
    European path, but also the most vulnerable due to its conflicts with
    Russia. The EU, he said, had no intention of siding with Georgia in
    these conflicts and would continue to work with governments of
    Russian-backed South Ossetia and Abkhazia and in conjunction with
    Russia itself.

    In the Karabakh conflict, EU will focus on confidence-building
    measures to overcome the existing isolation between Armenians and
    Azeris. On domestic issues, Amb. Semneby noted that Armenia's May
    parliamentary elections marked an improvement on previous polls, while
    in Azerbaijan the human rights situation continued to deteriorate.

    * * *

    In recent weeks, the European Parliament Foreign Relations Committee
    has also been discussing an annual report on EU's relations with
    Turkey. The European Armenian Federation (EAF) criticized the removal
    of a passage on the Armenian Genocide from the draft report prepared
    by a Dutch Christian Democratic MEP and has advocated a reinstatement
    of the reference.

    EAF also reported on October 3 that the same Dutch party decided to
    withdraw a nominee for the European Parliament over his denial of the
    Armenian Genocide. Mr. Osman Elmaci, a Dutch citizen of Turkish
    descent, had already been disqualified to run in national elections
    for the same reason.

    * Russia's Putin hints at staying in power beyond 2008

    President Vladimir Putin said on October 1 that he would lead the list
    of the ruling United Russia Party in December parliamentary elections
    and may subsequently become prime minister, although, he has yet to
    make a final decision, Russian and international news media reported.

    Mr. Putin is completing his second four-year presidential term in
    March and is not eligible to run in that election. However,
    commentators in Russia and abroad have speculated that Mr. Putin could
    work to amend the constitution, shifting power to the post of prime
    minister, which he would assume.

    Or, alternatively, he could temporarily hand presidential power over
    to a loyalist only to run for the presidency again in an early
    election, thus obviating the ban on serving more than two successive
    terms.

    In a surprise move last month, Mr. Putin named a largely unknown
    bureaucrat Viktor Zubkov as prime minister (see this column in
    September 15 ARMENIAN REPORTER). In another surprise move he appointed
    the outgoing Prime Minister Mikhail Fradkov as director of foreign
    intelligence.

    For now, with a high public approval rating and unrivaled influence,
    future developments in Russia appear to be fully up to Mr. Putin.

    * Georgian president's challenger recants, leaves politics

    A former ally of the Georgian president who just days ago accused
    him of a slew of crimes and was subsequently arrested has now recanted
    and reportedly decided to leave politics, Georgian and international
    media reported.

    Irakly Okruashvili, a former influential member of President Mikhail
    Saakashvili's government, also posted a more than $6 million in bail
    money to be released from prison before his trial on corruption
    charges, to which he pled guilty. Georgian television showed an
    irritated Mr. Okruashvili as he said his allegations against the
    president were not true and that he himself was involved in criminal
    activity.

    Upon his release Mr. Okruashvili decided to leave politics, Civil.ge
    reported on October 11, having just set up an opposition political
    party. Still, political parties in opposition to the president said
    they would go ahead with the protests, claiming that Mr. Okruashvili
    gave his testimony under duress.

    The president's allies, meantime, claimed that the allegations
    against the president were part of a "conspiracy" against the country
    involving an influential businessman Badri Patarkatsishvili who has
    been at odds with the government for some time.

    ******************************************* ********************************

    4. In turnaround, California Rep. Jane Harman joins effort to defeat
    Genocide resolution

    LOS ANGELES -- Rep. Jane Harman, a co-sponsor of the Armenian Genocide
    resolution in the House of Representative, quietly sent a letter dated
    October 3 to Rep. Tom Lantos (D.-Calif.), chair of the House Foreign
    Affairs Committee, urging him to withdraw the resolution from
    consideration. The Armenian National Committee of America (ANCA)
    obtained the letter, after which Ms. Harman published it on her
    website.

    Ms. Harman, who represents Southern California's South Bay area,
    wrote that she had visited Turkey earlier this year and had met with
    the prime minister. She also invoked the name of the Armenian
    Patriarch, and "colleagues of murdered journalist Hrant Dink." As a
    result, she wrote, she has "great concern" that "this is the wrong
    time for Congress to consider this measure."

    The LOS ANGELES TIMES excoriated Ms. Harman's turnaround in an
    October 10 editorial, "Harman wobbles on genocide."

    Harman "is not shy about using the word genocide, and defends her
    flip-flop on grounds of exercising foreign policy 'realism,'" the
    TIMES wrote. "But 'realism' is not respected by denying reality, and
    friendship is best expressed through honesty, not the indulgence of
    irrational threats."

    In justifying her decision to oppose the resolution at this time,
    Ms. Harman wrote that passage "would be destabilizing" to
    Armenian-Turkish relations. In response to the same argument in a
    letter from former U.S. secretaries of state, Armenia's foreign
    minister, Vartan Oskanian, wrote on September 29, "Expressing concern
    about damaging a process that doesn't exist is disingenuous."

    On October 6, members of the Armenian Youth Federation confronted
    Ms. Harman at a rally for State Assembly candidate Warren Furutani,
    the local DAILY BREEZE reported. The activists chanted, "Hypocrite,
    liar, genocide denier."

    Zanku Armenian, a spokesperson for the ANCA said activists would
    follow the member of Congress around and the protests would continue
    "to the point where people are not going to want to invite her because
    she will be radioactive," the DAILY BREEZE reported.

    *************************************** ************************************

    5. Excerpts from the debate on House Resolution 106

    On October 10 the U.S. House Foreign Affairs Committee adopted House
    Resolution 106, the Armenian Genocide resolution, 27 to 21.

    Tom Lantos (D.-Calif.), Chair:

    "Today we are not considering whether the Armenian people were
    persecuted and died in huge numbers at the hands of Ottoman troops in
    the early 20th century. There is unanimity in the Congress and across
    the country that these atrocities took place.

    "If the resolution before us stated that fact alone, it would pass
    unanimously.

    "The controversy lies in whether to make it United States policy at
    this moment in history to apply a single word, genocide, to encompass
    this enormous blot on human history.

    "The leadership of the United States has been in universal agreement
    in condemning the atrocities but has been divided about using the term
    genocide.

    "On one occasion, President Ronald Reagan referred to, I quote, 'The
    genocide of the Armenians.'

    "But subsequent presidents George Herbert Walker Bush, Bill Clinton
    and George W. Bush have refrained from using the word, out of
    deference to Turkish sentiments on the matter.

    "All eight living former secretaries of state recently cautioned
    Congress that passage of this resolution could endanger our troops in
    Iraq and Afghanistan and damage efforts to promote reconciliation
    between Armenia and Turkey.'

    "Three former secretaries of defense, Carlucci, Cohen and Perry,
    this week advised Congress that passage of this resolution would have
    a detrimental effect on the operational capabilities, safety and
    well-being of our armed forces in Iraq and in Afghanistan.'

    "Members of this committee have a sobering choice to make. We have
    to weigh the desire to express our solidarity with the Armenian people
    and to condemn this historic nightmare through the use of the word
    genocide against that -- the risk that it -- it could cause young men
    and women in the uniform of the United States armed services to pay an
    even heavier price than they are currently paying. This is a vote of
    conscience and the committee will work its will."

    Brad Sherman (D.-Calif):

    "My colleagues, we are here again considering an Armenian genocide
    resolution. Our committee has done this three times in the last
    decade. And once the Judiciary Committee dealt with a resolution
    crafted to meet its jurisdiction.

    "We have never had a vote on the floor. And there are those that say
    that every time we discuss this resolution in committee, it's an
    irritant to our relationship with Turkey.

    "That's the best reason to vote for it here and on the floor.

    "Let us do this and be done with it. We will get a few angry words
    out of Ankara for a few days, and then it's over.

    "If this irritates our relationship with Turkey, let's stop the
    irritation by recognizing the truth.

    "Only one thing has changed, and that is a ferocious lobbying effort
    has been brought to this commit

    "The best example is the big battle in the French parliament. In
    2001, Turkey threatened France with a boycott of French goods. The
    result: France passed the genocide resolution and Turkey's imports
    from France skyrocketed, tripled as shown in this chart, in just a few
    years.I n addition, Turkey's bilateral trade increased significantly."

    Christopher H Smith (R.-N.J.)

    "The sad truth is that the modern government of Turkey refuses to
    come to terms with this genocide. I would note here that members of
    the House, Democrats and Republicans, are friends of Turkey. I
    consider myself a friend of Turkey.

    "But friends don't let friends commit crimes against humanity --
    genocide -- and then act as witting or unwitting accomplices in their
    denial after they have committed."

    Gary L. Ackerman (D-NY)

    "I would first like to recognize four people who have joined us
    today. Two of them are from my district, from the Armenian Home in
    Flushing, New York.

    "Perouz Kaloustian .She was born in 1909, Harput, Turkey, and is 98 years old.

    "Onorik Eminian, who was born in 1912 in Izmir, Turkey, and is 95.

    "Yeretzgeen Sirarpi Khoyan, who was born in Istanbul, Turkey.

    "Askouhy Jaliyan Vassilian, who was born in Ofra, Turkey, who is 93
    years old, and is from Mr. Pallone's district, who is with us today.

    "As their age would indicate, each is an Armenian survivor who have
    longed to be someplace like this, on this day.

    "We've indeed been told the timing is bad. In all the years that
    I've been here, the timing was always bad, and I can't think of a time
    when the timing is not going to be bad. But the timing was bad for the
    Armenian people in 1915, and nothing is going to change that either."

    Dan Burton (R.-Ind.):

    "I understand the tragedy that occurred. I feel very bad about these
    ladies who are here today and these gentlemen who are here today who
    lived through part of that. It's regrettable -- horrible -- that that
    happened.

    "But to come to an end like this right now jeopardizes the security
    of our interests -- our interests -- in the Middle East."

    Dana Rohrabacher (R.-Calif.)

    "Isn't it enough that hundreds of our service members may have died
    due to Turkish refusal to permit the 4th Infantry Division to transit
    through Turkey and enter Iraq at the beginning of the Iraq conflict?

    "Isn't that enough?

    "Year after year, we actively encourage democracy and free elections
    in that country. Year after year, we do everything we can to urge the
    military in Turkey to stay out of politics and remain in their
    barracks.

    "And perhaps -- perhaps, you know, if we have to bend over backwards
    in continually doing favors and continually -- and ignore the truth,
    well, maybe Turkey isn't ready for E.U. membership, if it demands that
    we base relationships on denying the truth.

    "Perhaps they are not as good as friends of the United States as
    they profess, if they are going to threaten to cut off American
    military troops, after they already committed an action that cost our
    lives of our soldiers."

    Donald Payne (D.-N.J.):

    "I think that we should stand up on principle. The question is
    whether genocide occurred or not. Ten years from now, if Turkey's
    turned against us, then it can pass? It doesn't change the facts. The
    facts are the facts, and that's what we should vote on, the facts."

    Ed Royce (R.-Calif.):

    "This resolution focuses singularly on the United States' record of
    the Armenian genocide.

    "The U. S. has long been a global leader in promoting human rights
    around the world. We all know this. But on this issue, the issue of
    the Armenian genocide, we lag behind.

    "The French, the Swiss, the Swedish, the Germans, even the Russian
    government, recognize the Armenian genocide.

    "As a global leader in human rights, it is imperative for the United
    States to stand on principle and recognize the annihilation of the
    Armenians as genocide. "

    Robert Wexler (D.-Fla.):

    "I speak in opposition to this resolution. I do so with deep
    reservations, given the importance of this resolution to Armenian-
    Americans.

    "I urge my colleagues to heed the words of Mesrob II, the spiritual
    leader of the Armenian Orthodox community in Turkey, who recently said
    the Armenian Genocide resolution pending in the United States Congress
    disrupts both the relations between Turkish people and Armenians in
    Turkey, and between Turkey and Armenia.

    "Mr. Chairman, passage of this resolution is not in the interest of
    our national security and will damage our longstanding relationship
    with our NATO ally Turkey."

    Eliot L. Engel (D.-N.Y.)

    "People suffered greatly. And the best way to move on to the future
    is by acknowledging what happened in the past.

    "And so, Mr. Chairman, with a heavy heart, I will vote for this
    resolution today. But I think that sometimes we really need to
    reconsider or consider whether some resolutions that we vote for can,
    indeed, be counterproductive."

    Tom Tancredo (R.-Colo.)

    "I do not know how deeply we need to look into the dustbin of
    history to find how this -- I guarantee this committee could spend all
    of its time that's allotted doing exactly that, looking into the
    dustbin of history at every imaginable wrong that has been committed
    by every imaginable or, in fact, real empire that has long since
    passed away.

    "Whether it is the Ottoman Empire, the Japanese Empire, the
    Austro-Hungarian Empire, or, indeed, the Roman Empire. I mean, we
    could go on for a long time condemning the atrocities committed under
    each of these regimes. It is not productive. It is not -- it is no
    longer productive to do so today."

    Howard L. Berman (D.-Calif.):

    "The International Association of Genocide Scholars [stated:] As
    crimes of genocide continue to plague the world, Turkey's policy of
    denying the Armenian Genocide gives license to those who perpetrate
    genocide everywhere."

    Mike Pence (R-Ind.):

    "I rise in opposition to this measure, but I do it with a heavy heart.

    "Mr. Chairman, let me be clear. There was a genocide committed
    against the Armenians in the period beginning in 1915. It is with this
    belief that I have supported a similar resolution in the past.

    "At a time that we are at war, we must do that which is in our
    nation's interest and the interests of our soldiers down range."

    J. Gresham Barrett (R.-S.C.):

    "I cannot stress the harm that I believe could come to our national
    security interests in the region and our troops in Iraq and
    Afghanistan."

    Diane E. Watson (D.-Calif.):

    "Opponents of H.R. 106 argue that the resolution, if passed, would
    upset our ally, Turkey, causing it to retaliate against U.S.
    interests. Turkey, itself, at various levels channels, has suggested
    so much.

    "I believe, however, that Turkey would not be acting in its best
    interests if it was to opt for retaliation, particularly given the
    fact that 11 other members of NATO, including Canada, have recognized
    the Armenian Genocide."

    Ted Poe (R.-Tex.):

    "The question I have is, what's best for the United States? I think
    that's probably an appropriate decision to be made on this
    issue.What's best for American interest and America, especially in the
    Middle East.

    "So, my vote is not what's best for Armenia or even what's best for
    Turkey -- my vote is going to be what's best for American interest --
    American national security interest -- what's best for our troops that
    are in Iraq at a war and in Afghanistan in a war."

    Sheila Jackson Lee (D.-Tex.):

    "I will say that I am greatly impressed with the ambassador from
    Turkey and many of his supporters who have worked in these waning
    hours on the beliefs that they have.

    "I'm equally moved, and more moved, by those from the Armenian
    community who have toiled year after year to educate this nation on
    the important issue which they want addressed.

    "In Texas, someone who is in the middle of the road is usually
    called a dead armadillo, because that is likely what happens to you
    when you try to broach a compromise.

    "I hope my friends in Turkey will realize that engagement is
    important, not last minute shuffling and pushing, but engagement,
    ongoing establishment of relationships.

    "For those of us who have abhorred Rwanda and Sudan -- cannot find
    it in our heart to ignore the Armenian people. And I am saddened that
    it has come to the point that Turkey would feel that this is an
    indictment against the friendship that we have had."

    Mike Bilirakis (R.-Fla.):

    "The reality is that the Armenian Genocide must not be put on the
    back burner of history for fear of acknowledging the truth or fending
    our ally, Turkey."

    Joseph Crowley (D.-N.Y.)

    "Shame on anyone who would try to use the lives of our young men and
    women in the position that they are faced themselves in in Iraq today
    or anywhere else in this world because of this resolution that we're
    putting forward today."

    David Wu (D.-Ore.)

    "I think that we should act, today, on the truth in order that those
    who suffered and their family members can move on, that Turkey can
    face its past. And if we, in this chamber, so well-protected and, in
    fact, selected to come here to speak the truth, are concerned about
    doing that for passing factors, than I think the truth will have a
    hard time any time, anywhere in the world."

    George Miller (R.-Calif.):

    "I dearly wish that if this Congress passed this resolution that
    modern day Turkey would feel chastened, would pause, would examine
    what happened, would decide if there was something they needed to do
    to acknowledge and bewail their manifold sins and wickedness, to do
    something about it.

    "I fear instead -- or I feel certain instead that there would be
    none of that. There would simply be a sense of being insulted. There
    would be anger, not any sense of being chastened.

    "But with great misgivings, I will vote against this resolution today."

    Jim Costa (D.-Calif.):

    "When Russia recognized the genocide in 1995, their trade increased
    with Turkey by over 351 percent.

    When Greece recognized the genocide, who have had tensions over the
    decades with Turkey, in 1996, their trade increased by 266 percent.

    And, yes, the European Union parliament passed last year a set of
    conditions, economic conditions and social conditions prior to the
    entry of Turkey into the European Union, and one of those conditions
    was the recognition of the genocide. And, yes, Turkey still is
    attempting to enter into the European Union."

    Albio Sires (D-N.J.):

    "I feel pressured. I feel like I have a Turkish sword over my head
    somehow if I vote the wrong way here. And I don't like that feeling."

    Ron Klein (D.-Fla.):

    "And I think the reason that I believe it is important that this
    historical event is acknowledged and understood is what the survivors
    of the Holocaust use as their two-word phrase: Never again."

    ************************************ ***************************************

    6. Genocide resolution looms large over Karekin II's visit to Washington

    * On the Road with Catholicos Karekin II

    by Antranig Dereyan

    WASHINGTON -- Wednesday, October 10, 2007, will likely become one of
    those dates that enters the Armenian consciousness and takes on a
    meaning of its own. But before the day's amazing results electrified
    and unified Armenian-Americans from coast to coast, it began much like
    any other.

    Wednesday was the second day of Catholicos Karekin II's visit to
    Washington, and by a happy coincidence he was scheduled to deliver the
    opening prayer before Congress on the very day that House Resolution
    106 -- the Armenian Genocide resolution -- was scheduled to be voted
    on by the House Foreign Affairs Committee.

    In the House chamber, Vehapar was introduced by Speaker Nancy
    Pelosi, and gave his prayer at 9:00 a.m., which included a reference
    to the "victims of the Armenian Genocide," and to its consequences
    felt to this day. (See the sidebar for the text of the prayer
    itself.). Following this he was led to Speaker Pelosi's private office
    for a meeting.

    The meeting was closed to media and personnel, except for the
    Catholicos' immediate entourage. But sources who attended the meeting
    reported that the Speaker told the Catholicos that a good deal of
    pressure had been brought to bear, both from Turkey and from U.S.
    officials, to halt the passage of the bill.

    (Minutes after the Catholicos delivered his prayer, President Bush
    gave a brief statement on the White House lawn acknowledging the
    "tragic suffering of the Armenian people that began in 1915," but
    adding: "This resolution is not the right response to those historic
    mass killings.")

    According to the same eyewitness, Ms. Pelosi gave a personal
    assurance that she and her colleagues would try to pass the bill, and
    do their best to bring about a just solution.

    According to the Catholicos's aid and official translator, Fr. Ktrij
    Devejian, the pontiff was pleased with the meeting and "thanked the
    Speaker for all the assistance and support that the United States
    government has given to the Republic of Armenian during these last 16
    year of freedom and independence. He then invited Speaker Pelosi to
    come to Armenia," Fr. Devejian said.

    * The results come in...

    With the actual committee vote still several hours away, and its end
    result still very much in question, the pontifical entourage went
    forward with its schedule for the day.

    As the Genocide resolution reached the committee around 1:30 p.m.,
    the Catholicos was visiting the United States Holocaust Museum.

    The final stop of the afternoon was the Embassy of the Republic of
    Armenia, where ambassadors from Libya, Russia, and Belarus were on
    hand to meet and talk with the Catholicos.

    "I just met him today; I wanted to send my regards to him and his
    people," said the Belorussian ambassador to the U.S., Mikhail
    Khvostov.

    After exchanging pleasantries, it was back to the hotel for Vehapar
    for a brief rest. But everyone on the tour was keen to keep their eyes
    on the ongoing tally for H. Res. 106.

    At 5:12 p.m EST, the final result was in, with the Congressional
    committee voting 27-21 in favor of sending the bill to the rest of the
    House.

    Vehapar was ecstatic at the news, and the bill's passage formed the
    topic of remarks and conversation at events through the rest of the
    day.

    These included a short service with the youth of Washington's St.
    Mary Church, where Catholicos Karekin wore an especially broad smile
    as the parish children performed musical numbers, and approached their
    Vehapar to greet him and express their affection -- some even sitting
    on his lap to converse with him.

    Although the Catholicos made his habitual point of encouraging the
    children to learn Armenian, he broke his usual routine and addressed
    the children in English. The resolution was his main topic.

    "I was very happy to see this bill get passed," he said. "It gives
    great honor not only to be Armenian, but to our ancestors who fought
    for this day to one day come. Now their fighting will not be
    unrecognized. I am proud -- as you all should be proud to be
    Armenians. This bill is a step in the right direction. I thank God for
    this day, and for allowing me to be here to see this happen."

    The sentiment was reiterated by the Diocesan Primate, Archbishop
    Khajag Barsamian, who has also expended a great deal of time and
    effort on gaining official recognition of the Genocide. "It is a
    blessing that Vehapar was here on this date to pray at Congress, to be
    here to witness the bill passing," he said.

    The evening ended with a dinner for with community leaders at a
    local restaurant, where again the conversation turned to the
    resolution. "I am glad it has passed," said Karekin II, again
    addressing the crowd mainly in English. "But we still have a long ways
    to go -- in Armenia, Turkey, and the United States. This was a good
    first step, of which I am proud."

    * * *

    The opening prayer delivered by Catholicos Karekin II before the
    U.S. House of Representatives, October 10, 2007

    "Lord, we thank you for bestowing us with the grace to pray today
    for the leaders of this nation, who labor in the universal cause of
    liberty and justice. Increase their wisdom and resolution. Their
    actions grant inspiration and fulfillment to the desire for justice
    that lives in every heart.

    "Our Father in heaven, render guidance to all nations, including the
    Republic of Armenia -- our homeland, and center of our faith -- the
    Mother See of Holy Etchmiadzin.

    "With the solemn burden of history, we remember the victims of the
    Genocide of the Armenians, the consequences of which are still felt by
    the entire world in new manifestations of genocide. Grant rest to the
    souls of all victims of crimes against humanity, and bestow peace and
    justice on their descendants. Give pause to those who trample life,
    liberty, and the pursuit of happiness.

    "Lord, bless this land and people. Grant peace and safety to
    America's sons and daughters who serve their nation abroad. May the
    United States continue her mission as a great beacon of hope. Amen."

    * * *

    For other installments of "On the road," see the Community section of
    this newspaper.

    ************************************** *************************************

    7. Two Iraqi-Armenian women killed by security guards

    by Emil Sanamyan

    WASHINGTON -- The Armenian community suffered another loss as two
    women were shot and killed amid continuing violence in Iraq this week.

    The victims, identified as Marou Awanis and Geneva Jalal, were in a
    car traveling next to a convoy protected by Unity Resources Group, an
    Australian security firm contracted by the U.S. Agency for
    International Development (USAID).

    The group's representative claimed that its guards opened fire when
    the car failed to slow down after several warnings. The incident
    occurred on October 9 along the main street in central Baghdad's
    Karrada neighborhood.

    According to www.Iraqbodycount.org, riding in the car with the women
    were two children, one of whom was shot in the arm.

    According to the site, 76 other civilians were confirmed killed on
    the same day in various circumstances around Iraq. The total death
    toll since the U.S. invasion in 2003 is estimated at nearly 80,000.

    Private security companies which protect U.S. and other foreign
    personnel working in Iraq have been criticized for excessive use of
    force, particularly after guards working for Blackwater USA were
    blamed for the deaths of 17 civilians in a single incident last month.

    Unity provides services for RTI International, a governance
    development consultant based in Research Triangle Park, N.C., and
    contracted by USAID for projects around the world.

    Rev. Narek Ishkhanian, a priest at Baghdad's Virgin Mary Armenian
    church, who officiated at the women's funeral, told the TIMES of
    London that the shooting was "another crime against the citizens in
    Iraq. Every day civilians are being killed and no one is trying to
    stop it from happening."

    An Iraqi police official told The Associated Press that the security
    company apologized for the deaths and "was ready to meet all legal
    commitments."

    According to the LOS ANGELES TIMES, 49-year-old Basra native Mrs.
    Awanis was previously a scientist for Iraq's Agriculture Ministry and
    after the death of her husband two years ago took up chauffeuring to
    make ends meet. She is survived by three daughters, aged 12, 20, and
    21.

    No further information on Ms. Jelal, born in 1977, was available.

    ************************************** *************************************

    8. Armenia's foreign policy is being tested, but does not need to
    change, says Oskanian at Tufts

    by Ara Nazarian

    BOSTON -- Armenia's foreign minister, Vartan Oskanian, delivered a
    speech at Tufts University on Friday, October 5. His formal address
    was part of the university's Charles Francis Adams lecture series on
    diplomacy and small states.

    Mr. Oskanian touched on the changes in world policy following the
    collapse of the Soviet Union, where many incorrectly envisioned a more
    harmonious and peaceful world. Today, the world is more unstable and
    less secure than before, even for large countries, he said, and much
    more so for small nations with limited resources and smaller, less
    diverse populations.

    For instance, Mr. Oskanian said, when Darfur becomes shorthand for
    humiliation, political expediency, and inaction, small countries
    become especially worried that political gains will be substituted for
    basic human rights. The capacity of smaller nations to be a part of
    the world is rapidly diminishing, given the glaring inadequacies of
    the new policies following the collapse of the old global system.

    To that end, Mr. Oskanian explained, Armenia has adopted a
    complementary foreign policy, yet still finds itself a victim of
    regional problems. Although the young republic has put the difficult
    days of the early 1990s behind it, problems such as closed borders,
    the threat of war, and delicate relationships with neighbors still
    remain.

    During the past 16 years much has changed, he said, yet the essence
    of the problems is still there. While Armenia enjoys good relations
    with Georgia and Iran, Russo-Georgian tensions along with sanctions
    facing Iran are restraining Armenia's maneuverability. This matter is
    further complicated by the current tensions between the U.S. and
    Russia. So, while the foreign policy of Armenia is being tested
    vigorously, it is not at a point where a change of course is imminent
    or necessary.

    Mr. Oskanian suggested that Armenia must carefully plan and execute
    its long-term national interests, and not be a party to policies with
    short-sighted gains, while being considerate to countries with
    considerable interest and clout in the area. He stated that the two
    main problems currently facing Armenia are the independence of
    Nagorno-Karabakh (Artsakh) and the state of relationships with Turkey.
    Azerbaijan must come to terms with Karabakh's right of
    self-determination, as no one can accept the notion that there is a
    quota on liberty and self-determination. He mentioned that the
    Armenian and Azerbaijani public are facing a "trust deficit," which
    makes the negotiation process much more cumbersome. To that end, he
    praised a recent meeting of Armenian and Azerbaijani intellectuals as
    an important step in dispelling the animosities between the nations
    resulting from lack of dialogue.

    * Turkey's lost leverage against Armenia

    Mr. Oskanian then spoke of Turkey's continued placement of
    pre-conditions for normalization of diplomatic relations with Armenia.
    He mentioned that the recognition of the Armenian Genocide has always
    been and will continue to be part of Armenia's foreign policy, and its
    moral right. He spoke of his recent letter to House Speaker Nancy
    Pelosi in response to a letter sent to her by eight previous U.S.
    secretaries of state regarding the Armenian Genocide resolution; the
    co-signers had warned that passage of the resolution would undermine
    Turkish-Armenian efforts to reconcile.

    Mr. Oskanian took serious issue with that position, since there are
    currently no reconciliation efforts on the table, due to the stance
    taken by the Turkish government. He referred to Turkey's continued
    blockade of the border and other preconditions as an act of hostility
    directly aimed at putting pressure on Armenia to make unilateral
    compromises. However, Turkey's blockade has made the Armenian economy
    adapt to the situation, and it has grown in spite of the imposed
    restrictions.

    So while it would have been better to enjoy open borders with
    Turkey, Oskanian said, Armenia has adapted to the environment, and
    Turkey has lost this as leverage against Armenia. In short, Turkey is
    placing short-sighted ethnic interests regarding Nagorno-Karabakh
    ahead of its influential role in the region.

    To conclude, Mr. Oskanian summarized Armenia's situation as being
    far from helpless. While Armenia is in a difficult neighborhood and
    faces difficult challenges, it has made remarkable strides, with seven
    years of double-digit economic growth, improved elections, a
    significantly reduced outflow of population, and an awareness among
    the general public of its rights.

    Still, he said, much work must be aimed at increasing wages,
    fighting poverty, and overcoming the inequality of growth.

    Prior to his remarks, Mr. Oskanian was awarded the Fletcher School
    of Law and Diplomacy's "Dean's Medal," joining a select group of
    previous award recipients including Dr. Hassan Wirajuda, Foreign
    Minister of Indonesia; Gov. William Richardson of New Mexico; Sen.
    Richard Lugar of Indiana; and the late Konstantinos Karamanlis, Prime
    Minister of Greece.

    As a Fletcher School alumnus, Mr. Oskanian reflected on the
    emotional moment of receiving the award in the company of friends and
    former professors, especially in light of the longstanding
    relationship between Tufts University, the Republic of Armenia, and
    the Armenian-American diaspora in New England. Mr. Oskanian praised
    the vision of Aso Davitian, who established the Tufts Diplomacy
    certificate program for officials of the Republic of Armenia (which
    has yielded 75 graduates so far), and the tireless efforts of Dr.
    Joyce and Dr. John Barsam, who oversee this essential program. He
    expressed his sincere wish for the program's continuation.

    Vartan Oskanian was appointed minister of foreign affairs by
    President Robert Kocharian in 1998. He was born in Syria in 1955 and
    was educated at Aleppo's Armenian schools. He received a bachelor of
    science degree in structural engineering from the Yerevan Polytechnic
    Institute in 1979 and a master's degree in Engineering from Tufts
    University in 1983. While at Tufts, Mr. Oskanian became interested in
    government and international relations programs, and went on to
    receive a master of arts degree in law and diplomacy.

    Mr. Oskanian also holds a master's degree in government studies from
    Harvard University.

    He has represented Armenia in the Nagorno-Karabakh peace
    negotiations since the inception of the process. He speaks Armenian,
    English, French, Arabic, and Russian, and is a trustee of the Armenian
    Fund.

    ********************************** *****************************************

    9. An exclusive interview with Vahe Aghabegians, executive director of
    the Armenia Fund

    by Maria Titizian

    It's early spring and the snow is melting across the land. Vahe
    Aghabegians visits Akhurik village on the border of Turkey a few
    months prior to his appointment as the new executive director of the
    Armenia Fund. The village is built on an incline and as the snow is
    melting it has created canals of running water. One of those canals is
    running straight into a house undoubtedly causing substantial damage.
    >From a distance Mr. Aghabegians can see an elderly man trying to
    divert the direction of the stream of water away from his house with a
    shovel. His young grandchildren are assembled around him. As
    Aghabegians comes closer to take a picture he realizes that the old
    man is blind. Being too young to handle the shovel the grandchildren
    are giving verbal instructions to their grandfather on how to shovel
    the dirt to swerve the stream of water.

    This is the harsh reality of life in the villages of Armenia. The
    able bodied men have left in search of employment, usually to the far
    reaches of the Russian Federation. The women have also left. Leaving
    only the elderly behind who take on the burden of caring for their
    grandchildren. One is hard pressed to find people between the ages of
    20-50 in any village.

    Even with double digit economic growth in Armenia, there has been no
    direct benefit to the villages, especially border villages which
    continue to lack the basic, fundamental necessities.

    This is where the Armenia Fund has stepped up to the challenge. And
    what a challenge it is.

    * The birth of the Rural Development Program

    During the first years of the Armenia Fund, its mandate was to secure
    emergency assistance to a weary population.

    As the situation in the country has changed, so has the mandate of
    the Armenia Fund. The Rural Development program was conceived during
    the third Disapora Conference and then adopted by the Board of
    Trustees of the Armenia Fund. According to Mr. Aghabegians, "The fund
    had already secured benefactors to sponsor 40 villages at a $1 million
    each, even before the Fund adopted this program."

    The Trustees view the Rural Development Program as an integral part
    of the Fund's mandate. They consider this program to be a natural
    continuation of the Fund's initial work to develop a vital link
    between Armenia and Karabakh; to continue with regional development
    with Karabakh and extend the concept of comprehensive infrastructure
    and economic development to the border villages of Armenia.

    It is universally recognized that every state is obligated to
    provide it's citizens with the most basic and fundamental necessities
    in order to have a dignified life, regardless of whether they live in
    the cities or the villages. Although the Republic of Armenia strives
    to provide these services and is obligated to do so, the reality today
    is that due to a lack of resources there is an absence of
    infrastructure, markets, capital and know-how in these regions.
    Thereby villages and predominantly border villages which are
    strategically vital to ensure the security of the republic are in
    decay. This is where the Armenia Fund will come in to fill in the gaps
    left behind by government.

    The Rural Development Program will partner with the Diaspora,
    individual sponsors, international organizations and individual
    countries for assistance and support.

    The Armenia Fund has identified 150 border villages which will fall
    into this program. "We have chosen border villages as the main focus
    of the Rural Development Program as they have vital strategic and
    economic significance for the future of the country. Integrating these
    communities into our country's economy will revive these villages and
    prevent hopelessness and emigration," says Mr. Aghabegians.

    * Tavush Khastarak Cluster

    Vahe Aghabegians explains that in Armenia the border villages are very
    fragile organisms. Left to their own devices they do not have the
    ability to develop economically. "That is why we have developed a
    cluster program -- these are geographic groups, clusters or
    micro-areas. We look at their human resources, potential financial
    ability and they become a group and have the minimal requirements to
    embark on a development program."

    The program will begin with a cluster of villages in Tavush, and the
    Fund will continue to identify clusters in other regions as well
    complementing the Armenian government's efforts in this area. The
    villages in the Tavush cluster include Lusadzor, Lusahovit, Khastarak,
    Aknaghbyur, Ditavan and Azatamut.

    Funds raised will assist infrastructure development and contribute
    to sustainable development programs to ensure that these areas become
    economically self-sufficient.

    The infrastructure development of border villages has ten key
    components. These include access to education, roads, electricity,
    drinking water, irrigation water, community center, access to health
    care, community administration, natural gas, telecommunications which
    include -- telephone, Internet and TV.

    According to Vahe Aghabegians this is an easy challenge for the
    Armenia Fund. "We can realize these components for 150 villages with
    our eyes closed. These components require construction, building...and
    the Armenia fund has that experience."

    After thorough research they have concluded that to secure each
    village with these infrastructure components requires $1 million;
    there's a 150 villages, therefore $150 million is the amount needed.
    "This is is a figure which is attainable. The idea behind our program
    is different....the realization of this rebuilding (infrastructure)
    will not fundamentally change the life in the village. We have in the
    past gone into a village and built a school or a medical clinic or
    have constructed gas lines and water lines. These have not solved
    universal issues for the villagers."

    Therefore this program has to include sustainability and it has to
    be comprehensive.

    Infrastructure alone is not a solution, there needs to be economic
    stimuli to maintain the system and make it work as a practical
    development tool.

    Thereby when talking about comprehensive development, Vahe
    Aghabegians stressed that once a road is built that road will need
    constant maintenance to continue to be in good condition. Another
    example he gave was in the case of bringing gas to the villages. "If
    we are going to construct a 40km gas pipeline, what happens if the
    villager cannot pay the gas bill? The gas company will shut off his
    gas supply. What's the point? The pipeline will remain simply a
    pipeline then it will be dismantled and sold for scrap metal...we've
    seen that happen before."

    So the fundamental question remains - how to we enable the villager
    to pay his utility bills? How do we economically empower the villager?

    "We have tried to simplify this very complex problem -- we have
    simplified it to the lowest common denominator."

    What are the major problems according to Mr. Aghabegians? It is
    first and foremost access to markets - that's why there is no economic
    activity in the villages. "This can present the most complex economic
    explanations, i.e. .economics of scale, etc. For example if the
    villager has 600 kilos of potato to sell, it is not logical for him to
    drive 200 km to Yerevan to sell his product." Therefore there has to
    be innovative solutions like bringing the private sector in to work in
    partnership with these villages. "We don't envision that the fund will
    set up businesses or go into any kind of business venture in these
    border villages. We have to be the catalyst and involve the private
    sector," says Mr. Aghabegians.

    Many years ago, Mr. Aghabegians recalled hearing the term to
    'Armenize' and explained why he thought this was an important factor.
    Solutions that have been presented by international organizations, the
    diaspora and specialists have not always worked in Armenia because
    they did not address the specific uniqueness of the reality on the
    ground in the country. "We have to realize and understand the unique
    circumstances and conditions which exist in this country and apply any
    new program accordingly. We have to 'Armenize' them. Even the villages
    that we visit, we quickly realize how different they are from one
    another."

    * The measure of success

    The Armenia Fund has set out for itself what it considers the measure
    of success. The Rural Development Program is not only about building
    schools or pipelines. If at the end of the program they will have been
    able to create economic growth and sustainability then they were
    successful.

    "Building 150 schools or 150 gas pipelines is not the measure of
    success. We are going to go into every village and conduct a census.
    Two years from now we will go back and if there is 'minus one' person,
    then we have failed, if we have 'plus one' then we have succeeded."
    The ultimate goal of this program is to provide a dignified existence
    for the villagers, so that where they live, is where they have chosen
    to live, where they want to live.

    Mr. Aghabegians wants to get the point across that this program is
    not simply charity work, but that it has a strategic factor. The
    realization of this program is about national security taking into
    consideration the relationship we have with our neighbors. It is
    imperative therefore that border towns and villages be self
    sufficient, the people living there be happy and willing to live
    there.

    Today there is a chasm between Yerevan and the regions -- all that
    is required to begin spreading the wealth are small bridges. From
    developing dairy farming to securing milk collection centers to a
    fruit and vegetable processing plant.

    Vahe Aghabegians is the first to admit that there are still so many
    problems that need to be figured out. For example he says, "There are
    300 villages throughout Armenia which will never receive gas. The gas
    company has told the government that it will never supply gas to these
    villages because it is not viable. So what do you do about those
    villages?"

    The Armenia Fund has the sponsors lined up for 40 villages but has
    yet to spend it. Mr. Aghabegians admits that there is frustration on
    behalf of the sponsors. "Having this complex challenge -- we have
    decided not to take gambles but to understand and work in a most
    responsible manner, direct finances and resources in such a way as to
    ensure that they will get the best results." So it is a strange
    situation for the Fund, to have sponsors but not to embark upon the
    proposed program. "Sometimes we don't have the solutions. We are
    drawing a new map."

    Therefore in order to realize this very ambitious plan, the Fund is
    setting a slower pace, making sure that all dimensions have been taken
    into consideration -- one cluster at a time. This program will include
    Armenia and Karabakh. There are 150 border villages in Armenia and 200
    border villages in Karabakh. He estimates that one cluster will take
    three years to complete. Currently there is only the Khashtarak
    cluster in progress with two other potential clusters. Mr. Aghanbegian
    said that the Fund has already determined where the other clusters
    will be -- Lori, Meghri, Syunik and Shirak.

    He starts doing some calculations and says, "We will finish in 2020.
    I hope that by then we will be able to say that the fund is looking
    for new challenges."

    * * *

    * History of the Armenia Fund

    The Armenia Fund was founded on March 3, 1992 through a presidential decree.

    With the collapse of the Soviet Union, the newly independent
    Republic of Armenia was facing daunting and overwhelming challenges --
    the aftermath of the 1988 earthquake, the Karabakh conflict, blockade,
    energy crisis and the total collapse of all public utilities. Every
    Armenian wanted to help in the rebirth of the country. The Armenia
    Fund brought together Armenians from all walks of life.

    The years between 1992 and 1996 were remarkable for the emergency
    assistance that the Armenia Fund was able to secure. The Winter 93-94
    project will remain an outstanding example of the collective strength
    and spirit of the Armenian people for urgently facilitating the
    critical energy needs of the country. Very quickly, through the
    efforts of the fund $7 million was raised which Kirk Kerkorian
    tripled, bringing it to a total of $21 million.

    The Fund was then entrusted with implementing major infrastructure
    development projects, as a result of which it constructed the major
    Goris-Stepanakert highway connecting the vital link between the
    Republics of Armenia and Karabakh. In 2001, it financed the
    construction of the North-South Highway. This established a road
    network between cities and villages in Nagorno-Karabakh and greatly
    contributed to economic growth in the country. With the completion of
    these strategically important roads, the Fund successfully implemented
    two major projects of regional significance.

    In parallel with road building, the Fund has embarked on community
    development projects including the construction and renovation of
    schools, hospitals, water treatment and supply systems, power
    transmission lines and cultural centers. Projects have also been
    implemented in the agricultural sector.

    In 2005, the Board of Trustees approved the Artsakh Rebirth
    territorial development project, which opened a new page in the Fund's
    activities. The Fund revitalized and developed the Nagorno-Karabakh
    regions of Martakert and Hadrout, which had particularly suffered
    during the Artsakh conflict.

    Since 1996, the Fund has organized annual telethons in Los Angeles,
    and since 1999 phonethons.

    * * *

    * Tavush Khashtarak Cluster

    Armenia Fund has already gone on fact finding missions to the Tavush
    cluster to assess the viability of their program. One of Armenia
    Fund's working groups visited Azatamut. While the other five villages
    in the cluster (Aknaghbyur, Ditavan, Lusahovit, Lusadzor, Khashtarak)
    possess cultivable land and offer a logically straightforward path of
    economic development, Azatamut does not. Established in the 1970s, the
    village housed the workers of a nearby factory. With the fall of the
    Soviet empire and the severing of trading bonds, the factory stopped
    functioning, leaving most of the community members unemployed. The
    village has no arable land and a significant part of the population
    earns its income from labor migration.

    Part of the village cluster concept is combining the economic
    resources of the villages into a single mechanism, thus multiplying
    the impact of the Rural Development Program economic facilitation
    projects. Azatamut community has the potential of housing a key part
    of the complex economic solution for the cluster including a milk
    collection center, a slaughter house, a fruit conservation point and
    other facilities which would serve the needs of all cluster villages.

    The Armenia Fund's role is also to partner the private sector with the
    economic development of these border villages.

    * * *

    * Vahe Aghabegians

    Born on November 26, 1952, in Tehran, Vahe Aghabegians attended the
    Tehran Hur elementary school, Kushesh Davtian Armenian School, and the
    Iran Farda secondary school from 1959 to 1971. From 1973 to 1975 he
    studied at the Wentworth Institute of Technology, Boston,
    Massachusetts and received a diploma in electrical engineering. From
    1975 to 1978 he continued his studies at the Northeastern University
    and received a bachelor of science degree in electrical engineering.
    >From 1975 to 1979 he worked at the Hairenik Association Inc. as the
    operations manager. From 1979 to 1982 he worked at UniPrint Inc., as
    its executive director. From 1982 to 1984 he was the president of
    Romney Group, Inc., which deals with sporting goods import and
    national distribution. From 1984 to 1998 he was the founder, president
    and chief executive officer of MicroComp Enterprises, Inc. The company
    deals with computer programming and business automation consulting and
    worked with Fortune 500 companies throughout Southern California. From
    2000 to 2002 Mr. Aghabegians worked at the Lincy Foundation PIU,
    Yerevan, Armenia, as its executive director. From 1999 to present Mr.
    Vahe Aghabegians serves as the advisor to the minister at the Ministry
    of Foreign Affairs of the Republic of Armenia. He speaks three
    languages -- Armenian, English, and Farsi. He is married and has two
    children.

    Since June 2007 Mr. Aghabegians has been the executive director of
    the Hayastan All-Armenian Fund.

    ******************************************* ********************************

    10. Market update

    by Haik Papian

    A. Rates

    Yield to maturity curves:

    The current yield curve has an almost horizontal shape with a small
    increase over the maturity. It shows that Armenian and foreign
    investors do not expect a yield increase of Treasury bonds in the
    future. At the same time we see the clear yield difference among
    securities with a maturity of less that half a year, mid- and
    short-term notes (from 1 to 2 year maturity), and Treasury Notes.

    Decrease in yield of securities which have maturity of 7 years could
    be easily explained if we will take into consideration the depth of
    the market. That is, the liquidity of Armenian securities market is
    low and the number of trades is low, so we could conclude that the
    market so far has not responded to changes in the market.

    Exchange rates:

    The diagram shows cumulative exchange rate changes for AMD/USD and
    AMD/EUR currency pairs for the period of 13 July-10 August 2007.

    Exchange rate quotation is presented in European terms, and the
    percentage decrease/increase in the diagram means
    appreciation/depreciation of Armenian dram respectively.

    In the last few days Armenian Dram devaluated against both the U.S.
    dollar and the euro. The depreciation was 2.7% and 1% respectively. It
    is too early to make any conclusion if this is a trend or temporary
    fluctuation as the volume of transactions on the Armenian stock
    exchange did not undergo serious changes. This relatively small fall
    of Armenian currency can be partially explained by the demand side, as
    some imported items' prices went up, which put pressure on the demand
    for hard currency.

    C. Indexes

    Cascade Business Sentiment Index (CBSI): The Cascade Business
    Sentiment Index is our approach to forecasting sentiment about
    Armenia's business trends. The Sentiment Index is based on a survey,
    the respondents of which are a group of individuals who own or operate
    stable and growing businesses in Armenia. The survey measures the
    business owners' expectations for the near future by addressing to
    them questions and calculating the weighted average of their replies
    on a numerical scale (from 1, the most pessimistic, to 10, the most
    optimistic). The Cascade Business Sentiment Index for the months of
    September, 2007 is 6.7. No change was observed in the last month.

    Cascade Commodity Index (CCI): The index, which is the average
    retail price in Armenia for certain commodities, indicates a monthly
    increase in the last few months. The Cascade Commodity Index for July
    - August 2007 is 15230, which is 0.46% increase over the last period.
    This increase is due to the increase of corn oil prices, which was
    partially neutralized by the decrease of pork prices. The commodities
    tracked by the index are (1) petroleum (20 liters); (2) steel (100
    kg); (3) pork (10 kg); (4) flour (10 kg); (5) corn oil (10 liters).

    * * *

    For tables, see the PDF version of the paper at reporter.am

    * * *

    Haik Papian, CFA, is CEO of Cascade Investments. He can be reached at
    [email protected]

    **************** ************************************************** *********

    11. Living in Armenia: Searching for Camelot

    by Maria Titizian

    Camelot, located nowhere in particular, can be anywhere....

    My apartment is -- or was -- approximately a five minute drive to
    work. After negotiating potholes, pedestrians, narrow roads, maniacal
    drivers, and two U-turns, I turn down a ramp, the gates to CS Media
    City open, I park my car and walk into the office for a day's work.
    The return is usually by the same route, the only difference being
    that I might stop to buy fresh bread for dinner.

    A few nights ago, the usual drive home took me well over an hour. I
    don't think I want to get into the details of why or how it happened.
    I know it's not uncommon to get stuck in traffic, but everything is
    relative. Here the intersections get so mangled up by cars, creating a
    situation from which it is impossible to disentangle yourself. I was
    thinking I had two alternatives: abandon my car and start walking or
    abandon my car, walk out into the middle of the intersection, and
    start disentangling the cars from one another and direct traffic.

    I understand that there will be the occasional traffic jam, even in
    a city like Yerevan. It's the REASON for the chaotic traffic that is
    driving me over the brink.

    Enlightened Yerevan City officials decided to embark upon extensive
    roadwork, the building of bridges, and construction of underground
    passes all at the same time, across all major arteries, creating
    havoc, pandemonium, ultimately paralyzing the city and causing yelling
    matches, fist fights, and the waving of certain fingers accompanied by
    full bodily gesticulations.

    I can't blame the drivers of this city, although I might be inclined
    to wallop a few of them next time they come whizzing past me, or cut
    me off, or decide to drive in the opposite direction, just to try and
    get ahead of the rest of us "sheep" who are patiently stuck in
    gridlock. (Sheep is a term my father uses to denote people who he
    thinks don't know how to stand up for themselves. For example, if my
    father walks into a bank and there's a long line up of people and only
    two tellers working, after waiting the customary three minutes, he'll
    start yelling at the top of his lungs, "You people are all sheep! Why
    don't you complain? You pay so much money in interest charges and they
    only have two tellers servicing 45 people in line!" Get my drift?)

    When I finally got home, my son's tutor Therese was waiting for me.
    I looked at her and all my anger and tension from the ride home
    dissipated. I was home. That was the important thing. After spending a
    few minutes with Therese, I realized that there is so much I take for
    granted. Being behind the wheel of a car and getting stuck in traffic
    is something Therese can only dream about.

    Therese has been a member of our family for the past five years,
    diligently helping us deal with the excessive amount of homework that
    my son gets every night. She has fretted over, cajoled, and assisted
    my son through the maze of complex mathematical problems and the
    nuances of the Armenian language. I don't know what we would have done
    without her. She has at every step been a Godsend and we all love her
    dearly.

    I first saw Therese the very first day my children began school back
    in 2001, standing in the auditorium with all the other teachers. For
    some reason she caught my attention. Little did I know back then how
    intertwined our lives would become. She isn't what one would consider
    a classic beauty, but there was something about her features, the
    expression in her eyes and the way she carried herself. Now after five
    years of seeing her on an almost-daily basis, it was the day that I
    got stuck in the traffic jam that it finally hit me: She's a modern
    day hero.

    She's Mother Armenia.

    Battered, tortured, ill yet determined, strong, proud, battling
    daily against adversity that would have broken a stronger human being.
    I would like to tell you the story of my friend, Therese.

    Her parents repatriated to Armenia in the 1940s from Greece. Like
    all repatriates, regardless of the fact that she was born on Armenian
    soil, she was always considered an "aghbar." As her parents adapted to
    their new country, Therese went on to university receiving a degree in
    mechanical engineering and began working when she met her future
    husband. Falling in love was one thing; reality was something else.
    They got married and went on to have two children.

    And then came the "moot darinere" (the dark years). Therese would
    walk for miles to get to work. There was no public transportation. And
    then winter came, and there was no electricity or gas or water. No
    milk for the children, no bread, no heating. Only the stillness of the
    dark, dark nights.

    But Therese had added burdens. She lived in a rundown single
    dwelling in a suburb of Yerevan. She lived with her husband and
    children, but also with her mother- and father-in-law, sister-in-law,
    and a mentally disabled brother-in-law.

    This is how she continues to live.

    Relatives of mine who were visiting us in Yerevan a few weeks ago
    were complaining that people in Armenia had become obsessed with
    earning money. "What a business-oriented culture it has become," one
    of them said while shaking her head.

    What do you say to someone like that?

    This is a woman who lives in a 6,000 sq ft home, in a very posh
    neighborhood, goes on holidays several times a year, and thankfully
    hasn't seen much heartache in her life. She lives in Camelot.

    While she was going on about her analysis of the people's mindset
    here in Armenia, I was thinking of Therese and what she would say to
    this relative of mine. Would she be able to find the words to describe
    her despair? Could she tell my relative that because she had an
    operation that cost the family $1,000 she is having difficulty
    sleeping at night even though it was an operation she needed to have
    and if she didn't it could have permanently impacted her life? Could
    she tell her what it's like to live in a house which has cracks that
    let in the wind and the rain and the snow? Could she begin to describe
    how it feels to have eight people sharing a single bathroom which has
    running water only two times a day for limited periods? Would she be
    able to describe what it feels like not to have an extra 100 dram coin
    to give to her son who goes to university, so that he can have at
    least a cup of coffee?

    Can any of us really understand what people like Therese and her
    family go through on a daily basis? My relative complains that they've
    become obsessed with money. I complain about getting stuck in a
    traffic jam. Someone else complains about rude salespeople. We all
    need to put things into perspective. Those of us who have moved to
    Armenia came in search of our own Camelot and to a great extent, I
    think we've all found it.

    Therese also searches for her Camelot. The day she stops looking I
    hope will never come.

    ******************************************* ********************************

    12. Letter: On locking out the chief donor

    Sir:

    I was very disturbed and dismayed to read that Armenians are suing
    each other over the Armenian Genocide museum in Washington ("Hirair
    Hovnanian and others are sued over Genocide museum" Sept 29, page A1).
    Isn't the Armenian Genocide one thing we can be united about?

    But when I saw the chart with the contributions, I was shocked.
    [Gerard] Cafesjian and his foundation gave the lion's share of the
    money for this museum! How can [Hirair] Hovnanian and [Van] Krikorian
    [of the Armenian Assembly of America] lock him out of decisions?
    Hadn't they agreed that Mr. Cafesjian would be part of all the big
    decisions? I can't blame him for demanding his day in court.

    I don't know what the judge will decide, but I don't think anyone
    will ever trust the Armenian Assembly with a major gift again. I hope
    they can sort this out. All Armenians must work together for the
    memory of the 1.5 million of our people who perished in the Genocide.

    Very truly yours,
    Shaghig Mankerian
    Los Angeles, Calif.

    * * *

    [Chart] As of September 2006, the contributions funded by current and
    former Board of Trustee members for the benefit of the AGMM were as
    follows:

    Gerard Cafesjian and CFF $ 14,400,000

    Anoush Mathevosian $ 3,500,000

    Hirair Hovnanian $ 1,500,000

    John Waters $ 25,000

    Robert Kaloosdian $ 100

    Van Krikorian $ 0

    Total Board of Trustee Contributions $19,425,100

    ************************************* **************************************

    13. Editorial: Thank you!

    On Wednesday, October 10, the House Foreign Affairs Committee adopted
    the Armenian Genocide resolution and agreed to refer it to the full
    House of Representatives. The Speaker of the House has pledged to
    schedule a vote soon.

    Speaker Nancy Pelosi, House Foreign Affairs Committee Chair Tom
    Lantos, and the members of the committee who voted in favor of the
    resolution resisted an enormous amount of pressure from the White
    House and the military-diplomatic establishment.

    Hours before the vote, President George W. Bush appeared on the
    South Lawn of the White House to urge the members to vote no. He
    called members of the committee personally, as did the secretaries of
    state and defense and members of the Joint Chiefs of Staff.

    Yet the House leadership stood firm. We are proud of Speaker Pelosi
    and grateful to her for refusing to bend to this pressure.

    Mr. Lantos, a survivor of the Holocaust, scheduled a vote for
    Wednesday. In his opening remarks, he called the vote "a vote of
    conscience." He voted in favor of the resolution. He has our respect
    and our gratitude.

    A bipartisan majority of the members of the committee spoke
    eloquently in favor of the resolution and voted yes. The vote was 27
    to 21.

    Rep. Brad Sherman (D.-Calif.) hit the nail on the head when he told
    the committee, "We cannot provide genocide denial as one of the perks
    of friendship with the United States."

    He, along with Rep. Ed Royce (R.-Calif.) led the effort to pass the
    resolution in the committee. Mr. Royce argued passionately that "as a
    global leader in human rights, it is imperative for the United States
    to stand on principle and recognize the annihilation of the Armenians
    as genocide."

    A fellow Republican from California, Rep. Dana Rohrabacher, took
    strong objection to "the audacity that some Turks have had during this
    debate to threaten to cut logistics support of U. S. troops in Iraq.

    "Isn't it enough that hundreds of our servicemembers may have died
    due to Turkish refusal to permit the 4th Infantry Division to transit
    through Turkey and enter Iraq at the beginning of the Iraq conflict?"
    Mr. Rohrbacher asked. "Isn't that enough?

    We are also grateful to Reps. Adam Schiff (D.-Calif.) and George
    Radanovich (R.-Calif.), the original cosponsors of the resolutions,
    Reps. Frank Pallone, Jr. (D.-N.J.) and Joe Knollenberg (R.-Mich.), the
    cochairs of the House Armenian Caucus, and Rep. Anna Eshoo
    (R.-Calif.), an Armenian-American, for the leadership they provided in
    this matter.

    The Armenian-American lobby in Washington worked hard to usher the
    resolution through the committee in the face of fierce, extremely
    well-funded and powerful opposition. The lobby has done us proud, and
    we are grateful to our activists. The lobby is, of course, all of us,
    and so we are saying thank you to everyone who took the time to speak
    up, to organize, to articulate, and to donate.

    Of course, there's more to do. And it's urgent.

    We need to call each member who voted yes, and say Thank you. We
    need to call cosponsors of the resolution and say Thank you. And we
    need to call members who are not cosponsors and urge them to vote yes
    when the resolution comes to the floor.

    The best way to find out who is a cosponsor is to go to
    http://thomas.loc.gov/ and type "H.Res.106" in the search box. Select
    the "Bill number" button before clicking "Search."

    Speaker Pelosi could schedule the vote any day, so it is important
    to act now, without delay.

    Passage of the resolution by the House is in sight. We cannot waver now.

    ******************************************** *******************************

    14. Editorial: Turkey threatens the U.S.

    Opponents of the Armenian Genocide resolution portray the choice of
    whether to support the resolution as a stark one: remember horrific
    events of the past, or protect the lives of young Americans today?

    This is a false choice, and a cynical ploy to set up members of
    Congress and Armenian-Americans as scapegoats for actions Turkey
    intends to take.

    We must work overtime to expose it as such.

    As Mr. Rohrabacher pointed out, Turkey refused to cooperate with the
    United States back in 2003, when the United States was setting out to
    invade Iraq.

    Since then, Turkey has been trying to enter northern Iraq, but has
    been limiting itself to brief incursions and shelling because of U.S.
    pressure. It is now threatening to ignore the United States and invade
    in force, once again putting American lives at risk.

    The Bush administration has made a mistake in giving Turkey cover
    for its lack of cooperation with the United States. Mr. Bush and
    Secretary of State Condoleezza Rice should have told their Turkish
    counterparts in no uncertain terms that threats and blackmail are
    unacceptable.

    In its weakness, its willingness to kowtow to Turkey, the Bush
    administration has emboldened Turkey to undermine U.S. interests when
    it suits its purposes. Already -- before the passage of the Armenian
    Genocide resolution -- Turkey has been taking liberties in Iraqi
    Kurdistan, negotiating a railroad and a natural gas pipeline with
    Iran, and continuing to block the Turkish-Armenian border against U.S.
    advice.

    The Armenian Genocide resolution is meant to send a different
    message to the world: a message of accountability. This is a message
    the Bush administration should reinforce, not undermine.

    ************************************** *************************************

    Please send your news to [email protected] and your letters to
    [email protected]

    (c) 2007 Armenian Reporter LLC. All Rights Reserved
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