Hi, 

In today’s bulletin: China acting as a safe haven for its cyber criminals, says US; Another favouritism scandal rocks South Korea in setback for President Moon; Taiwan calls for global defence against China ‘threat’; Huawei phone prices rise in China on fears of chip shortage; Australia regulator dares Facebook to block news content

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CHINA ACTING AS A SAFE HAVEN FOR ITS CYBER CRIMINALS, SAYS US

The United States has accused Beijing of tolerating Chinese hackers and providing them with a safe haven instead of bringing them to justice, alleging that the Communist Party has made a deliberate choice to allow cyber attacks around the world because these actions help the country. 

The allegation was made as the US Department of Justice unsealed indictments against five Chinese citizens and two Malaysians involved in a wide-ranging hacking campaign that targeted victims in the US, France, South Korea, Japan and Singapore, among other territories. 

The hackers, who prosecutors said are currently fugitives in China, also compromised government computer networks in India and Vietnam, but failed to breach government systems in Britain. 

While the Justice Department did not assert that Beijing was explicitly backing the hackers, it noted that some of the defendants felt they could hack with impunity as long as they did not target domestic Chinese companies, believing their ties to the authorities provided them free rein to hack and steal across the globe.  

The Trump administration has brought several cases against Chinese hackers in recent months and has accused Beijing of sponsoring espionage and hacking attempts to steal American intellectual property and undermine national security. 

Go deeper:

Malaysian digital gaming firm’s top execs facing extradition after US accuses them of hacking, among other charges

China backs new Vatican hacking, cyber firm Recorded Future says

Russia and China dismiss Microsoft allegations of bids to hack Biden and Trump camps

ANOTHER FAVOURITISM SCANDAL ROCKS SOUTH KOREA IN SETBACK FOR PRESIDENT MOON

South Korean President Moon Jae-in’s presidency has been rocked by a fresh favouritism scandal, after Justice Minister Choo Mi-ae was accused of inappropriately helping her son extend his medical leave from military service.

The scandal, which has dominated local politics, comes just a year after another high-flying justice minister, Mr Cho Kuk, was forced to step down after allegedly abusing his influence to benefit his children. 

The scandals have renewed anger over inequality in South Korea, an issue that fuelled the downfall of former president Park Geun-hye in 2016 and propelled Mr Moon to power on a promise of a “world without privilege”. 

Here’s more:

South Korea’s ruling party picks ex-PM Lee Nak-yon as possible Moon successor

ASIAN INSIDER VIDEO: MYANMAR BRACES FOR ELECTIONS AMID CONFLICT AND COVID-19

As Myanmar gears up for a national election on Nov 8, the result seems all but certain, with Ms Aung San Suu Kyi’s National League for Democracy (NLD) tipped to secure another term in power, despite disaffection for the Nobel Laureate amongst minorities in the country. 

In our latest edition of the ST Asian Insider video, analyst and Myanmar Adviser to the International Crisis Group Richard Horsey tells The Straits Times’ US Bureau Chief Nirmal Ghosh that an upward trend in coronavirus cases in Myanmar could deter voters from going to the polling booths, but Ms Suu Kyi’s popularity will nevertheless secure victory for her party. 

Independent analyst David Mathieson suggests that Ms Suu Kyi squandered the mandate given to her in the 2015 poll by failing to address the ethnic divisions in the country that have resulted in long-running insurgencies within the country, and that a greater mandate in the upcoming election is unlikely to bring about a change in this regard.

TAIWAN CALLS FOR GLOBAL DEFENCE AGAINST CHINA ‘THREAT’

Taiwan Foreign Minister Joseph Wu has urged the international community to help defend his country and region against “expansionist” Chinese moves, expressing fears that Beijing will resort to force to take over what the Communist Party sees as its own territory. 

Mr Wu said China has been stepping up its military threat to Taiwan in recent years, with heightened military exercises in the region and more than 30 Chinese military planes crossing into Taiwan’s air defence identification zone in recent weeks. 

Warning that a war with China could be a real possibility, Mr Wu also highlighted Chinese actions in the South China Sea, on the border with India and in Hong Kong as examples of a threat to regional stability and the sovereignty of nations. 

Read more:

US pushes arms sales surge to ‘Fortress Taiwan’, needling China: Sources

Taiwan says Chinese anti-submarine aircraft off its coast

HUAWEI PHONE PRICES RISE IN CHINA ON FEARS OF CHIP SHORTAGE

A rush by Chinese consumers to buy smartphones from Huawei Technologies amid fears that curbs on the firm’s access to US technology will soon cut off production of premium handsets has caused a spike in the prices of the manufacturer’s new and used phones.

Mr Richard Yu, the chief executive of Huawei’s consumer business, had said that the company will stop making its Kirin chips on Sept 15 because of US measures to cut off its chipmaking unit HiSilicon from vital technology. 

Wholesale traders at the market said they had been busy for the last month meeting extra demand for online sales, with prices of higher-end phones rising every few hours and the average price of phones going up by 400 to 500 yuan (S$80.38 to S$100.47). 

Read more:

Chip group to warn Trump administration against blacklisting China’s SMIC 

AUSTRALIA REGULATOR DARES FACEBOOK TO BLOCK NEWS CONTENT

Australia’s top anti-trust regulator has warned Facebook Inc that it will be weakened if it stops Australians from sharing news so that the company can avoid paying for content under proposed laws. Facebook said this month it would stop Australians from sharing local and international news on its website after Australia proposed forcing the social media platform and Internet search titan Google to pay local media outlets for content.

IN OTHER NEWS

WUHAN NEXT-OF-KIN ACCUSE LOCAL GOVERNMENT OF BLOCKING COVID-19 LAWSUITS: Families of coronavirus victims in Wuhan have accused the Wuhan authorities and Hubei provincial government of concealing the outbreak, failing to alert the public and bungling the response to the epidemic, which allowed Covid-19 to explode out of control. The families say lawsuits filed against the Wuhan authorities have been rejected by a court on unspecified grounds, but the determined next of kin are planning to file their complaints with a higher, provincial-level court and could take it all the way to the highest court in Beijing. 

RED CROSS WARNS CORONAVIRUS IS DRIVING DISCRIMINATION IN ASIA: The novel coronavirus is driving discrimination towards vulnerable communities in Asia, including migrants and foreigners, according to the International Federation of Red Cross and Red Crescent Societies. A survey of 5,000 people in Indonesia, Malaysia, Myanmar and Pakistan found that about half blamed a specific group for spreading the coronavirus, with many mentioning Chinese people, immigrants and foreigners. 

TRAVELLERS SNAP UP REGIONAL AIRLINES’ SCENIC ‘FLIGHTS TO NOWHERE’: A seven-hour scenic flight over Australia’s Outback and Great Barrier Reef sold out in 10 minutes, Qantas Airways said as it joined a growing trend in Asia offering “flights to nowhere” that take off and land at the same airport. Tickets costing between A$787 and A$3,787 (S$780 and S$3,750) for 134 available seats were quickly snapped up, with a Qantas spokesman saying it was probably the fastest-selling flight in the airline’s history. 

BYTEDANCE RIVAL KUAISHOU AIMS TO RAISE UP TO US$5B IN HONG KONG IPO: Chinese online video start-up Kuaishou aims to raise up to US$5 billion (S$6.8 billion) through an initial public offering (IPO) in Hong Kong as early as January. The rival to ByteDance – the operator of Douyin at home and TikTok abroad – is targeting a valuation of US$50 billion and has hired Bank of America, China Renaissance and Morgan Stanley to work on the IPO. 
 

That’s it for today. Hope today’s bulletin was interesting for you. Thanks for reading and we’ll be back with you tomorrow.

Arvind

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