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Terror plot uncovered in Manila

Philippine security forces have arrested three suspects from the Middle East allegedly involved in a plot to bomb the US, British and Australian embassies in Manila, officials said yesterday.

Philippine Executive Secretary Eduardo Ermita confirmed that two men were arrested last month in the southern island of Mindanao and were being interrogated by military intelligence.

A third man, believed to be a Jordanian, was arrested recently in Manila, said a government security official who did not want to be named.

"Indications are that they were part of a plot to bomb at least four foreign embassies in Manila," the source said.

He said that the US, British and Australian embassies were believed to have been among the targets, although he gave no further details.

"There is intelligence information that they are probably terrorists," Ermita told reporters during a security conference in Manila. "Their objective was to create chaos."

Asked if they had links to the Jemaah Islamiyah and Abu Sayyaf militant groups, he said "most likely" but declined to give any further details.

A source at a Western embassy said the embassy was aware of the claims and was still trying to verify the reliability of the information.

A security consultant, who did not want to be named, said: "Despite the alleged bomb plot, security around the three embassies had not been increased."

Similar allegations surfaced on Feb. 14 when the government announced it had uncovered a plot by Islamic militants linked to the al-Qaeda network to assassinate Philippine President Gloria Arroyo and bomb foreign embassies.

In December, an Egyptian teacher was arrested for allegedly plotting a Christmas bomb attack in the southern Philippines. He was later freed on bail and was said to have been escorted out of the country by Egyptian embassy officials.

FINANCING

Meanwhile, a security expert said yesterday that proceeds from the sale of counterfeit cigarettes, medicines, CDs and DVDs that are regularly smuggled into the southern Philippines could be helping fund al-Qaeda-linked militants in the region.

Jeffrey Williams, managing director of private security and investigation firm Orion Support Inc, warned innocent purchases from Internet sites and street markets of fake Nike merchandise, counterfeit CDs and DVDs could be funding militant attacks.

"Terrorist organizations are attracted to counterfeiting and piracy because it's a lucrative business, but also allows terrorists to remain anonymous," Williams told an anti-terrorism forum in Manila.

"It's a high profit and low-risk operation that has grown exponentially," he said.

Citing a study made by Singapore's International Center for Political Violence and Terrorism Research, Williams said trade in counterfeit products was estimated to have reached US$650 billion annually, exceeding the global narcotics trade at US$322 billion.

The Paris-based International Chamber of Commerce has estimated that the global counterfeit market accounts for more than 9 percent of today's world trade, Williams said.
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