India election paves way for economic reform

From Yahoo news:

MUMBAI, India – India Inc. breathed a huge sigh of relief Sunday, a day after the ruling Congress Party won one of the most definitive electoral victories in nearly two decades of fractious coalition politics.

Congress' victory — and the near-collapse of India's once-powerfulcommunist parties — means key reforms in insurance, pension funds, banking and retail are now likely to get enacted.

But that doesn't translate into a mandate for sweeping pro-market liberalization, analysts say.

The global financial crisis has tempered India's appetite for deeper foreign investment and looser regulation. Moreover, Congress, which oversaw an unprecedented four-year boom, has cast itself as the party of "inclusive growth," a policy approach aimed at helping India's vast underclass while also pushing free-market reforms. It is unlikely to roll back costly social welfare programs that helped the party win the election — but also added to the nation's burgeoning fiscal deficit.

With the Congress-led coalition capturing 262 seats in India's 543-seat Parliament, Congress officials were in talks Sunday to finalize their political alliance — seeking the 10 additional spots needed to nudge them over the halfway mark in Parliament.

Mumbai attack suspect pleads not guilty

From Yahoo! News:

MUMBAI, India – The only surviving suspected gunman in last year's terrorist attacks in Mumbai pleaded not guilty Wednesday to all charges against him, including waging war against India and murder.

Prosecutors told the court that Mohammed Ajmal Kasab was one of 10 attackers responsible for killing 166 people and wounding 234 more during the three-day siege of India's financial capital last November. Nine other suspected gunmen were killed during the attacks.

Judge M.L. Tahiliyani, who is presiding over the trial, read out all the charges against Kasab in a Mumbai courtroom Wednesday. Kasab responded with a plea of not guilty and said, "I don't accept these charges."

Kasab will face the death penalty if convicted.

Kasab also told the court that he was 21 years old, prompting laughter in the courtroom because of the defense's recent attempts to prove that Kasab was a minor — under 18 years — which would have meant lighter penalties. After several medical examinations, Tahiliyani ruled that Kasab was 21 and would be tried as an adult.

Kasab also said that he was a laborer from the town of Faridkot in Pakistan's Punjab province.

Prosecutors claim the attacks were masterminded by the Muslim militant group Lashkar-e-Taiba, and say investigations are ongoing to determine the scope of Pakistani involvement in the attack.

The attacks raised tensions between India and Pakistan, nuclear-armed rivals who have fought three wars against each other since gaining independence in 1947.

Kasab's two co-defendants — both Indians accused of helping plot the attack — also pleaded not guilty to a string of charges that included murder and waging war against India. They also face the death penalty.

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