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Mr Nelson the chief executive agreed to pay $10000 to settle allegations he failed to

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Mr Nelson, the chief executive, agreed to pay $10,000 to settle allegations he failed to adequately supervise the trader. North to be worst hit by slowdown THE SLOWDOWN in manufacturing will cost some 350,000 jobs and plunge large parts of northern Britain into outright recession, a survey warned yesterday. In its latest regional report, Business Strategies said there would be a marked north-south divide, with employment falling most sharply in the North-east and West Midlands, and these two regions forecast to be in recession next year along with Yorkshire and the Humber. The long-awaited deal, which was announced earlier this morning, is BT's first major investment since receiving a pounds 4bn cash injection in return for its 20 per cent stake in MCI earlier this month. BT buys stake in South Korean firm BRITISH TELECOM is spending pounds 230m on a stake in a South Korean mobile- phone operator as part of its foray into Asia. BT is taking a 23.49 per cent stake in LG Telecom, making it the fast-growing company's second largest shareholder. Scotland would buck the trend, protected by its strength in electronics and call centres, while London and the South-east would suffer the lowest job losses..

He said that many ordinary Iraqis were taking refuge in religion in a similar way to the Taliban in Afghanistan, and young Iraqis considered their leaders excessively moderate in responding to sanctions.Speaking of his differences with Benon Sevan, the head of the UN oil- for-food programme in New York, Mr Halliday said: "I find myself being second- guessed by a headquarters that does not understand the Iraq that I understand, living and working here."The likelihood of sanctions ending soon has been reduced by claims from Scott Ritter, a former US Marine intelligence officer and chief weapons inspector in Iraq for the UN, that Iraq could make three or four 20-kiloton nuclear bombs if it could obtain enriched uranium. Al-Tikriti sent his resignation to Saddam, who immediately put under house arrest al- Tikriti's two brothers.. Rogue trader 'cost AT&T $150m' PENSION FUNDS of AT&T Corp, the US long-distance phone carrier, lost $150m in 1996 at the hands of a rogue trader who used the company's money to make risky bets on stock market movements and the technology industry, the US Securities and Exchange Commission has alleged. The agency disclosed the AT&T losses in a disciplinary action released yesterday against RhumbLine Advisers of Boston and its chief executive officer, John D Nelson.The firm settled SEC charges by agreeing to pay a $50,000 fine. US officials say they find the claim credible though International Atomic Energy Agency officials say Captain Ritter's report has "no credibility".Saddam Hussein's half-brother, who was Iraq's ambassador to the UN headquarters in Geneva, refused to return to Iraq after his diplomatic service ended last month, Arab diplomats said yesterday. But senior US officials have also said that they will stay in place so long as Saddam Hussein remains in power. Mr Halliday said he objected to the politicised and "open-ended" nature of the weapons search.Among the effects of sanctions, Mr Halliday listed the increase of crime and pros- titution in Iraq and the exodus of skilled Iraqis to other countries.

The rest is spent in compensation for victims of the Gulf war and paying for UN operations in Iraq.The first food under the deal arrived last year, but Mr Halliday said that the problem was the collapse of the Iraqi infrastructure because of sanctions.He said: "I'm beginning to see a change in the thinking of the United Nations, the Secretary-General, many of the member states who have realised, through Iraq in particular, that sanctions are a failure and the price you extract for sanctions is unacceptably high." He said states should look again at sanctions as a means of getting governments to change their policies.In theory sanctions will not be lifted until Iraq has satisfied the UN that it has destroyed all its weapons of mass destruction and the means to deliver them. He added that sanctions were incompatible with the UN charter as well as the UN convention on human rights and the rights of the child. Mr Halliday, 57, who is Irish, is resigning from the UN after 30 years. Although he decided in July to leave Baghdad he spelt out his unhappiness only on the eve of his departure.He said: "Four thousand to five thousand children are dying unnecessarily every month due to the impact of sanctions because of the breakdown of water and sanitation, inadequate diet and the bad internal health situation."As UN co-ordinator Mr Halliday was in charge of the oil-for-food deal whereby Iraq is allowed to export pounds 3bn of oil every six months, of whichpounds 1.8bn is spent on humanitarian relief. That is why they forgive him everything, including his mistakes," he said."But when the war will finish, the problems relating to human rights, relating to democracy, to the constitutional and judicial framework will be questioned again. If he has the same behaviour as before, the same people will rebel against him, I assure you," he said.. THE SENIOR UN official in charge of aid to Iraq left Baghdad yesterday after resigning in protest over sanctions, which he called "a totally bankrupt concept" that punished the Iraqi people but not their government. Denis Halliday, the UN humanitarian co-ordinator in Iraq for 13 months, made a fierce attack on UN policy towards Iraq, saying the embargo, imposed in 1990, "probably strengthens the leadership and further weakens the people of the country".

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