Europe will get its money back, says Bank of Greece






BERLIN: Greece will pay back the billions of euros of European aid it has received to fight its debt crisis, the head of the country's central bank told Germany's Sueddeutsche Zeitung.

"I understand the concern of European taxpayers," Governor of the Bank of Greece George Provopoulos, said in Thursday's edition of the daily newspaper.

"But I can tell you one thing: this time, the government will get results. The country is transforming itself. The Europeans will get their money back."

"The Greeks, including the politicians, have understood one thing: this time around it's the last chance for Greece," he added.

Provopoulos acknowledged that the application of structural reforms required by the country's international creditors had in the past not been adequate.

"That was a big mistake," he said.

He also conceded that if "tax evasion is a problem in every country, it is particularly prevalent in Greece".

But he insisted that confidence was returning to the country, for while 87 billion euros ($118b) had been withdrawn from Greek bank accounts since 2010, 15 billion euros had been put back in over the past seven months.

The EU and IMF have committed a total of 240 billion euros ($320b) in rescue loans to Greece since 2010. In return they insisted on a tough austerity programme to get the country's finance in order.

So far, however, Greece has failed to deliver, particularly when it has come to cutting the public deficit.

The coalition government led by Prime Minister Antonis Samaras announced last week that Greece had narrowed its public deficit to 8.1 per cent in 2012, marking a rare improvement over targets pledged to its EU-IMF creditors.

The hardship caused by the swingeing public sector cuts has caused a wave of sometimes violent protests and strikes.

The harsh economic climate has also seen the rise of the far-right in the country with the neo-Nazi Golden Dawn winning 18 seats in the 300-seat parliament in last year's elections.

International human rights groups have warned of a surge in xenophobic attacks on migrants in Greece.

- AFP/ck



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Facebook moving fast on mobile, and spending tons on everything



Risk. What risk? Facebook's ballooning mobile audience is proving to be anything but a bubble-bursting group. Chief Executive Mark Zuckerberg today told analysts that the social network's laser-focus on mobile is paying off handsomely -- the result, in part, of accidental good fortune.

"There's no argument, Facebook is a mobile company," Zuckerberg told investors after the company reported fourth-quarter adjusted earnings per share of 17 cents and revenue of $1.59 billion, which was slightly ahead of what Wall Street had expected.

Yes, there's apparently no place like mobile for Facebook. The company said it saw monthly active mobile users jump 57 percent year-over-year to 680 million people in the fourth quarter. And its daily active users on mobile eclipsed desktop users for the first time in the company's history.

Facebook also said it generated 23 percent of its fourth-quarter advertising revenue -- or $306 million -- from mobile. That's double what the company made from mobile last quarter and an impressive percentage considering that Facebook's mobile ad units rolled out just this past June.


Lucky Facebook In the third quarter, Facebook had 604 million people per month using the network on mobile devices. The ever-expanding audience contributed 14 percent to the social network's ad revenue for the quarter, which amounted to roughly $152.6 million. The 604 million people also represented 61 percent year-over-year growth, a mobile migration that would have alarmed investors had Facebook failed to prove that it could monetize members' on-the-go eyeballs.

"A couple of quarters ago mobile revenues were zero percent of our ads revenue," Chief Financial Officer David Ebersman said. "Now we're up to 23 percent and believe there's a lot of growth ahead of us."

In short, Facebook seems to be having little problem monetizing attention as users migrate en masse to the company's mobile apps. The surpise, as Zuckerberg said a few times, is that Facebook threw up ads in the news feed without kick-starting a revolt, something most of us probably assumed would be the case. People hate ads, right?

"One of the big drivers of [mobile revenue] was that as we rolled out ads in news feed, we found that it barely affected the level of engagement on Facebook," Zuckerberg said. "We thought that we could make this work over time without a big impact if we spent a long time tuning the ads, but the numbers turned out even better than we thought without much tuning."


Facebook expected news feed ads to send people fleeing and thought it would need to double-down on ad quality. But that didn't happen, so the company felt so confident that it upped the number of ads it served. Without any fine-tuning, Facebook noticed a marginal "2 percent" engagement dip after pumping up the volume on ads.

More simply put: Facebook got lucky with news-feed ads, aka "Sponsored Stories," and people have yet to flinch. Sponsored Stories, which COO Sheryl Sandberg has called the cornerstone of Facebook's mobile monetization strategy, are status updates that brands and advertisers pay to promote more widely inside the feed on Facebook.

Facebook's semi-accidental success with news-feed ads, should you believe Zuckerberg, Ebersman, and COO Sheryl Sandberg, suggests that once the social network actually figures out how to make the ads better -- through improved targeting and better formats, according to Zuckerberg -- mobile news feed ads will lead to far fatter profits.


A new concern
Investors, however, aren't entirely sold. Even if Facebook's mobile risk, which weighed on the stock for several months after it debuted in May, seems like a distant nightmare, there's another problem: Facebook is spending like crazy.

The social network's costs and expenses, excluding share-based compensation, were $849 million, an increase of 67 percent from the same quarter a year ago. Research and development, including share-based compensation costs, made up 19 percent of expenses in the quarter, up from 11 percent a year ago. Overall, operating margins narrowed to 46 percent in the fourth quarter from 55 percent in the last quarter of 2011, and profit fell 79 percent.

Hello, sticker shock. The shop-till-you-drop costs gave investors cause for immediate concern and contributed to stock volatility in after-hours trading. Shares are currently down roughly 3 percent from Facebook's $31.24 Wednesday close.

But it gets worse. Zuckerberg warned that Facebook would whip out its credit cards and go on a product and personnel spending spree in the year ahead. In what amounted to a verbal slap in the face, he said Facebook expects "expenses to grow at a faster rate than we expect to grow our revenue this year, which means that we aren't operating to maximize our profits this year."

"[Facebook] said spending excluding stock-based compensation would go up 50 percent [in 2013]. That suggests [Facebook] will grow spending by $1.4 billion," Wedbush analyst Michael Pachter told CNET. "[Facebook] needs 28 percent revenue growth just to keep net income flat."


Which means Zuckerberg, perhaps feeling emboldened by the early success in tackling the mobile problem, might try Wall Street's patience for a while longer while he continues to expand his empire.


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Obama: "No doubt" Congress will pass immigration, gun bills




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Obama: "No doubt" gun, immigration bills will pass in coming months



There's more bipartisan support in Congress for comprehensive immigration reform than gun control legislation, President Obama said tonight during an interview with Univision, but qualified that even under his proposal, illegal immigrants shouldn't be harboring expectations that they'll be granted citizenship "manana."

"Even under our proposal, this is not a situation where overnight, suddenly people all find themselves as citizens," Mr. Obama told the Spanish-language television network. "They're going to have to go to the back of the line. We're going to have to clear out the existing line, backlogs we have in terms of illegal immigrants, because they did it the right way. We shouldn't punish them for breaking the law.

"...What we don't want to do is to create some vague prospect in the future that somehow comprehensive immigration reform that includes a pathway to citizenship will happen manana," he continued, chuckling softly at the somewhat awkward injection of the Spanish word for "tomorrow." "But we have to put that in place at the outset, and make sure people are clear that this pathway is real and not just a fantasy for the future."

Asked whether he was in a standoff with Sen. Marco Rubio, R-Fla., the son of Cuban immigrants who has said he will not support a bill that does not put border control ahead of a path to citizenship, Mr. Obama said no, but pointed out that the number of people crossing the border illegally has dropped "about 80 percent since 2000."


On Tuesday, the president delivered a speech in Las Vegas outlining his immigration plan and applauding a bipartisan group of eight senators that has offered up proposals as well. In an interview today with another Spanish language network, Telemundo, he specified that he's hoping immigration reform that includes a pathway to citizenship can be passed in the next six months, but "certainly this year."

Meanwhile, despite facing more resistance from the right on tightening gun laws, he said he has "no doubt" that Congress will be able to put through legislation on gun control, as well as immigration.




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"On the gun issue, you're starting to see gun owners, people who traditionally have opposed gun control, saying, 'You know what, when 20 of our children are shot by somebody who is disturbed, and when it is that easy to get these high-clip magazines that can fire off hundreds of shots in a few minutes, then it's time for us to do better job on background checks, to get control of these magazine clips, to really crack down on gun trafficking," Mr. Obama said in the Univision interview.

The Senate Judiciary Committee today held the first congressional hearing on gun violence since last month's massacre at a Newtown, Conn., elementary school, that left 20 children and six adults dead. Star witnesses included former Rep. Gabrielle Giffords, D-Ariz., who survived a shot to the head two years ago during an assassination attempt that left six people dead, and her husband on one side, and NRA CEO Wayne LaPierre on the other.

Both gun control and immigration "will end up generating some opposition," the president said. "There will be passions on both sides. But I'm generally encouraged that the Senate seems to be having a serious conversation about these issues."

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Former Police Captain Cleared of Ex-Wife's Murder













A former Ohio police captain has been cleared in the murder of his ex-wife and released from prison, where he had been for 15 years -- but prosecutors say they plan to appeal the ruling.


"I'm just a jumble of emotions and I just can't wait to hug all of my family," Douglas Prade told reporters outside the prison when he was released Tuesday afternoon, according to ABC News' Cleveland affiliate WEWS-TV.


He thanked "all of the people that supported me and communicated with me and told me to keep my spirits up."


Prade's ex-wife, Dr. Margo Prade, 41, was found shot to death in her minivan outside of her medical practice in November 1997.


Douglas Prade was an Akron, Ohio, police captain at the time.


At trial, he was convicted on murder and wiretapping charges and sentenced to life in prison.


Prade, now 66, maintained his innocence and, eventually, the Ohio Innocence Project took up his cause and petitioned for his release or a new trial based on new DNA testing.


One of the key factors in Prade's conviction was a bite mark found on Margo Prade's body. The prosecution brought in an expert that testified the bite mark came from Douglas Prade.






Phil Masturzo/Akron Beacon Journal/AP Photo











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The Ohio Innocence Project commissioned a new DNA test that was not available at the time of the trial. The test found that the DNA around the bite was not Douglas Prade's.


Summit County Court of Common Pleas Judge Judy Hunter ruled that Prade should be set free because the new DNA results were "clear and convincing" in Prade's favor, according to the Associated Press.


Prosecutor Sherri Walsh is strongly disputing the new DNA evidence.


"This is a gross misapplication of the law, and we will be appealing Prade's exoneration. The defendant had to present new evidence so convincing that no juror would have found him guilty, and he failed to do so," Walsh said in a statement. "The DNA evidence presented by the Ohio Innocence Project on behalf of Prade is contaminated and unreliable. It does not prove innocence."


Walsh said that all evidence points to Prade as the person who killed Margo Prade.


"He was a serial stalker," Walsh said. "He tapped her phones and recorded more than 400 of her personal calls. He had verbally abused and threatened her. And we know Margo was afraid of him."


Other evidence includes Prade's handwritten tally of the bills he owed subtracted from the life insurance money he'd get if his wife died, Walsh said. Two witnesses placed him at the murder scene.


"We have not seen any credible evidence that suggests innocence, and we are taking all available actions to keep a dangerous killer off the streets," Walsh said.


Margo Prade's family is also upset by the decision.


"I feel like my life is in danger and my family's life is in danger now," Margo Prade's nephew Tony Fowler told the AP. "[Dr. Prade and her mother] are probably turning over in their graves but God will have the final say."


Alison McCarty, the former prosecutor on the case, told WEWS she respected the court's decision, but emphasized that the case is not yet closed.


"[Margo Prade] was such a superstar and it was just such a tremendous loss, and her death still needs justice," McCarty said.


The state has 30 days to file a motion in the court of appeals requesting permission to appeal the decision for a new trial.



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Sixty-five people executed in Syria's Aleppo: activists


BEIRUT (Reuters) - At least 65 people were found shot dead with their hands bound in the northern Syrian city of Aleppo on Tuesday in a "new massacre" in the near two-year revolt against President Bashar al-Assad, activists said.


Opposition campaigners blamed the government but it was impossible to confirm who was responsible. Assad's forces and rebels have been battling in Syria's commercial hub since July and both have been accused of carrying out summary executions.


U.N.-Arab League mediator Lakhdar Brahimi told the U.N. Security Council "unprecedented levels of horror" had been reached in Syria, and that both the government and rebels had committed atrocious crimes, diplomats said.


He appealed to the 15-nation council to overcome its deadlock and take action to help end the civil war in which Syria is "breaking up before everyone's eyes".


More than 60,000 people are estimated to have been killed in the war, the longest and deadliest of the revolts that began throughout the Arab world two years ago.


The U.N. refugee agency said the fighting had forced more than 700,000 people to flee. World powers fear the conflict could envelop Syria's neighbors including Lebanon, Jordan and Turkey, further destabilizing an already explosive region.


Opposition activists posted a video of at least 51 muddied male bodies alongside what they said was the Queiq River in Aleppo's rebel-held Bustan al-Qasr neighborhood.


The bodies had what looked like bullet wounds in their heads and some of the victims appeared to be young, possibly teenagers, dressed in jeans, shirts and trainers.


Aleppo-based opposition activists who asked not to be named for security reasons blamed pro-Assad militia fighters.


They said the men had been executed and dumped in the river before floating downstream into the rebel area. State media did not mention the incident.


The British-based Syrian Observatory for Human Rights, which says it provides objective information about casualties on both sides of Syria's war from a network of monitors, said the footage was evidence of a new massacre and the death toll could rise as high as 80.


"They were killed only because they are Muslims," said a bearded man in another video said to have been filmed in central Bustan al-Qasr after the bodies were removed from the river. A pickup truck with a pile of corpses was parked behind him.


STALEMATE


It is hard for Reuters to verify such reports from inside Syria because of restrictions on independent media.


Rebels are stuck in a stalemate with government forces in Aleppo - Syria's most populous city which is divided roughly in half between the two sides.


The revolt started as a peaceful protest movement against more than four decades of rule by Assad and his family, but turned into an armed rebellion after a government crackdown.


About 712,000 Syrian refugees have registered in other countries in the region or are awaiting processing as of Tuesday, the U.N. refugee agency said.


"We have seen an unrelenting flow of refugees across all borders. We are running double shifts to register people," Sybella Wilkes, spokeswoman for the U.N. High Commissioner for Refugees (UNHCR), told Reuters in Geneva.


The United Nations said it had received aid promises ahead of a donor conference in Kuwait on Wednesday where it is seeking $1.5 billion for refugees and people inside Syria. Washington announced an additional $155 million that its said brought the total U.S. humanitarian aid to the crisis to some $365 million.


Aid group Médecins Sans Frontières said the bulk of the current aid was going to government-controlled areas in Syria and called on donors to make sure they were even-handed.


MISSILES


In the eastern city of Deir al-Zor, insurgents including al Qaeda-linked Islamists captured a security agency after days of heavy fighting, according to an activist.


Some of the fighters were shown carrying a black flag with the Islamic declaration of faith and the name of the al-Nusra Front, which has ties to al Qaeda in neighboring Iraq.


The war has become heavily sectarian, with rebels who mostly come from the Sunni Muslim majority fighting an army whose top generals are mostly from Assad's Alawite sect, an offshoot of Shi'ite Islam. Assad has framed the revolt as a foreign-backed conspiracy and blames the West and Sunni Gulf states.


Fighting also took place in the northern town of Ras al-Ain, on the border with Turkey, between rebels and Kurdish militants, the Observatory said.


In Turkey, a second pair of Patriot missile batteries being sent by NATO countries are now operational, a German security official said.


The United States, Germany and the Netherlands each committed to sending two batteries and up to 400 soldiers to operate them after Ankara asked for help to bolster its air defenses against possible missile attack from Syria.


(Additional reporting by Sylvia Westall in Kuwait, Sabine Siebold in Berlin and Stephanie Nebehay in Geneva; Editing by Andrew Heavens and Robin Pomeroy)



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21,227 cartons of contraband cigarettes seized






SINGAPORE: Customs officers seized 21,227 cartons of contraband cigarettes and arrested five men and a woman during islandwide operations last week.

Singapore Customs said on Wednesday that the total value of the cigarettes seized was over S$2 million, while the total duty and goods and services tax (GST) evaded was S$1.8 million.

Three distribution networks were disrupted.

The biggest seizure was from a prime-mover, which had a consignment of goods declared as pottery.

The vehicle, which was moving out of Jurong Port on 23 January, had 18,000 cartons of duty-unpaid cigarettes hidden in wooden crates.

Three men were arrested in connection with this seizure.

Investigations are ongoing.

- CNA/ck



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Obama backs immigration reform for skilled tech workers



Obama announced today that he backs immigration reform.



(Credit:
White House)


Tech companies may score a victory in their hopes to get immigration reform passed for skilled tech workers.

President Obama urged Congress today to work on immigration policy that would allow foreign-born startup founders to stay in the country. At the same time, several U.S. senators introduced a bill focusing on the same. As U.S. immigration policy currently stands, U.S.-educated computer programmers and engineers could be deported once finishing school.

"Right now in one of those classrooms there are students wresting with how to turn their big idea -- their Intel or Instagram -- into a big business," Obama said during a speech in Las Vegas today. "We're giving them all the skills they need to figure that out, but then we're going to turn around and tell them to start that business and create those jobs in China or India or Mexico or someplace else. That's not how you grow new industries in America. That's how you give new industries to our competitors. That's why we need comprehensive immigration reform."

The president mentioned that Instagram was co-founded by an immigrant -- Brazilian Michel Kreiger who studied at Stanford University. But, he said, not all startup founders are able to secure visas and stay in the U.S.

In addition to Obama urging Congress to act today, a handful of U.S. Senators -- Orrin Hatch, R-Utah, Amy Klobuchar, D-Minn., Marco Rubio, R-Fla., Chris Coons, D-Del. -- introduced new legislation called the Immigration Innovation Act of 2013. This bill focuses on reforming the country's immigration laws for high-skilled workers. The idea is to increase the H-1B visa cap from 65,000 to 115,000, along with easing green cards rules.

Several tech companies have come out in support of such reform. Google, Intel, and Hewlett Packard all commended the government's efforts on changing the country's immigration policy today.

Google's senior vice president of People Operations Laszlo Bock wrote in a blog post today that immigrants founded 40 percent of tech sector companies that went public in the U.S., including Yahoo, eBay, Intel, and Google. And, one in four startups were founded by an immigrant. Combined, these companies employ about 560,000 workers and make $63 billion in sales.

"Our experiences here at Google and in the tech sector show us that immigrants to the U.S. are a powerful force for entrepreneurship and innovation at every level, from startups to multinational corporations," Bock wrote.

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Grandson of oil tycoon T. Boone Pickens dies in Texas

Updated 8:35 PM ET

FORT WORTH, Texas A 21-year-old grandson of Texas oil tycoon T. Boone Pickens died Tuesday after being rushed to a hospital in Fort Worth, according to police and a family spokesman.




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Thomas Boone Pickens IV, who went by Ty, was a junior at Texas Christian University. Pickens' spokesman, Jay Rosser, called the death an "unspeakable family tragedy" and asked that the family be allowed to grieve in private.

As reported by CBS Station KTVT Dallas, the family issued a statement: "Ty's loss at such a young age is an unspeakable family tragedy for the entire Pickens family and his many friends. We mourn his passing and respectfully request that the family be allowed to grieve in private in this time of sorrow."

Neither Rosser nor Fort Worth police have said what may have caused the death.




10 Photos


Thomas Boone "Ty" Pickens IV



Officers were dispatched after getting a report of a dead person at an off-campus location around 9:30 a.m. Tuesday, police spokeswoman Cpl. Tracey Knight said. Police said Ty Pickens was transported to a hospital, where he was pronounced dead.

Knight said the Tarrant County medical examiner would determine the cause of death. She declined further comment.


T. Boone Pickens appears on "CBS This Morning," Aug. 23, 2012.

T. Boone Pickens appears on "CBS This Morning," Aug. 23, 2012.


/

CBS News

The elder Pickens made much of his fortune in oil drilling but has since become an advocate for alternative energy. The 84-year-old also is active in politics and has donated millions of dollars to his alma mater, Oklahoma State University, and various other causes.

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Jodi Arias Borrowed Gas Cans Before Killing Ex













Accused murderer Jodi Arias borrowed two five-gallon gas cans from a former boyfriend the day before she drove to Arizona to kill another ex, Travis Alexander, according to testimony in Arias' murder trial today.


In cross examination, prosecutors also forced Arias' former live-in boyfriend Darryl Brewer to describe his sex life with Arias as "pretty aggressive."


Brewer, 52, dated Arias for four years and shared a home with her in California for two years. He told the court today that Arias called him in May 2008, asking to borrow gas cans, but would not explain why. She called him again at least two more times, and arrived at his house on June 2008, to borrow the cans.


On the day she picked up the gas cans she told Brewer that she was going to visit friends in California and Arizona.


Prosecutors argue that Arias then drove to Mesa, Ariz., where she allegedly had sex with Alexander, took nude photos of him, and then stabbed him 27 times, slashed his throat, and shot him twice in the head. She is charged with murder and could face the death penalty if convicted.


Arias, who claims she killed Alexander in self defense, had approached prosecutors two years ago offering to plea to a second degree murder charge, which could carry a 25 year term, but the state rejected the offer, Nancy Grace reported on Good Morning America today.


Brewer said that Arias never returned the gas cans. The pair had been broken up two years earlier and they had only spoken "sporadically," he said.








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Prosecutors also showed receipts from Arias' trip from her California home to Alexander's home in Mesa, showing that she purchased a 10 gallons of gas at one gas station the night before she drove to Arizona, and then another 10 gallons from a different gas station 10 minutes later. Prosecutors are expected to argue she brought the gas with her to fill up her car secretly on the way to Alexander's home, showing premeditation for the murder.


Arias' attorneys called Brewer as one of their first witnesses as they began mounting their case that Arias killed Alexander in self defense, arguing that Alexander was controlling and abusive toward Arias.


They asked Brewer to explain how he and Arias had been in a stable relationship for four years, from 2002 to 2006, and had bought a home together before Arias met Alexander at a business conference and began to change.


"I saw a lot of changes in Jodi. She became a different person than I had known previously," Brewer said, describing how Arias' behavior changed in May 2006 when she joined a company called Pre-Paid Legal. There, she met Alexander and began seeing him. She continued to live with Brewer.


"She had continued to pay the mortgage, but she was not paying other household bills, she began getting into debt or financial trouble," Brewer said. "For me it seemed she was not as rational or logical."


Arias also converted to Mormonism while living with Brewer, telling him that he could no longer curse and she would no longer have sex with him because she was saving herself for marriage.


The pair had previously had an "enthusiastic" and "aggressive" sex life, Brewer admitted to prosecutors. They had engaged in anal sex, Arias had taken nude photos of Brewer, and Arias had purchased breast implants in 2006, he testified.


Brewer said that after Arias began to change, he made arrangements to move closer to his son from his first marriage, and he and Arias broke up.


They kept in touch with occasional phone calls until Arias asked to borrow the gas cans in June 2008, and then called him a week after borrowing the cans to say that her friend had been killed.


Martinez, reading notes from an interview Brewer gave to authorities during the investigation into Alexander's death, asked if Arias had ever mentioned needing an "alibi." Brewer said he did not recall any conversation about alibis.


"After this date of June 4, 2008," Martinez asked, "you received a call from Jodi Arias, and she was very agitated?"


"She was sad," Brewer said.


"Did she tell you that her friend had been killed and she did not have an alibi?"


"I don't remember that," Brewer said.


Arias was arrested a month after Alexander was found dead, in July 2008.



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French seal off Mali's Timbuktu, rebels torch library


GAO, Mali (Reuters) - French and Malian troops retook control of Timbuktu, a UNESCO World Heritage site, on Monday after Islamist rebel occupiers fled the ancient Sahara trading town and torched several buildings, including a library holding priceless manuscripts.


The United States and the European Union are backing a French-led intervention in Mali against al Qaeda-allied militants they fear could use the West African state's desert north as a springboard for international attacks.


The recovery of Timbuktu followed the swift capture by French and Malian forces at the weekend of Gao, another major town in Mali's north that had been occupied by the alliance of jihadist groups since last year.


The two-week-old mission by France in its former Sahel colony, at the request of Mali's government, has driven the Islamist rebels northwards out of towns into the desert and mountains.


Without a shot being fired, 1,000 French soldiers and paratroopers and 200 Malian troops seized Timbuktu airport and surrounded the town on the banks of the Niger River, looking to block the escape of insurgents.


In both Timbuktu and Gao, cheering crowds turned out to welcome the French and Malian troops.


A third town in Mali's vast desert north, Kidal, had remained in Islamist militant hands. But Malian Tuareg MNLA rebels, who are seeking autonomy for their northern region, said on Monday they had taken charge in Kidal after Islamist fighters abandoned it.


A diplomat in Bamako confirmed the MNLA takeover of Kidal.


A French military spokesman said the assault forces at Timbuktu were avoiding any fighting inside the city to protect the cultural treasures, mosques and religious shrines in what is considered a seat of Islamic learning.


But Timbuktu Mayor Ousmane Halle told Reuters departing Islamist gunmen had four days earlier set fire to the town's new Ahmed Baba Institute, which contained thousands of manuscripts.


UNESCO spokesman Roni Amelan said the Paris-based U.N. cultural agency was "horrified" by the news of the fire, but was awaiting a full assessment of the damage.


Ali Baba, a worker at the Ahmed Baba Institute, told Sky News in Timbuktu more than 3,000 manuscripts had been destroyed. "They are bandits. They have burned some manuscripts and also stole a lot of manuscripts which they took with them," he said.


Marie Rodet, an African history lecturer at Britain's School of Oriental and African Studies, said Timbuktu held one of the greatest libraries of Islamic manuscripts in the world.


"It's pure retaliation. They (the Islamist militant rebels) knew they were losing the battle and they hit where it really hurts," Rodet told Reuters. "These people are not interested in any intellectual debate. They are anti-intellectual."


ISLAMISTS "ALL FLED"


The Ahmed Baba Institute, one of several libraries and collections in Timbuktu containing fragile documents dating back to the 13th century, is named after a Timbuktu-born contemporary of William Shakespeare and houses more than 20,000 scholarly manuscripts. Some were stored in underground vaults.


The French and Malians have encountered no resistance so far in Timbuktu. But they will now have to comb through a labyrinth of ancient mosques, monuments, mud-brick homes and narrow alleyways to flush out any hiding fighters.


The Islamist forces comprise a loose alliance that groups Al Qaeda in the Islamic Maghreb (AQIM) with Malian Islamist group Ansar Dine and AQIM splinter MUJWA.


They have retreated in the face of relentless French air strikes and superior firepower and are believed to be sheltering in the rugged Adrar des Ifoghas mountain range, north of Kidal.


The MNLA Tuareg rebels who say they now hold Kidal have offered to help the French-led offensive against the al Qaeda-affiliated Islamists. It was not clear, however, whether the French and Malians would steer their offensive further towards Kidal, or hold negotiations with the MNLA.


FRANCE: MALI "BEING LIBERATED"


The world was shocked by Timbuktu's capture in April by Tuareg fighters, whose separatist rebellion was later hijacked by Islamist radicals who imposed severe sharia (Islamic law).


Provoking international outrage, the Muslim militants - who follow a more radical Salafist brand of Islam - destroyed dozens of ancient shrines in Timbuktu sacred to Sufi Muslims, condemning them as idolatrous and un-Islamic.


They also imposed a strict form of Islamic law, or sharia, authorizing the stoning of adulterers and amputations for thieves, while forcing women to go veiled.


On Sunday, many women among the thousands of Gao residents who came out to celebrate the rebels' expulsion made a point of going unveiled. Other residents smoked cigarettes and played music to flout the bans previously imposed by the rebels.


Hundreds of troops from Niger and Chad have been brought to Gao to help secure the town.


"Little by little, Mali is being liberated," French Foreign Minister Laurent Fabius told France 2 television.


Speaking at a news conference in Paris, French President Francois Hollande said French troops would take a step back once the job of retaking key towns was complete, and Malian and other African troops would take over the task of hunting the rebels.


"They are the ones who will go into the northern part, which we know is the most difficult because that's where the terrorists are hiding," Hollande said.


As the French and Malian troops thrust into northern Mali, African troops for a U.N.-backed continental intervention force for Mali, expected to number 7,700, are being flown into the country, despite severe delays and logistical problems.


Outgoing African Union Chairman President Thomas Boni Yayi of Benin scolded AU states at a weekend summit in Addis Ababa for their slow response to assist Mali while former colonial power France took the lead in the military operation.


Burkina Faso, Benin, Nigeria, Senegal, Togo, Niger and Chad are providing soldiers for the AFISMA force. Burundi and other nations have pledged to contribute.


AU Peace and Security Commissioner Ramtane Lamamra said these regional troops could play a useful "clean-up" role once the main military operations against the Islamist rebels end.


Speaking in Addis Ababa on Monday, U.N. Secretary-General Ban Ki-moon said the U.N. was "actively considering" helping the troop-contributing African countries with logistical support.


(Additional reporting by Richard Valdmanis in Sevare, Mali, Bate Felix and David Lewis in Dakar, Maria Golovina in London, Alexandria Sage, Vicky Buffery and Emmanuel Jarry in Paris, Tiemoko Diallo in Bamako, Abdoulaye Massalatchi in Niamey, Richard Lough and Aaron Masho in Addis Ababa; Writing by Pascal Fletcher; Editing by Andrew Heavens)



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