decree i signed states that i as president have lost trust in yuri luzhkov and it is a legal reason for his dismissal and it's happened for the first time but i do not rule out that such cases might happen again i cannot work with officials i can't trust that. this is that the office this morning called for this that it's as if nothing had happened if my gut here have. never really decided that he was. better for her that. as far as legacies are concerned. i'll let the fair comment live love you know if you're sad if it is. because of him that is one of the best places landmarks here in moscow but on the other hand there's such i think. we have

a satchel over there that i love that was a funny thing as much as if it. was that that's like to think that it's very telling of you that your father. has created the mob was like this if it was a. battle that so far there's been no capture for cobbett if it were but. now to hear more about why there's such a lot of the phrase as it was what was it let's hear what might. the constant feature of the moscow mayor and his legendary cab has been the subject of amusement throughout his eighteen years in power selling his custom made seal of a cap it's an auction kindly granted nursery home the one million us dollars it weighs he's mayorship meanwhile he needs more than just one cap to cover the bull spots of his can. he started making his fortune on the economic crisis of the late

ninety's rumors of money laundering have haunted many of his multi-million dollar construction projects across the capital there's lots of problems in the city namely there is no affordable housing for the moscow vides there is a problem of people cheated by the construction pyramids these two and others have to be dealt with before any question about future employment of the mill are to be discussed while the country was losing money during the recent economic downturn in two thousand and nine income increased however the mayor claims it's not his money but he's wife's going about doing that is russia's only female billionaire she was a property development company and many claim it's luzhkov political clout that lands her the deals both in wash and abroad who scoff is known for his strong anti-gay stands never authorizing and even cracking down on gay pride parades

national parts of our society with healthy morals do not accept homos they just don't accept other over the last summer may blame him for mishandling the severe smoke situation in moscow the city it sure worked on toxic smoke for almost a month as wildfires rage while he was invocation out of the city is awful because this one of course every specialist should be responsible for what they are interested with if for example the mayor of moscow comes back from holidays the next day after the small go over the capital has dissolved which was the case this time and i think it is unacceptable he should have been here half an hour after the smog looks like the school has been concentrating a lot on his health rather than that of this city's residents but i don't drink maybe i'm missing out on something but for more than thirty years i haven't had a drop. the money that the russian government. to improve infrastructure rarely make it to the ramshackle roads of moscow he's also been criticised over the

deconstruction of the city's historical and architectural heritage after his long grown foot prints will stay on the streets of the russian capital and then the artsy moscow. well it's also been confirmed yuri luzhkov has quit the country's ruling party that united russia constantine cause a trough who is a member of the party said despite his colleagues efforts cough have lost his connection with the reality the decision of the president about the dismissal of mr last call was not unexpected for the united russia party member and for him to both the ongoing problems and their major problem was quite simple the mayor of moscow. did laws his. connection interconnection of the people of moscow the problem of people inhabitants of

moscow in its experience of the last year it's quite obvious in the party of the united russia party and tried to explain the developing emerging problems to mr law schools but unfortunately he would not listen to us here was too much sure to bolt here i'm not making any mistakes knowing they're still anybody. there are plenty more ahead for you here on r.t. including aliens are curious about our news a group of former american officers claims extra terrestrials have been touring earth for decades and they're after the nuclear arsenals of world powers. a boat carrying jewish activists attempting to reach blockaded gaza i was forced to divert to the port of ashdod in israel by ten israeli warships among those on board

the aid boat is a holocaust survivor and an israeli man who lost his daughter in a palestinian suicide bombing well most four months ago nine pro palestinian activists died in an israeli raid on a turkish aid flotilla a un report described as a disproportionate and brutal this time a london based group jews for justice for palestinians organize this voyage and says not all jews support israel's policies towards published in ns richard cooper spoke to those on board about how the ship was diverted. we've heard that the better work we understand international waters crew and happened in the base being taken throughout don't play well but. really. treatment. we believe the block. you need go. and we want any of them to make. the good

a come back but for the people of god i'm good political challenge for the blockade of gaza and to the come could you talk to. them there were. many jews that the israeli government the future there. are not being conducted with the old or in on and on not in our interest and we do not believe they are in the interest of the greater good so i would go. from zero strictly controlled a communist ideology to an air of innovation and a new generation of open minded people that's how russia's president has described china after you visited the world's biggest technology fair in shanghai expo two thousand and ten and he said now reports this of course is all about the future and innovation and what better place for that take place that here at the shanghai expo

where dmitri medvedev opened russia day he also had a bilateral meeting with steve thing paying what was thought to be the most likely candidate to take over from president hu jintao in twenty twelve so that meeting was seen as a sort of ground laying meeting making a connection with the man who might be leading china in a couple of years to come now the two spent most of the day together they toured the chinese and russians the millions to have the favorites at this year's x. well of course this whole exposition and the russian president being here is also part of a much bigger picture and that is russia's push for modernization so. this exhibition is a unique chance to speed up the modernization authority on a mizzen institutes and of its development is certainly the choices for country who are following this path and will do everything for economy to modernize change and to modern life but the president praised the russian pavilion as being a success he certainly like what you saw there and what better place to start

pushing for modernization in russia and here in china. and it's an obvious that now north korean leader kim jong il has promoted his youngest son kim jong un to the rank of general and what seen as the first step of a power transition it came before the country's ruling a workers' party gathered for its biggest convention in decades now no official announcements were made and the issue of succession has been shrouded in mystery and as r.t. has caterina us out of our reports that practice is not uncommon in north korea. in the twenty first century everything is global and all kinds of information is available online but there remains a lot of mystery in the world wide web that is north korea now many are to be trade secrets. like legal exceptions he was one of you to visit the place and hopefully will share his impressions a alex so tell me you were in place yang what's it like what's your biggest impression be honest with you when i was going there i felt

a little nervous having read all the stories about north korea in the western media that it's scary place it's all to different sort of scary things when i arrived there i thought it was nothing like that but the one thing which oppressed me the most of the first days and first hours the young i saw building on the other side of the over my hotel had no curtains on windows and i asked one of the assistants why is that like he said well if you have curtains in north korea it means you have something to hide so i got the impression that this society is open to its own government whilst its government is closed to the rest of the world it is the societies close to the world as well world attention is turned on north korea for the first workers party meeting in thirty years there are rumors of a man change but that according to those in the know is premature who are those of the. i don't think we should expect any dramatic changes right away because power in north korea is built on the principles of succession and continuity kim jong il

became a leader first and foremost thanks to his image of a true follower of his father's legacy ideas and not to some distort of the foundations or is the person to lead the country's policy into a sharp turn so obviously the same is going to apply to kim jong il's successor. north korea's nuclear ambitions troubled the west and the secretive states tightlipped policies and everything has been successfully used as a tool by countries such as the united states. the united states in particular need a bad guy in the region to justify their military presence in the southern part of the korean peninsula and japan and for deploying our missile defense systems there which they've done somewhat more actively than in europe until now the us and allied military presence in the region was justified by the soviet threat but it's been twenty years without a soviet threat however the united states is not going to give up military alliances established during the cold war and now it is very convenient to have a bad guy in pyongyang that can be used as a scapegoat for everything. to north korea the soviet union was the very opposite

of a threat especially in the korean war of the early one nine hundred fifty s. the u.s.s.r. came to see as many socialist states in largest possible was happy to a communist regime against u.n. troops but the veterans of those battles only recently got the chance to talk about their memories for them it was yet another war that didn't exist. i was there for a year and a half and when we came back we couldn't talk about it we couldn't even hint those that died were buried and the notes to their families would read killed in the course of duty where. there was not open for discussion it was hard but it was top of their course seventy seven out of seventy eight green cities were destroyed almost completely and yet everywhere i went by saw people trying to rebuild homes roads everything we see women on the road carrying their kids and

their belongings to a new town and would give them lifts we weren't allowed to but we did. when the eastern european communist bloc fell apart its influx into the north korean economy plummeted despite the fact a close relationship is maintained by moscow n.p.r. the veil of secrecy is not helping to boost economic development north korea remains one of only five communist states in the world and by far the most mysterious country on the map gas units r r t moscow. well the nuclear arsenals of the world's main powers are generally considered to be ultra secure and well guarded even so as some claim they can be protected from extraterrestrial meddling a group of former american military officers say aliens have been showing interest in the u.s. and russia's nukes for decades subject moon investigates. there's

perhaps few things say normal or routine more than a daily dose of coffee a cup of calm in what can on any day be out of the ordinary. out of the ordinary like a nuclear holocaust out of the ordinary. let's say there's an attack from where it doesn't matter. if that were to happen if nuclear payback wouldn't happen. but. that's a claim made by the men in this room are missiles began going into what's called a no go condition or on launchable essentially they were disabled detailed in this report full of court sanction sworn affidavits the witnesses have described these craft s. disc shaped or cylindrical shape or spherical if you think what's being said inside this building is completely ridiculous you might want to consider something my

name's robert hastings thank you for coming these are men who might know what may have gone on their former air force missile launch officers missile base officers who say u.f.o. spaceships flying saucers make nuclear weapon systems go haywire in one thousand nine hundred sixty six according to a launch officer david sure his missiles were temporarily activated just as his security guard was reporting a bright object moving from missile to missile to missile. a and it's not just in the united states also. in russia the idea like a nine hundred eighty incident that happened in then soviet ukraine given the fact that these incidents have gone on over there including one incident of their missiles being temporarily activated when a u.f.o. was hovering above the missile base identical to. what occurred here i think we can rule out that who all who ever are piloting these craft are either american or

russian. maybe they're right maybe they're wrong. maybe there is no way to ever know but if they are right and then out of the ordinary day is about to unfold. remember the saucer. moon r. t. washington d.c. . all right it's nearly twenty minutes past the hour here in the russian capital let's check out some other news stories in brief now that are making headlines around the world and at least thirty people are missing after a month slide buried them in the northwestern region of colombia the group was boarding a bus when the landslide skated down a mountain and blocked the road rescue efforts had to be suspended because of dangerous conditions caused by rain and visibility the country's rainy season has caused widespread flooding in recent weeks and made roads almost unusable. the deputy governor of a province in eastern afghanistan has been killed in

a suicide attack along with six civilians local police say mohammad khazaee was on his way to work when a motorcyclist riding behind his car detonated a bomb shortly after the attack the afghan president hamid karzai made an emotional speech it was then that he called for a constant threat of attacks that they are the main reason for illiteracy in the country with tears on his eyes he urged afghans to decry the violence which can cause the youth to flee their homes. or in our stephanie joins me with the latest a business update and so steph we understand that bad debt said russian banks are now at their highest level since the beginning of the whole economic crisis that's right mary and now the international finance corporation which is part of the world bank one suggestion stop the system with two hundred million dollars i'll have more on that in just a moment but first. as we've been reporting in the main news the maire of moscow yuri luzhkov has been dismissed by president event if this court has ruled the city

for eighteen years and with it he said the planning conditions for construction business r.t. spoke to the head of penny lane real estate about the impact of his departure on moscow's real estate market we expect very long period of time when everybody is frozen nobody's approving giving any permits everybody is stuck waiting for new orders from the new czar they are all worried if they could do something wrong there will be worried who orders to follow as they do no really know who will be on top tomorrow before everybody is stuck with no job going on. i believe that this would be a huge come to the industry. bad debts that russia's top banks have reached twenty percent of the loan portfolio the highest since the beginning of the crisis the

international finance corporation part of the world bank says russia needs to develop a market for debts so banks can clear them from their balance sheets timothy cross from the i.f.c. says the company proposes to jump start the system with a two hundred million dollar fund. i think that some of the banks here that are trying too hard to collect their loans are not paying attention to their core business and their market share will shrink and they'll be left holding paper that's not worth anything i think the thing is to create a market so you have a market you need buyers and you need sellers so we have plenty of buyers here capitols not the question i see provides financing we also try to match the buyers and the sellers right now we don't have enough sellers there are not enough banks that want to sell their corporate loans so there's loans to small businesses they'll sell retail loans credit card loans things like this but they won't sell corporate loans yet there's too big of a gap between the price banks think that they should get thirty forty cents on the

dollar but buyers that are coming into the market they're not willing to pay that yet there is no track record yet we need a precedent we need a first sale to occur and then prices will go up after that when people see that you can actually collect on bad loans in russia why hasn't the bad that's markets in russia emerged naturally off its own accord it's a little bit of a cycle a psychological issue i think no one wants to admit that they've made bad loans it takes a while to get prepared for this and i think once banks think it through once they see that they're not making progress and restructuring corporate loans once they understand that they're not going to make much progress it makes sense for someone else to give it a try someone that specializes in this business liquidity has a longer goal stop being the banks main problem do you really think that clean a balance so how banks lending i think it will because banks don't have to allocate capital to the bad loans that are sitting on their books if their management

doesn't have to devote time to the bad assets that are sitting in their bank they can spend time doing what they do best which is to originate new loans there people can go out and figure out which corporate lenders are the ones that are most credit worthy which can be their best clients allocate capital to that that's what they need to do. and let's have a quick look at how the equity markets off before european shares are mixed on tuesday hedge fund manager group is leading the decline of the would see it should spell three percent after it reported a sharp drop in pretax profit minded stocks and all companies are also soft of commodity prices. and here in moscow markets are still down an afternoon of trade most of the blue chips are in the red of both the bourses with energy majors and losing the most plus telecom is bucking the trend though up half a percent on the my six this hour lou call is leading the declines drag down one point three percent bank so also driving a b two b. is shedding more than one percent. and in economic news russia's central bank has

kept its key interest rate on hold at seven and three quarters percent for the fourth month in a row bank officials say inflationary risks are of acceptable level and a previously stated that the possibility of a rate hike this year is very small. the world's largest element in producer wants to increase its sales in asia by fifty percent by the end of the year as a first step the russian companies signed a letter of intent to china's north industries corporation or no rinko to acquire a stake and it sells a marketing subsidiary under a long term contract would deliver up to two million metric tons of other menu alloys to asia per year worth more than four billion dollars rinko will invest in results production in siberia to increase the volume of high tech million production sales on the chinese market. and staying with roussel the company has

followed suit in the crossing to jaska region against mineral snicko claiming irregularities in the conduct of its general meeting in june which owns a quarter of known that coal is in conflict with the other main shareholder holder interrupts over who has control of the company resell alleges the changed. in the board at the a.g.m. a favorite interrupts him for a previous agreement to chef intro. and that's all the business news for now but do join me again in an hour's time and of course you can always find most stories on our website that's our team dot com it's. a.

wealthy british. tirelessly. market. find out what's really happening to the global economy. there are no holds barred global financial headlines kaiser report.

tried to reason with germany. it's way. to safety net for themselves and. the whole of the. war efforts to establish a system of collective security in one nine hundred thirty eight. and it's still on the agenda. the lessons to be learned from the. morning news today. these are the images the world has been seeing from the streets of canada. today.

if. someone from feinstein. whose friends starts on t.v. dot com. in some petersburg she's available in hotels for a story and. ambassador in a small school to kowtow to triple a soto a tricycle toto golden center. and see if this visit.

it's now past the hour here in the russian capital you all with your headlines the mayor of moscow is fired after eighteen years in power the president says he no longer has confidence in the capital cities. a group of international activists on a jewish organized aid mission to blockaded gaza is forced to end its journey by israeli warships if the russian president and there's a trip to china by meeting the man widely predicted to be the next leader of the people's republic. and the secretive north korean leader kim jong il promotes his son to a general and a possible first step towards

a hereditary transfer of power. well with north korean leader expected to name his successor any time now talks to an expert on that region. who met kim jong il plus. in the twenty first century everything has become globalized there is practically nothing that a person can find on the internet on the phone or from known sources but north korea remains one of the very few enigmas in the twenty first century and to talk a little more about this effect where r.t. got the chance to talk to the director of the far east studies of the russian cademy of science alexander and i've been with jim thank you so much for joining us north korea remains one of the few mysteries today everything is known information about everything can be found easily but north.