with me rule receive shade and a straight to our breaking news this hour ukraine's ex prime minister is jailed for seven years yulia timoshenko was found guilty of abuse of power while signing gas deals with russia two years ago a teaser let's see if skis are following events for us now live just outside the courthouse there in kiev a good to see you alexey so we've certainly seen the footage of scuffles going on there this point though how is the crowd or the crowd reacting to the latest verdict. well the simmering tension of several hours ago has now downgraded to just bragging from the stage which we have been indeed witnessing for the past several months with the two sides of the protests bragging each other saying views if things towards each other but just several hours ago the tension was very high in the streets here in the streets of kiev in front of the court when protesters those who are supporting you to try to organize a march through the street and they were quickly dispersed by the police that had been no cute violence only some pushing and shoving but the tension was certainly

high and could have exploded at any minute now we see that the tension has calmed down the crowd is slowly dispersing the police has diminished their numbers as well but certainly the situation is still a nice age and we do not know where it will go for now i understand that the people have resolved to just picketing the court building and that's what they're planning to do for now without taking any drastic steps any violence now the day of course has been very tense in and outside the courtroom inside when the judge was reading out the verdict was furious with the verdict she was to hear she was over shouting the judge screaming abusive things at him saying that his decision is not done in accordance with the legislation but was orchestrated personally by president victory on the college and indeed unity machine because reaction was very much furious. with the retiring regime. stop me the trial showed that the constitution and justice had been trampled under

i mean she did begin to struggle it's a very difficult and important moment we have to protect ukraine against the authoritarian regime don't give up. it is still unclear whether this is the end of the story where this is the end of it and she will spend seven years in prison in fact because experts are now speculating whether she would appeal against this verdict or even possibly. the president got a call which could sign and amnesty decree for you to be released so many variants are being speculated by experts right now but for now we know that she will most likely spend next seven years in prison she will have to compensate more than two hundred million u.s. dollars in the loss which she delivered to the ukrainian budget and also her property will be confiscated and as well we understand that after being released from prison in seven years she will also be prohibited from taking any governmental job within the next three years so the situation is developing we are waiting for

comments from the european union from russia and we will be updating all of us with all the latest information as we get it right on to some extent of this could there right outside the courthouse and here thank you. today's verdict has already received critical reply from the european union officials with coals for the e.u. to rethink its relations with ukraine bush on reports from brussels. there's been a whole stol reaction from the people in europe here the european union's from policy chief catherine ashton says that she's been following the verdict and that the european union made fact reassess its whole relations with key of as a result of this verdict we've had the e.u. saying is deeply disappointed with the judge's decision and the e.u. commission i did there are consequences for by that relations and earlier today the european commission's they hoped for a review of this of this verdict on appeal i mean we've wanted to see changes in ukrainian law so this sort of case cons happen again the head of the european

parliament regrets the verdict off to michelle and is calling for a review of the case on appeal you claim was to enter the european union has been discussing a free trade agreement and the ukraine president is actually due here in brussels next week to discuss the first steps to joining the european union but the sounds we're getting here from brussels is that this may be put on hold and in fact stopped if if this case is not reviewed let's now listen to an expert for more details on this case the european union has already made it clear that if you use this child very dearly it takes a great give you this trial it doesn't like to see opposition politicians put in prison and i think there is every chance that the european union may take some strong measures such as freezing the talks with ukraine frankly there is no chance at all of ukraine joining the euro so there were serious doubts about whether key of would actually go through with the ukraine would actually be able to join the

european union but this verdict on yulia timoshenko really seems to put the entry of ukraine into the european union into the long grass. i don't see that under bush right there or not so yes now for more insight on the verdict now joined by editor in chief of business new europe a ben iris and then joining us from brussels we have a member of the european parliament of foreign affairs committee richard thank you both for joining us today here on aleksey richard i'll start with you there is a chorus of criticism up from the european union officials concerning the verdict how do you think relations between ukraine and the e.u. could be shaped by this event. what i think catherine ashton speaks for so there will be very strong reaction across europe there appears to be a politically motivated trial that does not meet international standards and independence and fairness cannot be something that is supported by us in the e.u. e.u. ukraine's potential membership the european union is some years away and i think we

shouldn't pretend otherwise but we do once the countries in europe cease to neighborhood to get closer to europe not just in terms of membership in terms of european values like the rule of justice and this is clearly an extraordinary setback and i do think it is quite possible that the invitation for president yanukovych to come here on the twenty eighth of october will now be withdrawn now you are saying moments ago this is a politically motivated verdict here. russia claims it's got agreements with ukraine was signed fully in accordance with the law or what so what's behind the case that i think it's back to old school politics isn't it i mean the abuse of administrative power for political ends and to my mind it's also a case of overkill and so much is because the goal of the whole trial was to exclude submission from the possibility of running in the elections next year and they've come down and a ton of bricks i mean and the irony of it is it's such

a piffling church i mean abuse of office i mean something hasn't benefited materially if you were going to go after her didn't want to investigate. minister and you know the money that she's a accused of taking so that they could have dealt further into a pastor to find something to convict her on and you're again you're saying this is politically motivated if i if i can just cross back to what richard how it officials from the euro commission say that they hope there will be another outcome regarding the case because decision to appeal the verdict here can anything be changed do you think in the in the sentence. where i think it's common belief here in. this is a politically motivated and that means that if different orders from above were given and there was a genuine fair open and independent impartial trial during the appeal then maybe a different verdict would come in and the european union does want to sit back we want ukraine to improve we want democratic transition in ukraine and within the

neighborhood and so for us to practice not just simply to criticize the fed it today to press for an appeal which has international standards of justice and to press during the parliamentary elections next year in ukraine. to be able to be a candidate just like anyone else we don't favor her either we simply want democracy to flower the idea that this is simply an attempt to bar her from taking part in those elections i'm afraid that has some credence i agree with bad and say europe must concentrate its diplomatic fire on saying the appeal beats should meet international standards to weigh the way today's court verdict you're saying would you give me credit for him sitting here in the studio and nodding in nodding his head i think he's put his finger on it and so much as europe would like to see democracy in ukraine flower i mean ukraine and an enormous amount of good will for in the orange revolution however i think today we've seen the die i mean you know

the machine code squandered a lot of good will but now with this this verdict you know we've gone back to form and you know that he's any chance of open democracy seems to have been crushed but he has to be facing the maximum of seven years in prison here they also said three years barred from doing any government job working in the government there i've spoken to some analysts who say well you know she may be good she may be down for a few years but she could be the ultimate phoenix that rises from the ashes your thoughts she's a real political fights i mean she's a firebrand extremely dynamic person and you know this could be turned in so much is that you know. her credentials i mean of all of the revolutionary people she was the one actually true to the faith and hasn't been squandering her or associate yourself with so have you and she has managed to keep a clean image and this was you know she's been. she's been martyred to some sense here she goes behind bars but you're suggesting her supporters will stay in her

corner will continue to continue to rally in a corner if i may just go back to richard how it one more time are your thoughts on a possible a phoenix rising rising from the ashes mr howard. well you know i don't want to be in a position where we're saying she everything what we want to see is stability democracy respect for human rights and the rule of law is there is no doubt after she was in prison before chairing the orange revolution times that actually that increased popularity amongst the crowd in public so i won't be surprised if that happens but i think what we want to say before all of that directly to the training regime is we spent four years negotiating this trade agreement with us in the final stages of that is to to come here to the european parliament as soon as next year all of that . will be frozen and put on ice and last ukraine returns to the passive democracy human rights and a fair justice system when mr how are you mention the issue of the whole gas deals

in the gas wars that we've had for the couple of years now if i could stay with you in brussels do you think that ukraine could use this as a as a stage as a stage for reviewing as a gas field with russia. the irony of a politician who was seen to be more western oriented being beaten by a politician she was seen to be more russian oriented and then to be prosecuted and found guilty for being too proud russian in achieving that deal on behalf of her country really is breathtaking and it's very clear to me that if you think back to two thousand and nine the gas taps being cut off a huge energy problem in ukraine and in fact for the european union as well because of its nature as a transit country mr clearly to all of us doing a job on behalf of her country to try and actually have a crisis and so for her now to be found guilty of in some way. committing

a crime by doing that will not be understood and will not be supported across the european union and it's why ukraine has called this one very very wrong so you're saying that ukraine's call this wrong response me your officials are saying they want to see this really addressed and finally to you there are some that are saying a promise to howard as well that a ukraine will use this case as a reason to review its gas contracts with russia and stop potentially another gas war how do you see that they are very unhappy with the deal and to be to be fair the deal the sun is very generous the cost problem in ukraine i understand is the most profitable business at the moment but you know they're fighting a rear guard action and so much as the north stream copeland has just come online which is going to start by person ukraine from next year and so ukraine's position is getting weaker and weaker. they have to achieve just the fundamental problems which is you know the wasteful use of energy that they have. started helping their

own energy resources. from a business and you're a barrel so me in the studio here thank you very much indeed and a british i mean p i richard how it many thanks to both of you for joining us here on our team. all right oh well we will continue to follow the developments in ukraine and the international reaction of course all throughout the day here on r.t. also later this hour we'll be speaking to political analyst victor muse in stay with us for that. you are with r.t. that russia and china are boosting cooperation in a bid to balance out the economic and political dominance of western countries prime minister vladimir putin is in beijing to solidify diplomatic ties and overcome trade hurdles in across the river is following the landmark meeting for are today. it's important to mention that this was prime minister putin first visit since announcing his candidacy in the upcoming presidential elections and now some say it's a signal of change in focus for russia for many years the west took center stage in

the country's political agenda china's growing economic progress has. been east and many analysts say that the strategic partnership between the world's biggest and fastest growing economies could shift the balance of power in the world both nations have supported each other throughout the years on various issues related to the security and development and they also have a similar political views which was proven just recently when they both vetoed the european draft the u.n. security council resolution condemning syria will vladimir putin didn't come along here he came with a huge delegation including russian the business tycoons who were all here looking to make deals with local businesses and the results of that was seven a billion dollars worth of agreements with so many headed by russia's bank which also committed suicide mission and investments and of course energy has always been a major priority and both premier said that they have finally resolved all there

are disagreements and issues relating to oil oil of russia's oil supply but it's a slightly different picture when it comes to gas where talks have been a line again and the premier said they're now in the final stages of negotiations but there hasn't been a resolution there yet another key focus today though was bilateral trade you know china has climbed by a cop in germany to become russia's number one trade partner and prime minister vladimir putin said he's confident that this year never could reach at least seventy billion dollars the overall goal being two hundred billion dollars twenty twenty so a lot of high hopes. for. both premiers of the. there she have a ball and they have established plans that will make sure that they will become a reality. for the anti's myrna cause of our right there now let's briefly cross over to our business desk to korea to tell us what is the significance of today's meeting in china from

a. business perspective well we're going to look into russia and china creating a joint investment fund worth up to four billion dollars at least seventy percent of that fund money is expected to be invested in russia and the pharmacy is country join me in seven minutes for more on this. if you want to live from moscow some reports of accused boston police of beating up war veterans taking part in a peaceful occupy boston protest officers moved in after demonstrators expanded their footprint in the center of the city and the movement that started in new york is quickly spreading all across the country with people objecting to big banks being bailed out to be expensive average americans. to funnel reports. what we know about the situation in boston that's far is about a fifteen to one hundred protesters that have been arrested there's bakshi been such a mass a buzz word or when this movement in boston that there were two separate campus areas where a protesters were demonstrating one of them got raided by the police as evening we

heard reports about oh you saw officers actually breaking down the tents confiscating property the most so i guess egregious act that we had witnessed was an actual physical confrontation between some of former veterans of the vietnam war at least one of the gentleman that we heard about was seventy four years old there is a video of him getting actually violently beaten down by the police so very very unusual situation is something that was actually very closely watched here in downtown new york city where of course the original so called occupy wall street protests began that of course our team has been covering since september seventeenth now these events these protests are spreading throughout the country there's a lot more support for it and of course it's not so much about the protests as the underlying economic situation that's needing to to the conditions that are encouraging people to take their streets they are tired of with they call

a corruption of wall street corruption in washington and they feel like the economic system no longer represents them and many of the people that i've spoken to here really just don't feel like it's it's a democracy and that it's the kind of country that they thought that they originally were living in people are trying to take a stand for what they feel is right. reporting on as people across the u.s. express their frustration kaiser report is getting to the root of the relentless financial crisis and a quick preview for you of what's coming up later today. those are of accounts from old ladies sitting on fortunes and every single month they get their statement and they get out their magnifying glass and they try to figure out of the bank stole money from them this month but they're very good at doing it so they can pick it up and the other pension accounts or their teachers or their firemen remember all these public workers accounts they're being vilified because they want to living

wage meanwhile their pensions are being destroyed by bank of new york and other banks so they're getting really gangbang from both directions. all right i see the contra port throughout the day here when i see the eurozone has only one thought on its mind today that of slovakia the last country to ratify a new bailout plan to rescue heavily indebted european nations they greenlight is hanging by a thread as one of the books poorest countries appears in doubt of whether to pass the costly package he's sarah ferguson following the story. greece might have been much bang at the center of attention recently because the euro is in crisis rumbles on another member states of being off to vote on the european stability fund we take a look at how these other countries ok playing with the pressure all eyes are on slovak here today to see if politicians will vote positively on the european stability fund to aid ailing countries like greece as the last member state to vote

slovakia's decision is crucial but take a look at this t.v. ad for a popular slave beer it announces to want to borrow from everyone that is greek not wanting to lend to grace that is slovak a tongue in cheek has captured the mood of the people here perfectly. here is not a rich country we need money for our health care system and harmless for our elderly. as the second poorest country in the year is a new reason why they should help fill out the richer nations they view as having spent more than they could afford and political dissent is met there is uncertainty about whether the leading coalition party will be able to get the votes they need for the bailout funds to go ahead the approval of all seventeen countries that use the single currency is needed. doesn't want to require a member of. your race or not.

i see there's a strong pressure from from other european countries and. probably too weak to resist if it doesn't prefer the plan slovakia but be expected to contribute about seven point seven billion year a to the pot which will taste about four hundred forty billion euro with year easing countries like spain and italy making increasingly unstable many critics are saying that even this will not be enough for today every so often. the final solution to the problem and they say it will take these marches but this will be the end of it and it's like to the end of the tunnel that will come out and what we see is an endless. austerity. depression. leading to more measures leading to more depression and people realize now that you've got to break out that despite facing an outpouring of public discontent

germany managed to pass the measures at the end of last month but in survive here many have remained strictly pays to do sting the fund the taxpayer is paying a penny. the. situation is not sustainable in greece. amounts to be pledged are so huge that it really doesn't make sense and they see that it doesn't make sense to them and i think it's like politicians we all see that there are also other alternatives let's look at the czech republic they don't have euro they are doing quite well they don't need a common currency and at the same time that they don't have to pledge money and so on loans to other countries the decision of the small member state today could have a big impact on the plans to the bad out fund because the debt crisis continues to be felt in the richest member states to the poorest is no global concern about just where this is going to and surf. athens. stay with us

here. for korea and the business. hello and welcome to the program good to have you with me russia and china are creating a joint investment fund worth up to four billion dollars the deal is to be sealed in the course of prime minister's puts in a visit to beijing the startup will be jointly run by the russian direct investment fund and the china investment corporation each has already allocated one million dollars to the project at least seventy percent of the funds money is expected to be invested in russia and for my c.i.s. countries. now in further effort to boost trade beijing has decided to cancel exchange fees between the un and the ruble however despite being crease trade volumes jacob mel chief economist from morgan for morgan stanley believes that full convert ability for the u.n. is still somewhere. the two big reasons why fool you one

convert ability is maybe five years away the first is that currently the one you are on is valued if it was traded at its free market price it would probably appreciate by twenty to thirty percent and you can see that in the big current account surplus is that china runs they've started to let the one appreciate again or for a couple of years when they held it for us and during the crisis so in the last two months the un has appreciated against the dollar whereas the ruble and most other emerging market currencies have fallen sharply so in till it gets to a fair market value i don't think you'll see free traded and the other reason why they're going to move slowly is they're concerned about control and if the external value of the yuan is set by the market by the decisions of central banks to boy you won or not then they will lose a measure of control and russia and china have finally sorted out their long lasting route over all transportation tariffs that's according to the deputy prime

minister. chinese c. and p. c. underpaid russia's transnet have around twenty five million dollars for all supplies claiming the transportation fees too high earlier transnet threatened to go to court if chinese partners didn't pay their bills and fall deputy prime minister says all the claims are now dropped and that will be settled. taking a look at the markets now oil prices are heading down after monday's rally light sweet is trading at eighty four dollars per barrel while brant is that one hundred eight dollars a barrel the european stock markets are trading lower on tuesday ahead of a crucial parliamentary vote in slovakia on constant spawn the eurozone rescue fund banking stocks among the better performers in europe trading as top. gear's russell when markets are trading lower after several consecutive sessions of growth let's have a look at some individual samples on the why six four majors among the main group treaters this hour worthwhile snap down more than four and

a half the sand bagging stocks are also under pressure would spread bundles in almost two percent that's after it reported net profit for the first nine months of more than a bit more than doubled to eight million dollars and metal miner metal erased only gains and is trading around one percent in the red its net profit this quarter fall in the first half of the year reaching half billion dollars. and russia's number one lender is bad bank us confirmed it's considering buying it is bank the bank is the turkish arm of the troubled belgian french financial group the head of spare bank herman graff says talks have not begun. back in about forty five minutes.

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just so. six it's. six six. six six six. six six. today violence is once again flared up from these are the images the world has been seeing from the streets of canada asks think operations are. six.

if you're just joining us a very well new business on the line from moscow our breaking news for you ukraine's prime minister. jailed for abuse of power contract with russia. violent clashes between supporters gathered outside the courtroom and the police. going east moscow and beijing. china becomes the first country. for the president's. prime minister and his colleagues already signed deals worth seven billion dollars. in america's protests and a fierce response from the police who reportedly beat up war veterans taking part in a peaceful rally.