Author: JJ Robinson

Former President calls for “caretaker administration” as protesters take to the streets

Former President Mohamed Nasheed has called on parliament to create an interim, caretaker administration “which can lead the country towards a genuinely free and fair presidential election in which all candidates are able to freely compete.”

Almost a thousand Maldivian Democratic Party (MDP) demonstrators marched around Male’ this afternoon, the first such protest in Male’ for several months. Minivan News observed only a light police presence and no confrontations with authorities, aside from one protester who threw money in the face of a police officer.

The demonstration follows a week in which senior members of the defence and military gave evidence to a parliamentary inquiry alleging the transfer of power on February 7 “had all the hallmarks of a coup d’etat.”

Those members included Brigadier General Ibrahim Didi, Commander of Male’ area on February 7, Police Head of Intelligence Chief Superintendent Mohamed Hameed, Chief of Defense Force Major General Moosa Jaleel, Head of Military Intelligence Brigadier General Ahmed Nilaam, Chief Superintendent of Police Mohamed Jinah and Commissioner of Police Ahmed Faseeh. All six have since resigned or been suspended from duty.

Notably, many of those summoned told the committee they had given the same information to the Commonwealth-backed Commission of National Inquiry (CNI), but claimed their input was not reflected in its findings: no coup, no mutiny, and no resignation of the President under duress.

President Mohamed Waheed in a letter to Parliament Speaker Abdulla Shahid has previously said cabinet members, government officials, and members of the security forces would “shun” the committee, alleging it was operating outside its mandate.

“Legal experts and the Parliament’s Counsel General have also said the Committee is reviewing the CoNI report outside of its mandate. So the government will not partake in anything unlawful,” government spokesperson Ahmed Thaufeeg told local newspaper Haveeru.

The MDP has meanwhile compiled and distributed an English summary of the extensive Dhivehi minutes of the testimonies released this week.

“As per the CoNI’s terms of reference, after the publication of its report, the document was transmitted to key national institutions for their review and necessary action. This included the People’s Majlis (the Parliament) which received the report and transmitted it to the parliament’s oversight committees for scrutiny on the same day. It was sent to the executive oversight committee on September 18 2012,” the MDP noted.

“The testimonies of all the main witnesses summoned to the committee demonstrate a remarkable degree of consensus about what happened in early 2012, and a common understanding of the legality of the change in government,” the party said in an accompanying statement.

“All witnesses stated, unequivocally, that the change in government bore all the hallmarks of a coup d’etat. All named the same individuals as being central to the coup – with foremost among these the current commissioner of police and the current minister of defence.

“All made clear that following a meeting between opposition leaders and the-then Vice President, Mohamed Waheed, in the weeks preceded 7th February, those planning the coup swore their loyalty to him and thereafter he was fully implicated in the plot.

“All saw widespread evidence of collusion between elements of the police and army loyal to former President Gayoom and the main leaders of the coup. All had seen evidence that the plot to remove President Nasheed included the possibility that he would be assassinated if he did not leave willingly. And all claimed that the evidence and testimony they presented to the CoNI was either ignored or misrepresented.”

Deteriorating relations with India

In a separate statement, former President Nasheed expressed concern at the “deplorable manner” in which the government acted towards the Indian government, and its “treatment of the Indian people with contempt and disrespect.”

“Maldivians and Indians watched on in horror, as Waheed systematically destroyed the close relationship between our nations. It is imperative that friendly relations between Male’ and New Delhi are restored,” Nasheed said.

“Time and again, we have seen their petty, juvenile and counter-productive diplomacy strain relations with important and trusted friends. This has had a direct and detrimental impact on the Maldivian people.

“The restoration of good relations with India will only be possible with a legitimate government in Male’,” Nasheed added.

Nasheed’s comments follow reports this week that the Indian government had declined a request for an official visit by Foreign Minister Dr Abdul Samad Abdulla, who was seeking to set up a official visit for President Waheed.

“With elections expected in the next three to six months, [the Indian Prime Minister’s Office] was wary about Waheed or his foreign minister wrongly projecting a meeting for domestic political gains in the name of rapprochement with India,” the Indian Express reported.

Samad dismissed the reports and insisted that relations between the two countries remained cordial and “quite strong”, even as the Indian High Commission in Male’ released an 11 point list of consular grievances concerning the mistreatment of its nationals.

These included government departments withholding the passports and restricting the travel of Indian nationals, failing to renew visas in a timely fashion, charging disproportionately high fines for failure to renew visas, exploiting Indian workers, and failing to investigate threat calls to Indian diplomats.

Correction: An earlier version of this article incorrectly stated that money was thrown at an MNDF officer. Money was thrown at a police officer, who did not react.

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Maldives denies diplomatic snub by India, as High Commission issues list of consular grievances

The Indian government has rejected an official request from Maldivian Foreign Minister Abdul Samad Abdulla to visit the country, Indian media has reported.

According to the Indian Express newspaper, Samad sought to set up an official visit for Maldivian President Dr Mohamed Waheed Hassan Manik through formal channels but was rebuffed.  He then reportedly visited Delhi in a personal capacity to try and arrange meetings.

“With elections expected in the next three to six months, [the Prime Minister’s Office] was wary about Waheed or his foreign minister wrongly projecting a meeting for domestic political gains in the name of rapprochement with India,” the Indian Express reported.

The Maldives’ relationship with India has been strained since the Waheed government evicted Indian infrastructure giant GMR from the country with seven days notice, declaring its US$511 concession agreement ‘void from the start’.

“Waheed has lost all credibility with Prime Minister Manmohan Singh as he had specifically assured Singh during his visit to India last May that Malé will not rescind on the GMR contract despite political pressure,” the Express added.

However Foreign Minister Samad told local media that the Maldives had not been snubbed by India, and had last met the Indian Foreign Minister in November.

“I did not request a meeting in an official capacity. They facilitated our request for a meeting in a personal capacity,’ Samad told Haveeru. “So why would they snub a request for an official meeting? They facilitated it.”

The foreign relations between the two countries were “quite strong”, Samad insisted: “The Foreign Minister told me that he was reachable 24 hours.”

“Issues will arise diplomatically. But the ties between India and Maldives are strong. The relations won’t be affected as it remains cordial,” Samad added.

Whatever impact the government’s sudden eviction of the Indian investor had on foreign relations, it did not appear on a full list of 11 grievances handed to all senior Maldivian reporters by the Indian High Commission earlier this week:

Consular issues affecting the India-Maldives relationship

1. Discrimination against Indian expatriates

In recent past, several cases have come to the notice of the High Commission of India regarding the arrest of Indian nationals on various charges. In most of these cases, the Indian High Commission was not even officially informed.

In a recent case, an Indian national was arrested and kept in detention for several weeks, but we did not receive any official intimation despite a letter sent by the High Commissioner to the Home Minister.

2. Keeping passports of Indian nationals by employers

It is unfortunate that despite many references and high level meetings with Indian delegations, no progress has been made to eliminate this illegal practice which effectively results in the restriction of movement of Indian nationals. In several cases Indian nationals are not able to reach India in times of extreme emergency such as critical illness of family members and relatives, due to these practices.

It is unfortunate that even government authorities such as the Ministry of Education and Ministry of Health keep the passports of Indian teachers and medical personnel in their custody.

It is also reported that deposits and original certificates are kept illegally by the Ministry of Education before returning the passports of Indian teachers needing to visit India in emergency situations.

3. Exploitation of Indian workers

In the past 12 months there have been more than 500 cases regarding the suffering of Indian workers due to various acts of their employers. These include non-payment of visa fees, non-payment of salaries, keeping workers in inhumane conditions, and not allowing workers to go to India even for medical emergencies or after the death of their relatives.

While so many Indians suffered – including one who died waiting for his return to India – there is no information of any action taken against employers/agents. Furthermore, the salaries of many workers who have left India still needs to be recovered from employer/agents.

In another recent case, several nurses working out in the islands had to finally cancel their scheduled weddings because their permit and visa were not renewed by the Ministry of Health even after three weeks of waiting in Male.

4. Repatriation of mortal remains

While the departments of the Maldivian government such as the Ministry of Education do repatriate the mortal remains of Indian teachers at their cost, some private employers refuse to do so resulting in serious difficulty repatriating the bodies of Indian expatriates who die while in the Maldives.

5. Issue of dependent visa for old parents of Indian employees

While India readily provides dependent visas for the parents of children, the Maldivian government requires a request letter from the Indian High Commission to entertain such a visa request from an Indian expatriate.

6. Visa fee

While all visas for Maldivian nationals to travel to India are free, there are steep fees for visas for Indians in the Maldives, including newly born babies. There are very high penalties of MVR 15,000 (US$1000) even for a one day delay in the return or renewal of a visa.

7. Repatriation of salary

Indian professionals are complaining that they are not allowed to repatriate salaries of more than US$1000 a month, putting them at great disadvantage and difficulty.

8. Threat calls to diplomats

Threat calls have been received by the First Secretary. Authorities have given no feedback despite the lapse of one month.

9. Reopening of cases relating to sentenced Indian prisoners

Three Indians who have been convicted on murder charges have represented against their conviction based on forced confessions and requested reopening of their cases or presidential pardon.

10. Payment of deduction of salary

Fifteen percent of salaries and allowances were deducted [for some workers] during the economic recess. We have received representation for payment of the amount.

11. Pension contribution

Pension/contribution entitlement for Indians who have died, retired or returned to India should be paid to them.

President’s Office Spokesperson Masood Imad was not responding at time of press.

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MATI criticises plunge in tourism marketing budget

The Maldives Association of Tourism Industry (MATI) has called for the government to reconsider its budget for tourism marketing in 2013, warning that the country faces increasingly tough competition from neighbouring countries.

The Maldives has budgeted MVR15.5 million (US$1 million) for tourism marketing in 2013, MVR 63 million (US$4 million) less than 2012, MATI noted.

“This is the least amount allocated for marketing in the last eight years,” observed the statement, signed by the industry body’s Chairman, tourism pioneer Mohamed Umar Manik.

MATI noted that Mauritius has allocated 10 million euros (US$13 million) for tourism marketing, while the Indian and Sri Lankan industries were rapidly improving, and questioned the Maldivian government’s regard for the industry and the people working in it.

“Unlike neighboring countries the economy of the Maldives is mostly based on tourism,” the statement observed.

President’s Office Spokesperson Masood Imad blamed parliament for “deliberately cutting the budget for political motives”.

“They failed to keep the best interest of the nation and people in mind. The toll of these budget cuts will be felt by the people. The Majlis acted very irresponsibly,” he said.

Maldives Marketing and PR Corporation (MMPRC) head Mohamed Maleeh Jamal said the country’s destination marketing effort “can’t be compromised.”

“In order to showcase the tourism offerings of the Maldives to the world and maintain our competitive edge we need around US$13 million,” he said.

“Destination marketing activity is an investment, it’s not recurrent expenditure as some may think. The return on the investment is in the form of better image, investor confidence, higher occupancy, high yield tourists, longer duration of stay and importantly higher revenue to the government. I hope parliamentarians who slashed destination marketing budget be more responsible in their actions,” Maleeh said.

Tourism promotion efforts last year included a US$250,000 (MVR 3.8 million) advertising deal to promote the country’s tourism industry on the BBC through sponsorship of its weather service, as well as a signing £93,000 per month (US$150,000) contract with public relations group Ruder Finn to try and improve the country’s image following February’s controversial transfer of power.

Despite the increased expenditure, tourism growth slowed to just 0.7 percent in 2012, compared to 15.8 percent in 2010 and 9.1 percent in 2011.

The government’s forecast for economic growth in 2013 is 4.3 percent.

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Freedom House drops Maldives, Mali from list of electoral democracies

The Maldives is one of two countries to be dropped from Freedom House’s list of electoral democracies, in its annual survey of political rights and civil liberties.

The other, Mali, is a landlocked nation in West Africa which experienced a coup d’état on March 21 and is now battling a surge in Islamic extremism, harsh sanctions and foreign military intervention.

Freedom House is an independent, non-government watchdog organisation dedicated to the expansion of freedom around the world. The NGO assesses and scores countries for political rights and civil liberties each year, and labels them ‘free’, ‘partly free’, or ‘not free’.

The Maldives’s political rights rating shifted from three to five (higher is less free) during 2012, “due to the forcible removal of democratically elected president Mohamed Nasheed, violence perpetrated against him and his party, the suspension of the parliament’s summer session, and the role of the military in facilitating these events,” Freedom House stated. Civil liberties remained at a score of four.

The country remained listed as “partly free” for the third time, after being upgraded from ‘not free’ in 2009 following the 2008 presidential election.

According to Freedom House’s definition, a partly free country “is one in which there is limited respect for political rights and civil liberties. Partly free states frequently suffer from an environment of corruption, weak rule of law, ethnic and religious strife, and a political landscape in which a single party enjoys dominance despite a certain degree of pluralism.”

Approximately 46 of the world’s population live in ‘free’ countries, while 47 live in those designated ‘not free’. “Noteworthy gains” in freedom were made in Egypt, Libya, Burma, and the Côte d’Ivoire. Lesotho, Senegal, Sierra Leone, and Tonga moved from ‘party free’ to ‘free’.

Full report

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Museum vandalism “tremendous loss to our country, our culture and our history: former President

Former President Mohamed Nasheed has expressed “deep concern” over leaked CCTV footage of a group of men vandalising archaeological evidence of the Maldives’ pre-Islamic civilisation in the national museum in Male’.

The incident took place amid the political turmoil of February 7 at around 11:30am in the morning, as police and military officers turned on the Nasheed administration in nearby Republic Square.

The extensive CCTV footage shows a group of eight men entering the building while a ninth appears to stand watch outside. A museum staff member sitting at the desk in the lobby stands up as the men enter, and is grabbed and shoved out of view. The group search the ground floor before running upstairs, knocking over display cases and smashing the museum’s collection of ancient Buddhist relics.

Around 35 exhibits were damaged or destroyed, including the museum’s most significant treasure – a carved ancient head of Gautama Buddha discovered in Alif Alif Atoll Thoddu, dating back to the 6th century.

Police in May 2012 forwarded cases against four suspects to the Prosecutor General’s office. According to the PG’s office, the case was initially returned to police for further clarification. The case has now been returned by police and the PG intends to make a decision by the end of next week, Minivan News understands.

“This misguided act of vandalism caused tremendous loss to our country, our culture and our history. A narrative based on hatred and extremism was deliberately whipped up by those currently in power in order to justify the coup in February last year. That same narrative, and the climate of intolerance and impunity it created, also led to the vandalism at the museum,” former President Nasheed stated.

“Extremist behaviour, and a hatred of other cultures and countries, is very real in the Maldives today. The continual denial of this sorry state of affairs by the current regime is deeply troubling,” he added.

Maldivian Democratic Party (MDP) MP Mariya Ahmed Didi alleged the government’s inaction on the matter amounted to “state-backed protection” of the perpetrators.

“I am very concerned by the failure of the authorities to take any action against the museum vandals. The Maldives Police Service and the prosecutor general have abdicated their responsibility to act,” she said.

The vandalism was widely reported by international media outlets, many of which were present in the country to cover the political turmoil at the time.

In September 2012, the United States government donated US$ 20,000 (MVR 308,400) to help restore and repair the damaged artefacts, as part of an effort to preserve Maldivian cultural heritage.

Leaked museum CCTV footage:





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“There was a legitimate contract signed. We are disappointed”: Malaysian Trade Minister

The Malaysian government has expressed “disappointment” at the scrapping of the Maldives’ “legitimate” contract with the GMR-Malaysia Airports Holdings Berhad consortium.

Indian media reported that Malaysian Prime Minister Najib Tun Razak was scheduled to visit New Delhi towards the end of the week and would likely be discussing the matter with Indian Prime Minister Manmohan Singh.

Malaysia’s Consul General in Chennai, Citra Devi Ramiyah, told reporters in Delhi that it was too early to speculate whether MAHB would seek compensation from the Maldivian government, which voided the GMR-MAHB concession agreement and ordered the company to leave by December 7.

The government had earlier dismissed a stay order for the eviction granted by the arbitrators – the Singapore High Court – as an affront to the country’s sovereignty. A day before the end of the seven day notice period, the injunction was dropped on appeal after Chief Justice Sundaresh Menon of the Supreme Court of Singapore declared that “the Maldives government has the power to do what it wants, including expropriating the airport.”

Ramiyah told reporters that the Maldivian government had shown its intention “to do the project on its own and [was] willing to compensate financially. So, it is very early for us to comment.”

Malaysian Minister of International Trade and Industry Seri Mustapa Mohamad was more concerned, according to the Economic Times, and expressed hope that the Maldives would reconsider its decision to evict the investors.

“In Male we have enjoyed very close ties with the previous government for many years. The Maldives is 100 per cent Muslim country. Of course, with the new government the lesson for us is we should be more careful, more due diligent,” Mohamad said.

“We want our investments to be protected. There was a legitimate contract signed. We are disappointed,” he added.

GMR meanwhile handed over the duty free stores today after being ordered to do so by the government.

“GMR has vacated the duty free shops at the airport. So since they’ve cleared their goods, no services will be provided from the shops,” Maldives Airports Company Limited (MACL) Rahmathullah Ashraf told local media.

Andrew Harrison, CEO of GMR Male International Airport – GMR’s side of the voided airport development – dismissed claims in local media that the company had “stripped” the duty free store ahead of the handover.

“We were asked to close duty free by the 17th. It is not true we have stripped duty free. We have destocked and in some cases returned goods to suppliers, or found buyers through appropriate customs procedures,” Harrison said.

GMR had sought a smooth transition after being ordered to handover the airport “as we did not want passengers or carriers to suffer,” he said. “The only area left where we [were] active was duty free.”

GMR staff had begun returning to India, particularly those involved in the construction of the new terminal after the cancellation of the contracts to build it, he said.

The government has not yet declared what it intends to do with the foundations of the abandoned terminal project, built on 60 hectares of reclaimed land on the other side of the airport island.

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Government takes over airport, evicts GMR

Indian infrastructure giant GMR has handed Ibrahim Nasir International Airport (INIA) over to the state-owned Maldives Airports Company Limited (MACL), after the Maldivian government voided the concession agreement and gave it seven days to leave the country.

The sudden eviction of the developer – which won a 25 year concession under the former government to manage and upgrade the airport – scraps the project, which at US$511 million was the single largest foreign investment in the Maldives.

GMR had clung to the terms of its concession agreement while the government fanned growing nationalistic and anti-India sentiment. On November 27, President Mohamed Waheed’s cabinet declared the agreement ‘void ab initio’ – invalid from the outset – and ordered the developer to leave.

With arbitration proceedings already underway in Singapore over the contested airport development charge (ADC), GMR received a stay order on its eviction and appeared confident of its legal position even as the government declared that it would disregard the ruling and proceed with the eviction as planned.

On December 6, a day prior to its eviction, the government successfully appealed the injunction in the Supreme Court of Singapore. Chief Justice Sundaresh Menon declared that “the Maldives government has the power to do what it wants, including expropriating the airport.”

That verdict, effectively legalising the sovereign eviction of foreign investors regardless of contractual termination clauses or pending arbitration proceedings, was “completely unexpected”, according to one GMR insider – “the lawyers are still in shock”.

A last ditch request for a review of the decision was rejected, as was a second attempt at an injunction filed by Axis Bank, GMR’s lender to the value of US$350 million.

Following a meeting with staff yesterday, GMR issued the following statement:

“In deference to the orders of the Court of Appeals, Singapore; GMR Male International Airport Ltd (GMIAL) will facilitate a smooth takeover of the Ibrahim Nasir International Airport (INIA) by the Maldives Airport Company Ltd (MACL), effective midnight tonight.

GMIAL has been assured that as a result of this takeover all its employees, suppliers and other interested parties will not be put to any inconvenience. GMIAL remains committed to finding a suitable solution to this situation. We are taking requisite steps to work out the compensation receivable from the Government of Maldives, keeping in mind the judgement of the aforementioned court and the concession agreement dated 28th June 2010.

All actions as above are without prejudice to our legal rights and statements made before various courts/tribunals where matters are currently being pursued or likely to be taken up.”

An invitation-only press conference to mark the handover was held by Defence and Acting Transport Minister Mohamed Nazim in the airport VIP lounge at midnight. Minivan News understands that GMR did not participate for legal reasons.

During the ceremony, Finance Minister Abdulla Jihad presented the official handover documents to MACL Managing Director Mohamed Ibrahim, and said that the Maldives would pay whatever compensation was required “however difficult”.

Economic Minister Ahmed Mohamed claimed the eviction would enhance investor confidence:

“Investor confidence will only increase when they know that Maldives will do everything in accordance with the law,” Haveeru reported the minister as saying.

Attorney General Azima Shukoor expressed hope that the compensation would be lower than anticipated.

Estimates as to the amount of compensation for which the government is liable have ranged from the US$220-240 million GMR estimated it has already invested, up to US$700 million – a sizeable chunk of the country’s GDP.

Apart from the size of the compensation is the Maldives’ ability to ultimately pay, given the crippled state of its domestic economy.

Finance Minister Jihad in late October warned that the Maldives would be unable to pay government salaries without a promised US$25 million loan from India.

A month later, amid rising anti-India sentiment over the GMR issue and a diplomatic incident triggered by the government’s spokesperson, Jihad described India’s calling in of US$100 million in existing loans as “not a major concern”. The debts, he said, would be paid from the state’s reserves, which local media at the time reported could fall to as low as US$140 million (MVR2.2 billion) once the payments to India were settled.

An International Monetary Fund (IMF) delegation in November warned that the Maldives’ financial reserves “have been declining slowly, [and] now account for just one and a half months of imports, and could be more substantially pressured if major borrowings maturing in the next few months are not rolled over.”

Further pressure on reserves came from a ballooning public debt ratio, “which now stands at over 80 percent of GDP, and has helped to boost national imports, thus worsening dollar shortages in the economy and putting pressure on reserves,” the IMF warned.

Presenting the 2013 budget to parliament in late November, Jihad warned of “bitter consequences” should the spending trend continue.

His target budget deficit of 6.1 percent in 2013 takes into account a raft proposed revenue raising and cost cutting measures which would impact the tourism industry – such a proposed tourism GST increase to 15 percent – and require parliamentary approval.

Further modernisation of the airport – or even completion of the existing upgrade – is likely to require extensive outside assistance or further loans. The rusting foundations of GMR’s new terminal sits on 60 hectares of newly reclaimed land on the airport island, after the government ordered a halt to the development in August. Large sections of the old terminal remain boarded up for construction work, which the government’s ability to proceed with is in doubt.

Further modernisation of the airport is likely to depend on outside assistance. President’s Office Spokesperson Masood Imad told Indian newspaper The Hindu yesterday that after reclaiming the airport, the government would again float a tender for its modernisation “and get more parties in to take the work forward.”

“The tender will be floated by the Maldives government in a transparent manner and after consulting investors. The mistakes made during the float of the tender which has been cancelled will not be repeated,” Imad told the paper.

Environment Minister Dr Mariyam Shakeela has meanwhile separately appealed to China for financial and technical support, telling journalists from the Chinese government’s authorised web portal China.org.cn that the Maldives “needs funds for infrastructure building.”

“We are obviously in need of funds and technical assistance as we do not have the financial means, the technical know-how or the capacity to address these huge climate change issues,” said Mariyam, in an appeal for assistance with climate adaptation.

The government has dismissed speculation Chinese involvement in the development, however Minivan News has learned that senior Chinese military officials landed at the airport in the tense week leading up to the handover, even as India warned of “adverse consequences” should the government proceed with forceful eviction.

India’s reaction after the Singapore Supreme court ruling was muted. Ministry of External Affairs Spokesperson Syed Akbaruddin said the ministry was “studying” the judgement and that their lawyers “need to understand it”.

“There are two issues in the case – one the sovereign right of a nation and other the legality of the agreement, which was linked to compensation to GMR and its associates in Malaysia, he said the latter part has not been “affected or responded” in today’s judgement.

“These issues are not affected with the judgement or not responded to. Fulfilment of all legal process and requirement is what we want to see in this case and we hope that all relevant contracts and agreements would be adhered to and all legal process are carried through,” he said.

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“Maldives can do whatever it wants”: Chief Justice of Singapore

The Supreme Court in Singapore has overturned an injunction blocking the Maldivian government from voiding its concession agreement with GMR and evicting the airport developer by midnight tomorrow.

“The Maldives government has the power to do what it wants, including expropriating the airport,” declared Chief Justice of Singapore, Sundaresh Menon.

The Maldives appealed the stay order which was granted after cabinet on November 27 declared the country’s concession agreement with the developer ‘void ab initio’, or invalid from the outset, and gave the company seven days to hand over the airport to the state-owned Maldives Airports Company Limited (MACL).

The government rejected the injunction, with President Mohamed Waheed’s Special Advisor telling reporters: “I believe that the Singapore court interpreted the law wrong. We cannot wait for a hearing of the appeal. What I am saying is there is no damage to GMR but we face damages by not terminating the agreement.”

GMR dug in its heels, clinging to the injunction, with the backing of the Indian government, which urged the government to take “no arbitrary and coercive measures pending the outcome of the legal process underway.”

CEO of GMR Male International Airport, Andrew Harrison, told Minivan News on Thursday afternoon that it was “too early to say” whether the withdrawal of the injunction meant company was now obliged to hand the airport over to MACL before the deadline on Friday.

“We are waiting to review the full judgement, which is currently being written up. We’ve always been advocates of following the law. We will have a staff briefing tomorrow afternoon,” he said.

MACL meanwhile released two statements claiming that it had met with airlines operating at the airport and advised them that it would be taking over the airport from midnight at December 7. Details of the meeting were not provided.

MACL’s website remains inaccessible a week after it was targeted by Indian hackers, who replaced it with the slogan: “If you don’t know how to secure a website, can you run an Airport securely, MACL?”

GMR held a press briefing for journalists in Delhi yesterday.

Asked about whether GMR had felt the involvement of another country such as China in the development of the Male’ airport, the company’s CFO Sidharth Kapur said “I can’t say that for sure. But, looking at the political situation and political framework in Maldives, I can’t rule out anything.”

GMR had received no response from any attempt to communicate with President Mohamed Waheed, he said.

President’s Office Spokesperson Masood Imad meanwhile told Indian newspaper The Hindu today that after reclaiming the airport, the government would again float a tender for its modernisation “and get more parties in to take the work forward.”

“The tender will be floated by the Maldives government in a transparent manner and after consulting investors. The mistakes made during the float of the tender which has been cancelled will not be repeated,” Imad told the paper.

The Waheed government has previously accused the International Finance Corporation (IFC), a World Bank entity, of being “irresponsible” and “negligent” in advising the former government of President Mohamed Nasheed in the concession of INIA

The IFC has denied the accusations, stating that its advice was geared towards achieving the “objective of upgrading the airport and ensuring compliance with applicable international regulations” and providing the Maldives government “with the maximum possible revenue”.

“A competitive tender was organised with the objective of selecting a world-class, experienced airport operator, who would rehabilitate, develop, operate and maintain the airport,” said an IFC spokesperson, in September.

Environment Minister Dr Mariyam Shakeela has separately appealed to China for financial and technical support, telling journalists from the Chinese government’s authorised web portal China.org.cn that the Maldives “needs funds for infrastructure building.”

“We are obviously in need of funds and technical assistance as we do not have the financial means, the technical know-how or the capacity to address these huge climate change issues,” said Mariyam, in an appeal for assistance with climate adaptation.

Former President Mohamed Nasheed, under whose administration the concession agreement with GMR was signed, called on the government to reconsider its decision to take over the airport and “pull back from the brink and cease its counter-productive behaviour, which is damaging the nation’s economy and bilateral relations.”

Nasheed said the Maldives was “rapidly developing a reputation among foreign investors akin to Zimbabwe, where government might is right and contract law counts for nothing.”

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Maldivian government appeals stay order as GMR eviction deadline nears

The Maldivian government is appealing an injunction granted by the Singapore High Court halting its eviction of Indian infrastructure giant GMR from the Maldives pending the outcome of arbitration proceedings.

Minivan News understands that the hearing began at 10:00am this morning Singapore time, and is expected to take most of the day.

The government at the time denounced the injunction as an imposition on the country’s sovereignty. At a press conference hours after the stay order was granted by the Singapore High Court, Defence and Acting Transport Minister Mohamed Nazim pledged the government would “continue the airport takeover and Insha Allah from next Saturday onwards [the state-owned] Maldives Airports Company Limited (MACL) will be running the airport.”

“The government remains firm and committed towards implementing its decision to terminate the agreement. We will not reconsider it,” he said at the time.

The deadline for the government’s eviction of the Indian airport developer is midnight tomorrow (December 7).

GMR on Tuesday “categorically” refuted claims by the government to international media that it had agreed to vacate Ibrahim Nasir International Airport (INIA), following a meeting between airport CEO Andrew Harrison and Defence and Acting Transport

Harrison told Minivan News that Nazim had said that “no force would be used to take over the airport” and that “media reports that the MNDF would take over the airport are untrue.”

“Our position, which I communicated to them, remains crystal clear,” said Harrison. “The Singapore High Court has issued an injunction which clearly prevents MACL or the Government of Maldives or any of its agents from taking any action that interferes with GMIAL operating the airport.

“The injunction clearly prevents them from taking the action outlined in their notice issued to us stating that the airport would be taken over at the end of the seven day period. We remain resolute in our position and there is no question of an offer being made and certainly no question of any alleged offer being accepted as we will simply not agree to our rights nor the injunction being undermined in any way.”

The Civil Aviation Authority has however informed the developer that its aerodrome certificate will be withdrawn at 23:59 on December 7, without which GMR has acknowledged it cannot operate the airport. The impending stalemate potentially has ramifications for tourism disruption at the start of the peak season.

Meanwhile, Minister of State for Home Affairs Abdullah Mohamed was reported in local media as telling a press conference yesterday that “GMR has the opportunity to seek fair compensation if they are not satisfied with the government’s decision.”

The Indian Ministry of External Affairs has meanwhile issued a statement calling on the Maldivian government to allow the “legal processes involved in the GMR case to take their own course based on the contractual obligations of the parties involved. The Maldivian government should not allow the situation to go out of hand.”

“In this context, it is expected that no arbitrary and coercive measures should be taken pending the outcome of the legal process underway. Resort to any such actions would inevitably have adverse consequences for relations between India and the Maldives,” the MEA Spokesperson said.

“We are concerned over reports from the Maldives about continuing violence and intimidation against elected representatives and expressions of radical sentiments. There is need to ensure that the rule of law is upheld and principles and tenets of democracy are maintained. We will continue to monitor the situation closely.”

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