Author: JJ Robinson

Key taxation bill put before parliament for vote

Parliament will vote on Monday whether to introduce one of the government’s four key pieces of tax legislation that it has promised the International Monetary Fund (IMF) will help the country claw its way out of a crippling budget deficit.

The combined goods and services tax (GST) bill contains a general GST of 5 percent, and an increase to the existing tourism GST (TGST) from 3.5 percent to 6 percent.

Parliament voted on July 18 to send to committee four bills of the government’s economic reform package: the GST bill, an income tax, a corporate profit tax and a bill governing excise and reduction of import duties.

At the time all four bills received more than 50 votes apiece from the 72 MPs present and voting, hinting at broad cross-party acceptance of the need for taxation. Of the 72 MPs acting as a committee, 51 voted approval of the bill with the proposed amendments.

To expedite the process, an 11-member sub-committee was chosen to review the bills with five MPs of the ruling Maldivian Democratic Party (MDP), three MPs of the opposition Dhivehi Rayyithunge Party (DRP), Jumhooree Party (JP) Leader Gasim Ibrahim, one MP of the minority opposition People’s Alliance (PA) and Dhuvafaru MP Mohamed Zubair as an Independent MP.

On Monday, parliament will vote whether to finally pass the GST bill when it is presented to the chamber.

Most of the many amendments proposed to the bill by the committee are administrative, but several concern additional commodities to be exempted from GST, including petrol, diesel, cooking gas, telecoms and adult diapers.

The amendments also replace the government’s proposed start date of October 1 to within a month of whenever the legislation is published in the government’s gazette (following presidential ratification).

Following consultations with the opposition and the apparent support of 51 members for the bill, the Dhivehi Rayithunge Party (DRP) issued a pamphlet declaring it no longer supported the bill.

“They already essentially voted to support it, but now the DRP are bringing out statements and newspapers interviews saying don’t support it, and they have issued a whip line for the party not to support it [in the vote tomorrow],” said a source in the President’s Office.

The source said the government was also hoping the amendments to the Export-Import Act of 1979 would also be passed, as the GST was intended to replace it and crossover would see the same commodities being taxed twice.

At its press conference today, the DRP handed out a booklet titled “DRP’s response to the government’s fiscal and economic nuisance” with seven main points against the economic reform package.

The DRP objected to a projected growth of Rf1 billion in the budget for 2013 and expressed concern with expenditure out of the budget reaching 66 percent of GDP in 2009 – compared to 32 percent in Seychelles and 21.6 percent in Mauritius – claiming that the purpose of the new taxes was to “find money to influence the public for the 2013 [presidential] election.”

On the second point, the DRP notes that the 27 unemployment rate “proudly announced by the President” meant that 1 out of 4 people were unemployed, advocating diversification of industries to increase productivity. The DRP observed that the government’s policy for controlling inflation and spurring job growth was vague and unclear.

Thirdly, the DRP would oppose the introduction of a personal income tax on the grounds that the country’s unique geography, limited natural and human resources, and high cost for investments in the country did not make a direct tax advisable in the current economic climate.

While the government proposed that only those who earn above Rf30,000 would have to pay the tax, the DRP noted that all citizens would have to file tax returns.

“The charts of the government’s fiscal and economic nuisance package show Rf300 million will be received in 2012 from income taxes and 475 million in 2013,” it reads. “Instead of making all citizens file tax returns in order to earn 475 million two years after taxes are introduced, it would be far better to reduce the government’s useless expenditure by that amount.”

It adds that administrative costs for collecting income taxes from Maldivians living abroad would be disproportionate to the returns.

As its fourth point, the DRP noted that the General GST would affect small businesses such as cornershops, cafes and teashops, which would “need a lot of preparation” to maintain accounts and provide customer’s statements showing the GST percentage.

Morever, taxing “total value of business transactions” would not be possible with GST at zero percent for some items.

Considering the potential “administrative confusion” and the country’s heavy reliance on imports, the DRP argues that levying a customs duty at the entry point to the country was more effective.

The DRP is also against abolishing the Foreign Investment Act as it would remove protectionist restrictions, urging instead “amendments to the law to pave the way for foreign parties to invest in the Maldives and conduct businesses”.

The DRP “could not agree to sell the country’s remaining assets to the MDP’s friends” after “[losing control of] the country’s main gate, the international airport, the national telecom service, and Maldivian seas and shallows.”

Proposed amendments to the Immigration Act was meanwhile intended to “provide an opportunity for MDP’s friends to settle in the country and establish a foothold.”

Offering residential visas, it continues, would worsen unemployment and crop up “more challenges” for Maldivian professional workers.

On its final point, the DRP claims that the fiscal responsibility bill was “a scheme” to negate parliament’s amendments to the Public Finance Act and “reclaim the fiscal discretion offered to councils in the Decentralisation Act”.

In prior meetings with the government, the President’s Office source told Minivan News that “we agreed that state expenditure needed to be lowered, something the IMF was also asking for, but they mentioned none of these [other] things. We’re keeping our side of the bargain, but it’s hard to reach an agreement with them when they keep changing their minds.”

Unless the bills are passed before parliament goes for a month’s recess on Tuesday, the government may miss its commitments made to the International Monetary Fund (IMF) on announcing the economic reforms package. These included:

  • Raise import duties on pork, tobacco, alcohol and plastic products by August 2011 (requires Majlis approval);
  • Introduce a general goods and services tax (GST) of 5 percent applicable to all sectors other than tourism, electricity, health and water (requires Majlis approval);
  • Raise the Tourism Goods and Services Tax (TGST) from 3.5 percent to 6 percent from January 2012, and to 8 percent in January 2013 (requires Majlis approval);
  • Pass an income tax bill in the Majlis by no later than January 2012;
  • Ensure existing bed tax of US$8 dollars a night remains until end of 2013;
  • Reduce import duties on certain products from January 2011;
  • Freeze public sector wages and allowances until end of 2012;
  • Lower capital spending by 5 percent

At the announcement of the economic reform package, Governor of the Maldives Monetary Authority (MMA) Fazeel Najeeb acknowledged that “there will be some eyebrows raised and some reservations on the measures – this is inevitable in any country changing its taxation regime.”

“There are instabilities and I hope these will be short term. But I think what we are doing is in the interest of the economy and will bring it out of the mess it is in. I think it is necessary that we act together now,” Najeeb said.

The IMF package, he noted, represented “a joint commitment by the Ministry of Finance and the central bank: a state affair in the interests of the economy and the country. Everybody in the country realises and recognises that there needs to be a change in the status quo. The status quo is a fiscal stance that is unmanageable.”

Asked whether he felt the new taxes were likely to be passed by parliament, “I think when it comes down to the details of what and how the legislation takes shape, that should be left to Majlis. What I can say is that status quo needs to change, and I don’t think this can be only reduction [in expenditure]. There needs to be a considerable amount of income increase. A combination of revenue as well as expenditure.”

Last week, at a launching ceremony for the “Fiscal and Economic Reform Programme,” Mohamed Umar Manik, chairman of the Maldives Association of the Tourism Industry (MATI), observed that a sustainable source of government revenue was necessary for providing public goods and services.

“Today we have democracy in our country, but democracy can only be strengthened if we are able to deliver,” said the Chairman of Universal Enterprises. “To do this, our government must have sources of income. A detailed reform agenda has been proposed for this. In my view, it is an ideal reform programme.”

Sunland Travels Director Hussain Hilmy stated that the Maldives’ “economic policy and legal framework needs to undergo modernisation and reform.”

“We in the business community welcome the bold initiative being undertaken to carry out a programme of comprehensive economic and fiscal reform,” Hilmy said.

He added that businesses were “delighted” with the government’s policy of a “shift away from import duties as a major source of government revenue.”

Meanwhile, speaking to Raajje TV last night, Finance Minister Ahmed Inaz said that the proposed tax system should have been in place 10 years ago, and that any further delay was unnecessary.

Inaz said the additional revenue was needed to pay civil servant salaries, and provide services such as water, power, independent institutions, sewerage, hospitals, schools “and the salaries of Majlis members and their committee allowances.”

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Maldives hails “new dawn” in Libya, increases international pressure on Syria

Maldives Foreign Minister Ahmed Naseem has welcomed “a new dawn in Libya” following reports yesterday that the rebel Transitional National Council (TNC) had all but taken control of Libya’s capital, Tripoli.

President Muammar Gaddafi remains nowhere to be found, but early reports yesterday – confirmed by the International Criminal Court (ICC) – suggested that the rebels had detained his son, Saif al-Islam.

Saif however appeared in front of journalists later in the day declaring that the rebels had “fallen into a trap”, and “screw the criminal court.”

The Maldives was among the first countries to formally recognise the TNC rebels as the sovereign representatives of the Libyan people, and helped organise several UN Human Rights Council resolutions increasing pressure on Gaddafi and legitimising Western military intervention.

“The Maldives took these steps because of our conviction that men such as Muammar Ghadaffi should not be allowed to check, through violence, the recent march of democracy and human rights across the Muslim world – the Muslim Awakening,” Naseem said.

“For decades, the government of Muammar Ghadaffi has ruled through a system of patronage, repression and fear. The Muslim Awakening brought hope that this system could be dismantled peacefully, through dialogue, reform and free and fair elections. However, instead Muammar Ghadaffi chose to use his security forces to attack and kill civilians.

“With the imminent fall of Ghadaffi, the Muslim Awakening lives on, and the Maldives looks forward to welcoming a new, democratic Libyan State into the international family of nations,” Naseem said.

Syria

The Maldives is taking a similar line on Syria it took with Libya earlier this year, insisting on democratic reforms and yesterday spearheading an emergency session of the UN Human Rights Council.

“The Maldives considers itself a friend of Syria and its people, and has watched with increasing alarm as the government there has responded to peaceful protests calling for democratic reform with violence and intimidation. Thousands have been arbitrarily detained and hundred of our Muslim brothers and sisters, including children, have been killed. Worse, these gross human rights violations have intensified during the Holy Month of Ramadan,” Naseem said, in another statement.

Syria, which has failed to respond to the Council or cooperate with the UN, is backed by Iran and has taken a hard line against civilian demonstrators calling for President Bashar al-Assad to step down.

Protests began in January 26 as the ‘Arab Spring’ demonstrations began to sweep through the Middle East, escalating into an uprising in which over 2200 people have reportedly been killed.

Involvement of the Maldives

At a press conference held yesterday in Male’, the Maldives Ambassador to the UN Abdul Ghafoor Mohamed said that the small size and relative isolation of the Maldives was “no impediment” the country’s pursuit of an international human rights agenda.

“I think we have shown that size is not everything in international relations,” Ghafoor said. “Even if you are a small country your commitments, your principles, and how you work with others can help you achieve many of your goals.

“Our relations with other countries and our record of promoting human rights both at home and in concert with other countries, and our cooperation with the Human Rights High Commissioner has given us respect and legitimacy in the international community, and we have been at the forefront of a number of resolutions that has been initiated on matters of grave concern,” he said.

Asked about the Maldives’ commitment to human rights locally, and whether he concurred with the Maldives’ recent delegation to the UN Committee on the Elimination of Racial Discrimination that the Human Rights Commission of the Maldives was the “most active national institution in Asia”, Ghafoor observed that “I don’t think there’s any country that has a perfect human rights record.”

“Without exception I think all countries have human rights issues and problems, but what is more important is how do we deal with it and how do we address these issues,” he said.

“I think Maldives has shown that it is willing to address the shortcomings it has in its human rights promotion and making every effort possible within the resources we have to improve our human rights record.

We are willing to work with other countries, with the international human rights organisations, even with NGOs to make the human rights issue a non-issue hopefully some time in the future. But that maybe a bit too much to hope for. So long as there are human beings interacting with each other there’s likely to be human rights issues.”

Speaking as to the Maldives’ position on the UN report detailing war crimes in the closing days of Sri Lanka’s civil war, Ghafoor said he did not think the matter would create friction with the Maldives’ neighbour.

“I do not see the government having any issues at this stage with the Sri Lankan government,” he said.

“[Naseem] has stated that we would like to see the UN take a more comprehensive review of what has happened in Sri Lanka, rather than concentrate on the last few days. This could skew the whole issue. So we do not see our memberships of the Human Rights Council making it difficult for us to have good relations with Sri Lanka or speak on issues of sensitivity. I think as good friends Maldives can speak very frankly with Sri Lanka and I’m sure they would happy to listen to our views.”

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Libyan rebels push into Tripoli, arrest Gaddafi’s son

Libyan rebels have reportedly arrested the son of President Muammar Gaddafi, Saif al-Islam, after last night pushing into the capital Tripoli.

The International Criminal Court (ICC) yesterday told AFP that al-Islam, who is wanted on charges of crimes against humanity, was in custody.

Rebels with the Transitional National Council (TNC), now recognised by many nations including the Maldives as Libya’s legitimate governing entity, last night reached Tripoli’s central Green Square following reports that Gaddafi’s Presidential Guard had surrendered.

“Tripoli is slipping from the grasp of a tyrant,” said US President Barack Obama in a statement, following the rebel’s push into Tripoli. “The Gaddafi regime is showing signs of collapsing. The people of Libya are showing that the universal pursuit of dignity and freedom is far stronger than the iron fist of a dictator.

“The surest way for the bloodshed to end is simple: Muammar Gaddafi and his regime need to recognise that their rule has come to an end. Gaddafi needs to acknowledge the reality that he no longer controls Libya. He needs to relinquish power once and for all,” Obama said.

Gaddafi, who earlier had vowed to fight “to the last drop of blood”, issued a statement on state television calling on the population to descend on the city and defend it from the rebels.

“They are coming to destroy Tripoli. They are coming to steal our oil. Now Tripoli is in ruins. Come out of your houses and fight these betrayers. Hurry up, hurry up, families and tribes, go to Tripoli,” Gaddafi said.

Libya’s information ministry continued to insist that the regime had “thousands and thousands of fighters”.

“Nato has intensified its attacks on and around Tripoli, giving immediate and direct support for the rebels’ forces to advance into a peaceful capital of this great nation and the death toll is beyond imagination,” a Gaddafi’s spokesperson Moussa Ibrahim said, warning of impending “massacres”.

“I thought I knew the West. But in this conflict I saw a different West. The West of blood and disaster and killing and occupation.”

An uprising of rebel groups in the centre of Tripoli was joined by fighters arriving by sea, armed with weapons seized following the capture of a large military base on Sunday afternoon. Nato planes provided air cover for the advancing rebels.

Meanwhile in Tripoli, there were reports that four districts of the city remained under Gaddafi’s control. Media reporting on the push claimed that the dictator of 42 years had sent tanks into residential areas and fired on protesters, and there were rumours of roadside executions.

Early this morning, a rebel spokesman told Al-Jazeera that Gaddafi’s forces still controlled 15-20 percent of the city, and showed no sign of surrender.

Gaddafi’s fall is likely to increase pressure on the Syrian Iran-backed regime, which continues to target civilian demonstrators despite increasing discontent across the international community.

Syrian President Bashar al-Assad has vowed that military action against Syria would “bring repercussions”, adding that demands for his to step down “should not be made about a president who was chosen by the Syrian people and who was not put in office by the West, a president who was not made in the United States.”

The Maldives is meanwhile leading a special session of the UN Human Rights Council, in conjunction with Germany, Kuwait and Mexico, to address the deteriorating human rights situation. Permanent Representative of the Maldives to the United Nations, Abdul Ghafoor Mohamed, is holding a press conference on the topic this afternoon.

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Indonesia joins Maldives in withdrawing from New7Wonders competition

Following in the footsteps of the Maldives, Indonesia has officially withdrawn the Komodo National Park from the New7Wonders competition citing doubts about the credibility of the organisers.

During a press conference last week, Indonesia’s Tourism Minister Jero Wacik announced that the decision was taken “because the organisers – the New7Wonders Foundation – have taken actions that are not professional, consistent and transparent.”

According to reports in the Jakarta Post, Wacik said the New7Wonders Foundation was“unprofessional”, “unaccountable” and were “not credible”.

“We have spent around Rp 10 billion (US$1.1 million) on campaign activities over the past three years,” Wacik told the newspaper, claiming that the foundation had subsequently demanded a US$10 million licensing fee and a US$35 million fee to host a ceremony celebrating the competition’s winners.

Also speaking during the press conference, Indonesia’s tourism marketing director Sapta Nirwandar claimed that the New7Wonders foundation did not have an office.

“We sent a letter to the office address in Zurich, but the letter came back to us because the address was not clear,” the Post reported Nirwandar as saying, adding that it was “very strange” for an international organisation involved in million-dollar transactions “not to have a real office”.

New7Wonders has meanwhile announced the launch of a text voting service in Indonesia, allowing locals to vote for Komodo at US$0.12 per text.

The Maldives cabinet withdrew the country from the New7Wonders campaign in May, claiming similar demands for increasingly high fees in order for the Maldives to compete meaningfully for the remainder of the competition.

State Minister for Tourism Thoyyib Mohamed said at the time that the Maldives was withdrawing from the competition “because of the unexpected demands for large sums of money from the New7Wonders organisers. We no longer feel that continued participation is in the economic interests of the Maldives.”

The Maldives had invested substantially less in the campaign than Indonesia – a total of US$12,000 on banners and voting terminals – before the company behind New7Wonders, the ‘New Open World Corporation’ (NOWC), began requesting ‘sponsorship fees’ (‘platinum’ at US$350,000, or two ‘gold’ at US$210,000 each), and the funding of a ‘World Tour’ event whereby the Maldives would pay for a delegation of people to visit the country, provide hot air balloon rides, press trips, flights, accommodation and communications, at a predicted cost of US$500,000.

NOWC had initially levied a US$199 participation fee upon signing of the initial contract in early 2009, and no further costs were explicitly detailed in the contract.

Investigating the company in May, Minivan News confirmed that a ‘New7Wonders Foundation’ was registered in the Swiss canton of Zurich as a charitable foundation, however the contract signed with the Maldives gave NOWC’s address as a law firm in the Republic of Panama.

In response to this story, New7Wonders Spokesperson Eamonn Fitzgerald said the foundation had transferred the commercial operations to its licensing company, New Open World Corporation, “which then runs the commercial aspects.”

In a letter to Minivan News, Fitzgerald insisted that the the Maldives remained in the competition despite the government’s decision.

“The authority to withdraw a participant from the campaign is a decision for New7Wonders alone, not for any government agency. In this respect, New7Wonders adheres to the same principles as FIFA and the International Olympic Committee (IOC), organisations that do not tolerate any government interference so as to ensure their independence,” Fitzgerald wrote.

The government responded that “the democratically elected Government of the Maldives is the only legitimate authority to act in the name of the Maldives and its people”, and that its continued use of the Maldives brand by NOWC was “infringing the sovereign rights of the Maldives”.

Following the Indonesian announcement, Minivan News understands from a source familiar with the matter that the tourism authorities of 6-7 other countries have “expressed doubts” about the competition, “but are concerned about losing face.”

Three of Indonesia’s ministers – fisheries, forestry and tourism – acknowledged that the Maldives had led the way, the source said.

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UNDP to fund US$3.3 million project to help tourism sector adapt to climate change

The Ministry of Tourism and UNDP have signed a US$3.3 million project to help the Maldives tourism sector adapt to climate change.

UN Resident Representative Andrew Cox said that as tourism represented 30 percent of the economy and 60 percent of the country’s foreign exchange receipts, “the future of the Maldives is wrapped up in the tourism sector.”

“Right now there is a great deal of variety in how resorts handle the environment and climate change issues,” Cox said. “Some have this as their focus, the basis of their product, while others, it’s fair to say, do not.”

The project, he explained, would seek to help the Ministry of Tourism develop its own regulation, in partnership with the industry.

As well as developing building and planning codes for new resorts, the project included scope for developing environmentally-sound physical infrastructure, energy efficient buildings and practices, climate resilient fresh water management, flood-proofing, waste water management, protection of coastal ridges, reefs and vegetative belts, and diversification of energy sources.

“We are also looking at assessing market-based risk financing,” Cox said. “The Maldives is very vulnerable to natural hazards and disasters, but there are insurance products that can reduce that risk.”

The project will establish “at least 10” community-based adaption projects between tourism-associated communities and operators.

“We often hear of tensions between resorts and communities,” Cox noted, during the signing ceremony today. “This [project] will focus on common responsibility, the management of common resources. What is good for a resort can be good for the island next to it. Rather than have a charity relationship between resorts and local islands, we want to try to build stronger partnerships.”

Asked why the tourism sector required UN involvement if the funding of such adaptation was in the long-term financial interest of the industry, Cox noted that “what we have seen in other countries is that something that seems obvious doesn’t always happen. But this is not something that will be done without the partnership of the industry, and it will depend on investment from the private sector.

“One particular area is decarbonisation – hundreds of millions of dollars will have to be spent on energy, and the cost equation of carbon based fuels is going to become more and more negative so resorts will have to go in the direction [of renewables] anyway.”

He noted a huge demand for such a group response to the challenges, with resort managers expressing frustration at problems relating to issues such as waste management and recycling, and the lack of appropriate infrastructure and regulation at the state level: “Is it really worth continuing to shipping waste to Thilafushi without any recycling or economic benefit?” he asked.

Environmental achievements already reached, such as the recent designation of Baa Atoll as a UNESCO biosphere, “are not just for propaganda value. It will have a marketable effect on the ability to sell tourism in Baa Atoll.”

Tourism Minister Dr Mariyam Zulfa noted that the Maldives already had many resorts that had taken the lead in incorporating environmentally-sustainable measures into their design, operation and management.

“We have resorts in the Maldives that are held up as among the best examples in the world,” Zulfa noted.

“The Maldives has risen to the top among the world’s most exclusive destinations due in no small part to the competitive position derived from its unique natural island environment and surrounding underwater beauty. Climate change threatens to destroy this beautiful environment and along with it, the livelihoods of many Maldivians.

“This project aims to address ways in which the Maldives and especially its tourism industry can minimize its vulnerability to climate change,” she said.

“This project will contribute to the government’s goal of achieving carbon neutrality by 2020, and will support the integration of adjustment measures which need to be implemented in response to climatic changes into development policies, plans, programs, projects and actions.”

Following consultations throughout the rest of this year, the first wave of projects is expected to begin in early 2012.

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UN Committee grills Maldives delegation on human rights commitment

A delegation from the Maldives headed by Attorney General Abdulla Muiz has reported to the UN Committee on the Elimination of Racial Discrimination, which will release its findings in early September.

According to a UN report summarising the meeting, the delegation was questioned on “restrictions on the practice of religion, the rights of migrant workers, human trafficking, the lack of anti-discrimination laws in the country, the role of the Human Rights Commission and the requirement that all members be Muslim, citizenship laws and the stipulation that non-Muslims could not become citizens nor could they openly practice their religion, the discrepancy in secondary school enrolment rates between boys and girls, and the interaction between English common law and Islam in the legal system of the Maldives.”

The committee noted that the government’s historical position had “been to deny the existence of racial discrimination in the country as the Maldives has a small homogeneous population, of the same origin, pursuing the same religion, and speaking the same language.”

However it had acknowledged that a substantial increase in migrant workers “requires legislative attention”, the UN committee noted.

“In the absence of prejudices leading to racial discrimination in the Maldives, the government did not take specific steps in terms of education and teaching, and culture and information, to address racial discrimination. However, the report says in the Maldives the teaching of Islam promotes understanding, tolerance and friendship among nations and all groups,” the committee noted.

The report was presented to the committee by Muiz, who emphasised the “enormous progress” the country had made in recent years towards guaranteeing “fundamental freedoms and individual liberties”.

He did, however, acknowledge the “enormous challenges” the Maldives faced in ensuring that those rights now protected by law were actually enjoyed in practice. In particular, the Maldives delegation identified these as including “fragile democratic fabric, infant democratic institutions, religious fundamentalism, heavy drug abuse, the vulnerability of the country to environmental threats and most recently, human trafficking.”

Furthermore, the delegation claimed, the country’s Human Rights Commission “was one of the most active national institutions in Asia” and “fully compliant with the Paris Principles”, apart from the requirement that all members of the Commission be Muslim.

“Maldivian law did not provide for freedom of religion, although in practice foreigners were allowed to practice religions other than Islam in private,” the delegation informed the committee.

Nonetheless, the Maldives was “a culturally diverse society” that protected its vulnerable migrant labour population by imposing duties on employers, “including responsibility for the employee during their stay and other requirements”, despite the absence of health and safety laws.

“The right to association and the right to strike were now guaranteed under the Maldives’ Constitution,” the delegation informed the committee.

It noted that while the Maldives did not have any laws prohibiting trafficking in persons “and no official studies or reports had been conducted”, the government had a “strong policy to prevent the country from becoming a safe haven for traffickers.”

“Muiz asked the Committee to bear in mind that the democratic and legal framework of the Maldives was a work-in-progress,” the committee noted.

Delegation confronted

In contrast to the Maldives’ position that racial discrimination did not exist, the committee observed that cases of hostility and ill-treatment of the country’s increasingly large number of migrant workers – half the country’s total workforce – had been reported.

“The Maldives should consider acceding to conventions concerned with the rights of non-citizens and amend relevant regulations to allow non-Muslims to acquire Maldivian citizenship,” the committee suggested, and noted that there was “still no anti-discrimination legislation” active in the Maldives.

“It is necessary for the State party to enact legislation on prohibition of incitement to national, racial or religious hatred,” the committee stated.

The committee observed that there was a lack of demographic information on the Maldives, given the extensive size of its foreign labour force, and that “it would be useful to investigate whether there are tensions between Maldivian citizens and foreign workers.”

“Restrictions on the rights of migrants and other foreigners to prohibit the practice of religions other than Islam, except in private, were of concern as well. Was any one Maldivian citizen married to an individual practicing a different religion?” one committee member asked.

Delegation defends

In response to the committee’s questioning, the Maldives delegation contended that the Maldives had “capacity constraints” and “relied on the support of international organisations”, in which case the committee noted “a report longer than three pages would have been appreciated.”

Regarding the committee’s questioning on freedom of religion, the delegation noted that the Maldives maintained a reservation to article 18 of the International Covenant on Civil and Political Rights on freedom of religion “and there were currently no plans to withdraw that reservation.

“This was a reflection of the deep societal belief that the Maldives always had been and wished to remain a 100 percent Muslim nation,” the delegation informed the committee, adding that “Muslims and non-Muslims lived harmoniously in the Maldives.”

“It was not true that under the new Constitution existing citizens could be arbitrarily deprived of their nationality if they were to stop practicing Islam. The Constitution was very clear on this point: no citizen could be deprived of his or her nationality under any circumstance. The Muslim-only clause under the citizenship article of the Constitution only applied to non-Maldivians wishing to become naturalised,” the committee reported.

The delegation acknowledged “increased reports of mistreatment of migrant workers by their employers”, but noted that the Maldives placed high importance on acceding to the eight core Conventions of the International Labor Organisation (ILO).

It also argued that “some of the rights and privileges enjoyed by foreign workers were even better that those enjoyed by Maldivians themselves”, such as those mandating the provision of food and accommodation for foreign workers.

“Foreign workers were not discriminated against in any way in the Maldives,” the delegation informed the committee.

In his concluding remarks, Muiz observed that the exercise of appearing before the committee “was tougher than even appearing before the parliament of the Maldives.”

Read the full summary

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Quad-bike in Kuredu fatal accident was registered and driver licensed

The quad-bike involved in the crash on Kuredu Island Resort, which claimed the lives of British honeymooners Emma and Jonathan Gray, was legally registered to the resort as a tractor according to registration documents obtained by Minivan News today.

Maldivian Democratic Party (MDP) Chairperson ‘Reeko’ Moosa Manik had previously alleged during an emergency motion in parliament last week that the King Quad 700 vehicle was not legally registered with the Maldives Transport Authority, and that the driver, 23 year-old Swedish national Filip Eugen Petre, was not licensed to operate it.

Opposition MPs accused Manik of indulging a personal vendetta against the resort’s owner, Champa ‘Uchoo’ Mohamed Moosa, in retaliation for coverage by Champa’s private DhiTV station of an incident last year in which 168 bottles of alcohol were found in Manik’s car while he was outside the country.

Manik further alleged in parliament that attempts were made to “to hide the boy [Petre] and put the blame [for the accident] on a Maldivian employee in the resort.”

When Minivan News contacted Manik today, he maintained that he had been informed by a person working on the resort that the vehicle was unregistered. He also claimed that foreigners who wished to drive in the Maldives were required to register with the Ministry of Transport.

“I have been watching that island for a long time and they are doing a lot of illegal things,” he alleged. “I am bringing this up in the national interest, not because of Champa. I don’t want this to happen on another resort otherwise it will affect the industry.”

Following widespread media coverage of Manik’s claims in parliament Jonathan’s mother, Cath Davies, called for a full inquiry into the accident “as somebody, somewhere, is responsible for having allowed that quad to be on the island, and those keys to be available to the young man who was unlicensed and unregistered.”

According to registration papers obtained by Minivan News, the 172 kilogram Suzuki 2007 King Quad 700 4X4 was imported on May 5 2007 and registered on August 2 the same year.

Minivan News also obtained a copy of Petre’s Swedish category B driving license, which would in Sweden, the UK and many other European countries, legally allow the operation of a four-wheeled motorcycle as well as a car.

According to Police Inspector Mohamed Riyaz, who is leading the investigation into the Kuredu accident, under Maldivian law foreign nationals with a valid overseas license are also able to drive in the country for a period of up to 90 days without a local license.

Riyaz said police were in the process of determining whether the quad-bike had been appropriately registered. He confirmed that the vehicle had been registered as a tractor under the ‘C1′ category “used for vehicles transporting goods, not passengers.”

“If it had been properly registered it would be under the A1 category and the driver would require a motorcycle license, as it has a fuel engine and is a very powerful 700cc,” he said.

He also noted that the vehicle was not designed to carry passengers other than the driver, and carried a warning to that effect.

Filip Petre was seriously injured in the accident and remains in hospital in Male’, following the confiscation of his passport on the order of the Criminal Court. Inspector Riyaz said that an application for Petre to be taken abroad for further medical treatment three days ago had been declined, “as police believed that based on the medical report there was no imminent threat to his life.”

Inspector Riyaz said Petre’s family had approached the court to appeal the decision, and added that police were open to his treatment overseas if medical opinion was that urgent diagnosis was necessary.

In a statement to Minivan News, Filip’s father Lars Petre, a shareholder in the resort, described the accident as “by far the most tragic event in my life, and words cannot describe how saddened we are. I and my family are deeply concerned with errors on some of the media reports and we are also deeply saddened by some accusations made at my son.”

“My son Filip Petre (23 years) was taking the two guests home, to the other side of the island, when he experienced some difficulties with the bike, and crashed headlong into a tree on the road. The crash took two lives and badly injured my son.

“He fell unconscious with the crash and woke up some time later to find the two deceased also lying on the road. He immediately called for help and worked alongside with the doctor who arrived to try and save the victims of the crash, while he was bleeding himself.

“The quad bike which my son was driving was registered and my son Filip is licensed to drive such vehicles. My son Filip and his brother Tom (who was the first to arrive at the scene of the accident with the doctor), the management and staff of Kuredhu have been cooperating with the police investigation fully, and I give every assurance that they will continue to do so in the future.

“We understand the grief of the families who lost their loved ones in the accident, and we also respect the duty of the Maldives Police Service to investigate the matter. However the fact remains that what happened on August 6 is an accident, a very tragic fatal event, which my son no anyone else had the power to change.

“I wish to assure to the families of the deceased, the media and the public that there was absolutely no ill intention whatsoever in this accident. While my son and the staff of Kuredhu are shattered with the result of the accident, we remain helpless to change anything that has happened.

“The management of Kuredhu will do whatever is possible to corporate with the investigation and to avoid further distress for all families concerned.”

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Umar Naseer’s fire and security firm denies contract to supply GMR

Local fire and security technology firm Alarms Pty Ltd, owned by prominent opposition politician Umar Naseer, has refuted media reports that it won a contract to supply equipment for GMR’s development of Ibrahim Nasir International Airport.

MNBC and Haveeru quoted an unamed GMR official as confirming that Alarms had been contracted to supply fire and security services to the airport. However a press statement from Umar Naseer’s company denounced the “false media reports”, stating that it was “regrettable that such a false report could be made public by two of the largest media outlets in the country.”

Umar Naseer was among the most vocal opponents of the decision to hand the upgrade and management of the international airport to the Indian infrastructure giant, variously accusing the government, GMR, DRP Leader Ahmed Thasmeen Ali and Speaker of Parliament Abdulla Shahid of corruption in the deal.

Speaking to Minivan News in June last year, Naseer described the decision to hand the management of the airport to GMR as “ridiculous”, alleging that it would not only result in the loss of thousands of jobs, but also take away the Maldives’ authority to decide which flights would be permitted to land at the airport.

”That means, if [the operators] allowed it, an Israel flight can come and stop over after bombing Arab countries,” Naseer claimed at the time.

Spokesperson for GMR Mohamed ‘Kudu’ Ibrahim told Minivan News that Alarms was the sole distributor for a particular system supplied to the existing airport 3-4 years ago when it was under the management of Maldives Airports Company Limited (MACL).

“It is not even a contract. Alarms is the sole distributor for the system and it is impossible to get the brand from anyone else [in the Maldives],” he explained. “If there is a problem or a breakdown GMR also brings in technicians from Alarms.”

On its website, Alarms explains that “the very essence of Alarms Pte Ltd comes from the various experiences of Mr Umar Naseer. During his 7-year career in the National Security Services (NSS) he led several investigations of resort fires. He also investigated the cause of many major fires that occurred in Male’ during that period. His experience led him to believe that a private fire and security industry would help the country in many ways.”

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Mother of Jonathan Gray calls for full inquiry into Kuredu quad-bike accident

The mother of a British honeymooner who died when the quad-bike he was riding on crashed into a tree on Kuredu Island Resort has called for a full investigation into the couple’s death.

Jonathan Gray and his wife Emma Gray, both 25, had been married on July 30 in West Yorkshire. They were killed a week later on August 6 at 4:00am on a Saturday morning.

Jonathan’s mother Cath Davies told the BBC she had been led to understand that the vehicle was unregistered and the driver unlicensed, and called for a full investigation to prevent such a tragedy from reoccurring.

“Somebody, somewhere, is responsible for having allowed that quad to be on the island, and those keys to be available to the young man who was unlicensed and unregistered. I’m sure I’m not mistaken, but he shouldn’t have been there,” she said.

“The lad himself, my heart goes out to him and his family because he has done something reckless and really foolish which has ended in the most tragic way possible, but he never meant for this to happen. I don’t want the responsibility to be solely his.”

The driver of the quad-bike, subsequently identified by police as Swedish national Filip Petre, a guest relations officer and son of one of the resort’s shareholders, remains in hospital in Male’ being treated for injuries he sustained during the accident.

Police Sub-Inspector Ahmed Shiyam confirmed that Petre’s was not under arrest but that his passport had been confiscated pending the outcome of the investigation, as was standard procedure in such serious cases. If Petre’s injuries required him to receive treatment outside the Maldives, “that would be a matter for our legal officers.”

Shiyam said that police had completed examining the scene of the accident and were now working to conclude the investigation as swiftly as possible.

In an emergency motion in parliament last week MDP MP ‘Reeko Moosa Manik alleged that the King Quad 700 was unregistered and Petre unlicensed to operate it.

Opposition MPs claimed that Reeko Moosa’s motion was a “personal attack” against the owner of the resort, Champa ‘Uchoo’ Mohamed Moosa, in retaliation for Champa’s television network DhiTV’s coverage of alcohol bottles found in Reeko’s car last year.

The bodies of the couple were reported to have been flown back to the UK for the funeral. Davies told the BBC that the fact the couple had been married and had enjoyed six happy years together had made the tragedy easier to endure.

“They had that day. It was perfect. Both were fantastically successful in their own lives and have their wonderful little boy. It was so perfect for them. It was almost too perfect,” she said.

The Gray’s six-month old child, Jake, will grow up “much loved by all his family,” Davies told the BBC. “He is a very happy little baby and will grow up into a wonderful man just like his father.”

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