Category: Politics

Parliament reverses import duty hikes for garments and motorcycles

The parliament today reversed import duty hikes for garments and motorcycles, three weeks after increased rates came into force.

Higher tariffs approved by parliament in December as part of revenue raising measures proposed by the government came into force on April 1.

However, days before the changes took effect, economic development minister Mohamed Saeed told the press that the government was reviewing the new rates as motorcycles had become “a basic need in the Maldives”.

The custom duty for motorcycles had been raised from 100 to 150 percent.

A marketing executive at Sheesha Pvt Ltd, one of the largest automobile whole-sale and retail traders in the country, told Minivan News today that the company has not increased prices as its last shipment arrived before April 1.

Sales picked up dramatically in early February and its stock of motorcycles was completely sold out before April, the executive said.

In late March, hundreds of people queued up to buy cigarettes before import duties on tobacco was hiked from 150 to 200 percent and from 90 laari to MVR1.25 for a single cigarette.

The amendments passed today also require the customs authority to reimburse motorcycle importers who were charged the hiked rates from April 1.

However, Sheesha does not expect a reimbursement as its new shipment has not cleared customs yet.

According to a 2011 report by the Environment Protection Agency, one in six residents of the capital own a motorcycle.

Debate and voting on the government-sponsored legislation meanwhile took place today amid continuing protests by opposition Maldivian Democratic Party (MDP) MPs.

The amendments to the import-export law submitted by Progressive Party of Maldives (PPM) MP Jameel Usman were passed with 46 votes in favour.

The import duty for ready-made garments was raised from zero to 15 percent in April last year. The rate will be brought back to zero once the amendments are ratified.

MP Ahmed Nihan, parliamentary group leader of the PPM, said today that discussions are ongoing with the government to reduce tariffs for other items as well, including heavy-duty vehicles used for construction.

Former minister Mahmoud Razee told Minivan News earlier this month that the government was “flip-flopping” with its policy reversals.

In December, the government also reversed a decision to impose a 10 percent import duty on staple foodstuff such as rice, flour, wheat and sugar.

“There’s no clear-cut, defined, long-term policy,” the economic development minister under the MDP government said.

Revenue raising measures

This year’s record MVR24.3 billion (US$1.5 billion) state budget includes MVR3.4 billion (US$220 million) anticipated from new revenue raising measures.

In addition to revisions of import duty rates, the measures include the introduction of a “green tax” in November, acquisition fees from investments in special economic zones, and leasing 10 islands for resort development.

The government expected MVR533 million (US$34.5 million) in additional income from import duties.

On April 1, the import duty for oil or petroleum products was raised from zero to 10 percent while duties for luxury cosmetics and perfume was increased from zero to 20 percent.

The import duty for cars, vans, and jeeps was hiked to 200 percent.

Import duties were also raised in April 2014 for most items, including textiles, cotton, sugar confectionaries, iron, steel, diesel motor oil, and seat covers of passenger vehicles.

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State company uproots tree planted by ex-president Nasheed

Officials of the government’s road corporation on Monday night uprooted and burned a tree planted by ex-president Mohamed Nasheed in Thaa atoll Vilufushi.

Vilufushi island councillor Hussain Jabeen, a member of the opposition Maldivian Democratic Party (MDP), was later arrested for allegedly threatening employees of the corporation over the incident.

Vilufushi councillor Ibrahim Shafiu told Minivan News that officials from the island subdivision of the Maldives Road Development Cooperation (MRDC) uprooted the tree around 12:00pm on Monday, claiming it was impeding road construction.

“Usually when they uproot trees from the green area they ask for our permission and for where else to keep them. This time they did not say anything before uprooting the tree and burning it at the garbage dump,” said Shafiu.

The incident comes in a highly charged political environment with the opposition alliance gearing up for a mass anti-government rally on May 1.

Nasheed was sentenced to 13 years in jail on terrorism charges last month.

The opposition-dominated Vilufushi island council has also put out a statement condemning the act as “uncivilised and cowardly.”

Shafiu accused the road corporation employees of targeting the tree planted by the then-president Nasheed during a visit in April 2011, noting that other trees at the green zone have not been uprooted.

However, Ahmed Mamdhooh, deputy manager of the MRDC, told Minivan News that the council gave approval for uprooting trees ahead of laying tar for the road construction project.

Island councillor Jabeen was meanwhile arrested with a court warrant after midnight on Tuesday. He was accused of damaging iron rods on the road development site and verbally abusing and threatening the corporation’s employees.

Jabeen was taken to the police station on the nearby island of Madifushi and later brought before a magistrate for extension of remand detention.

However, the magistrate court released the island council president from police custody.

Speaking to Minivan News today, Jabeen denied the allegations, saying he politely spoke to management officials and objected to the uprooting of a tree planted by a former president.

He also said the council alone cannot authorise removal of trees and that the road corporation had to seek permission from the land survey authority as well.

Councillor Shafiu also said he went with Jabeen on Monday to meet the corporation’s senior staff, who refused to meet the councillors.

The pair then went to the road development site, sought out the manager, and asked for an explanation, he continued, but were told that the management officials were unaware of the incident.

Jabeen said the tree had been targeted before by pro-government supporters.

“Even in the past people have thrown petrol on the tree and cut off the branches, but it grows back each time,” he said.

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Transparency Maldives urges state officials not to accept ‘arbitrary gratuities’

Transparency Maldives (TM) has urged the heads of independent institutions to refrain from accepting “arbitrary gratuities” from the government.

The government awarded luxury flats at discounted prices last month to Supreme Court justices and four heads of independent bodies, including the Anti-Corruption Commission (ACC), in what it called an attempt to “ensure their integrity.”

The anti-corruption NGO won the inaugural ‘National Integrity Award’ introduced by the ACC and handed out at a ceremony held last night to mark the first national anti-corruption day. The auditor general’s office was the other recipient of the award.

“While Transparency Maldives appreciates the efforts to acknowledge our core values and community services, we reiterate that upholding the integrity of independent institutions is an integral mandate of high ranking public posts in these independent institutions,” the NGO said in a statement today.

“As such, we call upon the heads of independent institutions to refrain from accepting arbitrary gratuities from the government.”

TM also urged independent bodies to “safeguard from undue influence and allegations of bribery and corruption in order to uphold the value of integrity and increase public confidence in independent institutions.”

TM said the organisation is “honoured” to have the received the award and “appreciates the acknowledgement of integrity as a fundamental premise to a healthy society”.

Speaking at last night’s ceremony held on the island of Kulhudhufushi in Haa Dhaal atoll, ACC president Hassan Luthfy reportedly said that loopholes in the law posed difficulties in investigating corruption allegations and securing convictions.

He called on MPs to pass a criminal procedures code and an evidence law and include ‘illicit enrichment’ as an offence in the new penal code.

In 2014, the commission concluded 783 investigations and forwarded 35 cases for prosecution, seeking to recover MVR1.4 million (US$90,791) owed to the state.

“Gratuities”

Luthfy confirmed to Minivan News last month that he had signed a contract to buy one of the apartments at the discounted price.

Flats were also awarded to all five Supreme Court justices, the prosecutor general, the commissioner general of customs, and the information commissioner.

While the state can provide privileges to state officials “based on need and limited to the duration of employment of individuals”, TM noted at the time that the flats are “permanently contracted by the executive to public officials holding time-bound positions of the state”.

“The offering of arbitrary privileges to public officials holding high-ranking positions and the acceptance of such privileges will undermine public trust in these institutions,” the NGO warned.

“TM also notes that upholding integrity in the performance of high-ranking public posts is an integral and core mandate of such positions, and should not be incentivised through handouts of property or other forms of personal enrichment.”

However, the government has defended its decision to offer discounts on the flats.

Tourism minister Ahmed Adeeb told the press that the apartments were awarded to “ensure the integrity of independent institutions”.

“The flats were not handed out. The recipients have to pay for them. This will result in ensured integrity of independent institutions and, moreover, it will strengthen the state,” he said.

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Ex-president transferred to jail

Former president Mohamed Nasheed has been transferred from police custody today to a low security jail an hour away from the capital Malé.

Nasheed is serving a 13-year jail term on terrorism charges relating to the detention of a judge during his tenure.

He was convicted on March 13, but was held at the Dhoonidhoo Island remand centre until the home ministry finished constructing a special apartment at the high security prison on Maafushi Island.

The Maldives correctional services today transferred Nasheed to Asseyri jail on Himmafushi Island temporarily, saying Nasheed will be taken to Maafushi jail when his apartment is completed.

The office said it is not yet certain when the apartment will be ready.

The opposition leader’s lawyers meanwhile expressed concern over the police’s alleged failure to inform them of the transfer.

“We continue to have grave concerns over his safety. The police should in any case inform lawyers before they transfer any prisoner from one place to the other,” lawyer Hassan Latheef said.

Former first lady Laila Ali in March appealed to President Abdulla Yameen to give her assurances of Nasheed’s safety, saying she had received information from credible sources that he may be assassinated in jail.

Home minister Umar Naseer has previously said the government “guarantees the safety, welfare and protection of former president Mohamed Nasheed while in custody.”

He was to be incarcerated in a 264-square foot furnished prison apartment in Maafushi jail with air-conditioning, a sitting room, a television and VCD player.

The special apartment would have a 1,087 square foot garden and Nasheed would be able to “live with other inmate friends,” Naseer said.

In response, the office of former President Nasheed released a statement claiming the cell being prepared to house the opposition leader was in an area of the jail deemed unfit for human habitation.

“The use of the cell being prepared in Maafushi jail was discontinued after the Human Rights Commission of Maldives and the International Red Cross and Red Crescent determined in 2009 that it was unfit to hold people,” the statement read.

“The toilet of the cell currently being prepared is inside the cell. It was built such that unclean odours and bacteria fans out to the whole cell. It is adjacent to the jail’s garbage dump. Germs, bacteria and unclean air constantly circulate inside the cell.”

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New regulations require inmates to shower twice a day

The government has imposed stricter standards of personal hygiene in prisons and limited the length to which inmates can grow their facial hair.

The regulation on inmates’ discipline requires inmates to shower twice a day and clean their cells under the supervision of Maldives correctional services officers.

The stricter sanitary measures are expected to reduce the spread of diseases and will improve prison cleanliness, said commissioner of prisons Mohamed Husham.

“Skin diseases are very common in jail. Before these regulation were written, we could not tell a prisoner to even take a shower. Now we can, which will benefit both the prisoner and his cell mates,” Husham said.

The new regulation also requires male prisoners to shave their facial hair completely or keep a two-inch beard. Inmates cannot shave their heads, and hair must be kept at two centimeters.

An inmate from Maafushi Jail told Minivan News there is a lot of resistance to the new regulations.

“A majority of inmates are against it because it dictates our appearance. Plus some of us grow our beards because of religious beliefs. We won’t obey the rule. But I think there will be some who will,” he said.

Some religious scholars have expressed concerns over the provision requiring shorter beards.

“Islam requires men to grow their beards long. So no one can impose a ban on that which God has instructed us to do. It also goes against the Maldives constitution which states that no law or regulation should be made against Islamic principles,” said Dr Iyaz Abdul Latheef, the vice president of the Figh Academy.

Husham, however, defended the regulations saying it “establishes a disciplinary standard for the inmates. The appearance of prisoners is also important in the rehabilitation process.”

The commissioner of prisons said he had expected some controversy over the beards, but said: “My point is the inmates are here to be disciplined and rehabilitated. There should be an established standard on how inmates should keep their beards as well.”

Vice president of the human rights commission of the Maldives, Ahmed Tholal, says he has “some concerns” over the new regulations, but said he cannot disclose further information without a discussion among the five commissioners.

Staff at the correctional services in 2012 got the Maafushi court to annul a regulation banning them from sporting beards, but the High Court overturned the verdict citing a procedural mistake.

 

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Malé City council thrown out of city hall

The housing ministry has taken over the Malé City hall and its compound from the opposition dominated city council, in an attempt the deputy mayor says is designed to “wipe out” local governance.

Acting housing minister Thoriq Ibrahim in a letter today ordered the council to vacate the city hall at Galholhu Billorijehige within seven days, and move to a smaller office at Huravee Building. 

The opposition Maldivians Against Brutality coalition has been using the city hall and its compounds for rallies in recent weeks, following the housing ministry’s refusal to lease public spaces for opposition activities.

The housing ministry had taken control of all of Malé City’s public spaces, parks and roads from the city council last year.

According to Thoriq’s letter, President Abdulla Yameen and his cabinet on April 19 decided the city hall and its compounds were better suited for other government offices, which they say are suffering from a lack of space.

The housing ministry today declined to comment on which offices are to move in to the city hall.

In addition to the city hall, the housing ministry also seized control of the local market and a plot of land reclaimed for a new fish market in the northern Malé.

Deputy Mayor Shifa Mohamed said that the cabinet’s decision violates the Decentralization Act.

“The government does not know how to operate within a decentralized system. They don’t want to give even an ounce of power to the people,” Shifa said.

The housing ministry had not consulted the council on the issue, and Shifa claimed the lack of communication “was enough proof that the cabinet’s decision was political.”

The city hall takeover is the latest blow in a long running power struggle between the ministry and the council. Earlier this year, the ministry transferred a third of the council’s employees to the ministry.

In November, the council was shut down after police confiscated several hard drives and documents saying the council was using the documents to gain “unlawful advantages.”

In October, masked individuals wielding machetes uprooted all of Malé City’s Areca palms. When the council attempted to replant the trees, the cabinet announced the council no longer had power over the city roads.

Shifa has previously suggested that the government was ‘destroying decentralisation’ after the housing ministry seized numerous plots of land from the council including two parks, the artificial beach, the carnival area, the south harbour area, Usfasgandu, Dharubaaruge, and the area near the T-Jetty.

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Tourism ministry seizes environment regulatory powers

The parliament has granted powers to the tourism ministry to authorise developments on resorts in a move critics say will weaken the environment protection regime, and pave the way for corruption.

Amendments to the tourism law passed today transfers to the tourism ministry the Environment Protection Agency’s (EPA) powers to evaluate environmental impact assessments (EIAs) and authorise projects such as land reclamation. The agency functions as an independent body under the environment ministry.

Voting on the bill submitted by government-aligned MP Mohamed Ismail took place amid continuing protests by opposition Maldivian Democratic Party (MDP) MPs.

It was passed with 41 votes in favour after Speaker Abdulla Maseeh Mohamed asked for a show of hands.

If the amendments are ratified, resorts will have to seek authorisation from the tourism ministry for any development that could “permanently alter” the island, plot of land, or lagoon’s environment. The ministry must evaluate an EIA report before issuing permission.

EPA permanent secretary Ajwad Musthafa told the economic affairs committee during its review of the legislation last week that “the independent checks and balances system will be lost” if the regulatory powers are transferred to the tourism ministry.

The move amounts to allowing the tourism ministry to “self-regulate,” he contended.

The EIA process is the “main instrument” of the environment protection regime and adheres to international best practices, he said, noting that the reports are prepared by independent and qualified consultants.

Ajwad also objected to transferring technical experts to the tourism ministry as the agency’s “institutional capacity” was built up over a long period.

EPA director Miruza Mohamed meanwhile warned that the move could reduce funding from international donors.

However, the ruling party says “making the services available under one roof would ease the burden on investors, speed up services, and improve investor confidence.”

The involvement of other ministries and institutions in regulating resorts hinders the tourism ministry and “lowers investor confidence”.

The new provisions state that “only the tourism ministry will have the authority” to conduct assessments and authorise development projects.

The tourism ministry will also have the power to impose fines not exceeding US$5 million for violations.

Transparency and accountability

Environmental NGO Ecocare warned that the move conflicts with the environment protection law – which requires the EPA to evaluate assessments – and could “pave the way for corruption”.

“Under this particular scenario we also feel that when EPA assess and evaluates EIA reports, it is a more transparent practice than leaving this to the Tourism Ministry, who carry out the evaluation and awarding of bids for tourist resorts,” Ecocare said in a press release today.

The current system put in place by the Environment Protection and Preservation Act includes checks and balances and assures transparency and accountability, Maeed Mohamed Zahir from Ecocare told Minivan News today.

With the changes to the law, an unscrupulous official at the tourism ministry can grant approval “regardless of the effect on the environment,” he said.

Opposition Maldivian Democratic Party (MDP) MP Fayyaz Ismail said at the committee last week that the tourism ministry presently “discriminates” in issuing and suspending operating licenses to resorts.

Fayyaz warned that officials could misuse the authority to approve development projects on resorts and selectively impose fines at whim.

MP Ali Fazad, a ruling Progressive Party of Maldives MP, also expressed concern with the amendments conflicting with the existing environment law as “two laws would have two [provisions] for the same thing”.

However, all ruling coalition MPs on the committee voted in favour of the bill and forwarded it to the parliament floor.

The law also introduces a new scheme to allow the extension of resort leases to 99 years for a lump sum payment of US$5 million.

The changes aim to incentivise investors, make it easier to obtain financing from international institutions, and increase revenue for the government.

To be eligible for a lease extension, a resort property must be operational with an existing lease period of 50 years and must not owe money to the government.

Under the current Tourism Act, the maximum lease period for resorts or hotels is 50 years. However, the constitution allows leases up to 99 years.

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PPM by-election campaign underway

The ruling coalition’s campaign for the upcoming parliamentary by-election for the Dhiggaru constituency is underway while the opposition alliance is yet to decide on fielding a single candidate.

A primary of the Progressive Party of Maldives (PPM) among four candidates seeking the ruling party’s ticket is due to take place on Friday. Former president Maumoon Abdul Gayoom’s eldest son, Ahmed Faris Maumoon, is among the contenders.

The by-election, triggered by the 25-year jail sentence handed down to former ruling party MP Ahmed Nazim, is scheduled to take place on June 6.

All candidates must inform the Elections Commission of their intent to contest the by-elections by the end of April.

The by-election is expected to be hotly contested amid heightened political tension following the jailing of former president Mohamed Nasheed and ex-defence minister Mohamed Nazim as well as the alleged unfair targeting of Jumhooree Party Leader Gasim Ibrahim’s business interests.

Faris is meanwhile in Dhiggaru on a campaign trip at present.

Other contenders in the PPM primary include Meemu atoll council president Moosa Naseer, deputy environment minister Mohamed Hanim and Dhiggaru island council president Imran Ismail.

The ‘Maldivians against brutality’ alliance, made up of the main opposition Maldivian Democratic Party (MDP), Adhaalath Party (AP) and senior members of the Jumhooree Party (JP), announced last week that discussions were underway on fielding a single candidate.

AP spokesperson Ali Zahir has since announced his intention of contesting in the by-election.

Meanwhile, former MDP chairperson MP Moosa Manik has criticised his old party for not holding a primary to select a candidate.

MDP Vice President Mohamed Shifaz told Minivan News today that the party has not yet decided whether to field a candidate.

But the MDP “will definitely hold primaries” if it chooses to contest the by-election.

“As a party we have to consider many factors including the independence of the independent institution and so on. The MDP has not yet decided to compete for the seat but if we do a candidate would be selected through primaries,” he said.

MP Moosa Manik, who was expelled from the MDP last year after repeatedly voting against the party’s whip-line, said the party must hold a primary if it is to respect its rules and founding principles.

“In the local council elections I decided not to hold primaries but the decision was opposed by a lot of members. So in the end we had to hold primaries,” he said.

“So if the MDP is not competing, not holding primaries in order to make way for the Adhaalath Party, it would be going against the party’s own norms as well as democratic values. Even though I have been removed from the party’s registry I have sacrificed a lot for MDP. I can’t let MDP drift away from democracy.”

In last year’s parliamentary polls, Nazim was elected with 60 percent of the vote from the Dhiggaru constituency after competing against an MDP candidate. The PPM also won a majority of the Meemu atoll council, which has four PPM members, one MDP member and one independent member.

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Horns and megaphones banned in parliament chamber

The People’s Majlis today banned the use of horns, sirens and megaphones in the parliament chamber following weeks of protests by opposition MPs.

MPs of the Maldivian Democratic Party and Jumhooree Party have been protesting since March 2 over the arrest and imprisonment of former president Mohamed Nasheed on terrorism charges.

Opposition MPs continued protests with horns and megaphones today, but Speaker Abdulla Maseeh Mohamed called for a vote on the changes proposed to the parliamentary rules despite the disorder in the chamber.

The changes were proposed by the speaker and approved with 43 votes in favour at today’s sitting.

The debate on the bill was once again inaudible to the viewing gallery and the parliament secretariat ceased providing a live feed of the sittings to television stations this morning.

“Work on bringing an end to the MDP’s horns by amending article 51 of the parliament rules is on the agenda today,” tweeted majority leader Ahmed Nihan before today’s sitting.

Nihan was not responding to calls at the time of publication.

MDP spokesperson Imthiyaz Fahmy told Minivan News today that opposition MPs will continue the protests.

With daily anti-government demonstrations and heightened political tension, the state of the nation shall be reflected in the People’s Majlis, he said.

“While democratic principles are destroyed and political leaders are jailed, the Majlis is a place where such issues can be resolved,” he said.

The MPs are calling for a resolution to the political crisis, but the “current majority party does not want to listen,” he added.

Imthiyaz also questioned the need for the changes as the rules allow the speaker to order the sergeant-at-arms to expel MPs who disrupt sittings.

He contended that laws were passed in recent weeks in violation of parliamentary rules as voting took place with disorder in the chamber.

Constituencies represented by opposition MPs did not have a say either, he added.

Previous speakers resolved disputes through dialogue with political parties, but the current speaker “is too dictatorial and doesn’t even want to talk to the minority,” he said.

Maseeh is conducting sittings in violation of the rules while insisting that there was order in the chamber despite the protests, Imthiyaz said.

But neither the speaker nor MPs were able to hear debates, he noted.

Last week, a three-month delay for the implementation of the new penal code was approved with a show of hands amid protests by MDP MPs.

Rules of procedure

The new provisions state that cases of MPs who use horns or megaphones and approach the speaker’s desk will be investigated by the ethics committee.

The committee can cut 55 percent of an MPs’ monthly committee allowance and suspend participation in an official parliament trip for six months.

Imthiyaz said the proposed punishment was “ridiculous” as it amounted to undoing or erasing committee attendance.

MPs receive a monthly allowance of MVR20,000 for attending more than 50 percent of committee meeting.

The purpose of today’s changes to impose pay cuts on opposition MPs as the ruling coalition lacked two-third majority required by the constitution for non-payment of salaries and allowances, he said.

He also noted that the MDP parliamentary group leader sent a letter to Maseeh expressing concern with sittings taking place in violation of the rules.

However, in a meeting last week, Maseeh insisted that he was following the rules.

Imthiyaz also objected to the speaker refusing to allow MDP MPs to speak during debates and advocate on behalf of their constituents.

At a previous sitting, deputy speaker ‘Reeko’ Moosa Manik refused to allow MDP MP Mariya Ahmed Didi to speak.

Imthiyaz said Mariya was seated, but the deputy speaker said the MDP MP will not be allowed to speak while her fellow MPs were protesting.

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