Month: August 2011

DQP MP submits resolution to cut fuel surcharge

The Dhivehi Qaumee Party (DQP) has submitted a resolution to parliament calling on the government to cut the fuel surcharge included in the electricity bill every month.

In the resolution, DQP MP Riyaz Rasheed claims that the fuel surcharge was “a type of tax unapproved by the parliament and taken from the citizens, despite the laws clearly stating that any tax could only be taken after parliament approves it.’’

“When President Mohamed Nasheed was campaigning for the presidential election, the pledge he made publicly was to lower the electricity tariff,” Riyaz Rasheed said in the resolution. “It could be believed that raising the electricity tariff from month to month is a deliberate attempt made by the government to make the citizens poor.”

In the resolution the MP says that electricity is one of the country’s basic needs and that due to the hike in electricity tariffs, “today citizens have to spend bulk of their wage on electricity.”

The resolution also says that the owners of medium-sized businesses were worried about the future of their businesses “because of the government’s decision to float the dollar exchange rate in to a band of Rf10.28 – Rf15.42 which has made the prices of goods increase.”

The MP also called on the government to cease withdrawing taxes from the citizens in the name of fees or charges “at a time when adults and children are forced to live in poverty.”

In May last year the main opposition Dhivehi Rayithunge Party (DRP) led protests outside State Electric Company (STELCO) complaining about increased electricity tariffs.

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“Moosa is a big liability”: MDP MP ‘Colonel’ Nasheed

MPs of the ruling Maldivian Democratic Party (MDP) representing Upper North constituencies boycotted a rally last night dubbed “Big Picture for Bodu Thiladhunmathi [Haa Alif, Haa Dhaal, Shaviyani and Noonu Atolls]” in protest of acting Chairperson ‘Reeko’ Moosa Manik allegedly using party resources for “self-promotion.”

MDP MP for Nolhivaram ‘Colonel’ Mohamed Nasheed explained that the MPs decided not to attend the rally as “the purpose was not made clear and there was no discussion with us before it was organised.”

“The second reason is because we believe the party mechanism is being abused to promote a certain person,” Colonel said, referring to former parliamentary group leader Moosa Manik.

Colonel speculated that Moosa was preparing to launch a bid for the MDP ticket for the 2013 presidential campaign.

“We have advised President [Mohamed] Nasheed repeatedly that we should not be making enemies,” he said. “But what we’re seeing from Moosa every day are calls for someone to be killed or arrested.”

Moosa had become “a big liability” for the government and ruling party because of his tendency to “make enemies” and put personal interest before the party, Colonel said.

“Major successes of the party are rolled back because of one word from Moosa,” he continued. “MPs [from other parties or non-aligned] that we bring to the party after a lot of hard work is lost because of Moosa’s personal issues.”

He added that the ruling party suffered as a result of Moosa “making enemies of politicians, businessmen, the judiciary and certain media.”

“There is no one in this country who isn’t an enemy of Moosa Manik now,” he said.

Moosa has been engaged in a long-running feud with private broadcaster DhiTV, which routinely carries allegations of corruption against the MDP Chairperson, notably in the awarding of a US$21 million reclamation project to Moosa’s company Heavy Load.

Moosa meanwhile alleges that 168 bottles of alcohol found in his car while he was in Singapore was an attempt to frame him by the owner of DhiTV, Champa Mohamed Moosa.

“A media channel in this country has used my photo, my car, my family, my children and my name to do business and I want to sue for compensation,” Moosa told Minivan News at the time, referring to DhiTV’s continuous coverage of the incident.

Colonel noted that the allegations in the media were harmful to the ruling party: “I’m not saying the accusations are true, but Moosa has not been able to prove his innocence,” he said.

He urged the party’s acting chairperson to be “more focused” and “make friends instead of enemies.”

Speaking to Minivan News today, Moosa Manik however claimed that he was “not aware that anyone boycotted last night’s rally.”

Moosa also dismissed Colonel Nasheed’s criticism: “Colonel wouldn’t seriously say that about me,” he insisted. “He must have been trying to fool somebody. It must have been a joke.”

Haa Alif Hoarafushi MP Ahmed Rasheed told Minivan News that last night’s rally was announced “suddenly without any discussion” while MPs were busy preparing for a ceremony tomorrow night to unveil the government’s economic reform agenda.

While MPs Hamid Abdul Gafoor, Ilyas Labeeb and Hussein Waheed were only MPs who attended the rally, Rasheed claimed that all three left when they “understood what was happening.”

Rasheed speculated that the “hidden agenda” behind the rally was Moosa’s campaign for the MDP presidential ticket.

“I am certain of [Moosa’s plan to run for presidency],” he said. “Otherwise he wouldn’t be trying to damage and undermine the dignity and integrity of the government.”

President Nasheed met MPs recently to discuss the economic reform package, said Rasheed, and “asked us not to act like children in parliament and argue and scream at each other all the time.”

“[But] Moosa’s nuisance is now worse for us than nuisance from the opposition,” he said, claiming that “every time there is an important vote Moosa angers all the opposition MPs and businessmen in Majlis.”

He added that Moosa’s habit of “making enemies” resulted in MDP losing support of opposition and Independent MPs.

“There is a very important vote tomorrow where we are going to need the support of two opposition MPs,” he explained, referring to a vote on the agenda for Monday’s sitting to approve the president’s nominees for Fisheries Minister and Defence Minister.

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Agreement signed with India for US$40 million line of credit

An agreement has been signed with the Indian Export-Import Bank (EXIM Bank) for a US$40 million line of credit for 500 housing units to be built with assistance from the Indian government.

According to the Maldives High Commission in New Delhi, India, the agreement was signed Friday with the High Commission’s Councillor Aishath Azima signing on behalf of the Maldives and Chairman T. C . A Ranganadhan on behalf of the bank.

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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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47 road accidents in first week of Ramadan

A total of 47 road accidents were reported across the country in the first week of Ramadan, according to police, compared to 38 accidents in the corresponding period last year.

Apart from the capital Male’ where the highest number of accidents are reported particularly during Ramadan, a number of accidents have occurred in the southern atolls of Laamu, Fuahmulah and Addu.

While no serious injuries have been reported, an accident in Hulhumale’ last week resulted in a fatality.

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MIRA’s board to discuss accepting payments in local currency

The Maldives Inland Revenue Authority’s (MIRA) board has yet to decide whether to follow a directive from the Finance Ministry to accept tax payments in local currency, Haveeru reports.

A MIRA official explained that laws such as the Tourism Act and Tourism Goods and Services Tax Act stipulated that payments must be made in US dollars.

“The services for which payments can be legally charged with the local currency will be charged accordingly from today, like the Airport Service Tax. It is stated that this tax can be charged in local currency. Also, some agreements do not specify a particular currency and so if both sides agree fees under such agreements will also be received in Rufiyaa,” the official told Haveeru.

MIRA board member Abbas Adil Riza meanwhile said that “MIRA’s administrative employees will follow the board’s instructions and not directives of the Finance Ministry. We are trying to implement laws.”

In a bid to alleviate the acute dollar shortage affecting the country, cabinet decided last week that all fees and taxes collected by the government must be paid in Dhivehi rufiya.

While the Maldives Association of Construction Industries (MACI) welcomed the move, the association’s President Mohamed Ali Janah told Haveeru yesterday that the government should also find alternative sources of revenue in US dollars.

“The way I see it, the government is taking on the dollar burden previously put up with by the businesses and individuals. If so the government has to come up with alternative sources of dollar income. If the government is also to obtain dollars from the market, the shortage will increase in magnitude,” he said.

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Protesters outside immigration call for resignation of Controller following work permit rejections

A group of 50 protesters gathered outside the Immigration Department today demanding the resignation of Immigration Controller Abdulla Shahid, claiming that immigration staff were refusing to accept work permit documents issued by the Human Resources Ministry.

“They refused to accept documents that were issued last week, because last night the Immigration Department announced that the document’s name had changed from ‘Work Permit Document’ to “Employment Approval Document,” one protester said. “These documents they refused to accept were issued last week – when they make such an announcement all of a sudden, what can we do about it?’’ he asked.

The protesters claimed the arrival of expatriate workers would be delayed because of the name change.

“When they refused to accept these documents we cannot pay for the deposit fee, the payment receipt and the immigration approval stamp and the work permit card,” he said. “So now we will have to delay the arrival of expat workers expected to here earlier.”

The protesters also complained that only 15 queue numbers were being issued every day for work permit cards, “so only the first 15 persons who go near the Immigration Department get to apply for the work permit cards. After breaking fast, around 7:30 pm we have to go near the department and line up until it opens the next day at 9:00am,” he claimed.

An investigation into endemic human trafficking and abuse of the work permit system ordered by the government last month, and saw front line immigration and human resources ministry staff replaced by the Maldives National Defence Force (MNDF) for two weeks.

Immigration authorities have previously speculated that of the 100,000 expatriate workers in the country, up to half may have entered the country illegally. Preliminary findings from the investigation last month unearthed a web of paper companies and ministerial corruption suggesting an industry worth upwards of US$123 million.

“People have been creating fraudulent companies and using them to apply for fraudulent work permit quotas, and then diverting these quotas to keep bringing in illegal workers,” said President Nasheed’s Spokesperson, Mohamed Zuhair, at the time.

“A would-be worker [overseas] pays money and ends up here on fraudulent papers obtained by a bogus agent, from quotas at a non-existent company,” Zuhair said. “Sometimes they are expected to work for 3-4 years to make the payment – workers have told police that this is often as much as US$2000.”

Police Sub-inspector Ahmed Shiyam said that police had monitored the situation as the crowd gathered.

”No arrests have been made, but police were active in the area,” Shiyam said.

Immigration Controller Shahid was not responding to calls at time of press. Assistant Controller Ibrahim Naseer said he was unable to comment on the matter or provide an alternative contact at the department as he was on holiday.

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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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Taxation is allowed “under conditions”, says Adhaalath Party

Adhaalath Party has today claimed that taxation us allowed in Islam but “under conditions”, stating that there were “some issues” with proposed taxation regulation in the Maldives.

In a press release issued today detailing the party’s views on taxation, the Adhaalath Party said that some scholars believed that taxation was haram and some that it was was halal.

The party said that according to Islamic jurisprudence and economists, tax was something withdrawn from citizens without their consent and without specific profit in return.

Taxation would be allowed ‘’only in exceptional situations and it has to be stopped when the situation returns to normal’’, the party said.

‘’Thinking of taxation economically, it could be taken from the people permanently as a source of income to run the state, but under Islam tax can be taken if the state reaches a certain situation,’’ the Adhaalath Party said.

The Hanafi, Maliki, hanbali and Shafi’e sects of Islam allowed for taxation, said the Adhaalath Party, adding that there were scholars who believed that taxation was haram because it was something taken by force.

The party acknowledged that it would be “very difficult” to cover the expenditure of the state only by using the amount the state received through zakat.

However, the party urged that any money earned by taxation was to be shared justly and divided to fulfill the needs of all citizens.

‘’A tax has to be taken from the amount left after fulfilling the basic needs of the tax payers,’’ the party said. ‘’If there was nothing left after completing their basic needs, tax should not be taken from them.’’

Finance Minister Ahmed Inaz has previously stated that the proposed income tax will only affect those earning more than Rf 30,000 (US$2000) a month.

The Adhaalath Party claimed the Import Duty tax had to be stopped and said it would be more beneficial to replace this with a business profit tax, as this would be collected after the business sold the product and not before.

‘’It is a  burden for small and medium businesses to pay a heavy import duty before a product has been sold,’’ the Adhaalath Party said.

The party also called on the government to abolish “useless political appointees”and to “introduce a Zakat Act”.

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