Day: February 22, 2012

President Waheed forms commission to investigate transfer of power

President Dr Mohamed Waheed Hassan has formed a “Commission of National Inquiry” to investigate the events that unfolded in the Maldives during the period from 14 January to 8 February.

The inquiry was created by presidential decree as per the article 223 clause (d) of the constitution.

The President’s Office stated that the commission was established to make “an independent impartial investigation” into the change of power and surrounding protests.

President Waheed nominated three members to the commission: former minister of defence and national security during President Maumoon Abdul Gayyoom’s administration Ismail Shafeeu, Gayoom’s former minister of tourism and the first president of the Human Rights Commission of the Maldives (HRCM) Ahmed Mujuthaba, and Dr Ibrahim Yasir.

Shafeeu was nominated to chair the commission. Mujuthaba is also chairing the cross-party talks concerning Dr Waheed’s “Roadmap for a Possible Way Forward”, which the MDP has boycotted due to the involvement of un-elected parties without a democratic mandate.

President Waheed has also requested Prosecutor General Ahmed Muizz oversee the legality of the inquiries and investigations as per the article 223 (d) of the constitution.

The commission has been given the mandate to compile a full report on the outcome of the investigation and submit it the President, the Prosecutor General and the Attorney General – Gayoom’s former lawyer, Azima Shukoor.

Dr Waheed’s Press Secretary Musood Imad was not responding to calls at time of press.

Maldivian Democratic Party (MDP) spokesperson for International Affairs, MP Hamid Abdul Ghafoor, questioned the impartiality of the commission.

“How can [the government] carry out an impartial investigation, when they themselves were involved in the actions during that time period?” he asked.

“This is exactly the same type of commission that was formed during Gayoom’s regime to look into the events that unfolded in Maafushi Jail in 2003, including the custodial death of Evan Naseem,” Ghafoor said.

“Look what happened to the report they published then – people questioned it, and part of it was censored. We are calling for a third party consisting of international experts  to come and  into look into the matter. We absolutely do not believe that this commission will be impartial in investigating the matter.”

The legality and legitimacy of the transfer of presidential power in the Maldives should be determined by the independent impartial investigation, and the make-up and mandate of the investigation must to be agreeable to all responsible political parties, the MDP has said, acknowledging the European Union (EU)’s statement on the current situation of Maldives.

The investigation “must include international experts and should deliver accountability for all human rights violations,” MDP’s statement read.

Police and protesters attack the military base on February 7:

Police, MNDF and opposition protesters break into the state broadcaster on February 7:

A police crackdown on MDP demonstrators and supporters followed on February 8:

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Cabinet discuss cutting government working hours

The Maldives’ new cabinet has discussed restoring government office working hours back to what they were under former President Maumoon Abdul Gayoom.

During Gayoom’s time, government offices were open between 7:30am to 2:30pm. Nasheeds’ administration amended the hours to 8:00am until 4:00pm.

Tourism Minister Ahmed Adheeb, during a news conference held last night to brief the press on the current economic situation of the country, said that cabinet had discussed the matter and had come to a decision to talk to the Civil Service Commission (CSC) on the matter.

President of CSC, Mohamed Fahmy Hassan has stated in the local media that the commission is in full support of the change of the working hours and that the commission had proposed the change of the working hours even during Nasheed’s administration.

A formal announcement of the change of the government working hours is yet to be made.

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President of Kulhudhufushi island council summoned for questioning

The chair of the seven-member Haa Dhaal Kulhudhufushi island council, Ibrahim Rameez, was summoned by police for questioning last night, according to a community online newspaper.

The former ruling Maldivian Democratic Party (MDP) won all seven seats of the Kulhudhufushi island council in February 2011. The island is the major population hub north of Male’.

According to the community website, Ramiz had refused to comply with two previous summons and had been released after questioning last night. Police suspect the councillor’s involvement in disturbances during a protest outside the island’s police station on February 8.

Protests were sparked across the country following a brutal crackdown by police on a peaceful MDP walk across Male’, led by deposed President Mohamed Nasheed who had announced that he was forced to resign under duress.

The Kulhudhufushi council had issued a statement declaring it does not recognise the government of Dr Mohamed Waheed.

Meanwhile, newspaper Haveeru reported yesterday that police released three of four Addu City councillors detained on February 9 and arrested an additional councillor. The five-member Addu City Council was also won by MDP.

Three released councillors were Hussein Fahmy, Hussein Hilmy and Abdulla Thoyyib. The latter had been arrested last Thursday.

Deputy Mayor Hassan Shahid remains under house arrest. Feydhoo councillor Ahmed Mirzad was taken into custody last night.

Mid-Hithadhoo MP for MDP Mohamed Rasheed had also been arrested in the crackdown but released shortly thereafter.

However according to MDP, more of its councillors across the country continue to be taken into custody. According to Milandhoo MP Riza, three of the island’s councillors were “paraded in handcuffs”.

Ihavandhoo MP Ahmed Abdulla has meanwhile condemned police intimidation of island councillors as no violence or destruction of property was reported in the island.

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EU backs early Presidential Elections

The European Union has called on political parties in the Maldives to commit to early presidential elections “and to determine the legislative and constitutional measures required to ensure that these are free and fair.”

Catherine Ashton, High Representative of the European Union for Foreign Affairs and Security Policy and Vice President of the Commission, also said that the EU “is of the view that the legitimacy and legality of the transfer of presidential power in the Maldives should be determined by an impartial, independent investigation as agreed by all parties in the Maldives. “

President Dr Mohamed Waheed Hassan has appointed members to such an inquiry, however former President Mohamed Nasheed’s party has disputed its impartiality, and called for the involvement of an independent international body.

The EU said it was ready “to offer further assistance in the field of governance, including in the justice sector, in conjunction with existing actions financed by Member States.”

In the meantime, Ashton said, “the EU calls on all parties to refrain from violence, inflammatory rhetoric and any provocative actions which could threaten the future of democracy in the Maldives.

“The police and army should exercise maximum restraint in the execution of their duties which must remain strictly within their constitutional mandate.”

In response to the EU’s statement, Nasheed’s Maldivian Democratic Party (MDP) issued a statement “warmly welcoming the conclusions and sentiments contained therein”, and called for “immediate dialogue between responsible political parties possessing a democratic mandate (i.e. having seats in the Majlis or local councils) to agree on the date and conditions for free and fair elections, and to determine the constitutional and legislative measures required to make this happen.”

The MDP earlier this week boycotted a round of talks held in Nasandhura Palace Hotel, describing them as a “clear effort to delay substantive discussions”

The minority opposition Progressive Party of the Maldives (PPM), headed by the former President Maumoon Abdul Gayoom, was present in talks but does not have official representation in the parliament or on an elected council. Under parliamentary regulations, MPs who joined Gayoom’s PPM from the Dhivehi Rayithunge Party (DRP) technically count as independent MPs until elected on a PPM ticket in the next parliamentary election.

China defers to India

A report in India’s Hindustan newspaper meanwhile suggests that China has “quietly conveyed” that it has no interest in “fishing in the troubled waters of the Maldives”, and was prepared to “help New Delhi settle the political crisis”.

“Top government sources said after inspired reports that Chinese were behind the overthrow of liberal Mohamed Nasheed’s regime, Beijing used diplomatic channels to assure at the highest levels that it has no political interest in Male’ and wanted New Delhi to take the lead in sorting out the current political crisis,” the Hindustan repored.

“While China offered help in case India wanted it in settling Male, it made it clear to New Delhi that it would be concerned if US, UK and other western powers moved in to resolve the crisis.”

India’s United Progressive Alliance (UPA)-led government “is confident of helping Maldives resolve the political crisis,” the paper reported. “It knows that the local people on streets are with Mohamed Nasheed but that the state power and institutions including army are with Abdul Gayoom, backed by Dr Mohammed Waheed Hassan.”

“Indian diplomatic managers want Waheed to step down and pave way for an interim government under Speaker which could hold free and fair elections for a stable government as early as possible. But the pragmatic picture shows that India will deal with both Waheed and Nasheed for a stable government in Male and does not expect the current President to step down before elections.”

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Former finance minister Inaz leaves MDP

Former Finance Minister Ahmed Inaz has confirmed his decision to leave the Maldivian Democratic Party (MDP).

Inaz did not give a reason for his decision, but told local newspaper Haveeru that the move “puts an end to my political career for now”.

In a response to Minivan News, he said he would “always remain independent and serving the national interest”.

Inaz was appointed after the then-opposition majority parliament unseated Finance Minister Ali Hashim in November 2010, along with six other cabinet ministers.

That vote came after three weeks of disruption in parliament, a stalemate ended only when MPs of the ruling Maldivian Democratic Party (MDP) boycotted the sitting before voting began.

Inaz’s resignation followed an incident in December 2011 in which MDP activists “dragged” him from a car in which he had been spotted hold holding a covert meeting with former president Gayoom’s half brother, MP Abdulla Yameen.

MDP activist Ibrahim ‘Dhonbeli’ Haleem told Minivan News afterwards that he had observed Inaz and Yameen holding a discussion “for two hours” near Male’s South Harbor, “a dark area poorly lit that is only really frequented by boys and girls, not for official business.”

“I told Inaz it was wrong, that Yameen is an enemy and why is he going to this area to hold a business meeting. If he needs to discuss business he should do it in his office.

“Inaz admitted it was wrong, and the MDP activists were yelling and shouting so I took him on my bike to Haruge (MDP headquarters),” claimed Dhonbeli.

Inaz would not confirm that this was the reason for his resignation at the time.

Tax advocate

Inaz’s term as finance minister was characterised by swiftly-enacted tax reforms, passed amid juggling many conflicting political interests and a campaign to sell the concept to the public.

Inaz noticeably took the time to meet with businessmen, parliament and opposition party delegations to explain the reasons and rationales for the various reforms he was implementing.

“All the businessmen I have met – all the reasonable businessmen I have met – believe that the country has to move to a much more structured, predictable and more coherent system of governance. And to do that we need an economic system that supports social change, and supports the change we have brought politically,” he told Minivan News, in an interview in May 2011, shortly after becoming minister.

“To sustain their businesses it is important that they have social and political stability. It would be a grave mistake if one stands up and says they don’t support [income tax], because that will bring instability to the country and harm businesses,” he said.

Under Inaz, the Maldives implemented a tourism goods and services tax (TGST), general GST and business profit tax, and was working towards an income tax for those earning over Rf 30,000 (US$2000) a month. Nasheed’s government maintained that combined, these elements would give a full picture of the money and assets in the country, and avoid the hiding of company tax revenue with individuals.

New Economic Minister Ahmed Mohamed announced at a press conference yesterday that policy of income tax would temporarily be halted, according a report in Haveeru.

Under Inaz, the Maldives Inland Revenue Authority (MIRA) also took over most of the Maldives’ government’s cash handling, greatly reducing petty counter-level corruption across the public sector and giving a single picture of government income.

Inaz also pushed – against subtle but solid opposition – for the rufiya to be used as legal tender for all transactions in the Maldives, aside from tax collection.

Most resorts continue to charge tourists in dollars, a practice which is contrary to monetary policy and technically illegal, but ignored by the Maldives Monetary Authority (MMA). Those dollars swiftly leave the country for more financially-stable shores, instead of generating a demand for the local currency at the point of sale. The country consequently has a dollar shortage, banks have little money to loan, and the average population benefits little from the tourism industry beyond employment – for which they are paid in rufiya.

“What other country has prices in another country’s currency?” Inaz asked Minivan News, in May 2011.

A key moment under Inaz’s term as finance minister came with the discovery that based on income from the TSGT, the tourism economy was 300-400 percent previous estimates.

“Previously we had thought tourism receipts for the country were around US$700 million. But since collection of the 3.5 percent Tourism GST it has come to light that the figure is around US$2.5-3 billion,” then President Nasheed said during a press conference in June 2011.

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