Day: May 13, 2012

Transport Minister backs MACL, orders GMR to pay US$8.2 million

The Transport Ministry has said the government is “fully behind” an order given by the Maldives Airports Company Limited (MACL) to India-based infrastructure giant GMR, that it pay the sum of US$8.2 million deducted from concession fees for the first quarter of 2012.

GMR took over the management of Ibrahim Nasir International Airport (INIA) – then called Male’ International Airport – from the government-owned Maldives Airports Company Limited (MACL) in September 2010.

Speaking to Minivan News today, Minister of Transport Dr Ahmed Shamheed said the government fully backed an MACL order for GMR to return the US$8.2 million it deducted from concession fees for the quarter.

According to a statement released by the MACL earlier this month, the company said it had only received US$525,355 out of an expected US$8.7 million in concession fees for the first quarter of 2012, after GMR deducted the Airport Development Charge (ADC) and insurance surcharge.

The ADC was intended to be a US$25 fee charged to outgoing passengers from January this year, as stipulated in the contract signed with GMR in 2010. The anticipated US$25 million the charge would raise was to go towards the cost of renovating INIA’s infrastructure.

The deductions were made after the Civil Court blocked the India-based company charging an Airport Development Charge (ADC) last year, on the grounds that it was a tax not approved by parliament. As the ADC was stipulated in the contract former President Mohamed Nasheed’s administration had signed with the airport operator, the government at the time agreed that GMR would deduct the charges from the concession fees due the government, pending appeal.

The Civil Court case had been filed against the airport by the former opposition Dhivehi Qaumee Party (DQP) – now part of President Mohamed Waheed Hassan’s coalition government.

Parliament’s Finance Committee has meanwhile revealed that the Maldives is facing a skyrocketing budget deficit of 27 percent for 2012, and a parallel 24 percent  increase in expenditure.

Last week, GMR released a statement proposing a compromise to the government whereby Maldivian nationals would be excluded paying the ADC when departing the airport.

MACL stance

MACL Managing Director Mohamed Ibrahim told local media today that MACL’s agreement with GMR under the previous government to deduct the ADC payment was “null and void”. Ibrahim told reporters that the deal was no longer relevant as it had been agreed by a former MACL chairman, and that charges could therefore no longer be deducted from GMR’s concession payment.

“We had informed that the letter from the former Chairman of MACL was now invalid and hence must not be followed. In addition we had also informed that no deductions can be made from the concession fee,” he told local newspaper Haveeru.

Ibrahim was not responding at time of press.

The MACL order was announced the same day that President Mohamed Waheed reportedly assured Indian Prime Minister Manmohan Singh that the government would uphold its commitments to foreign investors.

“It is only recently that the Maldives began working with large foreign corporations, and hence the Maldives has not much experience in dealing with large companies. That’s why we are currently trying to iron out some of these issues through mutual dialogue,” President Waheed said.

Transport Minister Dr Shamheed however told Minivan News that the President’s pledge would not affect MACL’s decision to order GMR to pay the deducted US$8.2 million.

“As per the concessions agreement, a fee has to be paid to MACL. That is my understanding,” he said.

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Police to crack down on tour agents scamming tourists

Police have announced plans to crack down on tour operators who are allegedly scamming tourists visiting Maldives, after several complaints were filed by tourists who have been targeted in these scams.

The reports of the tourist scams will be unwelcome for an industry which is already struggling to remain on top of its niche market of small island tourism as it faces fluctuating arrival rates, a decline in traditional markets, potential tax increments and a deteriorating image as political instability grows.

According to the police, some tour operators are defrauding tourists by charging large amounts of money in advance to pay for reservations, without actually making the payments to the resort.

“A lot of problems are created when the tourists arrive in Maldives after making the payments to the travel agencies and discover [the agencies] have not paid the resorts,” Deputy Head of Crime Specialist Command Mohamed Riyaz told press on Saturday.

Although the reported cases are uncommon and several were successively resolved, Riyaz noted that the police have started investigations into the tourist rip-offs as they are being “repeated”.

Police are taking administrative action against four agencies suspected of defrauding tourists, while investigations are pending in six “serious” cases, according to the Deputy Head of Crime Specialist Command.

He added: “The licence of agencies not paying advance money to the resorts will be terminated and their bank accounts will be frozen under the criminal investigation.”

The police have also requested tour operators to refrain from such scams that have the potential to “deeply harm” the tourism industry of Maldives, which contributes almost 80 percent to the national income.

“Operated from bedrooms”

Speaking to Minivan News, the Maldives Association of Travel Agents and Tour Operators (MATATO) and Maldives Association of Tourism Industries (MATI) – associations which represent tour operators and resort owners, respectively – revealed that the roots of the scam runs deeper.

MATATO’s President Mohamed Khaleel contended that there are “no legal restrictions to the fraudsters who want to run these scams”.

“Anyone can go to the Economic Ministry and set up a company. Get a travel agent licence, set up a website and start bringing tourists. Over the past two years, we have raised several concerns in various platforms about these paper companies defrauding the tourists and resorts,” Khaleel explained.

Police yesterday confirmed that the tour operators suspected to be complicit in the tourist rip-offs were registered, liscenced and had their own online booking service. However, the police did not reveal the identity of the companies as the investigation is pending.

However, MATATO’s President claims that out of nearly 500 registered and licensed tour operators and agents, only 50-70 are  professional agents “committed” to the industry.

“Others don’t even have offices, they just put a name board on the street and operate from bedrooms. No commitments. They take money from tourists, close it down and go open another agency again,” he added.

MATI’s Secretary General Mohamed Ibrahim Sim echoed similar concerns, recalling several instances where resorts have faced difficulties in collecting payments: “Some tour operators with outstanding payments have declared bankruptcy and disappeared. We have not even been able to trace some of them back.”

Both Sim and Khaleel emphasised the establishment of legal frameworks to provide legal protections to the industry and to prevent “a few fraudsters from tainting the image of whole tourism sector”.

“The solution lies in establishing better legal frameworks where the tour operator, resort operator and the customer is protected,” Sim argued.

“We have to enforce these laws and regulations. Beacause of the new innovations in the sector, the dealings between the resort and the tour operators are changing very quickly. We need to keep up with them in terms of an updated legal framework, where laws and regulations are revised and revamped consistently as the technology changes everyday. If we do not keep up with it, we are going to face these problems.” he further noted.

Meanwhile, MATATO’s President Khaleel observed that they are working on a draft of Local Travel Agent Regulation and Code of Conduct to gap the loopholes in the system and facilitate in protecting the industry. However, it is yet to be approved from the ministry and necessary laws need to be amended as well, according to Khaleel.

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New government a continuation of Nasheed’s: President Waheed

“My government is a continuation of the previous one under President Nasheed and there should be no doubt on this score,” President Dr Mohamed Waheed Hassan said during a meeting with Indian Prime Minister Manmohan Singh, reports The Times of India.

Finer details of this meeting are thin on the ground and have led to allegations of  media misinterpretation, prompting correction by State Minister of Foreign Affairs Dunya Maumoon today.

President Waheed’s comments appear at odds with a speech he gave in Kulhudhufushi a week ago, in which he described Nasheed as “a liar lacking in any sincerity”.

Waheed accused Nasheed of becoming a corrupt and authoritarian leader during his presidency who hijacked the Majlis and attempted to destroy the judiciary.

Since assuming the presidency following Nasheed’s resignation, Waheed has appointed an entirely new cabinet after the previous post-holders were asked to resign as well as creating two new ministries.

Just before leaving for India, President Waheed also vetoed three bills submitted to parliament by Nasheed’s government concerning corporate tax reform, including the Business Registration Bill, passed on 23 April 2012, the Corporate Profit Tax Bill passed on 24 April 2012, and the Sole Trader Bill passed on 25 April 2012.

According to the President’s Office, the bills were returned on the legal advice of Attorney General Azima Shukoor, previously the lawyer of former President Maumoon Gayoom.

The new government has also repealed or reviewed many of the initiatives and policies started under Nasheed, often citing poor planning or corrupt practices.

The government has sought to dispel what it considers “untrue perceptions” planted during the visit to India by former President Mohamed Nasheed last month.

However The Hindu on Friday argued that “the most important agenda will be the political issues that have been flagged by Mr Nasheed during his visit to New Delhi.”

During his trip, Nasheed spoke widely on the need for early elections as well as the potential for radical Islam to emerge within the Indian Ocean nation.

Media interpretations

With only scant details emerging from Dr Waheed’s meeting with Indian Prime Minister Manmohan Singh, media outlets have provided differing interpretations of what the most substantive issues of these talks were.

India Today chose to focus on the issues raised by Nasheed in its summary of the meeting.

“India has asked Maldivian President Mohamed Waheed to hold early elections. He was also directed to rein in fundamentalist forces gaining ground in the island nation,” said India Today.

“Waheed… was told to pay heed to all ‘shades of opinions’ and hold elections before the scheduled polls in October 2013,” the paper continued.

The Hindu said: “[Waheed] is a political lightweight, who will be unable to categorically assure New Delhi on issues that are high on the agenda.”

“The Waheed government has neither shown the urgency, nor the persistence to engage all shades of opinion to arrive an early election date,” the paper reported, noting that the possibility of an early election “appears remote”.

The paper suggested that the real powerbrokers in the Maldives were people not present with the Maldivian delegation, alleging that former President Maumoon Gayoom was one such figure, who preferred 2013 to be the election year.

Gayoom’s daughter, Dunya Maumoon, is part of the delegation, currently serving as State Minister for Foreign Affairs.

Dunya was today anxious to correct any media interpretation that the discussions included agreement on elections before 2013.

“He said that an early election will be held within what is allowed in the constitution, but that the matter is not in his hands given that the constitution stipulates a Presidential election can only be held in 2013,” Dunya told local newspaper Haveeru.

The Gulf Times coverage of the meeting noted that early elections were discussed between the two statesman, before adding that “consensus was elusive” in the Maldives in this respect.

The Indian Express said, “the assessment here is that the parties in the Maldives need to have another round of discussions on the question of early elections,” before the article detailed the constitutional amendment that early polls would require.

The meeting also received coverage in the United States, with the New York’s Daily News reporting that Waheed talked with Singh about the possibility of constitutional amendment that would facilitate early polls.

The newspaper also highlighted the inclusion in the talks of investment opportunities as Waheed told Singh of the Maldives’ desire for further Indian investment as well as assuring him of the “continued adherence” to all agreements between the two countries.

The most high profile deal involving Indian investment in the Maldives is the GMR deal, details of which the government has challenged.

The Indian infrastructure giant signed a 25 year concession agreement with former President Mohamed Nasheed’s government to upgrade and manage Ibrahim Nasir International Airport (INIA). Under the concession agreement, a US$25 charge was to be levied on all outgoing passengers to part-fund the US$400 million upgrade.

However, while in opposition the Dhivehi Qaumee Party (DQP) which today forms part of Waheed’s national unity government, led by Dr Hassan Saeed, now President Dr Mohamed Waheed’s special advisor, filed a successful case in the Civil Court in December 2011 to block the payment of the charge, on the grounds that it was effectively a tax not approved by parliament.

In a bid to try and resolve the issue last week, GMR provided several possible solutions to address concerns about the ADC, by offering exempting Maldivian passport holders from paying the charge.

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Gaamaadhoo prison bones not Abdulla Anees ‘Aibalhey’, say police

Police have reported that human bones discovered in the site of the former Gaamaadhoo prison on September 19, 2009 do not belong to Abdulla Anees ‘Aibalhey’.

Former President Mohamed Nasheed alleged that the human bones discovered in Gaamaadhoo prison matched the age and estimated period of death of Anees, who disappeared while he was serving a sentence in the prison.

Speaking to the press, Deputy Head of Specialist Command Mohamed Riyaz said that police had concluded the investigation into the case launched under former president Nasheed’s administration, and decided that Anees had not died while in prison. He had last been seen while he was on an island, sentenced to banishment.

Riyaz said the bones were analysed in Thailand and the US, and were found to be aged between 950-1050 years old.

During the investigation police travelled to different islands where Anees had been and met with his close friends, family members, cell mates and women that he had had relations with to gather information, and had  tracked faxes and letters and other documents, Riyaz said.

According to Riyaz, Anees was in jail in early 1980 and was among the inmates that transferred to Gaamaadhoo prison in 1982. In 1983 he was banished to the island ‘Kondey’ in Gaafu Dhaalu Atoll.

In December 1983 he was brought back to jail, Riyaz said, and there were records that he had escaped prison several times.

In 1984 he was banished to some islands in the north of the Maldives and on several occasions had tried to flee by stealing a ‘Bokkura’ [small traditional boat]. He was last banished in July 1985 to the island of Dhiyadhoo in Gaafu Alifu Atoll, according to Riyaz.

In 1983 Anees was banished to Fuvamulah, but stole a boat and tried to flee before he was found near the waters of Fiyoari in Gaafu Dhaalu Atoll and brought back to hail.

That same year he was arrested again in a bokkura in the Vaadhoo Ocean, as a fugitive on the run who had escaped prison for the second time.

Prison documents show that Anees was in prison in December the same year and had escaped prison that time as well.

In July 1984 Anees was banished to Hoarafushi in Haa Alifu Atoll, and in September that year he stole a boat and fled to Molhadhoo in the same atoll.

The last information about Anees that police could obtain was that he was banished to Dhiyadhoo island in 1985, and on the evening of September 25 of the same year he stole a bokkura and left the island.

Police said the night Anees left was stormy, and that after he left there was no sign of the bokkura, his body or his clothes.

According to police, documents at the Dhiyadhoo island office and former prisons division showed that a search was conducted to find him, but it was unsuccessful.

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MNDF marks Children’s Day

The Maldives National Defence Force (MNDF) conducted equipment demonstrations and allowed children to handle firearms during an event on Saturday to mark Children’s Day.

MNDF Spokesperson Major Abdul Raheem said the National Library requested the MNDF set up a stall as part of the day’s events, “so we demonstrated our equipment, and people took photos with it.”

Some of those photos – of toddlers handling heavy machine guns and staring down the barrels of pistols – were met with concern by Maldivians on social media channels, who described the images as “just not right”, and “sick and wrong”. One Maldivian twitter user questioned whether the event was part of the new government’s civic education syllabus.

Photo: Jaawid Naseem

In response to concerns, Major Abdul Raheem emphasised that the event was “very safe”.

“When we took the weapons outside we did not take any ammunition,” he explained. “The weapons were technically disabled.”

There was no possibility of even an unloaded weapon falling into the hands of a member of the public, he said.

Mariya Ali, former Deputy Minister of Health and Family with a 20 year background in child welfare in the Maldives, questioned the objective of the exercise.

Photo: Jaawid Naseem

“These children have witnessed violence from the [police and army], and now they are being exposed to the tools of violence. If it is not explained correctly, it can have a longstanding effect on them,” she said. “It is not appropriate for children under the age of eight to be exposed to this.”

Mariya said research into how children perceived authority figures such as the police showed that “Children see them as protectors – in their minds they separate the act of protecting – violence – from the protective side.”

“It would have been better to focus on the protective side, rather than the guns – things like fire safety, and cleaning up after accidents,” she suggested. “Children look up to them, they are important role models.”

UNICEF Resident Representative to the Maldives Zeba Tanvir Bukhari said the organisation was “quite taken aback” and said she hoped the MNDF would consult it when organising future events.

“It’s really very worrying. Children are very fragile at that age – the focus needs to be on care, affection, education and health.  There is a huge risk of influencing children,” she said.

Images courtesy Jaawid Naseem/Jade Photography. Republished with permission.

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First lady discusses Maldives autism challenges in India

First Lady Ilham Hussain yesterday visited India’s National Center for Autism, highlighting the need for greater training opportunities for Maldivians working with local sufferers of the condition.

Hussain’s visit, which coincides with a government visit to India, was made in her capacity as a founder member of the Autism Association of the Maldives.

Whilst at the centre, the first lady spoke with senior staff and discussed work being undertaken in the Maldives on raising awareness about autism, according to the President’s Office website.

Hussain also stressed the importance for more training opportunities at the National Center for Autism in India, particularly for Maldivians working with children suffering from the condition.

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Immigrant workers “slipping through the cracks”: The Sunday Leader

The immigration detention centre on the island of Hulhumale’ is a world away from nearby Ibrahim Nasir Internaitonal Airport, writes Raisa Wickrematunge for the Sri Lanka-based newspaper, The Sunday Leader.

“Hulhumale’ is known as the airport island of the Maldives- it’s where tourists from all over the world fly in. But the other section of Hulhumale’ is a world away from the runway. It houses a detention centre, one which takes in migrant workers who have fallen foul of the law.

This centre is manned by a single immigration officer and two police guards, who have just been appointed. Indeed, they are so new to the job that they do not even check our paperwork when we arrive at the gate.

‘When I got here, it was just thick trees and scrub. No one could live here,’ the immigration officer said, emphatically. He and two officers cleared the area and set up the centre- a long building with an aluminium roof.

There is a separate section for the toilets. The stench is indescribable. There are a couple of shower stalls, simple taps with running water, one of them outdoors.

Around 20 Bangladeshis are currently living here, although the number could swell to around 70, and often does. They say they are here because they have been cheated by unscrupulous agents. Many have no travel documents. The immigration officer says many of them are here because they committed petty crimes.”

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Police request EC take action against MDP after “noise complaints”

Police have requested the Elections Commission (EC) take action against the Maldivian Democratic Party (MDP) after claiming to have received noise complaints following the party’s protest held on Wednesday outside the Supreme Court.

Police said the request was made last Thursday in a bid to “avoid such disturbances in the future”.

According to police statement, MDP protesters gathered in the area on Wednesday at about 2:00pm and were using loudspeakers which disturbed people praying at the mosque, people working at private and government offices in the area, and disrupted the work of the Supreme Court.

Police claimed this was against the political party code of ethics, and requested the Elections Commission take action against the MDP under the Political Parties Act.

Maldivian Democratic Party (MDP) Chairperson and MP, Reeko ‘Moosa’ Manik, and MDP Spokesperson and MP Imthiyaz Fahmy, were not responding at time of press.

According to the party, the MDP gathered in front of Bandaara Mosque near the Supreme Court calling for an end to the prosecution of MDP supporters detained on charges of disobedience to order and obstruction of police duty, charges the party claimed were being used to throttle its freedom of assembly.

According to the party, the Prosecutor General (PG) has filed charges against 60 MDP members for obstruction of police duty during the party’s three-month series of protests.

The Criminal Court last Tuesday held hearings against 10 people charged with obstruction of police duty during an MDP rally on March 1.

Speaking to MDP members on Tuesday night, Nasheed said he was “concerned about the arrest and prosecution of protesters exercising their right to freedom of expression and assembly.”

He also condemned the charges against “peaceful” protesters while police and military officers who carried out the “coup” continued to remain free.

Elections Commissioner Fuad Thaufeeq did not respond at time of press.

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