Police tell Malé City Council removal of replanted trees was lawful

Police have informed Malé City Council that no action will be taken against the Maldives Road Development Corporation (MRDC) in relation to the removal of trees planted by the council last week.

A letter given to the council explained that the state-owned company had acted on the orders of the housing ministry, which was the highest authority in the country for environmental matters.

Around 25 areca palm trees – donated by the Indian government in 2011 – were cut down late last month by men alleged to have been off-duty Special Operations police officers, although police have denied this.

Opposition politicians have told local media the trees had been used by the Maldivian Democratic Party – which holds a majority of seats on the council – to curse President Abdulla Yameen.

Subsequent efforts to replace the trees were stopped by the MRDC last week, before the cabinet announced it was to remove control of the city’s streets from the council’s jurisdiction.

Council members have suggested that the government is infringing on services designated to the council under the 2010 Decentralisation Act.

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Bill proposed to exempt domestic air travel from T-GST

MPs today debated amendments submitted on behalf of the government by the Maldives Development Alliance (MDA) MP Mohamed Ismail to exempt domestic air travel or ticket prices from Tourism Goods and Services Tax (T-GST).

The amendments (Dhivehi) to the GST Act of 2011 also proposed exempting goods sold at shops in resorts, guesthouses, and hotels that are exclusively for staff from the 12 percent tax rate.

A T-GST hike from eight to 12 percent – approved by parliament in February as part of revenue raising measures proposed by the government – came into effect on November 1.

Subsequently, local airlines Maldivian and Flyme imposed a 12 percent sales tax on ticket prices and increased airfare by about MVR32 per ticket.

“Now a [ticket] to a flight to Addu has gotten more expensive than a flight to Colombo. This is not, in any situation, how it should be priced,” former President Mohamed Nasheed told local media following the tax rise.

Presenting the legislation at today’s sitting of parliament, MP Mohamed Ismail said the purpose of the amendment bill was to exempt Maldivians from the tax hike.

While the bill was submitted on October 22 before the T-GST rise came into force, the MP for Haa Alif Hoarafushi noted that its inclusion in the agenda was slightly delayed.

The bill also states that any visitor who enters the country on a tourist visa shall be considered a tourist.

If the bill is passed into law, the GST rate for domestic airfare would be six percent.

The Maldives Inland Revenue Authority (MIRA) had anticipated MVR34 million (US$) in additional income as a result of the tax hike.

All MPs who spoke during the preliminary debate were in favour of the revision and the T-GST exemption for domestic air travel.

However, opposition Maldivian Democratic Party (MDP) MPs criticised the majority party or ruling coalition for approving the tax hike in February without the exemption for locals.

As the bill would have to be reviewed by committee before it could be passed, MDP MP Ali Nizar said the government had ample time to amend the law before November.

Jumhooree Party MP Faisal Naseem also noted that MPs would have known in February that T-GST would be charged for domestic airfare and goods sold for tourism workers.

“What I want to note today is, would we not have to propose an amendment again for a six percent refund?” the MP for Kaashidhoo asked.

If MPs wished to reimburse locals for the six percent extra charge, Faisal suggested adding a provision in the amendment bill during the committee stage.

He also called on MPs to expedite the legislative process and pass the amendment as soon as possible.

Following the preliminary debate, the bill was accepted unanimously with 60 votes in favour and sent to the whole house committee.

Introduced in 2011, T-GST generated around MVR2 billion (US$129 million) between January and September this year – equal to just under 24 percent of all government revenue.

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Vnews editor suspended for assaulting female employee

Vnews editor Adam ‘Mundoo’ Haleem has been suspended for assaulting a female employee yesterday (November 9), reports local media.

Vmedia CEO Mohamed Asif ‘Mondhu’ confirmed to local media that Haleem has been suspended pending the outcome of an investigation.

CCTV footage of the assault surfaced on social media today appearing to show Haleem grab and shove a female employee before being restrained by others at the scene.

The female employee reportedly sought treatment at ADK hospital for minor injuries.

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India to conduct third medical camp this year, in Huvadhoo atoll

Indian doctors arrived in the Maldives yesterday (November 9) in order to conduct medical camps in Huvadhoo Atoll.

Four specialists from the Indian Defence Force will be conducting the camps in Gaafu Alif Villingili and Gaafu Dhaalu Thinadhoo between November 10 and 16.

“This will greatly benefit the people of these islands and will assist in providing specialist medical assistance to the people of Maldives,” read a press release from the Indian High Commission in Malé.

This is the third medical camp organised by India this year, with previous visits bringing medical services to more than 3000 people. Additionally, an’eye camp’ conducted during the India- Maldives ‘Dosti-Ekuverikan’ friendship week offered free consultations to more than 500 people.

This team comprises 5 specialist doctors – with members from Malé’s Senahiya military hospital – in fields including Orthopaedics, Internal Medicine, ENT, Paediatrics, and Obstetrics & Gynaecology.

As well as offering consultations in regional health centres, the team will conduct minor operative procedures if needed.

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Over 8,500 forms submitted for home ownership programme

Around 8,700 people have submitted application forms for the government’s home ownership programme while tokens have been issued to a further 17,000, housing minister Dr Mohamed Muiz revealed yesterday.

Speaking at a press conference about the ministry’s achievements during the past year, Muiz said application forms would be accepted until February.

The ministry would assess the applications and make home visits to determine standard of living, he added.

The government announced the ‘Gedhoruverikan’ social housing scheme in February.

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PPM responds to foreign minister silk route controversy

The Progressive Party of Maldives (PPM) has responded to the Maldives Democratic Party’s (MDP) criticism of foreign minister Dunya Maumoon’s remarks regarding India’s participation in China’s Maritime Silk Road initiative.

In a media statement released today, the PPM accused the opposition of twisting the story in order to harness attention from the international community.

The party also alleged that MDP is trying to divert attention from the party’s achievements during its third anniversary and from the one year anniversary of President Abdulla Yameen’s term.

MDP condemned Dunya for “intentionally” providing false information about the Chinese project when questioned by the parliament Maldives involvement in the project.

When asked about the potential impact of the scheme on India-Maldives relations, Dunya told the parliament last week that India had also discussed participating during the recent state visit of Chinese President Xi Jinpeng.

However, Indian Diplomats in Malé promptly refuted the claim, releasing a statement containing comments from the Indian External Affairs Ministry which denied such talks having taken place.

Meanwhile, the Ministry of Foreign Affairs released a statement today seeking to clarify any confusion caused by these remarks, saying that Dunya had “noted her concern if her choice of words had led to any confusion”.

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STO signs agreement to supply equipment to construct Maafushi Prison wall

The State Trading Organisation (STO) has signed a contract with the Department of Correctional Services to supply equipment needed in order to construct a security wall encircling the Maafushi Prison.

Haveeru reported that Managing Director of the STO Adam Azim provided assurance that the company would provide all the necessary equipment as per schedule, and would cooperate fully with the correctional services.

The wall, which is to be built using the paid labour of the prisoners is estimated to cost MVR7 million (US$460,000), with more than half of the total being spent on equipment.

The government’s decision to build the wall came after the escape of two prisoners – both serving life sentences – through some ventilation shafts in their cells.

The Maldives Police Service had previously stated that it would assist correctional services in looking after the security of the prison by permanently stationing a police team on the island.

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Can decentralisation take root in the Maldives?

The uprooted trees and flooded streets of Malé in recent days seem to have laid bare the continuing tensions between local and central government in the Maldives.

After the central authorities last week removed the city council’s jurisdiction over the roads of the capital, senior figures from both the government and opposition have made the legal case for and against the decision.

Friction between the Maldivian Democratic Party (MDP) dominated Malé City Council and successive governments has left the local authority with just 5 of the 22 public areas granted to it after its establishment in 2010.

Attempts to replace the trees – allegedly cut down by off-duty police officers – were thwarted by the state-owned Malé Road Development Corporation last Wednesday, who police allowed to continue despite councillors’ calls to uphold the Decentralisation Act.

While the former Speaker Abdulla Shahid has suggested the cabinet has violated the law in taking over maintenance of the capital’s roads, Attorney General Mohamed Anil suggested that the move was compliant with both the Decentralisation Act and the Land Act.

The President’s Office have said the council had failed to deal with the recent floods, although the council continues to point out that it has received less than half the funds allocated to it from the 2014 budget.

“We don’t even have an account in which to put money,” explained Deputy Mayor Shifa Mohamed.

After his ministry gave orders to tear down the areca palms planted along Malé’s main thoroughfare last week, the housing minister added to the confusion today by suggesting the council would be irresponsible to challenge efforts to make the capital greener.

Others suggest that the real roots of the issue lie with a government unwilling to cede power to local authorities, resulting in what some have described as decentralisation in name only.

Policy

“They don’t believe in the concept,” suggested Shifa. “Instead of facilitating decentralisation, they are trying to show that it can’t function.”

Defending the government’s action, President’s Office Spokesman Ibrahim Muaz has said that the decision regarding street maintenance was consistent with its policy of utilising state land for social purposes.

Authority over the city’s mosques will soon revert to the Ministry of Islamic Affairs, leaving the council with control over only Malé’s burial grounds – completing the steady removal of land since the fall of the MDP government in 2012.

While the current administration has previously called on local authorities to cooperate in order to bring development to the people of the country, the provisions of the flagship Special Economic Zones Act appears to make such acquiescence redundant.

The yet-to-be-specified SEZs – designed to attract foreign investors with deregulated territory – will render local authorities powerless

“There will be consultations with the local councils, but the decision making power will be here because we want to take decisions very fast and we want development as soon as possible,” tourism minister and Chairman of the SEZ investment board Ahmed Adeeb has previously explained.

In the same interview, Adeeb made clear that his government does not feel decentralised authorities are currently suited to aid the country’s development.

“Land, labour, and capital – the central government and the regional governments are fighting for it as we don’t have enough resources even for the existing government to cover the budget deficits,” he explained.

“I believe when there’s enough economic activity we can give more powers to the councils.”

The ‘begging system’

The MDP’s claims that its political opponents are attempting to sabotage the decentralisation project in favour of maintaining a Malé-centric ‘begging system’ began before the ink had dried on the 2010 Decentralisation Act.

Following its failure to win a majority in the 2008 parliamentary elections, the MDP government had to accept a version of its decentralisation bill without the structural and fiscal provisions it had originally planned for.

The rejection of over 300 proposed amendments by the opposition-controlled house – including attempts to restore the provincial model on which the scheme was based – prompted MDP MPs to walk out of the Majlis prior to the bill’s passage in April 2010.

Subsequent amendments increasing the number of councillors were described by the party as “economic sabotage”, leaving the country with a system the UNDP has described as a “major barrier to fiscal consolidation”.

Since assuming power, the same political groups have moved to reduce the recurrent costs of a system that had grown to an estimated US$64 million per three year term.

Meanwhile, the 2014 UNDP Human Development Report pointed out that harmonising laws – a problem typified by the legal wrangling in/over the streets of Malé – remains a key challenge facing the decentralisation transition.

[T]he Decentralization Act identified land management as a core responsibility of the councils. However, this contradicts the Land Act, which provides that the Ministry of Housing and Infrastructure manage land distribution. Similarly, the Decentralization Act and the Constitution make provision for fiscal decentralization, revenue generation and management of own revenues by councils. This contradicts the Finance Act, which mandates all revenues collected from any Government body be deposited in the Government’s central public account.

Maldives Human Development Report 2014

Empowerment

Among the objectives envisioned in the Decentralisation Act are the empowerment of people and the creation of an environment conducive for peace and prosperity.

However, a report into the process by UNICEF in 2013 suggested that the political wranglings at the center of Maldivian government have left the islands worse off than before decentralisation was introduced.

“Local Councils are now less empowered than they were in 2008 which was when they officially had even less functions and revenue raising powers,” concluded the UNICEF report.

“More importantly the above arrangements mean that Council finances are micro-managed from the centre. So Councils have almost no autonomy to prioritise and manage their resources. There is, thus, basically no fiscal decentralisation.”

Decentralisation advocate Salma Fikry argues that the central government has little interest in genuine devolution of powers, preferring ‘deconcentration’ which allows for dispersed administrative powers without real financial autonomy.

“I do agree that Island Development Committees were doing better work, but the underlying truth was that the government could choose who to support and who not to support,” said Salma.

She suggested that the desire for decentralised government stemmed from the realisation in the atolls of disparities in regional service provision – another issue highlighted recently by the UNDP.

The central government will not allow for revenue raising measures at the local level as this would reduce political leverage, she explained.

The UNICEF report further noted that political partisanship and overstaffed local authorities had resulted in “political bickering” between council members, “stalemates”, and “no decision making”.

Malé Deputy Mayor Shifa also suggested that the problems with the current government stemmed from political rather than practical reasoning.

“Just because it is done by the MDP, they will destroy it.”

UNICEF concluded that the decentralisation process in the Maldives had been “rushed”, noting that such far-reaching changes can take decades to implement successfully.

During the time it took to compile the 2013 report  a new level of provincial government was introduced and subsequently abolished within two years, with UNICEF noting the subsequent “confusion at all levels of government”.

Observing recent events in the capital, it appears that the Maldives decentralisation experiment will continue to struggle to take root and may well be washed away in the next political downpour.

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Imam of unauthorised independent prayer congregation sentenced to jail

Self-appointed Imam, Hussain Thowfiq, arrested last month (September 30) for leading unauthorised prayers at Dharmuvantha Mosque, has been sentenced to jail for two years by the Criminal Court.

The 34-year-old was found guilty of disobeying religious unity regulations by delivering unauthorised sermons at the mosque, leading Friday prayers at a mosque not designated for the prayer, and of attempting to incite religious strife and discord read the criminal court sentence.

Meanwhile, Islamic Minister Dr Mohamed Shaheem Ali Saeed said yesterday (November 8 ) that such independent congregations are “unacceptable” and threatened legal action if members of such groups refuse to accept advice from scholars.

The government would not allow practices outside the bounds of the law and religious strictures, declared Shaheem.

The Dharumavantha congregation had previously been described as inciting extremist ideology by the Islamic minister. The sermons had called for the destruction of the current government, prompting a temporary shutdown on February this year.

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