Following in the footsteps of the Maldives, Indonesia has officially withdrawn the Komodo National Park from the New7Wonders competition citing doubts about the credibility of the organisers.
During a press conference last week, Indonesia’s Tourism Minister Jero Wacik announced that the decision was taken “because the organisers – the New7Wonders Foundation – have taken actions that are not professional, consistent and transparent.”
According to reports in the Jakarta Post, Wacik said the New7Wonders Foundation was“unprofessional”, “unaccountable” and were “not credible”.
“We have spent around Rp 10 billion (US$1.1 million) on campaign activities over the past three years,” Wacik told the newspaper, claiming that the foundation had subsequently demanded a US$10 million licensing fee and a US$35 million fee to host a ceremony celebrating the competition’s winners.
Also speaking during the press conference, Indonesia’s tourism marketing director Sapta Nirwandar claimed that the New7Wonders foundation did not have an office.
“We sent a letter to the office address in Zurich, but the letter came back to us because the address was not clear,” the Post reported Nirwandar as saying, adding that it was “very strange” for an international organisation involved in million-dollar transactions “not to have a real office”.
New7Wonders has meanwhile announced the launch of a text voting service in Indonesia, allowing locals to vote for Komodo at US$0.12 per text.
The Maldives cabinet withdrew the country from the New7Wonders campaign in May, claiming similar demands for increasingly high fees in order for the Maldives to compete meaningfully for the remainder of the competition.
State Minister for Tourism Thoyyib Mohamed said at the time that the Maldives was withdrawing from the competition “because of the unexpected demands for large sums of money from the New7Wonders organisers. We no longer feel that continued participation is in the economic interests of the Maldives.”
The Maldives had invested substantially less in the campaign than Indonesia – a total of US$12,000 on banners and voting terminals – before the company behind New7Wonders, the ‘New Open World Corporation’ (NOWC), began requesting ‘sponsorship fees’ (‘platinum’ at US$350,000, or two ‘gold’ at US$210,000 each), and the funding of a ‘World Tour’ event whereby the Maldives would pay for a delegation of people to visit the country, provide hot air balloon rides, press trips, flights, accommodation and communications, at a predicted cost of US$500,000.
NOWC had initially levied a US$199 participation fee upon signing of the initial contract in early 2009, and no further costs were explicitly detailed in the contract.
Investigating the company in May, Minivan News confirmed that a ‘New7Wonders Foundation’ was registered in the Swiss canton of Zurich as a charitable foundation, however the contract signed with the Maldives gave NOWC’s address as a law firm in the Republic of Panama.
In response to this story, New7Wonders Spokesperson Eamonn Fitzgerald said the foundation had transferred the commercial operations to its licensing company, New Open World Corporation, “which then runs the commercial aspects.”
In a letter to Minivan News, Fitzgerald insisted that the the Maldives remained in the competition despite the government’s decision.
“The authority to withdraw a participant from the campaign is a decision for New7Wonders alone, not for any government agency. In this respect, New7Wonders adheres to the same principles as FIFA and the International Olympic Committee (IOC), organisations that do not tolerate any government interference so as to ensure their independence,” Fitzgerald wrote.
The government responded that “the democratically elected Government of the Maldives is the only legitimate authority to act in the name of the Maldives and its people”, and that its continued use of the Maldives brand by NOWC was “infringing the sovereign rights of the Maldives”.
Following the Indonesian announcement, Minivan News understands from a source familiar with the matter that the tourism authorities of 6-7 other countries have “expressed doubts” about the competition, “but are concerned about losing face.”
Three of Indonesia’s ministers – fisheries, forestry and tourism – acknowledged that the Maldives had led the way, the source said.
New7Wonders welcomes the vibrant debate and enthusiastic discussion about the participation of the islands of the Maldives in the New7Wonders of Nature campaign, and considers this a reflection of the democratic discourse that is at the heart of Maldivian society as well as of the global New7Wonders movement.
The presence of the islands of the Maldives in the voted and selected group of 28 finalists is a source of great pride for many Maldivians and fans of the Maldives, and New7Wonders has received many messages confirming this in the past days. Each of the 28 Finalists have qualified from over 440 participants from over 220 countries – more countries than participate for the World Cup and for the Olympics.
In the case of the Maldives, as with any of the finalists involved in the global campaign, New7Wonders can confirm that it remains open to working with any appropriate entity or body that has a dynamic and enthusiastic vision to support the islands of the Maldives.
In news this week that benefits all finalists, the extraordinary positive opportunity provided by participating in the New7Wonders of Nature has been further confirmed by a third independent study from Korea. These studies are not commissioned by New7Wonders, are entirely independent and objective, and reveal the following headline facts:
Study published by Pearson of London in April 2010: US$ 5 billion overall in economic, tourism and brand image values for the participants and winners in the man-made New 7 Wonders of the World campaign;
Study published by Grant Thornton of South Africa in April 2011: US$ 1.012 billion each in economic and employment value for the first five years for being successful in the New7Wonders of Nature;
New study published by JDI of South Korea in May 2011: up to US$ 1.837 billion each per annum in economic benefits for being successful in the New7Wonders of Nature.
Concerning the use of the name “Maldives”, New7Wonders considers any possible action against the use of the name unenforceable and an avoidable waste of public money. It is also a worrying indication for the rest of Maldives society and business that the corporatised MMPRC agency is trying to take ownership and control of the Maldives name that is shared by everyone. However, should this matter be pursued blindly despite its unfounded rationale, then New7Wonders will not hesitate to consider alternative names or designations for the islands of the Maldives ongoing participation in the campaign – perhaps even inviting public opinion to suggest ideas. The beautiful islands and splendid atolls of the Maldives are the true potential natural wonders, even under another name.
To forbid people from voting for the islands of the Maldives, as the MMPRC agency wants to do, is the same as Mubarak when he used to forbid voting for certain parties in Egypt – and as with Egypt it is the people’s choice that must count in the end. New7Wonders defends the right of the committed, positive and enthusiastic voters from the Maldives and the world, who have voted for the islands of the Maldives in the past, and towards those keen to vote for the islands of the Maldives in the future.
The MMPRC agency, which is by statute a money-making corporation, should not waste any more resources and time issuing defensive and self-justifying statements. New7Wonders now urges it to move on and focus its energies on its important mission of delivering the necessary increase in economic value for the Maldives for which the MMPRC agency has been created and for which it will be judged. New7Wonders will continue with its own mission, honouring the will of the worldwide fans, with the islands of the Maldives (if necessary re-named) as an ongoing worthy Finalist in the New7Wonders of Nature. Both these can and will happily coexist without affecting each other.
Eamonn Fitzgerald is the Head of Communication at New7Wonders
All letters are the sole view of the author and do not reflect the editorial policy of Minivan News. If you would like to write a letter, please submit it to [email protected]
Tourism authorities in the Maldives have withdrawn the country from the New7Wonders campaign, after claiming the private company behind the competition began demanding increasingly high fees in order for the Maldives to compete meaningfully for the remainder of the competition.
The decision was made during Tuesday’s cabinet session after weeks of deliberation between the Ministry of Tourism Arts and Culture, the Maldives Marketing and Public Relations Corporation (MMPRC) and industry stakeholders.
State Minister for Tourism Thoyyib Mohamed announced at a press conference on Wednesday morning that the Maldives was withdrawing from the competition “because of the unexpected demands for large sums of money from the New7Wonders organisers. We no longer feel that continued participation is in the economic interests of the Maldives.”
The Maldives has only invested US$12,000 over the lifespan of the campaign, mostly significantly on banners and voting terminals at Male’ International Airport, Thoyyib said.
Minivan News understands that the company behind New7Wonders, the ‘New Open World Corporation’ (NOWC), initially levied a US$199 participation fee upon signing of the initial contract in early 2009.
However, once the Maldives was announced as a finalist, NOWC began soliciting additional fees and expenses not clearly articulated in the original contract, which tourism authorities estimate will cost the Maldives upwards of half a million dollars.
Requests have so fair included ‘sponsorship fees’ (‘platinum’ at US$350,000, or two ‘gold’ at US$210,000 each), and funding of a ‘World Tour’ event whereby the Maldives would pay for a delegation of people to visit the country, provide hot air balloon rides, press trips, flights, accommodation and communications. According to tourism authorities, these services would amount to a total cost to the country’s economy of over US$500,000.
Minivan News understands that NOWC also attempted to charge telecom provider Dhiraagu US$1 million for the right to participate in the New7Wonders campaign – approximately US$3 for every citizen in the Maldives – a fee that was dropped to half a million when the telco complained about the price.
When tourism authorities expressed concern about the skyrocketing cost of participating in the competition, billed as a global democratic selection of the new seven wonders, NOWC expressed sympathy for the Maldives’ economic situation and instructed it to solicit money from the resort industry.
“We require sponsorship if you are going to benefit from a full World Tour visit,” a company representative said in correspondence obtained by Minivan News. “We believe it is perfectly within the financial means of the leading resorts, when combined, to afford this sponsor fee (especially considering the extraordinary image, economic and marketing benefit it brings to the Maldives and therefore to their businesses).”
The correspondence reveals that should the Maldives be unable to provide the money demanded by NOWC, it would be offered an alternative “protocol visit to your capital city, lasting one day. This visit includes the presentation of a certificate to the appropriate authority and a short press conference. The N7W team arrives in the morning and leaves the same day.”
New7Wonders emphasised however that “during our first campaign (for the man-made wonders) all the seven winners had very strong and exciting World Tour visits.”
In the terms and conditions on the organisation’s website concerning participating candidates, NOWC “ultimately decides whether a nominee, candidate or wonder is able to participate and or retain its status in the New7Wonders campaigns.”
Vague terms such as ‘non-compliance’ “may result in the temporary suspension of the participating nominee, candidate or wonder from that country. Persistent or un-remedied non-compliance may result in the permanent elimination of a nominee, candidate or wonder.”
“Essentially we’re paying a license fee for the right to throw a party, at our own cost, for an unproven return,” a senior tourism official told Minivan News, suggesting that claims a billion people were voting in the competition did not add up, as the Maldives had fluctuated wildly between 19th and 2nd and the tally was not transparent.
Furthermore, “any media that drops its price 50 percent at the first complaint is totally unprofessional, and in a mature media market this is considered highly unusual and poor practice. It means they haven’t justified the original cost,” the source said.
Not alone
The Maldives is not the only country to have been stung by surprise demands for sponsorship cash, not clearly outlined in the contract. NOWC reportedly demanded US$10 million in licensing fees from tourism authorities in Indonesia, which had fielded the Komodo national park as a wonder, and required that it foot an estimated US$35 million bill to host the World Tour event.
In February this year, the Jakarta Post reported the country’s Tourism Minister Jero Wacik as stating that the Ministry had received a letter on December 29, 2010 claiming that NOWC would “suspend” Komodo from the list of finalists if it refused to pay the US$10 million license fee.
“It’s not fair and irrational,” Wacik said. “I refuse to be extorted by anyone, including this NGO. I thought these are about votes, if the world votes for it, then it will win, what does that have to do with hosting the event?”
N7W founder Bernard Weber, "filmmaker, aviator, adventurer".
In response, New7Wonders founder Bernard Weber, a Swiss-born Canadian who describes himself as a “filmmaker, aviator and adventurer”, accused the Indonesian Ministry of Culture and Tourism of “reacting with malicious misinformation, invented financial commitments and prejudicial action to cover up for an apparent lack of moral responsibility and duty. In my view, with this behaviour, the Ministry has also reduced the chances for Indonesia to host other major global events that create goodwill in the world, such as the Olympics or the World Cup.”
He then announced that New7Wonders was revoking Indonesia’s Ministry of Culture and Tourism from its status as ‘Official Supporting Committee’ for Komodo, claiming that “last week strengthened the case for us to withdraw from Indonesia completely. If we depended on the Ministry, then today we would be forced to announce a complete pull-out.”
Although the New7Wonders site contains a link ‘United Nations Partnership’, the UN’s World Heritage body UNESCO in 2007 disavowed participation in the first New7Wonders campaign, claiming it was “a private initiative by Bernard Weber” with whom the organisation had decided “not to collaborate”.
“There is no comparison between Mr Weber’s mediatised campaign and the scientific and educational work resulting from the inscription of sites on UNESCO’s World Heritage List. The list of the 7 New Wonders of the World will be the result of a private undertaking, reflecting only the opinions of those with access to the Internet and not the entire world. This initiative cannot, in any significant and sustainable manner, contribute to the preservation of sites elected by this public,” UNESCO stated.
After the world’s sole remaining ancient wonder of the world, the Pyramids of Giza, failed to garner enough votes in Weber’s first New7Wonders campaign, Egyptian Culture Minister Farouq Hosni criticised the project as “absurd” and described its creator as “a man concerned primarily with self-promotion”. The pyramids were subsequently made an ‘honorary’ wonder of the world.
The fate of the money apparently now being paid to NOWC by tourism authorities all over the world is unclear, although New7Wonders claims on its site that funds from the first campaign “have been entirely used to fund the running and campaign costs. The mission is thus to create a surplus during the current New7Wonders of Nature campaign which ends in 2011.”
Funds beyond that, the site states, are used “to set up and run the global New7Wonders voting platform, to run the first campaign that chose the Official New 7 Wonders of the World, to run the current campaign electing the Official New7Wonders of Nature, to run the New7Wonders organisation, [and] to create a surplus for distribution.”
Fifty percent of its surplus net revenues, the site states, are pledged “ to the main New7Wonders Foundation cause: the promotion of Global Memory, specifically the documentation and 3D virtual recording of all New7Wonders.”
Minivan News confirmed that a ‘New7Wonders Foundation’ is registered in the Swiss canton of Zurich as a charitable foundation, however the New7Wonders own website describes it as “a major, global-scale proof of a business concept based on mass virtual online dynamics creating concrete economic positive outcomes in the real world”, and the contract signed with the Maldives gives NOWC’s address as a law firm in the Republic of Panama.
Responding to enquiries from Minivan News, New7Wonders Spokesperson Eamonn Fitzgerald said the Maldives remained in the competition despite the government’s decision.
“We accept the resignation of the Ministry [of Tourism] as Official Supporting Committee (OSC), and we plan in due course to replace them therefore with a new OSC,” he said.
“As we enter the final months of the campaign we clearly see the difference between those who are ready for the unique opportunity of participating in the New7Wonders of Nature — such as the people and workers of the Maldives, who remain strong and active supporters — and those who are not able to step up to the challenge for whatever reason. New7Wonders always listens to the people, the voters, first, and therefore I can confirm to all the fans of the Maldives from all over the world, who are actively campaigning and voting, that they will be able to continue doing so.”
Fitzgerald further denied New7Wonders had requested sponsorship from the Maldivian government.
“We have offered the opportunity for Maldivian companies to come on board as sponsors, in the same way as other global events and campaigns are sponsored,” he claimed.
Asked whether the organisation was a charitable foundation or a commercial enterprise, Fitzgerald claimed it was both.
“At the heart of New7Wonders is the officially Swiss-registered not-for-profit Foundation, the New7Wonders Foundation. As with other Foundations, who cannot themselves by statute operate commercially, New7Wonders has formally transferred the commercial operation to its licensing company, New Open World Corporation, which then runs the commercial aspects.”
Addendum: This story has been updated to include a response from NOWC, received subsequent to publication.
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