Niyaz challenges auditor general reappointment clause at High Court

Former Auditor General (AG) Niyaz Ibrahim has requested the High Court to declare the People’s Majlis’ decision to reappoint the AG as unconstitutional.

President Abdulla Yameen yesterday approved Hassan Ziyath as the new AG hours after 59 MPs voted in his favor. The ruling Progressive Party of the Maldives (PPM) had pushed through a surprise amendment to the Audit Act on October 29 requiring the AG be reappointed within 30 days.

Speaking to Minivan News, Niyaz’s lawyer Ibrahim Riffath said Niyaz could not be dismissed half way through his seven year term through an amendment to the Audit Act.

“Article 215 of the Constitution clearly sets the AG’s term to seven years. Niyaz was appointed in May 2011. Further, Article 218 states the AG’s position only becomes vacant if the incumbent resigns or through a no confidence vote by the People’s Majlis,” he explained.

“The Majlis will have to amend the constitution to dismiss him by any other means.”

Niyaz has also requested that the High Court issue an injunction on the enforcement of the new amendment.

According to Riffath, the High Court is yet to make a decision on accepting the case as the matter had been lodged at the Supreme Court as a public interest litigation matter.

The Supreme Court this evening rejected the case. The High Court now has no legal barriers in examining the case, Riffath said.

“This is a very sensitive issue. I hope the High Court expedites a verdict. If the amendment is unconstitutional, as we believe it to be, then the legality of the current auditor general’s actions are questionable.”

Yameen’s appointment of Ziyath for the post has raised controversy as his brother, Abdulla Ziyath was recently implicated in a US$6million corruption scandal alongside tourism minister Ahmed Adeeb.

Niyaz had revealed the corrupt transactions in a special audit report a day after PPM MPs pushed through the Audit Act amendment.

The audit report accused Abdulla Ziyath, the Managing Director of state owned Maldives Marketing and Public Relations Corporation (MMPRC) of illegally pushing through loans worth US$6million from state funds to two private companies owned by Adeeb’s family members.

Adeeb has denied allegations, and accused Niyaz of colluding with MP and former Deputy Speaker of parliament Ahmed Nazim in releasing the audit report. Adeeb suggested Nazim had a personal vendetta against him following his refusal to support Nazim for the Majlis Speakership in May.

The Criminal Court on October 26 withheld Nazim’s passport on allegations of blackmail.

Hassan Ziyath yesterday received cross party support from ruling Progressive Party of the Maldives (PPM), its allies the Maldives Development Alliance (MDA) and Jumhooree Party, as well as the opposition Maldivian Democratic Party (MDP).

MDP MPs including ‘Reeko’ Moosa Manik, Ahmed Marzooq, ‘Rukuma’ Mohamed Abdul Kareem and Ibrahim ‘Mavota’ Shareef voted in favor despite the party previously claiming the amendment was unconstitutional.

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MP Nihan claims “no gangs in Maldives” remarks misinterpreted

Progressive Party of Maldives (PPM) Parliamentary Group Leader MP Ahmed Nihan has denied claiming there were no gangs in the Maldives.

Local media had reported Nihan as saying at a PPM gathering on Sunday night (November 16) that there were no gangs in the Maldives and that the government would not allow youth congregating in street corners to be labelled criminal gangs.

“Youth in these small congregations with young blood will have the courage to defend each other. Small things like that will roll over…It’s true, I know while saying this that some incidents have gone beyond bounds,” he was quoted as saying.

Speaking in parliament yesterday, the majority leader accused opposition MPs of twisting his remarks.

“I want to clearly tell the Maldivian people what I said was that every youth in a corner is not a gang member,” he said.

He went on to claim that the opposition Maldivian Democratic Party and former President Mohamed Nasheed should “bear responsibility for all murders in the recent past”.

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MDP condemns insecurity as PPM celebrates peace and order

The opposition Maldivian Democratic Party (MDP) has expressed concern over rising insecurity, claiming President Abdulla Yameen has failed to protect right to life and security on his administration’s first year anniversary.

In a statement issues yesterday (November 16), the MDP highlighted Yameen’s failure to find missing Minivan News journalist Ahmed Rilwan, to address the rising numbers of Maldivians traveling abroad for jihad in Syria, or to bring to justice perpetrators behind the stabbing of former MP Alhan Fahmy, the murder of MP Afrasheem Ali, or the torching of opposition aligned Raajje TV.

“On this administration’s one year anniversary, there is no peace in the Maldives and the government has failed to protect citizens,” the statement said.

The MDP said the Yameen administration has failed to investigate the abduction and beating of several individuals by gangs, a spate of knifings and killings, death threats against journalists and politicians, and the vandalism of MDP members’ residences and properties.

However, speaking at a rally to mark the third anniversary of ruling Progressive Party of the Maldives (PPM), Yameen said his administration has established peace and order in the country and accused the opposition of inciting terror and calling for anarchy in the Maldives.

“We have peace and order in Malé and all regions of Maldives. We have peace. However, this is not to say that isolated and significant dangerous crimes do not occur,” he said.

The PPM was established in 2010 “as an act of Jihad” to address terror, anarchy, torture and climate of fear during Nasheed’s tenure, he continued.

Referring to Nasheed’s order to arrest himself, Vice President Dr Ahmed Jameel Mohamed, and Jumhooree Party leader Gasim Ibrahim, Yameen said the former president had attempted to silence all dissident voices in the country.

The PPM will tolerate dissent, he pledged.

Nasheed had arrested judges, refused to abide by the decisions of opposition MPs, undermined religious scholars and Islam, and his supporters had torched government buildings, Yameen continued.

“President Maumoon then believed we had to embark on jihad,” he said.

Yameen went on to defend Nasheed’s ouster in February 2012, claiming the move was not illegal, but necessary to uphold the constitution.

“PPM is a party that loves peace,” he said.

The MDP has recently described Yameen’s administration has having been taken hostage by gangs and rogue police officers, while international groups have expressed alarm at the rise in gang violence in recent months.

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Budget debate begins in parliament

The budget debate began in parliament today with opposition MPs criticising higher taxes and pro-government MPs praising planned capital investments.

Progressive Party of Maldives (PPM) MPs contended that the budget would bring “revolutionary” changes to the economy and spur growth, noting that recurrent expenditure of MVR15.8 billion (US$1 billion) would be covered by government income or revenue of MVR21.5 billion (US$1.3 billion).

The MVR6.3 billion (US$408 million) allocated for the Public Sector Investment Programme (PSIP) – 24 percent of the budget – would see an unprecedented number of infrastructure projects launched in 2015, the ruling party MPs said.

Opposition Maldivian Democratic Party (MDP) MPs, however, questioned whether MVR3.4 billion (US$220 million) anticipated from proposed new revenue raising measures could be realised in full during the year.

MDP MPs also argued that the public would have to bear the burden of higher prices caused by import duty hikes and claimed the budget was “discriminatory” as constituencies represented by opposition MPs were ignored.

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Nasheed questions government’s legitimacy and record as one-year anniversary looms

Maldivian Democratic Party (MDP) President, Mohamed Nasheed has criticised the government for failing to keep promises made when it came to power almost one year ago.

Beginning by questioning the manner by which President Abdulla Yameen came to power, the former president suggested the election coalition had faltered and investor confidence had not been restored.

While giving an interview to Raaje TV last night (November 11), Nasheed also slammed the government for its failure to respond adequately to the abduction of Minivan News journalist Ahmed Rilwan 96 days ago.

“There is no doubt that Rilwan was abducted. All the information obtained by the police and other separate investigations point to an abduction,” said Nasheed.

Recalling the much-delayed, and once-annulled presidential elections last year, Nasheed reminded viewers that yesterday’s Republican Day has traditionally seen the start of a new presidential term.

“Republican Day has always been the day when the new presidential term begins and ends,” said Nasheed. “However, President Yameen’s gave oath after the assigned date. This raises legitimacy issues with how the Government came to power.”

Last year’s Republic Day saw former President Dr Mohamed Waheed inform the nation that he would stay in power for one week beyond the constitutional end of his term in order to avoid a power vaccum after repeated delays in the poll to find his successor.

The 2013 presidential elections eventually saw the MDP and Progressive Party of Maldives (PPM) candidates contesting the second round, with the PPM’s Abdulla Yameen eventually winning the election after forming a coalition with the Jumhooree Party (JP).

“Recent events have made it clear the that the coalition has failed,” said Nasheed in reference to the government’s acquisition of JP leader Gasim Ibrahim’s Kaadedhoo Airport after the MP spoke against the government’s flagship Special Economic Zones (SEZ) bill.

Nasheed noted that the people in charge of the government right now received a very small percentage of the total votes once the votes from JP supporters were discounted.

Promises broken

Nasheed pointed out that the government made a lot of promises towards the betterment of fishermen – including a pension of MVR10,000 (US$650) which was not included in next year’s proposed budget. But the price per kilo of tuna has dropped from a healthy MVR18 during Nasheed’s government to a mere MVR6 today, he continued.

President Yameen recently announced a foreign policy shift from west to east, partly as a result of the Maldives’ failure to qualify for extended duty-free status for fish exports after non-compliance with international conventions concerning freedom of religion.

Nasheed also attacked the government’s SEZ Act, suggesting that there has been little interest shown by foreign investors even after all the necessary laws and regulations have come to place.

The SEZ act – which offers relaxed regulations and tax concessions – described by President Yameen as a landmark law that will “transform” the economy through diversification and mitigate the reliance on the tourism industry.

While speaking about the proposed 2015 annual budget, Nasheed said that like during Maumoon Abdul Gayyoom’s 30-year regime, the current government has included a large sum as expected earnings which would eventually lead to higher budget deficit.

“For example, expected earnings from SEZ investments is valued at MVR1.5 billion (US$ 100 million). This is ambitious and unrealistic,” explained Nasheed.

The 2015 annual budget includes MVR3.4 billion (US$220 million) as expected revenue from brand new income generating measures including acquisition fees from SEZ investments and the introduction of a green tax on tourism.

A recent MDP budget review concluded that such expectations were unrealistic after stating that even if the government were to obtain MVR1.5 billion (US$100 million) as acquisitions fees at a rate of 10 percent of the investment it suggests an investment of US$1 billion.

The single biggest investment in the country to date was the ill-fated MVR7.6 billion (US$ 500 million) deal with India’s GMR group for the development Ibrahim Nasir International Airport in 2010. A Singapore court of arbitration is currently evaluating the amount owed by the government for the wrongful termination of the deal in November 2012.

The former president described the government’ abrupt terminations of foreign investments as saddening, suggesting that it would decrease investor confidence in the nation.

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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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MDP may challenge constitutionality of amendment to Audit Act

The opposition Maldivian Democratic Party’s (MDP) parliamentary group has decided to make a recommendation to the party’s national executive committee (NEC) to challenge the constitutionality of amendments brought to the Audit Act last week.

“The NEC will make a decision tomorrow,” MP Rozaina Adam said at a press conference this morning.

Under Article 143 of the Constitution, the Supreme Court and High Court has the jurisdiction “to enquire into and rule on the constitutional validity of any statute or part thereof enacted by the People’s Majlis.”

Rozaina argued that the amendment stipulating that the president shall reappoint an auditor general within 30 days was unconstitutional.

Progressive Party of Maldives (PPM) MP Ahmed Thoriq had proposed adding a clause to the audit law stating that the president shall nominate for parliamentary approval an individual or individuals to the post of auditor general within 30 days of ratifying the amendments.

The amendment was passed with 36 votes in favour and 22 against at Wednesday’s (October 29) sitting of parliament.

At today’s press conference, MP Imthiyaz Fahmy meanwhile stressed the importance of the public protesting the unconstitutional move.

Imthiyaz said he had learned that parliament’s Counselor General Fathmath Filza had also advised Speaker Abdulla Maseeh Mohamed that the amendment was unconstitutional.

President Abdulla Yameen ratified the amendments less than 24 hours after it was passed, he noted.

Imthiyaz said the haste with which the amendment was passed and ratified shows the PPM government’s eagerness to replace the auditor general following allegations of corruption made against the party’s deputy leader – Tourism Minister Ahmed Adeeb – in a special audit report of the Maldives Marketing and Public Relations Company (MMPRC).

Meanwhile, Auditor General Niyaz Ibrahim told newspaper Haveeru last night that he would also contest the constitutionality of the amendment at the Supreme Court.

The amendment contravenes the process specified in the Constitution for the appointment and removal of the auditor general, Niyaz contended.

Article 218 of the Constitution states that the auditor general could be removed from office “(a) on the ground of misconduct, incapacity or incompetence; and (b) a finding to that effect by a committee of the People’s Majlis, pursuant to article (a) and upon the approval of such finding by the People’s Majlis by a majority of those present and voting, calling for the Auditor General’s removal from office”.

Niyaz told the local daily that he does not intend to remain in the post even if the Supreme Court strikes down the amendment.

Following the release of the MMPRC special audit report, Niyaz revealed that death threats were sent to both himself and his family. Niyaz is currently on leave.

During last week’s parliamentary debate, PPM MP Thoriq said he proposed the amendment with reference to Article 211(b) of the Constitution, which states, “A statute shall specify the responsibilities, powers, mandate, qualifications, and ethical standards of the Auditor General.”

Thoriq noted that the Audit Act was passed in 2007 before the ratification of the Constitution the following year and did not specify the responsibilities, mandate, qualification and ethical standards of the auditor general.

PPM MP Ibrahim Waheed has meanwhile told local media that the post of auditor general became vacant with the president’s ratification of the amendments.

Waheed contended that as Niyaz was appointed under the 2007 audit law, a new auditor general must be appointed in accordance with the Constitution following the amendments to the Audit Act.

Article 210 of the Constitutions states, “The President shall appoint as Auditor General a person approved by a majority of the total membership of the People’s Majlis from the names submitted to the People’s Majlis as provided for in law.”

Waheed argued that Niyaz was appointed in the absence of a law passed after the adoption of the Constitution in August 2008.

“So the legal obligations and responsibilities of the present Auditor General will stop. And if he is willing to go ahead, he also has to apply to the post just like others. An Auditor General will be appointed under this constitution after the parliament approves the name sent by the president,” he was quoted as saying by Sun Online.

The 17th People’s Majlis had unanimously approved former President Mohamed Nasheed’s nomination of Niyaz Ibrahim to the post of auditor general in May 2011.

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Prosecutor general questions timing of MMPRC audit report release

Prosecutor General (PG) Muhthaz Muhsin has questioned the timing of the Auditor General’s Office’s release of a special audit report of the Maldives Marketing and Public Relations Company (MMPRC) implicating Tourism Minister Ahmed Adeeb in corrupt transactions worth US$6 million.

Muhsin told Sun Online yesterday that the report’s release on the same day (Thursday, October 30) that President Abdulla Yameen ratified amendments to the Audit Act that could see Auditor General Niyaz Ibrahim replaced was questionable.

The timing of the report’s release would create doubts and questions among the public, Muhsin said.

“I am not questioning the status of his post,” he added.

The Progressive Party of Maldives (PPM) meanwhile issued a press release on Thursday contending that the report was politically motivated, “baseless” and intended to defame Adeeb – also the party’s deputy leader.

The ruling party condemned Auditor General Niyaz Ibrahim for basing the report on “falsehoods”.

The opposition Maldivian Democratic Party has meanwhile called on the PG to prosecute the tourism minister for corruption and abuse of office.

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Adeeb denies corruption allegations as MDP calls for prosecution

Tourism Minister Ahmed Adeeb has denied allegations of corruption in a special audit report of the Maldives Marketing and Public Relations Company (MMPRC) while the opposition has called on the prosecutor general to press charges.

The report (Dhivehi) – made public on Thursday (October 30) – implicated Adeeb in corrupt transactions worth US$6 million between the MMPRC and the Maldives Ports Limited (MPL) and the Maldives Tourism Development Corporation (MTDC).

The MMPRC obtained MVR77 million (US$5 million) from MPL to be paid back in dollars and US$1 million from MTDC as a loan, which was immediately transferred to two companies – Millenium Capital Management Pvt Ltd and Montillion International Private Ltd, both with ties to Adeeb.

Speaking at a press conference at private broadcaster DhiTV’s studio last night (October 31), Adeeb insisted that the MVR77 million was not a financial loss to the state, noting that US$3 million has been repaid to MPL with the remainder due in December.

“Under my [tenure] as tourism ministry, in order to avoid state companies going into the dollar black market, I have obtained dollars for the state from one state company to another, the tourism industry, and various private parties,” Adeeb said.

Adeeb claimed to have arranged for local businessmen to purchase treasury bills worth MVR800 to 900 million as of October 2013 to ease the government’s cash flow problems.

The agreement between MMPRC and MPL was approved by the respective boards of the state-owned enterprises, the ruling Progressive of Party of Maldives’ (PPM) deputy leader stressed.

The MVR77 million from MPL was not embezzled or misappropriated, he insisted, claiming that the government routinely converts rufiyaa into dollars through private parties.

On the allegation that the tourism ministry awarded an italian-owned company an island for resort development to pay back US$2.25million of the US$6million MMPRC owed to MPL and MTDC, Adeeb claimed that Dhaalu Maagau was used as a picnic island by PPM MP Ahmed Nazim’s friends.

The former deputy speaker of parliament had repeatedly sought to secure the island, Adeeb said, dismissing the allegation that the Italian paid the lease rent for the island through Adeeb’s father’s Montillion company.

Adeeb also pledged to release his financial statement to the media on Sunday (November 2) and denied failing to declare assets.

According to the audit report, Adeeb has failed to declare assets as stipulated by Article 138 of the Constitution since he was appointed tourism minister in 2012.

Counter-allegations

When the US$6 million corruption scandal first surfaced in May, Adeeb told Minivan News that the “defamation attempt” was linked to his refusal to support certain individuals for speaker and deputy speaker of the 18th People’s Majlis.

Minivan News understands MP Ahmed Nazim was involved in leaking documents related to the case to online news outlet CNM, which first broke the story of the Anti-Corruption Commission (ACC) investigating the transactions.

Nazim’s passport was withheld last week, but he left the country on the date the court order was issued.

In May, Adeeb confirmed to Minivan News that two repayment cheques dated May 10 and 15 bounced due to insufficient funds.

The MTDC’s US$1 million had been reimbursed, Adeeb said, while MPL had been paid one-third of the owed amount in dollars. The remaining two thirds are due in June, he added.

At last night’s press briefing, Adeeb alleged “extraordinary ties” between Nazim and Auditor General Niyaz Ibrahim.

Following his refusal to support Nazim for the deputy speaker’s post, Adeeb said Nazim threatened to put out audit reports implicating him as well as family members in corrupt dealings.

Moreover, the auditor general’s office neither sought a statement from him nor posed any questions regarding the transactions, Adeeb said.

“I am most saddened that professionals, specialised people, are brought in between our political rivalry in the political arena,” he said.

“Unconstitutional”

The opposition Maldivian Democratic Party (MDP) meanwhile released a press statement yesterday condemning the government’s “unconstitutional” and “unlawful” attempts to replace the auditor general before the end of his seven-year term.

Last week, parliament passed amendments to the Audit Act requiring the president to reappoint an auditor general within 30 days of ratifying the amendments.

President Abdulla Yameen ratified the amendments on Thursday.

The MDP contended that the auditor general could only be removed from office through the process specified in the Constitution, which was “(a) on the ground of misconduct, incapacity or incompetence; and (b) a finding to that effect by a committee of the People’s Majlis, pursuant to article (a) and upon the approval of such finding by the People’s Majlis by a majority of those present and voting, calling for the Auditor General’s removal from office”.

The attempt to remove the auditor general shows the level of corruption in the current administration, the press release stated, adding that the government was undermining independent institutions.

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