February 1, 2017 issue | |
Guyana Focus |
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Govt's 'green' initiatives highly optimistic | |
Guyanese, according to the APNU+AFC coalition government, should be looking forward to “the good life in a green economy” by 2020. The truth is: such optimism is based on wild imaginings and comes at a cost Guyana cannot afford. In fact, it would be more realistic for the government to be calculating on “a good life in an oil economy” – not necessarily a green one. As an emerging major oil producer, it might very well abandon its much touted green initiatives once oil begins to flow around 2020. Then, green would become a mere sideshow as it is currently in many oil producing countries. |
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While the concept of a green economy is perhaps one of the most relevant discussions in the global development agenda today, it is fraught with controversy and challenges. It is one which its architects largely pay lip service to in their own backyards but yet influence poor countries like Guyana to adopt. |
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Govt defeats PPP/C motion for zero-rated VAT items |
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Gail Teixeira | |
Georgetown – The government used its one-seat majority in the National Assembly Monday evening to defeat a PPP/C motion calling for the restoration of items that were previously zero-rated under the Value Added Tax (VAT), with Finance Minister Winston Jordan once again arguing that the changes were necessary to stem the continuing decline of revenue. The motion, which was debated for over three hours, was moved by opposition Chief Whip Gail Teixeira, who voiced concern that Guyanese are being burdened by the government’s widening of the application of VAT. The motion challenged the Value-Added Tax (Amendment of Schedules) Order 2016, which moves items that were previously zero-rated to exempted status. Teixeira’s motion, arguing that the changes are likely to have an “unfavourable effect on the people of Guyana and the economy,” sought to have the National Assembly call on the government to repeal the order and for the minister to restore the previous schedules. She said it is only recently that there has been information released to the media about the impact of the order and she cited the reported views of the Private Sector Commission, GT&T and NAMILCO, which have said that the order would drive up costs. She noted that all the food items which were formerly zero-rated have been moved to the exempt category. She said that zero-rated and exempted items are not being dealt with like in other countries. “What Guyana did shortly after VAT is that we went and incrementally kept zero-rated items…Under the new system, where more zero rated items have become exempt, input VAT cannot be reclaimed and this will result in the increase in prices of many basic commodities. That is the point we are making,” she stressed. What has happened now, she added, is that zero-rated items have now been exempted and therefore the producer/manufacturer now pays VAT but can’t claim a refund and where the consumer now doesn’t pay VAT he/she will have to pay the indirect cost. “The Guyanese people are feeling tremendous pressure and are very worried,” she said. Junior Finance Minister Jaipaul Sharma argued that the changes would benefit the business community. “You won’t be seeing VAT on the receipt and that is what’s important,” he told the House, adding that the important thing is that the measures implemented by government will benefit the business community. “Business people do not have to wait for a VAT refund. It is simpler for them. Life is also easier for GRA [Guyana Revenue Authority] who don’t have to spend the time to implement those refunds,” he added, while noting that GRA now has the responsibility for monitoring and sanctioning those who attempt to take advantage of consumers. Opposition MP Dr. Frank Anthony said that the Order has “created the false illusion that Guyanese will be better off… The sad reality is that the Order will impose more hardship and would overtax the already highly-taxed citizens of Guyana.” He said that in the government’s 2015 manifesto, there was a promise to implement a phased reduction of VAT and the removal of the tax from food and other essential items. He said it is clear that implementing measures of changing items from zero-rated to exempt and from zero-rated to 14% will “create more hardships for everyone in this country.” He called out a long list of health services not readily available in the public sector which will be affected by this change, including breast cancer testing and biopsies. “With the stroke of his pen the ministry has imposed a 14% tax on the sick, the deaf, the visually-impaired, and the disabled people of our country… These measures have attacked the most vulnerable amongst us,” Anthony stressed. Jordan, during his contribution, told the House that the contents of the motion were keenly debated during the budget debate. He said when the VAT was implemented in 2007, the net VAT was 27.6% of revenue after returns were given back. The following year he said this figure “shot up” to 30.4%. “But guess what, Mr. Speaker? That was the last time… almost nine years ago, almost a decade ago when the VAT, a very important tax in this country ever touched 30%,” he said. He pointed out that by the time the PPP/C exited government in 2015, the VAT that had reached 30.4% of current revenue in 2008 had regressed to 24.8% by 2015. Jordan argued that VAT is a very important tax while the economy is growing. He said that there were reasons why the VAT collections were declining, including that the policy measures that were being put in place were weakening the VAT base. He added that government was also guilty of this practice when it attempted to implement a promise it made in 2015 regarding the over 50 food items which were exempted from VAT. He said that by 2016, the VAT base had further declined to 24.5 of total revenue collection. “How can we continue with a tax that is supposed to be a major tax in this country while its relevance kept declining?” he questioned before adding that one implication of this is that development itself will slow up. Stressing that government in its 2015 elections manifesto promised that it would reduce the VAT rate and exempt certain food items once in office, Jordan said that it could not fulfill the promises right away because there were a lot of unknown and known issues. He spoke of problems in the sugar and rice industries and developing issues with Venezuela that needed immediate intervention by government. Despite the pleadings and arguments made by the opposition, government members shouted “no!” when the motion was put to a vote in the House. |
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Hardships envisaged with 14% VAT on domestic airfares | |
Georgetown – As of today – Wednesday, February 1, 2017 – flying across Guyana becomes more expensive with the introduction of a 14 percent Value Added Tax (VAT) on local airfares. Aviation and tour operators are worried that the VAT on domestic tickets would affect passengers and customers and would result in market shrinkage and less money to cover operational expenses and debt servicing. “The big challenge to us is all of our customers who depend on hinterland transportation, for example our tourism clientele, our mining clientele, will be affected because the cost of interior travel will go up. We feel as well that this will have an effect on those sectors,” President of the National Air Transportation Association (NATA), Annette Arjoon-Martins told the news media. She said that while interior residents are exempt from the tax, it is unclear how the airlines will know who resides in the hinterland. “Even though the hinterland residents are being exempted, finding a fool-proof mechanism to document who is a hinterland resident or not has its own challenges so we also need to look at that,” Arjoon-Martins said. The NATA said there should be a “very pragmatic phased approach” on exempting hinterland residents from paying VAT. An official of Roraima Airways said that domestic carriers would have to charge every passenger the VAT in the absence of criteria from GRA. “We haven’t received the criteria from GRA. We are going to have to charge the VAT on everyone because if we don’t and they deem the person ineligible we will have to absorb the cost,” the official said. Against the background of a projected decline in passengers, Arjoon-Martins said the domestic carriers would be collecting figures about the impact to make a case for the removal of VAT from domestic airfares. “I am sort of comforted by the fact that we should be able to go back to the GRA within a couple of months to substantiate our claim to show obviously that there will obviously be some shrinkage and hopefully the door will be opened for further conversation,” she said. Administrator of the Guyana Gold and Diamond Miners Association (GGDMA), Colin Sparman said while medium and large scale miners would not feel the impact immediately, their operational costs and cost of basic food items would increase. “If you go Imbaimadai, Ekereku and so on, these people charge for the products that they sell by weight,” he said. “They (miners) wouldn’t feel it immediately; is when they start to pay and the people start to transfer it to you. The large miners would use charter so the operational costs will go up and we are also talking about the average pork-knocker/small-miner who got a lil wash-down and he goes to the shop, cost will go up significantly for him,” he said. Gold is currently Guyana’s major foreign exchange earner. President of the Tourism and Hospitality Association of Guyana (THAG), Andrea De Caires said the VAT on domestic airfares would impact severely on tour operators with whom bookings have been made several months to one year ago. THAG has since appealed to government for a 60-day grace period or they would have to absorb the VAT. “The biggest concern is for the trips that have already been sold. If a tour operator has sold something and the customers have already paid, it is difficult for a tour operator to now go back and say there is 14 percent more on the airfare so the tour operators are having to absorb that cost,” she told the media. De Caires said the only concrete assurance that THAG has received was that its representatives “have been heard” by the Tourism Minister. One major tour operator would reportedly have to absorb at least US$5,000 on charter bookings that have been made already for February, 2017. |
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Police monitoring ex-cops believed linked to high-profile crimes | |
By Michael Jordan (Kaieteur News) The Guyana Police Force is taking “immediate steps” to monitor the activities of some of its former members, amid concern over the growing number of ex-cops who are being implicated in serious crimes, Crime Chief Wendell Blanhum revealed. “The recent arrest of three ex-GPF members, who were allegedly found with a high powered rifle, handgun and ammunition, and were placed before the court, is a trend that is of grave concern to the Guyana Police Force,” Blanhum told Kaieteur News. “This trend has been recognised also, with the arrest of several other ex-GPF members in relation to some high–profile crimes. These ex-policemen who have been arrested have either been dismissed from the Force for corrupt transactions, breach of the Police Standing Orders, or withdrew their services from the Force. “It is clear that some of these policemen have turned to a life of crime and have sought to utilize their specialized training in firearms, and their familiarity with the GPF’s Standard and training on what action would draw suspicion of ranks of the Force, to aid them in their criminal activities. “They are also utilizing their knowledge of what clues and pieces of evidence investigators look for at crime scenes to effect serious crimes without being detected,” he added. “As such, the Guyana Police Force, after careful consideration, has taken the decision to immediately commence monitoring the movements of specific ex-GPF members who have been linked to serious criminal activities.” Blanhum’s revelation comes just days after three former police ranks were arrested following the discovery of an assault rifle, a handgun and ammunition at a house in the city. One of the ex-policemen was charged and later freed, in connection with two murders. He was also questioned about two execution-style killings during the crime wave. Another was previously charged in connection with gun related robberies on individuals who were coming from the Cheddi Jagan International Airport. It was particularly during the 2002 to 2008 ‘crime wave’ period that the names of several former police ranks were linked to death squads and the narco trade. At present, a number of former members of the Force are before the court for various offences, ranging from narcotics trafficking, unlawful possession of arms and ammunition, to murder. Last November, former Police Sergeant, Colin Bailey, was committed to stand trial for allegedly murdering his reputed wife, Sirmattie Ramnaress. It is alleged that Bailey and Colin Grant killed Ramnaress between August 30 and August 31, 2013 at Diamond Housing Scheme, East Bank Demerara. Other ex-policemen implicated in criminal activities include former Police Anti-Narcotics branch rank, Ian Michael Johnson, recently jailed for seven years on two counts of possession of Narcotics for the purpose of trafficking; Constables Bharat Shattapaul and Delroy Fraser, charged with drug trafficking. On August 8, 2016, five policemen accused of robbing three gold miners of 15 pennyweights of gold while on patrol, were ordered to post $600,000 bail each and report to the Criminal Investigation Department (CID) Headquarters, Eve Leary, Georgetown; Constable Kosi Arthur, 25, of Linden, Region 10; Constable Raphael Lowenfield, 25, of Lot 486 Section ‘D’ Block ‘X’ Diamond, Housing Scheme, East Bank Demerara; Lance Corporal Mark Fernandes, 34, of Annandale, Railway Embankment, East Coast Demerara; Constable Delroy Duncan of Lot 71 Sisters Village, West Bank Demerara; and Constable Akeem Thompson, 21, of Lot 65 Bel Air Village, Georgetown; were all arraigned before City Magistrate Judy Latchman. It is alleged that on July 25, last, at Timehri, East Bank Demerara, they robbed Sherman Noel of five pennyweights of raw gold. It is also alleged that on July 25, at the same location, they robbed Heeralall Girdhari of four pennyweights of raw gold. They are also accused of robbing Euri Samuels of six pennyweights of raw gold. The lawmen were each instructed to post $200,000 bail on each count. The complainants were robbed at around 2:20pm on the day in question at Army Base Camp Stephenson, Just last week, Prime Minister Moses Nagamootoo lauded the Guyana Police Force for moving away from the “past lawlessness and excesses,” in less than two years. Addressing members of the Force at the opening of the Police Officers’ Conference, Nagamootoo had said that, under the new government, “Guyana has no death squads, no extra-judicial killings, no electronic support architecture for the criminal enterprise, and no agreement with the narco-syndicate to be an auxiliary of the national security apparatus”. “It seems, not so long ago, that we experienced the gruesome episodes of torture, executions, and use of excessive force, which had impugned the professionalism of the Guyana Police Force. That you have distanced yourself from the contamination of past lawlessness and excesses, in less than two years, must be justification to say, ‘well done, you could do better’, and better you did”, Nagamootoo said. Between January 1 and September 30, 2016, the Police Complaints Authority received 145 complaints about alleged police misconduct. Of this number, 135 have been closed. The others are pending. The complaints included three corrupt transactions, nine unlawful arrests, two unlawful seizure of property, nine acting in a manner likely to bring discredit on the reputation of the Force, four assault, two demanding money to prevent prosecution, six wanting in civility to members of the public, eight police misconduct, 10 abuse of power, two threats, 10 police harassment, one for conducting himself in an oppressive manner, one use of more force than necessary, and one of abuse. |
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Alleged rape of 15-year old by three GDF soldiers | |
Georgetown – A 15-year old girl was allegedly raped by three soldiers of the Guyana Defence Force on Saturday at one of the country’s military bases, police confirmed. The GDF late Monday night said it was aware of the allegation against three of its ranks and has convened a Board of Inquiry to “ascertain the facts and to determine whether the crime was committed.” Meanwhile, the army said the ranks are assisting police with their investigations. “The GDF remains committed to the preservation of law and order and will deal condignly with all transgressors,” the army said. Investigators said the incident occurred at Camp Stephenson Saturday night (January 28, 2017). Police said they were yet to identify the perpetrators. “She was taken to the base in one of the army vehicles and taken to the barrack room where she was sexually assaulted,” a senior police officer told the news media. Investigators were told after the soldiers were finished, the teenager was out off the army base. A medical examination, police said, has since confirmed that she was sexually assaulted. “There is evidence that something happened,” police said. |
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AG to initiate disciplinary action against Deputy SG | |
Georgetown – The dispute between Attorney General Basil Williams and Deputy State Solicitor Prithima Kissoon escalated on Monday, with Williams revealing that he has taken steps to initiate disciplinary action against Kissoon. Williams made the revelation in a statement, while repeating allegations that the Deputy Solicitor was undermining pertinent legal matters between the Government and the Opposition. The Attorney General is presently in Jamaica for a Council of Legal Education meeting. “There are numerous memoranda issued to her for numerous infractions. On my return to Guyana I shall reveal, in greater detail, Ms. Kissoon’s hatred of the change in government,” Williams added. The AG revealed that he has instructed the Permanent Secretary of the Attorney General Chambers/Ministry of Legal Affairs to inform the Public Service Commission, of the Chambers’ intention to initiate disciplinary proceedings against Ms. Kissoon, and further, to enquire of the PSC’s procedures pertaining to same. Williams’ statement came in response to Kissoon’s claims that the Attorney General had taken steps to remove her from all state cases. The Deputy Solicitor General had been accused of undermining pertinent legal matters between the government and the opposition. In a previous statement, the AG had accused Kissoon of being openly supportive of the PPP/C Opposition and the Party’s lawyer Anil Nandlall. But Kissoon filed an official complaint against Minister Basil Williams with the Public Service Commission, claiming that she was ordered to cease all cases on behalf of the AG Chambers. However in his statement last evening Williams accused Kissoon of attempting to cloud the facts of a situation. Last week, State-owned newspaper, Guyana Chronicle had carried a critical piece, insinuating that Kissoon was to be blamed for Government recently losing a race-baiting appeal case against former President Bharrat Jagdeo. Following the article, the Deputy State Solicitor, in an undated letter to the Public Service Commission, claimed that she was ordered to cease all cases on behalf of the AG Chambers. She also denied she was to be blamed for the race-baiting case being tossed out. The Deputy Solicitor General said that Williams, despite being reminded that he has to file an affidavit in response, did nothing. Kissoon made a request for the commission to investigate the case and also allow her to proceed on leave and grant permission to leave the country. According to the complaint against Attorney General Basil Williams, Kissoon was hired by the commission as Deputy Solicitor General in February 2013. Before that she worked with three previous Attorneys General. Kissoon said that her first three months with the new AG starting in May 2015 were “somewhat” cordial. However, the AG was slow in granting his approval and signature on a number of cases and decisions. The official claimed she represented the AG Chambers in the majority of cases even when it was Williams who had undertaken to appear. “The Attorney General, Mr. Basil Williams, has failed to approve or sign written submissions prepared by me or examine pleadings despite those documents being sent to him via email or being given to his Confidential Secretary, Ms. Demi Hipplewith, Ms. Andrea Marks and other assistants he has retained over the past year,” Kissoon claimed. Kissoon claimed that Minister Williams even instructed his secretary and his other assistants to refuse to accept any documents or correspondences from her, and as a result, “I have had to resort to registering or express mailing him my correspondence and at all times emailing him and carbon copying relevant recipients.” “The Deputy Solicitor General alleged that the AG has effectively ensured that she is prohibited and restrained from performing her functions. “Commissioners, I respectfully wish to inform you that the course of conduct administered unlawfully by the AG, personally upon me, are reprehensible, unbearable and malicious, initiated and executed by the AG, Basil Williams SC, so that I leave the office which I consider through the opinion of my lawyers as CONSTRUCTIVE DISMISSAL.” She asked that the commission grant permission for her to proceed on her deferred leave from 2016, that was denied by the AG, while a remedy is found. “I await your directions within a week and also permission to leave the country.” |
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Ex-prison officer remanded for possession of narcotics | |
Georgetown – Police are unhappy with the advice given by the Director of Public Prosecution (DPP) to release two of the three persons nabbed with over 14 pounds of marijuana. Based on the advice of the DPP the police had no no alternative but to release the two. The group was nabbed during a raid at a home in Fort Ordnance, East Canje on the evening of January 23, last. Ex-prison Officer, Mikhail Henry, 27, of Lot 868 Fort Ordnance Housing at whose home the drug was discovered was charged and remanded to jail. He appeared in the Reliance Magistrate’s Court before Magistrate’s Marissa Mittleholzer on the charge of possession of narcotics for the purpose of trafficking. Around 8:30pm on January 23, the police swooped down on the premises of known drug dealer Mikhail Henry and conducted a search. The officers found a red tub on a patio in the lower flat of the house with 11 bulky black plastic bags, and two white transparent bulky plastic bags. Two other persons were also found in the house in the vicinity of the drugs – 26-year-old Ryan Jameer, of Lot 669 Fort Ordnance Housing Scheme, and Henry’s child mother, Kiendra Lindie. The bags were opened in the presence of the occupants and inside was concealed a quantity of leaves, seeds and stems suspected to be marijuana. The three were arrested, cautioned and taken into custody in the Central Police Station, New Amsterdam where the items were weighed and amounted to 7,748 grams or 14 pounds. The two men were detained while Lindie who has a seven-month-old baby was sent on $30,000 bail. A file was prepared and sent to the DPP for advice. It was advised that Henry be charged. Investigators are not pleased with this advice since the three persons were all in close proximity to the drugs on the lower flat of the house. The illegal dugs was being wrapped and parceled for distribution. The police are displeased that despite compelling evidence and recommendation the DPP advised that only Henry be charged. Henry is to return to the New Amsterdam Magistrate Court on February 16. |
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118 youths graduate from GuySuCo Training Centre, B'ce | |
Some of the students who graduated last Friday from the National Training Project for Youth Empowerment. | |
Georgetown – Last Friday, 118 students graduated from the National Training Project for Youth Empowerment last at the GuySuCo Training Centre in Port Mourant, Corentyne. The programme was held in collaboration with GuySuCo and the Board of Industrial Training (BIT). The Chairman of the BIT, Clinton Williams stated that Guyana, like many other developing countries, has been experiencing a widening gap between the “Workplace needs and workplace capabilities.” This, he said, was because of the “[Historic] stigma attached to Technical and Vocational Education and Training,” viewed as the last resort for academically weak students. He further stated that there is a “dire national skill deficiency syndrome” in Guyana. He noted that the opening of new sectors in the country will only add to the syndrome. “New sectors are emerging such as oil and gas, hydropower development, spinoff industries from Guyana’s LCD’s (Low Carbon Development) initiatives such as eco tourism and clean energy.” According to the Chairman, the board has many plans in store for how to improve the programme, one being to obtain credible labour market data and information in order to establish realistic demand for occupational skills. Minister within the Ministry of Social Protection, Keith Scott charged the graduates to stay on the right track. “That fact that you have been able to stay in the course from last year to now tells me that you have what it takes to be a success,” he said. According to the Junior Minister, Guyana is moving at a fast pace in the developmental front, and as such with the shortage of entry level skills, the graduands will be available to put the skills they garnered to use in the private and public sector both. Rose Hall Estate General Manager, Hutton Griffith stated that much diversification is needed within the corporation. “In order for the corporation to grow and become profitable once again it has to diversify. It is clear that sugar on its own will not survive; therefore we have to make changes,” he stressed. The programme began last April and offered courses such as Electrical Installation 1, Basic Fitting and Machining, Motor Vehicle Servicing and Repairs, Welding and Fabrication and Refrigeration and Supervisory Management. Of the 118 graduands, seventy-six were with distinctions, eighteen with passes and twenty-five with credits. |
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Gunmen rob Superbet workers | |
Superbet employees were on Monday robbed of approximately one million dollars by six gunmen after they collected the cash from an agent at Pigeon Island, East Coast Demerara. The robbery occurred around 1.15 pm as the employees were approaching the public road. An eyewitness, who asked not to be named, told the media that a car “rolled up in the street and [blocked] the road.” He said the bandits then went to the Superbet vehicle and demanded the employees hand over all the cash, after which the men jumped back into their vehicle and sped off. The police who reportedly have surveillance footage of the attack are currently investigating. |
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Hotel robbery an inside job | |
Georgetown – More than a month after two brazen bandits were captured after snatching $2.5M from an accountant and shooting a security guard at the Tower Hotel on Main Street, Georgetown, the cops have made another significant breakthrough in the case. This time, the lawmen were able to determine that the robbery was actually an inside job. According to information received by the police, it was an employee from the hotel, who informed the bandits that the accountant had gone to the bank. Kaieteur News reported that the gunmen were at the location waiting on their target for some time. Curtis Vasconcellos and Jason Howard were subsequently charged with the robbery. Reports are that Balmick Persaud, was shot when he tried to wrestle with one of the men, the pillion rider, who had jumped off a CG motorcycle and confronted the accountant in the hotel’s Main Street, Georgetown compound. When the robbery was committed, police ranks who were in the area gave chase behind the men after they heard the gunshot. The chase led to East Ruimveldt Front Road, where the two men were arrested after running into a house to seek shelter. The police said that the men had crashed into a trench during their escape bid. In their haste to avoid capture the men left the bag containing the cash in the trench. They also tossed the weapon away. The stolen cash was recovered. |
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