DR Receivership?? Why not??

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TiberiusMineola

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There is a procedure in American bankruptcy law termed "receivership". In essence, the law provides temporary relief for insolvent, perhaps mismanaged, perhaps looted,companies. A quasi-judicial official - a "receiver" - is appointed - who takes complete control of the company & all of its assets for ? months, rarely, years. If the company can be restored to solvency, the receiver is discharged, the company regains control of itself. If not, . . bankruptcy. In the case of La Republica, is not the best solution for the Domincan people, especailly the poor, to have a receivership committee appointed for 5 years? Members of the committee? 1 each appointed by the USA, Spain, Switzerland, Formosa, & Australia. The Legislature, the Executive & the Judiciary would be under the complete control of the 'Committe' for 5 years. At the end of 5 years, or earlier, the Committee resigns & the normal democratic institutions resume control. Worth a try? Too much Dominican ego? Too much American arrogance? What would be the position of the Dominican Catholic Church? Of Hippolito? Would this be a historic Dominican move, establishing a positive precedent for future similar, 3rd world fiascos? Food for thought?
 

DCfred

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Jun 19, 2003
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You make an interesting point.

One could have "The Dominican Republic Financial Responsibility and Management Assistance Authority," a control board. This board, appointed by representatives of international institutions, would oversee the operations of the Central Bank to ensure monetary stability and would oversee the expenditure of moneys by the executive branch. After agreed goals are achieved, the Control Board would dissolve and the government , once and for all, learns the lesson that inorganicos are not the way to deal with fiscal mismanagement.
 

Hormiga

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Jun 25, 2003
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Suppose this Commitee or the Receiver achieve solvency, will they hand back control to the same crooks that ran it to the ground in the first place?
 

KenoshaChris

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Jan 4, 2002
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The only thing I know is that my ex-wife keeps me on the brink of bankruptcy. Come on now, when was the last time that a nation went bankrupt and had another nation be a receiver? GDub would love that and he doesn't even have to find any WMDs. If that can be done, I'm taking over Haiti.
 
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TiberiusMineola

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Exc Point,, Hormiga ! ! !

I think that Hormiga's June 26 post re: returing the DR to the "same crooks" who put the country in this dliemna in the 1st place is worthy of discussion & reflection. While I appreciate the cogency of his underlying & probably accurate forecast, what are the altenatives? Virgil once said: "The voice of the people is the voice of God" in a democracy; paraphrased, I think caccurately. If the Dominican people are prevented from electing their own leadership, who will have this responsbiity? For how long? Subject to whose subsequent approval. The theoretical value of a receivership type government & management is that it is imposed from w/o by, in essence, rich & powerful creditors & some judicial authority; and, . . it has a finite life; it is not a quasi-permanent benvolent dictatorship. Food for thought: the gov't of Nigeria is now asking the USA to intervene in its country, restore order militalrily, &, in effect, manage the country in the short term. Not the big, bad USA, but an African sovereign state. Would the same medicinr aid this Hispanic patient? If this question were put to a referendum of the Dominican people, what sould the probale result be? Food for thought. Thanks, Hormiga, for a thoughtful contribution.
 

Amicus

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Dec 25, 2002
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Re: Exc Point,, Hormiga ! ! !

TiberiusMineola said:
The theoretical value of a receivership type government & management is that it is imposed from w/o by, in essence, rich & powerful creditors & some judicial authority; and, . . it has a finite life; it is not a quasi-permanent benvolent dictatorship.

Typically a reciever is a court appointed individual. In most countries they must be "accredited" by the court that handles commercial bankruptcy. They are typically people of probity, having had much experience in the matter of bankruptcy. Of course, if the court judge is corrupt, then the reciever may well be also corrupt;

As debated elsewhere in this forum, the corruption in the DR has become endemic. But, there is no way to change matters with methods that obviate the ballot box. Everyone is looking for a "quick fix" in the form a "nice doctor" coming from abroad to bring "sunshine back to paradise". This is dreaming.

The road forward is a long haul that consists of educating people in the political process of democracies, first and foremost of which is the wise use of each individual's vote. Voting into power people of known honesty is essential. (Political corruption exists in most western democracies. It cannot be eradicated because of the venality of mankind. People, however, can and are sent to jail. This has a salutary effect on the behaviour of the rest.)

The DR has allowed a concentration of power in the presidency, even though it has the infrastructural means to separate (and balance) powers amongst the three branches (legislative, executive and judicial).

Fixing the problem of (1) concentration of power in the presidency and (2) prosecution of deliquency and crime by government officials are the major priorities towards solving the problem.

How that is done via the ballot box is the issue. The Dominicans must fix the problems themselves. Any external power, in whatever form, is simply a palliative. When, inevitably, that power leaves, political and governmental institutions (and the people running them) will simply return to thier previous behaviour.

TiberiusMineola said:
the gov't of Nigeria is now asking the USA to intervene in its country, restore order militalrily, &, in effect, manage the country in the short term.

I think you may mean Liberia.

Liberia has some lessons to give to those who care to look. It had an excellent opportunity to implement a US style democracy on the African continent, and it failed into the misery and despair that we see today.

Why? Because, though it was not an ex-colony, like many African countries "freed" by European powers, it descended into plunder and corruption by an elitist class, a result that repeats itself throughout Africa.

In the Caribbean, it happened a bit differently. Cuba revolted and instituted an dictatorship of the left. The DR instituted (finally) a parody of democracy (of the right) by its minority Spanish-heritage population the hallmark of which was a clientelism that reaches back centuries. The results, in both countries, speak for themselves.