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Daily News - 2 April 2001
Footwear disinfection at airports to prevent foot & mouth disease
The Ministry of Agriculture is now requiring passengers arriving from South America and Europe to disinfect their shoes upon leaving the airplanes. The measure is part of others in place to prevent the entrance of the foot & mouth disease that affects cattle. Other measures include fumigating luggage and cargo and the confiscation of all dairy and meat products coming from South America and Europe.
2000 was good year for free zones
The director of the National Council of Export Free Zones, Janette Dominguez, said that 2000 was a good year for the free zone sector in the DR. She said that last year while the number of free zone industries in operation declined 0.6%, several of the 481 businesses in operation announced major expansions which resulted in more jobs. She said the free zones generated 14.7% more in hard currency for the Dominican economy, up from US$887.3 million in 1999 to US$1,018 million in 2000. Of the free zone operations, 52% are textile operations, 12% services, 6% tobacco plants and 4% footwear companies. In 2000, eight new free zone parks were approved, calling for a RD$331 million investment and the creation of 38,000 new jobs.
No steps back for judicial reform
The president of the Supreme Court of Justice, Jorge Subero Isa, has asked that there be no step backwards in regards to the reform of the judiciary started in 1997. Interviewed by El Siglo newspaper, he confirmed that the nation's risk rating by international agencies improved after the new Supreme Court of Justice was installed in 1997. A constitutional reform proposal seeks to make changes in the terms of judges and how they are chosen, which has met with rejection in most sectors.
What a mess at Bienes Nacionales
Confusing reports of declarations, denials and more contradictory stories have been coming forth as the press follows the trail of investigations into a scandal at the government real estate department, Bienes Nacionales. The purchaser of the property, Edmon Elias Barnichta Geara, now says he paid RD$4 million for the lot, not RD$3.5 million. He also retracted his first statement that the money had been returned to him by the wife of Samuel Dario Nuñez Guzman, to whom documents indicate the state (Bienes Nacionales) sold the property for a fraction of its worth. Nuñez, who had been abroad, returned and visited the government Anticorruption Department to give his version of what happened. Meanwhile, the suspended director of Bienes Nacionales, Victor Tio Fernandez, told the Listin Diario that behind the scandal there are many interested parties. He says he is being sacrificed. He complained that the board of the Partido Revolucionario Dominicano has not shown their solidarity to him, despite his being a member of the political committee. "My only sin was to have helped the PRD party members; if they want to crucify me, then may they crucify me," he told the Listin.
He says he maintains his version that his signature was falsified and that he did not receive money for the transaction. "All I did was help my fellow PRD party members and many people," he told the newspaper.
Cardinal Nicolas Lopez Rodriguez in his Sunday televised comment urged the government to clarify the situation.
This can of worms is the result of the delays of this and previous governments in putting controls in place to prevent similar situations.
Poorly educated teachers affect student preparation
The Listin Diario points to the major deficiencies of public school teachers who are turning out even poorer students. The newspaper highlights a study carried out by the quality control department of the Ministry of Education whereby average scores on national tests for the past three years have been under 65 points. Furthermore, last year, high school graduate level students averaged 56 points on math tests, while eighth grade students averaged 49 points.
Grammar and spelling is another major problem area. The study showed that the teachers themselves have major deficiencies in spelling.
Government to get tough collecting taxes
The Department of Internal Revenue has announced an aggressive program to increase tax collections. The government has announced it will increase inspections, audits and cross checking of information in order to increase collections. Department director, Teofilo Tabar, said that of 300,000 companies that should have paid the 1.5% tax on gross sales, only 50,000 have done so.
Vehicle purchase program saves the government money
Minister of Agriculture Eligio Jaquez defended the government program by which 75% of the cost of vehicles purchased by government officers comes from the budget of government ministries. The government officers receive financing from the Banco de Reservas to pay for 25% of the cost. Minister of Agriculture Eligio Jaquez defended the practice and said that it is an effective way of providing vehicles to Ministry staff. He says the ministry saves 50% of the cost they would incur if they had to rent the vehicles. He said the practice began in 1978 and has continued since then. At the end of their term, the vehicles belong to the government officers. El Nacional newspaper recently complained that government officers receive a RD$600,000 vehicle for which they only have to pay RD$150,000.
A boycott to electoral reform?
The Political Secretary of the Partido Reformista Social Cristiano Federico Antun Batlle warned that there are sectors within the ruling Partido Revolucionario Dominicano that want to boycott the reform process initiated by the Junta Central Electoral. He accused these sectors of wanting to impede the congressional and municipal elections coming up in May 2002, saying the people have the right to choose their representatives.
The PRD wants to change the already agreed upon modification to pre-assign the deputy congressional positions in cases where a voter may opt to vote for the party and not for a specific candidate. Both the PRSC and the PLD oppose the system, saying it would be a continuation of the old system whereby the parties' selections were "elected" depending on the number of votes the party received. Under the new system, voters may choose from an alphabetical list of candidates. They may also vote for a mayor or alderman from one party and a deputy from another.
Customs Brokers warn of corruption
In a full page paid advertisement in the press today, the Dominican Association of Customs Brokers warns that there is growing corruption in customs, discriminatory treatment of importers and an unfair collection of taxes. The discretionary application of the customs regulations by individuals who have access to insiders in the department is affecting their work and is resulting in a decline in government revenues, say the brokers. Advances that had been made in previous years are being destroyed according to the association.
"It is matter of concern that in this administration, that has very good technicians, the few advances that in previous years had been made are being destroyed while sectors that require these services look on with complacency and even complicity," accuses the association.
The association warns that ghost dispatchers, with the impunity of the present authorities, are subjecting importers to constant pressures that make them feel obligated to use the ghost dispatchers' services.
These dispatchers offer to clear the importers' cargo with subvaluations, false statements and underestimated merchandise. The fake brokers take advantage of deficiencies and the absence of administrative controls in the customs system and the impunity of the authorities. They are operating without authorization from the Ministry of Finance and the Department of Customs.
"By allowing the false brokers to operate in the ports, airports and fiscal warehouses, fraud, contraband and corruption in customs are being facilitated with or without the authorities knowledge, as these agents legally cannot carry out tax collection operations ," explains the organization.
The brokers say that the "false agents are conspiring with employees and officers of the Customs department and are acting without any controls".
The brokers say that the new "modalities of contraband are affecting the tax collections, as the money is being detoured to the pockets of a select group".
The Customs Brokers Association says that the customs department has instituted arbitrary increases in valuations, re-liquidations, re-verifications, re-locating of customs declarations, that generate delays in the dispatching of merchandise and disatisfaction of our clients.
This in turns forces their clients to appeal to the false customs agents to expedite the process. This practice, the Customs Brokers Association claims, affects their earnings and the state tax collections.
The Association also says that the Customs Department has been hiring unqualified personnel in an area that requires precise skills. "The verifying and physical inspection of the merchandise is being carried out in a deficient way, as it is in the hands of technically incapable personnel, resulting in a decline in tax collections and obstacles to the flow of imports," the brokers accused.
Lots of jobs for Dominicans in Spain
Spanish Ambassador Fermin Prieto Castro says that Spain has made available 100,000 migrant visas for farmers, housekeepers, and even for computer technicians. He said that Dominicans will soon be able to benefit from the new migration program. A meeting is pending between a Spanish government commission and Dominican authorities. At present, he said the Spanish government grants 3,500 migrant visas a year to the DR. He said that an estimated 40,000 Dominicans have already migrated to Spain, of which 26,000 have done so legally. To apply for one of the visas, you only need to present a work contract from a Spanish employer.
Jose Israel Cuello program ousted from state TV station
"Contrapunto," the commentary program Jose Israel Cuello produced for Radio Television Dominicana, Channel 4, was ousted from that station last week. Its producer announced it is relocating to Channel 53, a cable television channel. The contract was suspended for a violation of the stipulation that the program cannot air messages that may damage the reputation of people and institutions that consequently can harm the image of the state television station. El Siglo newspaper says that the boot came after Cuello commented that two foreign companies that had recently began operating in the Dominican Republic had been exempted from paying the 1.5% tax on gross sales. He said the government decided to exempt them after the companies presented documents that proved they would be operating with losses for their first four or five years and would later decide whether they would stay or leave.
US$46 million invested in airport improvement
Aerodom has invested US$46 million in improvements in the Las Americas and Puerto Plata airports in its first year of operation. Seventy percent of the investment has been made in the Santo Domingo Las Americas International Airport. According to press reports, the money has been invested to improve the infrastructure of the airports, install new air-conditioning units, improve luggage handling facilities, replace airline counters, and customs inspection equipment. The parking area has been expanded to handle 1,500 vehicles. Airport technical director, Architect Christian Broberg, promised major renovations will be completed in time for the summer peak travel season.
Two missing children could be in DR
Dominican and Puerto Rican authorities are combing the Dominican Republic for two children who were kidnapped in Puerto Rico. Interpol suspects they are living here. They are Rolando Salas Jusino (6 years old), who was kidnapped in 1999 and Michelle Delfi Feliciano (13 years old) who was kidnapped in 1992.
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