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President Mejía says 5% tax stays President Hipólito Mejía threatened to send the surcharge on exports of goods and services to Congress, increasing, however, the originally proposed 5% to 10%. He expressed his confidence that Congress would pass the tax and told exporters that it would be eliminated if the exporters agreed to sell their dollars to the government at a special rate of RD$24 to US$1. The National Council of Business and the National Association of Hotels & Restaurants have requested the opinion of the Supreme Court on the matter, deeming the surcharge illegal as only Congress has the right to levy taxes. The business groups feel the government has assessed the entire burden of its supplemental revenue collection to the private sector, instead of cutting its own spending. President Hipólito Mejía seeks to be reelected in 2004. |
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Nagua politician to preside over Senate Jesus (Chu) Vásquez Martínez (María Trinidad Sánchez-PRD) was chosen president of the Senate in the board election held on the morning of Saturday, 16 August. Born on 20 July 1958, is credited with having been one of the youngest governors appointed for the province of María Trinidad Sánchez (whose seat is in Nagua) at the early age of 24. Vásquez studied political sciences at the little known Instituto Henry George. In addition to being governor of his native province, the PRD government also appointed him consul general in Venezuela. For many years he has been president of the PRD in his province. |
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Gangster politics CDN TV reported on the chaotic dueling of the already very discredited legislature, known more as a marketplace for personal profit. On the morning of Saturday, 16 August, as the Chamber of Deputies sought to elect its new board of directors, the president of the Chamber, Rafaela (Lila) Alburquerque (PRSC-San Pedro de Macoris) hung on with the support of the PPH faction of the PRD and President Hipólito Mejía. The post is important because the president of the Chamber sets the agenda for the legislative meetings. Negotiations with President Mejía on Friday did not succeed in convincing the PRD spokesman in the Chamber, Alberto Pacheco (PRD-Santo Domingo), to abandon his aspirations to preside over the Chamber. Mejía, supported the continued reign of Alburquerque, who in his first three years in government has given the green light to practically anything hailing from the Presidency, despite Pacheco being of his own party. A third candidate, Victor (Ito) Bisonó, sought the presidency for the PRSC, but did not obtain the endorsement of the leading faction of the party. The fight in Congress intensified the division of the PRSC between those seen to stand for La Casa and those supporting former Vice President Jacinto Peynado. On the morning of Saturday, 16 August Alburquerque attempted to delay the start of the session to choose the new board, understanding that she did not have enough votes to get reelected. She cited that the electronic bulletin board for recording votes was not functioning. But the deputies did not feel this was a good enough excuse. A good reason came when the lights went out. Alburquerque called a postponement of the session and retreated, after the blackout left the hall in darkness. Pacheco accused thugs acting on instructions from legal advisor Guido Gómez Mazara of having fired the shots to the interior electricity breakers box that cut the service from the Chamber of Deputies. The PRD supporters of Alberto Pacheco got out their flashlights [apparently they suspected this could happen] and remained. As per regulation, the oldest legislator is allowed to open a session, but Anibal Paez (PRSC-Santo Domingo) instead called for the session to be postponed to 6 pm that evening and he too left the hall. Four shots were heard next and the deputies ran for cover. But Felipa Gómez (PRD-Santo Domingo) assumed control and opened the session, in which a vote was called and certified by a notary public. El Caribe reports that 75 of 118 deputies who originally signed in for the session voted for Pacheco. News sources reported that PPH negotiators, such as legal advisor to the President Guido Gomez Mazara and Agriculture Minister Eligio Jáquez, were at the Congress. While neither part of the protocolar ceremony, the president of the PRSC Rafael Bello Andino was also there for the last-minute lobbying. TV news commentator Ramón Núñez said the situation is a warning of the extreme lengths fanatic political supporters could resort to in their quest to retain power. Following the perfunctory election of Pacheco, President Mejía withdrew his support of Alburquerque. Jaquez told Diario Libre that the election of Pacheco is not a negative for Mejía, despite the original commitment Mejía had made to back Alburquerque. Pacheco is known as a strong supporter of President Mejía’s re-election. Pacheco ordered the opening of normal sessions for Tuesday at 9 am. |
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The downfall of the PRSC Political analyst Orlando Gil of the Listín Diario writes of the internal conflicts of the PRSC and the rifts that have caused its loss of strength. No longer being courted as the deciding force in Dominican politics between the PLD and the PRD, the party is struggling to quell the friction between its members. The traditional Balaguer supporters (“los de la Casa”), namely Rafael Bello Andino, Guaroa Liranzo, Rafaela (Lila) Alburquerque, Anibal Páez, and Joaquín Ricardo, have lent their support to President Hipólito Mejía during the first three years of his government. This backing, says Gil, led to the election of former Santiago senator Eduardo Estrella as the party’s presidential candidate, despite claims of fraud by previous PRSC strongman Jacinto Peynado. President Mejía himself admitted his supporters went to work for Estrella. Peynado and Carlos Morales Troncoso lead another faction of the party. Victor (Ito) Bisonó, representing another splinter group, challenged the bid for the presidency of the Chamber of Deputies sought by Lila Alburquerque, who had the support of the PRD legislators loyal to President Mejía. Gil asks, when talks are to be held to garner the support of the PRSC, who will speak for the party? He says that the internal conflict within the PRSC should intensify as the Casa group will not have the funding it received formerly via the Chamber of Deputies. |
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Contrast between athletes and politicians With the closing of the Pan American Games yesterday, and the goals attained, journalist Ana Mitila Lora says that Dominican self-esteem has been relaunched. She urges that, as of today, Monday, 18 August, we dedicate our energy, talent and intelligence to the common good of rescuing the nation from the dark abyss in which the political classes have immersed the country in complicity with the private sector. |
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Alvarez Renta sent home Attorney General Victor Céspedes Martínez authorized the release of businessman Luis Alvarez Renta, known as the country’s leading dealmaker, allowing him to go free while the Baninter trail takes place. He will be required to attend the trial as needed. Alvarez Renta was released “for humanitarian reasons”, citing his frail health. He had earlier been released from his cell at the Palacio de Justicia Ciudad Nueva and instead was being held at the nearby Abreu Clinic. |
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More money for private banking The Central Bank granted RD$2 billion in advances and rediscounts to private banking in July, according to reports from the Central Bank. This led to an increase in money in circulation from RD$56 billion to RD$59 billion in July, and contributed to the inflation that is making the cost of living in the Dominican Republic more and more expensive. |
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Priest investigated for sexual misconduct Lieutenant Colonel Domingo Espinal of the Army is currently under investigation for the alleged rape of a 14-year-old boy who attended a school directed by Espinal in the Km. 10 of the Prolongación Carretera Sánchez. The parents of the teenager took their case to the Department for Children and Adolescents of the Attorney General’s Office. The adolescent alleges that he was raped at gunpoint by the priest in the back of the school last year. |
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Mexican gang accused of kidnapping Police Chief Jaime Marte Martínez announced the case of the kidnapping of two minors in La Vega had been cracked. The police said that the abductors released 12-year-old Alanny Fernandez and 16-year-old Ariel Fernandez upon learning that the police were hot on their trail. The police also said the parents of the missing children did not pay any ransom. According to law enforcement agents, the kidnapping was ordered by Mexican Alberto Reyes of the Tijuana Cartel. Alanny’s father, Junior Fernández, and his relative Martín Antonio Castellanos had reportedly outsmarted the Reyes to the tune of US$1.8 million. The Dominican police has charged some 10 individuals in connection to the kidnapping. |
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99 scholarships for study in Spain The Fundación Global Democracia y Desarrollo announced it would offer 99 scholarships for courses and university-level study in Spain. The courses will range from management of non-governmental organizations, international economic relations, small business management, publishing, and management of protected areas. For application deadlines and more information, see http://www.funglode.org/menu/noticias/2003/08/14agosto03_fundacion.htm |
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Exports up 7.74% Dominican exports were up 7.74% in the first half of the year, as reported by the Center for Exports and Investments (CEI-RD). Free zone exports were up 9.06% during the same period, showing an improvement from US$1.34 billion in January-June 2002 to US$1.46 billion for January-June 2003. |
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Bear Stearns reports reserves continue to plunge According to a recent report issued by Bear & Stearns, the international reserves accelerated their decline in July. Franco A. Uccelli, of Bear Stearns, writes that this suggests that the flight of capital remains strong. “The Central Bank's net international reserves stood at only US$230 million on July 31, down from US$311 million in June and a US$430 million high-for-the-year recorded in February. The Wall Street company says: “Gross international reserves, on the other hand, totaled US$583 million in July, down from US$716 million in June and US$876 million in February. Persistent international reserve weakness is coming at a time when the Dominican peso is showing signs of stability (and even incipient recovery), appreciating to under 33 DOP/US$ after averaging more than 35 DOP/US$ in July, and the external current account continues in the black, with a 1% of GDP surplus projected for the year as a whole. This means that net capital inflows are still negative, indicating some combination of capital flight by Dominicans, and a reduction in credit lines to Dominicans by foreign creditors. With an IMF agreement around the corner, we believe that most of the good news associated with the Fund deal has already been priced in.” |
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Pan Am Games update
A moving finish
Surprising performance by Dominican athletes
Miss Universe at home
PASO gives good grades to Pan Ams
No concrete plans yet for upkeep of installations
The final applause |
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