There are 12,000 Dominicans working as maids in Panama, and President Leonel Fernandez is heading efforts to legalize their status in that nation. Government estimates say that there are 35,000 Dominicans, all told, living in Panama. Yesterday, according to the El Caribe, the Dominican consul in Panama, Domingo Ramirez, told reporters at the National Palace in Santo Domingo that the Panamanian government would issue special visas for the women working as maids in the neighboring country. President Fernandez ordered the effort to locate and identify the women after an agreement between the two countries formalized the status of the women. Now, the Dominican consulate in Panama will be calling the women to legalize their status. One of the results of the new legal status is that the labor laws of Panama will be in effect for the domestic workers, and this will give them better wages and protection.
On Friday, the 2% tax on imports will cease to be in effect, but the government is not willing to give up this income. As a result, the Monetary Board approved a 3% increase in the commission charged on hard currency transactions and known as the "exchange commission tax".
The exchange commission tax, which has already risen from 5% to 10% earlier this year, will now go to 13% of the dollars used to bring in all imported goods.
Finance Minister Vicente Bengoa told El Caribe reporter Idonelia Perez Blanco that in real terms this only means a 1% increase for the importers, since the reduction of the temporary 2% tax only leaves the 3% increase in the exchange commission tax, as he explained it.
Bengoa also said that this move was in accordance with what the IMF had drawn out as part of the Dominican recovery program. However, late last November, the World Trade Organization (WTO) had decreed, in the case brought before it by Honduras, that the exchange tax was "inconsistent" with Article II of the General Agreement on Tariffs. For the IMF, the tax is not a control on currency exchange.
Former CONEP president, Celso Marranzini, told the reporter that these measure are counterproductive with regards to Dominican competition in the global marketplace. Marranzini also said that the new measure was a way for the government to assess taxes without going through the Congress. The tax began in 1991 at 2.5%. Then in 1997 it was set at 1.5%. In July of 1998, the tax went to 1.75%, and then in October of 1999 it hit 5%. Amid a series of political promises to get rid of the tax, in September of 2001 the tax was lowered to 4.75% before increasing it to 10% in August of 2002.
Thirty-three deputies had something to say about the proposed elimination of the tax on soft drinks made with the now-notorious corn syrup (HFCS). After three hours of debate, the Chamber of Deputies decided to eliminate Article 375, Paragraph 9, of the Tax Reform Law. The proposal had been declared urgent by the legislators and was approved in two consecutive readings. Only 13 legislators voted against the proposal. The bulk of the 33 deputies' speeches, according to Hoy, was devoted to the need to compensate the affected sectors of the Dominican agricultural enterprises in the short term and the Free Trade Agreement in general. The president of the Chamber, Alfredo Pacheco, had to remind the deputies of the difference between the syrup tax and the FTA, and remind the deputies that it was the Dominican Republic that requested to be included in the trade agreement that was originally devised for Central American countries only. Pacheco warned of Dominican isolation in the face of powerful economic forces in the surrounding region.
The Smith-Enron power plant gave the region of the Cibao and the North Coast a nice Christmas present as it returned to service, pouring 130 MW of power into the national grid. The company had been off line due to financial issues since last 9 September. The entry of the Smith-Enron unit substitutes the exit of Itabo I and its 100 MW for mechanical problems. According to the Superintendent of Electricity, Cogentrix III is offline as are AES-Andres and Los Mina V and VI. The last three operate on natural gas. The Superintendent's office also told the press that for the first time in a long time, supply was in excess of demand. According to Francisco Mendez, the nation's electricity supply has reached 1,460 megawatts and demand is just 1,318 MW. Haina is providing 23% of the electricity and the hydroelectric dams are putting out another 25%. The IPPs, Seaboard, Cogentrix, Palamara, La Vega, Monte Rio and CEPP are providing the rest.
Jose Manuel Hernandez told reporters that nothing and no one would be excluded from the investigation surrounding Quirino Paulino Castillo and the nearly 1,400 kilos of cocaine he allegedly transported for shipment to the United States. The prosecutor for the National District explained that the former army captain's have been seized in Bani, Elias Pina and San Juan de la Maguana and a more detailed accounting is now possible. He pointed out that he was the judicial sequester of the assets that were seized from Paulino Castillo, although he could appoint guardians to take care and administer the properties. Hernandez said that as soon as the hearings at the Court of Appeals are over, he will hold a press conference to explain more of the details surrounding the case. The lawyers for Paulino and Police lieutenant colonel Lidio Terrero Nin are appealing the order for preventive custody issued by the judge at the First Court of Instruction for the National District, Roman Hiciano Berroa. Hernandez told reporters that the proof that they have which links Paulino and Terrero to the 1,387 kilograms of cocaine that was seized on 18 December. Hernandez also said that everyone tied to the case will be fully investigated The El Caribe newspaper says that there are a few loose ends. One is that the authorities have yet to say where the load of cocaine entered the Dominican Republic. Another is the question as to just where the truck loaded with a ton and a half of cocaine was headed. Hernandes says that the cellular base used for contacts is located in Santiago de los Caballeros. Finally, the lack of a secure holding area for Paulino Castillo prevented his transfer from the headquarters of the DNCD. Paulino's lawyers are arguing that he is being held incommunicado.
The advisor to the chief of police on matters regarding the Procedures Penal Code resigned from his post to participate in the defense of former army Captain Quirino Paulino Castillo, who was arrested for his involvement in a major cocaine smuggling operation. Felix Damian Olivares Grullon presented his resignation to National Police Chief Major General Manuel de Jesus Perez Sanchez. His letter was accepted, as confirmed by NP spokesman General Simon Diaz, as reported in Hoy.
Upon assuming his new role, Olivares accused the National Department for the Control of Drugs (CDNC) of institutionally kidnapping his defendant and manipulating the case to create a state of confusion in public opinion, according to Hoy. He told the newspaper's reporters that the DCND is attempting to have his client tried in a parallel manner in the forum of the public opinion. He said that only yesterday was the first questioning of Quirino Paulino questioned. He said his client is in a state of tension and depression, after having spent 48 hours without sleep.
The National Department of Drug Control (DNCD) had prepared a crime dossier three years ago on army Captain Quirino Paulino Castillo linking him to drug trafficking and revealing that Paulino had, with his own money, built a police station in Los Llanos, in Elias Pina, but the report was ignored by the government authorities. The confidential report, of which Hoy newspaper obtained a copy, dates back to 19 April 2001. At the time, the newspaper says the president of the DNCD, Major General Manuel Antonio Lachapelle Suero, met with President Hipolito Mejia to officially submit the information. He was accompanied by Rear Admiral Homero Luis Lajara Sola, who at the time was director of information at the DNCD.
Paulino Castillo is implicated in the trafficking of 1,387 kilos of cocaine that was confiscated on Saturday, 18 December. See http://www.hoy.com.do/app/article.aspx?id=32483
Relatives of alleged narco-trafficker Quirino Paulino Castillo are going to court to recover his assets, according to their lawyer Carlos Balcacer. The lawyer also admitted that his client is facing extradition hearings. Things seem to be getting confused in this case with another lawyer, Fidias Santiago, telling reporters that Balcacer will no longer be part of the defense team.
Manuel Hernandez, the prosecutor for the National District told Listin Diario reporters that his people had arrested the manager of one of Paulino Castillo's farms and two Haitian nationals. Lawyers for the relatives are arguing that the many businesses that have been confiscated are not the exclusive property of Paulino Castillo, and that they are also shareholders in the companies, especially the gasoline station and the car dealership, Pradera Motors.
Many of those accused of drug trafficking have been jailed, but very few have been convicted of a crime. Many judges have allowed them to be free on bail. All of this in spite of the fact that the DNCD (the Dominican DEA) have arrested over 4,000, dismantled networks from Colombia to Holland and seized more than 35,000 kilos of cocaine over the past decade. Many of the accusations have been denied by the courts, alleging lack of proof, and others go from postponement to postponement. Rolando Florian has been in jail for seven years without coming to trial or being convicted of anything. Martin Abreu, murdered, was convicted of moving 400 kilos of cocaine but was never in jail. In Florian's case, another charge has been added: the ordering of the killing of the son of the Senator from Barahona, Victor Augusto Feliz Matos, from his jail cell. No military person, no governmental official ever involved in any of the cases has been convicted in this country, something that caught the attention of the United States State Department last March. An article in the Washington Post says that nearly 50% of all drug traffickers caught are from the Dominican Republic. Perhaps because of the many officials, military, police and governmental, that have been involved in drug related cases, the United States is now going to try and extradite Paulino Castillo
There are Federal Charges pending against the former army captain in New York, according to the Diario Libre. The newspaper says that federal agents made their case before a Federal Court in the Southern District of New York three days after the arrest of Paulino in the Dominican Republic. Now the agents are doing the paperwork to request the extradition of Quirino Paulino Castillo. According to the United States Embassy in Santo Domingo, the US has not officially requested the extradition of Paulino Castillo as yet.
Several pop concerts and major celebrations that were counting on a massive public demand for good music had to be cancelled for lack of ticket sales. Observers said that the economy and poor publicity were the causes for canceling the concert in the Color Vision amphitheater that was to include Aventura, Milly Quezada, Pavel Nunez and Jeffry. Shortly before, another concert that included Aventura, Claudio Piantini and Jeffry also had to be cancelled. Perhaps one of the greatest disappointments was the show that was given at the Hotel Jaragua featuring Elvis Crespo, Aventura and Jeffry. It did go on, but before a very small audience and to only polite applause. And to think that it costs between US$10,000 and US$13,000 to put Aventura on a stage. Even though the last few days looked spectacular from the number of fiestas and shows that were announced, the reality has been very different. Last-minute cancellations and economic losses are painting another picture, entirely. According to promoter Cholo Brenes, the producer and mentor of many groups, Dominicans did not realize just how serious the economic situation really was. "The reality of the situation came home in December. While it is true that the people got their 13th salary, it is also true that they owed most of that money and Christmas was almost totally kept in the family." Brens said that 95% of the activities that were planned for December failed.
Today, 28 December, is called the Day of the Innocent Butterflies in the Dominican Republic and it is the day people play practical jokes on each other, some of good taste and others perhaps not so good. Usually, someone will phone and say that something has happened to some member of the family. Or that a person has won big on the lottery, or has a new baby in the family. Anything to get a "rise" out of the listener.
So, dear readers, today of all days, be a little skeptical about either very good or very bad news. It is that day again.
The Estrellas Orientales from San Pedro de Macoris have made the round robin play-offs, thanks in part to a defeat of the Leones of Escogido by the Aguilas Cibaenas in the tenth inning of last night's game at the Quisqueya Baseball Stadium, the Estrellas are now statistically assured of their participation in the final round robin series. The loss by the Leones, combined with the victory of the Estrellas over the Gigantes del Cibao in the Julian Javier Stadium in San Francisco de Macoris, assured the Estrellas their round robin berth in the tournament that begins on Sunday. Thursday, Friday and Saturday are off-days for the teams.
Standings
| Teams | Won | Lost | % | Dif |
| Aguilas | 29 | 19 | .604 | -- |
| Gigantes | 27 | 21 | .583 | 2.0 |
| Licey | 25 | 23 | .521 | 4.0 |
| Estrellas | 25 | 23 | .521 | 4.0 |
| Escogido | 21 | 27 | .438 | 8.0 |
| Azucareros | 17 | 31 | .354 | 12.0 |
| Today's games | |
| Quisqueya Stadium (Santo Domingo): | Gigantes vs. Licey |
| Cibao Stadium (Santiago): | Estrellas vs. Aguilas |
| Francisco Micheli Stadium (La Romana): | Escogido vs. Azucareros |
| Tomorrow's games | |
| Quisqueya Stadium: | Aguilas vs. Licey |
| Julian Javier Stadium (SFM): | Toros vs. Gigantes |
| Tetelo Vargas Stadium (SPM): | Escogido vs. Estrellas |
Thursday, Friday and Saturday are off-days for the teams
Sunday begins the Round Robin Tournament
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