| Daily News - Wednesday, 23 November 2005 |
The United States ambassador, Hans H. Hertell addressed the Dominican chapter of the American Chamber of Commerce yesterday. He gave what can only be called a frank and precise picture of current United States thinking regarding the issues, past, present and future, facing the Dominican Republic. After his opening remarks, in which he spoke of the up-coming Thanksgiving Day in the United States, Hertell pointed out a short list of things that that the US and the DR could celebrate: macroeconomic stability, Dominican acceptance of the DR-CAFTA agreement, renewed economic growth, institutional strengthening in the DR - with high praise for Attorney General Francisco Dominguez Brito and Chief Justice Jorge Subero Isa, and the good bilateral relations between the DR and the US.
The ambassador then went on to point out some issues and problem areas, principally, drugs, slow approval of the needed changes for the DR-CAFTA agreement to go into effect, the growing "culture of impunity" where he pointed out that not only the US but the international community is awaiting the outcome of several ongoing trials, and then the major point of perhaps the whole speech. Hertell said that his fourth worry was the transparency of government purchasing. He pointed out that DR-CAFTA would oblige the Dominican government to adopt a procedure that was both open and competitive for all major purchases, and he pointed out the advantages of the system. As a case in point, the ambassador looked at the Metro. He said that the government "proposes to design, construct and operate a Metro, but it should provide the public with better information about the detailed engineering and transport studies, the financial plan and the environmental impact. "He said that "all these are elements to justify the construction of a project so vast, so risky and costly - especially if it is going to be built quickly - "fast track" - and that always costs more." Continuing his comments on the Metro, Hertell said that the Office for the Reordering of Traffic has not given out any widely publicized announcement of a tender either nationally or internationally, nor has it defined the cost of the project, or how it will be financed, the technology to be used or the companies that have been selected.
The ambassador then called on President Fernandez, as "a man of vision and a leader", to display more transparency and better public communication on the matter. He reminded the audience at the AmCham that "the best politics is good government." And then he predicted that everyone would accept the costs of the projects once the issues were cleared up in the way that he suggested. He ended this segment by adding, in English, that the DR should be "open for business" and not "business as usual."
Ambassador Hertell then looked at the social and economic situation of the poorest Dominicans. He praised the Fernandez administration for its efforts to assist the poor, and condemned those who exploit this poverty to organize illegal voyages to Puerto Rico or who promote prostitution and "white slavery". He condemned the silence that surrounds the organizers of these trips, the corruption that protects them and the threats of violence against the poor that use them. He also condemned the cases of abuse against children, both as workers and as sexual objects. He pointed out that the United States Embassy, by law, must evaluate the institutional advances made by the government to prevent these types of human rights violations and to prosecute the offenders. He urged greater attention to the issue, speaking "as a true friend of the Dominican Republic".
The last major point of the speech concerned the Dominican Republic and access to the Millennium Challenge Corporation in 2006. Hertell outlined the MCC's aims as wanting to reduce poverty through economic growth, and to reward good policies. He said that the US Embassy was looking at how the Dominican Republic could obtain access to these funds. He said that there were objective criteria that governed access to the MCC and that the evaluators would have to place the DR in the top half of those countries requesting this sort of funding. He cited that there must be justice in government, but the World Bank had found that corruption controls in 2004 were below the average and had been falling for the previous three years. He pointed out that there was an equally poor rating for effective government. The second criteria for evaluation is investment in people. The Dominican Republic is near the mean for the percentage of children that finish primary education, but it is way below the level of other medium-low income countries' expenditures on primary education. The country also falls short in the percentage of immunizations and money spent on public health. The ambassador looked at other economic aspects and summed up by saying that it would be convenient for the DR to get into the MCC.
United States Ambassador Hans H. Hertell's speech to the American Chamber of Commerce in Santo Domingo has stirred up some interesting comments in the press. Hoy newspaper emphasized his views on the Dominican entry into the DR-CAFTA arrangement, and cited his comments on drugs, impunity and lack of transparency. The Listin Diario focused on Hertell's comments on the Metro and the government's decision to eliminate the 2% tax on imports for the 1.5% tax on anticipated sales. On the other hand, Diario Libre says that "Hertell goes after everything, including the Metro." The article goes on to mention the main areas that the ambassador feels are going wrong in the Dominican Republic. El Caribe did not cover the speech.
Although there is a commercial relationship that has reached US$248 million, without diplomatic relations, the Dominican Republic is losing out on further investments from mainland China. The director for Latin America and the Caribbean for the Chinese Ministry of Foreign Relations, Zeng Gang told reporters from Diario Libre that if China and the DR had diplomatic relations, there would be a much different sort of Chinese investment in the country, "not the motels, restaurants and nail salons that exist now." According to Zeng, without diplomatic relations there is no legal guarantee for investments made by the Chinese in the Dominican Republic and therefore investors go where there is more security. So far, there are over 300 Chinese companies installed throughout Latin America, but none in the Dominican Republic. Zeng Gang pointed out that if President Fernandez were to visit China, he would not be received with the customary honors accorded to a head of state, and he would be shuffled off to some minor officials of the Institute for the Chinese People's Foreign Affairs, a civilian organization. In a most unusual statement, the Chinese diplomat said that now is a historical moment for the Dominican Republic to begin diplomatic relations with China, and he quoted the Chinese proverb, "The opportunity that is not taken, is lost." Trade between the DR and China reached US$248 million in 2004 and so far in 2005 there has been US$160 million worth of business. The Dominican Republic buys car parts, machinery, construction materials, appliances, porcelain, textile products and shoes. The DR exports tobacco, coffee, sugar and scrap metals to China.
The IMF team that recently visited the country considers that the Dominican economic perspectives are positive. Guy Meredith, the chief of the mission, said that "recent events of economic activity and of the financial markets point towards a continuation of healthy macroeconomic policies." El Caribe, citing a press note from the EFE new agency, reports that the DR has fulfilled the goals for September 2005, as well as the application of structural reforms just as they were set out. The rest of the year has positive prospects, according to Meredith. The IMF team was in the country to discuss the budget process for 2006. Besides the budget requirements for 2006, the IMF also voiced its worries about the electricity sector.
The president of the National Council of Private Business (CONEP), Elena Viyella de Paliza, voiced yet another variant for the tax reform proposal. According to Viyella de Paliza, the proposed 1.5% tax should be applied to net sales, not gross sales - as proposed by the Executive Branch yesterday. At yesterday's session of the Chamber of Deputies and the Finance Commission the tax reform proposal was tabled and left for further discussion and a possible slot in today's agenda. The surprise move by the government, that requested a 1.5% tax on anticipated gross sales met with heated discussion yesterday. Alfredo Pacheco, the Chamber president, suggested that the entire process of debate over the tax package be tabled, and this was approved by the deputies. According to reports from the Chamber, the deputies need to study the effects of such a proposal on the small and medium business community before they can approve such a measure.
The Department for the Prevention of Corruption is looking for RD$2.0 billion in bonds used by the CDEEE. They are also looking at overpriced military hardware. DEPRECO chief Octavio Lister told Diario Libre reporters that his prosecutors are investigating a RD$12 million purchase of munitions for the National Police. They are currently studying the files and have yet to begin questioning people. However, the CDEEE case is so complex that he and his assistant director are handling the case personally. The irregular purchase of some helicopters is also on the DEPRECO agenda. This involves a supposed US$12 million dollar purchase that ended up costing US$67 million.
The Chief Justice of the Supreme Court of the Dominican Republic will no longer conduct personal interviews and all his communications will henceforth be via press releases. According to Listin Diario, this measure is aimed at avoiding confusion and misunderstandings that occur when making off the cuff comments to journalists. Rosa Cuello, the press official for the Supreme Court, told reporters that from now on, "...the president of the Supreme Court will not offer statements except through press releases or written communication." The decision comes after he recently announced that the entire court would meet in January, after the celebrations surrounding the Day of the Justice System, and discuss the possible replacement of judge Pedro Romero Confesor. Romero Confesor has reached the age of 75 and the Foundation for Institutionality and Justice (FINJUS) has called for his retirement. Some newspapermen and women felt that Subero Isa should not have mentioned this, and other commentators said that the Chief Justice was just trying to implement the law, which says that the judges should retire at 70. Subero Isa emphasized that he fully appreciated and understood the men and women of the press, but he wished to avoid such controversies in the future.
Jose Alfredo Rizek, the head of the Dominican Telecommunications Institute (INDOTEL), said that the 1,387 kilos of cocaine involved in the case against Quirino Paulino Castillo were discovered by DNCD agents thanks to phone taps authorized by magistrate's warrants. He emphasized that the big cases that have received plenty of publicity were successful only as a result of legal phone taps. Rizek, speaking to reporters from El Caribe, pointed out that coordinated efforts between the DNCD, the National Department of Investigation (DNI) and INDOTEL permit such legal intercepts of phone communications. In each case INDOTEL officials need to obtain a judge's warrant as required by Supreme Court Resolution #2043-2003. Rizek described recent complaints from some politicians as "shameless", adding that, "When these same people get into office they do what they are decrying now".
The Pontifical Catholic University "Madre y Maestra" recently celebrated its forty-third anniversary, and the rector, Monsignor Agripino Nunez Collado, reaffirmed the academic institution's basic principles: "Students are the reason for the university's existence."
With each passing year the PUCMM is increasing the number of international students in its classrooms, where they partake of over 100 different academic programs. Of these programs, 65% are special courses, usually in-service training, Masters degrees or Doctorate programs. Thirty five percent of the courses offered are for undergraduate programs.
Currently there are more than 1,500 students from Haiti, over 600 from the United States and dozens more from Colombia, Venezuela, Puerto Rico, Switzerland, Costa Rica, Chile, Guatemala, China, Australia and Nicaragua. There are professors from 20 different countries. In the search for continual improvement, there are 165 faculty members doing graduate work at the Masters or Doctoral level.
One of the most important statements made by Monsignor Nunez Collado was in reference to the financial aid offered to all qualified students. As part of the university' s basic creed, the university is open to all qualified students without regard to race, color or religion. To allow this to be a reality in the Dominican society, the university offers student credit facilities. The rector rejected the idea of scholarships as "paternalistic" but he cited the 94% return rate on the student loans that are offered. During the current semester there are RD$40 million in student loans.
The mess was such that within the rank and file of the National Police, company captains would forge memos and assign as many as 30 police officers to high-ranking officers. Under the law that governs the National Police, major generals are assigned 15 officers, generals are assigned 10, colonels get three, and majors have just one agent at their beck and call. All told, according to the Hoy newspaper, this would total just 1,644 members of the police force. Even so, there are hundreds more assigned to the service of retired police chiefs, and other retired generals and colonels. These irregularities were discovered during an audit of the personnel ordered by current Police chief Bernardo Santana Paez. The audit found 400 police assigned to high-ranking officers in a highly irregular manner. However, the mess goes beyond mere over-assignments. In many cases, the high-ranking officers didn't know that they were "supposed" to have so many police assigned to them. Apparently, according to the paper, the real culprits were those captains and sergeants who "assigned" personnel to service with some general but, in reality, used the men in different jobs.
The Dominican Shriners and the Consular Corps are hosting an important concert to benefit the work done by the Shriners organization. The concert will be held at 8:30 this evening at the Eduardo Brito Hall, in Santo Domingo's National Theater. This gala concert will feature the National Symphony Orchestra under the direction of Maestro Alvaro Manzano, and will present the noted cellist Zuill Bailey as featured soloist. The Shriners are a well-known philanthropic organization that dedicates its efforts to children around the world, especially those with surgical or rehabilitation needs. With headquarters in the United States, the Shriners Hospitals are famous for their work with children, where treatment is free for the needy. Tonight's featured soloist, Zuill Bailey is considered to be one of the most prolific of today's great cellists; he has performed all over the world, especially in music festivals at Wolf Trap, the Kravis Center, the Bard Music Festival, and at the Des Moines Civic Center, Alice Tully Hall and the Kennedy Center.
Conductor Alvaro Manzano is the first Ecuadorian musician to receive the title of Maestro Summa cum Laude from the Tchaikovsky Superior Institute in Moscow. He is a well-known teacher, promoter, lecturer and music critic. He has composed works such as the "Introduction and Fugue on an Andean Theme" and "Sakura, symphonic variations on a Japanese Theme". Manzano was the director of the Ecuadorian National Symphony Orchestra for 16 years. Tickets are available at the National Theater and at the Centro de Otorrinolaringologia y Especialidades on Av. 27 de Febrero in Santo Domingo.
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