Republican Mitt Romney 'to release tax returns'
US Republican presidential hopeful Mitt Romney has said he will release recent tax returns on Tuesday.
Mr Romney, the early favourite in primary elections, appeared embarrassed during the South Carolina campaign by the issue of how much tax he paid.
Last week he said he in effect paid 15%, less than most working Americans.
Newt Gingrich won the South Carolina primary on Saturday by an unexpectedly wide margin, beating the former Massachusetts governor by 40% to 28%.
The candidate winning South Carolina has gone on to win the Republican nomination in each election since 1980.
Two other candidates, Rick Santorum and Ron Paul, polled 18% and 13% respectively.
'Full fair taxes'
Speaking on Fox News Sunday, Mr Romney said the question of tax had become a distraction for his campaign, and he wanted to re-focus on the main issues.
"I will release my tax returns for 2010, which is the last returns which were completed, on Tuesday of this week," he said.
"And I will also release at the same time an estimate for 2011 tax returns."
"I know people will try and find something, but we pay full fair taxes and I'm sure people will find it's a substantial amount," he added.
Correspondents say Mr Romney has campaigned on the strength of his success as an entrepreneur, but as a wealthy patrician figure he is regarded negatively by some conservatives.
He is a multi-millionaire with three homes and lives mainly on income from his investments, for which only 15% tax is payable.
He has been criticised for describing payments totalling $373,000 (£240,000) in a year for paid speeches as "not very much" money.
Mr Romney had led the Republican field since November and appeared to have won the first two contests of the campaign, in Iowa and New Hampshire.
But the Iowa caucus result was overturned in a recount which gave a narrow victory to Mr Santorum.
IMF's Lagarde joins in warning on austerity and growth
The heads of the IMF and World Bank have joined other influential figures in calling on countries to implement free trade, reform their economies and protect economic growth.
They warned that austerity programmes should "promote rather than reduce prospects for growth".
The warning came in a "call to action" in the run-up to the World Economic Forum in the Swiss resort of Davos.
Leaders warned the world faced slowing growth and rising unemployment.
They also called for world leaders to take action to tackle inequality.
The signatories included:
- Mark Carney, chairman of the Financial Stability Board,
- World Health Organization boss Margaret Chan,
- OECD secretary general Angel Gurria,
- World Trade Organization director general Pascal Lamy,
- International Monetary Fund head Christine Lagarde,
- World Bank president Robert Zoellick,
- and the leaders of the International Labour Organization, World Food Programme and three regional development banks.
Inequality warning
However, the signatories, who sit on the World Economic Forum's Global Issues Group, said their statement did not necessarily reflect the views of their organisations.
In the short term, the statement said, leaders should remove trade barriers, provide capital to the banking system, make government finances more sustainable and focus on youth and long-term unemployment.
However, they warned that "fiscal consolidation" programmes should be applied in a "socially responsible" manner, in order to promote growth and employment.
In the longer term, the statement called for action on labour market reforms to boost employment, inequality and green growth.
"Rising inequality calls for heightened consideration of more inclusive models of growth. We must deliver tangible improvements in material living standards and greater social cohesion," it said.
Caribbean ally invites President Ma to visit region
The leader of one of Taiwan’s allies in the Caribbean Community (CARICOM) has invited President Ma Ying-jeou to visit the region in the wake of Ma’s re-election on Jan. 14.
St. Vincent and the Grenadines Prime Minister Ralph Gonsalves said last week that he had sent a letter of invitation to Ma and had also congratulated him on his election to a second four-year term.
“I want to congratulate my friend President Ma on his very comfortable victory at the polls … and also a return to a parliamentary majority of the Kuomintang,” Gonsalves said in media briefing in his country.
“The opposition (Democratic Progressive Party) did very well and Taiwan has a robust and vibrant multiparty system. We share that in common,” Gonsalves said.
The prime minister said that Ma, in his first four years in office, showed commitment to strengthening relations between Taiwan and St. Vincent and the Grenadines.
“… And we have reciprocated,” Gonsalves said, adding that he was looking forward to working with the Taiwan president over the next four years.
Noting that Taiwan has diplomatic ties with four other CARICOM countries — Belize, St. Kitts and Nevis, St. Lucia, and Haiti — Gonsalves said Ma should give thought to visiting the Caribbean allies soon.
The Dominican Republic, a non-CARICOM state, is also one of Taiwan’s diplomatic allies in the region.
“I have asked him (Ma) to consider visiting us in this term in office, sooner rather than later, because the sooner he gets to it the better,” Gonsalves said. “It would be a wonderful thing, certainly, for him to come and visit us.”
Former President Chen Shui-bian visited St. Vincent and the Grenadines and some of Taiwan’s other Caribbean allies in 2005.
“It may be not a bad time, seven years thereafter, for us to have a visit (by Taiwan’s leader),” Gonsalves said. “Of course, the president is very busy and he probably has his schedule worked out for the year already, but I have extended an invitation to him.”
Gingrich Wins South Carolina Presidential Primary
Former U.S. congressman Newt Gingrich has won the Republican presidential primary in the southeastern state of South Carolina, shaking up the party's campaign to find a candidate for this year's presidential election.
With more than 95 percent of the precincts reporting, vote tallies showed Gingrich with about 40 percent of the vote. Former Massachusetts governor Mitt Romney trailed in second with about 28 percent.
Gingrich touted his victory with an apparent jab at Romney, who has faced criticism from his rivals over his wealth.
“We don't have the kind of money at least one of the candidates has. But we do have ideas, and we do have people. And we proved here in South Carolina that people power with the right ideas beats big money, and with your help, we are going to prove it again in Florida.”
Just a week ago, Romney was expected to win easily, but his campaign was hard hit by attacks over his career as a venture capitalist.
After the initial results emerged Saturday, Romney hit back, criticizing both President Barack Obama and Romney's Republican rivals.
“Our president has divided the nation, engaged in class warfare, and attacked the free enterprise system that has made America the economic envy of the world. We cannot defeat that president with a candidate who has joined in that very assault on free enterprise. (applause). When my opponents attack success and free enterprise, they are not only attacking me, they are attacking every person who dreams of a better future.”
In third in the South Carolina vote was former U.S. senator from Pennsylvania, Rick Santorum, with U.S. Congressman Ron Paul of Texas in fourth.
Paul said he expects to end up with four to five times more votes in South Carolina this year than in the 2008 race. He said his cause of liberty is getting more attention now because of current conditions.
“Well the evidence has become clear that the efforts by government are failing, and we can't depend on the government to take care of us from cradle to grave, we can't depend on the government, on its efforts to promote, and to believe that we can police the world, and go in and nation-build, because we're all going broke.”
Gingrich's upset victory means that all three of the election events held so far have had different winners. Romney won the New Hampshire primary last week, and Santorum won the Iowa caucuses on January 3.
Santorum made note of the volatility in his speech Saturday night.
“Well, three states, three winners, what a great country!”
The battle will continue to be hard fought in the next primary state – Florida. Republicans there will vote on January 31.
Nigeria violence: Scores dead after Kano blasts
Co-ordinated attacks by Islamist militants in the northern Nigerian city of Kano on Friday killed about 150 people, witnesses and reports say.
Hospitals are struggling to deal with the numbers of killed and injured.
A series of explosions ripped apart police buildings, passport offices and immigration centres around the city, which is now under a 24-hour curfew.
Boko Haram militants said they carried out the attacks, which would be their bloodiest assault to date.
The group has said it wants to overthrow the national government and install an Islamic state.
Its members have frequently attacked police stations and other symbols of state power, but the group has also bombed churches and killed hundreds of people - including many Muslim and Christian civilians.
President Goodluck Jonathan promised that the perpetrators would "face the full wrath of the law".
"As a responsible government, we will not fold our hands and watch enemies of democracy, for that is what these mindless killers are, perpetrate unprecedented evil in our land,'' he said.
Wave of attacks
On Saturday in Kano, a city of nine million people, most of them Muslims, Red Cross teams have been collecting bodies from the streets and taking them to mortuaries.
A BBC reporter in Kano said he had counted 150 bodies in the mortuary of the city's main hospital.
A medical official told the AP news agency that 143 people had been killed, and another official told AFP that 162 bodies had been counted.
Boko Haram, which loosely translates from the local Hausa language as "Western education is forbidden", has been behind a string of attacks in recent years.
The group wants Islamic law across Nigeria, whose population is split between the largely Muslim north, and the south where Christianity and traditional beliefs predominate.
It first hit the headlines in 2009 when a spate of attacks by its followers on police and government buildings in the city of Maiduguri led to a crackdown in which hundreds died.
More recently, the group has launched bomb attacks on churches, drive-by shootings on government targets and other attacks across northern Nigeria, killing scores and forcing many more to flee.
But the Kano attacks appear to be the group's most deadly co-ordinated assault.
The police said in a statement that four police stations around the city, the headquarters of the State Security Service (SSS), as well as passport and immigration offices had been targeted.
There was also a shoot-out at the headquarters of the state police in the city's eastern district of Bompai, reports said.
A local man, Andrew Samuel, described the scene of one blast: "I was on the roadside and I just heard a 'boom'. As I came back, I saw the building of the police headquarters crashing down and I ran for my life."
Witnesses said the bomber who attacked one of the police stations pulled up outside the building on a motorbike, dismounted and ran inside holding a bag.
Some unconfirmed reports have claimed suicide bombers carried out some of the attacks.
The BBC's Mark Doyle, in Kano, says he has seen one police station with its roof completely burnt off, though it was not clear whether this was caused directly by an explosion or by fire.
He says the atmosphere is nervous, and a large crowd outside the police station quickly dispersed when soldiers arrived.
Nigeria's Channels TV said in a statement that one of its reporters, Enenche Akogwu, had been killed in the attacks .
It said he had been "shot by unknown gunmen suspected to be members of the Boko Haram sect", outside the state government house.
The wounded were reported to include foreigners from an area near the SSS headquarters, which is home to many expatriates, particularly Lebanese and Indians.
A Boko Haram spokesman, Abul Qaqa, told journalists that it had carried out the attacks because the authorities had refused to release group members arrested in Kano.
British Foreign Secretary William Hague said he was "shocked and appalled" by the attacks.
Gbagbo Supporters Attacked at Ivory Coast Rally
Dozens of supporters of former Ivory Coast President Laurent Gbagbo have been attacked and injured during a rally in Abidjan.
Saturday's rally by the Ivorian Popular Front ended in disarray after opponents began throwing stones.
Gbagbo loyalists tried to fight back. Police fired tear gas to break up the confrontation. United Nations troops were called in to secure the area.
Mr. Gbagbo refused to leave office after losing the November 2010 election to Alassane Ouattara. The stand-off between the rival sides triggered battles that left several thousand people dead. Forces supporting President Ouattara eventually captured Mr. Gbagbo and placed him under house arrest.
In November, he was transferred to The Hague where he is awaiting trial for crimes against humanity by his army after his election defeat.
Human rights groups have also accused pro-Ouattara forces of abuses following the election.
Obama Promises New ‘Economic Blueprint’ in State of the Union Address
President Barack Obama has offered a brief glimpse into his State of the Union address next week, when he says he will announce a new “economic blueprint” intended to benefit all Americans.
In a video message to his political supporters, Mr. Obama said his plan will help the manufacturing and energy sectors of the nation's economy, as well as education, job training and what he called “a return to family values.”
The president delivers his annual State of the Union address next Tuesday to the entire Congress, which would debate and vote on his legislative proposals later. Mr. Obama said the lawmakers could go in either of two directions – toward an economy with “less opportunity and less fairness,” or a system “that works for everyone, not just a wealthy few.”
Public-opinion surveys have shown Americans are divided in their feelings about Mr. Obama's overall job performance and his efforts to boost a troubled economy.
The president blames Republican political leaders for obstructing his efforts to create bipartisan solutions. Members of the opposition party contend Mr. Obama's own policies are responsible for the current state of affairs.
In addition to his message to supporters on Saturday, Mr. Obama also discussed the need for a detailed economic improvement plan during his weekly address to the nation, broadcast earlier the same day.
In the Republican Party's response to the president's weekly message, Congressman Jeb Hensarling of Texas said that Mr. Obama's policies have failed the American people. He pointed to what he said was the administration's inability to sharply reduce the high national unemployment rate, or fuel prices, and the serious national debt problems since Mr. Obama took office three years ago.
Saturday's exchanges on the economy also had a strong political dimension, since Mr. Obama will be running for re-election in a little more than nine months' time, against a Republican candidate who has not yet been chosen. Hensarling also criticized the recent White House decision to put off indefinitely a proposed natural-gas pipeline through the United States from Canada to the Gulf of Mexico – a project that Republicans contend would have created 20,000 new jobs.
In his weekly address the president also urged Congress and the American public to back a new initiative to boost tourism, and added that this, too, would generate new jobs for Americans.
Mr. Obama said he wants to make it easier for visitors to come to America and spend their money there. He is proposing accelerated screening processes at airports for frequent travelers, quicker action on visa applications from countries with growing middle-class populations, such as China and Brazil, and an expansion of the number of countries where prospective visitors can qualify for pre-clearance into the United States by the Department of Homeland Security Department.
Governor's Office Paper ON TCI MILESTONES
The Milestones on the Way to Elections
The 2009 Commission of Inquiry (CoI) report identified a high probability of systematic corruption in the Turks & Caicos Islands (TCI) elected government and others. The Inquiry also found
a serious deterioration in the systems of governance, public financial management and control of expenditure. The inquiry report set out a number of recommendations including twenty-six
with respect to addressing systematic weaknesses in the past administration of the country. So serious were the findings that British ministers took the view the only practical option was to
suspend parts of the TCI Constitution for an interim period, the effect of which was to suspend ministerial government and the Legislative Assembly. This suspension created a breathing space
to undertake the necessary reforms with the aim of avoiding the prospect of such a situation returning in the future.
Importance of the Milestones
The milestones were set out by the FCO minister Henry Bellingham and DFID minister Alan Duncan in a joint Written Ministerial Statement to the UK Parliament on 9th December 2010.
They built upon but do not replace the CoI recommendations. They are a summary of the principal legal and administrative changes and safeguards to be put in place in TCI before
elections can be held. Collectively, they are designed to restore the principles of good governance, sound financial management and sustainable economic development by providing a future
elected administration with a new Constitution, an updated set of laws, restored public finances, robust financial procedures and an improved, supportive and impartial public service with a
renewed sense of purpose to serve the citizens of the TCI.
Support has been provided by the UK, the EU and Canada. These investments are as guarantor for TCI's national debt repayments; the stabilisation of the territory's economy; the reform of the
civil service; the provision of specialist assistance to modernise government services; and the preparation of new legislation. New elections are the end point for the milestones but not the end
of UK and international expectations for sustained high standards in good governance and sound financial discipline.
There are eight milestones to be delivered, each one an integral part of a modernised administration. Four have a distinct end product (Milestones 1, 2, 5 and 7), which once delivered and put
into operation can be regarded as completed. The remaining four represent changes to the status quo and set a clear direction ahead (Milestones 3, 4, 6 and 8). With these, judgement is required
on when sufficient change has occurred to give confidence the problems of the past have been overcome and a robust and sustainable situation has been achieved. During 2012 progress reports
will be prepared by the Governor and submitted to UK FCO ministers. In turn, they will inform the UK Parliament when they assess the milestones have been met and the Foreign Secretary will
authorise the Governor to put the new Constitution into effect.
End Products
Milestone 1 – Implementation of a new TCI Constitution Order, in support of recommendations of the Commission of Inquiry, which underpins good governance and sound public financial
management During 2010 and the first half of this year there was an extensive series of consultations on the scope and substance of the new Constitution. This work culminated in discussions
between a TCI delegation, which included members of the political parties and civil society, and ministers in London. The Order in Council containing the draft Constitution was subsequently laid
before the Privy Council in London in July 2011. The new Constitution will be put into force when UK ministers judge, having considered the information available, that the time is right for elections
and election preparations are completed. The preparations necessary were announced in October and four principal tasks were identified: the drafting of two elections related ordinances is well
under way; and following the national census planned to commence on 25th January, an Electoral Boundaries Commission (EBC) will define ten new assembly constituencies during the Spring;
and a new Register of Voters will be compiled during the Summer. These measures are expected to take up to September 2012 this year to complete and have been estimated on the basis
the preliminary census data is available in April. When the new Constitution comes into force a general election is required to be held within thirty days. To avoid any unnecessary delay in the
preparations for elections an opportunity arose when legislative drafter became available in the UK in November last year to prepare an Order in Council to lay before the Privy Council.
This Order reproduces the text of the new Constitution that describes and authorises the Governor to form an EBC when appropriate.
Milestone 2 – Introduction of a number of new ordinances, including those making provision for: i) the electoral process and regulation of political parties; ii) integrity and accountability in public life;
iii) public
financial management
The Commission of Inquiry identified several deficiencies in the laws of the TCI and the interim administration subsequently found others needed to be revised. Over the past two years a large
programme of detailed, specialised work to draft new ordinances has been under way and the pace of preparation is accelerating. This work is led by staff in the AG's Chambers, with additional
legal drafting expertise funded by the FCO and the European Union. Six ordinances are being prepared by FCO funded experts including bills on public financial management, elections,
consolidation of criminal offences and criminal procedures. EU specialists are drafting a further set on a broad range of other aspects of TCIG business. A Green Paper describing the EU work
should be available in February. Focussing on the named ordinances in this milestone, a revised Elections Ordinance and a Public Financial Management bill are expected to be ready for
consultation in February 2012 and the first draft of another on the conduct of political parties and standards in public life by March.
A draft of a revised Integrity Commission Ordinance from the EU team should be ready soon, which will strengthen the scope of its investigatory powers.
Milestone 5 – Implementation of a transparent and fair process for acquisition of Turks & Caicos Islander status A new pathway to Turks & Caicos Islander status has to be agreed and
supporting legislation put in place to establish a robust infrastructure to deliver fair and transparent decisions in each case. The Consultative Forum launched a nationwide consultation on the
options for the new pathway to Turks and Caicos Islander status, including the criteria for PRC, in November. The consultation process will finish on 17 February 2012. In light of the comments
received, draft legislation will be finalised and the necessary organisational, policies, procedures and working practices will be set up. The target for this is the first half of 2012. In support of a fair
and transparent process for acquisition of Turks and Caicos Islander status, the Ministry of Border Control and Labour is already taking forward a comprehensive change programme,
addressing all aspects of border control, migration, employment services, enforcement and compliance, permanent status and citizenship and civil registration services. In its first year, this
programme is delivering an overhaul of visa issuing arrangements; enhanced border enforcement, including a coastal radar station; improved compliance activity; improved employment services;
and clearance of the backlog of PRC applications. The backlog of naturalisation applications is now being tackled.
Milestone 7 – Implementation of a new Crown land policy
Crown land is the largest asset managed by the government on behalf of all in TCI. Its misappropriation through questionable land allocations, under-reporting of land values and the avoidance
of stamp duty and other charges were at the heart of the corrupt practices described in the CoI report. In an open and transparent government these practices would not be tolerated.
Fundamental flaws in the former Crown land policy meant it had to be changed. After extensive consultations and drawing on experience from other jurisdictions, a new Crown land policy was
prepared and widely reviewed during 2011. This new policy was published in October and is now adopted. It has been accompanied by major operational changes: a wide-ranging reorganisation
of the Land Registry, Valuation Office, surveying and related functions under a Lands Commissioner reporting to the Attorney General; an extensive exercise over two years to establish
the location of the remaining Crown land and Protected Areas; the creation of a computerised land database; appointment of an new Land Registrar and the issuing of an updated Register of Land
Allocations. Data shows the excesses of the past have left only 23% of the usable land across TCI remains as Crown land. In some places, such as Grand Turk, almost no land remains in Crown
ownership except for public areas, roadways and salinas.
To implement the policy a new Crown Land Ordinance is being drafted and is intended to be available for public review in February. After approval, citizens will be able to apply once again, subject
to strict criteria, for new land allocations and direct ministerial control over the distribution of Crown land will cease.
Changes to the Status Quo
Milestone 3 – Establishment of robust and transparent public financial management processes to provide a stable economic environment and a strengthening of the TCI Government's capacity
to manage its public finances
New financial control procedures and upgrading of financial management skills in the Ministry of Finance are being implemented during 2012. Weak control and accountability of public finances
characterised the way things were done in the recent past. This created an environment for past administrations to run rough shod over the proper procedures to prevent the misappropriation of
funds and resources. Prior to the suspension of the Constitution the failure of organised accounting left large numbers of government bills unpaid, a breakdown in revenue-raising functions,
over-optimistic budgeted spending and a set of financial controls with little practical ability to control unofficial or dubious financial practices. Considerable external support has been provided to
the Ministry of Finance over the last two years by the UK to clear a considerable backlog of unpaid invoices, restore order to public finances and help build a new set of financial management
processes. Equally important, is the development of a cadre of trained and financially-knowledgeable civil servants. Significant progress has been made but there are still gaps in capability to fill.
Robust controls and accurate of payroll records and bill paying have been established and revenue collection and approval of all expenditure over $5000 has been centralised. More rigorous and
realistic budgeting has been introduced, with more regular oversight of departmental budgets, including quarterly expenditure forecast updates and weekly cash flow positions, and corrective
interventions taken if expenditures become too high or fail to be controlled. Reports on the state of public finances are being published quarterly. Financial statements have been produced for
three of the last four years. Work on this milestone continues with the emphasis moving to building long-term sustainability by increasing delegated financial responsibility to managers.
This will be supplemented by strengthening internal audit capabilities, training more civil servants in financial management and setting stronger rules on financial administration and contract
management. New rules when prepared on financial management defined in the forthcoming Public Financial Management Bill (included in milestone 2) will be applied to all civil servants
involved with the handling and disbursement of public money.
Milestone 4 – Implementation of budget measures to put the TCI Government on track to achieve a fiscal surplus in the financial year ending March 2013
This is the toughest milestone to fulfil given the starting point in 2009 of an inherited debt, unfunded liabilities and uncontrolled spending. This position when combined with the impact of a
global economic downturn resulted in the near collapse of the TCI economy. To achieve a budget surplus requires balancing reductions in public expenditure with maintaining vital government
services, as well as increasing revenues and their collection whilst being realistic about what taxes can be introduced and are possible to collect. It also requires steps to balance the wider
economic need to encourage entrepreneurs to develop new businesses and create employment whilst ensuring any government incentives are affordable for TCI. There is no single formula
to define this balancing feat.
Unexpected local demands (e.g. a major unplanned expenditure or shortfall in income) or international events (e.g. an oil price rise or drop a tourist numbers due to currency devaluation) can
change the assumptions that make up a budget. Consequently, the balance between cost control, taxation measures and economic expansion has to be monitored closely.
The Ministry of Finance has undergone extensive changes during the past two years and together with the other ministries have been instrumental in reducing expenditure on the civil service
from $82.7m (2009/10) to $66.5m in 2011/12. The forecasted budget deficit for 2011/12 at $26.8m will be larger than predicted at the start of the financial year though well below the $70.7m deficit
in 2010/11. The new forecast has been reported publicly before Christmas and is due to various one-off causes including unexpected additional costs from the discovery of more old, unpaid bills,
under-recovery in revenue to pay for the expensive health contract and a slower than planned speed in restructuring the civil service for the future. Remedial actions have been taken on these issues.
New revenue-raising measures have been introduced during 2011 and the interim administration understands and regrets profoundly these increases in the cost of living for citizens.
It is perhaps small comfort to note the general tax burden (as a percentage of income) remains similar to other countries in the region. The longer term challenge for future
elected TCI administrations is not purely the level of taxation but the need to address the Territory’s narrow and regressive tax base. There is a heavy dependence on indirect taxes and revenue
from one of the most important, customs duties, is heavily influenced by the unstable level of activity in the construction sector. A move to direct income and property taxation would shift a higher
proportion of the tax burden to the more prosperous citizens and businesses and away from lower paid people. At present, indirect taxation results in poorer citizens paying a higher proportion
of their income in taxes.
Some of the tax measures introduced are temporary and designed to contribute immediately to improving public finances. They are planned to end when value added tax (VAT) is introduced in
March 2013, whose purpose is to give TCIG a more stable and sustainable source of revenue. Further public finance measures are scheduled during 2012: e.g. continuing scrutiny of areas of
high cost – health, tertiary education, building leases, statutory bodies; implement priority capital investments; continued quarterly reporting on the state of public finances; value for money reviews
of major public contracts; economic comparisons between public and private sector delivery of some services; asset sales; implementation of new ordinances on audit, financial management and
procurement; a new strong economic planning team; and a new medium term economic plan.
Milestone 6 – Significant progress with the civil and criminal process recommended by the Commission of Inquiry, and implementation of measures to enable these to continue unimpeded
Clear achievements, with more expected, have already been made by the civil recovery programme with twenty-nine separate recoveries of Crown land and cash.
The aim is to maximise the return of misappropriated land back into public ownership and recover damages where they are due to compensate TCIG for its losses. Over the past eighteen months
the team has been progressing dozens of cases and has already had several successful outcomes from court proceedings. Many others have been settled out of court. Publicised cases include
land and payments related to the Emerald Cay and Joe Grant Cay developments. A substantial number of cases are still in progress and most should be resolved either in or out of court during
the next year, although some may take longer, particularly if there are appeals which have to be dealt with. To date, over 900 acres of land have been recovered with a book value of many millions of dollars. The
potential for further recoveries of land and payments for the benefit of TCI remains high.
The SIPT was confronted by a large volume of information to pursue about possible criminal activity involving many individuals. Understanding the extent of corrupt practices that defrauded the
government and TCI citizens and gathering evidence to the standard required for criminal cases, has taken nearly eighteen months. Individuals have been charged and other
investigations are at an advanced stage. Subsequently, the progress of future trials is a judicial matter, largely dependent on factors outside the control of the prosecution. It is not possible to
predict when the trials will be completed although matters are progressing and sufficiency hearings are scheduled in Grand Turk for early February 2012. It is important to note the Governor
and TCIG have no power to influence the judicial process. Looking ahead, safeguards have been placed into the new Constitution to ensure the civil and criminal cases currently under way
will continue after the future planned election.
Milestone 8 – Substantial progress in the reform of the Public Service
This milestone requires the demonstration of impartial decision-making, reductions in the size of public service, number and structure of ministries and improvements in the volume and quality
of services delivered. These are daunting changes to introduce but they are no different to similar ones taking place in other countries. The vision for a modern TCI public service is to have a
smaller, innovative and responsive set of ministries, with motivated staff preparing well reasoned policies and delivering government services in a friendly, transparent and speedy manner
using both public and contracted providers. A civil service where management skills are valued; continuous improvement is welcomed; promotion opportunities are based on merit not
patronage; and strong personal performance is properly measured and rewarded. In the coming months as the pace of change accelerates with a new Permanent Secretary leadership team,
simplified ministries and better ways of working, a sustained shift in TCIG's performance is achievable. Reform and change in a modern public service is a continual process of renewal and
improvement.
Nevertheless, significant progress should be seen over the next twelve months if the present momentum is sustained. This change will be driven by the selection of five, new high quality
Permanent Secretaries in January.
In September the interim administration began a series of wide-ranging changes. Recent announcements include: the merger of existing ministries into five larger and more integrated ones;
reducing the public service workforce by 300 to 400 commencing with a voluntary severance scheme; introducing changes in working methods to focus on the efficient delivery
of government services; and an open and fair competition to select a new generation of permanent secretaries with an emphasis on leadership, strategy and financial management capabilities.
In the near future, other posts will be advertised through open competition, a new transparent approach to recording senior staff remuneration and interests will be initiated, a strengthened
Integrity Commission will investigate malpractice, General Orders will be revised and simplified and legally enforceable codes of conduct on public servants and future ministers will
be administered by the Public Service Commission. In parallel, reforms to several statutory bodies, police, emergency services and prison service are also under way.
Collaborative Effort
Considerable progress has been achieved since August 2009 in response to the CoI recommendations and the milestones. This has been a collaborative effort with considerable input, advice
and support provided to the interim administration by the Advisory Council, the Consultative Forum, stakeholder groups and the public in numerous consultations, as well as from constructive
media debate. It is an effort that has been underpinned by the hard work of many in the public sector in the TCI who, like public sector workers in numerous other countries, have had to help
bring about considerable reforms against a backdrop of some uncertainty about their own future roles.
Inevitably, on occasions, there have been differences of opinion. This is to be expected and is a normal part of a mature and constructive dialogue between an administration, its advisers,
stakeholders and the community.
What remains important is a continued commitment and determination by all to meet the challenges that remain to fulfil the requirements of the milestones and achieve lasting reforms for the
good of the Turks and Caicos Islands. The work will continue to be advanced as a partnership.
Governor's Pledge
The Governor is actively involved in overseeing the progression towards concluding each milestone. To this end, and to inform everyone of the progress being made towards restoring to the TCI
a locally-elected government, every quarter during 2012 the Governor will publish a 'progress summary' and meet with communities on each island. This summary will provide an updated
assessment on what has been done and what remains to be fulfilled to deliver each milestone.
MILESTONES ON THE WAY TO ELECTIONS
His Excellency Governor Ric Todd on Thursday, 19th Jan 2012, published the first of a series of quarterly reports outlining progress against the milestones. These are a summary of the principal
legal and administrative changes and safeguards to be put in place before elections can be held in TCI.
Collectively the milestones are designed to restores the principles of good governance, sound financial management and sustainable economic development to the TCI. To assist understanding of progress, The Governor has grouped the milestones into two distinct sets. In the first, milestones 1, 2, 5 and 7, all have distinct end products: implementation of a new
Constitution order; ordinances for the regulation of political parties, integrity and accountability in public life; a new process for achieving Belonger status; a new Crown Land Policy.
The report details the significant progress made against all of these. The remaining four, milestones 3, 4, 6 and 8, represent changes to the way things were previously done and set out processes
for developing continuous improvement in civic life in TCI. With these judgements required of UK Ministers as to when sufficient change has occurred to give confidence that the problems of the
past have been overcome. These milestones include the establishment of robust and transparent public financial management processes; the creation of a stable economic environment; the
TCI Government being on track towards achieving a financial surplus by March 2013; significant progress of the criminal and civil processes recommended by the Commission of Inquiry; substantial reform of the public Service. Again, the report details the good progress made. “The achievements made against the milestones so far is the result of a real team effort across the Territory,” said Governor Todd. “I believe that we are going in the right direction.
Ministers made clear in Parliament earlier this week that elections will be held this year if the milestones are met.” “In particular, I must thank the Advisory Council, Consultative Forum, other stakeholders such as civil servants, citizens and the Islands’ media for their part in delivering key activities and stimulating
public consultation and debate. What remains important is our joint and continued commitment and determination to meet the milestones and achieve lasting positive reform for the good of the
Turks and Caicos Islands.”
The 2009 Commission of Inquiry report identified the high probability of systematic corruption in the Turks and Caicos Islands elected government and others. So serious were the findings that
UK ministers took the view that the only practical option was to suspend parts of the TCI Constitution for an interim period, lasting no longer than necessary. The effect of this was to suspend ministerial
government and the Legislative Assembly.
This suspension is designed to create breathing space to undertake the necessary reforms with the aim of avoiding any repeat the failures of the past.
“UK gives Overseas Territories nothing”
The call this week by Mr. Andrew Rosindell MP for UK Overseas Territories to be represented in the UK parliament has stirred a considerable amount of interest amongst TC Islanders.
Mr. Rosindell is chairman of the British Overseas Territories All Party Parliamentary Group, and he made this call in a submission to the UK Parliament’s Backbench Business Committee. According to a headline report on Tuesday by PTV8, Mr. Rosindell said: “We give our 21 territories nothing. All they have is an informal all-party group, of which I am proud to be chairman...“We have a democratic hole, with hundreds of thousands of people for whom we make laws, whom we ultimately govern and on whose behalf we can declare war, make foreign policy and sign international treaties. We have substantial control over their domestic affairs… “Those territories that have sterling are bound by much of our own economic policy. In a range of areas, although the Crown dependencies and Overseas Territories are not part of the UK they are
substantially influenced and ultimately governed by this Parliament, so it is wrong for them to have no voice at all.”
Chair of the Consultative Forum, Lillian Misick could not agree more. “Not least because, amongst the other measures I proffered that would improve the UK’s relationship with us, I made a similar
call at a conference in London last summer that was hosted by the Minister for the Overseas Territories Mr Henry Bellingham,” she said. She noted in a report published in the June 16, 2011 edition of the TCI Free Press, she pointed out to Mr. Bellingham and other UK officials, including Mr. Rosindell: “I also think a provision granting the TCI a seat in the UK parliament should be added. This will not only facilitate the increased engagement and interaction with the UK government that are necessary
to build mutual trust and respect, it will also formalize links with the British society as a whole that come with the opportunities our people have to live, work, and study in the UK.”
Mrs. Misick, on behalf of the people of the Turks and Caicos Islands, said “I welcome Mr Rosindell’s support and advocacy. And I urge Mr. Bellingham, the members of the Foreign Affairs Committee,
and all members of the UK parliament to take heed.”