In 1989 the G-7 group of countries decided it was time to act together to address the increasingly serious problem of money laundering. They created what became known as the Financial Action Task Force on Money Laundering, or FATF. Prompted as they were by the extraordinary boom in illicit cash brought about by America’s love affair with cocaine, the measures weren’t taken particularly seriously by tiny tax-haven nations such as Vanuatu.
Then came September 11th, 2001. What had been seen as a first-world problem suddenly became a global concern. No longer just a pastime for drug lords and tax cheats, money laundering was identified by the USA as a prime source of financing for terrorism. In the months immediately after the terror attacks on New York, a series of measures were brought into play that made it clear that the world was going to play along to the anti-money laundering tune.
In 2002, Vanuatu was faced with a choice. It could either clean up its act, or it could lose the ability to trade in US dollars. The consequences of failure were dire, to say the least. Within months, a number of offices with dozens of nameplates on their door disappeared.
In fairly short order, Vanuatu drafted a legislative and law enforcement framework that quelled the international community’s worst fears, and got the country moved from the infamous grey list of ‘non-compliant and uncooperative jurisdictions’. In fact, Vanuatu went above and beyond the call of duty, and drafted a regime that would prove onerous actually to implement.
This decision would come back to haunt the country. Continue reading
What does a culture of corruption actually look like? Vanuatu.
It’s often difficult to see exactly where the rot sets in. The pressure of corruption is often quiet and always insidious. It impacts on public institutions, on their ability to manage themselves, to plan and to perform useful work.
Corruption creates a culture of impunity. Bad deeds go unpunished; good deeds and hard work go unrewarded. Each is as dangerous as the other.
2015 will almost certainly go down in the history books as Vanuatu’s annus horribilis, a year so bad we hope it will never be repeated. Between the cyclone, the drought, the collapse of government and the failure of critical infrastructure, it’s hard to see even a glimmer of light.
But we need to understand that it was a long time coming. Arguably, it all began in the days immediately after Walter Lini’s ouster, when the deposed leader and his confreres stripped the government offices bare before their departure.
Over the years, Vanuatu’s leaders have developed and defined a style of government that may have worked on the village and family level, but has condemned the country to failure. Continue reading
It‘s easy to cast aspersions at the people who stood down on the wharf road yesterday and threw stones at a bus full of visitors. That kind of behaviour is unacceptable under any circumstances. No amount of frustration can justify such violence and intimidation.
The costs of such behaviour are difficult to calculate, too. There’s the immediate loss of approximately 5 million vatu daily in tours and activities that get booked by passengers before they arrive. There’s the knock-on benefits derived from staff income being spent closer to home, including bus and taxi fares.
Then there are the indirect costs. The lost fares for those very drivers whose frustrations have boiled over. The opportunity cost to the countless shops, handicraft vendors and duty free suppliers in and around town. The shifting perception of cruise operators, which might lead them to question their significant investment in Vanuatu as a destination.
Goodwill is priceless, and if we fritter that away simply because we can’t manage a single high-traffic location, then we really have to ask ourselves some basic questions about the direction this country is going in. Continue reading
The first survey flights are done, and although there has been welcome evidence that many communities in Fiji have survived intact, the number of towns and villages that have been obliterated is distressingly large.
While we can take comfort that Suva, Nadi and other international ports of call are more of less intact, the numerous smaller islands in Winston’s path, along with the lower part of Vanua Levu, have clearly been devastated.
On Viti Levu, Lautoka, Ba and Tavua all sustained significant damage, and the evidence from elsewhere is that numerous shoreside communities have simply been wiped away by the combination of record-strength winds and a massive storm surge.
None of us who experienced the power of cyclone Pam’s winds can remain unmoved by the photographic and video evidence emerging from the overflights of Fiji’s affected areas. The images are depressingly familiar. The blasted landscape, the corrugated metal roofing dotting the countryside like confetti, ships run aground and ashore, whole hillsides collapsed. Entire villages have been left without a single domicile standing.
This cyclone is the strongest storm ever to strike the Fiji islands. Clearly, Winston’s relief and reconstruction effort will be similar in scale to Fiji’s economy as Pam’s has proven to ours. Continue reading
‘The people want change’ — that was the core lesson that newly elected Prime Minister Charlot Salwai took from the January 22nd general election. With over 60% of its members new to Parliament, it seems clear that change is what we’re getting—whether we like it or not.
But there’s change, and then there’s change. Let’s hope we get the good kind. If the composition of the Council of Ministers is any indication, we’re headed for an administration that takes the business of doing government seriously.
Led by veteran politicians such as Ham Lini and Joe Natuman, balanced with technocrats in such key ministries as Infrastructure and Public Utilities, Health and Education, and leavened with a few fresh faces, this new coalition seems to have a decent balance of experience—political and professional—ability and energy.
But will the centre hold? Can we have what Lands Minister Ralph Regenvanu called, ‘Unity at last’?
Perhaps the most important virtue that this new cabinet will need is moral probity. Several of its members have already shown themselves to be capable of putting the good of the many ahead of the good of the few. But it’s one thing to mean well, and another to do well.
As the saying goes, handsome is as handsome does. Continue reading
The members of the Vanuatu Electoral Commission managed a small miracle when they wrangled this snap election to a mostly successful conclusion. Were it not for the valiant efforts of the Commission members and the staff of the Electoral Office, things could easily have gone wildly awry.
We cannot afford to let this happen again. To do so would be flirting with disaster.
The Electoral Commission is not a beast that wakes every four years, runs a national election and then sleeps again. Far from it. There are municipal and provincial elections to be run, there is the electoral roll to be managed, there is the review of electoral districts and voting processes to be considered, and last but certainly not least, there is the long-delayed research into future voting procedures to correct the problems that inevitably arise during elections.
The Electoral Commission and the Principal Electoral Officer have done well—better than well, actually—in the face of chronic staff and budget shortfalls. But that’s only because of the stalwart, hard-working and principled people who fill the ranks.
There is no substitute for having the right people in the right positions, but their mandate and their abilities can be enhanced by taking a few simple measures. Continue reading
Throughout Vanuatu and across the region, an outcry has arisen over our inability to keep international air travel safe. The prospect we face now—the possibility of only one remaining carrier willing to land at all, and only when the airstrip has been swept clean of debris—is a national disgrace.
It’s scandalous, too. Even knowing that our airstrip is more than half a decade past its use-by date, some were still willing to treat the airport upgrade as nothing more than a political football. Looking back over the past months, it’s hard to see if concern for traveler safety ever came into the picture.
It didn’t have to be this way. In August of 2014, the Bauerfield Airport Rehabilitation Committee, or BARC, was struck with a mandate to compile and detail the known issues concerning the airport, and to recommend a way forward.
A March 2015 report on the status of the airport, presented to the National Trade Development Committee by the Director General of the Prime Minister’s Office stated: “The runway was last resurfaced in 2000 with an estimated design life of between 8 to 10 years…. The runway pavement, the stop areas and thresholds are currently deteriorating and urgently need an overall pavement overlay.”
The biggest danger here, cited by Air New Zealand as they announced their suspension of service, is FOD – Foreign Object Damage. The new Airbus and Boeing aircraft that modern carriers use have larger, more powerful jet engines, and if one of these were to suck up even a few pebbles, the results could be disastrous. Our airstrip and approach areas are currently crumbling, creating an imminent threat of FOD.
But that’s not all. The Daily Post was recently informed that one of AVL’s most senior air traffic controllers’ contract had not been renewed. We don’t know whether this is related to the decades-old communications and navigation equipment at the site, or whether it’s a separate—and equally troubling—issue. But the combination of a lack of experienced operators and sub-standard equipment is another issue that is worrying, to say the least.
Cap all this with the fact that, if something were to happen at Bauerfield, we would be working with fire safety systems that have been found similarly lacking.
It should never have come to this. Continue reading
‘Sacred cows make the tastiest hamburgers.’ — Abbie Hoffman
B. J. Skane was the quintessential gadfly. She pestered, questioned, challenged and often infuriated everyone around her. But we are diminished without her.
In preparing this column, I scanned over a hundred pieces that B. J. wrote for the Daily Post over the past couple of years. Topics range from West Papuan cultural legends The Black Brothers to attacks on the folly of the Black sands fish factory (remember that?), to yachting rules, to ground-breaking court cases.
B. J. was a terrier with a story. Once she’d got her teeth into something, there was no letting go. For better or for worse, she would immerse herself in the arcane details of her topic of the day, and she would not relent until she felt she could explain it in perfect detail.
For anyone attempting to edit her work, this proved a fascinating challenge. No one could gainsay her desire to tell all of the truth, whether we wanted to hear it or not. There are few of us here who did not—at least once or twice over the years—feel a momentary desire to hide under the desk when B. J. walked into the newsroom.
But she was rarely, if ever, wrong on the facts. Continue reading
Once again PacLII has proved itself an invaluable public legal resource by making all Appeal Court judgments available online within 24 hours of their being handed down.
The decision that has fixated everyone’s attention is Criminal Appeal Case 12 of 2015, titled Kalosil v Public Prosecutor. The judgment brings together six different appeals by the imprisoned MPs in this year’s bribery case.
The appeals on all sentences and convictions were dismissed.
The decision was written by a panel of four judges, led by Chief Justice Vincent Lunabek. It first considered the core facts of the case—that shortly before 21 October, a Hong Kong resident named Fong Man Kelvin sent half a million US dollars to the Pacific International Trust Company, or Pitco, as it’s known locally.
Shortly afterward, the equivalent of US$ 350,000 was transferred to Moana Carcasses, who was then leader of the Opposition. Much of that money was subsequently distributed in Vt1 million chunks to numerous MPs.
Before another month had passed, a motion of No Confidence was tabled in Parliament, featuring the signatures of all the appellants. Continue reading