#ParadisePapers: MoFA Sam Kuteesa has moved his profits to the Seychelles (ENHAS to Katonga Investment)

It is now revealed that Foreign Minister Sam Kahamba Kuteesa, the former United Nations President for the General Assembly of 69th Session are now involved in the midst of the newest Paradise Papers, which is a continuation of the Panama Papers. These are revelation that shows how the wealthy are spreading their wealth to tax-havens.

The newest revelations inside the National Resistance Movement and the MoFA Kuteesa, who has been a loyal minister and NRM crony to President Yoweri Kaguta Museveni. He through help of Appleby started a holding company, that being Katonga Investment Limited. The funds came ENHAS, which is the Entebbe Handling Services. The document revealed in the transaction was signed by fellow employees of Appleby, this being Malcolm Moller and Patrick Lee Mohin, they signed the company through 30th November 2012. Kuteesa was introduced by Justin Dibb. Dibb is a financial juggernaut who has taken part in deals on the African continent, as Chief Executive Officer of Allied Resources Limited and Managing Director of Dominion Petroleum Limited. So he has clearly made friends in and around the circles Kuteesa. Clearly the Petroleum based financier and director had some good advice for him.

This for a deal made in 2012 to make sure the funds for ENHAS are secured on a holding company or a shell company in Seychelles. Appleby Company even wrote a guide called ‘GUIDE TO INTERNATIONAL BUSINESS COMPANIES IN SEYCHELLES’ which states this: “An IBC (or a shareholder thereof) is not subject to any tax or duty on income or profits accruing to or deriving from such IBC or in connection with any transaction to which the IBC (or shareholder, as the case may be), is a party (§109(1)). Notwithstanding any provision of the Stamp Duty Act 1975, (a) all transfers of property to or by an IBC; (b) all transactions in respect of the shares, debt obligations or other securities of an IBC; and (c) all other transactions relating to the business of an IBC, are exempt from the payment of stamp duty (§109(2)). The Exchange Control Act does not apply to an IBC or to any transactions relating to the securities of or in the IBC between the holders of such securities (§109(3)). The exemptions above are expressed to remain in force for a period of twenty years from the date of incorporation of a company under the IBC Act (§109(4))” (Appleby, 2014).

That would mean that Appleby Company combined with the agreements and tax exemptions in the Seychelles must surely be lucrative for ENHAS and Kuteesa. The UN Global Compact introduction of the company through the May 2013 and the words of Chief Executive Officer Georges Tytens said: “Entebbe Handling Services Limited (ENHAS) is a Ground Handling Company, handling over 20 scheduled flights at Entebbe International Airport, Uganda. We have a workforce of 729 staff. ENHAS is a registered member of UN Global Compact and we support and comply with the principles of the Global Compact” (Georges Tytens, May 2013). So the Kuteesa company are working directly on the airport and it is profitable, since it can extend their monies to secure accounts in the Seychelles.

So whatever the Foreign Minister earns on the business and ENHAS could practically go abroad and not pay taxes in Uganda. Clearly, the Appleby guidance of 20 years without paying tax as a IBC through them must have been good business for him. That is why he has done so. Peace.

RDC: Province du Sud-Kivu – Communique Officiel (05.11.2017)

RDC: Ministere des Mines – “Objet: Blocage des Exportations des produits miniers marchards – taxe sur les concentees – tax sur la voire” (03.11.2017)

DRC: Mining Fraudster Col. Abbas Kayonga creates military stand-off in Bukavu!

That the man gets to duplicate a government office and safety commission for exports of minerals from South Kivu. Abbas Kayonga was able for years to duplicate and double commission for checking and securing exports of minerals between South Kivu and Rwanda. Clearly, he was wise enough and used his connection within the local government of South Kivu. But, they must have been tired off it and also the tricks that has been done. As some has been caught by his duplicated commission like in 2015 and others has worked together with him.

Kayonga, must have had connections with the miners and the mineral extraction industry, which means they were able to work with him and also make the documentation legalized through his duplicated operation. That must have been the reason of the colonel Kayonga rise to fortune and possible collections of weapons, as he could have a stand-off with the army after desisting to stand down from his commission. Something he didn’t want to do. But first some context, before what happen today in Bukavu, as he wouldn’t accept, because it has been his racket for years. Take a look!

South Kivu export of Minerals to Rwanda:

The situation in South Kivu is a little more difficult because of the confusion between the

commission against mining fraud, the SPC / South Kivu and the cell fight against mining fraud in

South Kivu led by Mr. ABBAS KAYONGA” (…) “ In Bukavu

information report that the head of the fight against mining fraud cell itself would be involved in

facilitating the smuggling of minerals to Rwanda. 3 main reasons seem to confirm this:

1. The people worked with the RCD (Congolese Rally for Democracy);

2. She lived in Rwanda for several years after reunification;

3. The creation of an anti-cell against mining fraud by the Governor of South Kivu parallel to

the national commission against mining fraud that has a focal point in South Kivu. To understand how the smuggling of minerals between the DRC and Rwanda was being harvested reliable data on the operation of networks operating in the minerals transit areas in Rwanda to Kigali Gisenyi, Kibuye and Shangugu” (SAM-PPA, 2015).

The technical unit in charge of the field operations of the South Kivu mining commission, Kayonga Abbas, seized 60 tons of cassiterite, coltan and olfram in 2015. It handed over these minerals to the Police of the Mines. Their owners paid the public treasury a sum of 33,380 dollars to recover their parcel. Kayonga Abbas laments the involvement of some military officers in mining fraud” (Nyota, 2016).

The Civil Society Coordination Office of South Kivu is delighted by the dismissal of Mr Abbas Kayonga from the Anti-Fraud Unit in South Kivu. Yesterday Wednesday night evening of the dead city around 19h, he would have been surprised to cross in Rwanda, a large shipment of tourmaline. He would have resisted the agents of the DGDA to the point of trying to come to arms. Fortunately he has been mastered. It is a sigh of relief for the population and especially the traders of South Kivu who were hunted down by the latter with imposition doublet, “says the message of Patient Bashombe” (…) “Remember that the anti-fraud cell of the province was a pure duplication of the DPMER. Thing that the civil society through the FEC have always lambasted. Despite the length of the night, the sun finally appears. Beware of all accomplices of fraud, embezzlement, corruption, … and other antivaleurs in the DRC, and particularly in South Kivu. These suicidal practices only accentuate the suffering of the people. The watchful eye of civil society is open and active. Here the opportunity to draw the attention of Governor Claude Nyamugabo to put order in the mining sector. There is food and drink, “says Patient Bashombe” (Lubambo, 2017)

According to security officials, the police officers were deployed to the home of the head of the Anti-Fraud Service which had been suspended on 2 November by Governor Claude Nyamugabo for harassment. This official, prosecuted official sources, is being guarded by armed men who are known neither of the Army nor the Police. The same sources reveal that there would be a cache of weapons at his home in Muhumba” (Radio Okapi, 2017).

Reports indicate that gun battle broke out following an attempt by the Governor of South Kivu province, Claude Nyamugabo, to arrest the provincial anti-smuggling Unit boss, Abbas Kayonga at his home in Muhumba Island. Sources on ground indicate that the Governor allegedly accuses Kayonga of involvement in fraudulent mining and asked him to resign after smuggled minerals were intercepted. It is believed that Kayonga refused to resign and resisted any attempt to arrest him, alleging that the confiscated smuggled minerals belonged to the sister of the area governor. Kayonga, guarded by private security, was seen with a fully loaded machine gun in his garden during the standoff in which grenades and bombs were going off in the area. The crossfire left two of his guards wounded and one of them later this afternoon was reportedly dead from bullet wounds. Eye witnesses say residents in the area were seen fleeing to avoid being caught up in the fracass. Meanwhile, other residents have taken advantage of the situation and looted a church and shops. “This has created losses for Rwandan traders.We have asked residents on Rwandan side to stay calm. We are talking to DRC officials who say that it’s an issue of indiscipline and it will resolved,” the Mayor of Rusizi, Harelimana Frederic said” (Sabiiti, 2017).

So clearly, the gig was up and the time for it stop had to appear. There been rumors of his connection to Rwanda and that he used his connections to build houses and buy land in Rwanda. While could clearly be connected with the mineral industry of Rwanda and their export networks, which is connected with the Kivu provinces. That has been going on for decades. He has just used the commission to make agreements and funds. If not he wouldn’t have all these guns and guards as a civil servant in Bukavu.

This is clearly stopping one racket out of plenty, who are living off and sponging off the mineral extraction and export from South Kivu province to far hinterland. Kayonga is just one out of many, but his story is an example of someone trying to make a government institution, when there already are one and is able to live off it for years. That is what the government has accepted and wonder why it took so long to stop it as well. Since they must have known about the double check-up and commissions who looks into the matter of mineral exports in the province. That is really unique and that Kinshasa has accepted this behavior is something you also should think about. I don’t have the answer, but a reasonable pay-off and envelopes between them might have occurred now and then. Peace.

Reference:

Nyota – ‘Fraude minière: 60 tonnes de cassitérite et de coltan saisies au Sud-Kivu’ (17.02.2017) link: http://www.nyota.net/2016/02/17/fraude-miniere-60-tonnes-de-cassiterite-de-coltan-saisies-sud-kivu/

Lumbambo, Adonis – ‘Suspension d’Abbas Kayonga : Le bureau de coordination de la société civile du Sud-Kivu jubile et charge l’incriminé’ (02.11.2017) link: http://www.laprunellerdc.info/2017/11/02/suspension-dabbas-kayonga-le-bureau-de-coordination-de-la-societe-civile-du-sud-kivu-jubile-et-charge-lincrimine/

Radio Okapi – ‘Sud-Kivu : des tirs entendus depuis le matin à Bukavu’ (05.11.2017) link: https://www.radiookapi.net/2017/11/05/actualite/securite/sud-kivu-des-tirs-entendus-depuis-le-matin-bukavu

Sabiiti, Daniel – ‘Rwandan Traders Stranded At DRC Border As Gunfire Rocks Across’ (05.11.2017) link: http://ktpress.rw/2017/11/rwandan-traders-stranded-at-drc-border-as-gunfire-rocks-across/

Save Act Mine (SAM-PPA) – ‘INTERIM REPORT OF MONITORING PROGRAM OF THE CHAIN

APPROVISIONNMENT MINERALS’ (August-September 2015)

NASA Statement: “Launch of Economic Liberation Programme by National Resistance Movement of NASA” (03.11.2017)

Brexit: The Tories answers to Brexit questions leaves the public and representatives in the dark!

Today, I will just post a few questions that has been answered today by the Department for Exiting the European Union (DeXEU) Secretary Mundell and also State Minister Eustice, both Tories MPs and ministers, who are proving that the they will assess the situation and find invisible deals, but not give clear information on the possible split form the Union and the possible effects. It must be bleak and vicious if they as politicians fear the aftermath of the release of the damages of the leaving the Union goes public. They must know the score and sore wound will struggle to heal after the departure of Membership.

That is why these answers from the Tories Government is revealing, not because they say much, but because they say so little. They are not giving signs or even signals of where the United Kingdom are heading post-EU Membership. This is now proven with Mundell and Eustice, these two cabinet ministers are proving their loyalty, but also how little they will reveal. Take a look!

Seema Malhotra MP of Feltham and Heston asked the government this question on the 25th October 2017: “To ask the Secretary of State for Scotland, whether his Department was consulted by the Department for Exiting the European Union on the economic impact assessments conducted for the UK leaving the EU” (Malhotra, 25.10.2017). This was answered by the Secretary of State for Scotland, David Mundell, the Conservative Party MP for Dumfriesshire, Clydesdale and Tweeddale. Mundell answered on the 2nd November: “The UK Government is carrying out an ongoing programme of comprehensive analytical work that will inform our negotiating position with the EU, to define our deep and special partnership with the EU and inform our understanding of how EU exit will affect the UK’s domestic policies and frameworks. The Scotland Office is working with officials across government, in close coordination with the Department for Exiting the European Union, to ensure the delivery of a holistic programme of analysis across government” (Mundell, 02.11.2017).

Chris Ruane MP of Vale of Clwyd asked this question on the 26th October: “To ask the Secretary of State for Environment, Food and Rural Affairs, what assessment he has made of the effect on the volume of exports of Welsh lamb to Europe of leaving the EU without a deal”. This was answered George Eustice MP, the Conservative Party of Camborne and Redruth, who is the State Minister for Environment, Food and Rural Affairs, who answered this: “We are fully aware of the importance of the EU market as a destination for Welsh and UK lamb. We want to secure a deep and comprehensive Free-Trade Agreement as an alternative to membership of the Single Market, which preserves our access to EU markets for lamb and all agricultural products. We are conducting ongoing analysis to help to develop a detailed understanding of how various trade scenarios will impact on all regions of the UK” (Eustice, 02.11.2017).

Chris Ruane MP of Vale of Clwyd asked this question on the 26th October: “To ask the Secretary of State for Wales, what discussion he has had with his (a) Cabinet colleagues and (b) counterpart in the Welsh Government on the effect of leaving the EU without a deal on the export of Welsh lamb to Europe” (Ruane, 26.10.2017). This was answered by Alun Cairns MP of Vale of Glamorgan, the Secretary of State of Wales, who answered this: “Leaving the EU presents a major opportunity for Welsh and wider UK agriculture and we are working towards achieving the best possible deal for the agricultural industry across the UK. We want to secure a deep and comprehensive Free Trade Agreement as an alternative to membership of the Single Market, which preserves our access to EU markets for red meat, including Welsh lamb, and all agricultural products. The Office of the Secretary of State for Wales will continue to work with other Government departments including the Department for Exiting the European Union, directly with farmers and farming industry representatives, and Welsh and local Government to support the Welsh economy and promote a prosperous Wales within a strong United Kingdom after we leave the EU” (Cairns, 02.11.2017).

If you felt your were getting wiser, you are not, because that is the intention of the Tories Government. To keep the people in the dark, that is why the Brexit Assessment Reports on effects on Industry and the country in general are kept hidden on the desks and inside the Departments. They are kept as government secrets as the tactics and the negotiations are also kept in secret. The Tories are trying to this all in secrecy, instead of having an open policy.

These answers to the Scottish and Welsh representative on their constituencies and their industries are really proving their lack of understanding. That the non-answers combined with secrets makes the locals and constituents uncertain about the future prospects. The same with businesses that don’t know if they have a market to trade in or possible to import within a affordable price-range to make profits. It is like the UK Government want the unknown and uncertain to loom, since they have numbers and possible analysis that are damaging. Since the loss of direct access to the European Markets will hurt the economy and also the export industry. Also, the possible investments from European businesses in the United Kingdom. All of this can be put in question, when Mundell and Eustice are answering like they do today.

This is worrying for the United Kingdom, that they are trying to blind-fold businesses and the public, even their representatives, as they walking like Stevie Wonder to the unknown future outside the European Union. Peace.

Brexit: Hilary Benn MP letter to David Davis MP on “Brexit Impact Assessment Reports” (02.11.2017)

Opinion: Mzee don’t want to bother foreign investors with taxes, just give him a Presidential Handshakes!

Well, I am biased, as the President are visiting Dubai for 4th Global Business Forum on Africa on the 2nd November 2017. President Yoweri Kaguta Museveni is trying to cater to foreign investors. People who he usually cater to at the State House, so he can get favors and Presidential Handshakes. That is why he isn’t bothered with taxes, because the tax-holidays and possible offerings will be huge for the investors who comes in. That is what the National Resistance Movement (NRM) are doing, especially if it is for instance a nations offering the state loan, than the same state can come with state-companies to build infrastructure like Chinese companies coming in after offering loans to the same NRM government. Therefore, just look at what he was saying yesterday, which is weird, but fit a pattern.

Since you are business people, we must be talking about profits. When you talk of Uganda and Africa, you are talking about peace as an enabling environment; which we have. We have raw materials, and have a population of 40 million people that’s’ a market. And if we talk of integration we have a four tear market” (…) “In Africa, the demand is there and growing because we have been under-consuming while the rest of the world the demand is falling because they have been over consuming” (…) “There are plenty of raw materials, minerals, tourism and so on so when you invest there you have access to all these” (…) “I don’t have to bother investors with taxes, what I want is for them to invest, use our raw materials, create jobs, add value and promote exports” (State House Uganda, 2017).

Well, so the President trying to say to foreign investors, you don’t need to pay taxes for your output, just cater to me. The state you don’t have to bother about, just bother about catering to the State House and me. We will add value and promote exports, we will agreements and make sure you get the value on our resources and low-payed workers.

We know who is the biggest taxpayers in the republic, because of Uganda Revenue Authority own statement in the media on the 31st October 2017, which stated names like Mr. Alnasir Virani Gulam Hussein Habib, Dr. Sudhir Ruparelia, Mohammed Hussain, Nakayima Janat, Karia Minex, Karia Kunnal, Alykhan Hudani and Dayalijil Karan. Who are sounding like foreign investors and they are on the top 25 biggest taxpayers in Uganda. So the state has already connected families from abroad to invest there in various businesses. This shows there are already people who is not worried about taxes, but about the output of their companies.

Some of these investors has made big names, while others have worked more in silence. Still, this shows that the top earners even promoted by URA and Doris Akol. Proves how they are working, as there wasn’t that many own citizens on the list. That shows that the foreign investors must get a special advantage and special agreements at the state house for their dealings. Especially, considering how it has been done, just for tearing down markets in Kampala for own investors and financial agreements. This has been done and arranged from the State House without consultation with locals, neither KCCA or the renters of these markets. That is how the NRM and Museveni do deals in favor of him and if he get ill-gained funds, he will support the “development”. It is in similar fashion he exposes his intent in Dubai.

That the State doesn’t need taxes or need structures to facilitate for foreign investors, they just needs agreements with State House and then it is all fair-game. It is insane, but fits the Modus Operandi of the Musevenism and NRM regime. Give him a Presidential Handshake and you can operate as you want in the Republic. Peace.

Reference:

State House Uganda – ‘President Museveni woos Arab investors to Uganda “We have the raw materials, human resource and market”’ (02.11.2017) link: https://www.africa-newsroom.com/press/president-museveni-woos-arab-investors-to-uganda-we-have-the-raw-materials-human-resource-and-market?lang=en

Nakumatt Applied to the High Court to go into Administration (30.10.2017)

Age Limit: Letters of Robert Kyagulyani Ssentamu MP returning the 29m shillings (27.10.2017)