Brexit: Written Statement by David Davis – “EU Exit – Sectoral Analysis” (November 2017)

#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.

Opinion: Kadaga is trying to clean her hands from the ruthless days of eviction at the Parliament!

The Parliamentary Speaker Rebecca Kadaga has written letters in the end of the October to both Inspector General of Police Kale Kayihura and to the State House, meaning a letter to President Yoweri Kaguta Museveni. Both letters trying to clean her hands of the shady affair and clean of the dirt of her own actions. Even if everyone with a clear mind knows there are enough reports of her actions in the days ahead and after.

Because Kadaga was in-charge of suspending 25 Members of Parliament and they we’re cleared out of the Parliament by the Special Force Command on the 27th September 2017 after days of in-actions and noisy opposition members, stopping the proceedings. The IGP Kayihura was even at the Parliament at a meeting with Kadaga making sure the proceedings happen as it is. Therefore, the answer from President Museveni on the letter is revealing as the security officials combined with Members of Parliament, and Kadaga was a special security meeting at the State House on the 25th September 2017. This is just days ahead of the clearing the Parliament.

This was all done so the Raphael Magyezi, the Constitutional Amendment No. 2. of 2017, the amendment that will lift or remove the Age Limit for any President and in particular the President Museveni. Which Kayihura and Kadaga has been really loyal too, so the letters that are sent is just showing deflection of what really happen. That Kadaga doesn’t want to be in charge of letting strangers into the court and wants to deflect it on other people. While the President doesn’t take responsibility and neither does Kayihura. They feel safe in their positions, while Kadaga used their hands to stop the opposition MPs.

So I have a hard time believing that she knew nothing, since the reports of a meeting on the 27th September together with the IGP Kayihura, this was all to settle the score and clear the Parliament. Especially know that people knows about the planned meeting on the 25th September at the State House. All of the timeline proves that the Speaker Kadaga wanted to use her power and connections to silence the opposition. Also to make sure they were arrested by Special Forces Command and detained at random locations in and around Kampala.

We know now that President Museveni will not take direct responsibility, since he went away from the meeting, but clearly Kadaga knew what happen there and also at the meeting. Something that doesn’t comply with her letters and the time before the sanctity of the Parliament was destroyed by the one in charge. One of them was Kadage, this letters was her trying to forge her public display and not involved, while the two meetings one in State House day ahead and another one earlier in the day before the Plenary Session on the 27th September proves the involvement of Kadaga.

This is just the start of the revelation, if not Kayihura or others from the meeting at State House starts to speak as well. Then the revelations will spark more fire and might even damage Kadaga more, as she is the one in-charge of protocol and clearly knew that sending in strangers into the Plenary Session are a violation of the code of conduct within the Parliament. This is someone anybody knows and has respected, but clearly, that message or memo from above. Certainly, someone needs to teach her this, since she is the Parliamentary Speaker. Kadaga should have known this. Peace.

Age Limit: Rebecca Kadaga’s letter to President Museveni on the 23rd October 2017 and Museveni’s answer today by Parliament Telegram (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)

Age Limit: Rebecca Kadaga letter to President Museveni – “Re: Invasion of the Parliament Precints by Security Agencies on the 27th September 2017” (23.10.2017)

Milton Obote Foundation: Press Statement – “Termination of Membership of Hon. J.M. Akena” (26.10.2017)

Brexit: Sir Vincent Cable letter to David Davis on “his extraordinary claim I should sack Lib Dem MEP Cathrine Bearder for doing her job” (13.10.2017)

Post-Brexit Costumes Implications could be dire for the UK, as revealed in Irish Parliament Draft Report of September 2017!

The Republic of Ireland Parliament has started their works and their initial searching for solutions Post-Brexit. This September Draft report from the Irish Parliament is more structured and more explained than any of the ones offered the public from the United Kingdom counterparts. The Irish government clearly are open within their troubles and possible hurdles in the new state between Republic of Ireland as a Member State in the European Union and United Kingdom on the outside. This will significantly change the prospects of trade, movements of goods and direct costumes operations within Ireland and in the United Kingdom. The Brexit agreement between the EU and UK will be vital to the borders and trade between the neighbor states.

Out of the report, this is for me, the vital quotes, that significantly says what it means for both parties. They are really explaining clearly the impact and being direct in the problems that are coming with Brexit. Something certainly the British should look into, if they wants to have good trade and movement of goods to and from Ireland. This will not happen as it is done today, since the United Kingdom will need new regulations and new sorts of security checks. Since they are not a member state and in the new system need to follow other protocols of movement than of today.

Brexit implication:

There are two distinct processes in the e-manifest procedure, depending on whether the goods are non-union or union goods. Currently goods coming from the UK are union goods and, while a manifest is required for the enforcement of national prohibitions and restrictions, there are no systematic controls imposed on these goods. However, post Brexit these goods will be non-union goods and as a result the manifest will be fully processed and the goods in question will not be released until all customs formalities have been completed” (Oireacthas, P: 8, 2017).

Goods to the UK:

Goods to be exported to the UK will need to be presented to customs at the customs office of exit11 and be made available for examination if required. This extra layer of formalities for movements that are currently intra-union movements will not only place a considerable administrative burden on traders it will also have a negative impact on trade flows and delay the release of goods” (Oireacthas, P: 10, 2017).

Goods passing through UK:

Under transit, it is possible for goods to proceed directly to an inland location before customs formalities need to be completed. Where a trader wishes to move goods arriving from or through the UK directly to their premises they will need to be approved as an authorised consignee and also have the appropriate premises approved as a Temporary Storage facility as the goods will have the status of non-union goods. Where traders are not approved as authorised consignees then those goods declared for the transit procedure would be required to be presented at the declared customs office of destination for control purposes and in order to end the transit procedure. This in effect would require that current Revenue offices not assigned the function of a customs office of destination in NCTS would need to be assigned that status and be in a position to provide suitable examination facilities where necessary controls can be performed. Providing suitable facilities and associated human resources may prove difficult for Revenue” (Oireacthas, P: 13-14, 2017).

If this isn’t seen as important for the British, the United Kingdom and their possible trading operations with Ireland and the whole European Union. Than they better come up with solutions. If not they have to trade Yorkshire Tea with themselves and Tetley can be sold just within the Kingdom. Since it will be expensive with routine checks and costumes arrangements to fix the new hurdles for people who orders their stocks into their shops. They rather pick up another brand with similar flavor of their tea, than ordering the famous British tea suppliers. Why take Lipton, when you can order a French Tea without any problems and time consuming costumes and tax-operation. This is what that can appear, as well as sudden extra time in storage and other new need of expenses. That will mean the costumers will have to pay the extra prices for the same product, as well as pay for the added time it takes before the products hit the market.

This is just between Ireland and the United Kingdom. If you we’re too consider all member states of the Union, you know the issue becomes more dire for the United Kingdom. That these issues will hit their trading partners, the producers and the ones that produced and exported products for decades. Will be hit or have to become more expensive abroad, this may even make the consumers in outside markets pick other products than the British. Why pay more for British, when the French has a similar tasting product? Why buy an extra expensive British Cheese, when the Belgian one taste as good?

So if the Costumes and added taxes between UK and EU Members States grows, that will make the products less worth as it will be more luxurious and less of common product in the shelves. Also, that the time consuming import together with the cost of transit, manifests and checks of the products. Will also hurt the bottom-line and the profitability of imports from British producers. This should worry all producers and factory made product-lines that is made for exports. The Irish government has clearly outlined the issues and are striking factors for simple movement of goods between the states. It might not become so hard, but the possibility is still there. Peace.

Reference:

Oireacthas – ‘Brexit and the consequences for Irish Customs – DRAFT’ (September 2017)