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3/27/2010 
LAW & POLITICS - THE CONFLICTS – CONFUSION – AND CHAOS ...  
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While the business of Government is not a popularity contests, it must be accepted that public affairs go as badly as public indifference permits, or as well as public involvement demands. As a very astute regional politician once put it, when looking at the performance of Governments in the region – he said that as a positive proposition of good Government, the first responsibility in a time of national crisis is so to act as to command a national concensus and support, through the process of enlightenment of the people. I believe very firmly, that the way to preserve the democracy that the great majority of our people cherish – is the way of dialogue and frankness. The people have a right to know what is happening with the people’s business – and the Government have a responsibility to share the happenings with the people, especially when a problem arises; and if that is being done, the support of men and women of goodwill may very well be brought to bear through the simple process of understanding. Some people do not like to remember the past because they find it unpleasant and embarrassing – but if one do not recall and understand the past, he will be lost in the present, and cannot possibly know where he is going in the future. Nothing, or very little of what is happening on to-day’s World, can be said to be new or un-heard of before. Some things recur more frequently than others and vice versa – but generally if we take the time to look back and think more deeply, we can nearly always find a precedent back there somewhere. In our situation in to-day’s Grenada , a lot of what is happening above or below the surface, can be traced back to similar happenings in our history of conflict chaos, and confusion during the past four decades or so. And as we narrow down the period to the last two or three decades – not only will we find the history repeating itself, but some of the self-same historical players featuring here, there, or somewhere – if not everywhere. But as the same astute politician referred to above once put it – he who apprehends the direction of history and strikes out boldly, will command its shape even when he cannot change its direction. It continues to be my point of view that as comment, criticisms, or questions affecting the body politic, that touches and concerns the happenings in the Government arena keep cropping up almost weekly – those in control and with the authority to make decisions and supply relevant information should be doing just that. The silent treatment, or the pretence that nothing very serious is taking place, and therefore no answers or explanations are needed – that mode of operation is not working, and is generating many more questions than answers. On the very disturbing public outcry of VAT – that has been with us for just over one and a half months – the effects on John Public on the one hand, and the over-all economic consequences flowing therefrom on the other hand – these are having very, very serious setbacks on the financial road ahead. Over and above the hue and cry Island wide, that some cheating shop-keepers in the outer districts, are adding Vat to everything and collecting the Tax – even though they are not Registered to collect any VAT at all. The much deeper concerns surround the level or the amount of the Tax at 15% across the board, and the service areas in which the said amount must be charged. For example Funeral Service, Legal Fees, and some other Contractual Services where the Contractor meets the Legal threshold for collecting VAT. In those particular cases the economic effects on the little man/woman are tremendous and will be having far-reaching consequences. In all those Case where (GCT) General Consumption Tax was collected – it was 5%, so that sum has gone up by 200%, and that cannot be justified – especially in the current oppressive economic conditions all are facing. Towards the end of last year I commented on the up coming implementation of VAT – pointing out that the timing was bad and the level of taxation was too high to begin with, in the current oppressive economic conditions. Some chap, who professed to have all the answers relative to our Tax situation, took me to task in a letter to the Editor and accused me of trying to mis-lead the public, because I did not know what I was talking or writing about. In one sense he was right – because I really did not anticipate the effects of the new Tax on the daily spending pattern of the ordinary shopper, nor the impact on the economy as a whole, could have been as stressful and disturbing as it has turned out to be in this short time. VAT is a consumption Tax and depends on the spending pattern and the ability to so spend of the general public; and it does not need any statistical genius to tell us, that the great majority of those spending on a daily basis are persons with fixed income, or those receiving hand-outs from relatives and many with no income as such for daily spending. So as one house-wife pointed out to me, after a shopping visit to a Super-market in St. George’s last week – she was shocked to see the two or three Cashiers almost falling asleep with no buyers to serve, on a Friday afternoon to boot. And a few of us liming at our hang-out spot in Gouyave, which is opposite a very popular but small Super-market that is always so busy – we observed the same disturbing pattern of so few customers going into the said shopping centre that was always so busy on a daily basis. And talking to the shop owner and one or two Customers the obvious was confirmed – that with the increase in prices since VAT came on stream, less and far less people are spending as before. The situation facing us as a people in a mainly consumer society, with virtually no manufacturing output nor agricultural products to depend on, now or in the near future – and very little hope of any wage or salary increases, but more likely the laying off of Workers, or short-time working to keep the full work force earning something – can only turn out to be greater hardship across the board. I am prepared to accept that over the longer period some prices will go down – but the problem facing people here and now, is that prices have gone up across the board on the one hand, and on the other hand people who have never paid any Tax all their lives – except those who own a house and pay property Tax – they now have to pay 15% on goods, and services that have been 5% GCT, and where there was none at all, like funeral service for example, they also have to pay 15%. Something must be very wrong about that State of affairs, and the powers-that-be are obliged to take the Bull by the horns and turn it around – if not fully to face the original direction, at least halfway, or thereabouts, to ease the pressure and relieve the economic burdens now suffocating the people. It seems that the advisors in the Ministry of Finance, neglected to remind the Minister – that the persons who will be paying all those 20 & 15% VAT on services, are not the LaQuas and Baileys, or the Lawyers and Lime and Digicel, or the other service providers of one kind or another. And those experienced service providers will be losing their business sense, if they should embark on paying the expected sums for VAT to the Government - before they have collected the same. So in the interest of National Stability, economic and social development and improvement along the way forward – I wish to urge and beseech those in control, to re-visit the whole package and make some urgent amendments. And Gentlemen and Ladies – time is not on your side. While all the foregoing problems are already causing us as a people serious concerns, and sleepless nights worrying about where the extra payments for VAT on foods are coming from to feed the family – we are hearing about our Government taking part in and endorsing another movement for change – at some Thirty-three (33) heads of Government of the Caribbean and South American States meeting in Mexico – at which they want to form another grouping of those States, because they have certain common interests that affect them as a group. Very significantly, the Two States left out of the (35) Thirty-Five that already make up the World recognised (OAS) Organisation of American States, are Canada and the U.S.A. Can any of those Heads, including our own Prime Minister, point out to our people in this region of the OECS and Caricom – any number of those States with which we have closer interests than the U.S.A. and Canada? I am almost certain that the number of West Indians and their descendants living very comfortably in those two Countries, and financially supporting relatives and acquaintances back home – are even more than the total population still living in these Isles. What closer ties or more common links can we have with the other (32) Thirty-two states than the above? And we so close, and those States have so much to offer our people – but we begging cap in hand for Canada to lift the Visa restrictions on our nationals, so they can once again travel at will to seek a better life. Why bother – let them go to Cuba and Venezuela and Mexico . I often times wonder, when will we ever begin to learn some commons sense lessons in these Isles. We have been waiting for some months now, on a report from the Committee appointed to look into the pros and cons of granting a Licence to Zublin, to open a Casino in its Hotel development in the St. George’s waters outside the existing Mall. Whether the report has been handed in and the Government is now considering it, I don’t know – but it was promised for February I believe. Now we are being told of a possible plan by Government to borrow $100 Million U.S. dollars from China – to assist another foreign company to enable them to build the long-awaited Four Seasons Hotel in the South of the Island – because the Company cannot source the funds. I wonder whether another Committee of experts had also given their opinions on that scheme? Talking about Conflicts, Choas and Confusion – in these Spice Isles you can find them. By Lloyd Noel Inside Grenada Columnist
 

 


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LAW & POLITICS - THE CONFLICTS – CONFUSION – AND CHAOS ...