India - The Indian Ocean Civilization & IOR

chetak · Post by **chetak** » 08 Dec 2012 22:05

RamaY wrote:^ do you know that international airports get ~$250 per passenger as airport fees from airlines? If the airport construction contract stipulates that the contractor (BOT guy) have to develop his own revenues, it gets translated into airport fees.

If you don't know the difference between the fees agreed upon as part of the contract and gouging by private contractors, it is a problem.

It should be ministry of civil aviation that need to be blamed not GMR

With private operators in India, gouging it is.

These fees emerged post contract finalization. (as usual)

RamaY · Post by **RamaY** » 08 Dec 2012 23:32

Then you should not demand the new airports unless the govt can afford to build them after they fill their personal Swiss bank accounts.

Make a choice. Vote for congress.

chanakyaa · Post by **chanakyaa** » 09 Dec 2012 08:27

From the land of Chalta Hai...

Maldives situation not a big deal, says Khurshid
http://www.hindustantimes.com/India-new ... 70409.aspx

While China or Pakistan trying to get a foothold in Maldives is a matter of "temporary concern", instances of Indian investments getting into trouble in neighbouring countries need not be seen as a case of "someone flexing muscle against you", said external affairs minister Salman Khurshid.

Of course not. The best way to solve a problem is to ignore the problem exists in the first place. Wah!! Wah!! Sallu Khurshid.

The decision to terminate GMR's contract with Male airport had snowballed into a major controversy between India and Maldives, with New Delhi telling the island nation to "protect its interests" and follow "due process of law". India was also peeved about the business issue turning into fodder for the competitive domestic politics there.
"Temporary concerns, passing concerns, of course to view and check our own efforts to ensure that, as you do it in the marketplace and the marketplace when a new shop opens, you do take a look and see whether it is attracting some of your old customers or whether you need to do something to reinforce your hold and your bond with your customers," Khurshid told HT.

He was answering a question on whether China and Pakistan gaining a foothold in Maldives was a matter of temporary tension between India and its neighbours. "Why shouldn't neighbouring countries take an interest? We do not hold a monopoly over any country… We should have the confidence to know that — ultimately — our ties will be stronger than that of anybody else," the minister added.

Why the hell this guys thinks he is much smarter than the rest? We do not hold a monopoly over a tiny freaking nation in the middle of no where, what the shit. Lecture...Lecture...Lecture...

He said that the GMR issue, or a similar instance in Myanmar last year, was no indication of an emerging pattern of Indian investments getting into trouble in countries with an unfavourable political environment. "You just have to take these things in your stride and deal with them as they come. This should not be seen as an issue of someone flexing muscle against you. That would lead to a confrontation," Khurshid said.
GMR's airport contract was the biggest instance of foreign direct investment in the history of Maldive

Blah...Blah...and then he finally drops what he is scared of most "That would lead to a confrontation"...freaking pussy...

chetak · Post by **chetak** » 09 Dec 2012 11:28

RamaY wrote:Then you should not demand the new airports unless the govt can afford to build them after they fill their personal Swiss bank accounts.

Make a choice. Vote for congress.

The rape of resources, goods and services are the hall mark of the present GOI.

Like when you pay "toll" for a legitimately required road that should have been built by the governmant in the first place.

Like when perfectable serviceable airports are shut down just to build new ones (and all the mota maal that it entails)

It is because some morons voted for the kangress that we have to see this day.

SSridhar · Post by **SSridhar** » 09 Dec 2012 11:33

RamaY & chetak, please take your arguments irrelevant to his thread elsewhere.

johneeG · Post by **johneeG** » 10 Dec 2012 06:29

RamaY wrote:
johneeG wrote:
So true!

Just a noob question: What is the geopolitical rationale behind India not annexing 'countries' like Maldives, Nepal and Bhutan (and even Myanmar) immediately after 1947? I mean, if Hyd can be annexed, why not Maldives or Nepal?

Similarly, why can't India annex Maldives, today? What is the rationale in not doing so? I mean China annexed Tibet, right?! Why can't India do it? I could understand, if these states were pro-India. But, even when the local politics is centered around anti-indian stances, why does not India annex these tiny nations?
First India should annex what is India, PoK and AksaiChin.

But our resident experts tell us it is not worthwhile. Now do you want me to chanikyaise why Maldives annexation is not in Indian interests?

It will start with hurting minority sentiments, even though Islam is not an unifying farce. Then why do you want to have 300k Muslims added to india eventhough India is secular constipated country. Then it would hurt the multilateral institutions like UN. Then church is against forced annexations. Then there are no toilets for millions of Indians. Then I have a pot hole in my backyard and India is full of corrupt people. Then Hindus should first solve their caste issues...

Perfect! You have listed all the pertinent reasons.

If not for Vallabhai Patel, all these reasons would have also applied to Hyd. Chacha ki jai... Even after chacha's demise the policy of India has been, more or less, same. The only time the policy gets changed(even very minor ones) is, when it becomes absolutely untenable.

---
About 'buffer states' strategy:
So, when China occupied Tibet, Nepal is supposed to be a 'buffer'! What if China occupies Nepal? Will India leave UP as 'buffer'?

It is very interesting that China is creating buffers by occupying more land, while India is creating buffers by ceding more land.

---
Kur$hit is giving lectures on sovirginity, propriety and 'peace'. Is he the same person who threatened kejriwal of 'blood replacing ink'...

Oh, well, jai ho!

chilarai · Post by **chilarai** » 10 Dec 2012 07:40

http://indiatoday.intoday.in/story/term ... 36952.html

India on Sunday hoped that termination of the GMR 's Male airport project by the Maldives government will not impact its relationship with the neighbouring country.

so now its India who hopes that the relations are not impacted cos Maldives shows GMR the door !!!!!

ramana · Post by **ramana** » 10 Dec 2012 07:49

^^^

Thats PTI the most moronist news agency that editorializes its news reports. No where did the minister use the word hope. Its the PTI's spin on it.
PTI doesnt work for India. Its an outsider looking in.

Sri · Post by **Sri** » 10 Dec 2012 10:23

No the game is now shifted. It will be repeat of what happened in Nepal 3 years ago and with Bangladesh few years ago. Watch the space. GMR will lose but not necessarily India.

member_20292 · Post by **member_20292** » 10 Dec 2012 10:35

Deal is this. India is not willing to be aggressive to protect its own interests. It is not an aggressive expansionist culture, unlike both the Chinese and the Americans.

In the future, we will occupy the place that Europe does today. Pretty cities, high standard of living lots of trade, open society with socialism. Peace loving. Non expansionist. Non powerful.

China will copy, resemble, like it does today, the USA.

India, by tolerating the Maldives doing this to us, is setting the worst example possible. Just as it has set the worst examples possible, by allowing the Pakistanis to terrorize us, year after year.

China would not tolerate 200 people getting killed by Taiwanese terrorists in Shanghai. We do, and the world laughs at us behind our backs and pats our heads for upholding the law and world order.

The French intervene with impunity in Libya. Bomb them with the Rafale's and then sell them to us. Why do we stay in our barracks exactly? Why do we not seek to influence our neighbours to see the world from our viewpoint.

This maldives nonsense is a proper failure of Indian govt non intervention in its neighbours affairs. We can and should intervene in every one of these sons of bishes pies, and make sure that they do not go against what our interests say to us.

sum · Post by **sum** » 10 Dec 2012 11:54

Sri wrote:No the game is now shifted. It will be repeat of what happened in Nepal 3 years ago and with Bangladesh few years ago. Watch the space. GMR will lose but not necessarily India.

As in Indian efforts to "tune" Maldives using multiple means will get accelerated after the kick in the nuts and there might be turnaround like what happened with Nepal and BD?

Chinmayanand · Post by **Chinmayanand** » 10 Dec 2012 12:13

johneeG wrote: Kur$hit is giving lectures on sovirginity, propriety and 'peace'. Is he the same person who threatened kejriwal of 'blood replacing ink'... Oh, well, jai ho!

That $hit is also a part of the ummah and he's doing his pious ghazi work by defending the qafir losses and ummah gains. But then this is the policy of all the secular indian political parties.

Sri · Post by **Sri** » 10 Dec 2012 13:07

sum wrote:
Sri wrote:No the game is now shifted. It will be repeat of what happened in Nepal 3 years ago and with Bangladesh few years ago. Watch the space. GMR will lose but not necessarily India.
As in Indian efforts to "tune" Maldives using multiple means will get accelerated after the kick in the nuts and there might be turnaround like what happened with Nepal and BD?

There are subtle ways at our disposal. We don't need to use a hammer when a gentle nudge will yield just as much.

GMR contract was in trouble when previous Government could legislate NOT application of user fee after courts struck it down as illegal, but was forced to compensate directly to GMR as per agreement this fee constituted an important revenue stream. Nasheed was still confident and thought matter will be sorted in next session of Majlis, but before that he lost power. Now cost of $ 1.2 mn per month is unsustainable for Maldives. They are broke and can't afford to default on the only national asset that they have of any strategic value. Current President can't see the legislation through, so he used the clause in the agreement wherein Maldiev can cancel the contract if it is found against it's national interest. Basically contract envisioned pay out to GoM and not from GoM. This is the cause of irritation and not chinese interference. There has to be a new contract in accordance with Maldieves laws and court judgement. In case they fail to reach a deal the potential pay out to GMR could be a huge number and will see GoM defaulting. good enough reason for early elections, which points towards Nasheed's return to power through legal means. Ofcourse a small loan (by India's standards) to new friendly democratic regime in Maldieves could then be arranged.

shyamd · Post by **shyamd** » 10 Dec 2012 15:24

Captain RS Sunil appointed first defence attaché

On the day GMR surrendered the Male International Airport project to the Maldives government, India posted Captain RS Sunil of the Indian Navy as the first defence attaché to the island nation. Top government sources, however, maintained that New Delhi has no intention of getting embroiled either in commercial disputes or internal politics pertaining to Maldives. Instead, it will keep a close watch on Chinese and American manoeuvres in the island nation, besides fundamentalist forces that are trying to penetrate the local polity through the radical Adhaalath Party.

Official sources said that while India understands that the GMR airport is only a convenient tool being used in political infighting between Maldivian parties, it has no intention of allowing radical forces to take over the island nation.

This was communicated to Mohammed Waheed government by India during the SAARC ministerial meet in September.

Singha · Post by **Singha** » 11 Dec 2012 20:13

firstpost.com - Lankans are always willing prove the theory that basically they are ungrateful and willing to double cross anyone for 'tactical' gains.

Lanka does a Maldives, raises duties on Indian vehicles by 73%
by Sindhu Bhattacharya Dec 10, 2012

This could become the second instance, after the eviction of GMR Infrastructure from Maldives, where Indian companies suffer high handedness of India’s tiny neighbours with the government remaining a silent spectator.

Last month, Sri Lanka suddenly increased duties on SUV’s and commercial vehicles after more than doubling them for cars earlier in the year. If the island nation remains unchecked, this could spell the death of Indian automobile exports to Sri Lanka.

Not only were duties increased exorbitantly for Indian imports, the Sri Lankan government has apparently simultaneously reduced duties for vehicles coming from other Asian markets such as Japan.

Not only were duties increased exorbitantly for Indian imports, the Sri Lankan government has apparently simultaneously reduced duties for vehicles coming from other Asian markets such as Japan. Reuters
Unable to take the duty blow, exports of cars from India have already reduced by 90 percent where those of two-wheelers are down 60-70 percent. Sri Lanka is one of the largest export markets for Indian cars, two-wheelers, trucks and buses.

One in eight vehicles manufactured in India and exported found their way to this market last fiscal, with Sri Lankan exports netting $800 million to Indian automobile manufacturers.

A senior official of the Society of Indian Automobile Manufacturers (SIAM) said today that Sri Lanka has doubled duties on almost all vehicles categories.

A story in Sri Lankan daily The Sunday Times speaks of prohibitive duties edging out Indian vehicles “while exemptions to those coming from Japan will give them an added advantage in the market”.

This story also speaks of the Sri Lankan government clearing a Chinese investor’s application to set up a car assembly operation at two locations in the country for $20 million.

The SIAM official quoted above said if these reports are true, this could prove to be a double whammy for Indian automobile industry since as per an earlier SAFTA agreement (South Asian Free Trade Agreement) India has provided zero-duty access to products from SAFTA countries (including Sri Lanka) but does not enjoy the same privilege in these countries.

“This effectively means the Chinese company setting up a plant in Sri Lanka can export automobiles to India at zero import duty. If that happens, we will be hit from all sides,” said this SIAM official.

The Sunday Times story quoted an anonymous customs official saying “a technicality placed imports of cars from Japan at an advantage. While 80 percent of the cars imported into Sri Lanka are from India and under 1000cc engine capacity, no such vehicles are brought from Japan”.

Another story in Sri Lankan newspaper Business Times points out that the government there has “controversially reduced duties on racing cars while increase excise duty on small cars with engine capacity of less than 1000cc.

The Sunday Times story also quoted a car importer as saying the Maruti Alto would become more expensive by at least Rs 250,000 after the excise increases.

Other importers said the price of Indian trucks would increase by more than Rs 10 lakh. Till end-October, more than 5,000 cars were lying with dealers in Sri Lanka, waiting to be re-exported back to India because of exorbitant duties. The SIAM official said his association was in dialogue with the commerce ministry to sort out this excise issue.

But just like in the case of Maldives seizing their airport from GMR’s control, perhaps in this case too India may finally remain a silent spectator.

RamaY · Post by **RamaY** » 11 Dec 2012 20:47

Singha ji

This is PRC's tactical brilliance. They are trying to create a Taiwan for India in SL, with the help of West (especially the ba$tard Britishers) IMHO. The only problem is that India doesn't (yet) say SL is part of its nation. But if you see SAARC this is obvious.

Pakistan, by nature, is already an extension of PRC nuke deterrent to India.

My gut feel is that, In the next 10 yrs there will be attempts in SL to offer port services to PRC ACs (especially after PRC gets 2-3 ACs) and even offerings of a military base. Please note that PRC would need it to protect its shipping lanes in IoR.

India should start making strategic-alliances with as many willing SAARC nations as possible in the lines of NATO. And SL should be top on that list, even before Nepal and Bhutan because that direction is already covered by China.

ashish raval · Post by **ashish raval** » 11 Dec 2012 23:52

Lankans will realise their monumental mistake in the time to come when they will end up being a vassal and junkie living on Chinese hand out. Will be too late for redemption then.
History will be the judge of people who choose that path for their nation.

brihaspati · Post by **brihaspati** » 12 Dec 2012 00:44

RamaY ji,
these countries lick Chinese boots, because of two factors - because they have been taught and allowed to grow a national hatred for India, and primarily against the "Hindu" image of India (both radical Buddhists and Islamists), with an active participation in the project by the dominant regimes in power in India.

The second is that they respect force, and military thrashing. They know that China does not hesitate to project its military power, and is aggressive in doing so while - India is only defensive. India only talks of soft power and has not been even able to tweedle a thumb in all the regime changes that has happened in its neighbours, while China has been most active and succesfully so.

These are almost dog-like regimes - who will lick you feet if they know that you can throttle all their pleasure passages. Projection of power is not based on velvety one-up-manships in trie dialogues or exchanges hagiographically gloated over by regime bootlickers - oh, X from Indian side gave such a dashing repartee to Y from Pakiland while walking chummily side by side on the lawns of buildings of power. That could be a wonderful means of expressing publicly for any chuupa regime agent present at dinner parties - to show loyalty to the monarchy, but in real terms the best repartees are the spanking actually delivered to brats.

Empty clever words mean nothing to dogs.

RamaY · Post by **RamaY** » 12 Dec 2012 01:45

Thats what I was thinking. We have multiple forces in play. RG's thrusts are undone now under the leadership of SHQ.

devesh · Post by **devesh** » 12 Dec 2012 02:47

brihaspati ji,

the proactive ones get taken out. so what are India's options? you've highlighted this before: the penetration of the intel networks allows for "taking out" whenever a 'leader' steps out of line. is there any hope for India then? when can we hope to change the status of the penetrated intel orgs?

brihaspati · Post by **brihaspati** » 12 Dec 2012 04:47

^^^The next time round, start entirely from scratch. Promise the old ones that they will be safe and their pension maintained to reduce hassles. Once entrenched, drop every single living thing in those exalted halls - from roaches to rats. Politely or by the boot. Complete and total disruption of continuity is the only thing that can break the grip the externals have. This doesn't have to be violent, unless the other side insists. The state machinery should be built up from scratch, with completely a new set of personnel. Even there, some will have been compromised - so eternal vigil.

Virupaksha · Post by **Virupaksha** » 12 Dec 2012 05:19

brihaspati wrote:^^^The next time round, start entirely from scratch. Promise the old ones that they will be safe and their pension maintained to reduce hassles. Once entrenched, drop every single living thing in those exalted halls - from roaches to rats. Politely or by the boot. Complete and total disruption of continuity is the only thing that can break the grip the externals have. This doesn't have to be violent, unless the other side insists. The state machinery should be built up from scratch, with completely a new set of personnel. Even there, some will have been compromised - so eternal vigil.

Exactly what Sardar Patel did and the erst while british plan for the rajahs. Dalhousie's maxim of your kingdom will be mine if you dont have kids.
The ancients can stay but their progenies cant.

SSridhar · Post by **SSridhar** » 12 Dec 2012 15:44

Maldives for deeper ties with China - Ananth krishnan, The Hindu

Maldives Defence Minister Mohamed Nazim on Tuesday held talks with his Chinese counterpart in Beijing, on a visit that officials said was aimed at deepening military ties between the two countries.

Mr. Nazim told Chinese Defence Minister Liang Guanglie that the Maldives “is willing to cement relations between the two countries and their militaries”, the state-run Xinhua news agency reported.

His visit comes amid deepening economic and diplomatic engagement between the two countries. Tourism from China now accounts for close to one-fourth of the nation’s tourism industry, according to officials, with the market growing 40 per cent last year. Last year, China opened its first Embassy in the Maldives.

General Liang said on Tuesday China would “continue to develop friendly, cooperative and mutually beneficial relations with the Maldives under the principle of building a good-neighbourly relationship and non-interference in internal affairs”.

“China has always positively developed its military relations with the Maldives and hopes to enhance communication and cooperation, promote the construction of both militaries, and safeguard regional peace and stability,” he was quoted as saying by Xinhua.

China views the Maldives as an important Indian Ocean country to court, especially considering its strategically-significant location along sea lines that are being increasingly traversed by Chinese ships on piracy missions to the Gulf of Aden.

General Liang, in an interview with The Hindu in September, said PLA Navy ships “while conducting long-distance voyages, often went to close ports of littoral countries for logistic supply”, but added that media speculation suggesting Beijing was interested in a military base in the region was inaccurate.

The Defence Minister’s visit to Beijing comes amid a row between the Maldives and India over the decision to oust airport operator GMR.

chaanakya · Post by **chaanakya** » 14 Dec 2012 18:58

Official Xinhua Release on the visit of Maldivian DM

Chinese military official meets Maldives defence minister
(Xinhua)
10:09, December 12, 2012

BEIJING, Dec. 11 (Xinhua) -- Xu Qiliang, vice chairman of the Central Military Commission of Communist Party of China (CPC), met with Mohamed Nazim, the Maldives' minister of defence and national security on Tuesday, with both sides agreeing to expand military cooperation.

Xu said during their meeting that the two countries have in recent years increased mutual political trust, expanded trade and economic cooperation, diversified cultural exchanges and set an example for countries to treat each other as equals and cooperate with sincerity.

"The two militaries should continue to enhance high-level contact, strengthen pragmatic cooperation, expand the scope of cooperation and upgrade military relations," Xu added.

Xu also briefed Nazim on the recently concluded 18th CPC National Congress, saying that China will continue to hold high the banner of peace, development, cooperation and mutual benefit and commit itself to world peace and development.

Nazim warmly congratulated China on the successful conclusion of the congress, saying that the Maldives firmly believes China will continue its peaceful development and make greater contribution to world peace.

He said the Maldives hopes to strengthen communication and cooperation between the two countries as well as their militaries, jointly address common challenges and meet opportunities so as to promote the two countries' relations to a higher level.

ashish raval · Post by **ashish raval** » 15 Dec 2012 05:58

Guess what when these rats in the island will go in the ocean by 2050 they need to take their ship to hongkong or shanghai onlee. Ungrateful sods.

time to tighten the screw with few random political shootings and car explosions in Maldives then

RamaY · Post by **RamaY** » 15 Dec 2012 06:13

^

The goal is to educate enough Indians That when this situation really comes calling, majority Indians deny them any space on Indian land.

Bade · Post by **Bade** » 15 Dec 2012 07:05

Can't deny the China hand in Maldives.
China behind scrapped GMR deal to extend footprint in Maldives?

NEW DELHI: China's growing ties with the Maldives, blamed discreetly for the scrapped GMR airport deal, may be part of its larger scheme to dominate the strategically-important sea lanes of the Indian Ocean Region (IOR), according to an assessment of the Indian intelligence agencies. Beijing is reportedly wooing Male to pre-empt a US move to set up a new military base in the Maldives' southernmost island of Gan.

Incidentally, though the ministry of external affairs was rather discreet about the involvement of a 'foreign hand' in the GMR episode, intelligence assessments coming in from Male are more upfront in outlining fears of a China factor.

Gan, a tourist destination in Addu Atoll that also has an international airport, is considered safe for deep anchorage. The US, sources in the Indian security establishment told TOI, has evinced interest in the former British naval and air force base in Gan for servicing its naval fleet, launching surveillance operations and routing military supplies. This is in sync with US President Barack Obama's "pivot towards Asia" policy.

Though the Americans have an existing military base in Diego Garcia — also in the Indian Ocean — its 50-year-old lease will expire in 2016. The lease pact for the British-controlled island allows its renegotiation for another 20 years, but with the UK favourably inclined to granting the Mauritian government's demand for sovereignty and resettlement of the native population, the Americans are said to be eyeing an equally strategic alternative site.

Gan — a Royal Navy base during World War II, then with the Royal Air Force (RAF) base during the Cold War and ultimately vacated by the RAF in 1971 - reportedly fits the bill.

But with China aspiring to overtake the US as the global superpower in the long run, the Indian intelligence establishment feels it can ill-afford growing American military interests in the IOR waters. Proximity to the Maldives, intelligence reports with New Delhi have pointed out, will not only help Beijing pre-empt the US move but also realize its dream of setting up its own military base in the region.

The increasing Chinese footprint in the Maldives was evident when it was allotted prime land to open its embassy in Male a couple of months ago. A massive $500 million loan was extended by the Chinese around the same time.

A recent statement by former Maldivian president, Maumoon Abdul Gayoom, that "China has been with us for 40 years" and that it was "natural for a country with such huge resources to come and help us" indicates Beijing's growing importance to the Maldives vis-a-vis traditional ally India.

Just three months ahead of the GMR deal was scrapped, Maldivian president Mohamed Waheed, who replaced Mohamed Nausheed in a `coup' in February, paid his maiden visit to China, extolling the latter's approach towards "small countries" and its policy of non-interference in their internal affairs "unlike other influential nations". Though Waheed did not take names, his statement was seen as directed against India.

Earlier this week, Maldivian defence minister Mohamed Nazim and his Chinese counterpart Liang Guanglie vowed to strengthen military ties during the former's Beijing visit.

brihaspati · Post by **brihaspati** » 15 Dec 2012 08:09

So there is just one single devil in the sand? Therefore the things should turn around immediately as soon as India extends a 600 million dollars loan to Male?

Bade · Post by **Bade** » 15 Dec 2012 08:11

Why focus on only one particular devil. Each can choose the ones they fancy, if strategy can be just boiled down to such simplistic views.

brihaspati · Post by **brihaspati** » 15 Dec 2012 08:54

I thinkw e should look at the total investments from the different relevant countries into Maldives. If investments were the onlee factor, China would have been trumped by India by now. Investmenst are often mentioned in such China-basher articles - as if "investments" are the onlee way China dominates countries fromw hich India is kicked.

That is onlee part of the story. Given equal investments or even far-more investments than China, these countries would still like to remove India - because of their ideology, both Islam and communism in and around the subcontinent - are driven by hatred of the "Hindu", and beceause both of these ideologies are worshippers of brute physical/military coercion. They believe and look forward to coercive states, of course using coercion against others and themselves at the controlling centre.

member_20317 · Post by **member_20317** » 15 Dec 2012 10:13

brihaspati garu, looking at break up of investments countrywise would be of no help. Indians can never match others.

Our people have to realise that power does not flow only by cash outflows, it can quite easily flow from cash inflows and even the 0% import duties. Let the Chinese plant come up then tinker around with free trade. Even more importantly we should create a space for Maldivians in the manner of Mauritius and then remind them of the monies hosted from Maldives that way say about once every year.

Victor · Post by **Victor** » 15 Dec 2012 10:23

We need to engineer an "event" in Maldives that will lead to an invasion by Indian forces. An act of terror by Islamic fundamentalists should fit the bill. Clean out the place of "al qaeda" with a swift and brutal "Operation Tsunami". Should take no more than a battalion of paras. Then build up Gan Island and another major base near Male with every sign of being there for 100 years. Nothing else will work. We need to do this before any permanent damage is done leading up to the 2013 elections or those will be difficult to roll back, like a chinese base.

Ah well. We can dream but this GoI will probably offer the chinese a base themselves in the spirit of peace and harmonium. Like the UNSC seat.

member_20317 · Post by **member_20317** » 15 Dec 2012 10:29

This shows why Indians should have a strong Intel set up even in friendly countries.

By now we should have had a dossier on every living creature in Maldives.

Singha · Post by **Singha** » 15 Dec 2012 10:58

http://www.firstpost.com/world/india-an ... 57977.html

looks like atleast we are putting some presence in the area adjoining myanmar(rakhine state) to prevent anyone else meddling there.
note the part about developing the sittwe port and opening a consulate there.

quite a beautiful part of the country - vegetation, sky, people, boats, bamboo hats very similar to assam
http://www.youtube.com/watch?v=t-edl_MQo0Q

seems to be proudly buddhist and you can see evidence of stupas 100s of yrs old undamaged by the "green claws" that leveled nalanda and taxila.

and an expedition down the river from India
http://www.ribexpedition.com/expedition ... avel-diary

chetak · Post by **chetak** » 15 Dec 2012 11:26

A self goal??

GMR bill that sparked ruckus

GMR bill that sparked ruckus
By Jayanta Roy Chowdhury | http://www.telegraphindia.com – Thu 29 Nov, 2012

New Delhi, Nov. 28: The Maldives government has discovered to its dismay that it would have to fork out a staggering $519 million to the GMR Group over a 25-year period to operate the refurbished Ibrahim Nasir International Airport ' one of the reported reasons it chose to scrap the contract yesterday.

Blame it all on the terms of a loaded contract that was conceived in 2010 as a revenue-sharing arrangement between the Maldives government and the GMR Group, which runs the Indira Gandhi International Airport in Delhi and the Rajiv Gandhi International Airport in Hyderabad.

The brouhaha erupted after GMR recently presented a bill for $3.7 million to the Maldives government for running the airport.

Two clauses lurking in the fine print of the agreement struck between the Maldives government headed by former President Mohamed Nasheed and GMR has sparked the situation where the former must pay, instead of receive, money under the deal.

The first is a standard clause that said the Maldives government would receive a revenue share under the contract. The second had permitted GMR to levy a steep airport development fee of $25 per passenger ' arguably the highest such levy anywhere in the world.

The airport project, which was to be built at a cost of $500 million, was touted as the biggest foreign direct investment into the country. It conferred on GMR the right to run the airport for 25 years and was extendable by another 10 years.

The build, operate and transfer (BOT) project was supposed to provide the Maldives $1 billion over 25 years, which is a big deal considering the island nation's GDP is estimated at $2.8 billion.

Opposition parties, which had been protesting against the deal, had gone to court questioning the legal validity of the airport development fee (ADF). Their argument was that it amounted to the levy of a tax that did not have the sanction of Parliament. The court upheld this argument in the winter of 2011.

The current crisis erupted after the Nasheed government said GMR could set off the ADF against the revenues that the government was supposed to receive. It chose to take that step because it wanted to keep the biggest foreign investor in the country happy.

The new government under President Mohamed Waheed has woken up to the calamity posed by that administrative fiat.

The Maldives received a paltry $525,255 in the first quarter of 2012 against a revenue share of $8.7 million that it was originally entitled to get.

In the second quarter of 2012, GMR informed the government that the ADF collections "eclipsed" the revenue share of the government ' and it promptly presented it with a bill for $1.5 million.

By the third quarter, the Maldivian government's payout ballooned to $3.7 million.

"The net result is that the Maldives government now has to pay GMR for running the airport," Hasan Saeed, special adviser to President Waheed, said in a note.

"On this basis, it is likely that the Maldives government will end up paying about Maldives Rufiyaa 8 billion ($519 million) to GMR for the duration of the contract," he added.

The Waheed government has now decided that the contract is no longer workable in its present form and would become a huge drain on its parlous coffers.

Arun Bhagat, vice-president of GMR, has confirmed that the Maldives government now owes the airport developer $3.7 million. He added that the $25 ADF was at the heart of the conflict.

GMR had at one stage proposed a compromise by offering to waive the ADF for Maldivian nationals and levy it only on foreigners.

The Maldives government has balked at the levy since it could scare off tourists who are the biggest source of revenue for the island nation. Tourism accounts for 28 per cent of its GDP and more than 60 per cent of the Maldives' foreign exchange receipts.

Victor · Post by **Victor** » 15 Dec 2012 18:33

GMR won the contract in open bidding and the Maldives would have immediately noticed anything different or unusual in its bid. Further, it is difficult to believe that the World Bank's International Finance Corporation which oversaw the contract negotiations from day one would have allowed anything that was out of the norm. GMR seems to have been very much above board and took appropriate precautions but in a jehadi dispensation, nothing is sacred.

The Singapore court essentially said in its ruling: The Maldives govt can do anything it wants in its jurisdiction but will have to pay compensation if it breaks a contract. It now appears that the damages could climb beyond $800 million before the airport is completed (another $200-$300 mil). This would cover the amount already spent, loss of future revenues, legal costs and damages.

Hopefully, GoI is quick enough on its feet to offer a loan for this amount at 0% interest before the Chinese or Arabs do.

RajeshA · Post by **RajeshA** » 15 Dec 2012 19:45

If trouble starts in the island nation, which tourists are going to come visit. They may need to live off fish onlee!

RamaY · Post by **RamaY** » 16 Dec 2012 00:08

BUSINESSDecember 13, 2012, 1:23 a.m. ET GMR Seeking $800 Million Compensation From Maldives

By PRASENJIT BHATTACHARYA

NEW DELHI--An Indian-Malaysian consortium led by GMR Infrastructure Ltd. 532754.BY +0.55% is seeking compensation of more than $800 million from the Maldives after the government last week cancelled a deal to run the island nation's main airport and took over operations.

"We have given the Maldives government rough estimates of the compensation," Sidhartha Kapur, the chief financial officer of GMR Infrastructure's airports division, told The Wall Street Journal Thursday.

The claim amount could be finalized in six to 12 months, he added.

"We are working out the legal strategy," Mr. Kapur said, referring to arbitration proceedings in Singapore between the Maldives government and the consortium.

The consortium of India's GMR and Malaysia Airports Holdings Bhd 5014.KU +0.38% . had been operating the tourism-dependent nation's only international airport since November 2010.

The consortium won an international tender in 2010 to run the airport for 25 years, and to build a new passenger terminal as well.

According to the terms of the contract signed between the consortium and the previous Maldives government, only Singapore and British courts have jurisdiction to resolve disputes.

Masood Imad, a spokesman for the Maldives government, told The Wall Street Journal that the government hasn't been informed of the $800 million compensation claim.

"I won't speculate on the compensation amount. An arbitration proceeding is ongoing in Singapore. Maldives will wait for the court's settlement."

The government's decision to take over the airport last Friday came amid a feud over political control of the Maldives. The democratically elected government of then-President Mohamed Nasheed was overthrown in February this year in what has been described as a coup. The present government, however, insists Mr. Nasheed stepped down on his own. The Male airport deal was signed during Mr. Nasheed's regime.

The current government says the airport contract is invalid as it allowed the consortium to collect airport development fees from passengers. It said the practice is unconstitutional because it doesn't have parliament's approval.

The company, which runs airports in India's New Delhi and Hyderabad cities and another one in Turkey's Istanbul, said it will continue to pursue opportunities for building and operating airports globally.

However, it would be cautious about projects in smaller countries, where a change in a political system could lead to contracts being canceled, Mr. Kapur said.

RamaY · Post by **RamaY** » 16 Dec 2012 00:10

GMR eyes $1.1 bn compensation from Maldives

The GMR Group plans to to seek a compensation of over $1.1 billion from the Maldives government after the latter wrested control of the Ibrahim Nasir International Airport from the operator.

GMR and Malaysia Airport Holdings (MAL) had won the $500-million airport project in

November 2010 to modernise and run the Male airport for 25 years in a tender process overseen by the World Bank.
MACL (state-controlled Maldives Airport Company Ltd), based on Maldivian government's instructions, had on November 27 terminated the contract -the country's biggest foreign investment project - a move that left New Delhi rattled.

A senior GMR official had said that the Maldives Attorney General had calculated the compensation at $700 million.

"However, it would be much more than that. Compensation due to GMR due to the illegitimate cancellation of contract by government of Maldives may put significant and avoidable financial burden on the people of Maldives," he added.

RamaY · Post by **RamaY** » 16 Dec 2012 00:14

Maldives without budgetary provisions to cover GMR’s US$800m compensation claim

Financial authorities in the Maldives have said no budgetary provisions presently exist to cover an estimated US$800 million in compensation being sought by Indian infrastructure group GMR after the government abruptly terminated its agreement to develop Ibrahim Nasir International Airport (INIA).

Finance Minister Abdulla Jihad told Minivan News today that no mechanism was currently budgeted should the Maldives face a multi-million US dollar bill for evicting GMR, but stressed it was not for the company to decide on any eventual payment.

GMR has said that the proposed US$800 million claim was based on its “provisional estimates” and that the company had also taken into account the Maldives’ ability to cover such payments if compensation was awarded by the Singaporean courts overseeing arbitration.

However, Jihad today played down fears that any potential fine could prove perilous for the Maldives’ economy, as well as attempts to reduce its spiralling budget deficit, stating that any possible fines would be set by the Singaporean arbitration court hearing the dispute.

“We will deal with the matter when we know the amount of compensation to be paid,” he said. “GMR cannot decide, it will be down to the court [hearing the arbitration].”

Jihad also claimed that there had been no communication between GMR and the Maldives government over compensation as the matter was presently being dealt with through arbitration.

“There has been no communication [with GMR] over the levels of compensation,” he said.

Budget battle

With the compensation case pending, the Maldives government is this month attempting to reduce its spending as it also faces calls to cover debts from its neighbours and pressure from the International Monetary Fund (IMF) to reduce a ballooning fiscal deficit and protect dwindling state reserves.

The Indian government last month requested that the Maldives repay US$100 million in treasury bond funds by February 2013 – a matter it claimed was not related to a diplomatic row over the airport dispute at the time. Local media has previously reported that state reserves could fall to just US$140 million (MVR2.2 billion) once the payments are settled.

It is amidst these budgetary challenges that GMR has said it was seeking up to US$800 million in compensation following the termination of its US$511 million concession agreement signed under the former government back in 2010.

“Preliminary estimate”

GMR’s chief Financial Officer (CFO) Sidharath Kapur told Minivan News today that the sum was a “preliminary estimate” based on a number of factors including investments made by the company, debt equity and loss of profits as a result of the contract termination.

Kapur added that on Tuesday (December 11) the company had communicated with Maldives Ministry of Finance by sending an official letter outlining its concerns that the contract had been “wrongfully” terminated without respect for the agreed procedures.

Speaking to the India-based Economic Times newspaper today, Government Spokesperson Masood Imad suggested GMR had been a victim of failing to perform proper due diligence before signing a contract with the former government – which was ousted following a police and military mutiny in February 2012.

A particular point of contention for GMR during the contract’s lifetime was an Airport Development Charge (ADC) – a US$25 fee for outgoing passengers stipulated in the concession agreement – which was blocked by the then-opposition Dhivehi Qaumee Party (DQP) in the Civil Court on the grounds that it was a tax not authorised by parliament.

Former President Nasheed’s administration chose to honour the original contract, and instructed GMR to deduct the ADC revenues from the concession fees due the government, while it sought to appeal the Civil Court ruling.

However, the Nasheed government fell in February 2012 and the opposition inherited the result of its court victory, receiving a succession of bills from the airport developer throughout 2012, despite the government’s insistence that the January 5 letter from MACL outlining the arrangement was no longer valid.

Government spokesperson Imad alleged that the ADC dispute has resulted from a lack of transparency by the former administration. “We feel the former government should have been transparent with GMR on the ADC issue,” he was quoted as telling the Economic Times today.

However, Kapur rejected the governments’ claims, stressing that its tender agreement to develop INIA had been overseen by legal and financial experts including the International Finance Corporation (IFC), a World Bank entity, as well as the certified approval from the former Attorney General Ahmed Ali Sawad.

“The IFC had clearly said that there are no further approvals required for the ADC. We were in compliance with all laws and all approvals had been taken as backed by the then attorney general of the Maldives,” he said. “Beyond that, what further due diligence could we do? Any international bidder would have taken comfort in that level of due diligence.”

With GMR’s calls for compensation currently being heard by the Singaporean judiciary, Kapur said the company believed there was a high probability it would be awarded financial remuneration to be paid by the Maldivian government.

Pointing to the verdict given by the Supreme Court in Singapore earlier this month, Kapur said that in allowing the Maldives government to expropriate the airport, the provision of compensation was required to be given to the company.

“What the appellate court has said is that appropriate compensation must be paid. [The Maldives government] have the right to do as they wish as long as compensation is paid, this is binding on the Maldivian government,” he said.

While expecting a favourable outcome in its calls for compensation, Kapur added that the company was aware of the Maldives’ present financial vulnerabilities as well as its ability to cover any such payments.

“The possibility of getting compensation is high, but [the Maldives government's] ability to pay is unknown,” he said.

Kapur added that in other international tribunal cases such as this, there were a number of methods that a court can use to ensure compensation is implemented. However, he said it was still too early to speculate on what form these methods may take in the case of the INIA dispute.

“Specific mechanisms”

Meanwhile, in a letter sent to the Maldives’ Ministry of Finance and Treasury, Andrew Harrison, CEO of the GMR Male International Airport Limited (GMIAL) that ran INIA under the agreement, reiterated the company’s argument that there had been “specific mechanisms” established to terminate the contract under specified circumstances.

“There is no suggestion that any of the circumstances arose,” the letter was reported to have read, according to the Economic Times.

Harrison was also said to have claimed that despite the present government’s stand that the contract was “void ab initio” or invalid from the beginning, the government “also warranted and specifically represented that the Concession Agreement was valid, legal and binding.”

“Further, as part of the closing of the financial transaction on 28 December 2010, the then Attorney General of the Maldives rendered a formal legal opinion confirming that the Concession Agreement was lawful,” the letter was said to state.

Minivan News was trying to obtain a copy of the letter at the time of press.

Smooth takeover

Management of INIA was taken over by the state-owned Maldives Airports Company Ltd (MACL) on Saturday (December 8 ) after the Singaporean Supreme Court had overturned an injunction blocking the Maldivian government from voiding its concession agreement with GMR.

Both GMR and the MACL have this week praised the management handover as “going smoothly” as the government began planning for the future of INIA beyond the aborted privatisation plan. The termination of GMR’s contract officially ended the largest single foreign investment project in the country’s history.

On Tuesday (December 11), the Maldives cabinet recommended the formation of a government-owned company to run Ibrahim Nasir International Airport (INIA)

Looking towards the future of the airport, the cabinet recommended that Male’ International Airport Ltd be formed with 100 percent government shares, while claiming full authority to operate and develop INIA through a special contract with the Maldives Airports Company Ltd (MACL).

Speaking to Indian media earlier this week, President Dr Mohamed Waheed Hassan Manik has dismissed suggestions that China urged the Maldives to push out the Indian company.

“The only significant cooperation we have with China at this time is through development assistance… like building the museum, housing projects. I don’t think India should worry about it at all,” Waheed was quoted as saying in the Hindu newspaper.

The claims were made as Maldives Defence Minister Colonel (Retired) Mohamed Nazim departed to China for a five-day official visit said to be focused on securing its assistance in developing the Maldivian military.

The President had claimed that the Maldives was presently “not looking for a foreign investor” to develop the international airport, with the government announcing that it was undecided on whether any new privatisation agreement would be sought in future.