1 No. 02 of 2017 SIXTH NATIONAL ASSEMBLY PARLIAMENTARY DEBATES (HANSARD) (UNREVISED) FIRST SESSION TUESDAY 04 APRIL 2017 2 CONTENTS PAPERS LAID QUESTIONS (Oral) MOTIONS STATEMENTS BY MINISTERS BILLS (Public) ADJOURNMENT QUESTIONS (Written) 3 THE CABINET (Formed by Hon. Pravind Kumar Jugnauth) Hon. Pravind Kumar Jugnauth Prime Minister, Minister of Home Affairs, External Communications and National Development Unit, Minister of Finance and Economic Development Hon. Ivan Leslie Collendavelloo, GCSK, Deputy Prime Minister, Minister of Energy and Public SC Utilities Hon. Sir Anerood Jugnauth, GCSK, Minister Mentor, Minister of Defence, Minister for KCMG, QC Rodrigues Hon. Showkutally Soodhun, GCSK Vice-Prime Minister, Minister of Housing and Lands Hon. Seetanah Lutchmeenaraidoo, GCSK Minister of Foreign Affairs, Regional Integration and International Trade Hon. Yogida Sawmynaden Minister of Technology, Communication and Innovation Hon. Nandcoomar Bodha, GCSK Minister of Public Infrastructure and Land Transport Hon. Mrs Leela Devi Dookun-Luchoomun Minister of Education and Human Resources, Tertiary Education and Scientific Research Hon. Anil Kumarsingh Gayan, SC Minister of Tourism Dr. the Hon. Mohammad Anwar Husnoo Minister of Health and Quality of Life Hon. Prithvirajsing Roopun Minister of Arts and Culture Hon. Marie Joseph Noël Etienne Ghislain Minister of Social Security, National Solidarity, and Sinatambou Environment and Sustainable Development Hon. Mahen Kumar Seeruttun Minister of Agro-Industry and Food Security Hon. Ashit Kumar Gungah Minister of Industry, Commerce and Consumer Protection Hon. Ravi Yerrigadoo Attorney General Hon. Jean Christophe Stephan Toussaint Minister of Youth and Sports Hon. Soomilduth Bholah Minister of Business, Enterprise and Cooperatives Hon. Marie Roland Alain Wong Yen Minister of Social Integration and Economic Cheong, MSK Empowerment 4 Hon. Mrs Fazila Jeewa-Daureeawoo Minister of Gender Equality, Child Development and Family Welfare Hon. Premdut Koonjoo Minister of Ocean Economy, Marine Resources, Fisheries and Shipping Hon. Soodesh Satkam Callichurn Minister of Labour, Industrial Relations, Employment and Training Hon. Purmanund Jhugroo Minister of Local Government and Outer Islands Hon. Marie Cyril Eddy Boissézon Minister of Civil Service and Administrative Reforms Hon. Dharmendar Sesungkur Minister of Financial Services, Good Governance and Institutional Reforms 5 PRINCIPAL OFFICERS AND OFFICIALS Madam Speaker Hanoomanjee, Hon. Mrs Santi Bai, GCSK Deputy Speaker Teeluckdharry, Hon. Kalidass Deputy Chairperson of Committees Jahangeer, Hon. Ahmad Bashir Clerk of the National Assembly Lotun, Mrs Bibi Safeena Deputy Clerk Ramchurn, Ms Urmeelah Devi Clerk Assistant Gopall, Mr Navin Clerk Assistant Seetul, Ms Darshinee Hansard Editor Jankee, Mrs Chitra Serjeant-at-Arms Pannoo, Mr Vinod 6 MAURITIUS Sixth National Assembly --------------- FIRST SESSION ------------ Debate No. 02 of 2017 Sitting of 04 April 2017 The Assembly met in the Assembly House, Port Louis at 11.30 a.m. The National Anthem was played (Madam Speaker in the Chair) 7 PAPERS LAID The Prime Minister: Madam Speaker, the Papers have been laid on the Table – A. Prime Minister’s Office (a) Certificate of Urgency in respect of the following Bills (In Original) - (i) The Mauritius Institute of Education (Amendment) Bill (No. II of 2017); and (ii) The Shooting and Fishing Leases (Amendment) Bill (No. of III of 2017). (b) The Passports (Amendment) Regulations 2017. (Government Notice No. 50 of 2017) B. Ministry of Agro-Industry and Food Security The Agricultural Marketing Board’s Annual Report for the year ending 31 December 2014. C. Ministry of Industry, Commerce and Consumer Protection The Rodrigues Consumer Protection (Control of Price of Taxable and Non- taxable Goods) (Amendment No.7) Regulations 2017. (Government Notice No. 49 of 2017) 8 ORAL ANSWERS TO QUESTIONS SOBRINHO, MR ALVARO – COMPANIES - FUNDS The Leader of the Opposition (Mr X. L. Duval) (by Private Notice) asked the hon. Prime Minister, Minister of Home Affairs, External Communication and National Development Unit, Minister of Finance and Economic Development whether, in regard to Mr Alvaro Sobrinho and his group of companies, he will – (a) state if an inquiry has been carried out into the sources of funds thereof; (b) state why responsibility for Investment Banking was transferred from the Bank of Mauritius to the Financial Services Commission; (c) for the benefit of the House, obtain information, as to the licences and permits issued thereto by the Board of Investment, including under the Hotel Investment Scheme, Real Estate Scheme, Integrated Resort Scheme and Property Development Scheme, and by other regulatory financial institutions, if any; (d) state the permits issued thereto under the Non-Citizens Property Restrictions Act; (e) state if VIP facilities have been extended thereto, and (f) state if a Commission of Enquiry will be set up to inquire thereinto. The Prime Minister: Madam Speaker, I thank the hon. Leader of the Opposition for his PNQ which gives me an opportunity to shed light on some of the various aspects of the Sobrinho case. In fact, this PNQ is welcomed as so many perceptions and misperceptions, as against value judgments, so many innuendoes, and so much information and disinformation have been echoed in the media and by politicians desperate to discredit the Government. Madam Speaker, concerning part (a) of the question, I am informed that the Financial Intelligence Unit, the Financial Services Commission and the Bank of Mauritius have carried out various enquiries into the sources of funds of Mr Alvaro Sobrinho and his group of companies. It is also the duty and responsibility of Commercial Banks to conduct a due diligence exercise on their customers before any funds are credited. 9 Concerning the FSC, the Commission processed and scrutinised the applications as per its established procedures and practices. The applications were supported by all necessary documents including constitutive documents, customer due diligence on promoters, beneficial owners, shareholders and directors, prospectus, and administration agreement, amongst others. The scrutiny revealed that, I quote - “In June 2011, Alvaro Sobrinho, President of the Banco Espirito Santo (BES) de Angola, was suspected in the Portuguese investigation to 48 million illegally transferred from Banco Nacional de Angola (BNA) to the main national banks through the BES. Three Portuguese businessmen are also being investigated by the Judicial Police (Policia Judiciara).” The Commission requested the Management Company, NWT (Mauritius) Ltd, for an enhanced due diligence to be conducted on Mr Sobrinho and requested the applicants to provide their comments with respect to an allegation that Mr Sobrinho was the subject of an investigation into money laundering involving transfer of USD 4.5 m. by Mr Sobrinho. The following documents were submitted - (a) Summary of criminal proceedings dated 23 May 2013 carried out against Mr Sobrinho both in Angola and Portugal, and (b) Notice of Clearance from the Public Prosecution Service Attorney General’s Office of Angola dated 08 November 2011 declaring that the State of Angola had no wish to pursue any legal action against Mr Sobrinho. The 9th Criminal Division of the Lisbon Court of Appeal, on 07 July 2017, allowed the appeal lodged by Mr Sobrinho against the seizure of his assets in Portugal, which assets were seized on suspicion that they were the product of various financial crimes, including misappropriations of money, embezzlement, money laundering, breach of trust etc. There was a fresh application by the Public Prosecutor’s Office of Portugal to quash the above decision and it was again rejected on 29 September 2016. Based on the submissions and on being satisfied that the applications were in order, the Commission granted the following licences - 10 (a) Category 1 Global Business Licence and Collective Investment Scheme Manager Licence on 28 August 2015 and an Investment Adviser (Unrestricted) Licence on 22 March 2016 to AS African Asset Management Ltd; (b) Category 1 Global Business Licence and authorisation to operate as a Collective Investment Scheme on 28 August 2015 and an authorisation to be converted into a Closed-End Fund on 23 March 2016 to Alvaro Sobrinho Africa (ASA) Fund; (c) Category 1 Global Business Licence and authorisation to operate as a Collective Investment Scheme on 28 August 2015 and an authorisation to be converted into a Closed-End Fund on 23 March 2016 to PASET Fund, and (d) Investment Banking Licence on 25 November 2016 to Alvaro Sobrinho Africa Ltd. It was only in February 2017 that fresh information came to light namely, that, I quote - “The ongoing investigation by the Portuguese Criminal Investigation and Penal Action Department (DCIAP) has reportedly uncovered a pattern of unsecured loans by BESA (Banco Espirito Santo de Angola) […] and the recipients of these loans without collaterals belonged to the Espirito Santo Group, to companies linked to Alvaro Sobrinho [...].” “Former DCIAP prosecutor, Orlando Figueira, was [...] arrested by PJ (Policia Judiciara) Police on suspicion that he “received bribes up to a million euros” to ensure lawsuits involving on high-ranking figures in Angola was archived. According to reports, Figueira is believed to have ordered the closure of as many as 10 cases – including that of former president of BES Angola, Alvaro Sobrinho […].” In view of the foregoing, the licensees have been requested