Connect with us
Advertisement

DIS Executives clash over recruits  

DIS Deputy Director General: Kgotlhane

Directorate of Intelligence and Security (DIS) Director General Peter Magosi and his Deputy Tefo Kgotlhane are at loggerheads over the appointment of three ladies who were recently recruited to join the spy agency, WeekendPost has been informed.

Information reaching this publication this week is that their recruitment has sparked controversy and dispute across the organisation. The bone of contention is the verity that they will be appointed at E scale despite the fact that the organisation is broke.

One of the female appointees is reported to have been fired at the University of Botswana (UB) recently under controversial circumstances, WeekendPost has learnt.

It is alleged that the three female employees who were directly recruited by Magosi possess no special skills that warrant them the special E scale even though some disgruntled agents have long lodged complaints about low wages.

Since he took over as the spy chief, Magosi is alleged to have recruited an unprecedentedly high number of agents to the organisation. His strategy has however not been without opposition.

Magosi is not only facing a challenge from reported fall out with President Mokgweetsi Masisi, but also within the organisation. Dissenting voices associated with the previous administration are throwing down the gauntlet and have at some point made their feelings known.

The disgruntled agents have relentlessly made it known that Magosi should be relieved of his duties. The country’s intelligence organ is reported to have been unstable since the departure of Col Isaac Kgosi. This particular development has been confirmed by Magosi himself.

Some senior employees who spoke on condition of anonymity previously told WeekendPost that a series of letters have been exchanged between concerned employees and the DIS senior management.

It is alleged that in his response, Magosi has threated to fire his two deputies; Modiri Keoagile and Kgotlhane. Magosi is accusing the duo of failing him in his absence and conniving with the previous regime to act against the interest of the DIS.

Confirming the news to WeekendPost, Magosi said he is aware of some non-security personnel within the Directorate who want him removed from the position of Director General.

Magosi said it is nothing strange as the concerned people think he is favouring former soldiers that he brought with him from the BDF.

“Its nature. You will not always get what you want in life and under such circumstances one is forced to react. I can confirm that they want me fired,” Magosi previously told WeekendPost.

The Director General also confirmed that the DIS has employed two prominent former soldiers (names withheld) to join the Directorate but denied allegations that he wants to fire his two deputies.

Magosi said: “I am an experienced Special Forces Operatives, Experienced Intelligence Officer, I have done them at tactical, operational and strategic levels. This puts me as a qualified person to understand the socio-political landscape of this country. I do not blame those who see me behind the President and blame me for doing my job. Their level of understanding cannot match mine.”

Magosi said Botswana has for a long time experienced overwhelming corruption at the highest level and nothing seems to be done about it; and if left unattended the corruption manifests to become a security threat.

“Botswana has mineral resources and now we have unorthodox interested parties from outside the country and this has become a problem that needs to be attended to,” he said.

Since its establishment, the intelligence unit has been marred by controversy, and has been of interest to the media and other notable watchdogs including parliamentary Public Accounts Committee (PAC).

DIS Spokesperson, Edward Robert has however disputed that there is a power struggle between Magosi and his deputies as well as justifying the intelligence organ’s recruitment policy.

“I am not aware of any tension existing between the Director General and any of his two deputies,” Robert said. “We do not, as a matter of practice, discuss with the media issues of staff recruitment.”

Robert said DIS as a professional entity has a fool-proof sourcing model that aims to find the right fit for the right job.

“As is standard, after identifying a vacancy that exists, followed by analysing the job specifications including the knowledge, skills and experience needed for the role we then start the search for the required talent. We could then fill the position internally, advertise for the job or talent spot,” he said.

 

News

UDC declares war on Skelemani

3rd August 2020
Skelemani

Leader of Opposition’s (LOO) Dumelang Saleshando has said the Speaker of the National Assembly, Phandu Skelemani risks losing the moral authority to preside over the house due to the manner in which he handles parliament proceedings.

This week parliament made an unprecedented decision to suspend Saleshando, from parliament for a period of a week. Saleshando is also Member of Parliament for Maun West. Subsequent to Saleshando’s suspension, opposition Members of Parliament boycotted parliamentary proceedings, save for Alliance for Progressives’ Wynter Mmolotsi.

Saleshando was suspended for refusing to withdraw his statement in which he implicated President Mokgweetsi Masisi’s sister in a tender alleged to have been awarded corruptly. While Skelemani has relatively enjoyed respect from opposition parties since the beginning of the 12th parliament, it appears the Tuesday events will turn things around.

“The speaker is risking losing the moral authority to precede over the house. Because we don’t have the numbers but we can’t participate in a match,” Saleshando told media on Wednesday.
Saleshando who has since written a letter to the speaker to outline the opposition’s displeasures, pointed out that the Speaker has on many occasions spoke to members of opposition in a disrespectful manner.

One example, according to the Leader of Opposition was during the State of Emergency when the speaker ordered that Oneetse Ramogapi, Member of Parliament for Palapye, to sit down “because matters being discussed are too complex for him to comment on.” Saleshando indicated that some of the jabs being thrown at them undermine themselves as MPs because of use of condescending expressions.

Saleshando further emphasised that his suspension from parliament was not an independent decision made by the Speaker. He also pointed out that his suspension was staged hence Masisi was present on the day. Former BDP MP Tshekedi Khama also expressed his displeasure, further indicating that they stand in solidarity with the Umbrella for Democratic Change (UDC).

“We already knew that Saleshando was going to be suspended on that day. Skelemani must understand one thing, that he is not the speaker of the Botswana Democratic Party but that of the national assembly,” said Khama.  “We are totally disappointed by yesterday’s events, this can only mean one thing. That democracy in Botswana has come to pass.

Secondly we have heard that the three institutions the third being parliament are supposed to be independent but we have seen clearly that Speaker Skelemani is wearing a BDP cap and not his wig.” Moreover, they further indicated that they have observed a very disturbing trend by the Speaker to want to turn parliament into a court of law.

They elaborated that on numerous occasions the Speaker demands that the MPs prove opinions with facts which they point out as unfair on them. “As members pf parliament our role is to raise a suspicion based on what we are observing. We are not supposed to be demanded to prove evidence. That is the duty of other agencies, maybe if we could call the DCEC to explain to Skelemani what constitutes corruption maybe it can be something,” said Ngami MP, Carter Hikuama.

The opposition members said their main concern with the way the Speaker conducts his day to day business is that he might end up losing the authority to control the parliament proceedings altogether. Furthermore, they indicated that the speaker should not stand in the way of attempts by MPs of the opposition to hold the President accountable with fear or favour. Mahalapye East Member of Parliament Yandani Boko said it is surprising how the speaker has elevated himself to the role of a judge in parliament.

Continue Reading

News

IFSC fiscal framework here to stay – BITC

3rd August 2020
Keletsositse Olebile

Botswana Investment & Trade Centre (BITC), the country‘s intergraded trade & investment promotion agency has reiterated Botswana’s position on the International Finance Services Centre (IFSC), a tax incentive provision for accredited companies.

Speaking at a media engagement session on Tuesday BITC Chief Executive Officer, Keletsositse Olebile underscored that the IFSC is not a breeding vehicle of illicit capital flows but a provision purely crafted as an investment wooing instrument which already has tangible and significant benefits to the country’s economy.

Olebile explained that the provision is a mechanism to attract foreign investment, channel capital into local investment projects, provide additional opportunities for local investors and create sustainable employment opportunities for suitable and qualified Batswana.

Furthermore the BITC Chief added that the IFSC fiscal framework plays a role in the enhancement of skills base for the Botswana workforce, fostering of innovation and sophistication in financial and business services and enhancement of Botswana’s already excellent reputation in the international financial and business community as well as generate tax revenue for Botswana.

BENEFITS TO ACCREDITED COMPANIES

Whilst most companies pay Corporate Tax at 22%, IFSC companies are generally taxed at 15%, Eighth Schedule to Income Tax Act. When deliberating on the provision leading tax consultant Jonathan Hore of Aupracon said because IFSC companies predominantly deal with non-residents, they are taxed 15 % on nonresident proceeds, while paying the normal 22 % for Botswana resident’s proceeds.

“This means that the tax computation of an IFSC company will most likely have two columns, to separate the 15% income from that taxable at 22%, IFSCs can, just like any other taxpayer, also claim withholding tax credits for tax suffered in foreign countries,“ he said. Hore added that such credits cannot exceed the Botswana tax on the foreign income, that is to say BURS cannot refund a taxpayer because the taxpayer paid tax offshore.

An IFSC entity which invests in an offshore entity to the extent of at least 25 % is not taxed on the dividends it earns from such investments. The investments are called Qualifying Foreign Participation (QFP) and are exempt in terms of the Second Schedule to the Income Tax Act, which states that, any dividends received by international financial services Centre Company in respect of a qualifying foreign participation as defined under section 2; shall be exempt from tax to the extent indicated.

The act defines Qualifying Foreign Participation (QFP) as participation held by an international financial services centre company in a company which is not resident in Botswana, where the international financial services centre company controls either directly or indirectly, alone or with connected persons, 25 per cent or more of the share capital including 25 per cent or more of the voting rights of the nonresident company.

IFSC companies also enjoy zero Capital Gains Tax (CGT). CGT is levied on the capital appreciation of any specified assets such as shares, immovable properties etc. Any person who disposes shares must pay the CGT.

However, IFSC companies do not suffer CGT when they dispose of shares held in a Qualifying Foreign Participation, i.e. at least 25% shareholding in nonresident subsidiaries. Secondly, the shareholders in an IFSC company are exempt from CGT.

WHAT ARE BOTSWANA’S BENEFITS?

Jonathan Hore noted that IFSC is an incentive which attracts FDI as foreign dividends are not taxed – “CGT exemption means that investors can set-up holding companies in Botswana and when they want to exit, they don’t have to worry about CGT.

Mauritius doesn’t have CGT at all and this Botswana incentive can only be compared to Mauritius. Most SADC states have CGT for most investors. Botswana is therefore ahead of the pack, together with Mauritius,” he said.

The renowned Tax consultant explained that this helps IFSC entities to obtain the best of non-resident consultants and investors. “Dealing with IFSCs is more business-friendlier as compared with dealing with any other BW entity, which deducts WHT from payments due to non-residents.”

BITC CEO noted that as a consequence of the framework insisting on a physical presence (Office) as opposed to brass plating, indirectly this contributes to business tourism in the form of shuttle services, lodging, dining fees when non-resident directors visit their head offices.

PREVIOUS CONCERNS

Previously various global economic and financial commentators such as the International Monetary Fund (IMF), Organisation for Economic Cooperation & Development (OECD) expressed concerns over Botswana’s tax incentives noting a possibility of the provisions being used as window of tax invasion, raking in all returns, eroding national tax bases and compromising domestic resources mobilization systems.

OEDC observed that tax exemptions such as IFSC fiscal framework if not tightly managed have little impact on investment attraction but only cripple the country‘s revenue collection vehicles.
“Under pressure to offer internationally-competitive tax environments, developing countries offer generous tax breaks that undermine their domestic resource mobilization efforts with little demonstrable benefit in terms of increased investment,” said OECD in previous publications in 2018.

“There is limited information on the way in which Botswana’s IFSC is used for illicit and criminal practice, but according to a 2017 evaluation carried out by Eastern and Southern Africa Anti-Money Laundering Group, without developed anti-money laundering and counter-terrorist financing regime the country is at risk of being used as a conduit,” noted the Tax Justice Network in 2017.

THE FRAMEWORK & SUCCESFULLY DUSTING OFF THE ‘TAX HAVEN’ TAG

Botswana as since refined the IFSC fiscal framework in a bid to tighten compliance with international practices. The investment promotion boss who championed Botswana‘s campaign against the tax haven tag in 2014 noted that Botswana has since joined the Inclusive Framework by OECD and G20.

Furthermore Botswana has since complied with resolutions of OECD Forum on Harmful Tax Practices (FHTP) by subscribing to Base Erosion and Profit Shifting Standard (BEPS), Substantive Presence, Tax Information Exchange agreements which are requested from time to time.

Olebile reiterated that Botswana is not a tax haven, noting that in conjunction with respective industries regulatory and compliance authorities such as Bank of Botswana, NBFIRA , BURS , IFSC accredited companies are regularly zoomed into check if they living up to promises and comply with the law.

Continue Reading

News

Masisi misses critical BDP meet

3rd August 2020
President Masisi

President Mokgweetsi Masisi has this week left a number of Botswana Democratic Party (BDP) legislators disappointed after not gracing the party’s parliamentary caucus, where they expected to slap him with a litany of concerns they encounter within the party.

The Tuesday meeting was the first BDP caucus meeting since the country went into lockdown in March this year. Chronicles of activities within the party leading to this week’s meeting necessitated Masisi to be present at Boipuso Hall held meeting, posit some MPs. Some legislators have been unhappy with how the party leadership and the party in general conduct its business in relation with the backbenchers.

This content is locked

Login To Unlock The Content!

Continue Reading
Do NOT follow this link or you will be banned from the site!