Wednesday 1 March 2017

[Tanzania-English]Hefty fines for ‘Viroba’ defiance

THE ban on sachet-packed liquor popularly known as ‘Viroba’ starts today. And, heavy penalties of up to three years imprisonment or fines amounting to 5m/- or both will be imposed on those found consuming, distributing or producing the hard liquor packed in plastic sachets.

However, five producers of the liquor have filed a case with the High Court in Dar es Salaam in a bid to prevent the implementation of the government directive.
Addressing journalists, the Minister of State in the Vice- President’s Office, Union Affairs and Environment, Mr January Makamba, said those found consuming and in possession of the sachet will be required to pay a fine of not less than 50,000/- or go to jail for three years.
“Importation of the hard liquor in plastic sachets will amount to not less than two years imprisonment or a fine not exceeding 5m/-. “Those found producing it will either go to jail for two years or pay a fine of 2m/- and as for the ones who will be caught distributing, storing and selling they will go to jail for three months or pay a fine of 100,000/-,” said Mr Makamba.
He pointed out that the exercise to follow up implementation of the ban will be enforced countrywide beginning on Wednesday through defence and security committees and environmental management committees at all levels.
“After the exercise, the committees will be obliged to present reports to the President’s Office - Regional Administration and Local Government and the Vice- President’s Office.
Mr Makamba noted that implementation will consider Section 8(1) (b) and 14 of the Environmental Management Act, 2004 all together with its guidelines and the Intoxicating Liquors Act No Act 28 of 1968 (deals with licensing).
According to an advertisement issued on February 20, this year, more time will be issued to legitimate producers who will demonstrate their readiness to move to bottle containers technology and in turn be able to meet several conditions of obtaining a permit before yesterday.
“We have received nine applications from producers, will make an announcement tomorrow to name those that have met the conditions,” he said.
He observed that majority of the producers have expressed concern that the exercise was implemented on a short notice and they had already ordered plenty of raw materials of which are stored in warehouses.
“It is thus a fact, reports regarding the matter were issued in the National Assembly of May, 2016 session and on several occasions and there is proof of the process,” observed the Minister.
Reports regarding the government’s intention to ban sachet-packed liquor on January 1, 2017 had obtained a wider coverage by various media outlets. For that matter, the move was delayed by two months since the first announcement.
“If any producer had ordered raw materials, produced or stored the liquor or taken a loan for the same purpose, the person has done that willingly knowing the impact,” Mr Makamba stressed.
He remarked that the government had not been served with any notice so far, cautioning those that want to take the matter to court that necessary steps were long taken to arrive at the current move.
“The government has the right to issue directives on how things should be run in the country if it sees it fit,” he noted. Hefty
source:http://dailynews.co.tz/index.php/home-news/48812-hefty-fines-for-viroba-defiance

[Tanzania-English]High Court stops Bank from enforcing 300bn/- award

THE High Court yesterday stayed the proceedings for enforcement of award by the International Centre for Settlement of Investment Disputes (ICSID), requiring the Tanzania Electric Supply Company Limited (TANESCO) to pay Standard Chartered Bank (Hong Kong) Limited (SCBHK) over 330bn/-.

That was after Judge Ama Munisi took into consideration submissions presented by Advocate Majura Magafu for TANESCO, who informed the High Court that his client, TANESCO, had already petitioned the Higher Chamber of ICSID Tribunal, seeking annulment of the award.
He argued that TANESCO had filed two applications in the ICSID, one for Annulment of the Award and the other for stay to enforce it. The advocate, thus, sought suspension of proceedings filed, pending determination of the said two applications before the ICSID.
Advocates Samah Salah, for SCBHK and Joseph Makandege, for Independent Power Tanzania Limited (IPTL) and Pan African Power Solution Limited (PAP), also added their weight to the prayer by the counsel for TANESCO, to quash the proceedings, until the international Tribunal decides the two applications.
Mr Makandege, being as sisted by Learned Advocates Melchisedeck Lutema, Augustine Kusalika, Joseph Sungwa, Kay Felician, James Yarah and Saada Kiveya, all for IPTL/ PAP, strongly submitted that it would be a futile exercise for the court to precede with the current enforcement proceedings by SCBHK in view of annulment cases filed by TANESCO and pending before the ICSID.
He, however, quickly pointed out that his clients (IPTL and PAP) reserved their rights to continue pursuing their pendings before the High Court, challenging the earlier enforcement proceedings initiated by SCBHK should TANESCO’s annulment cases in the ICSID fail.
Before the High Court, SCBHK has filed two applications, Miscellaneous Civil Application No. 687 of 2016, seeking registration and enforcement of the Award; and Miscellaneous Civil Application No. 745 of 2016, seeking impoundment of IPTL capacity charges payable by TANESCO and deposition of the same to the High Court pending hearing and final determination of their Enforce ment Proceeding.
On the other hand, IPTL and PAP have also filed the two applications in the High Court, namely, Miscellaneous Civil Application No. 801 of 2016, applying for leave to intervene in the bank’s applications; and Miscellaneous Civil Application No. 802 of 2016, seeking stay of SCBHK’s two applications.
In these two sets of applications, TANESCO is one of the respondents.
source:http://dailynews.co.tz/index.php/home-news/48818-high-court-stops-bank-from-enforcing-300bn-award