British Investors Respond to Accusations Leveled in the Tanzanian Press
British investors respond to accusations leveled in the Tanzanian press which contains key inaccuracies and which are damaging to Britain's special relationship with Tanzania and to themselves.
(PRWEB) September 17, 2006 -- On the 3rd September 2006, an article printed in the Mwananchi newspaper in Tanzania makes claims, which are demonstrably false. The claims came in response to British Member of Parliament, Roger Gale’s call, on the British government to suspend all privileged debt and other aid to Tanzania until the alleged harassment of British investors Stewart Middleton and Sarah Hermitage by Moshi Hotelier Benjamin Mengi ceases and, their land tenure in Tanzania is secured.
The article contained five key inaccuracies.
The article states that the British M.P. called upon Prime Minister Tony Blair to cut off aid to Tanzania due to what is described as harassment of foreign investors in an attempt to smear Kikwete’s government and, that Tanzania did not have a favorable business environment. The article further states that Gale accuses the Tanzanian government of allowing Middleton to be ‘detained’ after a row with Moshi Hotelier Benjamin Mengi.
In a White Paper dated July 25, 2006 Mr. Gale asked the Minister of State, Department of Trade & Industry, Ian McCartney, to ask Secretary of State for Foreign and Commonwealth Affairs Margaret Beckett if she will ask the Mr. Hilary Benn, Secretary of State for International Development to “suspend all preferential debt relief and other aid to Tanzania unless and until Stewart Middleton is released from prison, all charges against him are dropped, his lands are confirmed in his rightful ownership and Benjamin Mengi is brought to justice”. Gale's call came after Stewart Middleton, was jailed in Tanzania (http://www.prweb.com/releases/2006/8/prweb427377.htm).
An accurate account of the statements made by the M.P. and the content of the White Paper laid before the British Parliament can be found on the Parliamentary Hansard reports http://www.publications.parliament.uk/pa/cm200506/cmordbk1/60725w01.htm or at (PRWEB) September 7, 2006.
The article quotes Dr. Juma Ngasongwa, Minister for Planning, Economy and Empowerment in Tanzania as saying that Tanzania "…respects the rule of law and that matters concerning the ownership of Silverdale Farm are in the courts". However, in an article in the Daily News on the June 2, 2006, Dr. Ngasongwa stated that "the investors were bona fide and had been registered by the Tanzania Investment centre. They have the full support of the Ministry. They are using local organs to harass legal investors. This is open corruption, which I strongly condemn. It shames us all as a nation, which has set out to attract foreign investors".
The Mwananchi article further states, "the Brit was arrested and was going to be deported". No source was given for this accusation and Mr. Middleton states, “there has never been any suggestion of my being deported from Tanzania and I am at a loss to understand who supplied this information to the newspaper and for what reason.”
Middleton further states, “there is no matter in court in Tanzania or any other part of the world that challenges my Company’s ownership of the sub-lease to Silverdale & Mbono Farms. Benjamin Mengi issued a plaint for my eviction from the farms in 2005. This application was quashed by the High Court of Tanzania (Lands Division. Revision 1. 2006. Hon. Kileo). The Kyeri, Shari and Uswa Mamba Rural Co-operative Societies gave their full consent to the assignment of the sub-lease from Mengi’s company Fiona Tanzania in May 2004 and they were properly legally represented by Moshi Advocate, Msanga who at the time, held himself out to be a Professor of Co-operative Law.”
The article states that Vector Tobacco, an American company (part of the Ligget Group of companies in the United States) who carried our Genetically Modified Tobacco trials on Silverdale Farm when under Benjamin Mengi’s ownership, went bust. According to Middleton, "Vector Tobacco USA did not go bust. Vector pulled out of Tanzania as a result of many factors that certainly did not concern lack of funds’.
Mr. Middleton’s wife, Sarah Hermitage, a non practicing Solicitor, admitted to the Supreme Court of England and Wales, states “it is indeed unfortunate, that there appears to be, for reasons known only to themselves, persons in Tanzania who persist in feeding inaccurate information to the media and other bodies in an attempt to defeat our lawful ownership of Silverdale & Mbono Farms which is damaging Tanzania’s special relationship with Britain. These people are completely ignoring the repercussions of their actions and the impact they will have on all decent and right-minded Tanzanians particularly, their county’s relationship with foreign governments”.
Speaking on investment Ms. Hermitage states, “we came to Tanzania to invest. Not only for ourselves but also for all the decent Tanzanians we would be in a position to assist through our investment, i.e. families and local communities. We relied heavily on the commitments made to investors by the Tanzanian government, particularly its commitment to uphold the rule of law. We have no reason to doubt this commitment from the Tanzanian government. However, if our interests continue to be obstructed by factors outside of the government’s control, then inevitably, it will be the Tanzanian people that will be injured. They have a right to share in the fruits of our investment”
Ms. Hermitage states, “I am committed to a free press that adheres strictly to the rules of libel. Unfortunately, this appears not to be the current situation in all areas of Tanzania. Such media practices must surely damage Tanzania’s reputation as a safe place for investors more than it damages ourselves. Interests that use the media, and other means to further personal gain, can play no part in Tanzania’s road to development and reform through investment no matter how small or large that investment may be.”
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