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| Photo © Ted McDonnell |
THERE'S little doubt that East Timor's Prime Minister Xanana Gusmao is
one of his nation's independence heroes, yet just months out from his
shock retirement, one-time friends and allies believe he is actively
trashing the freedom his people fought and died for during Indonesia's
bloody 24-year rule.
Since announcing he would step down half way through his second term,
Gusmao's Coalition government has introduced restrictive media laws,
detained old political foes and one-time comrades, and continued to
protect alleged corruption within the government.
For East Timor's best-known investigative journalist Jose Belo the
final days of Gusmao's reign as leader, which ends in September, are
hard to reconcile.
The journalist, who spent most of his youth and early adulthood in the
jungle resisting Indonesian rule, finds the extravagances and corruption
of the Gusmao Coalition government galling when the majority of
Timorese live on less than a few dollars a day.
Belo points to an incident, which he says defines Gusmao's style of leadership.
Belo remembers shortly after winning the last election in 2012 to thank
his CNRT party members and new Coalition partners for their support,
Gusmao ordered 55 new Toyota four-wheel-drives valued at more than
$60,000 each.
"This was his priority in the first days of his second term in office
in a country were people go hungry every night," he says. "And, now he's
just bought another 37 luxury Toyotas for a conference of Portuguese
speaking countries."
"It's a disgrace," Belo says through the smoke of his latest cigarette.
Now in his forties, the chain-smoking Belo has clearly earned the title
of the best investigative journalist in East Timor. Fact is he is the
nation's only investigative journalist.
And he's probably the most eccentric corruption buster you will find in the world.
On my arrival in Dili, East Timor's capital, he greets me wearing a mask emblazoned with "Timor Leste - Press Freedom".
As a parting gift to his nation, Gusmao's coalition dominated
Parliament has legislated some of the most restrictive media laws in the
world.
And, Belo has no doubt the new media laws have been created to shutdown
reporting and public discussion on the country’s deteriorating economy
and government corruption that has plagued East Timor during Gusmao
Government’s two-term rule.
“The elites that govern East Timor are concerned that free speech will
limit their ability to successfully control and abuse the petroleum fund
for their personal benefit,” he declares.
“Despite anti-corruption programs being in place they have had little
effect. While some offenders have been made an example of, this is
mostly window dressing. The vast majority remain unhindered in their
pursuit of lining their pockets.”
Belo reports that a number of current politicians are under
investigation by the Anti-Corruption Commission (KAK), including current
Minister for Finance Emilia Pires, who awarded millions of dollars to
her husband's Melbourne based business, Macs Metalcraft for the supply
of hospital equipment.
During my time in Dili, I am leaked a copy of the Prosecutor Generals
investigation list and Ms Pires' name is on the list over a $2.04
million contract to her husband's business.
Belo believes the investigation into Emilia Pires and others will go nowhere due to 'the influence of higher powers'.
"The people in Dili know this will come to nothing. Countless other
members of government as well as members of parliament, past and
present, are under similar scrutiny. This scrutiny is due to media
activity, and it's for this reason that media and citizens are about to
be muzzled."
Gusmao has consistently defended Pires, one of his closest allies,
stating the hospital contract was awarded fairly. In fact, Pires was a
personal appointment to head up the Ministry of Finance by the soon to
retire Prime Minister.
“Emilia Pires’ husband does not need contracts with the government. He
is the owner of a factory,” he told the East Timorese people. “Minister
Emilia’s husband does not need a contract or project from the
government. It was because these things needed to be acquired that we
said, go and buy them from there.”
Gusmao has also constantly attacked the Anti Corruption Commission
(KAK) in the East Timor media in defending his Ministers against
corruption allegations stating KAK investigates "trifling matters".
The PM warned the Anti Corruption Commission: “I warn KAK, you prepare for that. You are just looking at cigarette money.”
In 2010, Gusmao derided former Deputy Prime Minister Mario Carrascalao
calling him "stupid, incompetent and a liar" over his Deputy's constant
concerns over corruption. Carrascalao resigned alleging that Gusmao was
protecting the finance ministry and endemic corruption involving
hundreds of millions of dollars in contracts.
Belo says that not even lucrative government contracts awarded to
Gusmao's nephew Nilton Gusmao dos Santos and his daughter from his first
marriage, Zenilda Batista Gusmao were properly scrutinised by the
judiciary.
The only significant corruption conviction was the gaoling in 2012 of
former Justice Minister Lucia Lobato. She was sentenced to five years
imprisonment.
To impede criticism of the government's management of the country, the
authorities recently took the extraordinary step of arresting outspoken
opponents former Presidential candidate Angela Freitas and detaining one
of East Timor’s most revered former commanders and head of the Maubere
Revolutionary Council, Paulino Gama, better known as Mauk Moruk,
detained.
Ms Freitas has since been released but is under virtual house arrest awaiting trial.
Ms Freitas tells me that she was arrested at Dili Airport after
returning from Indonesia following a series of operations. East Timor
Police held her for 72 hours.
"They accused me of abuse of power and gun running. They claim I wore a
military uniform but at the time of the accusation I was in hospital in
Indonesia," she added.
"They also claim I brought into East Timor two container loads of guns.
They searched my house, the search everywhere and found nothing. Where
are the two containers of guns?
"There are no guns."
Freitas, who holds Australian citizenship, is now facing a possible 10 year prison term.
She has little doubt who is behind what she describes as "trumped up" charges against herself and Mauk Moruk.
"Xanana is totally behind these false charges and arrests. He is trying
to shut down everyone. Just look at the new media laws they have been
written to silence the media and shut down public debate over government
negligence."
The future of Moruk, the former chief of staff of the Red Brigade,
remains uncertain. He remains in Becora Prison without charge.
Moruk was detained for ‘wearing a military uniform in public’; East
Timor's Prosecutor General has requested 12 months to prepare the
State's case against Moruk and his followers.
Moruk has been an outspoken opponent of Gusmao's handling of East Timor's finances since returning from exile.
Human rights lawyers are concerned Moruk will not get a fair trial due to the government's influence over the judiciary.
Alleged corruption and political manipulation aside, Gusmao's greatest
challenge is that potentially his legacy could well include a despised
resources curse.
The World Bank has already sounded the alarm with an independent review
on the progress of the Timor-Leste Country Assistance program reporting
frustration in many areas.
“The Bank’s contribution to building civil service capacity and
fighting corruption was limited and achievements modest, while the
Bank’s efforts at engagement in the national strategic planning process
had little impact on the Government’s strategies.”
NGOs also warn that high unemployment, poverty and malnutrition; and a
deplorable health care system are real threats to East Timor's future
stability and security.
So grave are the country's finances, reports economic watchdog La’o Hamutuk, that East Timor could be broke within a decade.
Head of La’o Hamutuk, Charles Scheiner says that oil and gas revenues
provide 95% of Timor-Leste state revenues and four-fifths of GDP. East
Timor’s budget in the current year is $US1.5 billion for its 1.2 million
population.
Mr Scheiner said many expect the Fund’s balance and investment earnings
will pay for state activities after the oil and gas fields are
exhausted, which could be by 2020 if the Greater Sunrise project remains
stalled.
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“Unfortunately, the $15 billion Petroleum Fund may be empty five years after that.”
Mr Scheiner pointed out that as one of the most
petroleum-export-dependent countries on earth, Timor-Leste faces
daunting choices, and it remains to be seen if its leaders will make the
difficult decisions that will rescue their people from the 'resource
curse’, which afflicts people from Nauru to Nigeria.
Mr Scheiner said investments in education and health, combined with
improvements in rural roads, water and sanitation, could provide a
foundation for a sustainable, equitable non-oil economy.
“Unfortunately, the current path -- where most of the country's
non-renewable wealth goes abroad, with financial benefits accruing to a
small elite while the impoverished rural majority grows even larger --
repeats the common, disastrous pattern.
“How will East Timor sustain its current 50 to 1 trade deficit in a
decade, when there is no oil money left to pay for imports?” Mr Scheiner
declares.
Agio Pereira, East Timor's Minister of State, touted to replace Gusmao
as Prime Minister, is not afraid to speak his mind even in the
much-controlled environment of Gusmao.
"People are too pessimistic."
"You can't develop a country in just 12 years. Look at the massive
destruction that occurred over the 24 years of Indonesian rule.
"How can we fix everything in such a short period of time?" he questions.
The Australian educated Pereira says the East Timorese are still
prisoners of their freedom and the struggle for their freedom has not
ended.
"Every day is a struggle. But you know, reality is manmade and we can
change our reality and make East Timor strong for the future of all our
people.
"Yes, poverty in our country is frightening, but we have a strong sense
of family and solidarity. Families work together to overcome poverty."
With the average monthly salary of just $80US, Pereira says extended
families use their meagre resources as a collective to ensure the family
group does not go without.
As the Prime Minister's retirement date draws near, Belo and others
remain sceptical about Gusmao's official retirement motive: "it is time
to hand over the Country to its younger leaders" but at the same time,
head up a Council of Elders to "steer the progress of the country" from
the sidelines.
"It could be another 'Xanana game'," says Belo.
The much talked about Council of Elders, or Transitional Council, which
will require a constitutional amendment, will include past political
leaders including Gusmao, Ramos Horta, former Prime Minister Mari
Alkatiri and Fretilin legend Francisco 'Lu Olo' Guterres.
However, younger politicians from Gusmao’s own party CNRT and
Opposition Fretilin believe Gusmao is only handing over the reins of the
country now because he wants a “fall guy” for East Timor’s potential
financial crisis and wants someone else to be blamed for the depletion
of the Petroleum Fund.
“Once the disaster strikes, brother Xanana will try and come back as
the hero to save the country again,” one veteran Fretilin politician
concludes.
Belo has suffered personally for his corruption busting reporting. His
newspaper Tempo Semanal has been starved of advertising dollars from the
country's major advertiser the government.
Reportedly, they offered him "sponsorship" recently but on the proviso he would be kinder to the government.
Belo, as is his want, told the government what to do with their sponsorship.
For Belo the war against the Indonesians - in which 300,000 of his
countrymen and women were murdered - ended in 1999 when Australian
troops dispatched the last of the murderous militia, yet his personal
war against corruption continues, and he has no fear of being jailed
again for bringing his people the truth.
"They've charged me with criminal defamation, they've jailed me and
they've threatened me with death, but even if they can kill me, that
doesn't mean they win."
Some would say that statement not only makes Belo eccentric, but mad. But in the eyes of most he remains a hero.
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Footnote: East Timor's President Taur Matan Ruak
has sent Gusmao's media laws off to the country's top court to test
whether they are constitutional.
*A version of this story appeared in The Australian on 4 July 2014
Note: Ted McDonnell is a senior journalist and an award winning photojournalist who has been writing on East Timor for over 30 years.
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