Prime Minister Gusmão to resign after settling CMATS and ConocoPhillips Tax case



PM Gusmao met President Taur Matan Ruak on Thursday. Photo: Presidencia da republica Facebook page

Renova Timor

 

 

Timor-Leste Prime Minister Xanana Gusmão has just made fresh declaration on his resignation on Thursday (16/10/2014). After meeting Timor-Leste President Taur Matan Ruak, Mr Gusmão told local media he would resign from his job after settling the CMATS arbitration (against Australia) and tax case (against ConocoPhillips). 

 

 

“I do not resign yet because I am leading two battles at the moment, one on the arbitration (CMATS) and the other one on the ConocoPhillips case (Tax) in Singapore, [because] I am responsible to those cases.”

 

 

Last month Mr Gusmão told the Associated Press (AP) saying resigning from his post would mean running away from the battle he has started.

 

 

Timor-Leste brought one of its closest neighbours, Australia, to the international arbitration on CMATS in April 2013 for spying Timorese official during the negotiation process. The Timorese government suffered further insult when Australian Intelligence Service, ASIO, raided the house of Lawyer Bernard Collaery in early December 2013 when Mr Collaery was defending the young nation’s case in Hague. However, in early September this year, international media run the news that the two neighbours wanted to settle the issues amicably among themselves.

 

 

While no definite time frame set for the CMATS and ICJ settlement, Timor-Leste’s battle with the US oil giant ConocoPhillips on tax-paying continues in Singapore court. Dili lost the first instance in the Dili District Court (TDD) but it hopes to win this time in the Singapore Arbitration Court.  

 

 

PM Gusmão announced his resignation in November 2013 to hand over power to the younger generation. While the resignation stimulated discussions over prospect new generation leader, political parties as well as veterans groups urged him to stay until 2017 election for the reason of national security, political stability and economic growth. He accepted public and his party’s appeal to stay on and promised to reshuffle his government for better service delivery.

 

 

On Wednesday (15/10), Gusmão appeared in the Timor-Leste National Parliament to submit next year’s state budget and asked the Member of Parliaments to amend article 8 of law number 2/2014 in order to liquefy over US$2 million from the Petroleum Fund to government treasury. With the amended law, Gusmão can lead the government comfortably until the end of 2014.

 

 

One thing for sure, Gusmão will stay on until 31 December this year.