CYPRUS MAIL Tuesday, November 6, 2012
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Spotlight on Russian billions Government: Cyprus fully complies with all EU anti-money laundering regulations (Continued from front page) Stefanou declined to comment on whether the delay is because international lenders and Cyprus are reportedly at odds over the scope of the rescue package. Cypriot authorities believe the island needs around €5 billion euros to recapitalise its banks, while the troika puts the figure at about €10 billion. The German government yesterday neither confirmed nor denied the existence of the intelligence agency report reported by Der Spiegel, but MP Carsten Schneider of Germany’s main opposition Social Democrats told the magazine his party would only accept a rescue
package for Cyprus if certain conditions are met. “Before the SPD can approve loan assistance for Cyprus the country’s business model must be addressed,” Schneider was quoted as saying. “We can’t use German taxpayers’ money to guarantee deposits of illegal Russian money in Cypriot banks.” The German politician went on to say that Cyprus must be ready to adjust its low corporate tax rate - a thorny issue for Nicosia. Germany’s lower house of parliament, the Bundestag, has to approve the payment of financial aid for eurozone countries. Responding to the Der Spiegel story, Stefanou said such reports
were designed to slander Cyprus and damage its status as an investment centre. Cyprus fully complies with all EU anti-money laundering regulations, he said, adding that the island has been favourably rated by the Council of Europe Committee of Experts on the Evaluation of Anti-Money Laundering Measures (MONEYVAL) and by the Financial Action Task Force. On corporate tax, Stefanou said the issue was never raised during the government’s discussions with the troika, adding: “Besides, for the government the matter is very clear. There is no such question. Changing the corporate
tax rate would deal a serious blow to the economy.” The spokesman stressed also tax rates are a matter of national sovereignty. With the services sector accounting for over 40 per cent of its GDP, Cyprus is keen to protect its corporate tax regime in a bid to keep its competitive edge. The island is currently the “lowest-tax EU Jurisdiction” that is not offshore, with a standard corporate tax rate of 10 per cent. By comparison, the corporate tax rate in Germany stands at 29.8 on average, and in the UK at 20 per cent for annual profits under £300,000 and 24 per cent for annual
profits over £300,000. Some commentators here have suggested that some foreign countries are putting the squeeze on Cyprus now that the island is in a tight spot. Economist Tasos Yiasemidis told news portal Sigmalive that references to Cyprus’ 10 per cent rate can be misleading. Citing Malta as an example, he said that whereas that country has a corporate tax rate of 35 per cent, authorities there return to the companies up to six-sevenths of that in cases where the profits are distributed as dividends. This means the effective tax rate in Malta comes to just 5 per cent, Yiasemidis said.
Unemployed graduates may help with elections By George Psyllides AROUND 2,400 unemployed university graduates could be employed during the presidential elections next year, it emerged yesterday, as the number of jobless in October rose to nearly 40,000. The matter will be cleared on Wednesday, the deadline given to parties to give their views on the recommendation. “The first reaction was positive but some parties wanted to see what procedures we will put in place,” said Demetris Demetriou, head of the elections service. The elections are scheduled for Sunday, February 17
and a runoff vote, if necessary, a week later. Demetriou declined to offer more details regarding the selection criteria before a final decision was made. The pledge, he said, is to use unemployed degree holders and those selected would be asked to provide a certificate from the labour ministry that they are registered as unemployed. Demetriou said the plan was for two jobless degree holders to staff polling centres that need four assistants. According to the island’s statistics service (Cystat), the number of jobless people reached 39,510 in October, a 29 per cent year-onyear rise.
Strange happenings as Turkish flag flies above Greek church RESIDENTS of the village of Kellia in the Larnaca district were left baffled yesterday after finding out that the Greek flag on their church had been replaced with a Turkish one while letters and other items were found in the vicinity. It was around 6.15am when residents discovered that the flag at the church of Ayios Antonis had been replaced with a Turkish one while a squash tied with a chain and a collection of hand-written and printed letters were also left in the vicinity. A sickle was also found near the flagpole. A while later, the head of the community Panayiotis Tyrimou was informed that a Greek flag - with abuse written on it in Turkish - was found at the Ayios Georgios monastery near Troulloi, north of Kellia. The chapel of Profitis Elias in Oroklini was also targeted, with its flag replaced with a black pair of trousers. “It is weird,” Tyrimou said. “The community is distressed … nothing like this has ever happened before.” Police said they are investigating the matter.
IN THE DISTRICT COURT OF PAPHOS PROBATE JURISDICTION
Application No. 290/2012
In the matter of the Probate (Re – Sealing Law) Cap. 192 and In the matter of ALAN JOHN WATKINS, late of England, deceased, Passport No. 740136906 Notice is hereby given that on the 6th day of December 2012 at 9:00 am, an application will be made to the above – named District Court for the Re-Sealing of the Probate of the Will of ALAN JOHN WATKINS, late of England, deceased, granted by the High Court of Justice, The District Probate Registry at Winchester in England on the 12/06/2007. JOANNA KOUKOUNIS Lawyer for SARAH LOUISE HOWARD
The rise mainly concerned the sectors of construction, trade, manufacturing, accommodation and food service activities, public administration, as well as to newcomers in the labour market. The rise in the number of jobless has forced the government to transfer cash from the supplementary pensions account to the unemployment allowances fund to cover this year’s expected deficit of between €37 million and €43 million. The labour ministry decided to transfer 50 million to cover benefit needs – a practice that was followed in previous years, according to AKEL MP Andreas Fakontis.
The number of jobless people reached 39,510 in October, a 29 per cent year-on-year rise