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Bali News by Bali Update
BALI UPDATE #616 - 30 June 2008

Value of Bali's Clothing Exports Down Slightly
Bali Exporting More Clothing But Earning Less in 2008.

Bali's Garment sector is suffering from intense competition from their counterparts in China, Vietnam and India who, according to an Antara report, are producing goods of better quality and lower price.

Adding to Bali's garment sector's woes, according a local clothing exporter, is the downturn in the American economy which has been a traditionally large market for Bali-made clothing in the past.

Officials from the Industry and Commerce Departments in Bali estimate that value of ready-to-wear clothing exports from Bali have declined 3% during the first five months of 2008 despite a 112% increase in the volume of exports during the same period. Foreign exchange earned from ready-to-wear clothes exports from Bali for January-May 2008 totaled US$60.7 million for 35 million items. The same period in 2007 saw 16.5 million pieces of clothing worth US$62.7 million exported from Bali.


Errant Taxpayers Threatened with Company Closure
Badung Tourism Official Wants Hotels and Restaurants who Don't Pay Their Taxes Closed.

The Head of Badung's Regional tourism office, Made Subawa, is quoted in NusaBali as threatening to yank the operating licenses of hotels, restaurants and entertainment centers in Bali who are chronically delinquent in meeting their hotel and restaurant tax obligations.

Subawa explained that one of the requirements of his office for all applications for the renewal of a company's operating license (SIUP) is a letter of recommendation from the local tax authority (DISPENDA). "If they have that letter then there is no problem and we can extend their SIUP," he said.

Bali Garden Hotel Case

Responding to reports that the Bali Garden Hotel is refusing to settle past tax bills, claiming those charges were incurred by the Hotel's former management, Subawa said the current management of the hotel is responsible for the tax liabilities of past management teams. Emphasizing his point, Subawa said: "They are still the Bali Garden. Meaning they must pay their debts, even when they replace their management."

Subawa told NusaBali there is little pressure his office can bring to bear on the management of the Bali Garden Hotel because, as a starred hotel, the decision on whether or not to extend the property’s operating license rests with the provincial tourist office. In order to improve tax enforcement, Subawa has formally asked the provincial government of Bali to move the power to authorize all tourism licenses in Badung to his regional government.

A Growing List of Delinquent Tax Payers

According to Nusa Bali, Commission C of Badung's Regional House of Representatives has identified the Bali Garden Hotel and Sofitel Seminyak as two hotels with the largest unpaid tax bills.

Bali Garden Hotel's legal representative, Ketut Widya, has told the press that the hotel does not wish to pay its outstanding tax bill of Rp. 3.7 billion (US$398,000) incurred under a former management regime at the hotel. The Bali Post reports that the Sofitel Seminyak owes Rp. 5.6 billion (US$602,000) in outstanding taxes.

In a separate report, NusaBali reports that a number of hotels and restaurants have been given a two-week deadline from June 23 to pay at least 50% of their outstanding tax bills before unspecified administrative steps will be taken against their businesses. Among the companies receiving the deadline were the Hotel Ramada Resort Benoa, Ulam Restaurant at Pantai Mengiat - Nusa Dua, and the Sama-Sama Restaurant in Kuta. The paper reports that Hotel Ramada Resort Benoa owes Rp. 4 billion (US$430,000); Sama-Sama Restaurant owes Rp. 1.24 billion (US$133,300); and Ulam Restaurant owes Rp. 1.4 billion (US$150,000).

The Badung House of Representatives estimate that the total amount of delinquent Hotel and Restaurant taxes due in their region is Rp. 32.7 billion (US$3.5 million).

The Hotel and Restaurant tax is the 11% tax levied by hotels and restaurants on all customers' bills, meaning the delinquent hotels have not only failed to pay their taxes but actually misappropriated tax money collected to the companys accounts.


More Video Surveillance Planned for Kuta
75 New CCTV Security Cameras to Provide Better Security for Visitors and Residents in Kuta.

A South Korean survey team is expected to visit Kuta in the first half of July to undertake a final survey for the installation of 75 CCTV surveillance points in Kuta. The team's visit was recently confirmed to the Regent of Badung by Suhandi, a Director of Rekacipta Teknologi.

The CCTV project is being undertaken on behalf of the National Police Headquarters with funding provided via export credits. The only remaining obstacle for the formal commencement of the project is a final signature of approval from the Indonesian Finance Department.

Project Cost: US$13 Million

"The CCTV products and supporting elements originate from Korea, with the total funds reaching US$13 million, covering 4 major cities in Indonesia, one of which is Bali," explained Suhandi. He added if the process is completed later this month, the contract will be commenced and final surveys, permits and site preparation can be undertaken in anticipation of the arrival of the control room and securing the permits for antennas.

"Our target is that if the appointment is finalized in July, installation can begin in September with the work to be completed and the CCTV operational in January (2009)," said Suhandi in comments made to NusaBali.


Interview: Ketut Erdi Nuka, the Boss at Bali's Airport
Bali Post Interview Asks if Bali's Airport is Providing Competitive Prices and Service to Foreign Airlines.

The Thursday, June 26, 2008, edition of Bali Post carried a brief interview with the acting General Manager of the Ngurah Rai International Airport, Ketut Erdi Nuka, responding to recent criticism of service and the service tariff charged to foreign airlines landing in Bali. Both Qantas and Continental Airlines have recently decided to cease their Bali flight operations. What follows is a free-translation of that interview.

The Interview: Ketut Erdi Nuka, Manager, Ngurah Rai International Airport

Bali Post: What is the Ngurah Rai Airport's reaction to the plans announced by several airlines to cease their Bali flights?

Ketut Erdi Nuka: Yah . . . this is a business. Of course, there are cost calculations. How should we view this problem?

Bali Post: It is said that the tariff (charged airlines) in Indonesia is expensive?

Ketut Erdi Nuka: Actually, the prices set for flights that enter into Indonesia have been carefully formulated. These tariffs have been reviewed by our regulatory agency, in this instance the Director General of Communications. The airport executes policies set by the central administration. Thus, the problems of landing (fees), parking aircraft and flight service have been set at the center.

Bali Post: There are those who say the management of the airport is lacking, how good is the level of service provided?

Ketut Erdi Nuka: In fact, our service is good on both an international or national level. Moreover, Bali's Ngurah Rai Airport offers special service in the fields of security, safety, service and convenience. In order to improve our service in the future, the airport management is planning to build a new international terminal covering 70,000 square meters.

Bali Post: How about incentives, such as those given by airports abroad?

Ketut Erdi Nuka: Yes, indeed this needs to be considered. All these things are being considered at the center. However, the feeling that (our charges) are expensive is open to discussion. Airlines are welcome to request a reduction in rates.

Bali Post: What is the effect of plans to by several airlines to cease operations to Bali?

Ketut Erdi Nuka: If you look at the number of passengers (handled by the airport) there is an increase. On the average, 11-thousand passengers arrive (each day) at Bali's Ngurah Rai Airport. Similarly, the number of foreign airlines using Ngurah Rai Airport totals 20 companies.


Bali Hyatt: Celebrating Our People
Bali's Oldest Established International Hotel Embraces its Staff and its Community in an Eleven-Day Celebration.

The first international hotel established in Bali in the early 1970s recently marked its worldwide fellowship with Hyatt employees worldwide via an eleven-day event entitled - ”Celebrating Our People.

Commenced on June 9 and ending with a staff gathering on June 20, 2008 that was highlighted with a variety of food stalls, prizes, live music and a special "colossal epic" play performed by the Management of Bali Hyatt at the Hotel's Spa Garden.

Leading up to the celebratory night, the employees of the Sanur landmark resort undertook a wide variety of community service projects including planting 2,000 trees in the Karangasem regency of Bali, penjor making competitions, blood drives and painting competitions.

Shown on balidiscovery.com are pictures taken during the tree-planting outing to Karangasem and the memorable night when staff members took to the stage to present a traditional Balinese dance-drama.







Bali Hyatt Pictures

click image to enlarge




Bali on its Way to 2 Million Visitors in 2008
Bali by the Numbers: Month After Month After Month - Bali Sets New Arrival Records.

Bali foreign tourist arrivals for the month of May 2008 continued to perform in record-breaking territory achieving 159,877 visitors, a full +24.24% better than the same month in 2007 (128,693).

On a cumulative basis for the months January-May 2008, Bali arrivals totaled 753,934 – improving +25.50% over the same period one year before (601,143).

If Bali manages to sustain its current level of improvement through the end of 2008 it will be assured of achieving the first year ever in which foreign tourist arrivals top 2 million.

Top 5 Sources of Foreign Arrivals

The top 5 countries producing foreign visitors to Bali in May 2008 were:

● Japan 142,161

● Australia 101,465

● Taiwan 60,395

● South Korea 57,300

● People’s Republic of China 55,048



Tourist Arrivals

click image to enlarge

Shown on balidiscovery.com are graphic comparison of January-May arrivals to Bali 2000-2008 and the cumulative performance for the same months over the years 2000-2008.


Reaping the Quality of Strained Mercy
Editorial: A Sincere Apology From Schapelle Corby to the People of Bali Could Pave the Way for Her Eventual Reconciliation with Society.



Straighten up and fly right
The buzzard told the monkey "You're chokin' me Release your hold and I'll set you free The monkey looked the buzzard right dead in the eye and said Your story's so touching but it sounds just like a lie Straighten up and fly right Straighten up and stay right Straighten up and fly right Cool papa, don't you blow your top.
- Nat King Cole & Irving Mills

Living a life that has begun to resembles a tawdry, long-running soap opera, the last several weeks have been especially trying for convicted drug smuggler Schapelle Corby. Following the rejection of her final appeal to the Indonesian Supreme Court challenging her 20-sentence for bringing 4.2 kilograms of marijuana through Bali's airport in 2005, a three-hour documentary aired last week on Australia's Channel 9 did little to cast her or her family in any kind of positive light.

That documentary characterized Corby's "performance" before the Denpasar Court and international media as little more than a conscious efforts to manipulate the media and the courts by casting herself as a hapless victim of circumstance. Now literally at wit's end, Corby has been moved from her Bali prison cell to a Denpasar hospital where she is on a suicide watch, reportedly suffering from chronic depression.

The Australian documentary, Schapelle Corby: The Hidden Truth presented a damning picture of Corby and her dysfunctional family that revealed:

● A family apparently prepared to bribe officials to subvert the path of Indonesian justice only to later attack amd impugn the "honesty and impartiality" of the very system they sought to subvert.

● Corby's late Father, Brother and Half-Brother – all of whom have had drug arrests included among a sizeable list of other past criminal charges.

● Statements by Corby's Australian lawyer who now freely admits he manufactured allegations that Australian airport workers had planted the drugs in Schapelle Corby's luggage.

● Corby rehearsing "spontaneous" outbursts pleading "for help" from the Australian people, for later dramatization before a phalanx of media cameras.

When you have eliminated the impossible, whatever remains, however, improbable must be the truth."

~ Arthur Conan Doyle


The sheer value of the 4.2 kilograms of high-value marijuana found in Schapelle Corby's bag argues strongly against allegations that the drugs were planted by corrupt Indonesian officials seeking a bribe from the young Queenslander.

Such a suggestion simply does not stand up to any thoughtful consideration. If Custom's authorities were in the habit of purposely "setting up" and targeting blackmail victims among arriving passengers in Bali, why is the Schapelle Corby case the single such incident of its kind at the airport that has come to the media's attention? Moreover, even if you accept the improbable proposition that airport officials are running a drug-based extortion racket, why would they target a near penniless beauty school student and use an exorbitantly costly 4.2 kilograms cache of quality marijuana to lay a trap when several ounces of the drug would have worked equally well?

Other have also sought to defend Corby by questioning why "anyone" would bother trying to illegally import marijuana into a country where it is already cultivated, cheaper to buy and arguably more accessible? Informed observers close to the case, however, have replied, pointing out that a) the drugs found in the bag were a high potency hydroponics' variety of marijuana known to be produced in Queensland and b) caucasian dealers with a stash of high quality drugs in Bali are able to sell his or her product at a premium prices to other tourists confident their "dealer" is not working in an undercover capacity for the Bali police.

Increasingly humiliated in her native Australia where opinion polls show a majority of her fellow Australians now doubt her innocence, and facing the stark reality of two decades in a Kerobokan prison cell – Schapelle Corby is, quite literally, at wit's end. Suffering from acute depression, she is now hospitalized in Bali's Sanglah Hospital.

Start by Saying, "I'm Sorry"

To our view, Corby's last hope of accelerating the end of her imprisonment is to seek a presidential pardon from Indonesia's Susilo Bambang Yudhoyono. To do so, however, would require her to admit what many suspect and an entire panel of Indonesian judges found to be true; namely, she did in fact attempt to smuggle 4.3 kilograms of marijuana into Bali.

In fairness to Corby, she has been steadfast in insisting that she is not guilty of the crime for which she was arrested, tried and sentenced to prison for 20 years.

While there are no "sure things" in any judicial process – let alone in Indonesia, a heartfelt and genuine apology from Corby to the Indonesian President and the many millions of Indonesian's who have suffered from her callously staged shenanigans would go a long way towards establishing a reconciliation with the Indonesian justice system and could help to hasten the day of her eventual release from prison.

From our perspective, Indonesians are an incomparably large-hearted people and almost culturally-bound by their traditions to grant forgiveness whenever it is sincerely sought by wrongdoers. A people who readily choose conciliation over confrontation, the people of Bali could even be expected to forgive the woman whose calculated campaign was depicted as doing greater economic harm to the island than the two terrorist bombings of 2002 and 2005.

It is, of course, Schapelle Corby's right to stand on principle and continue to insist she had no knowledge or connection to the valuable stash of drugs found in her possession at Bali's airport. And, conversely, it is also the Indonesian Government's right to continue to hold her behinf bars to serve the remainder of her sentence.

For Schapelle to continue to maintain her innocence in the face of her criminal conviction, lost appeals before the courts and the increasingly negative portrayal on her home country's electronic medic means that Corby now desperately needs to offer a viable explanation on how 4.2 kg of drugs found their way into her luggage. To date, both Corby and her legal team have utterly failed to offer anything approaching a tenable explanation.

Schapelle's last remaining hope is to seek the forgiveness of those she has so egregiously wronged. Based on her past behavior, being believed will prove a considerable challenge, but this should not discourage any resolution on her part to finally "straighten up and fly right."


Making Indonesian Skies Friendlier and Safer
Tougher Rules on Airline Management and Mandatory Compensation for Delayed Passengers are Now the Law in Indonesia.

The Indonesian government is introducing a number new rules and regulations that should make the Republic's airways safer and more user-friendly for the general public. Among the changes now in place for Indonesian aviaition:

● Indonesian airlines that experience fatal accidents twice within a single year can have their directors or corporate officers connected with air safety and security made persona non grata, preventing their future employment within the Indonesian aviation industry.

● Airlines that fail to terminate directors or safety personnel when directed to do so by the Indonesian Civil Aviation Authority can have their operating permit "frozen" by the Government.

● The Government are creating more stringent "establishment" rules and experience qualifications for those wishing to launch an Indonesian airline.

● Indonesian airlines are now required to provide compensation to passengers when they fail to keep to their published schedules. Airlines whose flights leave between 30-90 minutes behind schedule are now required to provide passengers with light refreshments. Passengers delayed between 90-180 minutes are entitled to an airline sponsored meal or transfer to alternative flights operated by the carrier or competing carriers. Delays of more than 3 hours or 180 minutes compel the airline to offer accommodation to their stranded passengers.


Made Pastika: Bali Remains a Terror Target
Former Bali Police Chief and Candidate for Governor Warns that Bali Remains a Target for Terrorists While Urging Australians to Defy Fear and Holiday in Paradise.

Bali's former Chief of Police and current gubernatorial candidate, I Made Mangku Pastika, has been quoted in a Sydney Morning Herald article by Mark Forbes saying that Bali remains a terror target.

Pastika complains that the Island has "failed to introduce enough security to prevent more terrorist attacks" and, as result, remains a target for terrorists. "The terrorists still consider Bali is the best place to do their activity and send a message to the world," Pastika said.

Urges Australian to Continue to Visit

Speaking on the campaign trail in Bali, General Pastika has promised that if elected he will dedicate himself to continually improve security in Bali.

An acknowledged authority on security and law enforcement, Pastika is widely credited with heading the effort that "identified, jailed or shot" tens of terrorists suspects connected with the October 2003 and 2005 terrorist bombings in Bali.

Pastika told the Herald, "Bali is dependent on tourism and tourism needs security, safety and in all facilities, hotels, tourist attractions and all those things."

Pastika urged the Australian people to continue to visit Bali, warning: "Once we are scared of terrorism they are winning; that's why I appeal to all the people of the world; don't be scared of terrorism, just come."


New Appointments at the Top at Westin Nusa Dua, Bali
Bipan Kapur Heads the Team while Syaiful Imron Control Finances at Bali's Westin and Bali International Convention Center.



Bipan Kapur Heads The Westin and BICC

Bipan Kapur has been appointed General Manager of the 350-room The Westin Nusa Dua and the adjoining Bali International Convention Center (BICC).

Commenting on his recent appointment, Bipan said: "I am looking forward to learning more about this beautiful island, working with the people and re-initiating the Westin brand of hospitality. Westin is more than just a hotel. It's a destination where our guests are understood and where they can be at their best. Providing a series of experiences through our signature initiatives such as Unwind-A Westin evening ritual, Westin Destination Club, runWESTIN, ensuring that guests feel better when they leave than when they arrived."

Before joining The Westin Resort Nusa Dua, Bipan opened the inaugural Westin-branded property in India, The Westin Sohna Gurgaon Resort & Spa (TWSG).

Bipan has been associated with Starwood since 1992. Past assignment include working as a F&B Manager with Sheraton Mirage Gold Coast, Australia, prior to stints in China, Malaysia and Brunei.

A graduate from the Oberoi School of Hotel Management he also holds a Masters degree in Hotel administration from the Institut de Management Hôtelier International (Cornell/ESSEC) - Paris, France.

An Australian national, Bipan is married and has a son. He is a keen golfer and swims to stay fit.

Bipan replaces Jan Bungaard who held the same position at The Westin since April 2005.

Syaiful Imron Holds the Purse Strings at The Westin

Syaiful Imron has been appointed Financial Controller at The Westin and BICC. Prior joining the Resort, Syaiful served as the Financial Controller of Sheraton Surabaya Hotel and Towers and has been associated with Starwood since 1995.

He is a graduate from STEI Perbanas majoring in Finance and started his career in the hospitality industry as Income Auditor of Sheraton Surabaya Hotel and Towers.

Syaiful and his wife are the proud parents of three children.


Bali Needs a More Proactive Airport Management Approach
Antara Report Suggests that More Could Be Done to Attract and Retain International Air Routes to Bali.

The National News Agency Antara reports that over and above the problem of rising fuel prices, passivity and a less-than-proactive management of Indonesia's airports also plays a role in recent decisions by Qantas and Continental to end their scheduled flight services to Bali's Ngurah Rai international airport.

Antara quotes an unnamed business person from Bali's aviation sector as saying while rising fuels costs played a role in the two airline's decision to stop Bali flights, a lack of "attention" from the management of Indonesia's airports were also a factor in the decision to cease flying to Bali.

The source said that the incentive given to airlines by Indonesian airport operators were "minimal" and that, in fact, airport management (in Indonesia) are more inclined to "squeeze" airline operators by posting high airport use tariffs.

Conversely, the observer said that during difficult periods, such as the current oil crisis, many airport managers overseas actually extend special incentives to airlines by discounting service fees in order to preserve air service to their destinations.

The observer told Antara: "This is the problem, here at (Bali's) Ngurah Rai Airport a progressive tariff is in place that allows the first two hours of aircraft parking to be free, but for periods of more than two hours a multiple of the tariff if applied. Airports in Indonesia are expensive."

The anonymous spokesperson said that when oil prices increase the management of the airport should extend incentives to stimulate air commerce and maintain existing air corridors. Adding: "It's not that airlines don’t want to fly, there just unable to pay Indonesia's non-competitive fees which contain no 'incentive discounts.' Our airlines are in a 'dazed' condition resulting from the sudden rise in oil world prices."

Staying in Touch with Our Customers

The observer also complained that Indonesia's Department of Foreign Affair, Department of Communications and the Ministry of Culture and Tourism were less than attentive in maintaining a sound business nurturing relationship with the host governments of the airlines that fly to Indonesia. He reasoned that with a strong lobby Continental Airlines would not have decided to withdraw from Bali and could, in fact, have been encouraged to add frequencies to Bali while stopping flights to Cairns in Australia. This was not done, he said, and Continental decided to cancel Bali while preserving its services to Cairns.

Continental's Manager Speaks

When Antara contacted the local manager of Continental Airlines at Bali's Ngurah Rai International Airport, Dara Mustika, she commented that some 50 destinations served by her airline have recently been cut with around 2,000 employees losing their jobs.

When asked about the cost of using Bali's airport, Mustika confirmed that in the course of a single visit by a Continental 737around US$3,000 in airport service fees are incurred.

Underling the impact of higher fuel costs, Mustika also advised that during the four-month period of January-April, Continental paid Pertamina US$412,000 for aviation fuel. This compares to only US$917,000 paid for fuel by the airline for the entire year of 2006 and US$1.065 for fuel for the entire calendar year of 2007.


Fiscal Tax to End January 1, 2009
Registered Tax Payers to Be Exempted from Rp. 1 Million Fiscal Tax Payment for Traveling Abroad.

The Indonesian Director General of Taxation has announced its intention to exempt Indonesian residents who possess an official tax number (NPWP) from paying the unpopular Rp. 1 million (US$107) fiscal charge each time they depart on a foreign trip, effective January 1, 2009.

The fiscal charge, which is settled at special tax kiosks at Indonesian airports and seaports, is technically reimbursable and can be credited against final payroll tax liabilities.

The new move designed to enhance bureaucratic efficiency and encourage Indonesian's to register and pay taxes, will only be available to the estimated 4.9 million individuals who have registered and obtained an official NPWP registration from their local tax office.

Tax officials are hinting that the "fiscal free" facility may only be a temporary measure, with the entire policy up for review on January 1, 2011, two years after the introduction of the trial "fiscal free" period.

Government officials have been quoted in the national press as saying they are confident that any loss in revenues from the fiscal fees will be more than offset by increases in the national taxpayers' base. In 2007, the government collected Rp. 2.5 trillion (US$268.8 million) in fiscal fees. The total fiscal payments collected in 2006 totaled Rp.1.2 trillion (US$129 million).

Under the new facility to take effect on January 1, 2009, travelers need only show the NPWP of the family head to be exempted from paying the fiscal charge. Dependents under the age of 21 can also be exempted under their parent's NPWP, while children under the age of 12 are not required to pay the fiscal fee.






Bali Hyatt Pictures

click image to enlarge




Bali on its Way to 2 Million Visitors in 2008
Bali by the Numbers: Month After Month After Month - Bali Continues to Set New Arrival Records.

Bali foreign tourist arrivals for the month of May 2008 continued to perform in record-breaking territory achieving 159,877 visitors, a full +24.24% better than the same month in 2007 (128,693).

On a cumulative basis for the months January-May 2008, Bali arrivals totaled 753,934 – improving +25.50% over the same period one year before (601,143).

If Bali manages to sustain its current level of improvement through the end of 2008 it will be assured of achieving the first year ever in which foreign tourist arrivals top 2 million.

Top 5 Sources of Foreign Arrivals

The top 5 countries producing foreign visitors to Bali in May 2008 were:

● Japan 142,161

● Australia 101,465

● Taiwan 60,395

● South Korea 57,300

● People’s Republic of China 55,048



Tourist Arrivals

click image to enlarge

Shown on balidiscovery.com are graphic comparison of January-May arrivals to Bali 2000-2008 and the cumulative performance for the same months over the years 2000-2008.


Reaping the Quality of Strained Mercy
Editorial: A Sincere Apology From Schapelle Corby to the People of Bali Could Pave the Way for Her Eventual Reconciliation with Society.



Straighten up and fly right
The buzzard told the monkey "You're chokin' me Release your hold and I'll set you free The monkey looked the buzzard right dead in the eye and said Your story's so touching but it sounds just like a lie Straighten up and fly right Straighten up and stay right Straighten up and fly right Cool papa, don't you blow your top.
- Nat King Cole & Irving Mills

Living a life that has begun to resembles a tawdry, long-running soap opera, the last several weeks have been especially trying for convicted drug smuggler Schapelle Corby. Following the rejection of her final appeal to the Indonesian Supreme Court challenging her 20-sentence for bringing 4.2 kilograms of marijuana through Bali's airport in 2005, a three-hour documentary aired last week on Australia's Channel 9 that did little to cast her or her family in any kind of positive light.

That documentary characterized Corby's "performance" before the Denpasar Court and international media as little more than a conscious efforts to manipulate the media and the courts to cast herself as a hapless and unfortunate victim of circumstance. Now literally at wit's end, Corby has been moved from her Bali prison cell to a Denpasar hospital where she is on a suicide watch, reportedly suffering from chronic depression.

The Australian documentary, Schapelle Corby: The Hidden Truth presented a damning picture of Corby and her dysfunctional family revealrd:

● A family apparently prepared to bribe officials to subvert the path of Indonesian justice only to later attack amd impugn the "honesty and impartiality" of the very system they apparently sought to subvert.

● Corby's late Father, Brother and Half-Brother – all of whom have had drug arrests included among a sizeable list of past criminal convictions.

● Statements by Corby's Australian lawyer who now freely admits he manufactured allegations that Australian airport workers had planted the drugs in Schapelle Corby’s luggage.

● Corby rehearsing "spontaneous" outbursts pleading "for help" from the Australian people for later dramatization before an ever-ready phalanx of cameras operated.

When you have eliminated the impossible, whatever remains, however, improbable must be the truth."

~ Arthur Conan Doyle


The sheer value of the 4.2 kilograms of high-value marijuana found in Schapelle Corby's argues strongly against those those suggesting the drugs were planted by Indonesian officials seeking a bribe from the young Queenslander.

Such a suggestion simply does not stand up to any thoughtful consideration. If Custom's authorities were in the habit purposely "setting up" and targeting blackmail victims among arriving passengers in Bali, why is the Schapelle Corby case the single such case of its kind that has come to the media's attention? Moreover, even if once accepts the improbably proposition that airport officials are running a drug-based extortion racket, why would they target a near penniless beauty school student and use an exorbitantly costly 4.2 kilograms cache of quality marijuana to lay a trap when several ounces of the drug would have work equally well?

Other have also sought to defend Corby by questioning why "anyone" would bother trying to illegally import marijuana into a country where it is already cultivated, cheaper to buy and arguably more accessible? Informed observers close to the case, however, have replied, pointing out that a) the drugs found in the bag were a high potency hydroponics' variety of marijuana known to be produced in Queensland and b) an "European" dealer with a stash of high quality drugs is able to sell his or her product at a premium prices to other tourists who derive comfort from avoiding a purchase from a local who might be working in an undercover capacity for the Bali police.

Increasingly humiliated in her native Australia where fewer and fewer of her fellow countrymen defend her innocence, and facing the stark reality of two decades in a Kerobokan prison cell – Schapelle Corby is, quite literally, at wit's end. Suffering from acute depression, she is now hospitalized in Bali's Sanglah Hospital.

Start by Saying, "I'm Sorry"

To our view, Corby’s last and perhaps only hope of accelerating the end of her imprisonment is to seek a presidential pardon from Indonesia's Susilo Bambang Yudhoyono. To do so, however, would require her to admit what many have suspected and an entire panel of Indonesian judges found to be true; namely, she did in fact attempt to smuggle 4.3 kilograms of marijuana into Bali.

In fairness to Corby, she has been steadfast in insisting that she is not guilty of the crime for which she was arrested, tried and sentenced to prison for 20 years.

While there are no "sure things" in any judicial process – let alone in Indonesia, a heartfelt and genuine apology from Corby to the Indonesian President and the many millions of Indonesian's who have suffered from her callously staged shenanigans would go a long way towards establishing a reconciliation with the Indonesian justice system and could help to hasten the day of her eventual release from prison.

From our perspective, the Indonesian people are an incomparably large-hearted people and almost culturally-bound by their traditions to grant forgiveness whenever it is sincerely sought by wrongdoers. Demonstrably able to put a bitter past behind them, the people of Bali could even be expected to forgive a woman whose calculated campaign has been depicted as doing greater economic harm to the island than the two terrorist bombings of 2002 and 2005.

It is, of course, her right to stand on principle and continue to insist she had no knowledge or connection to the valuable stash of drugs found in her possession at Bali's airport. And, conversely, it is also the Indonesian Government's right to continue to hold her to serve the remainder of her sentence behind bars.

For Schapelle to continue to maintain her innocence in the face of her criminal conviction, lost appeals before the courts and her negative portrayal on her home country's electronic medic means that Corby now desperately needs to offer a viable explanation on how 4.2 kg of drugs found its way into her luggage. To date, both Corby and her legal team have utterly failed to offer anything approaching a tenable explanation.

Perhaps Schapelle's last remaining hope is to seek the forgiveness of those she has so egregiously wronged. Based on her past behavior, being believed will prove a considerable challenge for her, but this should not discourage any resolution on her part to finally "straighten up and fly right."


Making Indonesian Skies Friendlier and Safer
Tougher Rules on Airline Management and Mandatory Compensation for Delayed Passengers are Now the Law in Indonesia.

The Indonesian government is introducing a number new rules and regulations that should make the Republic's airways safer and more user-friendly for the general public. Among the changes now in place for Indonesian aviaiton:

● Indonesian airlines that experience fatal accidents twice within a single year can have their directors or corporate officers connected with air safety and security made persona non grata, preventing their future employment within the Indonesan aviaiton industry.

● Airlines that fail to terminate directors or safety personnel when directed to do so by the Indonesian Civil Aviation Authority can have their operating permit "frozen" by the Government.

● The Government are creating more stringent "establishment" rules and experience qualifications for those wishing to launch an Indonesian airline.

● Indonesian airlines are now required to provide compensation to passengers when they fail to keep to their published schedules. Airlines whose flights leave between 30-90 minutes behind schedule are now required to provide passengers with light refreshments. Passengers delayed between 90-180 minutes are entitled to an airline sponsored meal or transfer to alternative flights operated by the carrier or competing carriers. Delays of more than 3 hours or 180 minutes compel the airline to offer accommodation to their stranded passengers.


Made Pastika: Bali Remains a Terror Target
Former Bali Police Chief and Candidate for Governor Warns that Bali Remains a Target for Terrorists While Urging Australians to Defy Fear and Holiday in Paradise.

Bali's former Chief of Police and current gubernatorial candidate, I Made Mangku Pastika, has been quoted in a Sydney Morning Herald article by Mark Forbes saying that Bali remains a terror target.

Pastika complains that the Island has "failed to introduce enough security to prevent more terrorist attacks" and, as result, remains a target for terrorists. "The terrorists still consider Bali is the best place to do their activity and send a message to the world," Pastika said.

Urges Australian to Continue to Visit

Speaking on the campiagn trail in Bali, General Pastika has promised that if elected he will dedicate himself to continually improve security in Bali.

An acknowledged authority on security and law enforcement, Pastika is widely credited with heading the effort that "identified, jailed or shot" tens of terrorists suspects connected with the October 2003 and 2005 terrorist bombings in Bali.

Pastika told the Herald, "Bali is dependent on tourism and tourism needs security, safety and in all facilities, hotels, tourist attractions and all those things."

Pastika urged the Australian people to continue to visit Bali, warning: "Once we are scared of terrorism they are winning; that's why I appeal to all the people of the world; don't be scared of terrorism, just come."


New Appointments at the Top at The Westin Nusa Dua, Bali
Bipan Kapur Heads the Team while Syaiful Imron Control Finances at Bali's Westin and Bali International Convention Center.



Bipun Kapur Heads The Westin and BICC

Bipan Kapur has been appointed General Manager of the 350-room The Westin Nusa Dua and the adjoining Bali International Convention Center (BICC).

Commenting on his recent appointment, Bipan said: "I am looking forward to learning more about this beautiful island, working with the people and re-initiating the Westin brand of hospitality. Westin is more than just a hotel. It's a destination where our guests are understood and where they can be at their best. Providing a series of experiences through our signature initiatives such as Unwind- A Westin evening ritual, Westin Destination Club, runWESTIN, ensuring that guests feel better when they leave than when they arrived."

Before joining The Westin Resort Nusa Dua, Bipan opened the inaugural Westin-branded property in India, The Westin Sohna Gurgaon Resort & Spa (TWSG).

Bipan has been associated with Starwood since 1992. Past assignment include working as a F&B Manager with Sheraton Mirage Gold Coast, Australia, prior to stints in China, Malaysia and Brunei.

A graduate from the Oberoi School of Hotel Management he also holds a Masters degree in Hotel administration from the Institut de Management Hôtelier International (Cornell/ESSEC) - Paris, France.

An Australian national, Bipan is married and has a son. He is a keen golfer and swims to stay fit.

Bipan replaces Jan Bungaard who held the same position at The Westin since April 2005.

Syaiful Imron Holds the Purse Strings at The Westin

Syaiful Imron has been appointed Financial Controller at The Westin and BICC. Prior joining the Resort, Syaiful served as the Financial Controller of Sheraton Surabaya Hotel and Towers and has been associated with Starwood since 1995.

He is a graduate from STEI Perbanas majoring in Finance and started his career in the hospitality industry as Income Auditor of Sheraton Surabaya Hotel and Towers.

Syaiful and his wife are the proud parents of three children.


Bali Needs a More Proactive Airport Management Approach
Antara Report Suggests that More Could Be Done to Attract and Retain International Air Routes to Bali.

The National News Agency Antara reports that over and above the problem of rising fuel prices, passivity and a less-than-proactive management of Indonesia's airports also plays a role in recent decisions by Qantas and Continental to end their scheduled flight services to Bali's Ngurah Rai international airport.

Antara quotes an unnamed business person from Bali's aviation sector as saying while rising fuels costs played a role in the two airline's decision to stop Bali flights, a lack of "attention" from the management of Indonesia's airports were also a factor in the decision to cease flying to Bali.

The source said that the incentive given to airlines by Indonesian airport operators were "minimal" and that, in fact, airport management (in Indonesia) are more inclined to "squeeze" airline operators by posting high airport use tariffs.

Conversely, the observer said that during difficult periods, such as the current oil crisis, many airport managers overseas actually extend special incentives to airlines by discounting service fees in order to preserve air service to their destinations.

The observer told Antara: "This is the problem, here at (Bali's) Ngurah Rai Airport a progressive tariff is in place that allows the first two hours of aircraft parking to be free, but for periods of more than two hours a multiple of the tariff if applied. Airports in Indonesia are expensive."

The anonymous spokesperson said that when oil prices increase the management of the airport should extend incentives to stimulate air commerce and maintain existing air corridors. Adding: "It's not that airlines don’t want to fly, there just unable to pay Indonesia's non-competitive fees which contain no 'incentive discounts.' Our airlines are in a 'dazed' condition resulting from the sudden rise in oil world prices."

Staying in Touch with Our Customers

The observer also complained that Indonesia's Department of Foreign Affair, Department of Communications and the Ministry of Culture and Tourism were less than attentive in maintaining a sound business nurturing relationship with the host governments of the airlines that fly to Indonesia. He reasoned that with a strong lobby Continental Airlines would not have decided to withdraw from Bali and could, in fact, have been encouraged to add frequencies to Bali while stopping flights to Cairns in Australia. This was not done, he said, and Continental decided to cancel Bali while preserving its services to Cairns.

Continental's Manager Speaks

When Antara contacted the local manager of Continental Airlines at Bali's Ngurah Rai International Airport, Dara Mustika, she commented that some 50 destinations served by her airline have recently been cut with around 2,000 employees losing their jobs.

When asked about the cost of using Bali's airport, Mustika confirmed that in the course of a single visit by a Continental 737around US$3,000 in airport service fees are incurred.

Underling the impact of higher fuel costs, Mustika also advised that during the four-month period of January-April, Continental paid Pertamina US$412,000 for aviation fuel. This compares to only US$917,000 paid for fuel by the airline for the entire year of 2006 and US$1.065 for fuel for the entire calendar year of 2007.


Fiscal Tax to End January 1, 2009
Registered Tax Payers to Be Exempted from Rp. 1 Million Fiscal Tax Paymen for Traveling Abroad.

The Indonesian Director General of Taxation has announced its intention to exempt Indonesian residents who possess an official tax number (NPWP) from paying the unpopular Rp. 1 million (US$107) fiscal charge each time they depart on a foreign trip, effective January 1, 2009.

The fiscal charge, which is settled at special tax kiosks at Indonesian airports and seaports, is technically reimbursable and can be credited against final payroll tax liabilities.

The new move designed to enhance bureaucratic efficiency and encourage Indonesian's to register and pay taxes, will only be available to the estimated 4.9 million individuals who have registered and obtained an official NPWP registration from their local tax office.

Tax officials are hinting that the "fiscal free" facility may only be a temporary measure, with the entire policy up for review on January 1, 2009, two years after the introduction of the trial "fiscal free" period.

Government officials have been quoted in the national press as saying they are confident that any loss in revenues from the fiscal fees will be more than offset by increases in the national taxpayers' base. In 2007, the government collected Rp. 2.5 trillion (US$268.8 million) in fiscal fees. The total fiscal payments collected in 2006 totaled Rp.1.2 trillion (US$129 million).

Under the new facility to take effect on January 1, 2009, travelers need only show the NPWP of the family head to be exempted from paying the fiscal charge. Dependents under the age of 21 can also be exempted under their parent's NPWP, while children under the age of 12 are not required to pay the fiscal fee.




 
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