INCREASE IN SALES TAX IS A RESULT OF THE "BAD GOVERNANCE" OF RULERS AND IS A BURDEN ON THE MIDDLE CLASS AND DOWN TRODDEN PEOPLE AS WELL AS ON THE BUSINESS COMMUNITY ---- ALTAF HUSSAIN

London: December 2, 1998

Mr Altaf Hussain, founder and leader of MQM has condemned the increase in Sales Tax. He pointed out that the increase in the sales tax is a burden on 98% of the population belonging to the middle class and down trodden people of Pakistan as well as on the business community.

He said that the increase of the sales tax and hike in the prices are directly related to the "bad governance" of the successive and the present government and rulers that results in the destitution and sufferings of the middle class and down trodden people of Pakistan. He also stated that the increment of Sales Tax is an attack on the domestic producers and tantamount to punishing the business community and traders, who are striving to rejuvenate the ailing economy of Pakistan.

Mr Altaf Hussain cited unfairness in establishing a "linkage" to the increment of taxes and duties and devaluation of currency of IMF (International Monetary Fund) and World Bank. He added that while failing to establish "linkage" to the recovery of loans from the loan defaulters and sequestration of the properties and assets of the corrupt rulers, feudal oligarchy and the bureaucrats amassed by them nationally and internationally.

Mr Altaf Hussain emphasised that this "unfairness" results in the sufferings of the people and encourages the rulers to fatten their personal treasuries and render the country lean, in his statement. Mr Altaf Hussain pointed out that the increase in sales tax is, actually, a mini budget, which will burden the people of an extra fifteen billion Rupees of taxation. He called the presidential ordinance of sales tax increase, unconstitutional and undemocratic.

Mr Altaf Hussain also stated that failure of such "linkage" by IMF and World Bank as to the recovery of loans and sequestration of the assets and properties accumulated through corruption, kick backs and commission and the day light robbery. He said that it is tantamount to promoting their "favourite regimes" and contrary to the "Good Governance" and the national interests of the country. He called on the president to curb the inflation, unemployment and the repressive excesses against the oppressed. He also asked the president to retrieve the stolen wealth of nation from those have looted and plundered the country.