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Hilton hits on Mandhoo: No room for ethics in Maldives resort 6 November 2005 See also: Hilton Maldives Responds to Accusations of 'Environmental Crimes' Minivan News 29 March 2006 Lies from Crown and Hilton Maldives Resort and Spa may mean millions for Mandhoo islanders Dhivehi Observer 4 April 2006
The photos show coconut palms being taken from Mandhoo, just north of the resort complex, less than two months after a tsunami that killed almost 100 Maldivians and left 15,000 homeless. The Hilton company and its Maldivian partners were racing to meet a mid-year 2005 deadline to re-open the upgraded resort. In early 2003, Hilton Maldives leased a large portion of Mandhoo, locally known as Mandhoo Thundi, through its local sponsor Crown Company Pvt. Ltd of the Maldives. Crown Company Pvt. Ltd also leased the Rangali and Rangalifinolhu islands to Hilton for their Resort & Spa complex. The Crown Company is controlled by Champa Hussein Afeef. In the 1980s, Champa spent time under house arrest for criticising President Maumoon Gayyoom, but since then he has been an outspoken supporter of the Gayyoom dictatorship. Technically, Champa is now a silent partner in the company, and one of its major shareholders is Ahmed Saleem, the New Zealand consul for Maldives. Since the commencement of Hilton Maldives Upgrading Project, the following events have occurred and are still taking place: - Hundreds of palm trees uprooted from Mandhoo Thundi. - Hundreds of mangrove trees removed from Mandhoo Thundi. - Tons of black soil taken from Mandhoo Thundi. - Tons of sand taken from the beach area of Mandhoo Thundi. - Without a viable plan, acres of land covered with coconut palms and other trees and shrubs have been cleared with bulldozers, destroying everything to build large warehouses. - All the palms and other vegetation, along with the black soil and sand are being shipped to the Hilton Maldives luxury resorts in Rangali and Rangalifinolhu islands. Island leases, particularly inhabited islands, do not allow wholesale destruction of the environment, and Hilton-Crown's actions in Mandhoo not only offend ancient traditions, but are also likely to be contrary to environmental regulations in Maldives and contrary to the code of ethics that the Hilton company requires from its managers, employees and partners. Hilton Hotels Corporation's Code of Business Conduct and Ethics, published in January 2004 is clear about the standards it expects. Hilton wants to promote 'honest and ethical conduct, including fair dealing and the ethical handling of conflicts of interest.., compliance with applicable laws and governmental rules and regulations.., prompt internal reporting of violations of this Code', and to 'deter wrongdoing'. Hilton's Code of Business Conduct and Ethics is backed by the operations of its Corporate Governance and Nominating Committee. 'Any director, officer or employee who becomes aware of any existing or potential violation of this Code is required to notify the General Counsel promptly,' according to documents published on the Hilton company website. 'Failure to do so is itself a violation of this Code... The Corporate Governance and Nominating Committee shall take all action it considers appropriate to investigate any violations reported to it. If a violation has occurred, the Company will take such disciplinary or preventive action as it deems appropriate, after consultation with the Corporate Governance and Nominating Committee in the case of a director or executive officer, or the General Counsel in the case of any other employee...' Mandhoo islanders can justifiably claim the Hilton and Crown companies have violated this Code. There is little economic benefit from tourism for Maldivians who live near resorts. Women are excluded from resort employment and the tourism industry has shown a strong preference for cheap compliant expatriate male staff from Sri Lanka, India and Bangladesh. In Maldives, tourists are discouraged from visiting inhabited islands and prevented from staying overnight, and any business between inhabited islands and resorts is tightly controlled. It is reasonable for the Mandhoo islanders to ask why Hilton and Crown believe they have a right to ship away valuable soils and vegetation from leased land. How will future generations of Mandhoo people feed themselves when the basis of any agriculture is destroyed by these companies? Vegetation also protects islands from tidal storm swells and tsunamis. Mandhoo is being left defenseless by the destruction of its thundi area. Its people are asking who will compensate them for the destruction they are suffering. In the past, Mandhoo islanders have complained about Hilton and Crown's actions, and were subjected to a total boycott by the resorts. To quell the complaints, Hilton stopped sending tourists on day excursions to Mandhoo (see map), and souvenir sales to tourists ceased. This affected many needy people who relied on the sales for income. There is no social security system in Maldives.
Hilton promotes its Resort and Spa complex as as a 'honeymoon resort' and 'a sybaritic combination of three luxury resorts spread across two islands, surrounded by a vibrant coral reef and lagoon.' Hilton is being modest. Its complex consists of not two, but three islands - Mandhoo is also being ripped up and relocated to Rangali and Rangalifinolhu.
Relevant links: Hilton company Code of Ethics, Jan 2004 - 109k PDF Hilton company Corporate Governance Guide, June 2005 - 124k PDF Hilton - Maldives Resort Fact Sheet - 160k PDF Hilton Maldives Resort & Spa Rangali Island Hilton International Largely Unscathed by Tidal Wave |
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Editors and translators: Michael O'Shea and Fareesha Abdulla, Australia
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