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Tighter clamp urged on expat hiring in Bahrain

MANAMA, February 14, 2015

Businesses in Bahrain that close within three months of starting operations should face tougher penalties as part of a crackdown on the illegal visa black market, according to a foreign diplomat.

Bangladesh Ambassador K M Mominur Rahman said the measure would deter people from starting up firms simply to acquire visas, which they then sell before shutting down almost immediately, reported the Gulf Daily News (GDN), our sister publication.

Brokers

He was responding to a GDN report on Sunday, in which Labour Market Regulatory Authority (LMRA) chief executive Ausamah Al Absi announced that a clampdown on the illegal visa trade would commence within weeks.

Rahman welcomed the tougher approach by authorities, but said companies should be required by the Industry and Commerce Ministry to remain operational for a minimum length of time before stopping operations.

Sources told the GDN that the same Bahraini 'brokers' were showing up 'every second day' seeking embassy clearance to hire Bangladeshis for different 'companies'.

Under rules introduced by the Bangladesh government to protect its citizens abroad, every employer in Bahrain should be pre-approved to hire Bangladeshi employees.

Sources said that 'companies' recruiting from Bangladesh get clearance for two to four recruits every two weeks, but then cease to exist after a few months.

'The ministry, as part of the licence agreement with business owners, must ensure that a business operates for a certain period of time before the owner decides to close it,' said Rahman.

'When we are approving the pre-visa attestation documents and a Commercial Registration (CR) is shown active, we issue visas and labourers are brought in.

'After three to four months, these CRs are no longer valid '“ which means the businesses are shut down.'

He said background checks were being made before CRs were issued by Bahraini authorities, but there was nothing to stop people from closing down companies after they obtained visas.

If somebody opens a business with a CR issued, they should have to continue for at least two years minimum while they bring in people,' said the ambassador.

'If they can't or don't do it, they should be fined which will make them think before they start this business.

'All these procedures have to be strictly implemented and they should not be allowed to freely shut down a business.

'The LMRA is getting tough and their intentions are honest.

'The government is trying its utmost to resolve these issues, but at the same time we can achieve the desired results only if we address these aspects of the system as well.'

A spokeswoman at the Industry and Commerce Ministry confirmed there was no condition stipulating the minimum period that a business should be functional.

'CRs are issued after certain procedures are followed and requirements are satisfied and there is no condition in terms of the minimum number of years a company must be in operation before it closes down, except for a special purpose company, which closes by default once its purpose has been achieved,' she said.

'Regarding the visas, the LMRA is the authority that determines the number of visas appropriated for each CR depending on the type of commercial activity '“ not the Industry and Commerce Ministry.

'The problem is related to individual establishments' CRs, not companies' CRs, but in either case when the CR of an individual establishment or a company is cancelled or frozen for any reason, the LMRA is notified.'

Approval

The LMRA's new crackdown on the illegal visa black market announced on Sunday follows National Assembly approval of a Royal Decree, which allows authorities to go after Bahraini companies that illegally sell visas.

It also enables the prosecution of middlemen, who falsify documentation, allowing Bahraini companies to secure visas for 'ghost workers' who they will never actually hire.

Tens of thousands of foreign workers are thought to be working in the country illegally.

Many buy employment permits to get into the country even though there is no guarantee of work, before illegally accepting whatever jobs they can find upon arrival.

They are referred to as 'free visa' workers, but authorities are now stepping up their efforts to track them down while also going after the Bahrainis who illegally sell them visas for as much as BD1,500 ($3,960) for two years. – TradeArabia News Service




Tags: Bahrain | LMRA | hiring | Illegal visa |

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