Mr Deputy Speaker, Sir, I am informed that the State Investment Corporation entered into a Shareholders' Agreement on 29 August 2015 with Yihai International Investment Management Limited, a company incorporated in the British Virgin Islands and wholly owned by Mr Li Hai, who is a Chinese National, for the development of a Smart City project at Domaine Les Pailles. For this purpose, Yihai Investment Ltd was incorporated as a domestic company on 15 September 2015 to undertake the development of the Smart City project. The Economic Development Board granted a Smart City Certificate to Yihai on 04 October 2019. The State Investment Corporation's capital contribution to Yihai consisted of 97 Arpents of land, together with the existing buildings at Domaine Les Pailles, comprising principally of five restaurants and their associated infrastructure. This contribution was valued at Rs573.7 million and represented 49% of the issued share capital of Yihai. The other shareholder, namely Yihai International Investment Management Limited, was required to contribute an initial cash injection of Rs598 million, along with materials and equipment valued at more than Rs600 million, which together were intended to constitute the equity contribution in Yihai of approximately Rs1.2 billion. However, as at date, Yihai has injected only Rs440 million. This, in itself, is a major red flag. The project initially comprised the construction of 135 villas, 1,029 apartments, 1 office tower, 1 commercial building, 1 school, 1 hotel, 1 health clinic, 1 club house and 2 service buildings to be developed in 3 phases under the Smart City Scheme. The project was designed to integrate the existing Domaine Les Pailles theme park while preserving the historical infrastructure of the site. In addition, in December 2015, the State Investment Corporation, through its subsidiary, the Guibies Properties Ltd, entered into an Administration and Management Agreement with Yihai for the management of the existing Equestrian Centre at Domaine Les Pailles for a period of 19 years. Mr Deputy Speaker, Sir, this is another scandalous project under the previous Government and it has several dimensions. I am informed by the State Investment Corporation, that it has not leased the prime land of Government of Mauritius but rather, there has been an outright transfer of the land and buildings to Yihai. These properties are now owned by Yihai with Yihai International Investment Management Limited as the major shareholder. This prime land is, therefore, no longer under the control of the State Investment Corporation. It has instead been transferred to Yihai which is under the control of a non-citizen who has failed to deliver and honour his commitments and he is now also under investigation by the Financial Crimes Commission (FCC). Mr Deputy Speaker, Sir, some disturbing facts have also been uncovered by the new management of the State Investment Corporation – (i) I am informed by the State Investment Corporation that no due diligence was conducted by the latter on Yihai International Investment Management Ltd and on Mr Li Hai himself, prior to the signature of the Shareholders’ Agreement. (ii) When Yihai was set up, it was agreed in the Shareholders’ Agreement that all cheques will be signed by two signatories, namely Mr Li Hai and a representative from the State Investment Corporation. Initially, it was Mrs Banoomatee Veerasamy, who was later replaced by Mr Anoop Nilamber. However, in March 2018, there was a major departure from the above arrangements, whereby the Board of Directors of Yihai approved that only Mr Li Hai will sign all the cheques up to an amount of Rs10 million. For all cheques above Rs10 million, Mr Li Hai and Mr Anoop Nilamber would be the signatories. This devious and unusual mechanism allowed Mr Li Hai to empty the bank account of Yihai singlehandedly. Mr Li Hai took the liberty to sign several cheques and withdrew a total of Rs107 million. To be precise, he withdrew an amount of Rs9,431,240 on 10 different occasions, amongst others, over a very short span of time, 3 months; from March 2022 to May 2022. (iii) Furthermore, Mr Li Hai and with Mr Anoop Nilamber, approved a further board resolution on 31 July 2019 to pay a net monthly salary of Rs500,000 to Mr Li Hai. The income tax payable thereupon was to be borne by the company, Yihai, as opposed to Mr Li Hai himself. As from February 2026, the new management of State Investment Corporation has put an end to this scam. Mr Deputy Speaker, Sir, I am further informed by the State Investment Corporation that, since the transfer of the land and buildings, Yihai International Investment Management Ltd has been in persistent breach of the terms of the Agreements and has failed to discharge its contractual obligations. The main breaches include – (i) a failure to meet its full capital contribution of Rs1.2 billion, comprising Rs598 million in the form of cash of which Rs158 million remains unpaid and the remaining in the form of building materials and construction equipment which have never been brought in; (ii) a substantial project delays with only four villas and one apartment block of the 29 units completed; (iii) unpaid administration and management fees to Guibies Properties Ltd totalling Rs10.6 million; (iv) severe governance issues such as non-submission of audited accounts since 2019; (v) lack of accountability to shareholders; (vi) breach of the conditions of its Smart City Scheme Certificate, and (vii) failure to pay a guaranteed dividend of Rs500 million over three years to the State Investment Corporation as per the Agreement they had signed. Mr Deputy Speaker, Sir, on 16 May 2025, the former Deputy Prime Minister, together with other Ministers, carried out a site visit at Domaine Les Pailles, to take stock of the status of the project and the infrastructural development carried out thereafter. He immediately, in a press conference, highlighted that the Domaine Les Pailles has been in a state of severe neglect for several years, and that the historic site remains underdeveloped and abandoned. The Equestrian Centre was also in a pitiful state, with allegation of ill-treatment of the horses and ponies. Mr Deputy Speaker, Sir, such a gross mismanagement of this project occurred over the period of 2015 to 2024 under the previous Government. With regard to part (a) of the question, I am informed that – (i) SIC has initiated legal proceedings to prevent Yihai International Investment Management Limited from exercising its voting rights in respect of unpaid share capital, and to restrain the sale of villas and apartments by Mr Li Hai; (ii) on 28 May 2024, the State Investment Corporation obtained an interim order prohibiting and restraining Yihai from selling or otherwise disposing of part of its assets, including apartments belonging to Yihai, and (iii) Guibies Properties Ltd issued a Notice of Termination of the Administration and Management Agreement on 24 October 2025, with effect from 30 November 2025, requiring Yihai to surrender possession of the stables, the horses and the ponies. Mr Deputy Speaker, Sir, as regards part (b) of the question, I am informed by the Economic Development Board that a comprehensive assessment of the project has been undertaken following which a report was forwarded to the former Deputy Prime Minister in July 2025. As per the report, there have been delays in project implementation owing to changes to the business plan, governance concerns, serious issues relating to capital contribution and the absence of updated audited financial statements, as I said, since 2019. Mr Deputy Speaker, Sir, in the light of the serious shortcomings identified, the more so that the matter has been referred to the FCC in May 2026, the EDB is considering revoking the Smart City Scheme Certificate in accordance with the applicable legal and regulatory framework. In so doing, the EDB is also taking into account the interests of the State Investment Corporation after evaluating all the risks involved in the project, including legal, financial, regulatory and investment-related risks, so as to ensure that any decision does not prejudice the interests of the State Investment Corporation. Mr Deputy Speaker, Sir, I am further informed by the State Investment Corporation that, following allegations made to the FCC by two Chinese nationals, there exists a dispute in the financial participation of Mr Li Hai in the shareholding of Yihai International Investment Management Limited. The two Chinese nationals have also alleged that Mr Li Hai is engaged in money laundering, following which, the FCC has lodged a provisional charge against Mr Li Hai. Following an application by the FCC, the Supreme Court issued a freezing order in respect of Mr Li Hai’s bank accounts and on all the assets of Yihai Investment Limited. The State Investment Corporation has additionally, in May 2026, lodged a formal complaint with the FCC against Mr Li Hai for fraud and misappropriation of funds. The FCC is currently investigating the alleged malpractices involving Mr Nilamber and Mr Li Hai. And yet, I should add, Mr Deputy Speaker, Sir, that the same Mr Nilamber was subsequently appointed as CEO of the State Bank of Mauritius by the previous Government. Mr Deputy Speaker, Sir, this is a high-profile case involving significant public assets, prime lands of Government, a historic national site, gross mismanagement, dishonesty by shareholder Yihai International Investment Management Ltd and a loss on investment.

Yes, hon. Ms J. Bérenger!

Je vous remercie. Est-ce que, dans le cadre de l'enquête de la FCC, les autorités auraient pris contact avec les autorités chinoises pour demander une quelconque assistance ? Si oui, quelles sont les retombées ?

I am not in a position to say that at this stage because the inquiry is ongoing.

Une dernière question ?

Okay, next question!

Merci. Au-delà des millions qui sont dus par rapport au loyer des écuries du Domaine Les Pailles, il y a également, si je ne me trompe pas, encore quatre poneys survivants sur les lieux. Est-ce que des actions seraient envisagées pour assurer le bien-être de l'animal, étant donné qu'ils sont dans un très mauvais état ?

Of course, they should have done that already, if they have not.

Okay. The hon. Third Member for Port Louis South and Port Louis Central! MUSLIM RELIGIOUS MARRIAGES REGISTRATION – DEADLINE EXTENSION