A/HRC/42/CRP.3
Patron Group of the MEHL.109 The Mission has named both as being responsible for crimes
under international law110 and the United States has sanctioned both individuals111 due to their
involvement in gross violations of human rights.112
53.
While MEHL and MEC are not State-owned enterprises under Myanmar’s Economic
Enterprise Law,113 all shares in MEHL are held and managed by current or former military
officers, regiments and units, and organizations led by former servicemembers.114 MEHL is
a public limited company and MEC is a private limited company that is registered as a public
holding company. This makes MEHL marginally more accountable than MEC, which
operates in secrecy and is only accountable to the highest level of the Tatmadaw. While
MEHL, MEC and MEC Ltd. have submitted annual filings to the Directorate of Investment
and Company Administration (DICA) in line with the requirements under Section 27 of
Myanmar’s new Company Law, as well as financial statements, they are not required to
public disclose such filings. A new DICA directive, which entered into force in February
2019 requires the submission of annual reports to DICA.115
54.
Although little is known about MEHL’s corporate governance, the company’s Patron
Group includes seven of the most senior members of the Tatmadaw. The Commander-inChief is the Chairman and the Deputy Commander-in-Chief (who is also the Commander in
Chief of the Army) serves as the Vice Chairman. The Adjutant General is the Committee’s
Secretary. Its membership also includes the Joint Chief of Staff and the commanders-in-chief
of the Navy and Air Force, as well as the Quartermaster General.116 Additionally, MEHL has
an eleven-person Board of Directors, of which seven are serving military officers and four
are veterans. The Board of Directors is chaired by the Adjutant General and managed by the
Director for Military Procurement. The Board also includes the Chiefs of Staff of the Army,
Navy and Air Force, as well as the Inspector General and Judge Advocate General. Four
representatives of the Myanmar War Veteran’s Organization also sit on the board. 117
109
110
111
112
113
114
115
116
117
20
Digital records 2005 and 2008; The Union of Myanmar Economic Holdings Ltd. (Ministry of
Defense), Announcement of Status Change to a Public Company, 30 March 2016 “Announcement to
Shareholders.”
A/HRC/39/CRP.2, paragraphs 1554 and 1555.
U.S. Department of State, “Public Designation, Due to Gross Violations of Human Rights, of
Burmese Military Officials,” Press Statement by Michael R. Pompeo, 16 July 2019
(https://www.state.gov/public-designation-due-to-gross-violations-of-human-rights-of-burmesemilitary-officials/).
See Annex II. Myanmar Economic Holdings Limited (MEHL) and Myanmar Economic Corporation
(MEC).
Andrew Bauer, Arkar Hein, Khin Saw Htay, Matthew Hamilton and Paul Shortell, “State-Owned
Economic Enterprise Reform in Myanmar: The Case of Natural Resource Enterprises,” Natural
Resource Governance Institute, January 2018.
Clare Hammond, “Military-owned MEHL applies to become public company,” Myanmar Times, 1
April 2016 (https://www.mmtimes.com/business/19799-military-owned-mehl-applies-to-becomepublic-company.html), citing Announcement 90/2016 published in the Tatmadaw-run Myawaddy
newspaper, signed by the MEHL board of directors, which states that all “A Type” shares, formerly
held by the Ministry of Defense and Directorate of Defense Procurement, would be transformed into
“B Type” shares, held by military personnel, ex-servicemen, regiments and units, and veterans
organizations. For more information on MEC shareholders, which are exclusively active-duty military
personnel, see Aung Min and Toshihiro Kudo, “Business Conglomerates in the Context of
Myanmar’s Economic Reforms,” pg. 154.
Thiha, “Companies Must Submit Annual Reports to DICA Starting February 2019,” ConsultMyanmar, 17 September 2018 (https://consult-myanmar.com/2018/09/17/companies-must-submitannual-reports-to-dica-starting-february-2019/); Nan Lwin, “Companies Law to Take Effect in
Shadow of Rakhine Crisis, Civil War,” The Irrawaddy, 28 June 2019
(https://www.irrawaddy.com/business/lauded-companies-law-to-take-effect-in-shadow-of-rakhinecrisis.html); Company Directors Guide: A Guide to the Myanmar Companies Law 2017, Directorate
of Investment and Company Administration, see: “Submit an Annual Return Each Year” and
“Lodgement of Forms and Documents”.
Digital record 2008.
Digital record 2008; See Annex II. Myanmar Economic Holdings Limited (MEHL) and Myanmar
Economic Corporation (MEC).
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