Bahamas bank ‘strongly denies’ $100m ‘sham’ loan accusations
BY NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
A BAHAMIAN bank
says it “strongly denies” accusations it played a central role in a $100m “sham” and “fraudulent” transaction involving a loan secured against shares in an artificial intelligence (AI) data sciences provider.
St James Bank & Trust Company, which is based at Lyford Cay, in response to Tribune Business inquiries vehemently rejected claims by a Nasdaq-listed pain management products developer that it had sold-off 85m shares the latter owned in Datavault AI, which were supposed to serve as collateral for a multi-million dollar loan, without authorisation.
The Bahamian financial institution said it is now seeking to “compel arbitration” of Scilex Holding Company’s lawsuit in this nation, arguing that here - rather than the central California federal court - is “the proper forum”
St James pushes for Bahamas arbitration on pain manager’s claims
Nasdaq-listed firm alleges it became victim to ‘conspiracy to defraud’
Claims Lyford Cay bank sold-off share collateral without permission
for resolving all disputes related to the now-controversial transaction.
Scilex, in its original March 11, 2026, complaint, a copy of which has been obtained by this newspaper, is alleging that it fell victim to “a conspiracy to defraud” it out of “tens of millions of dollars worth of securities” perpetrated by St James and others, including Omega & Corinth Group Ltd, which was described as a Bahamian-domiciled International Business Company (IBC). Describing itself as a “major shareholder” in
Moody’s: Gov’t needs 22% revenue jump to hit target
BY NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
TAXES and other income must grow by 22 percent year-over-year during the six months to end-June 2026 for the Government to hit its full-year revenue target, Moody’s is warning, as credit rating agencies hailed the “policy continuity” afforded by the general election’s outcome.
Moody’s, despite warning that a “significant acceleration” in tax, fee and other revenue collections is required during the 20252026 fiscal year’s second half, joined fellow rating agency, Fitch, in asserting that the May 12 result gives
the second Davis administration the mandate to proceed with all existing policies and continued “consolidation” of The Bahamas’ public finances. Fitch, in an assessment that mixed the positive with realism, forecast that the Government’s achievement of annual Budget surpluses, meaning revenues exceed total spending, will be more “gradual” than the Davis administration is projecting. It reiterated its belief that the $75.5m surplus predicted for 2025-2026 will be missed by some $150m, with the Government instead achieving a deficit of around the same magnitude
Fresh battle for control over Old Bahama Bay
BY NEIL HARTNELL
Business Editor
A FRESH battle for control erupted at Grand Bahama’s Old Bahama Bay resort over the weekend after the property’s owner made a renewed attempt to oust the group of condo proprietors that have been managing it.
Tribune Business can confirm that agents acting for LRA-OBB Ltd, which stands for Lubert AdlerOld Bahama Bay, starting on Friday made a new bid to take the hotel, marina and dock areas back from Island Ventures Resort & Club (IVRC) by asking the latter’s staff to leave and moving to secure the premises with its own workers and changing the locks. However, it is understood that - up until yesterday afternoon - IVRC, which was formed by a group of the 73 condo owners to keep the property operational in the wake of the 2011 financial default by Ginn, was resisting the LRA-OBB takeover amid government support for
Datavault, which is aiming to generate $200m in fullyear revenues for 2026, Scilex revealed that in late 2025 it had been seeking to raise capital for the AI data provider so that it could “complete a substantial transaction” by year-endthe details for which were not provided.
The pain management products provider alleged that it approached Marc Wade, principal of Wade Capital, an investment firm, who also “held himself out” as the owner of both St James and Omega & Corinth Group. The two
sides purportedly agreed a structured where the Bahamian bank and trust company would loan Scilex “up to $100m” secured against a portion of the latter’s Datavault shares which were to be retained until the funding was repaid.
Scilex, though, is alleging that Mr Wade and St James breached the deal by secretly, and without its permission, selling-off the Datavault shares pledged as collateral on the open market. And it is claiming that the defendants used the proceeds from the stock sales to finance the loan to itself rather than the monies coming from their own resources.
The California-based supplier, which asserts that its pain products do no rely on opioids, then alleged that - because the value of the loan was supposed to be worth only 60 percent of the pledged share collateral - the non-disclosed stock disposal would enable St
Air crash drug accused linked to contractor in PPP legal fight
BY NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
THE air crash victim arrested and charged with drug offences by the US authorities appears to have been linked to a Bahamian construction company around the time it secured a $34m public-private partnership (PPP) deal with the Government. Documents from The Bahamas’ registry of records, which have been seen by Tribune Business, reveal a ‘Jonathan Gardiner’ swearing under oath that - despite being “the president and a director” of Top Notch Builders - he owned not a single share in the company. Top Notch Builders, which is based on Adelaide Road in southwest New Providence, is the firm that secured the deal to construct the Government’s Eight Mile Rock administrative complex one day before the May 10, 2017, general election. Multiple sources, speaking on condition of anonymity, yesterday confirmed that the ‘Jonathan
Gardiner’ referred to in the document is the same Jonathan Eric Gardiner now in held in custody in the US following last week’s general election day plane clash after he was charged with involvement in a long-running conspiracy to smuggle cocaine into the US. Some described Top Notch Builders as “his company”, meaning Mr Gardiner’s, although that is to be balanced against the document seen by this newspaper.
Sworn on February 13, 2017, less than three months before the PPP deal for what is now the Obadiah H. Wilchcombe government complex, named after the late MP and minister of tourism, was signed on May 9, 2017, the document - signed by Jonathan Gardinerappears to be an attempt to distance himself from ownership of Top Notch Builders by denying he has any beneficial interest in the company. He testifies under oath that Top Notch Builders is
Foreign Airbnb rivals threaten local tour, excursion operators
BY ANNELIA NIXON Tribune Business Reporter anixon@tribunemedia.net
BAHAMIAN tour and excursion providers are complaining they face an unfair competitive disadvantage from foreign-owned Airbnb and vacation rental owners who are running rival operations from their properties.
Ray Lightbourn, principal of Exuma Water Sports, said increasing competition from foreign-owned Airbnb operators has worsened long-standing cost pressures for himself and other Bahamian operators who are trying to absorb surging fuel costs without raising prices.
“We haven’t changed our prices,” he said. “We actually haven’t really changed our prices in about ten years. It’s not easy, but we got a lot of competition.
Unfortunately, we got a lot of competition, and also got a lot of illegal boats doing tours, too.”
Mr Lightbourn alleged that some foreign Airbnb owners are illegally entering the excursion market through arrangements with Bahamian fronts given that the tour and excursion business is supposed to be reserved 100 percent exclusively for local ownership.
“A lot of the Airbnbs are trying to get into the tour business, which is illegal because it’s reserved for Bahamians,” he said. “But what they do is they get a
Bahamian to front for them and get a licence.”
Mr Lightbourn argued that the growing presence of unlicensed and uninsured vessels is threatening both livelihoods and visitor safety. He added that the issue mirrors concerns previously raised within the fly-fishing sector regarding foreign operators running businesses in a sector reserved for Bahamians.
“The people that have been speaking out, they know about the fly fishing,” he said. “They don’t know anything about the tours. But what they say about the fly fishing is the exact same thing, except ours, the tours, are much more than the fly fisherman. I’ve reported it to the Government thousands of times but nothing seems to be done about it.”
Mr Lightbourn said many Bahamians and visitors are unaware that sectors such as boat tours, taxis and car rentals are intended to be fully Bahamian-owned and operated.
“A lot of people don’t know the law,” he said. “The tourists don’t even know half of them. They think they come down here and just buy a boat and hire somebody to be a captain. But it’s supposed to be for Bahamians.”
Mr Lightbourn also alleged that some Airbnb accommodations are bundling vehicle rentals into vacation stays, creating additional pressure for
Bahamian car rental operators.
Meanwhile, Kate Nottage, first mate for My Bahamas Private Tours & Excursions, said the growing number of unlicensed operators during the peak summer season is creating safety and operational concerns across the boating industry.
“A lot of people tend to flood the market in the summer with unregistered, unlicensed, uninsured boats due to the demand of the busy summer season,” Ms Nottage said.“A lot of them are not seasoned captains, nor are they really guest friendly half the time, and safety is also a concern with how they operate.”
She described repeated instances of unsafe boating behaviour, including operators disregarding navigation rules, speeding through no-wake zones and fishing in protected marine areas.
“Often we see people not adhering to boating regulations, boating rules, rules of the water,” Ms Nottage said. “It can be actually fairly dangerous.” She added that some operators also lack proper maintenance standards and customer service quality.
“I feel like a lot of the time there are a lot of vessels out there,” she said. “They're unlicensed, unregistered, uninsured, and a lot of them aren’t kept up very well.”
While acknowledging that some foreign-backed operators have established strong businesses
in the sector, Ms Nottage said many smaller Bahamian operators struggle to compete against companies with greater financial backing and exclusive hotel partnerships.
“I would love to see more support and protection for small and medium-sized Bahamian-owned operators, particularly those who are licensed, insured, employing Bahamians and actively reinvesting into the local economy and communities,” she said.
“One of the biggest concerns is access and visibility. Many of the larger, and larger foreign-backed operators, have exclusive or heavily favoured partnerships with major hotels, cruise lines and tourism channels, which can make it extremely difficult for smaller Bahamian companies to compete fairly even when they are offering high-quality, safe and personalised experiences.”
“There are certain companies that are foreign-owned, or mainly foreign-backed, and they have gotten in with different hotels. The concierge won’t push your stuff because they’re connected to that one company.”
According to Ms Nottage, several measures could help create a more level competiitive playing field for Bahamian operators, including encouraging hotels and tourism partners to allocate a fair percentage of referrals to Bahamian-owned businesses; increasing
transparency around preferred vendor agreements; and ensuring foreign charter companies employ Bahamian captains and staff onboard their vessels.
She also argued that foreign charter operators should be required to work alongside trained Bahamian consultants familiar with local navigation laws, protected marine areas and boating regulations.
Additional support, Ms Nottage said, should include stronger incentives and funding access for smaller Bahamian tourism businesses, as well as tougher enforcement to ensure all operators are properly licensed, insured and held to the same operating standards.
Shevfurther called for more opportunities for local operators to participate in tourism campaigns, destination marketing initiatives and major industry events.
“The reality is that many smaller Bahamian operators provide incredibly authentic, high-touch experiences and play an important role in supporting local families
and preserving the culture and personality that visitors come here to experience in the first place,” she said.
“This is not about being anti-foreign investment. Tourism benefits greatly from investment and growth, but rather about ensuring Bahamian entrepreneurs are not pushed out of their own industry and are given a fair opportunity to grow alongside larger companies.”
Ms Nottage said government agencies, including the Port Department, have made efforts in recent years to improve oversight and enforcement within the marine tourism industry.
“Many local operators would like to see continued support for policies that encourage fair competition, strengthen opportunities for Bahamian-owned businesses and ensure that the long-term economic benefits of marine tourism continue to circulate within the local economy,” she said.
Tribune Business reached out to the the Bahamas Port Department, Department of Inland Revenue and the Ministry of Tourism for comment on foreigners who own Airbnb properties operating boat tour businesses from those homes, but was unsuccessful in obtaining responses up to press time.
Transport unions optimistic Lundy can upgrade sector
BY ANNELIA NIXON Tribune Business Reporter anixon@tribunemedia.net
PUBLIC transport unions have voiced optimism about Leon Lundy’s appointment as minister of transport, with operators hoping the move signals stronger oversight, legislative reform and longawaited improvements for the sector.
Mr Lundy’s confirmation in office, following the Progressive Liberal Party’s (PLP) May 12 election win, comes amid ongoing tensions between taxi cab operators and livery drivers over the interpretation and enforcement of the Road Traffic Act, especially at Lynden Pindling International Airport (LPIA), where disputes over solicitation and operating rights have intensified in recent months.
Tyrone Butler, the Bahamas Taxi Cab Union (BTCU) president, described Mr Lundy as “an interesting choice” by Prime Minister Philip Davis KC, but said he was encouraged by the appointment because of the minister’s background in the hotel industry.
“On the face of it, I’m not disappointed. I’m pleased with the choice,” Mr Butler said. “I’ve known him for some time when he worked in the hotel industry. And so that gives me a bit of a hope that he will take the presence of taxi drivers on the front line of tourism perhaps with a bit more care and attention.”
Mr Butler also welcomed the appointment of Glenys Hanna-Martin as minister of tourism, noting that her prior experience as transport minister - a role in which she served during the Christie administration’s two terms in office - could strengthen co-ordination between the two.
“And what is more important for us is that we also got a minister of tourism [Glenys Hanna-Martin] who I also think would do well to assist the minister because she brings a wealth of experience in the Cabinet. She understands the tourism product and, more importantly, she's been a transport minister, and the two of them work closely,” he said.
“Both of them are essential, important components to the tourism products. So I think we couldn't have asked for a better choice than the two ministers. I see them as a bright future for tourism, and especially the transportation industry. “ Mr Butler said the taxi union is seeking an early
stakeholders meeting involving all transportation groups to establish clear policy priorities and address concerns surrounding enforcement and regulation within the industry.
“Our agenda remains basically the same,” he said.
“We only want an environment to work in that is free from hassle and interference. We want the law to run its course.”
Against the backdrop of an ongoing dispute between the taxi cab union’s members and the Bahamas Livery Drivers Union (BLDU), Mr Butler renewed criticism of the actions of some livery operators, arguing that illegal solicitation continues to create friction within the transportation sector.
“These persons that want to call themselves luxury drivers, if they really believe in their service, then they should go and market their business as the law prescribed them to do. If they don't want to do that, we're not going to tolerate it, because we've seen too much ugliness happen between livery drivers and taxi drivers,” he said.
“The vast majority of tourists come to this particular island. Our product is something that we've got to guard against, and make sure that we're always putting the best on the front line. And we have some personal challenges we want to put to the minister with regards to flooding the market with additional franchises, and not only that; some of the demographics and the characters that we see showing up on the line are not necessarily front-line people. And I think the Government's got to take a second look at that, and let's see what we can do to clean up that aspect of it, too.”
Meanwhile, Taurian Austin, the BLDU’s president, said his union is looking forward to working with Mr Lundy and advancing legislative reform for livery operators. “We’re excited to get working with him,” Mr Austin said.
LEON LUNDY
Minister eyes ‘dividends’ from growing economy
BY FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net
THE newly-appointed minister of finance says the Government is seeking to give Bahamians “dividends” from stronger economic growth via tax breaks as well as ease cost of living pressures as he prepares for next week’s 2026-2027 Budget.
Michael Halkitis, speaking to reporters after his swearing-in and appointment as minister, said the Government plans to build on what it views as significant improvements in the country’s fiscal position while ensuring Bahamians
DHL tie-up shows Bahamian firms ‘can grow and compete’
BY NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
THE Heroic Group’s founder and president has hailed its partnership with DHL Global Forwarding for proving that Bahamian companies “can grow and compete” while also “giving hope” to other aspiring local entrepreneurs.
Glennett Fowler, also president of FOWLCO Maritime & Project Services, speaking at the official opening for DHL’s relocated offices based at her company’s Queen’s Highway premises, said the move will help to strengthen “logistics and supply chain services throughout The Bahamas and the wider Caribbean”.
She added: “Partnerships matter because no company grows alone. Strong supply chains are built on trust, communication, reliability
SHIPPING - See Page B8
benefit from continued economic expansion. He added that officials are working to finalise measures aimed at supporting economic growth and easing cost-ofliving pressures.
“As the economy continues to grow, we want to build on that. We want to be able to give Bahamians additional tax breaks, dividends, so to speak, on the growth that the country has been experiencing,” said Mr Halkitis. “So it is our intention to continue to grow the economy and continue to give back to the Bahamian people. As we know, one of the main issues facing citizens, even before the
election, has been the cost of living, and we're seeking, as a government, to see how we can continue to do our part.”
Mr Halkitis said government officials are continuing preparations ahead of the May 27 Budget presentation, with meetings and consultations taking place across ministries and departments. “As a matter of fact, we have a budget meeting this afternoon at 1pm,” he said on Friday.
“Our civil servants in the Ministry of Finance, as well as in other ministries, have been busy with preparations over the past few months. And so we'll take the next 12 days or so to
continue the consultations with colleagues, and present a Budget to the country that we believe will continue to support growth and improve the financial situation of the country.”
Mr Halkitis said the Government is not “totally out of the woods yet” but remains committed to maintaining fiscal discipline despite recent economic gains. “We're looking to continue what we believe has been quite an impressive improvement in the fiscal condition of the country,” he said. “So you can expect to see continued discipline. We've come a long way, but we're not totally out of the woods yet.”
GB Power readies application to lower rates in line with BPL
BY FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net
GRAND Bahama residents and businesses will not see the benefits from the Government’s $200m Grand Bahama Power Company (GBPC) acquisition just yet after the utility confirmed customers will see no changes to electricity rates in this month’s bills In a statement, GB Power said no new rates or billing adjustments have been approved or implemented at this time and customers will continue to be billed under the existing tariff structure. It said the utility is preparing to submit an Equity Rate Adjustment application for regulatory review by the Utilities Regulation and Competition Authority (URCA), meaning a submission to align its rates and tariffs with those of Bahamas Power & Light (BPL).
NOTICE
IN THE ESTATE of TREVIS FRANCIS CURRY, late of the Settlement of Marsh Harbour in the Island of Abaco, one of the Islands of the Commonwealth of The Bahamas, deceased.
Notice is hereby given that all persons having any claim or demands against the above named Estate are required to send their names, addresses and particulars of the same duly certified in writing to the undersigned on or before the 28th day of May A.D., 2025, and if required, prove such debts or claims, or in default be excluded from any distribution; after the above date the assets will be distributed having regard only to the proved debts or claims of which the Administrator shall then have had Notice.
And Notice is hereby given that all persons indebted to the said Estate are requested to make full settlement on or before the aforementioned date.
MICHAEL A. DEAN & CO., Attorneys for the Executor Loyalist Plaza, Don Mackay Boulevard P.O. Box AB 203777 Marsh Harbour, Abaco, Bahamas
NOTICE
IN THE ESTATE of THOMAS CRAIG CURRY, late of the Settlement of Marsh Harbour in the Island of Abaco, one of the Islands of the Commonwealth of The Bahamas, deceased.
Notice is hereby given that all persons having any claim or demands against the above named Estate are required to send their names, addresses and particulars of the same duly certified in writing to the undersigned on or before the 28th day of May, 2026, and if required, prove such debts or claims, or in default be excluded from any distribution; after the above date the assets will be distributed having regard only to the proved debts or claims of which the Administrator shall then have had Notice.
And Notice is hereby given that all persons indebted to the said Estate are requested to make full settlement on or before the aforementioned date.
MICHAEL A. DEAN & CO.,
Attorneys for the Executors Loyalist Plaza, Don Mackay Boulevard P.O. Box AB 203777 Marsh Harbour, Abaco, Bahamas
“While the company is currently preparing to submit an Equity Rate Adjustment application for review and consideration by the regulator (URCA), no new rates or billing adjustments have been approved by the regulator or implemented at this time,” GB Power said.
The utility added that the proposed application forms part of efforts to improve affordability for residents and businesses while supporting the government’s national energy reform strategy and maintaining reliable electricity service across Grand Bahama.
Prime Minister Philip Davis KC previously said the utility would adopt BPL’s tariff structure, bringing Grand Bahama’s electricity rates in line with
those paid elsewhere in The Bahamas as part of a broader push to reduce the island’s cost of living and improve business competitiveness.
The acquisition was completed through a special purpose vehicle known as the Grand Bahama Electricity Company, and financed through a $200m syndicated loan arranged by Standard Chartered and Scotiabank that was guaranteed by the Government on behalf of Bahamian taxpayers.
Government officials have argued that the move will integrate Grand Bahama more fully into the country’s wider national energy reform programme while improving oversight, affordability and long-term reliability.
MICHAEL HALKITIS
Mr Halkitis, who previously served as minister of economic affairs and as a senator in the first Davis administration, was elected MP for St Barnabas in the May 12 general election, winning the seat formerly held by Opposition deputy leader, Shannendon Cartwright.
Mr Cartwright was later defeated by Owen Wells after contesting the St James constituency. Following his election to Parliament, Prime Minister
GB Power said any proposed adjustments will undergo the regulatory review process required under the Electricity Act 2024, and be in line with government policy directives concerning electricity affordability and equity adjustments.
The company also stressed that transparency would remain a priority throughout the process, and said additional details on the proposed adjustments will be made public in accordance with regulatory requirements.
“Should the regulator determine that public consultation is necessary, GB Power will actively participate in and support that consultation process to ensure customers and stakeholders are fully informed and engaged,” the company said.
Nikita Mullings, Gb Power’s chief operating officer, said the proposed adjustments are intended
JOIN OUR TEAM
CORE FUNCTIONS
Philip Davis KC appointed Mr Halkitis as minister of finance, a portfolio previously held by the Prime Minister himself.
Reflecting on the appointment, Mr Halkitis said he understood the responsibility attached to overseeing the country’s finances and pledged to uphold integrity, transparency and accountability in office.
“I'm very humbled by this appointment. I know it carries a lot of weight and a lot of responsibility,” he said. “Everything rises and falls on the sound finances of the country, and I know that the Bahamian people demand integrity, transparency and accountability, and that is the commitment that I bring to this office,” he said.
“I'm just thankful and grateful and humbled by this appointment, and just pledge my enduring commitment to integrity and hard work for the people and the country.”
to balance affordability with continued investment in the island’s electricity infrastructure.
“As a company deeply rooted in the Grand Bahama community, we recognise the importance of affordable energy to families, businesses and economic growth,” said Ms Mullings.
“These proposed adjustments represent an important step toward supporting our customers while continuing to invest in the reliability and sustainability of our electricity system.”
GB Power said it remains committed to working with the government, URCA and the public to deliver longterm energy solutions for Grand Bahama.
Direct the operations of the Financial Market Infrastructure (FMI) Department to promote the efficient functioning of systemically important payment and settlement systems, including the real-time gross settlement system (RTGS), the central securities depository (CSD) for Bahamas Government securities, the Central Bank’s digital currency (CBDC) platform, and all underlying services to support the infrastructure
Develop and deliver on policy outcomes to support broad objectives under the Central Bank’s Payment System Modernization Initiative (PSMI), and oversee the continuous assessment of domestic market maturity and integrity against the global Principles for Financial Market
Infrastructures (PFMI)
Guide the collection of data, and the development and maintenance of statistical models, required for management decision-making, analysis, and planning Risk and governance frameworks for the department are to promote data-driven outcomes
Contribute to the Central Bank’s governance, risk, and compliance functions, through measured contributions to strategic activities as part of the Management Committee, supported by department-specific actions and reporting
Develop and execute staff training and development plans to promote operational bench strength and contribute to the Central Bank’s wider succession planning initiatives
EDUCATION & EXPERIENCE REQUIREMENTS
Master’s degree in a quantitative branch of economics, finance, production & operations management, operations research, statistics, quantitative methods, or a related quantitative discipline
Expert knowledge of payment and settlement systems and the Principles of Financial Markets Infrastructures (PFMI)
Sound knowledge of SWIFT architecture, accounting standards, statistical and optimization techniques, wholesale and retail payment flows, and securities pricing, auction, and settlement practices
A general understanding of IT applications and their lifecycles
Sound knowledge of spreadsheet applications, statistical software packages, network analysis software packages, and data visualization software
Proficient in Python syntax and fundamental language features, including, inter alia, functions, data structures, control flows, and variables, particularly in the application of statistical and optimization techniques
Five years related or transferrable
experience at the management level, with a proven track record of supervising a team of professionals in a quantitative operational environment
James and its co-defendants to retain the remaining 40 percent balance generated by the stock sell-off.
Scilex said it began investigating whether St James and other defendants were selling its Datavault shares in February 2026 after receiving a tip-off. It alleged that the stock disposal not only drove the value of Datavault’s stock down, thereby reducing the AI provider’s value, but also triggered “defaults” under the loan agreement with St James that forced it to pay penalty fees - and provide more collateral - to the Bahamian financial institution.
However, St James, in a response e-mailed to Tribune Business by Bernard Kemp, its president, both rejected all the accusations against itself and said it was pushing to have the dispute dealt with by arbitration in The Bahamas rather than the central California federal court.
”St James strongly denies the allegations made by Scilex Holding Company in the US lawsuit. The bank has taken appropriate steps to compel arbitration of this dispute in The Bahamas, which we believe is the proper forum pursuant to the contractual agreements governing the transaction,” the Bahamian bank asserted.
“It is the policy of the bank to not comment on ongoing litigation or arbitration matters.”
Describing the nature of its business in more detail, St James added:
“The St James Bank & Trust Company acts as a regulated intermediary and custodian in highly-specialised financing transactions involving difficult-to-transact and less-liquid securities.
“In these arrangements, the bank does not retain material economic risk. Instead, 100 percent of the funding and risk is contractually transferred to sophisticated third-party participants through a series of participation and indemnification agreements.”
Mr Wade, St James and Omega & Corinth Group, in a recent collective release on the Scilex lawsuit, reiterated that they “dispute the veracity of key factual allegations in the Scilex complaint and deny any wrongdoing”. They added that Scilex’s public statements on the dispute were “false and inflammatory”, describing them as “misrepresentations and efforts to litigate the matter in the court of public opinion”.
Mr Wade, Omega & Corinth Group and St James added that the loan “was negotiated between sophisticated parties who were at all relevant times” represented by commercial attorneys, and said the agreement “contains a binding arbitration provision requiring all disputes be ‘referred to and resolved by arbitration in Nassau, Bahamas in accordance with the JAMS International Arbitration Rules’”. They are now seeking to halt the California lawsuit in favour of arbitration in The Bahamas. Scilex, though, is alleging that St James and Omega & Corinth Group have form for the alleged conduct it is complaining about. It says the two Bahamian entities have been named as defendants in four separate UK high court cases, brought between 2024 and 2026, each alleging misconduct involving loan agreements where St James “assigns its rights and obligations” to Omega & Corinth Group, then proceeds to “liquidate” the assets which have been pledged as collateral and rejects early repayment.
Speaking to its dealings with St James, Scilex is alleging: “St. James, through its principal Marc Wade and Omega & Corinth, agreed in late 2025 to lend Scilex up to $100m. As part of the agreement, Scilex transferred to St James collateral in the form of securities in a publicly-held company worth over $100m at the time they were transferred.
“St James was contractually obligated to retain the collateral until Scilex repaid the loan or defaulted, which it never did. But Defendants
never planned to retain the shares. The entire transaction was a sham. Neither St James nor Wade had the capital to fund the loan. Instead, the Wade defendants planned at the outset to demand stock from Scilex, sell it, and use the proceeds from the sale to fund the loan.
“Because the Wade defendants insisted on a 60 percent loan to value - that is, St. James would loan 60 percent of the value of the collateral - the Wade defendants would be able to walk away with approximately 40 percent of the proceeds of the sales.” Scilex said Mr Wade’s firm, Wade Capital, lists Mick Mulvaney, former chief of staff to US president Donald Trump in his first administration, and Todd Spitzer, the Orange County district attorney, as advisors.
Noting that “time was of the essence” to arrange financing for Datavault AI, Scilex alleged that in November 2025, Henry Ji and Stephen Ma, its chief executive and chief operating officer, respectively, were introduced to Mr Wade as someone who could provide a loan secured against shares provided as collateral. He told the duo, when they met at the Montage Hotel in Laguna Beach, California, that month, that he owned both St James and Omega & Corinth Group.
St James’ website shows it is presently owned by an entity called St James Partners, which was described as “financed by a group of sophisticated financial services executives” whose names are not disclosed.
During loan negotiations, Scilex insisted that any shares it pledged as collateral could not be sold, so Mr Wade allegedly reduced the value of the loan provided by St James from 75 percent of the collateral’s worth to 60 percent.
While Scilex ultimately signed a December 1, 2025, deal whereby it pledged more than 39.202m Datavault shares as security for a $50m loan, it alleged that the final agreement contained clauses “that the parties did not discuss” - especially he
provision that all disputes must be arbitrated in The Bahamas.
“When Ji signed the loan agreement on December 1, neither he, Ma nor Scilex’s counsel knew that the arbitration provision had been added and the forum changed to The Bahamas. Ji reasonably relied upon Wade and Barlow’s representation that the changes to the loan agreement would be limited to what the parties discussed on November 30,” Scilex alleged. This raises questions about the company’s due diligence, and why neither itself nor its attorneys picked up on The Bahamas change.
“Although St James was obligated to provide funding promptly, Wade began making excuses about delays in providing the funding. For example, in an early December phone call, Wade told Ji that St James’s broker, Citibank, would not accept Datavault shares,” Scilex’s lawsuit alleged. “Wade explained that he instructed Todd Spitzer, an advisor to one of Wade’s companies and the district attorney of Orange County, California, to call Citibank to request that they accept the shares.
“Wade further stated that Citibank told Spitzer that it would accept them, but nevertheless had not done so and St James was looking for another broker. On or about December 8, 2025, Scilex and St James amended the loan agreement, increasing the loan amount from $50m to $100m and the pledged securities to 85.839m shares of Datvault.
“Ji continued to press Wade on providing the funding, and Wade continued to make excuses. Ji also explained that Datavault had to provide assurances to the party with whom it was trying to finalise a transaction with by year-end that it would have sufficient available funds.” Mr Wade then instructed Mr Kemp, the St James president, to write a December 9, 2025, letter reassuring that the Bahamian bank would “fund the first loan tranche” as soon as the necessary shares were received by its custodian.
A further letter from Mr Kemp allegedly followed three days’ later, promising St James would wire $73.65m of loan proceeds to Scilex on December 15, 2025, which the pain management products provider alleges never happened. It, though, said it transferred the first 39.2m Datavault shares to St James one day later on December 16, 2025.
“On or about December 19, 2025, St James sent Scilex statements indicating that it had funded Scilex’s St James account with $9.975m,” Scilex alleged. “When Ma repeatedly asked St. James’s chief operating officer, Anastacia Brooks, to send that money to Scilex’s US bank account, she made excuses to delay that transfer. The funds were not made available to Scilex for another ten days.
“St James nevertheless used the purported funding on December 19 to later manufacture a claim that Scilex defaulted on the loan agreement based on a decrease in the trading volume of Datavault shares pegged to December 19 after Wade and St James caused massive increases in trading volume around that date…..
“Finally, on or about December 29, 2025, St James provided the first payments under the loan. Because
Scilex and Datavault needed a portion of the funds to go immediately to Datavault’s transaction counterparty, Scilex instructed St James to wire $9.23m directly to the transaction counterparty, and $12.298m to Scilex, which St. James did. One month later, on or about January 21, 2026, St James made its third and final payment of $15.502m to Scilex.”
Scilex then alleged that, in February 2026, it received a tip-off that St James and Mr Wade had been selling-off the pledged securities despite the loan agreement prohibiting them from doing this. And Ms Brooks, at St James, had informed the company that it was assigning the loan and all rights in it to Omega & Corinth, with the securities held as collateral placed with Stark Securities, which was acting as custodian.
“On or about February 4, 2026, Ma sent Brooks an e-mail asking if the pledged securities were being held in a Scilex account under Scilex’s name because the shares still belonged to Scilex,” Scilex alleged. “Brooks responded that the shares remain ‘beneficially owned’ by Scilex, but pledged in favour of St James and thereafter to Omega & Corinth.
“In or around mid-February 2026, intermediary one, who introduced Ji and Ma to Wade, called Ma to advise him that he was concerned that Wade and St James were selling Scilex’s pledged securities. Intermediary one provided Ma with evidence supporting his concern. Growing increasingly suspicious, Ma asked Brooks to provide additional assurances regarding the location of the pledged securities.
“For example, Ma asked for a statement showing where the pledged securities were being held. On or around February 18, 2026, Brooks e-mailed a statement showing that the pledged securities were being held at St James. This only led to more questions. Ma asked why the shares were being held at St James if Brooks had told him that they were being held at Stark,” Scilex’s lawsuit alleged.
“Brooks did not have an answer. Ma also asked for online access to the Scilex accounts at St James and Stark, but Brooks told Ma that she would not provide such access…. Instead of answering Ma’s questions directly, Brooks repeatedly told Ma that the pledged securities were being held for the benefit of Scilex and pledged to St James and, thereafter, Omega & Corinth.
“Brooks also told Ma in a February 18, 2026, e-mail that the pledged securities ‘have not been sold’. As Scilex later learned, this statement was untrue because by February 18 nearly all of the pledged securities had been sold by defendants.” The sales were executed via BNY Mellon.
Scilex alleged that trading data from the US and global capital markets showed millions of Datavault shares were sold after it transferred its holdings to St James as part of the loan collateral. This cut the stock’s price by more than 50 percent - slashing it from $1.39 on December 16, 2025, to $0.65 per share by year-end 2025.
“Upon information and belief, Wade and St James used the proceeds of the sale of Scilex’s pledged securities to fund the loan,” it
is now claimed. “Between December 16, the date Scilex first transferred shares, and December 29, the date St James provided the first loan funds, BNY Mellon sold approximately 30 million Datavault shares at an average closing price of $0.91. This would equal approximately $27m, more than enough to cover the funds that St James paid out under the loan on December 29.”
Scilex is claiming that this activity allowed St James to “manufacture” claims that it had defaulted under the loan agreement. Such “defaults” were to be triggered by clauses relating to the decline in Datavault’s share price and daily trading volumes in its stock.
“On or about December 30, 2025, St James’s Anastacia Brooks e-mailed Scilex with a proposal to cure a supposed share price default, which was caused by defendants’ sale of Datavault stock,” Scilex alleged. “St James demanded Scilex to transfer 10.425m additional pledged securities and pay a forbearance fee in the amount of $112,904 or equivalent pledged securities to cure, which Scilex did.
“Additionally, on or about February 2, 2026, St James accused Scilex of a trading volume default… As in December, Brooks e-mailed Scilex with a proposal to cure the trading volume default. Wade and St James required Scilex to transfer an additional 10m shares of Datavault to St James and pay a waiver and forbearance fee of $387,974 or 579,066 shares of Datavault.
“When Ji called Wade to complain about the default and cure, Wade would not agree to waive the default, but permitted Scilex to transfer the 10m shares in two tranches spread out by a week. Ma repeatedly asked Wade and Brooks to provide calculations to substantiate St. James’s demand for 10m shares. Brooks never provided these calculations and instead dismissively rejected Ma’s request, evasively claiming that such calculations were too complicated to provide. Scilex nevertheless pledged the shares and paid the forbearance fee,” Scilex added.
“Defendants’ fraud significantly damaged Scilex. Among other things, Scilex has been deprived of tens of millions of the shares it held in Datavault, which would be nearly impossible to reobtain on the open market. It has also been deprived of the value of those shares. The colossal volume of defendants’ sales of Datavault stock over a short trading period drove down the market value of the shares. This harmed Scilex because of its remaining substantial holdings in Datavault.
“But it also damaged Scilex because it led St James to accuse Scilex of defaults due to decreases in the stock price and trading volume. To cure the purported defaults, Scilex pledged additional Datavault shares to St James to ‘true up’ the collateral and paid fees St James imposed upon it.”
As a result, Scilex is demanding it be awarded damages of more than $100m plus interest “at the maximum rate allowed by law” for alleged fraudulent inducement and negligence, and wants all defendants to return (disgorge) all profits, earnings and benefits generated from the transaction.
Drug accused allegedly bids on ‘Gov’t-issued construction’
instead owned 100 percent by Paradise Productions Inc Company, an entity fully-owned by Samson Hield, who has been listed in previous Tribune Business reports as the “lead contractor” for the Eight Mile Rock PPP deal.
Jonathan Gardiner also asserts that none of the ordinary shares in Top Notch Builders are being “held in trust for or on behalf of any other person” by either Mr Hield or his Paradise Productions Inc Company. The document carries both the volume and page number it is recorded under in the Registry of Records, and has been signed and sealed by a Bahamian attorney.
Top Notch Builders and its principals could not be reached for comment before press time last night, but there is no suggestion that they have done anything wrong or are linked in any way to Mr Gardiner and the claims against him. None of them are named in the US indictment.
However, Michael Coleman, the Drug Enforcement Administration (DEA) special agent supplying evidence for the US authorities’ charges and complaint against Mr Gardiner, also known as ‘Player’, alleged he had been informed that “Gardiner owns a business that Gardiner uses to, among other things, bid on Bahamian government-issued construction contracts and launder his narcotics trafficking proceeds”.
This claim, if true and can be proven, is deeply concerning for The Bahamas and its governance because it implies that the Government and, by extension, the Bahamian people in their capacity as taxpayers, are effectively enabling the laundering of proceeds from criminal activity, and washing them clean, through the awarding of public sector construction contracts.
Meanwhile, other documents seen by Tribune Business show that Top Notch Builders received a ten-acre Crown Land grant involving property on the northern side of Adelaide Road on February 15, 2022, which would have been almost six months after the September 2021 general election was held. It carries an official government seal
and is signed by Prime Minister Philip Davis KC in his capacity as the minister for responsible for Lands and Surveys.
And this newspaper has also found documents showing that Top Notch Builders, alongside hundreds of other Bahamian companies, was “non-compliant with obligations to file beneficial ownership information in compliance with the Register of Beneficial Ownership Act 2018”. It was also among the unsuccessful bidders in 2018 on a $5m Long Island water supply and repair project being financed by the Caribbean Development Bank (CDB).
Tribune Business revealed recently that the Eight Mile Rock PPP has become embroiled in a furious legal battle by accusations that the Government’s failure to make due rental payments has caused the deal to default on a $25m bond.
The bust-up emerged due to Leno Corporate Services, the Bahamian financial services provider that structured and issued the bond, launching Supreme Court legal action against both PPP Investments & Construction Company, the private sector partner that built the Grand Bahama property, and the Ministry of Finance following the former’s failure to meet its repayment obligations. PPP Investments is 100 percent owned by Top Notch Builders, this newspaper’s records show.
PPP Investments & Construction Company, which has “admitted to the majority” of Leno’s accusations and is only disputing the amount owed, has now joined the financial services
provider in blaming the bond default on “the Ministry of Finance’s failure to pay” it the rent due on the administrative complex.
The financial mess is detailed in an April 10, 2026, Supreme Court ruling by Adrienne Bellot, its acting assistant registrar, who rejected the arguments by the Government for the Ministry of Finance and Attorney General’s Office to be removed as defendants to Leno’s action. She ruled that the financial services provider’s claim must move forward to be heard by a judge.
Tribune Business records show that, just over three months after Leno launched legal proceedings on the Eight Mile Rock administrative complex bond, the arrangement suddenly appeared in the Government’s 2025-2026 Budget - not as a rental payment but, rather, a loan debt.
The deal appeared under the ‘public debt servicinginterest and other charges’ heading, noting a $33.93m, ten-year loan due to PPP Investments & Construction Company even though this debt was supposed to have been serviced by rental payments. The PPP had initially been billed as a lease-toown structure where the Government would pay back the company and its lenders via rental payments.
Besides the $25m bond, the balance of the $34m Eight Mile Rock complex’s funding - some $9m - was obtained from Sygnus Capital, the Jamaican investment and alternative financing house. However, it has now appeared in the Government’s books as a “loan” that has to be repaid by Bahamian taxpayers. Some
NOTICE
NOTICE is hereby given that I, APOLEON DESAMOURS of Carmichael Road, Nassau, The Bahamas is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 18th day of May, 2026 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.
$2.308m is due to be paid in 2025-2026, with payments of $2.094m and $1.874m due in 2026-2027 and 2027-2028, respectively.
The $25m bond default will likely have caused Leno difficulties with the investors who bought into the debt security, which is effectively an ‘IOU’ committing the borrower to make scheduled interest and principal payments to them on time. The bond offering documents asserted that the Government will pay a fixed quarterly rent of $852,224, or $3.409m per year, to PPP Investments & Construction Company throughout the duration of the initial 10-year ‘rent-to-own’ lease.
Once the debt is fully paid off, the two buildings comprising the Eight Mile Rock complex were to be conveyed to the Government for $100. The latter was to pay PPP Investments & Construction Company a $535,000 ‘handover fee’ once construction of the complex, named in honour of the late ex-tourism minister, Obie Wilchcombe, was completed. It opened in 2023.
The first building was to be 33,000 square feet, and feature three floors to be used as a Government administrative building to house NIB (National Insurance Board) and other local government-related offices. Building ‘B’ was to be 13,000 square feet with two floors to be used as a court house, a police station and a fire station.
Among the prospective tenants were the Ministry of Finance, Passport Office, Department of Environmental Health, Urban Renewal, the Registrar General’s Office and
the Grand Bahama island administrator. This newspaper’s archives show that the Minnis administration allowed the Eight Mile Rock project to proceed despite clear misgivings over the last-minute deal it had inherited from its Christie predecessor.
Desmond Bannister, former deputy prime minister and minister of works, had described a $4.4m ‘advance interest payment’ to PPP Investments & Construction for ‘initial funding construction’ as “inconceivable”. PPPs are typically designed to reduce the financial stress on cashstrapped governments by contracting the private sector to provide the funding, development and expertise to construct much-needed infrastructure or run public services.
The Government’s cash flow pressures are eased by requiring the private sector to finance the up-front capital costs, with the latter earning a return on investment - and paying back any lender - from the revenue streams generated by infrastructure assets they develop or services provided.
The Free National Movement (FNM) has previously argued, though, that several projects touted by the Davis administration as PPPs do not fit this model or meet this criteria and, in reality, are off-the-books loans designed to keep debt off the Government’s balance sheet and prevent it from adding to the annual deficit and $12bn-plus national debt.
NOTICE COLABORAMERICAS LTD.
Incorporated under the International Business Companies Act, 2000 of the Commonwealth of The Bahamas. Registration number 207563 B (In Voluntary Liquidation)
Notice is hereby given that the above-named Company is in dissolution, commencing on the 14th day of May A.D. 2026.
Articles of Dissolution have been duly registered by the Registrar. The Liquidator is Mr. Linconl Moraes Rocha, whose address is Av Prof Alfonso Bovero, 918/87, CEP: 05019-010, Sao Paulo, SP, Brazil. Any Persons having a Claim against the above-named Company are required on or before the 13th day of June A.D. 2026 to send their names, addresses and particulars of their debts or claims to the Liquidator of the Company, or in default thereof they may be excluded from the benefit of any distribution made before such claim is proved.
Dated this 14th day of June A.D. 2026.
LINCONL MORAES ROCHA LIQUIDATOR
A premier building material retail supplier is seeking applications from qualified individuals for the position of:
General Manager
MAJOR RESPONSIBILITIES:
Substantial decision-making authority for day-to-day operations; major capital/strategic matters aligned with ownership Own P&L performance: drive sales growth protect/improve gross margin control expenses and deliver net operating profit targets Lead operations and supply chain: ensure disciplined purchasing, inventory accuracy timely receiving/fulfillment warehouse productivity and facilities maintenance Build and manage the leadership team: recruit coach hold department heads accountable, enforce performance management and succession planning Manage vendor contractor and third-party relationships: negotiate terms monitor service levels and ensure reliable supplier support Ensure customer experience and operational controls: maintain high service standards resolve escalations enforce compliance and provide accurate reporting to ownership
REQUIRED SKILLS & QUALITIES: Bachelor s degree in business/management/operations preferred; equivalent practical leadership experience accepted Professional references demonstrating past P&L outcomes inventory improvements and team leadership Results-oriented hands-on operationally disciplined commercially sharp fair but firm, composed under pressure, high accountability, strong communicator, able to build trust while enforcing standards
Email Resume and Cover Letter to hr@pineapplebusinessconsultancy.com Only shortlisted candidates will be contacted. Deadline to apply – 30 May 2026
Fitch says forecast surplus miss still ‘smallest deficit in 25 years’
equal to 0.5 percent of gross domestic product (GDP).
But, while projecting that the Government will enjoy only a “marginal” reduction in the deficit to 0.4 percent of GDP in the upcoming 2026-2027 fiscal year, Fitch nevertheless praised the Davis administration’s fiscal consolidation drive by asserting that its $75.5m deficit forecast for the current fiscal year - if attained - would still be “the smallest in 25 years” or a quarter of a century.
Amid concerns from the Fiscal Responsibility Council, the top fiscal watchdog in The Bahamas, that the Government may not earn the forecast $130m in revenues from the 15 percent corporate income tax on large taxpayers because the necessary collection mechanisms have not been implemented, Moody’s reiterated concerns detailed in that and other reports warning that the pace of revenue collection must improve significantly in the 2025-2026 second half to hit full-year goals.
“Fiscal data for the first half of fiscal 2026 - July through December 2025 - show a mixed revenue picture,” Moody’s said. “Total revenue grew 4.6 percent year-over-year. VAT revenue, which accounts for around half of total tax revenue, strongly outperformed budget targets, rising 10.3 percent, reflecting continued strength in tourism-related consumption and cumulative compliance gains.
“Reaching the Government’s full-year revenue target would require
year-over-year growth of about 22 percent in the second half of the fiscal year, a significant acceleration from the first-half pace. The Government expects the shortfall to narrow through the seasonal concentration of Business Licence fees, property taxes and banking fees, along with first-year receipts from the Domestic Minimum Top-Up Tax (DMTT), projected at around 0.7 percent of GDP.
“The DMTT was introduced to comply with the OECD’s Pillar II framework and represents the first direct tax on corporate income in The Bahamas.
Effective April 2026, the Government also reduced the VAT rate on unprepared food items from 5 percent to exempt, with foregone revenue estimated at $15m.”
The Ministry of Finance’s recent report on February’s fiscal performance also revealed that the pace of revenue collection for the first eight months, as a percentage of the 2025-2026 full-year target, is lagging behind 2024-2025’s except in the most important revenue stream - VAT.
VAT revenues, standing at $1.017bn at end-February, represented 66.7 percent or two-thirds of the fullyear target of $1.525bn, with the percentage ahead of February 2025’s 60.6 percent mark. However, Customs duties (taxes on international trade and transactions) stood at $541.2m or 55.7 percent of the full-year mark, and were lower than the prior year’s 64.2 percent.
Total revenue was also behind 2024-2025’s pace, standing at 54.1 percent of
the total Budget target at $2.109bn compared to 57.5 percent at end-February 2025. Total tax revenues were in a similar position, having reached 55.1 percent of the full-year goal or $1.894bn as opposed to 57.6 percent at the same point in the prior year. Real property tax collections for the first eight months of the 2025-2026 fiscal year were also behind on pace, standing at 39.6 percent of target compared to 48.9 percent.
Moody’s, though, hailed the general election outcome - and the Davis administration’s election to a second term in office - as supporting “policy continuity and fiscal consolidation”. It added that the Davis administration has “a strong mandate to continue its policy agenda, reinforcing a trajectory of fiscal consolidation and structural reform”.
This was echoed by Fitch, which added: “The victory of the governing Progressive Liberal Party (PLP) in The Bahamas’s parliamentary elections on May 12 supports policy continuity. We continue to forecast a gradual move to Budget surpluses, despite possible growth and fiscal pressures from the energy shock” caused by the Middle East conflict and subsequent spike in global oil prices.
Describing the PLP’s victory margin as decisive, Fitch added: “This is the first time in nearly 30 years that an incumbent party has been re-elected in The Bahamas, which has a history of large electoral swings between the two major parties.
“Affordability was cited as a central campaign issue for voters, reflecting high
housing and living costs of living, as well as recent pressures from the global oil price shock due to the US-Iran war. The Bahamas’ reliance on tourism and imported goods leaves it highly exposed to international economic and geopolitical developments that can quickly affect domestic politics.”
Fitch said that, while cost of living and affordability concerns may generate public pressure on the Government for “more substantial fiscal loosening”, it expects fiscal policy to remain largely unchanged - albeit this year’s Budget surplus target is likely to be missed. “Revenue-driven fiscal consolidation has improved general government (GG) finances,” the credit rating agency said.
“We forecast the general government deficit to remain at 0.5 percent of GDP in the fiscal year ending June 2026 (20252026) due to the oil price shock and a slowdown in tourism, compared with the Government’s target of a 0.5 percent surplus. But this would be the smallest deficit in 25 years.
“Our forecasts are conservative in light of The Bahamas’ recent record of fiscal out-performance. We forecast a marginal general government deficit improvement to 0.4 percent of GDP in 2027 before deficits gradually move into surplus over the medium term. Primary surpluses will stay at or above 3 percent.”
Turning to the longerterm outlook for The Bahamas’ debt, and its ratio as a percentage of economic output or GDP, Fitch said both the multi-billion dollar public sector
Demand for cruises appears undimmed despite hantavirus and other onboard outbreaks
By DEE-ANN DURBIN and MAE ANDERSON AP Business Writers
RECENT outbreaks of hantavirus and norovirus on cruise ships are making headlines, but they’re unlikely to dim the growing popularity of vacation cruises, according to industry representatives and travel experts.
In fact, many within the industry still expect a record number of people worldwide to take cruises this year despite three passengers aboard the MV Hondius dying from hantavirus after the ship stopped
in Argentina and a recent norovirus outbreak aboard a British ship docked in Bordeaux, France. “The cruise consumer seems to be somewhat Teflon when it comes to stories like this,” said Rob Kwortnik, an associate professor at Cornell University’s Nolan School of Hotel Administration who closely watches the cruise industry. In mid-April, an annual forecast by the Cruise Lines International Association, an industry trade group, estimated that 38.3 million people would travel on ocean-going ships this year, 4% more from a
record 37.2 million passengers last year. Industrywide sales figures are closely held. Asked about potential impacts from what happened aboard the MV Hondius, the trade association said it doesn’t comment or speculate on bookings. Several big cruise companies didn’t respond to questions from The Associated Press about customer demand, including Royal Caribbean, Norwegian and Carnival.
Oceanwide Expeditions, the Dutch company that owns the MV Hondius, said it doesn’t foresee any changes to its operations. It
has a cruise setting sail from Keflavik, Iceland, on May 29. Veteran cruisegoers said the outbreak would not affect their plans.
“I have eight cruises booked, and I’ll absolutely be booking another,” said Jenni Fielding, who blogs and posts social media videos about cruise trips under the moniker Cruise Mummy. “Cruising is as safe as any other type of holiday, provided travelers follow sensible health advice and stay aware of official guidance.”
Scott Eddy, a hospitality influencer, is currently on a cruise and docked in
pension liabilities and subsidies to state-owned enterprises (SOEs) pose a continued danger to the public finances.
“We expect gross general government debt (GGGD) to resume its gradual decline, falling to 73.6 percent of GDP in 2026 and 71.8 percent in 2027,” Fitch said. “This is well below the GGGD of 89.5 percent in 2020, but still far above the ‘BB’ category median of 52.6 percent, limiting fiscal flexibility in the event of a shock.
“Despite ongoing reforms, SOE debt presents contingent liabilities and pensions pose a medium-term spending risk. The main risk to debt sustainability would be a substantial negative shock to economic output.”
As for GDP growth, the rating agency added:
“We expect the economy to continue growing at 2.2 percent this year, albeit more slowly after a period of above-potential expansion. Short-term risks from the energy price shock stem from its potential impact on tourism through higher costs and weakened demand. Mitigating factors include The Bahamas’ proximity to the US, its leading position as a cruise destination, and its safety record.
“A longer-than-expected oil price shock would also present risks to our expectations that current account deficits normalise and international reserves increase slightly. The Bahamas’ wide current account deficit is largely financed by tourism-related foreign direct investment inflows……
“Before the election, the PLP had taken steps to address affordability
Monaco. Fellow passengers have not mentioned the hantavirus outbreak, he said.
“The average traveler understands that this is an isolated health situation and not something unique to cruise travel itself,” Eddy said. CruiseCompete.com, an online marketplace where consumers making vacation plans can compare offers from travel agents, booked 31.7% more cabins in the first half of May compared to the same period last year, CEO Bob Levinstein said.
“I can categorically say that we have not seen any drop in demand,” Levinstein said.
Levinstein said that norovirus — an extremely contagious stomach bug that thrives in crowded
challenges, including permanently dropping the VAT on [uncooked] food to zero on April 1, which will cost about $15m a year, having cut it the prior year to 5 percent from 10 percent. The Government’s strategic fuel hedge, put in place in December 2025, locked in oil prices at $70 per barrel, which has helped to shield the economy from the direct effects of the energy shock,” Fitch added.
“Although inflation data since the US.-Iran war began are not yet available, higher energy prices are feeding through to supply chains and will increasingly weigh on the Bahamian economy.”
Moody’s, in its own separate assessment, said “fiscal consolidation has strengthened and broadened, supporting a continued decline in government debt”. It added: “The Bahamas has established a track record of fiscal consolidation, underpinned by robust economic growth, particularly from the tourism sector, improved tax enforcement and contained expenditure growth.
“The overall fiscal balance narrowed from a deficit of 11.9 percent of GDP in fiscal 2021 to 0.4 percent in fiscal 2025, while the primary balance shifted from a deficit of 8.2 percent of GDP to a surplus of 3.7 percent over the same period…. The Government is targeting a fiscal surplus of 0.5 percent of GDP in fiscal 2026, rising to 1.7 percent of GDP by fiscal 2027, with the revenue-to-GDP ratio increasing to 25 percent as administrative reforms and new policy measures take effect.”
environments — is conflated with cruises in the minds of many Americans because the U.S. Centers for Disease Control requires ships to disclose when 3% or more passengers report symptoms.
On a ship with 5,000 passengers, an illness impacting 3% of them “goes completely unnoticed by the vast majority of vacationers, and experienced cruisers know this,” he said.
Current news cycles rarely impact passengers’ decisions to join a cruise because the trips generally are booked at least 6 months — and often as much as a year – in advance, Kwortnik said. “People who are booking cruises tomorrow are thinking about the holidays,” he said.
Legal Notice N O T I C E CAT INC.
NOTICE IS HEREBY GIVEN as follows:
(a) Cat Inc. has been dissolved on the 4th day of May 2026 under the provisions of the International Business Company Act, 2000.
Deltec Fund Directors Ltd. Liquidator
Legal Notice AT Series Fund Ltd., SAC INTERNATIONAL BUSINESS COMPANIES ACT (No.45 of 2000) In Voluntary Liquidation Notice is hereby given that in accordance with Section 138 (4) of the International Business Companies Act, (No.45 of2000), that AT Series Fund Ltd., SAC (Registration no. 172871 B is in dissolution. The date of commencement of the dissolution is the 14th May, 2026. The Liquidator of the Fund is Crowe Bahamas and can be contacted at Harbour Bay Plaza, Shirley Street, Suite 587, P. 0. Box AP-59223, Nassau, Bahamas. Email andrew.davies@crowe.bs . All persons having claims against the above-named company are required to mail and email their names, addresses and particulars of their debts or claims to the Liquidator before 12th day of June, 2026.
Crowe Bahamas Liquidator
Waiting for ‘all pieces to close’ in $10m tax battle
its stance. This is despite LRA-OBB’s position that it has a possession order and all paperwork required to regain control, and an argument that IVRC’s revocable licence to manage the property was purportedly revoked some 18 months ago.
Michael Scott KC, LRAOBB’s attorney, yesterday confirmed the repossession move when contacted by Tribune Business and described the situation at the West End property as “fluid’. He said: “The process is still ongoing. The process is still fluid. It’s engaged. The position is that it’s fluid, it’s in process.”
John MacDonald, IVRC’s president, told this newspaper that LRA-OBB had moved to regain control at Old Bahama Bay “against the Government’s wishes” and alleged that the company had been told to “stand down”.
“They did attempt that against the Government’s wishes,” he asserted. “The Government told them to stand down, and then the Government contacted, I believe, the local police, and the local police advised them they had no proper paperwork.
“They tried to tell employees to leave and, the funny thing is, it was property they didn’t even own; where Customs and Immigration are, and where the dock office us. They tried to
tell the dock staff to leave but it’s not part of their property. They don’t own it. It didn’t go well when they tried to tell Immigration and Customs to leave.
“It had very little impact on staff. Our staff have grown used to callousness with them. At this point it’s not very disruptive. Our staff told them: ‘We are not employed by you, so you cannot tell us what to do and where to go’.”
Mr McDonald said the “status quo” persists at Old Bahama Bay for now, adding: “Everything is still looking good.” Also vice-president of Coakley International, which is seeking to acquire the former Ginn project’s real estate and transform it via an ambitious $6.5bn development proposal, he added that it is focused on ensuring “we’re not behind the 8-ball” should the end-June Tax Appeal Commission hearing go in its and the Government’s favour.
LRA-OBB and Resorts Holdings, the two companies that hold the former Ginn real estate, are challenging the Department of Inland Revenue’s valuations and demand that they pay the near-$10m real property tax arrears alleged to be due on that West End acreage. But, until that dispute is resolved, Mr McDonald said IVRC is focusing on upgrading the portions of the Old Bahama Bay resort that it does manage.
“We continue to do repairs,” he told Tribune Business. “We put in four brand new fuel pumps, four brand new fuel hoses and nozzles, and four brand new meters. We just put in brand new fuel pumps and are upgrading the condos themselves. We are putting in a pump pressure system at 14 buildings.
“Some have come in and, hopefully, all will be here by next week. That will boost all the pressure for all the units. We’ve been having water pressure issues there. Next we’re going to be working on the marina and the dock itself. So far it’s just over $100,000. We’re waiting on price for the marina.”
Mr McDonald suggested that bids by LRA-OBB to regain control will likely cease after the Tax Appeal Commission battle, although that will depend on the outcome. “I honestly think that until all the pieces close, which will be shortly after the June hearing, once all pieces close they won’t have any choice but to go away,” he said.
“Everything is kind of in a holding pattern. We’re moving forward on everything we can do to secure it, and do everything we need to do for the project, so that once it starts moving we are not behind the 8-ball and can move forward.”
Coakley International’s $26m offer to purchase 1,143 acres of the former
Ginn project has been accepted by the Department of Inland Revenue (DIR) with a $2.6m deposit. equal to 10 percent of the price, already paid.
However, the sales process has - at least temporarily - been halted by a Supreme Court Order, signed by Justice Franklyn Williams on March 12, 2026. This stipulates the Department of Inland Revenue and the Bahamas Treasurer take no further steps to close the deal with Coakley International, which is pledging to unleash a development creating 2,800 construction jobs and 6,000 permanent posts for Bahamians, until the challenge LRA-OBB and Resorts Holdings are mounting over the unpaid tax is resolved.
The Order, which has been seen by this newspaper, mandates that the Department of Inland Revenue and Treasurer “do respectfully undertake not to complete the sale of the property…. until after the completion of the appeal proceedings lodged” by the two rival ownership claimants and their managing agent, Reunion Cay Island Resort LLC, with the Tax Appeal Commission.
Tribune Business had previously revealed that Justice Williams refused to grant LRA-OBB and Resorts Holdings, and their managing agent Reunion Cay Ltd, permission to proceed with their Judicial Review challenge to the
sale, but only on the basis that the Attorney General’s Office had agreed to give an undertaking that the Coakley International deal would halt and not proceed to closing. This was affirmed by the March 12 Order, which described the Judicial Review as “dismissed”, but also gave permission for this to be appealed to the Court of Appeal.
LRA-OBB and Resorts Holdings are challenging the Department of Inland Revenue’s (DIR) valuation of what the former Ginn project properties are worth. They are arguing, before the Tax Appeal Commission, that the DIR has significantly over-priced the land’s value, and that this has resulted in them being over-charged “by more than 75 percent-plus” in real property tax billings since the so-called “great recession” of 2008-2009.
Daniel Baker, Reunion Cay’s authorised representative, in a December 17,
2025, affidavit lodged with the Tax Appeal Commission asserted that LRA-OBB and Resorts Holdings have been over-billed “by more than 57 percent” for 2024’s real property tax assessment based on the DIR’s inflated land valuations. He alleged that appraisals conducted for Reunion Cay by the EY (Ernst & Young) accounting firm, plus Coldwell Banker Lightbourn Realty, show the true market value of the two companies’ ten collective West End land parcels is a combined $15m. However, Mr Baker asserted that the Department of Inland Revenue is using $36m, a valuation more than double or some 140 percent higher, as the basis for calculating due real property tax which is causing the substantial over-billings.
Share your news
The Tribune wants to hear from people who are making news in their neighbourhoods. Perhaps you are raising funds for a good cause, campaigning for improvements in the area or have won an award. If so, call us on 322-1986 and share your story.
Drone strike sparks fire at UAE nuclear power plant in latest blow to Iran ceasefire
By JON GAMBRELL and SAMY MAGDY Associated Press
A DRONE strike targeted the United Arab Emirates’ sole nuclear power plant on Sunday, sparking a fire on its perimeter. There were no reports of injuries or radiological release, but it highlighted the risk of renewed war as the Iran ceasefire remains tenuous.
No one claimed responsibility, and the UAE did not blame anyone for what it said was an “unprovoked terrorist attack.” It has recently accused Iran of launching drone and missile attacks as tensions have risen over the Strait of Hormuz, a vital energy waterway gripped by Iran, which is under a U.S. naval blockade.
The UAE has hosted air defenses and personnel from Israel, which sparked the war by attacking Iran with the U.S. on Feb. 28. U.S. President Donald Trump spoke with Israeli Prime Minister Benjamin Netanyahu on Sunday, Netanyahu’s office said.
“For Iran, the Clock is Ticking, and they better get moving, FAST, or there won’t be anything left of them,” Trump posted on social media shortly after the call.
Iranian state television meanwhile aired segments with news anchors holding rifles in an effort to prepare the public for war. Diplomatic efforts for a more durable peace have faltered, and fighting has heated up between Israel and the Iran-backed Hezbollah militant group in
Lebanon despite a nominal ceasefire there.
Barakah plant can provide a quarter of the UAE’s energy
The UAE Defense Ministry said three drones came over its western border with Saudi Arabia, with the other two intercepted. It was investigating who launched them. Iran and Iranian-backed Shiite militias in Iraq have launched drone attacks targeting Gulf Arab states in the war.
The $20 billion Barakah nuclear power plant was built by the UAE with the help of South Korea and went online in 2020. It is the only nuclear power plant in the Arab world and can provide a quarter of the energy needs in the UAE, a federation of seven sheikhdoms that is home to Dubai.
The UAE’s nuclear regulator said on X the fire didn’t affect plant safety and “all units are operating as normal.” Iran’s foreign
minister, Abbas Araghchi, later said he spoke by phone with his South Korean counterpart.
The International Atomic Energy Agency, the United Nations’ nuclear watchdog, said the strike caused a fire in an electrical generator and one reactor was being powered by emergency diesel generators.
IAEA director-general Rafael Mariano Grossi expressed “grave concern,” the agency said in a statement, and later spoke with the UAE’s foreign minister. It’s the first time the four-reactor Barakah plant has been targeted in the war.
Yemen’s Iran-backed Houthi rebels, whom the UAE has battled as part of a Saudi-led coalition, claimed to have targeted the plant while it was under construction in 2017, which Abu Dhabi denied.
The UAE’s nuclear program is different from Iran’s and Israel’s
The UAE signed a strict deal with the U.S. over the nuclear power plant, known as a “123 agreement,” in which it agreed to forego domestic uranium enrichment and reprocessing of spent fuel to ease any proliferation concerns. Its uranium comes from abroad.
That’s very different from the nuclear program in Iran that is at the heart of long-running tensions with the United States and Israel.
Iran insists its program is for peaceful purposes, but it has enriched its uranium close to weapons-grade levels and is widely suspected of having had a military component to its program until at least 2003. It has often restricted the work of U.N. inspectors, including since the 12-day war with Israel last year.
Israel is widely believed to be the only nuclear-armed country in the region, but has neither confirmed nor denied having atomic weapons. Iran struck near Israel’s Dimona nuclear facility during the war.
Nuclear plants have increasingly been targeted in wars in recent years, including during Russia’s full-scale invasion of Ukraine that began in 2022. During the Iran war, Tehran repeatedly claimed its Bushehr nuclear power plant came under attack, though there was no direct damage to its Russian-run reactor or any radiological release.
Heroic chief hopes move inspires other
entrepreneurs
SHIPPING - from page B3
and shared commitment to service excellence…
“For an island nation like The Bahamas, supply chain is not just about freight and deliveries. It is directly connected to economic stability, tourism, healthcare, construction, retail and everyday life. Everything we use, build, consume and export depends on efficient movement of goods.
“When supply chains are strong, businesses operate better, projects move faster, shelves stay stocked and communities thrive. But when supply chains fail, the impact is felt across the entire country. That is why logistics is such an important industry to our nation’s future.”
“At FOWLCO Maritime, we remain committed to improving efficiency, strengthening regional connectivity, investing in operational excellence and ensuring that goods move safely, reliably and on time…. The future of The Bahamas depends on stronger partnerships, stronger infrastructure and stronger supply chains, and we are proud to play our part in that future.”
Executives from DHL were also present at the start of integrating its global logistics network with FOWLCO’s maritime operations, project logistics, brokerage, warehousing, trucking and specialised support services.
“This partnership reflects a shared vision for operational excellence and long-term growth,” said Terryck Torres, logistics operations manager at FOWLCO Maritime & Project Services.
“By bringing DHL’s global logistics capabilities into our Freeport operations, we are strengthening the standard of logistics services available in Grand Bahama and reinforcing the island’s position as a regional logistics powerhouse.”
Addressing the wider impact from FOWLCO’s Freeport tie-up with DHL, Ms Fowler added: “As a Bahamian business, opportunities like this also give hope to others. It shows that local Bahamian companies can grow, compete, build partnerships with international brands and operate at a high level. It reminds young entrepreneurs, small businesses, and future leaders that there is room for them to grow and succeed right here in our country. That representation matters.
Hope minister's arrival resolves driver disputes
DRIVE - from page B2
He added that the BLDU hopes to see a stronger regulatory presence at hotels and airports, along with broader reforms to modernise the transportation industry.
“Some of the things I’m looking forward to is getting us legislated and getting Road Traffic [department] and the authority figures in place at the necessary areas - hotels, airports and just uplifting the whole sector; the whole transportation sector,” he said.
“I think it’s in need of some major, major improvement. And so we’re looking forward to partnering up with all the transportation sectors and improving the transportation sector as a whole.”
“I think this gives us an opportunity with the transportation minister to really make some serious, serious improvements and focus on the one ministry rather than having to split his - his or herself - into two different ministries. It gives him the chance to really focus.” Rudolph Taylor, president of the Bahamas Unified Bus Drivers Union (BUDU), also extended support to Mr Lundy while calling for transparency and investment in public transportation infrastructure.
“I wish him well in the capacity that he serves in the ministry with an open mind and transparency moving forward,” Mr Taylor said. He added that he hopes $250,000 previously allocated for the bus system can now be directed toward improvement works already approved by Cabinet.
Mr Austin also praised the Government’s decision to separate transport from the energy portfolio and establish it as a standalone ministry. “I love the fact that they’re doing it, because transportation is a very large sector that needs to be really focused on,” he said.
PEOPLE walk past a mural depicting a U.S. aircraft carrier under missile attack in downtown Tehran, Iran, Sunday, May 17, 2026.
