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MONDAY, SEPTEMBER 23, 2019
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QC: Sarkis fight on oppression ‘flawed’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
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Bahamian QC has slammed the “flawed” bid by Sarkis Izmirlian to defeat the “shareholder oppression” counter-claim brought against him by Baha Mar’s main contractor. Wayne Munroe QC, acting on China Construction America’s (CCA) behalf, argued that there was nothing in Bahamian law to prevent the Chinese state-owned contractor from bringing such an action in New York or elsewhere using section 280 of this nation’s Companies Act. In a direct rebuttal to assertions by Oscar Johnson, Higgs & Johnson’s managing partner and litigation chief, Mr Munroe alleged that there was nothing in the Companies Act to make the Supreme Court
• Munroe: Bahamian law is no obstacle • Argues Supreme Court not sole tribunal • And CCA claim not ended by dissolution
WAYNE MUNROE QC
SARKIS IZMIRLIAN
the exclusive tribunal for hearing all cases brought under it. Mr Munroe, in legal documents filed with the New York State Supreme Court, which have been obtained by Tribune Business, also refuted Mr Johnson’s argument that so-called “shareholder oppression” needed to be present or
ongoing for CCA’s claim to have merit. Mr Izmirlian and his attorneys had asserted that Baha Mar Ltd’s dissolution on January 28, 2019, meant the company had “ceased to exist” before CCA brought its May 14 claim thereby rendering it invalid. However, Mr Munroe
Tax-free status for storm zones ‘totally fantastic’ By NEIL HARTNELL Tribune Business Editor and YOURI KEMP THE prime minister’s designation of east Grand Bahama and Abaco as “Economic Recovery Zones” for three years was yesterday hailed by the private sector as “absolutely fantastic”. Ken Hutton, the Abaco Chamber of Commerce’s president, told Tribune Business that the three-year term appeared “reasonable” given the extent of the required restoration effort and voiced optimism that the government would be open to extending it if required.
KEN HUTTON “It’s an absolutely fantastic idea and I’m very much in favour of it,” he said in reaction to the prime minister’s afternoon address. “I think it’s great, and is exactly what is needed.” Asked whether the
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Oil explorer in total certainty on $25m well By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Bahamas Petroleum Company’s (BPC) top executive has acknowledged it is now better placed than ever before to deliver a first exploratory well in this nation’s waters by mid-2020. Simon Potter told Tribune Business that shareholder approvals at BPC’s recent annual general meeting (AGM) had provided total certainty that it will be able to finance the $20m-$25m well costs whichever route it took to get there. Disclosing that “substantial
progress is being made on all fronts”, Mr Potter added that the government’s extension of BPC’s licences until the end of next year had helped to “focus minds” on the task in hand and give the oil exploration outfit impetus to rapidly press forward. Conceding that BPC may have been too “pre-occupied” with the search for a joint venture ‘farm-in’ partner to share the financial and technical risks associated with its exploratory well, he said the company’s securing of “world class” rig and services providers was
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said previous rulings had set a precedent for righting “an enduring unfair state of affairs” even though the company in question may no longer exist. And Bahamian “procedure”, he argued, meant that CCA’s counter-claims were made in late 2017 when Baha Mar’s original developer first filed his $2.25bn fraud and breach of contract claim. Mr Munroe’s riposte to Mr Johnson’s rival evidence comes as the preliminary legal dual between Mr Izmirlian and CCA heats up over the former’s bid to persuade the New York court to dismiss the Chinese contractor’s “shareholder oppression” claim.
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Abaco worried free fuel supply end premature By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net CONCERNS are being voiced that the government is ending Abaco’s supply of free gasoline prematurely given that Hurricane Dorian wiped out the island’s payments system. Algernon Cargill, pictured, the joint Dorian relief and redevelopment co-ordinator for Abaco, yesterday confirmed to Tribune Business that the government’s provision of subsidised gasoline on the storm-ravaged island will end this week. He argued that the move was justified, given that two Shell service stations in Dundas Town and Marsh Harbour have re-opened, while a Rubis facility is due to come back online this week in Treasure Cay. However, several Abaco residents, speaking on condition of anonymity, slammed the move as premature given that the total wipe-out of financial services and banking on the island means remaining residents and businesses lack any means to pay for it. They told this newspaper that the provision of tax-free, subsidised gasoline should continue for a further six to eight weeks
to allow for the resumption of physical and electronic banking services. Addressing these concerns, Mr Cargill said Commonwealth Bank was aiming to re-open at Maxwell’s supermarket “very soon” as a temporary location. And the government planned to speak with Royal Bank of Canada, CIBC FirstCaribbean International Bank and Scotiabank this week to determine how quickly they will resume operations in Abaco. He added that any residents encountering difficulties in paying for fuel should visit the government complex in Marsh Harbour where “special arrangements” would be made to assist them. “Yes, the government has been subsidising fuel supplies to Abaco, and providing gasoline to motorists free - and also the
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