12152023 BUSINESS

business@tribunemedia.net

FRIDAY, DECEMBER 15, 2023

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$25m air freight firm’s links to gaming boss

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

t *TMBOE (BNF DIJFG SFHJTUFSFE +%- XFCTJUF THE company charged with the $25m transformation of the Government’s air t /FX GFFT ACJH QJMM UP freight terminal has links to a web shop principal, Tribune TXBMMPX GPS #BIBNJBOT Business can reveal.

Registration documents for JDL’s website, which have t 0QQPTJUJPO EFNBOET been seen by this newspaper, 111 EFBM JT ADBODFMMFE name the registrant as Pete Deveaux, The Island Game chief, while also listing his personal cell phone number as the “admin” and “tech” contact. The number given is a contact that Tribune Business and its sources both hold for him, while the website registration was created in March 2023 and updated in November.

Mr Deveaux did not comment when contacted by this newspaper, instead sending a messaged reply that read: “Can you direct all comments [sic, inquiries] to the Ministry

of Finance please.” However, he did not deny his involvement or links to JDL, and the reply was sent from the same cell phone number as that listed on the company’s website registration.

JDL’s ties to The Island Game’s principal emerged as international air freight providers yesterday voiced concern about the likely increase in the cost of imported goods, and the extra complexity, that appears to

be involved with the publicprivate partnership (PPP) outsourcing of the Lynden Pindling International Airport (LPIA) air freight terminal.

Thomas Cooper, president/ owner of Miami Lakes-based Conquest Air Cargo, which provides “quite a bit of air freight” to The Bahamas via LPIA, told Tribune Business the extra cost imposed by the potential ‘40 cents per pound’ fee JDL plans to charge for

cargo x-rays will “be a big pill to swallow” for all Bahamian consumers.

Simon Wilson, the Ministry of Finance’s financial secretary, told this newspaper on Thursday that JDL’s fees have yet to be finalised and the Government is “hoping it will be less than 40 cents”.

He argued that whatever fee is selected will have “a very minimal” impact on import costs, and said claims to the contrary by the courier industry and Opposition were “disingenous”.

Mr Cooper, though, said he and other air freight operators had been taken by surprise

by Tribune Business’s revelations of the JDL deal. “It kind of came out of the blue,” he revealed. “I know some of the customers, our customers, are very worried about it which makes me worried about it.”

Those customers are Bahamian courier firms, but

SEE PAGE B5

Atlantis touts $20bn visitor spend impact

By FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net ATLANTIS guests have accounted for almost onethird of The Bahamas’ total air arrivals during the past 25 years, a senior executive said yesterday, while generating more than $20bn in visitor spending.

Vaughn Roberts, the Paradise Island mega resort’s senior vice-president of government affairs, gave Rotary Club of West Nassau members an insight into its economic impact over the past quartercentury as it led Bahamian tourism’s revival from the doldrums of the late 1980s and early 1990s.

He said the property is “responsible for the majority of visitors” to The Bahamas,

and has welcomed more than 8.4m guests over the past 25 years, representing 32 percent of total air arrivals and 22 percent of all visitors to The Bahamas.

“We did a tally of our impact over the 25 years from 1998, when the Royal Towers opened, to 2022 and we’ve been responsible for the majority of visitors that have

SEE PAGE B4

VAUGHN ROBERTS

Firms ‘doomed to fail’ on Business Licence audit

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Chamber’s newlyelected chairman has voiced concern that some companies are “doomed to fail” their upcoming full Business Licence audit because they have been given inadequate time to prepare.

Timothy Ingraham, speaking after Wednesday’s meeting where there was “no movement” from the Government on requiring companies with annual turnover exceeding $5m to undergo a full audit, told Tribune Business: “We can only hope the message gets through.”

Both the Chamber and Bahamas Institute of Chartered Accountants (BICA)

have urged the Government to delay the full audit by 12 months, so as to give privately-owned companies that have never had to undergo such an intensive process before sufficient time to get their financial records and resources prepared.

However, Simon Wilson, the Ministry of Finance’s financial secretary, and Department of Inland Revenue, “made it quite clear” that the deadline for $5mplus companies to submit their audited financials remains April 30, 2024, with a possible two-month extension available to those who can justify it until endJune next year.

SEE PAGE B7

‘Huge inconvenience’ on BOB San Salvador close

By NEIL HARTNELL and YOURI KEMP Tribune Business Reporters SAN Salvador businesses yesterday voiced concern over the timing and uncertainty created by Bank of The Bahamas’ “temporary closure” of the island’s only bank branch ahead of the Christmas holiday.

The BISX-listed bank, which is more than 82 percent majority-owned by the Government via a combination of the Public Treasury and National Insurance Board (NIB), informed residents: “Please be advised that San Salvador branch

is temporarily closed until further notice.

“We apologise for any inconvenience caused and encourage you to utilise our online banking and ATM (automated teller machine) services for your banking needs.” While a growing number of Bahamians and businesses have transitioned to electronic transactions, many remain wedded to visiting physical branches, and the closure is causing “huge inconvenience” in accessing financial services before Christmas.

However, Neil Strachan, Bank of The Bahamas managing director, yesterday

SEE PAGE B4

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Governor backs corporate income tax if ‘framing right’ t 4BZT AQPTJUJWF GPS (PW U mOBODFT BOE AQPTJUJPO t $IBNCFS XBSOT BHBJOTU AQJFDFNFBM TUSBUFHZ t $PSQPSBUF UBY AXPO U CF CFGPSF OFYU FMFDUJPO

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Central Bank’s governor has given guarded backing for a corporate income tax amid private sector calls for the Government to avoid a “piecemeal” approach to this reform.

John Rolle, in an address to the Bank of Nova Scotia Trust Company’s 65th Bahamian anniversary celebrations, said discussions on such far-reaching tax reform were “positive” for both this nation’s economic “positioning” and efforts to meet its “international obligations”.

And, using cautious language, he suggested that implementing a corporate income tax will also boost the Government’s still-strained public finances provided the correct structure and “safeguards” are in place.

“In passing, I think it is also positive, as far as our international obligations and positioning are concerned, that discussions on corporate income taxes are at such a developed state in The Bahamas,” Mr Rolle said. “With the right framing and safeguards, reforms of this nature would also have a favourable impact on public finances.”

The Governor did not respond to subsequent Tribune Business questions on what he meant by “international obligations and positioning”, although he is likely referring to The Bahamas’ commitment to the G-20/OECD 15 percent minimum global corporate tax initiative. Implementing a corporate income tax would also enable this nation to shed the ‘tax haven’ label that has often been attached to it.

Mr Rolle also did not detail what he meant by “right framing and safeguards”, although this could be a nod to repeated International Monetary Fund (IMF) calls for a Bahamian

SEE PAGE B4

PAGE 2, Friday, December 15, 2023

THE TRIBUNE

Look before you leap on business partners E ntering a business partnership can be exciting and a strategically-wise move that can have many advantages.

However, it is not a decision to be taken lightly. Small business partnerships can be harmonious, mutually beneficial relationships that help propel your business forward, but they can also quickly go sour and pose a risk should things not work out in the long-term.

This week’s column focuses attention on the benefits of partnerships, while also urging caution upon entering into one. Here are just some of the reasons why bringing in a partner could be a smart business decision, and why other entrepreneurs made a similar choice.

1. You are spread too thin Many small businesses are struggling with the reality of being bottlewasher, cook and cashier all at the same time.

When you are approaching the point of becoming overwhelmed, and when you have to choose between scaling back or continuing to scale, it may be time to look for a business partner to help stabilise income and regulate internal processes for a smooth-running workflow.

While some businesses may opt to hire more employees, sometimes you need someone who is as invested as you are in the company’s success.

2. You need a cash infusion Growth costs money. If you reach a point where you need an investor to help fund operating expenses, a business partner who can afford to buy equity ownership in the company can be a good choice. If they have industry experience, or business connections that will help generate incremental revenue, that is an even greater bonus.

3. You need specific expertise As you grow you sometimes venture into areas that are far from your

IAN FERGUSON original skill set. As soon as you recognise the need for a specialized skill-set, seeking out a partner might not be a bad idea. Sometimes this is as easy as identifying a company with a complimentary product or service, and engaging in a business merger.

Before you proceed with this, here are a few points to consider: * Set clear expectations from the start Before jumping into business together, get to know your potential partner and familiarise yourself with who they are, how they communicate, and how they do business. It is vital to be transparent from the outset, and ask questions to ensure you set forth and agree on clear expectations and goals before signing contracts. * Differentiate skills from your partner One of the first things you should do when you are considering taking on a new partner is to evaluate your own strengths and weaknesses. In doing so, you will have a better idea of what traits to look for in a partner and how to choose someone with different skills than your own. An ideal business partner is someone who can complement your strengths and compensate for your shortcomings.

* Share similar values To create a beneficial small business partnership, there needs to be common ground. For this reason, it is important to ensure your prospective partner shares business goals and values that are aligned with yours.

This goes beyond the desire to simply make a profit: It means establishing whether or not you share the same vision for the future, and similar core values that represent who you are as a business and guide how you conduct business. * Clearly define each partner’s roles and responsibilities Once you have made the decision to bring on a new partner, it is imperative that you clearly define each of your roles and responsibilities within the business, including time and money contributions.

Determining the best ways for each of you to contribute can help you optimise your capabilities, management skills and investment potential. * Put contracts in writing Although there is no requirement for a written contract and profit-sharing plan, it is a good idea to have such documents in place to help mitigate internal conflicts and give the partnership structure. Having a written contract is an important way to protect legal interests and navigate any potential difficulties should they arise.

UÊ \Ê > Ê ,Ê iÀ}ÕÃ Ê ÃÊ a talent management and organisational development consultant, having completed graduate studies with regional and international universities. He has served organisations, both locally and globally, providing relevant solutions to their business growth and development issues. He may be contacted at tcconsultants@ coralwave.com.

THE TRIBUNE

Friday, December 15, 2023, PAGE 3

HOTEL ROOM SHORTAGE DRIVES 30% RATE RISE

By FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net A SENIOR Atlantis executive yesterday said New Providence’s average daily room rates have increased by 30 percent due to the loss of rooms with several hotel closures.

Vaughn Roberts, the Paradise Island mega resort’s senior vice-president of government affairs, said the prior closure of the now-reopening British Colonial, the loss of Atlantis’ Beach Towers to planned conversion into Somewhere Else, and the Melia Nassau Beach Resort’s demolition meant Nassau has lost sufficient inventory during the post-COVID tourism resurgence.

Due to the loss of supply, market forces have pushed room rates up to increase yields for those resorts that

have remained open. “Fortunately, we’re in a boom for tourism in The Bahamas,” Mr Roberts said.

“The Bahamas is really hot in terms of people wanting to come, and hotels and resorts have been able to benefit from that, particularly because there were some significant amount of rooms offline. So the British Colonial is closed, we closed the Beach Towers, and Baha Mar closed Melia, so there was a significant amount of rooms offline.

“And so what happened was because the inventory was low, the price went up.

So we’re seeing rates that are 30 percent higher than pre pandemic levels and that’s driving the performance of it.”

Mr Roberts said Atlantis has enjoyed a record year in 2023 which it expects to beat next year. Speaking at the Rotary Club of West Nassau, he added that the

ATLANNTIS RESORT Paradise Island mega resort is seeing a “very strong” December and upcoming Christmas week, and has been hosting events throughout the month to drive visitors to the hotel.

He said: “We have a very strong December ahead

of us. We’re going to end the year as a record year for us. We just finished our planning for next year, and we’re expecting to beat this year with next year.

“We are seeing a very strong festive week, which is the week between

Christmas and New Year’s, and we at Atlantis - because we’ve been at this so long - e know how to fill the valleys.

“In early December we’re wrapping up hosting poker, the World Series of Poker in Paradise, which is

a significant poker tournament, and then we go right into a gymnastics tournament that brings a lot of families to the resort, and then we go into festive week.”

Mr Roberts added that a portion of the room rate increase is driven by inflation, which causes guests to spend more when they book and purchase goods at the resort. He pointed out that although Atlantis has not seen higher occupancy rates, it has enjoyed higher revenues across the board.

He said: “I do want to point out that some of it is driven by inflation. People are paying more just for the rooms, and they’re spending more when they are at the resort. The resort isn’t necessarily more occupied, so we don’t have higher occupancy per se, but we definitely have higher revenue across all of our segments.”

Minister unveils $98m roadworks campaign

By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net A CABINET minister yesterday pledged that the Ministry of Works will launch a nation-wide $98m road paving project in January as it bids to upgrade critical public infrastructure.

Clay Sweeting, minister for public works and Family Island affairs, told the weekly media briefing by the Prime Minister’s Office that these roadworks are expected to finish in the next two years. Out of the total $98m budget, some $3m has been earmarked for sidewalk construction and another $4m for drainage works.

“The civil design section has completed and prepared scopes of work already for 55 miles of arterial and community roads in New Providence to stabilise

our current road network,” Mr Sweeting said.

“In the first quarter of 2024, the ministry will focus considerable attention on the following roads: Tonique Williams-Darling Highway; Joe Farrington Road; sections of Blue Hill Road; sections of East Bay Street; sections of West Bay Street; Dowdeswell Street and surrounding roads; Montrose Avenue; Mount Royal Avenue; Cowpen Road; Windsor Field Road; Eastern Road; Soldier Road; East Street; Kemp Road; and community urban roads.” x The Gladstone Road Improvement Project (GRIP) is not included in the $98m roadworks package, and is being treated as a separate project. It will proceed once the necessary land acquisition has taken place to accommodate the several roundabouts that are part of the project.

The Ministry of Works also has to consult with Bahamas Power & Light (BPL) and other utility companies about addressing their infrastructure in the Gladstone Road area.

Road paving will be conducted and continued on several Family Islands, including Cat Island, Long Island, Eleuthera and Exuma, while works on Abaco will be expanded.

Mr Sweeting said: “Until these works can be completed in their entirety, it is necessary for us to continue our short-term measures.

So we will engage in pothole patching. We have pothole patching contractors that will assist the ministry to repair the roads to promote road safety and comfort.”

The upcoming roadworks will not be as extensive as previous exercises such as the New Providence Road Improvement Project that was launched in 2008. Mr Sweeting added: “When

you look at roads and pothole patching, eventually if you don’t fix the road, then you have to rebuild it.

“So even though this ($98m) might seem a hefty price tag, if we do it now it will save the Government funding in the long-run because we will have to rebuild the road from scratch.” Meanwhile, efforts to revamp the Bahamas Building Code remain ongoing.

“The team is still working on that. I think this year we should have an update, but they’re still working with the team. I think Dr [Lisa] Fitzcharles is in charge of the legal committee at the Ministry of Works, so there’s a couple different legislation we’re looking at,” Mr Sweeting said.

“For me, you’re also looking at the building code, but you’re also looking at the cost and if it’s increasing the cost of building a house as well.”

ATLANTIS EXECUTIVE BACKS GB CRUISE INVESTMENTS

By FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net A SENIOR Atlantis executive yesterday backed the cruise line investments in Grand Bahama that can act as “a good play” in solving the island’s economic and tourism woes.

Vaughn Roberts, the Paradise Island mega resort’s senior vice-president of government affairs, told the Rotary Club of West Nassau: “It seems like the cruise ships are going to try to solve Grand Bahama in terms of buying and I think that’s a good play.

“We looked at it when I was working for Baha Mar, and it’s difficult without the airlift. The cruise ships are it. They can bring people in to the port and the cruise ships making an investment in hotel assets as well as cruise port assets.”

Grand Bahama has recently seen a major investment by Carnival Cruise Line with is $500m Celebration Key project, a new port destination that will welcome guests in 2025. Royal Caribbean International is

also exploring the acquisition of the long-closed Xanadu Beach Hotel in Grand Bahama to to be developed into a resort and water park.

Mr Roberts said New Providence already hosts the two largest destination casino resorts and the biggest cruise port in the Caribbean region, so a shift to enhancing Family Island offerings is needed.

He said: “I think the Bahamas tourist offering is particularly intriguing, being that we have the two largest destination casino resorts in the region here in Nassau.

We have the largest cruise port in the region here in

Nassau, and we have this huge chain of islands that are really, from my perspective, the gem and so I think that we ought to start to figure out how we create a more of a natural destination visit for folks.”

He explained that Atlantis is owned by a private equity firm, Brookfield Asset Management, that will sell the asset in time, so the decision on whether the mega resort will expand its offerings into the Family

Islands is one that can only be made when the company has a long-term owner.

Mr Roberts said: “Atlantis is owned by Brookfield, which is a financial firm.

They’re a private equity firm; they have owned it since 2012. I think, ultimately, they’re not a long-term owner of the asset, so they will split it out.

So, it depends on who ends up owning Atlantis on a long-term basis.”

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 3221986 and share your story.

NOTICE

LEGAL NOTICE NOTICE INTERNATIONAL BUSINESS COMPANIES ACT (No. 45 of 2000)

In Voluntary Liquidation

Pursuant to the Provisions of Section 138 (8) of the International Business Companies Act, 2000, (As Amended) NOTICE is hereby given that LINTENA ASSETS LIMITED has been dissolved and that the name has been struck from the Register of Companies with effect from the 28th of November 2023.

ENERVO ADMINISTRATION LIMITED Montague Sterling Centre East Bay Street P.O. Box N-3924 Nassau, The Bahamas

Notice is hereby given that, in accordance with Section 138 (4) of the International Business Companies Act, (No.45 of 2000), EGERTON LIMITED (the “Company”) is in Dissolution.

The date of commencement of the Dissolution is December 13th 2023. Delio José De León Mela is the Liquidator and can be contacted at Bloc Office Hub, Fifth Floor, Santa Maria Business District, Panama, Republic of Panama. All persons having claims against the above-named Company are required to send their names, addresses and particulars of their debts or claims to the Liquidator before January 13th, 2024.

Delio José De León Mela Liquidator

CLAY SWEETING

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PAGE 4, Friday, December 15, 2023

THE TRIBUNE

‘Huge inconvenience’ on BOB San Salvador close temporarily.” Mr Strachan did not respond to questions over whether the absence of senior staff represented the “operational issues” he was referring to.

Raymond Russell, owner/ operator of Island Distributors, said: “I don’t know how long the bank is going to be closed for because if it’s closed for a few days that would be okay, but they have not said how long it would be closed for.”

While he has access to online banking, his major concern is making deposits. “This isn’t the first time

the bank was closed,” he added. “They were closed before for over a week. I don’t know how long this spell would be for.”

Getting change has been an “ongoing problem”, Mr Russell asserted, because if there is a queue of persons the bank will run out of cash and merchants would have wasted their afternoon. “If the bank were to open up next week, I can hold on. But if it is closed for longer than that then that’s a whole different story,” he said.

GOVERNOR BACKS CORPORATE INCOME TAX IF ‘FRAMING RIGHT’

to light in its annual antimoney laundering research conference, which for the past three years has convened the leading scholars and standard setters on this topic to uncover the empirical connections between global standards and methods and measures of success in deterring financial crimes.

“What have the researchers uncovered so far? That the effort is desperately costly for smaller countries and that not enough data is being made available to link outcomes to the level of costs for efforts being exerted. In fact, the estimates are that just based on the value of assets confiscated or recovered, it is costing authorities more than ten times the amounts spent on enforcement.”

With The Bahamas already preparing for the fifth round of Financial Action Task Force (FATF) mutual evaluations on its financial crime defences, which are set to take place in 2024, Mr Rolle said the Central Bank will “work more closely across industry, with the Government and other regulators, to improve our international outreach and put a dent in misperceptions that could be harming our reputation”.

FROM PAGE B1 downplayed the impact when contacted by Tribune Business. Replying to this newspaper’s inquiries, he asked: “What’s unusual about this closure? The branch is closed due to operational issues. We will open when the issues are resolved.”

Mr Strachan did not respond to further Tribune Business questions on what exactly these “operational issues” were, or provide a timeline that would give island residents in Prime

FROM PAGE B1 corporate income tax to be accompanied by a personal income tax on high earners. Otherwise, companies could seek to avoid/ evade corporate income tax by paying out profits as salaries to owners and top executives.

The Central Bank chief’s comments came as Timothy Ingraham, the newly-elected Bahamas Chamber of Commerce and Employers Confederation (BCCEC) chairman, told Tribune Business that a corporate income tax is probably the Government’s “end game” for the enhanced Business Licence reporting and verification.

Many in the private sector believe the tightened reporting requirements, which mandate companies with an annual turnover exceeding $5m to provide full audited financial statements just to verify their revenue for Business Licence purposes, are designed to prepare the ground for corporate income tax and Mr Ingraham voiced similar suspicions.

Minister Philip Davis KC’s constituency more certainty over when branch access will resume.

Sadie Lightfoot, the Columbus Tavern’s general manager, told Tribune Business that while she has online banking and the branch closure will not impact her much, it will cause a problem getting change for her customers.

“I just told my husband that he could try and check out Island Luck to see if they have change, but they have to hold on to it for themselves, too,” she said.

“That, I would suspect, is probably the end game,” he told this newspaper, “but if it is, let’s have the full conversation on all of this and what it all means rather than come with it piecemeal. If we’re going to discuss corporate income tax, it needs to be a wideranging discussion with auditors and other things need to be done.

“We understand the end game here may be corporate income tax, but countries that have a corporate income tax don’t require full audited financial statements. It’s not necessarily required by other jurisdictions.”

Simon Wilson, the Ministry of Finance’s financial secretary, subsequently confirmed to Tribune Business that preparation for a possible corporate income tax, and the enhanced reporting, verification and filing that will require, was one of the objectives behind the enhanced Business Licence verification requirements.

He added that the full audits for companies with turnover exceeding $5m, and the reviews and attestations that smaller firms

San Salvador’s Post Office Bank closed several years ago, and she said: “I’m sure they can find one of the banks in Nassau to send some change for us.”

Another business owner, speaking under condition of anonymity, added: “This is a huge inconvenience considering that we are in the Christmas season, and considering that the bank provides a vital service for the island. For them to be closed at this particular time is a huge inconvenience to put it mildly.

must produce from 2024 onwards, are also one piece in the Government’s strategy to achieve a 25 percent revenue-to-GDP ratio through enhanced enforcement and without raising rates or introducing new and/or increased taxes.

Dionisio D’Aguilar, the Superwash principal and former Cabinet minister, told this newspaper that while he had no issue with preparing for a Bahamian corporate income tax it was unlikely to be implemented before 2026 when the next general election is due.

“He also mentioned getting ready for corporate income tax. Simon said one of the main reasons they’re doing this is that corporate income tax is coming and we need to get ready,” Mr D’Aguilar said of Wednesday’s meeting between the Bahamas Institute of Chartered Accountants (BICA) and the Department of Inland Revenue over the Business Licence audits.

“I don’t have a problem with that but, realistically, no corporate income tax is going to come before the next general election.

There’s no need for this

“Often times they don’t have enough US currency because many of the locals have international travel plans during this time of the year.” Tribune Business was told there was a US currency shortage on San Salvador last week, which made it “really distasteful” that there was no banking service at all.

They added: “If the bank knew one of their managers was going to be off and the other one was sick, they should have made preparations to send someone from Nassau to fill in

now. Why do I need to audit my salary expenses, audit my depreciation expense, audit my utility bills when, in essence, in 2024 all you’re looking for is my revenue.

“What’s the rush? If we need a year, give us another year. You’re not going to require that information until 2026-2027 assuming this particular government gets re-elected. This particular government is not going to roll-out corporate income tax in 2024. What’s the rush?”

Meanwhile, Mr Rolle in his Bank of Nova Scotia Trust Company address said overseas investments by Bahamians via the Investment Currency Market (ICM) are expected to be sustained at $200m per annum over the mediumterm having quadrupled compared to pre-COVID. Pointing to what he described as “significant administrative relaxation of investment currency rules under exchange control”, the Governor added: “Although our reform scope has been cautious and conservative by most prudent standards, we still

expect investment transactions over the medium-term to be sustainably funded by over $200m annually compared to less than $50m on average in the years just leading up to 2019.

“It is highly sustainable, in the context of gross annual forex (foreign exchange) inflows through the local banking sector, now exceeding $8bn, and adequate foreign reserves outlook that supports the value of the Bahamian dollar fixed exchange rate.”

As for the constant international regulatory pressures facing The Bahamas and its financial services industry, Mr Rolle said compliance with these demands are often “desperately costly” for The Bahamas and there is insufficient data to show the results justify this expense.

“We are still not convinced that the global process is either entirely effective or objective, and there is a sense that it harbours biases against smaller international financial centres that must be confronted,” he added.

“The Central Bank has been bringing this attention

Atlantis touts $20bn visitor spend impact FROM PAGE B1 come to The Bahamas in that timeframe at Atlantis,” Mr Roberts said.

“There was a recent celebration with the Ministry of Tourism, which we joined in, where we reported that we have hit the eight million visitor threshold this year so far. And the deputy prime minister translated that into about $6.6bn in GDP. So Atlantis has a significant share of that.

“We’ve estimated that the impact, in terms of visitor arrivals over this 25-year period, we’ve welcomed at Atlantis 8.4m overnight guests. So that’s guests who were staying at the resort, and that represented 22

percent of visitors arriving to The Bahamas and 32 percent of the visitors arriving by air over that period.”

Mr Roberts explained that, in its earlier years of operation, Atlantis accounted for a higher percentage of visitor arrivals due to the fact that other major resorts, such as Baha Mar, either did not exist or had yet to re-open, while Nassau’s cruise port was unable to handle the volume of visitors it can now.

“There are periods of time going back to 1998, 1999, when the percentage was much higher because Baha Mar didn’t exist at the time and a lot of the other tourist destinations that are

here today, like the cruise port, didn’t exist on the scale that exists today,” he added. “So, the early years of Atlantis are by far a bigger contributor to tourism and visitor spending.”

Mr Roberts said visitors to the resort have spent $20.2bn, $17.9bn of which was on-property, with the $2.4bn balance spent offsite with taxi drivers, tour operators, vendors and restaurants over the last quarter-century.

He added: “Since opening, Atlantis visitors have contributed $20.2bn to the Bahamas economy and, while the majority of that money actually goes to Atlantis, there is still a sizable portion of that

that actually goes to other operators - taxi operators, excursion operators, restaurants and a bunch of other persons who are servicing guests while they’re here in the destination.”

Mr Roberts explained that a “significant portion” of the $17.9bn is spent on salaries, utilities, taxes and suppliers, with Atlantis holding Bahamas Power & Light’s (BPL) second largest account.

He said Atlantis has paid out over $3.8bn in taxes over the past 25 years $800m in business taxes and $3bn in VAT. Mr Roberts added: “Its estimated that tax revenues... business taxes, we paid $800m in taxes, and then, with VAT

ATLANTIS RESORT from 2015, a significant portion of spend on VAT. “So $3bn in VAT, and other taxes, so a total of $3.8bn in taxes over that 25-year period. A significant amount of money to the benefit the people of the

Bahamas.” As for Atlantis’ gross domestic product (GDP) contributions, Mr Roberts said the resort has generated $21bn over the 25 years. That translates to an average 7.7 percent of annual GDP, and in the resort’s earlier years this was as high as 12 percent.

He added that the Bahamian economy has “grown significantly” over the past 25 years, and that Atlantis contributed significantly to that by acting as successful foreign tourism investment that was the “catalyst” for other mega resorts such as Baha Mar, plus non-tourism related investments such as the renovation of the airport and roadways.

Mr Roberts said: “Our economy has grown significantly over the 25-year period and we would like to think, at Atlantis, that we were the catalyst for tourism-related investments in The Bahamas and even non-tourism related investments like the new airport, improving the roadway, the cruise port, all of that stuff, I think underwritten on the success of Atlantis.

“If you’re an investor coming into the country, you’re looking for evidence of success for operation, and Atlantis being what it was back then really was the model that we looked at when we were building the model for Baha Mar.”

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Friday, December 15, 2023, PAGE 5

$25M AIR FREIGHT FIRM’S LINKS TO GAMING BOSS FROM PAGE B1 Mr Cooper agreed that the air freight terminal - which Mr Wilson had described as “a disgrace” due to a “compromised” roof and near-intolerable working conditions for both Customs officers and the private sector - is in desperate and urgent need of transformation.

“I do agree that the facility needs upgrading,” he said. “It all boils down to the amount. Forty cents per pound is just a big pill to swallow for our customers and also the Bahamian public who will ultimately end up paying for it.

“As you pointed out, it’s hard to pass increases on to the customer that quickly.

It is kind of tough. I know some customers [couriers] operate on a seven-day, or 14-day, or even 30-day payment. Some of them just don’t have the ability to have the money up front.”

Some Bahamian courier companies fear they will either have to close or layoff staff as a result of the 40 cents per pound fee being imposed to scan imported air cargo for contraband before it is released to the relevant broker or client.

They are worried that it will impose extra strain on their businesses and operating model because they must pay JDL’s handling fee upfront in order to have the cargo released. The industry will thus be faced with having to later reclaim this outlay from its clients, some of whom will likely fail to pay, thus leaving couriers exposed financially.

Meanwhile, Mr Cooper said the cargo scanning

and clearance system being proposed by JDL appears unlike those used by other countries. “It seems like it’s a duplicative process,” he added. “I can’t think of any other places in the world that do it that way.”

A JDL presentation, obtained by this newspaper, details how the process will work once the air freight terminal’s $25m redevelopment is completed - with construction expected to take 12-18 months once it begins. Freight forwarders will “barcode and scan” packages for upload into JDL’s system, containing details on the weight and owner.

Once cargo arrives in The Bahamas, it will be transported by ground handlers such as Nassau Flight Services (NFS) to JDL at the new air freight terminal, where it will be broken down and x-rayed (scanned) for contraband such as firearms and narcotics. Any illegal discoveries will be handed to Customs.

Once cleared, couriers/ brokers will be notified that their imported shipments are in a holding area. JDL will release them once paid its handling fee, and the goods will then undergo a second inspection by Bahamas Customs. That second “verification” is likely what Mr Cooper meant when he voiced concerns over duplication.

The US air freight provider also said the JDL proposal raises multiple questions as-yet unanswered. “I am also curious as to how air freight into Grand Bahama and the Out Islands will be handled. Will they be charged the same

NOTICE NOTICE is hereby given that KEREECE TAMARA BRANCHE, Hunt’s Road, Carmichael Road Nassau, The Bahamas 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 15th day of December 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE NOTICE is hereby given that STEPHON HAKEEM MACENA, P.O Box SB 52453 #8 Sandilands Village, Nassau, The Bahamas 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 15th day of December 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE NOTICE is hereby given that JOSE MIDJINA IMBERT, Blackwood, North Eleuthera, The Bahamas 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 8th day of December 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE NOTICE is hereby given that ALEX FORTILIEN, East Street, Nassau, The Bahamas 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 15th day of December 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

surcharge as freight arriving in LPIA?” Mr Cooper asked.

“Another point is how JDL or Customs will handle the freight that enters in the belly of large passenger airlines such as Jet Blue, Bahamasair, American and Delta? Will their air freight be subject to this additional screening and fee?”

Michael Pintard, the Opposition’s leader, in a statement issued yesterday demanded that the Government “cancel” the JDL deal and called on it to “come clean” with the Bahamian people on its implications.

Accusing the Government of imposing another stealth tax on Bahamians, he questioned why the contract appeared to have been awarded without any competitive bidding process.

Mr Wilson told Tribune Business on Thursday that the Government has been seeking a solution to the air freight terminal’s deterioration for ten years and, despite approaching multiple parties, was unable to find a PPP partner until JDL appeared. However, Mr Pintard questioned whether the deal complies with both the original, and new, Public Procurement Act. And he also challenged whether the JDL deal breaches the Customs Management Act, which makes Customs the sole lawful authority dealing with the landing and clearance of goods in The Bahamas. The

Opposition leader argued that the Government must come to Parliament and get its approval, via passage of a new law, before JDL can levy the facility fee and ‘40 cent per pound’ charge.

Asserting that the Opposition “outrightly condemns” the JDL proposal, Mr Pintard charged: “Clearly, what is reported cannot be justified or rationalised in any manner. It simply cannot be that the Government has signed on to a $25m-plus arrangement outside of its own procurement law that would require an undertaking like this to go to competitive bidding.

“It cannot be that the Customs Management Act is being breached by allowing an entity to manage landed goods outside of the prescribed legal framework.

It cannot be that there is a January timeline to implement this arrangement when the Government has given the public no notice and has not said anything about the initiative, the vendor or its ownership. Who will be taking home millions of dollars with this no-bid contract?”

Pointing out that “only Parliament has the authority to impose new mandatory taxes and fees”, Mr Pintard challenged with the JDL deal has not been brought to Parliament for its scrutiny and approval. “All Bahamians who use air couriers to bring in items will face increased prices even

though they are already paying Customs processing fees to manage all related public facilities,” he added.

“We in the Opposition categorically reject this arrangement and we demand that same be cancelled without delay.

Bahamians already pay Customs processing fees and thus any necessary upgrades to the air freight facilities should be funded from these fees.”

Other sources, speaking on condition of anonymity, also argued that the JDL as presently structured would effectively usurp the role of Customs as the sole authority lawfully responsible for managing and handling all imported cargo landed in The Bahamas. As a result, they argued that the PPP arrangement violates the Customs Management Act. Besides cargo manifests being sent directly to JDL, instead of Customs as required by the Act’s section 72, the actual physical goods will also be received by the private company. Presently, all cargo is received by a broker/agent licensed by Customs, and held in a storage/bonded facility subject to the agency’s control and from which it earns rental fees.

However, JDL is now taking on this role, where it will become the landlord and - in theory - receive the rent instead of Customs.

Queries have also been raised over JDL’s plans to

break down shipments for scanning, given that the Act requires owners and/or their agents to be present when goods are examined, while its staff are not police or law enforcement agents and thus lack the authority to seize contraband.

One source said the minister of finance can designate the JDL facility as a separate port of entry, but this has to be gazzetted, remain under Customs’ control and there is a process for doing so. “What has to be debated and go to Parliament is making the fee compulsory,” they added. “To engage a private entity to charge a fee, that has to be an Act of Parliament.

“This is a charge that is mandatory to cover the cost of the facility. You’d have to create an Authority or engage an entity through Parliament to facilitate this mandatory compulsory charge. Only Parliament has the power to force you to pay for something. Otherwise, who has the legal authority to charge you this fee? I think that may be problematic.

“How does this fit with the Customs Management Act? If this is to come into effect in January, why isn’t the public informed? You’d expect a public education campaign. There’s a fee coming on board, and people need to prepare and adjust accordingly. You cannot drop this on the consumer.”

NOTICE

NOTICE

NOTICE is hereby given that JAMESLY BASTIEN of Wentworth Street, New Providence, 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 8th day of December, 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE is hereby given that TINESHA EUPHEMIA DUNCAN, #24 Kent Avenue, Nassau East South, Nassau, The Bahamas 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 8th day of December 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

THE TRIBUNE

Friday, December 15, 2023, PAGE 7

FIRMS ‘DOOMED TO FAIL’ ON BUSINESS LICENCE AUDIT FROM PAGE B1 “There was no movement in the meeting, but there were some fairly good points put across, and hopefully those will be considered,” Mr Ingraham told this newspaper of the meeting between the private sector, BICA and the Government.

“I would have been surprised if he [Mr Wilson] had

companies, especially those that have not gone through full audits before, are effectively being set-up to fail - and thereby exposed to fines equal to 1-2 percent of annual turnover - because they are unprepared for what is required and/or may have difficulty locating an auditor and complete the process in time to meet the deadline.

“Everything will shut down for the holiday very shortly,” the Chamber chair said. “I’m sure that that before the year ends the business community would

changed his mind right there and then, but hopefully he’s heard the arguments and given good weight to the arguments being made when the room is full of chartered accountants and, in half the cases, some businesses as well. We can only hope the message gets through.”

Mr Ingraham reiterated his and the Chamber’s concern that some $5m-plus

like to have some kind of decision, and hopefully a more favourable kind of decision than we’ve had so far so we know what we’re doing when the calendar year rolls around.

“We’re extremely concerned about it. I spoke to a businessman today who has run a very good business over the years, paid his fair share of taxes, but has never been required to have an audit because it’s a privately-owned company.

“His concern, if forced to get an audit, is will he come out the other end with a

good audit because he’s not had time to prepare and are the accounts reliable enough to certify everything in it because he does not have the supporting documents. That could expose his business to hundreds of thousands of dollars in fines.

That’s something to be concerned about.”

Mr Ingraham said there were also sufficient concerns among BICA members and auditors that might cause them to “back away” from taking on certain clients for Business Licence verification purposes, thus leaving an inadequate supply of accountants to meet the demand by the deadlines the Government has set.

“If they can’t get their audit passed, they are doomed to fail and will ultimately get fined,” he added. Meanwhile, Michael Pintard, the Opposition’s leader, yesterday backed the calls by BICA and the private sector for a year’s delay in the audit requirement for companies with turnovers exceeding $5m.

Asserting that the “Davis administration must help Bahamian businesses succeed, not hasten their demise”, he blasted: “Over and over this Davis administration demonstrates that it simply has no interest in helping Bahamian businesses succeed and flourish.

“It has virtually discarded the notion of ‘ease of doing business’, and instead has instead foisted any number of unreasonable and draconian measures on small and medium-sized Bahamian businesses since taking office.

“The Opposition supports the reasonable

THE WEATHER REPORT

5-DAY FORECAST

ORLANDO

High: 74° F/23° C Low: 65° F/18° C

TAMPA

TODAY

TONIGHT

SATURDAY

SUNDAY

MONDAY

TUESDAY

Very windy; cloudy with showers

Windy; clouds and a few showers

Windy with rain

A shower and t-storm in the morning

Mostly sunny, breezy and less humid

Partly sunny; breezy in the p.m.

High: 76°

Low: 71°

High: 78° Low: 72°

High: 82° Low: 69°

High: 78° Low: 66°

High: 76° Low: 64°

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

73° F

65° F

75°-68° F

83°-67° F

79°-63° F

76°-62° F

High: 75° F/24° C Low: 64° F/18° C

N E

ABACO

S

N

High: 74° F/23° C Low: 71° F/22° C

25-35 knots

S

WEST PALM BEACH High: 75° F/24° C Low: 69° F/21° C

20-30 knots

FT. LAUDERDALE E

W

FREEPORT

High: 74° F/23° C Low: 70° F/21° C

N

S

E

W

High: 74° F/23° C Low: 68° F/20° C

MIAMI

High: 74° F/23° C Low: 70° F/21° C

20-30 knots

KEY WEST

High: 75° F/24° C Low: 69° F/21° C

NASSAU

Ht.(ft.)

3.3 2.4

2:47 a.m. -0.4 3:48 p.m. -0.2

ALMANAC

Saturday

10:05 a.m.

10:32 p.m.

3.2 2.4

3:39 a.m. -0.3 4:39 p.m. -0.1

Statistics are for Nassau through 1 p.m. yesterday Temperature High ................................................... 77° F/25° C Low .................................................... 74° F/23° C Normal high ....................................... 79° F/26° C Normal low ........................................ 67° F/19° C Last year’s high .................................. 82° F/28° C Last year’s low ................................... 70° F/21° C Precipitation As of 1 p.m. yesterday .................................. trace Year to date ................................................ 51.52” Normal year to date ................................... 39.00”

Sunday

10:58 a.m.

11:31 p.m.

3.1 2.5

4:36 a.m. -0.1 5:32 p.m. -0.1

Monday

11:54 a.m.

-----

2.9 -----

5:37 a.m. 0.0 6:26 p.m. -0.1

Tuesday

12:34 a.m.

12:53 p.m.

2.5 2.8

6:43 a.m. 0.2 7:23 p.m. -0.1

Wednesday 1:39 a.m.

1:54 p.m.

2.7 2.6

7:53 a.m. 0.2 8:19 p.m. -0.2

Thursday

2.8 2.4

9:02 a.m. 0.2 9:15 p.m. -0.3

Forecasts and graphics provided by AccuWeather, Inc. ©2023

High: 76° F/24° C Low: 73° F/23° C

2:42 a.m.

2:55 p.m.

Low

Ht.(ft.)

SUN AND MOON Sunrise Sunset

6:47 a.m.

5:23 p.m.

Moonrise Moonset

9:30 a.m.

8:15 p.m.

First

Full

Last

New

Dec. 19

Dec. 26

Jan. 3

Jan. 11

CAT ISLAND

E

High: 77° F/25° C Low: 73° F/23° C

N

S

E

W

15-25 knots

S

20-30 knots Shown is today’s weather. Temperatures are today’s highs and tonight’s lows.

TIDES FOR NASSAU High

N W

The higher the AccuWeather UV IndexTM number, the greater the need for eye and skin protection.

9:15 a.m.

9:36 p.m.

ELEUTHERA

High: 76° F/24° C Low: 71° F/22° C

UV INDEX TODAY

Today

The exclusive AccuWeather RealFeel Temperature® is an index that combines the effects of temperature, wind, humidity, sunshine intensity, cloudiness, precipitation, pressure and elevation on the human body—everything that affects how warm or cold a person feels. Temperatures reflect the high and the low for the day.

W

recommendation by the Bahamas Chamber of Commerce and the Bahamas Institute of Chartered Accountants (BICA) to provide an additional 12-month transition time for medium-sized businesses to complete the now required annual audited statements, especially that many of these businesses are just now recovering from the worse effects of the global pandemic.”

Mr Pintard argued that the extension “will not disadvantage the Government in any way, as any tax liabilities uncovered by the audits will remain payable to the Treasury”. Describing the audit requirement as “onerous” and “heavyhanded”, he suggested that the administration is seeking to “squeeze Bahamian businesses” due to “an ongoing cash flow crunch”.

“Yet while the Prime Minister, as minister of finance, demands adherence to reporting timelines, his very minister is unable to get legally required budget and fiscal reports out on time. Between the Ministry of Finance and its Fiscal Responsibility Council, the Government presently has ten reports that are significantly late - some over a year,” the Opposition leader added.

T”he Opposition maintains that the Government should lead by example and bring its reporting up to date, as well as the outstanding audits from state-owned enterprises (SOEs), before it makes stringent demands on Bahamian small and medium-sized businesses.”

ANDROS

SAN SALVADOR

GREAT EXUMA

High: 80° F/27° C Low: 73° F/23° C

High: 79° F/26° C Low: 76° F/24° C

N

High: 77° F/25° C Low: 74° F/23° C

E

W S

LONG ISLAND

TRACKING MAP

High: 80° F/27° C Low: 75° F/24° C

20-30 knots

MAYAGUANA High: 81° F/27° C Low: 73° F/23° C

Shown is today’s weather. Temperatures are today’s highs and tonight’s lows.

CROOKED ISLAND / ACKLINS RAGGED ISLAND High: 81° F/27° C Low: 77° F/25° C

High: 80° F/27° C Low: 76° F/24° C

GREAT INAGUA High: 82° F/28° C Low: 76° F/24° C

N

E

W

E

W

N

S

S

20-30 knots

20-30 knots

MARINE FORECAST ABACO ANDROS CAT ISLAND CROOKED ISLAND ELEUTHERA FREEPORT GREAT EXUMA GREAT INAGUA LONG ISLAND MAYAGUANA NASSAU RAGGED ISLAND SAN SALVADOR

Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday:

WINDS NE at 20-30 Knots ESE at 20-30 Knots NE at 15-25 Knots SE at 12-25 Knots ENE at 20-30 Knots E at 20-30 Knots ENE at 20-30 Knots E at 15-25 Knots ENE at 20-30 Knots E at 20-30 Knots ENE at 20-30 Knots ESE at 25-35 Knots NE at 20-30 Knots E at 20-30 Knots NE at 20-30 Knots ENE at 12-25 Knots ENE at 20-30 Knots E at 15-25 Knots ENE at 15-25 Knots E at 15-25 Knots ENE at 20-30 Knots ESE at 15-25 Knots NE at 20-30 Knots E at 12-25 Knots NE at 20-30 Knots E at 20-30 Knots

WAVES 12-16 Feet 8-12 Feet 1-3 Feet 1-3 Feet 10-14 Feet 10-14 Feet 6-10 Feet 6-10 Feet 12-16 Feet 10-14 Feet 4-8 Feet 3-6 Feet 1-3 Feet 1-3 Feet 5-9 Feet 5-9 Feet 5-9 Feet 6-10 Feet 8-12 Feet 10-14 Feet 3-5 Feet 3-5 Feet 5-9 Feet 5-9 Feet 4-7 Feet 4-7 Feet

VISIBILITY 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 5 Miles 7 Miles 6 Miles 5 Miles 4 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 6 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 5 Miles 5 Miles

WATER TEMPS. 77° F 77° F 74° F 71° F 79° F 79° F 81° F 81° F 78° F 78° F 75° F 72° F 78° F 78° F 81° F 81° F 81° F 80° F 81° F 80° F 78° F 78° F 80° F 80° F 79° F 79° F