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Web shop hold-outs told: ‘Don’t hide behind lawyers’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

CABINET minister yesterday reiterated calls for web shop hold-outs to “stop hiding behind the lawyers” and pay millions in taxes due under the industry’s settlement with the government. Dionisio D’Aguilar, minister of tourism and aviation, who has responsibility for gaming, told Tribune Business that the failure to-date of four web shop chains to comply with that deal was an “annoying distraction” that all sides needed to put behind them. Expressing frustration over the “constant haggling”, Mr D’Aguilar argued

• Minister blasts ‘annoying distraction’ • AG invokes Churchill: ‘Jaw-jaw, not war-war’ • Govt patience still intact - for now that it was “unrealistic” for Island Game, Paradise Game, Asure Win and the FML Group of Companies to take the position that no retroactive taxes were owed for the 2018-2019 fiscal year’s first half. Pointing out that all other Bahamian businesses and individuals were paying taxes, he urged them to “step up to the plate” rather than “hide behind legal technicalities”. However, Mr D’Aguilar DIONISIO D’AGUILAR

CARL BETHEL QC

SEE PAGE 4

BPL eyes ‘two for price of one’ over renewables By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net BAHAMAS Power & Light’s (BPL) Board will meet today to discuss the timeline for rolling-out utility-scale renewable generation across the Family Islands as it targets “two for the price of one”. Dr Donovan Moxey, the state-owned utility’s chairman, told Tribune Business that BPL was seeking improved efficiency and cost reductions from an initiative that is designed to also move The Bahamas’ closer to the National Energy Policy’s (NEP) renewable targets. With the NEP mandating renewable energy sources account for 30 percent of The Bahamas’ generation mix by 2030, Dr Moxey said the development and issuance of requests for proposal (RFP) for each Family

• Targets Out Island cost reduction and efficiency • Board to meet today on RFP construction • Minister, chair discuss with US govt agency

DESMOND BANNISTER

DR DONOVAN MOXEY

Island was “high on our agenda”. One such RFP, seeking private sector bids on a solar generation facility for hurricane-ravaged Ragged Island, is expected to be issued shortly. Prime Minister Dr Hubert Minnis

last night revealed that groups have already been “shortlisted” to participate, with the facility expected to be constructed by year-end. Describing the Family Islands as BPL’s “lowest hanging fruit” for utilityscale renewable energy,

‘Don’t step over dollars for nickels’ By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net THE government was yesterday warned against any major boating fee increases in next week’s budget, a top marina executive yesterday warning: “We can’t just step over dollars

Minister pledges ‘transformative next six months’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net A CABINET minister yesterday said “the next six months will be very transformative for the Bahamian economy” with decisions awaited on several multimillion dollar tourism investments. Dionisio D’Aguilar, minister of tourism and aviation, pledged to Tribune Business that the Minnis administration was set to “make decisions in the best interest of the Bahamian people to fix our economy”. In particular, he cited ongoing negotiations with Global Ports Holding to finalise its $250m overhaul of Nassau’s cruise port, together with the ITM Group/Royal Caribbean

to pick up nickels”. Peter Maury, the Association of Bahamas Marinas (ABM) president, told Tribune Business that wholesale fee increases across-theboard could result in a significant loss of business for The Bahamas at a time when the industry is enjoying a “pretty good season” thus far. joint venture to acquire the Grand Lucayan, adding that talks with both were “proceeding according to plan”. “The next six months will be very transformative for the Bahamian economy with lots of decisions to take, and lots of transactions to ponder and consider,” Mr D’Aguilar told this newspaper, “and make decisions in the best interests of the Bahamian people to fix our economy. “We’ve got the Carnival port deal, the ITM/Royal Caribbean deal, the port of Nassau, Nassau Flight Services privatisation, airspace revenue sharing; obviously the one at Baha Mar has been negotiated. They’re forging ahead with their water park. That’s happening. “Hurricane Hole, The Pointe, GoldWynn are in motion. Albany is always in motion. There are endless deals in the Family Islands. All these things are being

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With The Bahamas among the world’s top boating destinations, Mr Maury said he welcomed the government’s efforts to strengthen collection of fees already “on the books” - such as the four percent yacht charter fee but expressed concerns over suggestions of additional revenue measures. He spoke out after K Peter Turnquest, the deputy prime minister, addressing the Eleuthera Business Outlook conference last week, said the government will target untapped existing revenue sources such as the

Dr Moxey said both board and management were still working through various technical, economic and other issues to determine the best solutions for other locations. With each island’s geography and energy demand different from the others, he explained that investment levels, required generation capacity and costs would differ on a case-by-case basis - an issue BPL is grappling with in finalising the RFPs. Dr Moxey’s comments indicate BPL is a little further off from where

SEE PAGE 5 four percent yacht charter fee in the upcoming 20192020 budget. “We are looking at new revenue sources,” he confirmed. “One of the big ones we anticipate is in the yacht registry and chartering industry. We know there are vessels that come here and stay for six months conducting charter business during that time and not registering as commercial entities. “As a result, The Bahamas gets no revenue. There is a four percent charter fee we are supposed to collect but, if they don’t register, then we are not collecting

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Developer’s ‘final chance’ on disputed $944k deal By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net AN EXUMA developer has been given “one final chance” by the Court of Appeal to produce the subdivision approval necessary to resolve a disputed $944,192 real estate deal. The appellate court, in a unanimous verdict, issued an Order giving February Point Resort Estates until end-May 2019 to show investor Malik Momin that it has met the Planning and Subdivision Act’s legal requirements and can close the transaction. Should February Point fail to do so, appeal justice Milton Evans wrote that it would then have to return the $944,192 to Mr Momin together with interest - as well as his legal costs - following a dispute that hinged on the transition provisions contained in The Bahamas’ main planning law. The Court of Appeal, in a written judgment issued on May 17, said the legal battle originated in Mr Malik’s February 18, 2008, decision to acquire Lot 36 in Elizabeth Harbour, Great Exuma, from February Point for $895,000. The sales agreement provided that February Point would “retain rights and interest in the property” until the full price was received. While both parties agreed that Mr Malik had fulfilled his obligations by February 2013, a dispute emerged over whether February Point was able to provide good title to the property if it had not obtained subdivision approval under the Planning and Subdivision Act 2010. Mr Malik demanded that the developer either produce proof of approval or refund the purchase price, leading to a March 15, 2018, hearing before Justice Indra Charles in the Supreme our four percent. It’s estimated that it could be as high as $50m a year.” Mr Maury, in response, said: “A lot of people don’t understand this business. I’ve been in it for 31 years. We want the online portal for the cruising permit, the fishing permit, the charter fee. That would be a great thing. That is the direction the rest of the world is going. “Let’s put the fishing permits, cruising permit, charter fees online. That would be a great thing. It’s a huge convenience for boaters coming here. Now when

Court on the interpretation of the Planning and Subdivision Act’s transition provisions in section 62. The Supreme Court found in February Point’s favour, with Justice Charles ruling the section was intended to protect real estate transactions entered into - but not closed - before the Planning and Subdivision Act came into force on January 15, 2011. “The Act is clear and unambiguous, and provides that not only any agreement to convey or conveyance would not be null and void, but also that any person who obtained title to the lot within the subdivision shall not be prejudiced,” Justice Charles ruled. She agreed with Candice Hepburn, February Point’s attorney, “that the intent of Parliament when enacting the Act was plain, and it would have been nonsensical or illogical for Parliament to preserve an agreement for sale under the Act but to thereafter consider a conveyance made pursuant to that agreement null and void”. However, Christina Galanos, representing Mr Malik, argued before the Court of Appeal that the effect of section 62 was only that the February 18, 2008, sales agreement between her client and February Point remained valid and in effect. She added that because February Point had failed to pass Mr Malik a conveyance to the property prior to the Planning and Subdivision Act coming into force, the developer was now required to obtain subdivision approval under the new law. Ms Hepburn stuck to the arguments adopted by Justice Indra Charles in her judgment at the Supreme Court level, but Ms Galanos told the Court of

SEE PAGE 4 we go and say that we’re also going to be increasing fees effective this date, then we could cause problems. I’m not saying anything against the DPM because he’s been great in listening to us, but I’m hearing other rumblings that concern me. There are some who want to increase the fees and I don’t think that now is a great time to do that.” Mr Maury argued that the Government should establish the registration portal for boaters and monitor

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PAGE 2, Tuesday, May 21, 2019

THE TRIBUNE

$160K FUNDING SENDS SHIVER UP THE SPINE A BAHAMIAN sorbet and ice cream brand has accessed more than $160,000 in financing with help from the Small Business Development Centre (SBDC). Melissa Darville and Elvis Percentie, founders and chief executives of Shiver, described themselves as “excited” after obtaining $100,000 worth of loans from Royal Bank of Canada (RBC), together with a $50,000 equity investment from the Bahamas Entrepreneurial Venture Fund and $11,600 in grant funding from the government. “I was driving when Melissa called to tell me that they announced we had received the funding,” said Mr Percentie. “I had to pull to the side of the road and check my phone just to see it for myself. I’m a numbers guy, so I’ve already started calculating where this and that would go, but it’s exciting and we’re grateful.”

SHIVER founders during an Access Accelerator town meeting. Ms Darville said the duo were discussing how The Bahamas could aid business owners such as themselves before they joined the SBDC. They were initially unaware that the SBDC had a funding component, and joined solely for help with their business documents. “We didn’t even know that the SBDC offered and assisted with funding. We just needed help with our paperwork, so when it was time for us to go to the bank

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we would be ready”, said Mr Percentie. “They surpassed our expectations, and we’re still flabbergasted by the amount of work that they put into assisting our company.” Ms Darville added: “Through the SBDC we have access to expert accountants and experts in business; that’s something we can never pay for. Mr Percentie continued: “The amount of work they put in we would never be able to afford. Nicholas (SBDC senior business analyst) sometimes messages me at like 12am or 1am asking if I have certain documents. We appreciate that so much because they are working on our behalf.”

A YOUNG man enjoys Shiver ice cream. Shiver has been working with the SBDC since it opened last fall. “I’ve had people ask me about the SBDC, even ones currently enrolled”, said Mr Percentie. “Whenever they complain about the time of the process, I always say continue to push your business.” Ms Darville added: “Businesses naturally take a while to develop, so continue to push your business while the SBDC is out there working for you. It’s not like they tell you not to do anything. Go out there and push your business, continue to work. They offer quality expert advice, and that alone is worth it.” Winston Rolle, SBDC advisor for Shiver, said the

company’s financing resulted from a team effort by the SBDC and will be used to grow its product. “It’s great that Shiver is getting the funding they need to manufacture their product”, said Mr Rolle. “The product is great and is well received. “The biggest issue has been meeting the demand for it. This funding allows them to meet demand, produce more and grow as a company. It is the mandate of the SBDC to assist MSMEs, and it’s good to be able to see the progress of the work.” Davinia Blair, the SBDC’s executive director, added: “There was so much excitement amongst our

CENTRAL BANK PARTNERS WITH INDUSTRY ON FINANCE LITERACY THE Central Bank of The Bahamas has teamed with the Clearing Banks Association (CBA) to host the first Financial Literacy Fair this coming Saturday at the Fusion Superplex. Event hosts will share information about saving, spending, budgeting and making sound financial decisions to help attendees improve their financial affairs. Participating CBA members include Bank of The Bahamas, Commonwealth Bank, CIBC FirstCaribbean International

THE GET Money Smart Financial Literacy Fair is one of the Central Bank’s efforts to promote widespread financial education among Bahamians, says governor John Rolle. Bank (Bahamas), Fidelity Bank (Bahamas), Scotiabank (Bahamas) and RBC Royal Bank (Bahamas). “This event is bringing together all of the clearing banks to give Bahamian consumers as much support as possible in building and maintaining a strong financial future for themselves and their families,” said Gowon Bowe, the CBA’s chairman.

“The advice is free. All you have to do is make your way to Fusion Superplex to meet with us. “If you have been ignoring financial issues or putting off dealing with them, this fair will provide a great opportunity for you to sit with one of the banks to figure out how to improve the situation before it gets even worse. We don’t want our customers

team when we heard that Shiver was successful. We’ve been working tirelessly for them as we have for our other clients. “A part of the work is advocacy with the government and continued partnerships with commercial banks. Whenever a client is successful, we are rewarded for that work.” Shiver will be hiring three extra persons as a result of the funding they will receive, highlighting the economic impact that the SBDC hopes to have on the economy through its work. The SBDC is the product of a tripartite arrangement between the Government, through the Ministry of Finance; University of The Bahamas (UB) and the Bahamas Chamber of Commerce and Employer’s Confederation (BCCEC). The Centre works to guide the development, funding, growth and evolution of micro, small and mediumsized enterprises (MSMEs) in The Bahamas.

to have difficulty managing their finances. That doesn’t serve anyone. We’re here to support our customers.” The Get Money Smart Bahamas Fair includes a financial recovery workshop, which will be held from 1pm to 2pm in one of the Fusion Superplex theatres. “The workshop will help families who are struggling with managing their finances to understand how to make simple changes to alleviate some of that financial pressure they’re feeling,” said Central Bank governor John Rolle. “We will also host a question and answer period so that attendees can get facts from the various banks about their financial concerns. Everyone can learn from each other. We want to make managing money a much easier process so that they can enjoy life.”

THE TRIBUNE

Tuesday, May 21, 2019, PAGE 3

BAHAMAS ‘ONE STORM AWAY’ FROM PUERTO RICO DISASTER By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net Bahamas Power & Light’s (BPL) ongoing challenges mean this nation could be “one storm away” from a Puerto Rico-like disaster, a Chamber of Commerce executive warned yesterday. Debby Deal, head of the chamber’s energy and

environment division, told Tribune Business that ongoing load shedding exercises in recent weeks had exposed just how fragile BPL’s existing generation assets and transmission and distribution (T&D) network are. She expressed concern that a major hurricane could inflict similar devastation on BPL’s energy grid to Hurricane Maria’s 2017

BISX NAMES DIGITAL EXCHANGE PARTNER THE Bahamas International Securities Exchange (BISX) yesterday identified its partner for the launch of a digital securities exchange as BRX Holdings, a financial technology (FinTech) firm. The exchange, providing further details following Tribune Business’ revelation of their partnership, said the two sides had executed “a term sheet for a technology licensing agreement” between them to facilitate the digital securities exchange’s creation. BISX, confirming that the proposed exchange will focus on trading programmable digital assets and securities, said it wanted the new platform “to become the world’s leading regulated exchange for primary issuances and secondary trading of regulated digital instruments”. Private companies will be able to list their security tokens for regulatory-compliant trading, which will include an application process and continuing obligations for the listed equity tokens. BISX added: “BISX, with its regulatory and securities exchange operational experience, will combine efforts with BRX Holdings financial technologies to provide institutional grade primary issuance and secondary trading of digital assets and programmable securities. The partnership will benefit from the trading and compliance technology, industry know-how and operational excellence of both parties.” BRX Holdings was described as a FinTech company planning to operate in The Bahamas, and “founded by executives with deep roots in quantitative investing, trading and issuance of traditional and digital securities.” Keith Davies, BISX’s chief executive, said: “This is a momentous day for the exchange. We have had the opportunity to meet with many groups over the last several years in the fields

of blockchain and digital assets. “However, BRX Holdings offered the best combination of strengths in the areas of technology, operational experience in this space and financial partnerships that we have identified as necessary to make this exchange a success. “BISX for years has invested in its regulatory reputation and knowledge base in order to be in a position to pursue partnerships such as this, and so we are happy to proceed with BRX Holdings as our partner in this new venture,” he continued. “We look forward to this partnership being a benefit to many issuers and investors in this space as they look for regulated exchanges for their digital securities. We also anticipate this benefiting our jurisdiction as professionals will be exposed to - and become expert in - a new asset class.” In keeping with its mandate to exceed all regulatory requirements, BISX has been in continuous contact with the Securities Commission of The Bahamas throughout all phases of this proposal. The commission has agreed for BISX to proceed with the development of the proposed Digital Securities Offerings’ Exchange, subject to regulatory conditions. To address regulatory requirements, the new exchange will automate compliance processes for qualified investors with Know Your Customer (KYC) and anti-money laundering technology. Final checks will be carried out by Bahamian compliance professionals. The exchange will operate under rules filed with and approved by the Securities Commission, which has agreed for BISX to proceed with the development of the proposed digital securities exchange subject to regulatory conditions.

impact on Puerto Rico, which has struggled ever since to fully restore its power network. Ms Deal described New Providence’s current energy supply situation as “frustrating” for businesses and residents. While BPL’s $95m investment in 132 megawatts (MW) of new generation capacity is set to be installed at its Clifton power plant over

the next several months, the utility’s executives have admitted the new engines will not be ready to meet peak summer demand. “I can only say that it’s been frustrating,” Ms Deal said. “Initially they were saying there wouldn’t be any outages, and then they acknowledged that they continue to have challenges. If they could be consistent with what they’re saying it

might be a bit easier for the public. “If they are load shedding then then they should be fair. Some areas are off for far too long based on what I have heard. We are struggling to meet our energy needs and we’re heading into the warmer summer months and into hurricane season. We’re one storm away from being like Puerto Rico.”

Ms Deal added: “I don’t know how the small businesses are going to make it like this, the hair dressers, the mom and pop stores, the small businesses that don’t have a generator. This kind of thing is really cutting into the business sector. It’ very sad that we have gotten to this stage. How can a lot of our SMEs start and survive if they don’t have constant supply of energy?”

Bahamas Realty’s ‘unique position’ on property sale BAHAMAS Realty’s commercial division was yesterday said to be “in a unique position” to facilitate the sale of an East Bay Street office complex in which it is a tenant. NAI Bahamas Realty Commercial confirmed it has been selected to handle the sale of 23 East Bay Street, known as Bydand House, amid a general resurgence of commercial development in the Montagu area. “In the last few years and, in particular, the last few months we have seen more activity and commercial interest in the eastern district, and the Montagu area in particular, than we had seen for quite a while,” said Bahamas Realty chief executive Donnie Martinborough. The realtor has had a presence in the historic property for more than 40 years, and he added: “Even we at Bahamas Realty are caught up in the exciting changes with our own office building on the market to sell while Montagu is enjoying a resurgence in commercial development. “As both tenants of the building, as well as being the leading commercial real estate firm on the island, we are in a unique position to broker the sale of Bydand House. We are confident that we will find the right buyer.” Bydand House is a functional office complex in a high-traffic, secure location. Its consistent occupancy rates and quality tenants are said to make it an attractive investment opportunity. The 1.46 acre site includes 6,484 square feet of office space in the main building, with two additional incomeproducing annex buildings and room for expansion. Nearby developments include the transformation of a 100-plus year-old home into the Wild Thyme restaurant. The Harbour Bay Shopping Centre

THE BAHAMAS Realty office building located on East Bay Street. has become a destination shopping plaza, while the former UBS building is now home to the Securities Commission of The Bahamas, the Compliance Commission and the Data Commissioner . A new restaurant at the Nassau Harbour Club, which has been under construction for more than two years, is expected to open soon, while renovations are also underway at the currently-closed Waterloo nightclub on East Bay Street. “We have never lost

faith in the strength of the east,” said Mr Martinborough. “And with all of the recent activity in the area

we recognise this as a great opportunity for investors or businesses looking to expand in a growing market.”

PAGE 4, Tuesday, May 21, 2019

Web shop hold-outs told: ‘Don’t hide behind lawyers’ FROM PAGE ONE confirmed that the quartet collectively account for just 24 percent - less than one-quarter - of the industry’s total tax bill. The biggest payers, Sebas Bastian’s Island Luck and Ultra Games, together with the Chances chain, generate some 76 percent of the sector’s tax burden and are all currently compliant with the settlement terms. Mr D’Aguilar spoke out as Carl Bethel QC, the attorney general, said the government had received a letter on the matter from Wayne Munroe QC, representing all of the web shop hold-outs bar FML, late last week. Disclosing that he would meet Mr Munroe later this week for further talks on a negotiated settlement, Mr Bethel borrowed a quote attributed to the late UK wartime prime minister, Sir Winston Churchill, that “jaw-jaw is always better than to war-war”. Both himself and Mr D’Aguilar expressed a preference to resolve the dispute amicably, rather than through costly and time-consuming litigation. Neither would be drawn on when the government’s patience would run out, although the gaming minister agreed that refusing to renew the quartet’s licences over

the tax non-payment was “always the stick in the bag of tricks the government has”. “We would always like to have an amicable solution rather than go that route,” Mr D’Aguilar told Tribune Business. “My position is that it is unrealistic for them [the hold-outs][ to think they should not be paying any taxes. Everyone else is paying a tax, and I think it’s their duty to pay a tax. “Every single individual and business is paying a tax, and they need to pay a tax as well. They should step up to the plate and do that.” Under the mid-February settlement agreement, socalled “back taxes” for the first half of the 20182019 fiscal year - from July 1-December 31, 2018 were to be levied at the old web shop taxation rate of 11 percent of gaming revenues. This was replaced by the new “sliding scale” operator tax, and its new rates of 15 percent and 17 percent, with effect from January 1, 2019. However, Mr Munroe’s clients and FML have yet to comply with these terms some three months later. Tribune Business revealed last month that Paradise Games and Asure Win had paid taxes due for July 2018 and then stopped, while FML and Island Game had yet to pay anything at that point.

“It’s an annoying distraction I wish we could put behind is and move on rather than constantly haggling over this tax,” Mr D’Aguilar told Tribune Business. “It’s very frustrating, but it’s really in the hands of the lawyers. If you want to stay behind lawyers and litigate that’s your right, but it’s extremely tiresome.” The minister declined to comment on when the government’s patience will run out, and also refused to get into the legal positions the two sides are taking. Tribune Business previously reported that Mr Munroe and his clients were basing their case on the fact that the old taxation structure, which required web shops to pay the greater of 11 percent of taxable revenue or 25 percent of earnings before interest, taxation, depreciation and amortisation (EBITDA), was repealed when the 2018-2019 Budget was passed at endJune 2018. Mr Munroe told this newspaper in late December 2018 that, as a result of that repeal and the attorney general’s previous undertaking not to enforce the new regime after the industry took the matter before the Supreme Court, no taxes were due or owing by the sector for the first six months of the current fiscal year. However, it is

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understood the government believes it has a solid legal position to demand the payment of retroactive or “back” taxes under the settlement agreement’s terms by virtue of the Interpretation and Clauses Act’s section 22. This allows a repealed law, such as the old 11 percent taxation structure, to remain “in force” until the one replacing it takes full effect. “Where any written law repeals in whole or in part any other written law, and substitutes other provisions therefore, the repealed written law shall remain in force until the substituted provisions come into operation,” the Act states. Mr Bethel, meanwhile, revealed that the government received another letter on the dispute last week from Mr Munroe, who did not return Tribune Business phone calls and messages seeking comment yesterday. “We got a note from Mr Wayne Munroe,” the attorney general revealed. “We haven’t had a chance to meet with him on it; later on this week we will have a meeting with him.” Indicating a willingness to be patient, Mr Bethel added: “I guess another week or so is OK. One thing that is not good is to lose patience too quickly with people. It is what it is. “We try to avoid the cost and expense and delays of litigation. It’s always better to jaw-jaw than to war-war. That was Churchill who said that, not me.” Using the old “operator” structure for the 2018-2019 first half will likely generate around $11m-$12m for the Treasury based on previous full-year collections of $21m. Given that 76 percent of taxes are generated by the three web shops that are compliant, this suggests that the sum being disputed by the hold-outs is around $5m plus taxes due under the new structure from January 1, 2019.

THE TRIBUNE

Developer’s ‘final chance’ on disputed $944k deal FROM PAGE ONE Appeal that Parliament had shown its intent to deal specifically with land sales where there is no subdivision approval. She argued “it is inconceivable that where there is an ambiguity, Parliament would prefer an interpretation of the Act which would validate a conveyance in the absence of subdivision approval and thereby defeat each and every purpose of the Act”. The Court of Appeal, referring to the Private Roads and Sub-divisions (Out Islands) Act that was in effect when Mr Malik’s sales agreement was drawn up, said it was not unreasonable for buyers to demand proof of subdivision approval. “It must be remembered that under the old Act and the new Act the vendor/ developer has an obligation to obtain subdivision approval, and failure to do so constitutes a criminal offence. There has been no change in that regard,” Justice Evans wrote. Noting that sales agreements could be completed, and subdivision approval obtained at a later date, he added: “It would be nonsensical to think that

Parliament would make provision for a vendor who acts in breach of legislation and is thereby guilty of a criminal offence... “The learned judge seems to have been beguiled by Ms Hepburn’s submission that it would have been illogical for Parliament to preserve an agreement for sale under the Act but to thereafter consider a conveyance made pursuant to that agreement null and void. “However, it must be noted that Parliament’s primary intent is to ensure compliance with the law and to preserve regulatory control over the development of subdivisions. The validating of the agreements preserves the parties’ rights while at the same time ensuring that both parties comply with the law. There is nothing illogical about requiring persons to obey the laws enacted by Parliament where they still have an opportunity to do so.” As a result, the Court of Appeal concluded: “In all the circumstances of this case we thought it reasonable to give the respondent [February Point] one final opportunity to provide the necessary subdivision approval so that the transaction could be completed.”

‘Don’t step over dollars for nickels’ FROM PAGE ONE its success first.“We could be able to better determine the metrics as far as what we have coming in, the value of the business and everything else,” he said. “I don’t think that we are collecting near what we should. We may put it online and find out that our charter fee revenue goes up 300 percent. These yachts come here and they spend a lot of money. I don’t think it would be wise to turn them off by increasing the cost of a cruising permit. “We can’t just step over dollars to pick up nickels. We want them to come

here, we want them to spend money. I just hope that whatever the government does, it’s implemented the right way. The Ministry of Tourism and the marina operators should be a part of it so that everyone knows what’s coming.” Mr Maury added that Bahamian marinas are enjoying a “pretty good season” to-date. “We are having a pretty good season from what I could tell. The Bahamas is busy with boats now. This is a great time to roll-out new technology to make it easier to cruise in The Bahamas. We want the boats to come and we want to make it easier for them to check in,” he said.

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THE TRIBUNE

BPL eyes ‘two for price of one’ over renewables

FROM PAGE ONE Desmond Bannister, minister of works, suggested when he told Tribune Business that the Family Island renewable energy RFPs would be issued in “rapid succession”. Mr Bannister and the BPL chairman both spoke out after meeting yesterday with David Bohigian, acting president and chief executive of the Overseas Private Investment Corporation (OPIC), the US government’s development financing arm that facilitates foreign investment by US companies. Their talks focused on energy sector opportunities in The Bahamas, with Dr Moxey confirming that BPL was in discussions with the OPIC and other agencies on potential financing for its Family Island renewable plans. “We met further to the prime minister’s meeting with president Trump,” Mr Bannister told Tribune Business of the OPIC talks, “and there were some very candid discussions about the potential to fund private sector activity in The Bahamas with respect to energy. “We shared with them our plan to issue RFPs with respect to renewable energy in the Family Islands, and we anticipate there’s be some further discussions. They’ve indicated what they’ve done in a number of countries, and the potential for collaboration and for them to work with private sector companies. Turning to the specifics of BPL’s Family Island renewable roll-out, Mr Bannister added: “I suspect you’re going to see a rapid succession of renewable energy RFPs throughout the Family

Islands. I suspect they’re going to have one out each month coming. “BPL, throughout the Family Islands, has engines and generation equipment, some of which are at the end of their useful life and some of which are not as reliable as they ought to be, so the opportunity to support what we have and provide renewable sources of energy throughout the Family Islands is there.” Dr Moxey, though, confirmed that BPL was still determining “the timing and timeline” of the various Family Island RFPs given the multiple issues it needed to work through to finalise the bid specifics that will be unveiled to private sector groups and investors. “There are a number of things we have to weigh,” he told Tribune Business, “the final engineering designs, access to resources. There are a number of things we’re looking at that will drive the timeline. “There are quite a number of design and engineering proposals, so we’re looking at all of those to make sure it has the impact we want in terms of cost reduction on the Family Islands. We’re very cost conscious in terms of making these decisions, keeping in mind the National Energy Policy’s 30 percent renewables goal by 2030. It’s looking at timelines versus the costs involved.” Besides the overall economic and technical issues, Dr Moxey said BPL also had to account for differences in energy demand between the various Family Islands as well as their likely future needs given the potential for major foreign direct investment (FDI) and economic growth.

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

FHMVOFF Fund Ltd .(the “Company”)

Notice is hereby given that, in accordance with Section 138(8) of the International Business Companies Act, No.45 of 2000, the Dissolution of FHMVOFF Fund Ltd.has been completed, a Certificate of Dissolution has been issued and the Company has therefore been struck off the Register. The date of completion of the dissolution was the 5th day of February, 2019.

Mr. Alceu Rodrigues Vasone Liquidator

“A lot of this will be discussed at the Board meeting,” he added, “and then we will have to make a decision as to how we move forward. This is extremely important. It gets us moving in the right direction with respect to the 30 percent renewables in the National Energy Policy. “And, when you look at operating cost reduction in the Family Islands, solar is one way we can have a significant impact, especially when you’re talking about logistics, the cost of shipping fuel and the fuel side of things.” Utility-scale renewable generation will also reduce maintenance costs associated with BPL’s existing engines, and Dr Moxey told Tribune Business: “The Family Islands are really the lowest hanging fruit for us. “We’re looking at increased efficiency and reduced costs. This is one of the ways we can get two for the price of one in terms of efficiency and cost reduction. The transmission and distribution network is not as complex as what we have on New Providence, and as a result we can have a much more meaningful impact with renewable energy on the Family Islands.” Dr Moxey said it was too early to determine the total cost savings and necessary investment required, or the island-by-island breakdown. However, he said any savings would be spread across BPL’s entire customer base - not just confined to a single island - due to the utility’s billing and network structure. “Our costs have always been shared across the network from day one,” he explained. “That’s how BPL was set up and operates.”

Tuesday, May 21, 2019, PAGE 5

Minister pledges ‘transformative next six months’ FROM PAGE ONE vetted, approved and are in motion.” Little has been heard of Nassau Cruise Port’s management outsourcing since the government unveiled Global Ports Holding, the Turkish-headquartered, UK-listed ports operator as the preferred bidder back in February. Mr D’Aguilar said then that he hoped the deal would increase cruise passenger spending in Nassau by between 20-30 percent, and yesterday he reassured that there had been “no hiccups, no breakdowns” in talks with either Global Ports Holding or ITM/ Royal Caribbean on the Grand Lucayan. “I think we’re going fine,” he added of the Nassau Cruise Port. “It’s a negotiating process. We’re all engaged, we’re all talking. We’re going through the document paragraph by paragraph, which is somewhat tedious but necessary, and ultimately it will go before Cabinet once it’s agreed. “Nothing is out of the

ordinary. We’re making good progress. Every time they meet they negotiate the points and move on.” Mr D’Aguilar said he had no specific date he was targeting to conclude a deal with Global Port Holdings, adding that such negotiating these agreements sometimes “take on a life of their own”. “We’re planning for as short as possible a time to get it going,” he told Tribune Business. “The government has made the decision to embark on this journey. We’ve made the decision that we want to get the deal done and get on with the redevelopment. “We believe that [the cruise port] will serve as the catalyst for the redevelopment of downtown, and when people see the investment in the port happening - and they can touch it, feel it, see it -that will demonstrate the seriousness of the government to make it happen and hopefully other stakeholders on Bay Street will embark on developments of their own to bring about the transformation of downtown.” Mr D’Aguilar added that

the Grand Lucayan talks with ITM/Royal Caribbean were also “proceeding to plan”, although they were not as far advanced as the talks on the Nassau cruise port. He said the joint venture was proceeding with its due diligence prior to negotiations with the government beginning in earnest. “Everything’s proceeding according to plan; there’s no hiccups, no breakdowns, nothing negative to report,” he told Tribune Business. “They’re contemplating the Heads of Agreement, what form and structure that should take, but are still in the infancy stages of that.”

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PAGE 6, Tuesday, May 21, 2019

THE TRIBUNE

Seeing a twisting road ahead, Ford cuts 7K white-collar jobs

DETROIT Associated Press FORD revealed details of its long-awaited restructuring plan yesterday as it prepared for a future of electric and autonomous vehicles by parting ways with 7,000 white-collar workers worldwide, about 10% of its global salaried workforce. The major revamp, which had been under way since last year, will save about $600m per year by eliminating bureaucracy and increasing the number of workers reporting to each manager. In the US about 2,300 jobs will be cut through buyouts and layoffs, Ford said. About 1,500 have left voluntarily or with buyouts, while another 300 have already been laid off. About 500 workers will be let go starting this week, largely in and around the company’s headquarters in Dearborn, Michigan, just outside Detroit. All will get severance packages. The layoffs are coming across a broad swath of the company including engineering, product development, marketing, information technology, logistics, finance and other areas. But the company also said it is hiring in some critical areas including those developing software and dealing with self-driving and electric vehicles.

a possible deal to sell the Lordstown plant to a startup electric vehicle maker, but it hasn’t been finalised.

FORD President and CEO Jim Hackett prepares to address the media at the North American International Auto Show in Detroit. Ford is cutting about 7,000 white-collar jobs, which would make up 10% of its global workforce. In a memo to employees, Monday, CEO Jim Hackett said the fourth and final wave of the restructuring will start today, with the majority of US cuts being finished by May 24. “To succeed in our competitive industry, and position Ford to win in a fast-charging future, we must reduce bureaucracy, empower managers, speed decision making and focus on the most valuable work, and cost cuts,” Hackett wrote. It’s the second set of layoffs recently for Detroitarea automakers, even though the companies are making healthy profits. Sales in the US, where the automakers get most of their revenue, have fallen slightly but still are strong. In November, General Motors announced it would shed up to 14,000 workers as it cut expenses to prepare

for a shift to electric and autonomous vehicles. The layoffs included closure of five factories in the US and Canada and cuts of another 8,000 white-collar workers worldwide. About 6,000 blue-collar positions were cut, but most of laid-off factory workers in the US will be placed at other plants mainly that build trucks and SUVs. Both companies have said the cuts are needed because they face huge capital expenditures to update current vehicles and develop them for the future. At GM, the cuts brought withering criticism from President Donald Trump and Congress, especially the closing of a small-car factory in Lordstown, Ohio. Trump campaigned on bringing factory jobs back to the industrial Midwest. GM has since announced

FORM B Notice of Intended Marriage (Section 7(3))

Ford’s white-collar employees had been fearful since last July when the company said the

restructuring would cost $7bn in cash and hit pretax earnings by $11bn over the next three to five years.

CAN MAKE A DIFFERENCE IN THE LIVES OF THE CHILDREN AT RANFURLY

he Ranfurly Homes for Children has been a safe haven for thousands of Bahamian children since 1956. The Home provides a safe, structured environment for children who have been orphaned, abused, neglected or abandoned. YOU can make a difference in the lives of the children at Ranfurly. With your support children can have nutritious food, warm beds and a safe environment where they can discover the joy of being children. For years the children living and learning at Ranfurly have made great social and academic strides. Their further development requires additional support in the form of a Transitional Home, planned for construction on the Ranfurly property. This residence will cater to teenagers and young adults who are beyond school age, but need accommodation while they find work and gain independence from the Home. We look forward to your continued support in this worthwhile endeavour.

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Shane A. Miller Registrar of Marriages

FORM B Notice of Intended Marriage (Section 7(3))

Shane A. Miller Registrar of Marriages

THE TRIBUNE SEATTLE Associated Press WORKERS at a $1.7bn polysilicon plant in central Washington believe President Donald Trump’s trade war with China may be their best chance for staying employed. Unable to compete with Chinese factories aided by government subsidies and high tariffs, REC Silicon is shutting down the facility, which makes products used in solar panels. The company, which once numbered 500 workers, is keeping its remaining 200 on the payroll for six weeks in hopes that pressure from Trump will force China to make a trade deal. But the prospects are uncertain. For other industries, the administration’s policies have been tough medicine, showing the complicated effects of tariffs in one of the nation’s most trade-dependent states. Washington’s overseas shipments of apples, dairy, seafood and wheat have plummeted. China has hinted it might order fewer Boeing planes, which make up a huge part of the state’s exports. A popular fishing boat company has seen orders cancelled, a co-operative of Northwest dairy farmers has had to find alternative foreign markets, and a Seattle-based electric bike company, Rad Power Bikes, has curbed expansion plans. “Certainly there are a couple companies that say, ‘Gee, I like that protection,’” said Robert Hamilton, Democratic Gov Jay Inslee’s trade adviser. “But for many others it’s not been good. They have to increase cost to their customers or absorb the costs of the tariffs. Many have investment plans, and now all of a sudden their exports are down and the cash flow they were going to use to finance their investment is shaky.” Washington exported more than $70bn in goods last year, which accounted for 5% of American goods exported overall and 14% of US goods exported to China. An analysis by Hamilton roughly estimated that tariffs imposed by countries including China, Mexico and Canada in response to those imposed by Trump had already displaced 1,500 jobs in Washington. According to the Washington Council on International Trade, 40% of jobs are linked to international trade. Among them are those at REC Silicon, a Norwaybased company that for years has been one of the top-paying employers in Moses Lake, a farming city in central Washington. Earlier this decade, the company, which prides itself on producing solar-grade polysilicon more efficiently than competitors, did about $600m in annual sales to China. But in 2014, after the US imposed tariffs on Chinese solar panels, China retaliated with extremely high tariffs on US polysilicon. REC was essentially blocked from the Chinese

Tuesday, May 21, 2019, PAGE 7

Tariffs have varying fallout in trade-heavy Washington state

CUSTOMER TORRE TREECE, left, talks with Rad Power Bikes sales associate Becs Richards about the two electric bikes he bought at the shop in Seattle. The bicycle company said that they will absorb 100% of any tariff on their Chinese-made bicycles. Photo: Elaine Thompson/AP market, said Francine Sullivan, REC’s vice president of business development. Last year, Trump levied a 30% tariff on solar panels. The solar industry has blamed the tariffs for delays and cancellations of major projects, but Sullivan calls Trump’s efforts “the only hope we have”. “He’s trying to reopen markets that have been unfairly closed,” she said. In the rural northeastern town of Colville, workers at Hewes Marine cut, bend and weld sheets of aluminum into fishing boats admired by anglers throughout the Northwest. There, Trump’s approach has been less welcome. Retaliation by Canada for Trump’s steel and aluminum tariffs raised prices on the company’s boats north of the border. Trump’s decision last week to rescind the tariffs — and Canada’s reciprocation — will help, but market anxiety over the trade war with China has also cut into sales, said Clint Kirry, Hewes’ marketing director. Many Hewes customers are older workers or retirees who have long saved for a boat, but might balk at spending $30,000 to $200,000 for a boat when their retirement accounts seem unstable, he said. “We’re in a 6,000-person town, with the one Walmart, and the one McDonald’s, and the two small manufacturers here,” Kirry said. “We crank out some fantastic

products, but we’re just getting punched in the mouth because of these tariffs and threats of tariffs.” Stan Ryan, chief executive at Darigold, a cooperative of Northwest dairy farmers, said the organisation was so hopeful of growing its business in China that last summer it opened an office in Shanghai — about the same time China increased tariffs on dairy from 10% to 25% in response to tariffs imposed by Trump. The coop’s $50m in sales to China dried up; its roughly two dozen customers found other suppliers. Nevertheless, many Washington dairy farmers support the trade war; China has given preferential treatment to Australian and New Zealand dairy products, Ryan said. “It’s difficult in the short term, but they understand that and they’re supportive of getting to a level playing field,” he said. Washington winemakers are in a similar boat. Exports to China represented a small but rapidly growing percentage of their business, but the duties now total 91%, making the cost of the bottle on the shelf prohibitive, said Josh McDonald of the Washington Wine Institute. China doesn’t impose tariffs on other key winegrowing nations, he said. As in other industries, tariffs undercut relationships US winemakers have with importers and distributors in China, he said. Even

if the tariffs do get erased, it’s unclear how long it will take to re-establish those relationships. Tom Dugan, chief executive of DeLille Cellars in

Woodinville, said his winery had been hoping to get a big order from China this year, but just cancelled a June marketing trip because it now seems unlikely.

JUDGE SIDES WITH CONGRESS OVER TRUMP IN DEMANDS FOR RECORDS WASHINGTON Associated Press A FEDERAL judge ruled against President Donald Trump yesterday in a financial records dispute with Congress and said lawmakers should get the documents they have subpoenaed. Trump called it a “crazy” decision that his lawyers would appeal. The ruling by US District Judge Amit Mehta comes amid a widespread effort by the White House and Trump’s attorneys to refuse to co-operate with congressional requests for information and records. Earlier yesterday, Trump directed former White House counsel Don McGahn to defy a congressional subpoena that had compelled McGahn, a pivotal figure in special counsel Robert Mueller’s investigation, to testify before the House Judiciary Committee today. In ruling that Trump cannot block the financial records subpoena, Mehta said the Democratic-led House Oversight and Reform Committee had “valid legislative purposes” for its request and that it was not for him “to question whether the Committee’s actions are truly motivated by political considerations”. The committee has said the records will help it consider whether to strengthen ethics and disclosure laws, among other things, said Mehta, who was nominated to the bench by President Barack Obama.

FORM B Notice of Intended Marriage (Section 7(3))

Shane A. Miller Registrar of Marriages

FORM B Notice of Intended Marriage (Section 7(3))

Shane A. Miller Registrar of Marriages