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THURSDAY, FEBRUARY 6, 2025
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Modify ‘crippling’ property declaration, Gov’t urged GRAND LUCAYAN RESORT
Grand Lucayan facing ‘chilly’ $532k demand t 'MPSJEB TVQQMJFS mMFT MBXTVJU PWFS AJOPQFSBCMF DIJMMFST t "MMFHFT (# SFTPSU CSFBDIFE JUT L QFS NPOUI MFBTF t %BNBHF MJOLFE UP XBUFS XPF UIBU TBX IPUFM TIVU By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Grand Lucayan is facing a demand for $532,282 plus loss of income over accusations it left two rented AC chillers “inoperable” due to the poor quality of its water supply. Trane US, the Florida-based entity that supplied the now “damaged” equipment, in a February 3, 2025, lawsuit filed in the federal courts is asserting that the Bahamian taxpayerowned resort breached their rental agreement by failing to properly install and maintain the chillers, plus return them “in good working condition”. The Grand Bahama-based resort, which is currently the subject of negotiations to sell it to a $10bn Miami-based developer is also accused of failing to pay for either repairs to the chillers or their replacement. As a result, Trane is also claiming for loss of income due to its inability to lease them to other clients. And it is alleging that the damage to the chillers was caused by the Grand Lucayan using a water supply whose salinity/chloride levels were more than 12 times’ higher than the recommended amount. Julian Russell,
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By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Government was yesterday urged to modify the “crippling” and “onerous” requirement for companies and IBCs to declare all their Bahamas-based real estate holdings by February 15. Attorneys, whose law firms act as registered offices and agents for firms incorporated under the Companies Act as well as International Business Companies (IBCs), told Tribune Business that the newly-introduced ‘real property declaration’ represents an “incredibly burdensome obligation” that has left both themselves and their clients struggling to comply by the looming deadline. Pointing out that this latest compliance-related deadline, following so swiftly behind Business Licence returns and January’s VAT filings, is also occurring at a time when businesses are dealing with the likes of economic substance
t A0OFSPVT SFHJTUFSFE PGmDF CVSEFO SBJTFT DPNQMJBODF GFBS t #'4# #BS FZF BMUFSOBUJWFT BT 'FCSVBSZ EFBEMJOF MPPNT t "HFOUT NVTU mMM PVU QBHF SFQPSU GPS BMM UIFJS DPNQBOJFT and tax information exchange filing, they all voiced fears that having to fill-out a 16-page property declaration for every company is simply taking bureaucracy and ‘red tape’ to new heights. Andrew O’Brien, the Glinton, Sweeting & O’Brien attorney and partner, told this newspaper that while the private sector backed the Government’s drive to crack down on VAT evasion involving high-value real estate sales it feels there better ways to achieve this objective without further undermining
the country’s ease of doing business. He disclosed that both the Bahamas Financial Services Board (BFSB) and Bahamas Bar Association are working to devise alternatives to the ‘real property declaration’, one of which could involve setting a threshold or floor - say $2m - for the value of transactions that need to be reported to the Department of Inland Revenue. Only real estate deals above this limit would have to be reported. Adrian White, the Opposition MP for St Anne’s and an attorney by profession,
ADRIAN WHITE described the 16-page ‘real property declaration’ form, which a registered office has to fill out for every corporate client on its books, as akin to “the bruise of doing business in The Bahamas”. The form, which has been seen by this newspaper, requires registered agents to declare that all the information supplied by their
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Opposition chair: ‘Come clean’ over energy reforms progress By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Opposition’s chairman yesterday urged the Government to “come clean” over its energy transformation deal amid suggestions a key partner has paused work while it waits for all agreements to be formalised. Dr Duane Sands told Tribune Business it was clear “something is awry”, although he himself has been unable to obtain details, over Pike Electrical’s role in overhauling and modernising New Providence’s energy grid. Several
sources, all speaking on condition of anonymity because they are not authorised to talk publicly, suggested the US contractor is on a temporary hiatus until everything is signed-off and sealed. One well-placed contact said Pike has “pulled some of their stuff off” until all necessary agreements with the Davis administration are completed, adding that the parties were behind schedule on moving the wide-ranging energy reforms unveiled last summer into a binding deal. Jobeth Coleby-Davis, minister of energy and transport, did not respond to Tribune
Business messages seeking comment before press time last night. However, the source said “they’re a bit behind on the deal” but suggested that all necessary documents governing the upgrades to New Providence’s electrical grid could be signed as early as next week. “I think they pulled some of their stuff off until they complete the deal,” the source added. “It should have been done already. It’s been going on for a long time. They are not far apart and are pretty close. They’re pretty close. It’s just that they have got to get it done. They’ll get it
DR DUANE SANDS done, I’m sure. They’ve got too far now.” Pike Electrical is supplying the manpower, materials and expertise to upgrade Bahamas
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Foreign vessel accused of ‘dozen’ illegal charters By ANNELIA NIXON Tribune Business Reporter anixon@tribunemedia.net AUTHORITIES yesterday said they hope the arrest of a vessel and its occupants accused of conducting at least “a dozen” illegal charters will deter other violators from abusing Bahamian waters. The Ministry of Agriculture and Marine Resources added that the January 27 detention of ‘Highly Migratory’, and the three Americans on board, with the help of WildAid and other Bahamian government agencies had resulted on the Florida trio being
arraigned in the Eight Mile Rock magistrate’s court on January 30 for violating Bahamian fisheries law and criminal offenses under the Firearms Act. Gregory Bethel, director of marine resources, said there was evidence showing that the same crew and vessel have conducted similar operations more than a dozen times in this country’s waters while illegally and directly competing with Bahamians “Three of the defendants are Americans from Florida,” Mr Bethel said. “And as was indicated earlier, it was a covert operation
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DPM touts $1.25bn cruise tourism effect By FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net CRUISE tourism injects around $1.25bn into the Bahamian economy annually, the deputy prime minister estimated yesterday, and accounts for just over one-fifth of total visitor spending. Chester Cooper, also minister of tourism, investments and aviation, hailed a “record breaking” 2024 with total arrivals up yearover-year by almost 17
percent at 11.22m thanks largely to the increasing volume of cruise visitors. He added that The Bahamas is seeing an “uptick” in visitor spend, with cruise passenger expenditure standing at $130 on average and stopover guests averaging $2,800 per visit. There had also been an increase in average daily room rates (ADRs charged by hotels, a key indicator of visitor demand and spending strength.
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