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WEDNESDAY, JULY 17, 2019

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MICHAEL SCOTT

Tourism chief blasts drive operator’s ‘rant’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Tourism Development Corporation’s chair has blasted a dive operator’s “self-indulgent diatribe” over efforts to protect The Bahamas from a “vicious onslaught” over recent shark attacks. Michael Scott told Tribune Business that he took “a very negative view” of suggestions by Stuart Cove, principal of Stuart Cove’s Dive Bahamas, that he and other industry operators had been “thrown under the bus” by the government’s “knee-jerk response” to the fatality off Rose Island and other incidents. Suggesting that Mr Cove was “assuming the mantle of victim”, Mr Scott said the Tourism Development Corporation (TDC) had merely been doing its job by acting as “a bridge” between the dive and water sports industry, government regulators and other stakeholders to determine if any safetyrelated improvements were necessary following recent events. Besides seeking to “maintain the highest standards” in the sector, he added that the July 4 meeting convened by the TDC was a critical element in efforts “to ward off and neutralise these unfair media attacks” stemming from shark attack that killed 21 year-old California resident, Jordan Lindsey. Mr Scott said The Bahamas “needs to protect itself from the vicious onslaught” by US social and mainstream media, which he accused of spreading “inaccurate information” and ignoring the far greater number of shark-related incidents that occur annually off their country’s east and west coasts. Mr Cove, in an interview with Tribune Business on Monday, argued that it was unnecessary to summon himself and the Bahamas Dive Association’s (BDA) other 34 members to the meeting because they already had standards and procedures in place to respond to shark bites and attacks. Arguing that his company had overseen “a million encounters” between sharks and visitors over the last 40 years without any problems occurring, Mr Cove said he and other operators were effectively deemed ‘guilty by association’ even though they had nothing to do with the attack that killed Ms Lindsay and were miles away from that location.

SEE PAGE 6

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Govt urged: Reclaim BTC for Bahamians By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

RADE union leaders yesterday urged the government “to part ways” with the Bahamas Telecommunications Company’s (BTC) controlling owner after its top executive “insulted” the company’s workforce. Bernard Evans, the National Congress of Trade Unions (NCTU) president, called on the Minnis administration to “cut our losses” and reclaim 100 percent Bahamian ownership after the head of its ultimate parent company questioned the productivity and work ethic of BTC staff. Branding BTC’s eight years under Cable & Wireless Communications (CWC) as “a total catastrophe”, Mr Evans told Tribune Business that the carrier’s status as the worstperforming entity within the Liberty Latin America (LiLAC) group was a “reflection” on its controlling shareholder rather than Bahamian workers. Alleging that the International Telecommunications Union (ITU) had ranked BTC as the “third best performer” in the Western Hemisphere prior to its 2011 privatisation, behind only carriers in the US and Canada, he said the only reason for its decline could be the “failed” management and policies of CWC and LiLAC. The latter acquired CWC after BTC’s sale. Mr Evans, the former Bahamas Communications and Public Officers Union (BCPOU) president, reiterated his belief that CWC had “failed in every

• Union chief: ‘Time to part ways’ with CWC/LiLAC • ‘Cut losses’ as privatisation ‘total catastrophe’ • LiLAC chief unites politicians in condemnation

BERNARD EVANS

BALAN NAIR

BTC HEADQUARTERS aspect” when it came to meeting their pre-privatisation promises to the former Ingraham administration about growing the company. Suggesting that they had only succeeded in “sucking the life out of BTC” by continual cost-cutting and slashing the workforce’s size, the trade union leader added that both CWC and LiLAC had neglected to properly prepare the carrier for competition and the loss of its lucrative mobile monopoly that, at one point, accounted for 75 percent of its revenues. Mr Evans said the

government should now seize on the controversy sparked by a widely-circulated video of LiLAC’s group chief executive, Balan Nair, suggesting there was a “night and day difference” between the “attitude” of Bahamian employees and that of their Jamaican counterparts to seek an alternative partner or ownership structure for BTC. “Maybe the time has come to part ways, cut our losses and see how we can get it back. Maybe it’s time to give us back BTC and let us run it because we were successful prior to the sale,”

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Multi-billion pension deficit ‘high priority, not top’ for govt By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

the NCTU president told Tribune Business. “This has been a total catastrophe. It could not have been what the former prime minister [Hubert Ingraham] and the former chairman [Julian Francis] envisaged, not in their wildest dreams.” Mr Francis, who headed BTC’s Board at the time of privatisation, has previously spoken out about CWC’s failure to grow and improve the company subsequently. LiLAC/CWC have never given any indication of plans to exit BTC, and replacing them would require finding another partner with the international scale and expertise to cope with a rapidly evolving communications market and increasing competition. However, the loss of BTC’s mobile monopoly in November 2016 means that the $210m value placed on CWC’s then-51 percent stake at the time of privatisation will have shrunk appreciably, potentially placing it within range of Bahamian investor groups with the ability to raise the necessary capital and hire a management partner. The Ingraham administration had also planned for the government to gradually exit its BTC ownership via a series of share sales that the market could bear. The flotation of an initial nine percent equity stake, worth around $40m, was mulled but then abandoned

THE deputy prime minister says resolving the government’s own looming multi-billion dollar pension crisis “is certainly a high priority but not top of the list”. KP Turnquest, in a recent interview with Tribune Business, said the Minnis administration was in the process of hiring consultants who would determine “the way forward” for reforming public sector pensions and how to tackle existing liabilities. “We have gone out for a request for proposal on a project to look at this whole issue of pensions again,” he disclosed. “That should be back shortly and, once we’ve done the evaluation on this, we will finalise that and come back with a definitive position on the way forward to reforming public pensions in the future and how to deal with existing liabilities.” Mr Turnquest added: “While it’s not top of the list, it’s certainly a high priority.” He was speaking after a Central Bank survey again highlighted The Bahamas’ looming retirement crisis given that just over 25 percent of the workforce are covered at present by an existing employer-sponsored plan. And that is just the private sector. Michael Anderson, president of Fidelity Merchant Bank & Trust, told Tribune Business that the government had its own “massive problems” when it came to pensions and retirement funding given that no organised scheme currently exists for the civil service.

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Abaco port inspection failure ‘not an option’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net AN ABACO MP last night voiced optimism that the island’s main port will pass its “make or break” inspection today, and added that failure “is quite simply not an option”. James Albury, pictured, who is also the Abaco parliamentary secretary in the Prime Minister’s Office, told Tribune Business he was “confident” based on what he had seen and reports received that the Marsh Harbour port will now meet international security standards. He added that the Port Department in Abaco was now working with shipping industry stakeholders to develop a “funding mechanism”, based on a fee levied

• MP ‘confident’ of March Harbour pass today • Stakeholders working on upkeep financing • ‘Not the first time port has had a scare’

on users, that will ensure Marsh Harbour has sufficient maintenance financing such that its status as an international port of entry will never be in jeopardy again.

Mr Albury admitted that this was “not the first time the port has had a scare”, and said its compliance problems had been “going on for a long time” due to the absence of a consistent revenue stream to underpin essential upgrades. Speaking after Tribune Business revealed that a failed inspection today will result in the Marsh Harbour port’s closure, and derail the island’s economy by halting virtually all cargo trade with the US, the south Abaco MP said both himself, the Port Department and industry stakeholders were “comfortable” the

facility now meets global requirements. “There was the mock or preliminary inspection that took place, which raised a number of items of concern,” Mr Albury said of the June 18 examination. “A list of action items was developed, a lot of them procedural in nature. “There were some procedural changes that needed to happen, as well as physical infrastructure concerns. Since I’ve been aware of that mock inspection and what we were facing, I’ve been working with the Port Controller and a few other stakeholders in the Abaco

port to come up with a list of things that needed to be done. “Essentially, from everything I’ve gotten from speaking to people in both the Port Department and local stakeholders in the Marsh Harbour port, I’m at the point where both they and myself feel comfortable it’s ready to proceed. Everyone is feeling very confident about keeping the international clearance.” Asked about the consequences for Abaco if the unthinkable happened, Mr Albury told Tribune Business: “If it did shut down it couldn’t be for very long. It’s not feasible at this point to not have an international shipping port in Abaco. It’s too important for the local economy and needs of local

SEE PAGE 7

PAGE 2, Wednesday, July 17, 2019

THE TRIBUNE

Bahamian to address safe gaming seminar A BAHAMIAN compliance professional is joining the speaker lineup for the 33rd National Conference on Gambling Addiction and Responsible Gambling. Cheryl Bazard, pictured, principal of Bazard and Company, will address the premier educational and networking event for problem gambling and responsible gambling professionals in the US. The event, which is being held under the title Educate. Innovate. Engage, is expected to attract some 600 gaming prevention, education, treatment, research and regulation specialists, as well as members of the recovery community, when it is held from July 19-20. Mrs Bazard will present during the Gaming and Responsible Gambling in The Caribbean session. She will be joined by Kleo Papas of GovRisk London; Gino Campbell, chief executive of Curacao’s Stichting Gaming Control Board; and Alan Pedley of

Governance Associates in Australia. Mrs Bazard will give a general overview of casino and web shop gaming in The Bahamas, and also speak on the 2014 legislative changes that brought the domestic sector into a regulated environment. “Given the possibility of addiction in gambling, I will also speak to the provisions outlined in the legislation as well as the efforts made by private and governmental entities to ensure that the necessary assistance and expertise is available to those plagued with addictions,” said Mrs Bazard, whose law firm specialises in compliance and anti-money laundering issues. The conference will also discuss topics including responsible gambling regulation; military and gambling; prevention; treatment and recovery; and community. “I’m intrigued by the spirit of the conference. I’m hoping to hear new information from recognised

experts as well as up and comers. Learning from the experiences of others might ultimately prove useful to The Bahamas as we navigate our fast-growing, dynamic, gaming landscape,” said Mrs Bazard. “It is a pleasure to have been asked to provide genuine insight about the gaming environment in The Bahamas to such a diverse and distinguished gathering. It speaks to the high level of interest in the jurisdiction. I am excited to share.” Mrs Bazard is thought to be the first Bahamian to complete the specialist certificate in money laundering risks in betting and gaming course from the London-based International Compliance Association (ICA). She is the founder and president of the Bahama Association of Compliance Officers (BACO), which since 1999 has helped safeguard the financial services sector’s reputation by enhancing members’ knowledge and skills in regulatory compliance, risk assessment and financial crime prevention.

GOOMBAY STRIKES HARBOUR ISLAND RESIDENTS and visitors to Harbour Island were able to celebrate all things Bahamian at the Ministry of Tourism’s annual Goombay Summer Festival from July 5-7. Working with industry partners in Long Island to extend festivities that began with the American Independence celebrations, Ministry of Tourism representatives showcased Bahamian music, food and culture in an effort to show what Harbour Island has to offer. “The event has grown exponentially in Harbour Island,” said the Ministry of Tourism’s Harbour Island manager, June Dean. “Last year we attracted more than 400 visitors and we expect to double those numbers this year.” The Goombay Summer Festival highlights cultural delights such as traditional Goombay Dancers, Ring Play, Rake n’ Scrape Bands, Limbo and Fire Dancers, food demonstrations, Androsia Fashion, a Kids’ Corner, Magic Man, Face Painters, People to People Booth, a Junkanoo Rush Out and live concert featuring popular local performers. “Highlighting elements of Bahamian culture is always cause for celebration, and

FESTIVAL goers shopping and enjoying themselves.

KIEASHA Poitier puts on a blazing performance for guests. this festival is no exception to that,” said Rissie Demeritte, the Ministry of Tourism’s senior manager of communications. “It gives Bahamians a reason to come together and allows for visitors to indulge in elements that make the Bahamian culture truly unique.” Goombay Summer Festival will be held throughout

various islands, including the Berry Islands, San Salvador and Bimini, from now until August 31.

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Lennox Paton ranked top for Offshore Trusts in The Bahamas Lennox Paton has been awarded a Band 1 ranking in the latest Chambers High-Net-Worth Guide 2019. Chambers HNW is a publication specifically aimed at the international private wealth market, and ranks the top lawyers, law firms and other professional advisers to HNW and UHNW clients around the world. This has been an exciting year for Lennox Paton who have achieved top rankings in over six legal directories. Senior Partner Brian Simms QC commented: “We are delighted at our Band 1 ranking in the new guide. It comes at a time when we are about to strengthen our offshore trusts team even further with the arrival of former Judge of the Caribbean Court of Justice and world-renowned trust academic, Mr. David Hayton, as a Consultant with our firm.”

Chambers HNW Commented: ‘Lennox Paton is a “top firm,” say market insiders. “They have lots of good clients on their books and are one of the most clear and insightful teams in terms of their advice and the solutions they can offer the clients.” The team assists private and institutional clients with a broad range of trust matters. Its expertise also includes handling complex cross-border estate planning matters involving Europe, the USA and the Far East.’ “They are a top Bahamian firm and one of the few who do really good work for private clients,” say sources. “They are very good and have a number of sophisticated and intelligent lawyers,” adds one interviewee, and another comments that “technically they are very good and are responsive to clients’ needs.”

Attorneys ranked in this year’s guide: Brian Simms QC (Band 1), Brian Simms is “one of the strongest players out there,” says a London barrister, describing Simms as a “forceful advocate.” One of Simms’ peers says: “He is rightly seen as one of the leading counsel. He is very knowledgeable and clearly loves the law, which is great because he’s looking for innovative solutions. He is very user-friendly, responsive and a pleasure to work with.” Another comments: “He is a very strong litigator and one of the best lawyers for contested matters. He can handle trust disputes very well.” Market insiders further note that “his appreciation of the commercial realities is impeccable and he can balance those with the theoretical legal rights.” Michael Paton (Band 1), Michael Paton is “certainly one of the best

lawyers in the Bahamas,” notes a fellow practitioner, adding: “The market holds him in the highest regard.” A market insider says Paton is “extremely knowledgeable and has a wide breadth of experience. He has a high-level legal expertise but always understands the bottom line from a commercial perspective.” Peers particularly comment: “He will have a real following in the market, and both clients and onshore lawyers will turn to him for Bahamas-related advice. He is very good, especially for investment funds and the financial aspects of trusts.”

Arthur Seligman (Band 2), Arthur Seligman head of the firm’s trust

and foundations group, is a “very sophisticated lawyer and well connected within trust and banking industry,” says a peer, adding: “He has great judgement, is very reliable and deals with everything in a way that the client is always happy.” Market insiders also note that “he is very good on the legal side - he is excellent at drafting, you can rely on him for a lot of documentation,” further commenting: “He is really reliable, very responsive to clients’ needs and a safe pair of hands.”

THE TRIBUNE

Wednesday, July 17, 2019, PAGE 3

PM PROMISES ON SMALL BUSINESS CAPITAL ACCESS THE prime minister has pledged the government’s commitment to ensuring smaller companies have access to capital as a means of economic empowerment. Addressing the Former Hospitality Professionals Awards Banquet, which honoured tourism pioneers for their achievements, Dr Hubert Minnis said: “Just as many of you worked through the tourism sector, we need to create opportunities for more young Bahamians to take greater advantage of the tremendous possibilities in the sector.” The prime minister, who serves as the quasi-Cabinet member for tourism within the Caribbean Community (CARICOM), added: “In this capacity I am pushing for more small businesses and entrepreneurs to become bigger players in the tourism sector.” The recent CARICOM Heads of Government produced calls for member states to develop more sustainable, resilient, inclusive and equitable development. “I noted that this will require that government find ways to empower its people by improving access to capital and assets,” Dr Minnis said. “I told them that The Bahamas is on the right track when it comes to providing free education at the tertiary level, but that we must find a way for smaller companies to access more opportunities to grow their businesses. “So, a major focus of my government moving forward will be to ensure that smaller companies have

DPM leads Bahamas team at IDB meeting K Peter Turnquest, the deputy prime minister; Marlon Johnson, the Ministry of Finance’s financial secretary; Cherran O’Brien, deputy financial secretary; and Ministry of Finance economist, Laron Neely, are currently attending the Inter-American Development Bank’s (IDB) annual Board of Governors meeting in Guayaquil, Ecuador. Pictured at the forum are Mr Turnquest and his team - Mrs O’Brien, Mr Johnson and Mr Neely (seated behind).

our honorees.” Dr Minnis acknowledged the work of the honorees, namely Bessie Serette, Anthony Hepburn, Roslyn North, Reginald Smith, Florida Young, Chef Charles Smith, Monica Flowers, Melvin Brown,

THE FORMER Hospitality Professionals Awards Banquet evening honoured trailblazers in the tourism and hospitality industry. Pictured from left: Paulette Dean, president, Former Hospitality Professionals; George Myers, The Hospitality Lifetime Achievement award honoree; and the Prime Minister. Photos: Kristaan Ingraham/BIS

PICTURED from left: Paulette Dean, president, former hospitality professionals; Berkley Williamson, The Hospitality Lifetime Achievement Award honoree; and the Prime Minister. access to contracts that were previously held mostly by larger companies.” The prime minister, speaking amid a growing perception that contracts are being awarded to a narrow range of companies, including those in which former Cabinet minister Brent Symonette and his family have an interest, said the only way smaller

firms can grow is if they have the opportunity to bid for larger contracts. “This is necessary if our people are to advance from poverty to middle class, and to wealth,” he said. “In this spirit, I hope that the current and a new generation of Bahamians in the hospitality sector will exemplify the same quality of service, creativity and dedication as

Carlton Haven, Joe Mott, Dr Pandora McKinney Smith, Nathaniel Williams, Frederick Wallace and the late Thomas Pratt. He also recognised Berkley Williamson and George Myers, who both received The Hospitality Lifetime

Achievement Award for their contributions. “Indeed, the history of our modern tourism industry cannot be told without reference to individuals like George Myers, Berkley Williamson and so many of you,” the prime minister said.

PAGE 4, Wednesday, July 17, 2019

THE TRIBUNE

Govt urged: Reclaim BTC for Bahamians FROM PAGE ONE by the Christie administration which focused on regaining “majority Bahamian ownership”. Its

successor has yet to make clear its intentions. Mr Nair, meanwhile, seems to have performed the near-impossible feat of uniting The Bahamas’

COMMONWEALTH OF THE BAHAMAS

two major political parties through comments in widely-circulated videos that were interpreted as disparaging Bahamian workers and making jokes

2019/FAM/div/00178

IN THE SUPREME COURT Family Division BETWEEN SHUREL YVETTE TURNQUEST Petitioner AND ONEIL ODAIN SPENCE Respondent __________________________________________________________ ADVERTISEMENT OF SERVICE` OF THE PETITION AND ACCOMPANYING DOCUMENTS __________________________________________________________ TO:

ONIEL ODAIN SPENCE of Ridgland Park, Nassau, N.P., The Bahamas

TAKE NOTICE that a Petition has been presented to the Supreme Court by SHUREL YVETTE TURNQUEST against you in Family Division, Action Number 2019/FAM/div/00178 by Amended Petition filed on the 1st day of May A.D., 2019 seeking the following orders: 1. That the Court exercise its discretion and dissolve the marriage. 2. That a declaration be made pursuant to Section 73(1)(b) of Chapter 125 of the Statute Laws of the Commonwealth of The Bahamas. 3. Maintenance of the children of the marriage. 4. Further and/or other relief as the Court deems fit. 5. Costs. TAKE FURTHER NOTICE that upon application by Counsel for the Petitioner on the 24th day of June A.D., 2019 it was Ordered by the Honourable Madam Justice Ruth BoweDarville that the service of the aforesaid Petition (and the Notice of Petition, Memorandum of Appearance in Duplicate and Acknowledgement of Service) in the said action be effected on you by way of this advertisement. The said Amended Petition and accompanying documents can be collected from the Chambers of Murrio D. Ducille &, Counsel for the Petitioner as set out below.

AND FURTHER TAKE NOTICE that you must within fourteen (14) days from the publication of this advertisement, inclusive of the day of such publication enter an appearance in this action. If you do not intend to answer the charges, nor to be heard on the other claims made in the Petition, and if you do not wish to make any application on your own account, you need not do anything more than send the Form of Acknowledgment of Service to the above address. The Court may then, without further notice to you proceed to hear the Petition and pronounce judgment, notwithstanding your absence. MURRIO D. DUCILLE & CO. Suite 9, Bayparl Building #18 Parliament Street Nassau, N.P., The Bahamas Attorneys for the Petitioner

at the Prime Minister’s expense. Fred Mitchell, the PLP chairman, came out in support of both Bahamian workers and the prime minister. Garry Sinclair, BTC’s chief executive, yesterday attempted to calm the controversy sparked by Mr Nair’s comments last week to employees of LiLAC’s and CWC’s Jamaican subsidiary. “To be clear, no fire has been started,” he argued in a statement. “The statements were taken out of context and do not convey the full essence of the message that was delivered.” The video clips, which have been studied by Tribune Business, cast doubt on Mr Sinclair’s assertion that the remarks were “taken out of context”. Mr Nair clearly put the prime minister at the centre of a joke, alleging that Dr Hubert Minnis was unable to “make eye contact” with Mr Sinclair when he called for “more Bahamians” to be placed in higher posts within BTC during their meeting last week. After repeatedly saying “I agree” when asked by a Flow Jamaica worker whether the company’s strong performance merited more Jamaicans being placed in senior positions elsewhere in the LiLAC group, Mr Nair then responded: “It is so funny. Garry and I, and a few others, were meeting with the Prime Minister of The Bahamas on Monday”. After pointing out Mr Sinclair, and describing him as a “crown jewel”, Mr Nair added: “BTC is run by a Jamaican. We’re sitting right across from him [Dr Minnis]. He’s like; he brought up more than once: ‘We need more Bahamians’ and he’s not trying to make eye contact with Garry.” This brought laughter and approval from Flow Jamaica staff, with Mr Nair going on to describe them as “awesome” and their unit as the “best performing operation in all of Latin America”. He then joked: “If you go to any of our other operations like The Bahamas or somewhere else they’re not going to like you very much. That’s the

only downside. “What are they drinking in Jamaica? They can do things nobody else can do. We were just in The Bahamas on Monday and Tuesday. It’s like a night and day difference. My biggest wish is one day they would say: ‘We can be like Jamaica. We can do what they’ve done in this country.... “The people in The Bahamas are no different from the people in Jamaica. It’s all about attitude. If you feel like you can win, you will win.” Mr Nair said Mr Sinclair had been appointed as BTC’s chief executive to achieve the same kind of turnaround enjoyed in Jamaica, adding that “when he does it there this company will be on an even higher rocket ship”. Mr Sinclair’s assertion that “BTC maintains a good working relationship with the Government of The Bahamas, and will continue to work together to drive economic growth” looked extremely optimistic last night after the Minnis administration’s blistering response to Mr Nair’s comments. Pakesia Parker-Edgecombe, parliamentary secretary in the Prime Minister’s Office with responsibility for communications, branded the remarks as “distasteful and insulting”, and suggested the LiLAC chief had revealed “a troubling mindset and extraordinarily poor judgment”. She blasted: “Mr Nair insulted the prime minister, Bahamian workers and the Bahamian people. In any context, the comments are unacceptable and extraordinarily inappropriate.” However, the LiLAC chief’s comments are not necessarily new, as Tribune Business reported on May 9 this year how he had branded BTC as the group’s “most inefficient” performer. Still, Mrs Parker-Edgecombe’s comments indicate that the controversy has inflicted significant damage on the government’s relationship with CWC/LiLAC. It is unclear yet what impact this will have at BTC, given that the two sides sit around the board table as the carrier’s two major shareholders, with CWC/LiLAC enjoying both board and management control. While Mr Nair’s comments were likely not meant for Bahamian consumption, being intended to galvanise Jamaican employees, the growing backlash could not have erupted at a worse time for LiLAC, CWC or BTC given the continuing fragile state of labour relations at the Bahamian carrier. Mr Sinclair has repeatedly touted improved benefits, and the completion of an industrial deal with the BCPOU. Negotiations on a new agreement with the management

union are also said to be taking place, but Mr Nair’s comments now pose a potential threat to industrial harmony and BTC’s enjoyment of a smooth operating environment. Mr Evans yesterday told Tribune Business that “the staff are not taking it too well”, with Mr Nair’s remarks “reverberating” around BTC’s JFK Drive headquarters. He added that the LiLAC chief “doesn’t understand the history”, pointing to the fact that its Jamaican unit had been forever owned by CWC while BTC had only been in its control for eight years. With BTC and The Bahamas ranked third in the region by the ITU prior to privatisation, Mr Evans argued: “After we had the change in ownership, board control and management, the performance of BTC is not the staff. The performance of BTC is directly a reflection of the management and policies put in place by CWC. “It’s not due to the attitude and productivity of the workers. The fall in BTC’s performance to worst performer is primarily due to the management, policies, direction and lack of investment by CWC and LiLAC... The only common denominator is board and management control of BTC. “They [CWC] have not delivered on what they said they would do. They have not lived up to their promises. They have failed in every aspect. The former prime minister, Hubert Ingraham, and ex-chairman, Julian Francis, both of them have said they are disappointed,” Mr Evans continued. “They only want to recognise savings to satisfy their shareholders by cutting costs and staff, and benefits and wages. The statements made are sad but it is not due to the productivity of the staff. The staff continue to bend over backwards. They’ve just sucked the like out of BTC and are now saying it’s the lowest performer, but it’s a direct result of their policies and strategies.” Mr Evans said CWC and Lilac had failed to prepare BTC for competition, and had “taken the power away from Bahamians” to make decisions when they were best suited to respond to customer needs and demand trends. He accused them of taking “a plug and play” business model from elsewhere in the region and imposing it in The Bahamas, not realising it was ill-suited to the “different culture” in this nation.

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THE TRIBUNE

Wednesday, July 17, 2019, PAGE 5

Multi-billion pension deficit ‘high priority, not top’ for govt

FROM PAGE ONE The International Monetary Fund (IMF) has for several years, with increasing urgency, been prodding the government to address the multi-billion dollar liability it and Bahamian taxpayers face as a result of unfunded civil service pension liabilities. Previous research by the KPMG accounting firm suggests this unfunded liability is now likely to be approaching $2bn, with the 2018-2019 budget showing that the government is currently allocating between $95m to $100m each year to finance civil service pensions during the three fiscal years to 2020-2021. The IMF, in its Article IV report last year, agreed that the current system - where civil servants contribute nothing to funding their retirement - is “unsustainable”. It added: “Staff analysis in the 2016 Article IV Staff report noted that accrued government pension liabilities totaled $1.5bn in 2012, and would rise to $3.7bn by 2030 as the population ages.” The IMF called for reforms that involve “moving to a contributory regime in the near term, and to a definedcontribution scheme in the medium-term”. This would require civil servants

public work force) receive pension payments from the budget that, on average, stood at one percent of GDP and 7.3 percent of tax revenue per year in 1994–2014. “The accrued pension liabilities [will total] $1.5bn

KP TURNQUEST to contribute a portion of their salary to funding their retirement, rather than having this financed 100 percent by the taxpayer through the budget - as is done currently. Tribune Business also possesses a presentation delivered by the KPMG accounting firm in 2013, the early years of the Christie administration, which provided options for how the government could arrest a growing liability that threatens to burden future Bahamian generations. KPMG estimated the unfunded, ‘pay-as-you-go’, civil service pension liabilities then at around $1.5bn. These liabilities were set to increase to $2.5bn by 2022, and $4.1bn by 2032, unless reforms are enacted. The IMF, for its part, said in 2016: “Government pensioners (15 percent of the

LEGAL NOTICE NOTICE

KARLTON LIMITED Incorporated under the International Business Companies Act, 2000 of the Commonwealth of The Bahamas. Registration Number 91911(B) (Dissolved)

Notice is hereby given that the above-named Company was dissolved and was struck from the Register of Companies on the 17th day of October, 2018. Dated this 17th day of July, 2019. ______________________________ NICOLA MARGUERITE HODGE Liquidator LEGAL NOTICE NOTICE

GLOBAL CONSULTANTS LIMITED Incorporated under the International Business Companies Act, 2000 of the Commonwealth of The Bahamas. Registration Number 152 (B) (Dissolved)

Notice is hereby given that the above-named Company was dissolved and was struck from the Register of Companies on the 5th day of September, 2018. Dated this 17th day of July, 2019. ______________________________ DANIEL HAINSWORTH Liquidator

in 2021 (17.9 percent of GDP). Pension payments and liabilities are projected to reach $230m (1.5 percent of GDP) and $3.7bn (24 percent of GDP), respectively, by 2030.” Its 2018 Article IV report projects a $2.2bn

increase in these unfunded liabilities over the 18 years to 2030, which translates into an average increase of $122m per year. The focus on the civil service pensions also fails to include the multi-million dollar deficits in existing

schemes at state-owned enterprises such as Bahamas Power & Light (BPL) and the Water & Sewerage Corporations, where staff pay little to nothing and the contribution burden falls entirely on the lossmaking companies.

PAGE 6, Wednesday, July 17, 2019

THE TRIBUNE

Tourism chief blasts drive operator’s ‘rant’ FROM PAGE ONE Defending his agency, Mr Scott told Tribune Business: “As chairman of the Tourism Development Corporation I read with

absolute dismay and alarm the unfiltered and misguided rant of Stuart Cove in which he unleashed a torrent of grievances and then levelled criticism of the TDC in which, from my perspective,

he inveighed against the TDC as throwing his company under the bus. “I regret very much having to say that is inaccurate and untrue. Mr Cove was not summoned

anywhere by anyone. Mr Cove wrote to our executive director, Janet Johnson, asking to be included in a multi-party conclave that was being convened by Janet to investigate the

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ALL SHARE INDEX: CLOSE: 2,174.89 | CHG: -0.08 | %CHG: 0.00 | YTD: 65.44 | YTD%: 3.10 BISX LISTED & TRADED SECURITIES 52WK HI 4.50 20.91 7.00 5.60 2.60 2.00 3.00 11.05 6.17 4.64 12.50 2.74 2.20 9.51 7.01 15.60 8.00 3.75 14.00

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SECURITY AML Foods Limited APD Limited Bahamas Property Fund Bahamas Waste Bank of Bahamas Benchmark Cable Bahamas CIBC FirstCaribbean Bank Colina Holdings Commonwealth Bank Commonwealth Brewery Consolidated Water BDRs Doctor's Hospital Emera Incorporated Famguard Fidelity Bank Finco Focol J. S. Johnson Cable Bahamas Series 6 Cable Bahamas Series 8 Cable Bahamas Series 9 Cable Bahamas Series 10 Colina Holdings Class A Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Fidelity Bank Class A Focol Class B

SYMBOL AML APD BPF BWL BOB BBL CAB CIB CHL CBL CBB CWCB DHS EMAB FAM FBB FIN FCL JSJ

E J K L M N

CORPORATE DEBT - (percentage pricing) 52WK HI 100.00

52WK LOW 100.00

115.92 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

104.79 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

CAB6 CAB8 CAB9 CAB10 CHLA CBLE CBLJ CBLK CBLL CBLM CBLN FBBA FCLB

SECURITY Fidelity Bank Note 22 (Series B) +

SYMBOL FBB22

Bahamas Note 6.95 (2029) BGS: 2015-1-3Y BGS: 2014-12-5Y BGS: 2015-1-5Y BGS: 2014-12-7Y BGS: 2015-1-7Y BGS: 2014-12-30Y BGS: 2015-1-30Y BGS: 2015-6-3Y BGS: 2015-6-5Y BGS: 2015-6-7Y BGS: 2015-6-30Y BGS: 2015-10-3Y BGS: 2015-10-5Y BGS: 2015-10-7Y

BAH29 BG0203 BG0105 BG0205 BG0107 BG0207 BG0130 BG0230 BG0303 BG0305 BG0307 BG0330 BG0403 BG0405 BG0407

BAHAMAS GOVERNMENT STOCK - (percentage pricing)

LAST CLOSE 4.24 17.43 6.00 5.39 2.51 1.95 2.18 11.05 6.16 4.49 9.02 2.81 2.20 10.17 7.00 15.45 7.98 3.41 14.00

CLOSE 4.24 17.43 6.00 5.39 2.51 1.95 2.18 11.05 6.16 4.49 9.02 2.82 2.20 10.06 7.00 15.45 7.98 3.41 14.00

CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.01 0.00 -0.11 0.00 0.00 0.00 0.00 0.00

1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.00 100.00 100.00 100.00 10.00 1.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

CLOSE 100.00

CHANGE 0.00

107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

LAST SALE 100.00 107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

VOLUME

300 1,100

500

VOLUME

EPS$ 0.240 0.932 1.760 0.323 0.098 0.000 -0.438 0.708 0.480 0.184 0.627 0.102 0.467 0.000 0.611 0.743 0.939 0.203 0.631

DIV$ 0.160 1.260 0.000 0.250 0.000 0.020 0.000 0.720 0.220 0.120 0.000 0.068 0.060 0.328 0.240 0.540 0.200 0.120 0.600

P/E 17.7 18.7 N/M 16.7 N/M N/M -5.0 15.6 12.8 24.4 14.4 27.6 4.7 N/M 11.5 20.8 8.5 16.8 22.2

YIELD 3.77% 7.23% 0.00% 4.64% 0.00% 1.03% 0.00% 6.52% 3.57% 2.67% 0.00% 2.41% 2.73% 3.26% 3.43% 3.50% 2.51% 3.52% 4.29%

0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000

0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

0.00% 0.00% 0.00% 0.00% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 7.00% 6.50%

INTEREST Prime + 1.75%

MATURITY 19-Oct-2022

6.95% 4.00% 4.25% 4.25% 4.50% 4.50% 6.25% 6.25% 4.00% 4.25% 4.50% 6.25% 3.50% 3.88% 4.25%

20-Nov-2029 30-Jul-2018 16-Dec-2019 30-Jul-2020 15-Dec-2021 30-Jul-2022 15-Dec-2044 30-Jul-2045 26-Jun-2018 26-Jun-2020 26-Jun-2022 26-Jun-2045 15-Oct-2018 15-Oct-2020 15-Oct-2022

YTD%12 MTH% 1.55% 3.97% 1.18% 4.17% 1.11% 2.71% 2.06% 4.97% 4.52% 0.96% 1.57% 4.58% 0.99% 4.25% 1.32% 4.12% 3.22% 5.64% 2.50% 6.46% 2.79% 8.14% 2.12% 4.69% 5.00% -3.39% 3.04% 3.32% 2.48% 3.55% -0.71% 0.16% 7.40% 2.70% 10.20% 1.30%

NAV Date 31-May-2019 31-May-2019 31-May-2019 31-Mar-2019 31-Mar-2019 30-Apr-2019 30-Apr-2019 30-Apr-2019 30-Apr-2019 31-May-2019 31-May-2019 31-May-2019 31-May-2019 31-May-2019 31-May-2019 30-Mar-2019 30-Mar-2019 30-Mar-2019

MUTUAL FUNDS 52WK HI 2.24 4.29 2.06 188.32 158.55 1.62 1.76 1.70 1.15 7.66 8.96 6.74 11.83 12.04 10.63 10.00 8.69 11.79

52WK LOW 1.67 3.04 1.68 164.74 116.70 1.56 1.68 1.64 1.08 6.41 7.62 5.66 8.65 10.54 9.57 9.88 8.45 11.20

FUND CFAL Bond Fund CFAL Balanced Fund CFAL Money Market Fund CFAL Global Bond Fund CFAL Global Equity Fund FG Financial Preferred Income Fund FG Financial Growth Fund FG Financial Diversified Fund FG Financial Global USD Bond Fund Royal Fidelity Bahamas Opportunities Fund - Secured Balanced Fund Royal Fidelity Bahamas Opportunities Fund - Targeted Equity Fund Royal Fidelity Bahamas Opportunities Fund - Prime Income Fund Royal Fidelity Int'l Fund - Equities Sub Fund Royal Fidelity Int'l Fund - High Yield Fund Royal Fidelity Int'l Fund - Alternative Strategies Fund Colonial Bahamas Fund Class D Colonial Bahamas Fund Class E Colonial Bahamas Fund Class F

NAV 2.24 4.29 2.06 188.32 154.49 1.62 1.76 1.70 1.15 7.66 8.89 6.74 10.89 12.04 10.63 9.92 8.68 11.38

MARKET TERMS BISX ALL SHARE INDEX - 19 Dec 02 = 1,000.00 52wk-Hi - Highest closing price in last 52 weeks 52wk-Low - Lowest closing price in last 52 weeks Previous Close - Previous day's weighted price for daily volume Today's Close - Current day's weighted price for daily volume Change - Change in closing price from day to day Daily Vol. - Number of total shares traded today DIV $ - Dividends per share paid in the last 12 months P/E - Closing price divided by the last 12 month earnings

also how it can be better regulated and government agencies play a greater, and more proactive, part,” Mr Scott continued. “This is important because The Bahamas has been the object of an onslaught from US media groups and social media. We need to protect ourselves from this vicious onslaught which dishonestly seeks to target is and depict us unfairly as a jurisdiction.” Mr Scott argued that the US coverage of Mr Lindsay’s death and other shark-related incidents in The Bahamas ignored the “significant amount of attacks” that took place off that nation’s east and west coast, especially “between Daytona Beach and Miami”, resulting in an “inaccurate” portrayal of the dangers. “That was the point behind the July 4 conclave,” he added. “It’s in our collective interest as a country, agencies and industry participants to not only work together but there’s always room for improvement and maintaining the highest standards in the industry, as well as warding off and neutralising these unfair media attacks. “It’s important we don’t have misinformation out there that wrongly projects what we were trying to do, how we view our role and the overriding objective for everyone involved in this tourism industry and business.”

NOTICE

MARKET REPORT TUESDAY, 16 JULY 2019

underlying circumstances behind the Jordan Lindsay shark encounter as well as these other recent attacks.” Mr Scott indicated that the corporation’s role had been misunderstood, explaining that its function is to act as a “liaison” with domestic tourism operators - including dive and water sports entities - and form a “bridge” between the private sector, government agencies and regulators, and non-governmental organisations (NGOs). “It was against that background that background and spirit that the conclave was convened to take stock of where the industry was, what could be done from a stakeholder perspective to improve delivery of these amenities, explore any room for improvement and see how we could better assist in co-ordinating with government agencies,” he added. “It was an investigatory and exploratory exercise exercise. It was not convened as a summit to point fingers and make accusations, nor was it a witch hunt against him [Mr Cove]. I take a very negative view of his self-indulgent diatribe in which he seems to assume the mantle of victim.” “I think it’s very important in the industry for the various stakeholders, including government entities, to come together to not only look at ways and means of self-improvement but

YIELD - last 12 month dividends divided by closing price Bid $ - Buying price of Colina and Fidelity Ask $ - Selling price of Colina and fidelity Last Price - Last traded over-the-counter price Weekly Vol. - Trading volume of the prior week EPS $ - A company's reported earnings per share for the last 12 mths NAV - Net Asset Value N/M - Not Meaningful

NOTICE is hereby given that KATHLEEN SAMON of Fox Hill Nassau ,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 twentyeight days from the 17th day of July, 2019 to the Minister responsible for Nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that ANNAKAY GEORGENIA SCULLY of 10 Kings Court, Hanna Road P.O.Box CR56226 Nassau ,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 17th day of July, 2019 to the Minister responsible for Nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas. Legal Notice

NOTICE TRITONSGATE TRUST COMPANY LTD. Notice is hereby given that the winding up and dissolution of TRITONSGATE TRUST COMPANY LTD. has been completed in accordance with the Articles of Dissolution and the Company has been struck from the Register of Companies on the 1st day of July, 2019. Aegis Corporate Services Limited Offices at Old Fort, Building Four, Western Road, P.O. Box SP-63771 Nassau, Bahamas Liquidator

THE TRIBUNE

Wednesday, July 17, 2019, PAGE 7

Abaco port inspection failure ‘not an option’ FROM PAGE ONE people. It’s, quite simply, not an option, [to have] any unnecessary stalls and shut downs.” This newspaper disclosed how US Coast Guard officials warned that cargo trade between Abaco and Florida could be shut down after the government-owned and managed port failed its International Ship and Port Security (ISPS) “mock” inspection on June 18, 2019. Captain Troy Mills, the Abaco port administrator, in a “call to action” wrote that Marsh Harbour will be “closed down unless there are some major improvements” made in time for today’s follow-up inspection by US and ISPS code overseers. His letter said: “On June 18, 2019, the ISPS coordinators for the Caribbean along with Lieutenant Commander Justin Matejka of the US coast guard performed a mock inspection of the port facility that resulted in the discovery of a breach in compliance” of both the ISPS code and International Maritime Organisation (IMO) policies. “As a result of the findings of June 18, 2019, ISPS and US coast guard officers have warned that unless there are some major improvements before the next inspection that is to take place on July 17, 2019, the port of Marsh Harbour will be closed down and ships transporting cargo between Florida and Marsh Harbour would have to discontinue their services,” Captain Mills wrote. The ISPS is a worldwide protocol that was implemented in the wake of the September 11 terror attacks. Designed to prevent a repeat of such atrocities, it mandated that every country upgrade security infrastructure and procedures around its major shipping ports and the vessels that use them. Non-compliance with the code raises an immediate “red flag” that threatens loss of both commercial shipping traffic as well as other forms of business, such as cruise ships, for ports that fall into this category. Mr Albury, meanwhile, yesterday revealed that the Abaco Port Department and shipping industry stakeholders were working together to develop a permanent

funding mechanism that would finance critical port improvements and ensure the “closure” threat never resurfaces in the future. “They’re developing a steady stream of funding built into port fees to ensure the port has what it needs to maintain international standards,” he added. “They’re putting forward something they believe can work. “I don’t want to say too much but what they’re speaking about is a charge on the shipping companies. The percentage they’re speaking about, they’re confident they can do that with a fairly negligible impact on the end user as they have similar systems in other ports they do business with.” Conceding that concerns have been raised “in the past” about the Marsh Harbour port’s compliance with international standards, Mr Albury said: “The port has a history of problems. It’s definitely been a recurring issue. It’s not the first time that the port has had a scare, and it’s certainly not a brand new problem. It’s been going on for a long time. “But as far as everything I’m aware of and persons I’ve spoken to, as far as everything being in place and persons doing what they need to do, I feel comfortable with the inspection and look forward to the funding mechanism and what is ultimately proposed. As far as the inspection, I feel confident.” Mr Albury, though, was unable to provide much detail on the status of the $40m north Abaco port constructed by China Harbour and Engineering Company (CEC). He would only say that there were “still some matters at the port that the Ministry of Works wanted to be addressed before any hand over took place”. This means there is currently no immediate alternative to Marsh Harbour as a main port of entry. An inspection failure today would likely send Abaco’s economy into a tailspin if it were to occur, given that the island - much like the rest of The Bahamas - imports most of what it consumes. With its main port of entry closed, cargo freight would likely have to be sent first to Nassau before being transferred to smaller vessels such as mail boats for onward shipping to Abaco. This would result in tremendous cost and shipping time increases, with the extra expense passed on to both Abaco businesses and consumers in the absence of direct deliveries, thus undermining one of the most buoyant island economies in The Bahamas.

Legal Notice

NOTICE

Gabarit Balanced Fund No. 1 Ltd. (the “Fund”)

NOTICE IS HEREBY GIVEN as follows: (a)

Gabarit Balanced Fund No.1 Ltd. is in dissolution under the provisions of the International Business Companies Act, 2000.

(b)

The dissolution of the said Fund commenced on the 12th day of July, 2019 when its Articles of Dissolution were submitted to and registered by the Registrar General.

(c)

The Liquidator of the said Fund is Jean-Pierre Ribes of #5 Caprice, West Bay Street, Nassau, The Bahamas. Jean-Pierre Ribes Liquidator

NOTICE EXXONMOBIL EXPLORATION AND PRODUCTION ROMANIA (DOMINO DEEP) LIMITED Pursuant to the provisions of Section 138 (8) of the International Business Companies Act 2000, notice is hereby given that the above-named Company has been dissolved and struck off the Register pursuant to a Certificate of Dissolution issued by The Registrar General on the 1st day of July 2019. Dated the 17th day of July A.D., 2019. M. Pedercini Liquidator of EXXONMOBIL EXPLORATION AND PRODUCTION ROMANIA (DOMINO DEEP) LIMITED

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PAGE 8, Wednesday, July 17, 2019

THE TRIBUNE

Will Trump let Chevron stay in Venezuela? WASHINGTON Associated Press CHEVRON was nearly booted from Venezuela in 2007 during a nationalisation drive led by the late socialist President Hugo Chavez. Twelve years later, it faces a similar threat from an unlikely corner: the White House. The Trump administration is facing a July 27 deadline to renew a license granting Chevron permission to continue operating in Venezuela despite US sanctions aimed at ousting

OIL drills in Maracaibo Lake in Venezuela’s oil rich Zulia state. The Trump administration needs to decide by July 27, 2019 whether or not to allow Chevron to keep operating in Venezuela.

President Nicolás Maduro by choking off revenue from the world’s largest crude reserves. Chevron has operated in the South American country for almost a century and its four joint ventures with state-run oil monopoly PDVSA currently produce about 200,000 barrels a day. That’s about a quarter of Venezuela’s total production in June, according to the Organization of the Petroleum Exporting Countries. For Trump, it’s a dilemma. The billionaire president prides himself on being a booster of Big Oil. But he’s also taken several bold steps to oust Maduro, including imposing harsh oil sanctions, threatening military action and recognising opposition leader Juan Guaidó as Venezuela’s rightful leader. So far, the Trump administration hasn’t signaled which way it will go and its National Security Council declined to comment. But if Chevron is forced to leave, the country’s oil production, which has already plunged to its lowest level in seven decades, is likely to spiral even further downward. “It’s doubtful PDVSA would be able to sustain production at current levels given its severe financial problems,” said Justin Jacobs, an oil analyst at IHS Markit. Foreign policy analysts fear that in removing the last major American outpost in Venezuela, oil fields Chevron helps operate would wind up in the hands of US adversaries like Russia or China, both of which are staunch allies of Maduro. When the US Department of Treasury sanctioned PDVSA in January in support of Guaidó, it granted waivers to Chevron and four oil service companies — Hallburton, Schlumberger, Weatherford and Baker Hughes. Since then, the San Ramon, California-based company has been seeking to get the license extended, according to two people familiar with the company’s actions who spoke on the condition of anonymity because they weren’t authorised to discuss the matter. One of the sources said the company recently looked at renting homes for its managers in the coastal city of Puerto La Cruz, near its operations in the heavy crude Orinoco Belt, a sign that it isn’t planning to leave anytime soon. This year, Chevron has spent $2.8m on lobbying US agencies on a variety of issues, including Venezuela, according to company filings. Chevron wouldn’t say whether it wants to continue operating in Venezuela, but said it complies with all applicable laws and regulations. “As everywhere else, we take a long-term approach in our investment. We continue to stay focused on our base business operations,” said spokesman Ray Fohr. In its long run in Venezuela, Chevron has weathered bouts of turmoil before. In 2007, as rivals Exxon and Conoco fled the country and sued amid a nationalisation drive, Chevron rode alone in taking up Chavez’s offer to form a joint venture with PDVSA on what were widely seen as unfavorable terms. Thus began a close — some say overly so — relationship with Venezuela’s frequently anti-American government led by Ali Moshiri, then Chevron’s top executive for Latin America and who Chavez once called a “comrade” and “dear friend”. Over the next few years, Chevron would form a number of joint ventures that helped generate badly needed cash for Chavez and then Maduro at a time the economy was falling apart. In 2017, Moshiri, who was then retired, and a Chevron executive travelled to Caracas to meet with Maduro a few days after the Trump administration banned US banks from lending money to Venezuela’s government or PDVSA. Chevron drew heat for the meeting after the government released a photo showing the two men sitting down with

Maduro and Vice President Vice President Tareck El Aissami, who the US had sanctioned months earlier as a drug kingpin. Fohr, Chevron’s spokesman, said those meetings “comply with all applicable laws and regulations, including the US sanctions directed toward Venezuela”. The warm ties entailed huge risks. Federal prosecutors in Florida and Texas have been conducting a sweeping investigation into fraud at PDVSA that has already resulted in charges against 33 individuals, including former PDVSA employees, and 20 guilty pleas. Last year, two local Chevron executives were arrested by Venezuelan security forces and held for nearly two months amid an anti-corruption purge in the oil industry. Fohr said the two employees were released on June 6, 2018, after a favorable court ruling because “Chevron did not violate any Venezuelan law”. That incredible resilience is now one of the main arguments for allowing the company to stay. Chevron is the last major American footprint in Venezuela after several other companies — Colgate, General Motors, the Kellogg Co — have shut down in recent years, unable to cope with widespread shortages and hyperinflation that topped 130,000% last year. With the Trump administration’s decision to close its embassy in Caracas in March, the sort of on-the-ground political insight and contacts Chevron can provide, especially about the critical oil sector, is harder than ever to come by. Should the US succeed in removing Maduro, the company could also play a key role rebuilding the economy. While the four joint ventures with PDVSA currently produce about 200,000 barrels a day in total, Chevron’s net daily production at the company’s joint ventures averaged 42,000 barrels of crude oil in 2018. But some want Trump to go for the jugular. While for Chevron, the world’s seventh largest oil producer by revenue, its production in Venezuela is a drop in the bucket, for Maduro it’s a valuable lifeline. Carlos Vecchio, Guaido’s diplomatic envoy to the White House, told The Associated Press that the fate of Chevron in Venezuela “is a decision that only the US government can discuss and decide”. He refused to say which option is favored by Guaidó. But even some hardliners question how effecting kicking out Chevron would be. Pedro Burelli, a USbased consultant who was a PDVSA executive board member until 1998, said the decision about the waiver on its own is irrelevant because the Trump administration has been unable to effectively coordinate sanctions with other policies to force Maduro out. “They need to finish off the job and kicking out Chevron alone won’t generate a total collapse” of Maduro’s government, Burelli said. Meanwhile some complain Chevron is getting favorable treatment. Earlier this year, just before sanctions were imposed, a little-known US energy firm partly owned by Florida Republican donor Harry Sargeant III inked a deal with PDVSA to invest up to $500m to revitalise three oil fields. Sargeant, who met with Maduro as he negotiated the deal, said that while he complies with the US decisions he believes unilateral sanctions are rarely effective in producing regime change. He insists that what he calls an “America Last” policy will likely open space for less scrupulous Russian and Chinese companies that will harm US interests in the region as well as the Venezuelan people. “The Russians, in particular, may seek a strategy of producing enough oil to help maintain the regime but not enough to depress artificially-high oil prices or stem the humanitarian crisis,” Sargeant told the AP.