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FRIDAY, NOVEMBER 10, 2017
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Port of Nassau needs ‘over $100m infusion’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
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anagement of the Bahamas’ main cruise port will be put out to bid by mid-December, with the facility needing “a substantial capital infusion in excess of $100 million”. Dionisio D’Aguilar, minister of tourism, confirmed to Tribune Business this week that the Government intends to issue a Request for Proposal (RFP) seeking private port operators to take over Prince George Wharf. Reiterating the Minnis administration’s belief that the port’s operation/ management was best left to the private sector, Mr D’Aguilar said significant
* Gov’t to seek management bids by mid-December * ‘Substantial upgrade’ to remain top cruise port * Bahamian involvement deemed essential
investment was required for Nassau “to remain a major port destination in the Caribbean”. With the cruise lines “complaining incessantly” about Prince George Wharf’s appearance and condition, the Minister added that “the status quo is not acceptable” as the Bahamas was failing to maximise the economic benefits from the annual four million-plus cruise passengers that pass through it. Mr D’Aguilar, emphasised, though, that the Government wanted
Bahamian involvement in any winning bid, and that it must facilitate entrepreneurial opportunities for locals to “spread the wealth”. “We have to go through an RFP, and we’re in the process of developing that,” he told Tribune Business. “It’s very much in the preliminary stages, and I’ve been told never to set deadlines in the public sector, but hopefully by the middle of next month we will have it complete, prepared and issued. DIONISIO D’AGUILAR
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Ice cream firm is ‘licked’ over unfair dismissal By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net A Lickety Split employee, whose husband conducted a year-long harassment campaign against her boss over suspicions they were having an affair, has won her claim for unfair dismissal. Justice Indra Charles, in a September 14, 2017, ruling found that the ice cream/ deli business and its managing director, Llewellyn Burrows, “don’t have a leg to stand on” over the dismissal of former manager, Sharmean Woodside. Recording that several “volte faces” were performed over the rationale for Ms Woodside’s dismissal, the Supreme Court warned Bahamian employers that they needed
* LICKETY SPLIT WORKER IN $19K COURT VICTORY * STEMMED FROM HUSBAND’S HARASSMENT OF BOSS * EMPLOYERS MUST BE ‘DECISIVE’ ON DISMISSALS to be “decisive” when terminating employees and not later “go fishing for other grounds to justify the real reason”. Justice Charles’ written found that Ms Woodside was dismissed because she informed her husband of Mr Burrows’ suspicions he was behind a harassment campaign that saw the
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Bank fears Central Bank ‘difficulties’ in $2.4m battle By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net A BAHAMIAN bank is suing its correspondent to recover $2.343 million amid fears the situation will create “difficulties” with the Central Bank and Securities Commission. Capital Union Bank, which is based at the Lyford Financial Centre, is alleging that Puerto Rican-based Bancredito International Bank Corporation has failed to return the funds despite 10 written requests made over the last month-and-a-half. The Bahamian institution says the funds are urgently
required for its “operations with other counterparties”, and their absence threatens to trigger a $2.4 million hit to its capital base and extra scrutiny from local regulators. Capital Union Bank also warns that the case has implications for other Bahamian bank and trust company licensees, given that Bancredito also provides correspondent banking services to them. Its November 3, 2017, lawsuit, filed in the Puerto Rico federal court, recalls how the dispute originated from a July 25, 2017, correspondent banking agreement that saw Capital Union Bank open an
GB Power buy-out: ‘This is beginning, not end, of fight’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net OPPONENTS of the GB Power buy-out yesterday warned the utility’s owner: “Don’t count your Depository Receipt chickens before they’re hatched” despite investor approval for the deal. Fred Smith QC, the Callenders & Co attorney and partner, told Tribune Business that this was “the beginning of the fight, not the end”, and pledged to file his Judicial Review challenging the $35 million
* QC: ‘DON’T COUNT DEPOSITORY CHICKENS BEFORE HATCHED’ * PLEDGES JUDICIAL REVIEW CHALLENGING DEAL NEXT WEEK * COALITION CHIEF PLEDGES TO ‘INTENSIFY’ OPPOSITION’ deal with the Supreme Court next week. A similar message was delivered by
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Web shops: Systems prevented use for money transmission By NATARIO MCKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net SEVERAL web shop operators yesterday said inter-island money transfers were impossible on their system, while others expressed concern over the impact on Family Island communities from Island Luck’s decision to close all such accounts. Anthony brown Bet Vegas’s president told Tribune Business: “It really does not happen on our system. When you have the
first GLI-certified system in the country, and when your system meets all international standards, then you have the ability to put in controls to minimise or prevent anything outside the parameters of the 2014 Gaming Act. Our system does not allow a player to withdraw more than $100 without verification from management. So we pretty much always had that issue under control.” Dirk Simmons, Island Luck’s chief financial officer, said on Wednesday
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* CAPITAL UNION DEMANDS PUERTO RICO RECOVERY * CORRESPONDENT ‘STALLING’ ON MONIES’ RETURN * PROVIDES SERVICES TO OTHER BAHAMAS BANKS account with Bancredito. The Bahamian firm transferred $5.693 million to the account on August 22, with the Puerto Rican institution opening its own account with Capital Union Bank. The problems, though, began just three weeks later when Capital Union Bank decided to close its Bancredito account. “Capital Bank, at that time and in subsequent communications, explained that this closure was necessary as the funds were required
for operations with other counterparties,” the Bahamian institution alleged. “Bancredito was slow to respond, and seemed to be dragging its feet in relation to closing the account and returning to Capital Bank its funds. This prompted Capital Bank to make three subsequent requests – on September 18, 25 and 26 – for return of the funds. “As a result of this prodding (which should not have been necessary), Bancredito finally returned to
Capital Bank some – but not all – of the requested funds. Specifically, on October 3, 2017, Bancredito wired to Capital Bank $2.300 million of its over $5 million on deposit.” Capital Union Bank’s request for the funds’ recovery came just as Puerto Rico was devastated by a combination of Hurricanes Irma and Maria. To speed up the process, the Bahamian institution suggested that it close Bancredito’s account and apply the $1.042 million to the sum it was owed. Rolf Schuermann and Ludovic Checin-Laurans, Capital Union Bank executives, wrote in an October
6 letter: “In order to rapidly formalise this decision, we hereby authorise you to debit our account with you for the exact total balance in your current account with [us], which as of today amounts to $1.042 million. “Please note that we will be debiting this very same amount to your account and proceed to close it.” The lawsuit alleged: “In short, Capital Bank advised Bancrédito that instead of owing Capital Bank $3.385 million, it now owes it $2.343 million. “Even with this action, Bancrédito still has wrongfully retained over $2
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