Given the deep pockets involved in this matter BU is threading lightly on this matter. Below is a document which provides analysis carried out – as we understand it – by a certified chartered accountant who was a member of the technical evaluation committee of the Barbados Tourism Investment Inc. Contrary to public statements, the project will end up costing US$15.1 million a year for 25 years and which equals 25 x US$15.1= US$ 377.5 M x 2.0 for Barbadian currency = BDS$755 million.
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david not seeing where you arrive at that figure. I do see total project cost of 313 million us.
@anthony
It is a BOLT over 25 years no? According to the Nation news extract quoted below the annual lease payment is estimated at US$10.1 million. Based on the document attached it is using a number of 15.1 million. Hopefully the BU accountants can do the math.
“The cost of the marina has been estimated at US$101 million,” Sinckler said. “Based on this cost, annual lease payments are US$10.1 million at an interest rate of 8.8 per cent. Lease payments will reduce over time in accordance with the quantum and timing of cost recovery. Total payments over 25 years are US$252.5 million with the interest charged over the same period of US$151.5 million.”
ON REFLECTION – Not time for PM to speak
If you expect a man to speak at the drop of a hat and push his mouth into every single crisis, then when things are good he will gloat as well, because by then he won’t be able to shut up.
I’ve been hearing, ad nauseam, Barbadians across political party lines, classes, creeds and professions call for Prime Minister Freundel Stuart to speak whenever something major occurs – mostly on negative occurrences. And I’m thinking this has been a strategy for months – nay, a conspiracy – of the Opposition who got Barbadians accustomed to the Prime Minister being almost forced to speak on and solve any and every problem under the sun back in the wonderful days between 1994 and 2008.
Now, I hold no preference publicly for any political party, but have called for fair play and for giving people, especially our leaders and “servants” of the people, a fighting chance. Amid what many are terming as deafening silence, couldn’t this Prime Minister be bringing a new style of leadership to the table?
Having roused the ire of thousands when he called CLICO’s Leroy Parris his friend, shouldn’t he be showing that he doesn’t have to rush into every industrial, economic or immigration dispute, since he has competent ministers responsible for those portfolios and who are being paid to do that job by the electorate?
Read the whole story here, this required reading for members of the Barbados Labour Party:-http://www.nationnews.com/articles/view/on-reflection-not-time-for-pm-to-speak/
Ricky Jordan
Ricky Jordan in his article demonstrates an incalculable ignorance to what defines a leader.
It is in times of challenge or crisis that a leader will use the opportunity to demonstrate leadership.
DAVID
I take it that Ricky Jordan is not seeing things the way you would like him to see them. Otherwise he would be the smartest man in the World.
OFFTOPIC
New visa requirements
PHILIPSBURG, St. Maarten, CMC – Nationals of Guyana and Jamaica now require visas to enter St. Maarten and Aruba, the Ministry of Justice here said today.
“Please be advised that on April 11, 2011 visa requirements for nationals of Guyana and Jamaica, visiting St. Maarten, went into effect,” the ministry said in a letter to airlines and travel agencies throughout the region.
“Nationals from Guyana and Jamaica now require a visa for travel to St. Maarten and Aruba, but do not require a visa for Bonaire, St. Eustatius, Saba and Curacao.”
I am waiting with bated breath to hear when MIA AMOR MOTTLEY and OWEN”SEETHRU”ARTHUR and RICKY SINGH will start lambasting the wise Govt. and people of St. Maarten for taking step to safe guard their country. Or is that only reserved for the Govt. and people of Barbados?
Not question you maths more like looking where this 15.1 number is stated.at the bottom with figure closest to 15.1 is talk about rent over 25 year period. Not seeing any other number that would give us the 15.1 million 🙁 maybe i being blind here. only one close to the amortised that would get up close to the 15.1 would be 143 million part b with tax .
Is this VECO the same VECO as the prison? Not sure
Yes its the same veco
Carson
Integrity legislation will never be passed in Barbados with this present set of politicians.
A third party is needed urgently with persons who are not interested in getting rich fast but who can survived comfortably on their salary while working hard to see their country progress.
I cannot believe my eyes to see VECO and GLYNE BANNISTER with another bolt project this time under the DLP.
All that ranting and raving about corruption was only a ploy to get into office to get some of the sweets available to politicians from their investing friends.
They cannot trick me because they all hob nob with the same people
S&P threatens to cut U.S. credit rating on deficit
NEW YORK (Reuters) – Standard & Poor’s threatened Monday to downgrade the United States’ prized AAA credit rating unless the Obama administration and Congress find a way to slash the yawning federal budget deficit within two years.
S&P, which assigns ratings to guide investors on the risks involved in buying debt instruments, slapped a negative outlook on the country’s top-notch credit rating and said there’s at least a one-in-three chance that it could eventually cut it.
Charlie
I would like you to think for yourself.
Glyne Bannister is a well trained Bajan(canadian?) “Investment specialist”.
He spent many years in the Financial district in Toronto in the days of the mega developers like Robert Campeau,the Reichmanns and companies like Bramalea limited.
He is obviously a winner and just like the rich white businessmen in Barbados he provides services to Government irrespective of which party is in power.
Another “bright” Kolij man does great for himself.
Is there any difference between Glyne Bannister and COWilliams Other than the colour of skin?
It has been said that one of the main reasons “seethru” is fighting to be return to office is to get at Darcy Boyce who he believes”frig him up”.
“Reflections Of A COLLAPSING ECONOMY That Would Not Collapse”
“We are currently in the throes of that quarterly cycle, where, irrespective of whatever the Governor of the Central Bank said in his report, the analyses by some in our midst would have predictably been that once again “we are living in the worst of times” and that “collapse of the Barbados economy is imminent”.”
Boy, these old gems.
The Nation has done a followup story on this matter with former Prime Minister Arthur raising concerns.
It seems when former Chairman of the BTI Dr. Jerry Thorne resigned because SMI was deemed to be an offshore company and therefore excluded from contracting work originating in Barbados, the principals of SMI incorporated in St. Lucia.
On the face of it it seems this company had ‘help’ in securing the contract?
@Carson
Will you use any of your contributions to address (any of) the substantive issues in the article????
Barbados is in an economic recession. The Government has to deal with a fiscal deficit i.e. it spends more than it receives in taxes. To deal with this deficit the Government has increased the taxes Barbadians must pay. I even have to pay an annual bicycle license fee for my child’s bicycle whereas before there was a one time fee. The road tax, cost for passports, VAT, fee for dispensing drugs etc have been increased significantly. As a patriotic Barbadian, I accept the need to contribute more, to personally do with less and to work with the Government to make sure that Barbados continues to prosper.
Now the Government plans to embark on a very large marina project. It gives the project to a company headed by Barbadians, who also live in Barbados. This company is registered in St. Lucia. Why?
TO AVOID PAYING TAXES.
Can someone please explain to me why the DLP led Government is entering into a contract:
(a) with a man it (the DLP) once accused of being a “crook, “a scammer” etc,
(b) with a finance model (i.e. BOLT) that it (the DLP) once described as overly expensive, burdensome, lacks transparency etc and
(c) with a company set up to facilitate its Barbadian owners to avoid paying their share of taxes at a time when ordinary working class Barbadians are buckling under the pressure of increased taxes and increased cost of living???
Doesn’t this remind us of that book “Animal Farm” by George Orwell?
@ Ping Pong – your last submission is totally on point. It’s a pretty sickening scenario, tragically. The unspeakable in full cahoots with the indefensible.
@Ping Pong
SMI was incorporated in Barbados because Offshore Companies can’t contract for local business. So the motive to incorporate in St. Lucia is not tax avoidance.
Relevant links:
David
Why would Barbadian businessmen register a company in St Lucia, to do business in Barbados? Something wrong with the local (Barbadian) corporate registry? It doesn’t work fast enough, loses records, doesn’t function, not recognised by the Barbadian authorities, what?!!!
Wasn’t SMI initially registered in Barbados as an offshore company? The advantage of that status is lower tax liability i.e tax avoidance. When it was pointed out that a Barbadian registered offshore company is prohibited by law doing business in Barbados, SMI then registers in St. Lucia.
Maybe it has something to do with same principals incorporating in the same domicile?
You probably wouldn’t be surprise to learn of the number of Bajan companies registered in St. Lucia. You maybe onto something Ping Pong.
David
on a related issue, what company did the work on the Dodds prison project? I hope not SMI (registered in 1994) because then somebody broke the law.
@ Ping Pong & David
Neither Signature Managment Inc nor SMI Infrastructure Solutions Inc tendered for the Pierhead Marina project. Only two companies pre-qualified and then submitted a bid, they were Lagan and VECO.
I have a very simple question, how could SMI Infrastructure Solutions Inc. be awarded a contract pursuant to a bidding process if they had not submitted a bid? Remember VECO went out of business and did not exist as a company since 2008 and the senior management of VECO pled guilty for various crimes, including bribery and corruption, and were jailed in the USA.
I posted this on another thread, but it is also relevant here as well:-
“Every year in gov’t the DLP will get stronger and better, and with the world economy improving in the next two years, why would we change for another good while?”
This my friends is what has the Barbados Labour Party desperate. That is why every project in Barbados is being viciously attacked by the Barbados Labour Party Gangsters. They are scared stiff of anything and everything that the Democratic Labourty Party does.
They see prosperity around the corner and they are doing their worst to sabotage it. But all to no avail. Owen”seethru”Arthur’s hat-trick of defeats is just around the corner.
From their vantage point the Corrupt Barbados Labour Party can see five more years on the opposition benches staring them in the faces so they wrongly believe that pulling down everything the Democratic Labour Party does will prevent it.
They are even backing everyone who seek to do Barbados and the people of Barbados harm, no matter where they are from.
desperate indeed!
@CCC
You must know it is only party hacks that will feel emboldened by your party spiel?
The government may recapture some credibility on the issue of corruption when it enacts and operationalizes promised legislation. It is an issue has not forgotten.
I want to go on record as having asked the most stupid question that has ever been presented on this blog …
Is it possible that the principals of Signature Managment Inc/SMI Infrastructure Solutions Inc contributed to the election campaign of the Democratic Labour Party or is it possible that Ministers in the DLP (in particular Darcy Boyce) are the recipients of hundreds of thousands of dollars for the delivery of the marina project to these principals?
@ David
Registering as an IBC in St.Lucia does in fact reduce the level of taxation for the company.
@Enuff
Understand your point but the question is if they are other reasons at play.
“Remember VECO went out of business and did not exist as a company since 2008 and the senior management of VECO pled guilty for various crimes, including bribery and corruption, and were jailed in the USA.”
At least someone remembers.
Answer the woman, DAVID.
@ David
There was no Technical Evlaution Committee (TEC) for the project, only a Bid Evaluation Committee (BEC). The only person who was an accountant on that BEC was none other than, Darcy Boyce.
I am not sure I understand some of the comments regarding IBCs and lower Taxation in this case. The Minister of Finance/Government has the power to waive any and all taxes of every description and that is what was done for VECO/Commonwealth Construction Canada in the Prison Contract. The real question here is whether similar INCENTIVES have been bestowed upon SMI. Could the question of SMI’s offshore status however mean that our scarce FX will be used to transfer the overheads and profits on the contract outside of the country?
“Reclaimed land will add much value, says CEO”
“What I believe happened over time is that there were several approaches involving private sector interests and, for whatever reason, and I am not aware of all the reasons, these various approaches would not have worked. But I am happy to report that we are where we are and it will happen now by way of a BOLT (Build Own Lease and Transfer) arrangement. So I think that Government should be commended for taking the initiative for making an incredible investment in the tourism infrastructure of the country, which can only redound to the benefit of every single Barbadian alive today and those yet unborn,” he said.”
http://www.barbadosadvocate.com/newsitem.asp?more=local&NewsID=17120
This is what a sensible man is saying,
DAVID
“You must know it is only party hacks that will feel emboldened by your party spiel?”
I know that you are flogging a dead horse.
Anyone with a little commonsense would question the motives of this administration when they came to power, they were critical of many of the projects the BLP were doing, The ABC highway and the amount of money being spent, now this government is spending another Bds $ 45 Million in the warrens area only, just to avoid the BLP project of “flyovers,” No word to date on the Hardwood project investgation and the BIG one the construction of the prisons at Dodds. What we now have is this government going to bed with the same people to construct a marina under the same type of agreement that they were advocating that was one of the biggest mistakes the BLP government did. I want this government to remember that this was one of the main reasons we voted the BLP out of office, now you have fallen prey to the same bait. General elections are less than two years away, six of one half dozen of the other, bajans are getting fedup with these two political parties, I’m convinced that they are one and the same party, grandstanding before the public and just passing the baton between them privately. Bajans have had enough of both BLP and DLP NOW it’s time for a more genuine party to come forward.
I would like to know what was Mia Mottley’s involvement with VECO? Is she working with her father on this suit under discussion?
It is so strange that governments around the world are cutting back on expenditure and services yet the Barbados government is going about spending vast sums of money they do not have on projects that do not appear to be sustainable. We are a bankrupt country borrowing to pay our bills. It is only a matter of time when the cesspool will overflow.
islandgal246
The cesspool is already overflowing, this DLP government has fooled a lot of us that things the BLP was doing wrong and not only they would correct it but they would bring people to justice for wrongdoingd, now they are doing the said same thing with the said same people all over again. This DLP government as soooooo disappointed me that I don’t have confidence in them no more.
It is not the political parties per se, it is the number of lawyers that they take on board. These jack asses will see the death of us all …!
islandgal246
You are totally mix up.
You are believing too many Barbados Labour Party lies.
SCOUT
Have no fear the Democratic Labour Party will take Barbados to the next level.
We, our children, grandchildren will thank them for ever.
@Helix
Who were the members of the Bid Evaluation Committee?
Dr. Jerry
a good man
from the Thorne clan !
Carson CA- DOG-AN
C-A-DOG-AN
a foolish dog from the ignorant clan
talking dog shite as usual
The DLP is a spent force
Freundel Silence is not inspiring confidence and the country suffers as a result
tina Roach
There is none so blind as she who will not see.
Anyone with a little commonsense would question the motives of this administration when they came to power, they were critical of many of the projects the BLP were doing, The ABC highway and the amount of money being spent, now this government is spending another Bds $ 45 Million in the warrens area only, just to avoid the BLP project of “flyovers,”
—————————————-
It must be killing them!
They know and so does everyone else on the Island that the flyovers were undoubtedly the best solution to the traffic problem -especially at Warrens and the Wildey triangle area.
They had the solution
the plans
the experts
and the wherewithal to do it .
Instead they blew it for a bit of foolish grandstanding.
Technician
I used to be BIMBRO’s friend but dat dun as soon as I agree not to feed he … (I know he’ still my frien’ but sometimes frien’s got to know when sport ain’ always sport) … Techie I got a Troll for you to go after, causen it seem dat dey got ah lotta people dat like feeding he … You want tah guess who dah troll is?
I gun say it for you man … DNFTT … DNFTT !!
Islandgal246 wrote,”We are a bankrupt country borrowing to pay our bills.”
Barbados thrived when the world economy was in good shape and Construction in Barbados was booming.
Those days are done.
The world is still not in a sustained recovery with oil and food prices rising.
In Canada where I live.
“Prices for food purchased from stores rose 3.7 percent in March, the largest year-over-year advance since August 2009.”
“Within the energy sector, gasoline prices increased 18.9 percent in March on the heels of a 15.7 percent gain in the 12 months to February. Prices for fuel oil rose 31.3 percent on an annual basis and electricity cost 4.3 percent.”
I gine soon have to cook cou cou an tin salmon 3 times a week.
Uh mite also have to park de gas guzzler an ketch de bus.
But wunna still lucky cause yuh cuh still roast a breadfruit an some flyin fish.
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