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Chris Sinckler and David Estwick Saga Continues – Money is Sweeter than Sugar

BU understands the Minister of Finance & Economic Affairs Chris Sinckler will play hardball with the sugar industry deal unless Minister of Agriculture David Estwick appoints BNB Capital Corporation to provide the financing for the new sugar factory. It is being discussed in certain circles that the minister of finance arranged for BNB Capital Corporation…

, , , , , ,
Jung Yun
Chris Sinckler, Minister of Finance
David Estwick, Minister of Agriculture
Sir Trevor Austin Carmichael
Senator Jepter Ince

BU understands the Minister of Finance & Economic Affairs Chris Sinckler will play hardball with the sugar industry deal unless Minister of Agriculture David Estwick appoints BNB Capital Corporation to provide the financing for the new sugar factory. It is being discussed in certain circles that the minister of finance arranged for BNB Capital Corporation to handle the financing for the new sugar factory but Minister Estwick is not going with the flow.

Directors of BNB Capital Corporation  incorporated on 17 September 2014 are:-

  • Senator Jepter Ince
  • Timothy D. Joseph
  • Jung Yun
  • Sir Trevor Carmichael, QC

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If there is anyone who can provide additional info email Barbados Underground the information.

234 responses to “Chris Sinckler and David Estwick Saga Continues – Money is Sweeter than Sugar”

  1. Port In A Storm Avatar
    Port In A Storm

    ac
    The PM made a decision he come to regret.

  2. Colonel Buggy Avatar
    Colonel Buggy

    @Exclaimer | November 18, 2014 at 7:21 PM |
    I for one agree with you. Buy why spare the crooked politicians a spell in jail? The courts a few days ago jailed an ageing man, for stealing a few Poppy Donation tins.
    But probably one thing that you have not considered, is the statement made by the Prime Minister recently that ” the political class looks after each other.” And as many of our members of parliament are also Lawyers, and there is a long long list of other up and coming lawyers, lined up out there ,waiting their chances of hitting the jackpot by become a member of parliament,the likelihood of ever bringing pressure to bear on these Robin B. Astards is zero, and they know it.

  3. Exclaimer Avatar
    Exclaimer

    @ Colonel Buggy | November 18, 2014 at 8:05 PM |
    I like you detest are corrupt-sorry, compromised politicians and would very much like to see them all serving time on a hard concrete floor! I believe that my earlier suggestion could be a solution to break up the political log jam and return are nation to a higher level of governance.

    Should this fail the only choice left to the masses would be to march on parliament and demand the resignation of are corrupt parliament. A complete general strike would collapse both are parliament and the two major political parties.

  4. Enuff Avatar
    Enuff

    Not a fella joining any party led by Essy!!

  5. Sargeant Avatar
    Sargeant

    @Tell Me Why
    Unfortunately, the present administration, not understanding the role of managing a country since taking over by default, continue with this failed idea of a society instead of focusing on economic matters.
    +++++++++
    I guess Thompson wanted to be the anti-Margaret Thatcher; here is an excerpt from an interview she gave when she famously said “there is no such thing as society”

    “I think we’ve been through a period where too many people have been given to understand that if they have a problem, it’s the government’s job to cope with it.’I have a problem, I’ll get a grant.’ ‘I’m homeless, the government must house me.’ They’re casting their problem on society. And, you know, there is no such thing as society. There are individual men and women, and there are families. And no government can do anything except through people, and people must look to themselves first. It’s our duty to look after ourselves and then, also to look after our neighbour. People have got the entitlements too much in mind, without the obligations. There’s no such thing as entitlement, unless someone has first met an obligation.”

  6. Port In A Storm Avatar
    Port In A Storm

    Enuff
    Essy don’t need to form a part to cause the DLP government nuff nuff problems.

  7. Bush Tea Avatar
    Bush Tea

    @ Sargeant
    Thatcher’s comments are well founded.
    To many damn mendicants ’bout the place. By the sweat of HIS brow should a man eat his bread.

  8. ac Avatar
    ac

    Talcher views are relevant and rightly supported by a modern day society amongst rich and poor looking for govt handouts
    However where Tatcher may have erred is in here all out war on the poor with a misguided broad brush approach with snobbish disdain for those who are through no fault of their own doing was being cast aside in her reckless and devastating urgency
    to reform

  9. David Avatar
    David

    What some of you forget is that we are dealing with philosophies so there is a lot that can be challenge and to speak in absolutes is folly. Thatcher had the unenviable task of driving change after Callaghan and labour. Reform will always be painful for some and this includes the poor and vulnerable.

  10. Tell me Why Avatar
    Tell me Why

    David . It is alright to to focus on reform which we all hope will be better for the country down the road. What we are getting is DEFORM that is crippling us without any cure. Borrowing from Tom, Dick and Harry will eventually create a colossal dept repayment problem. Sargeant, What you failed to admit is people don’t pressure a Government when the country is firing on all cylinders like yesteryear. This is a different period where the populace is suffering immensely without the help of neighbours and families. Thus the reason to ask for help from Government. Unfortunately, the said Government is brek and poor like the populace. Where do we go from here? BTW, the recent approval to borrow money fron T’dad as down-payment to join CAF in order to borrow money from them. Ok. you get a $500 million loan from CAF, you then have to repay T’dad and pay back CAF. Now tell me brilliant finance controller, how much money will be available to accomplish your goal? Do the maths.

  11. David Avatar
    David

    @TMW

    We need to eyeball the agreement/term sheet. If we are getting a cheap loan to refinance debt fine, if we are getting a cheap loans to spur development projects fine. We need more info but don’t hold your breath.

  12. ac Avatar
    ac

    @Tell me why. the five hundred million might pay off four or five smaller loans with accumulated burdensome interest rate which when paid off in full could be enough of a saving to pay CAF and trinidad.

  13. Dr Love Avatar
    Dr Love

    This started out as a very serious revelation that we were about to be screwed By Stinkliar , Stuart, and his band of shite Yard fowl.
    ITS ALL BEEN FORGOTTEN and degenerated in to the usual, “argie bargie” of unadulterated BULLSHIT.
    PLEASE have you all the attention spans of ants!!
    Get real. Get relevant.
    Thank you and GOD Bless.

  14. David Avatar
    David

    @Dr. Love

    Kammie Holder who is a social advocate and contributor to BU was on the afternoon talk show programme tried to inject into the conversation and was quickly shut down by the moderator. Traditional media is constrained to disseminate sanitised information. BU commenters will have to continue to spread the word via FB and other social media platforms because traditional media can only do so much. We have previously suggested BU commenters can pay for email blasts if they want to push the BU message.

  15. Tell me Why Avatar
    Tell me Why

    Do we have to pay a down-payment to borrow from any lending agencies? If the answer is “NO”, Why will we have to pay Bds$100 million to get a loan. Please enlighten me David.

  16. Tell me Why Avatar
    Tell me Why

    ac. Instead of repaying a few small loans with money from CAF, we could have received billions from UAE with the help of Estwick that will repay all of our debts and put the country back to prosperity. Unfortunately, bad management would put us back from whence we came. We will now have to double the loan to repay UAE and a little left to stop us from another downgrade.

  17. David Avatar
    David

    @TMW

    This institution operates using a cooperative type concept i.e. a member may borrow 4 times paid up.

  18. ac Avatar
    ac

    @TMW…Really!have u ever heard the word “collateral”or guarantee! you have to be dreaming if u belive that the UAE loan does not come with strings attached.preferably the downgrade sounds better that to be attached to a debt with long term ramifications

  19. Boy Blue Avatar
    Boy Blue

    Tell me Why | November 19, 2014 at 2:56 PM |
    Do we have to pay a down-payment to borrow from any lending agencies? If the answer is “NO”, Why will we have to pay Bds$100 million to get a loan. Please enlighten me David.
    …………………………………………………………………………..

    Sounds like a high class Meeting Turn

  20. DR. THE HONOURABLE Avatar
    DR. THE HONOURABLE

    How with if we just get rid of the present Government ? Whatever the matter, it is quite clear that this bunch is worthless, clueless and maybe lawless.

  21. Port In A Storm Avatar
    Port In A Storm

    The PM and Estwick at war over the future of agriculture. PM listening to Delisle Worrell, Chris Sinckler and Frank Alleyne and treating his Minister of Agriculture like a boy in the yard.

  22. St George's Dragon Avatar
    St George’s Dragon

    Mr Estwick is quoted in the Advocate today as saying the finance for the new sugar factory is coming from National Standard Financing.
    What’s the story here? Was the money procured by BNB Capital Corporation?

  23. Exclaimer Avatar
    Exclaimer

    Europe will soon allow its states to grow more sugar beet, which will devastate economies in the Caribbean, and a trade that underpinned the British empire

    http://www.theguardian.com/world/2015/feb/21/jamaican-farmers-bleak-future-eu-sugar-beet-production-cap

  24. Stephen McLeash Avatar
    Stephen McLeash

    Inter-Sugar Partnership Limited signs agreement with Government of Barbados
    for Cane Industry Restructuring Project ‘CIRP’

    Inter-Sugar Partnership Limited (“ISP”), the Caribbean based advisor of international Private/Public Partnership (“PPP”) projects, is pleased to announce that it has signed a legal memorandum with the Government of Barbados to proceed with the Cane Industry Restructuring Project ‘CIRP’. The CIRP will result in the construction of a state of the art Multi-Purpose Facility (“MPF”) on the island of Barbados which will turn around the struggling fortunes of the island’s historic sugar cane industry and in turn contribute numerous economic, social, environmental and energy benefits to the island.
    The proposal bought forward by ISP, which has received wide-spread support from the island’s government and sugar industry alike, will see:
    • The construction of a state-of the art MPF, to be located at the site of one of the remaining – albeit non-operational factories at Andrews, in the parish of St Joseph
    • Employment of over 300 workers at the MPF, with long-term employment opportunities for traditionally seasonal workers
    • Generation of 25MW of green electricity annually and the further potential use of 60MW of waste heat from electricity generation, making the MPF self-sufficient and generating an additional 22 MW which will provide power to a large number of Barbados households and businesses, thereby reducing the island’s dependency on expensive foreign oil imports
    • Introduction of new farm equipment, training of field staff and increased global marketing of Barbados’ sugar cane industry
    The state-of the art Multi-Purpose Facility, which is being designed by Bosch Projects, the world leader in sugar engineering and technology, is due start construction in 2015 and is anticipated for completion in time for the 2017 crop. Once the MPF is complete, it will be leased to and operated by the Government of Barbados. This MPF will harness the latest technology to produce the following products and by-products, all of which will have a substantial contribution to the island’s overall economy:
    • Raw Brown sugar for domestic consumption
    • Production and refinement of premium speciality sugars for sale to niche markets
    • Increased production of molasses for the Barbados rum industry
    • Generation of 25 megawatts of green electricity fuelled by cane bagasse and sustainable locally produced biomass
    The sugar industry in Barbados, which dates back to 1642 and is an integral part of the island’s cultural heritage, has regressed significantly in recent decades due to rising costs and falling prices. This has resulted in uneconomical and vastly reduced production which in turn has led to the import of expensive refined sugars to meet demand for domestic consumption and use within Barbados’ Rum industry. Despite the government’s best efforts to maintain domestic production, including a rising cost in annual subsidies which have weighed heavily on an already struggling economy, the combination of outdated farming techniques and machinery has forced the government and those involved in the industry to consider alternative proposals to bring the island’s industry into the 21st century and rebuild its reputation as a producer of premium sugar products.
    The signing of the memorandum agreement will result in the Government moving forward with a public/private partnership (“PPP”) which will bring together the locally experienced skills of the Barbados Cane Industry Corporation (“BCIC”) – a company set up in 2007 by the Government to promote the project – and the international project and financing knowhow of ISP and its partners, whose management have substantial experience and expertise in the structuring and financing of international PPP projects. ISP, which brings project management, legal, financial and sugar industry skills, has been involved with CIRP for over three years during which time it has worked closely with BCIC to create a viable financing structure for the Project. The agreement represents the final hurdle to proceed with the project and ISP will now recommence advanced discussions with international financial institutions to secure the financing for the project.
    Commenting on the agreement, Dr. David Estwick, the Barbados Minister of Agriculture, Food, Fisheries and Water Resource Management and strong advocate for the CIRP said:
    “This project will have a positive impact on the island in many ways. Not only will it create jobs and value through both the construction and operating of the factory, it will also result in welcomed cost savings for the government and the country as a whole. This project will enable the island to rebuild a proud and historic industry whilst also providing a multitude of financial benefits to our economy.”
    Commenting on the agreement, Edward Marston, Director of Inter-Sugar Partnership, said:
    “We are delighted to have signed this agreement and look forward to playing a vital and long-term role in the economic, environmental and social development of Barbados by enabling the island to reclaim its reputation as one of the leading producers of premium sugar products in the world. The CIRP will provide financial incentives to farmers to increase the quantity and quality of cane production, will create many new jobs and provide a boost to the nation’s economy.”

    INSERT PICTURE OF SIGNING

    For further information please contact:
    Inter-Sugar Partnership Limited
    Edward P Marston, Director
    (T) (1-246) 417 2353

    Buchanan (Media Enquiries)
    Ben Romney / Jason Day
    (T) +44 (0)207 466 5000

  25. David Avatar
    David

    Reblogged this on Barbados Underground and commented:

    So far Barbadians have not been given the answers required by a government lacking in transparency. We ask AGAIN!

  26. Due Diligence Avatar
    Due Diligence

    Thanks to David and AWTY for steering DD to this blog

    First question – Has BNB Capital Corporation raised any money for anything?

    Next question. Apart from the recent application for an injunction by Mr. Elias, what is current status of the Cane Industry Restructuring Project (CIRP) re:

    http://www.caribflame.com/2016/01/barbados-multi-million-dollar-sugar-cane-restructuring-project-in-jeopardy/

    Barbados: Multi-million dollar sugar cane restructuring project in jeopardy

    A day after the Minister of Finance of Barbados, Chris Sinckler, delivered some sweet news to sugar farmers who have been awaiting pay, a major partner has threatened to pull out of Government’s proposed $250 million Cane Industry Restructuring Project (CIRP) which is now in danger of collapsing.

    Inter-Sugar Partnership (ISP), the company appointed by Government in February 2015 to facilitate external financing for the project, made it clear today that it would stop further funding of the multi-purpose sugar factory at Andrews, St Joseph – a key component of the CIRP – if the Freundel Stuart administration did not meet certain obligations by the end of June.

    Director of ISP Edward Marston claimed that Government was to infuse millions of dollars as partial equity and to grant a number of concessions but had done little because the project was not a priority.

    Marston warned that unless things changed within the next “three to six months” his company would stop investing its money in consultancies and preparation of the old Andrews Sugar Factory site, where construction of the new state-of-the-art plant was expected to begin next year.

    “The obligations are in financial terms, to inject 27-and-a-half million Barbados dollars as quasi equity to the project and to provide various release from import duties and other concessions which are necessary tax concessions for the project to enable that to go ahead. And on the practical side, to facilitate the granting of planning permission and the granting of a licence for the production of electricity by the new multi-purpose factory.

    “The Government has paid a small amount on account of its financial commitment and that amount is now fully expended by ISP on the work it has been undertaking over the past year. The Government has applied money which it has acquired from other sources to various other projects which it has put as a higher priority than this project. As a result of that, I think basically, it has decided to put this project on the backburner,” contended Marston, who will fly in from his British base on Tuesday to attempt to resolve the outstanding issues.

    He said ISP’s funds had gone into various areas of the project, including negotiations with the main engineering, procurement and construction contractor for the production of all the plans and negotiation of a commercial contract for the agreement.

    The ISP director complained that “substantial payments” had been made to South African consultants BOSH Project who have been working on the plant “directly and indirectly” for up to six years.

    “But to be honest with you, that cannot continue . . . and from a business standpoint, I can certainly not sanction continued expenditure on the project unless and until the Government is willing to honour its obligations.”

    The top sugar advisor also cautioned that if his company were to pull its financing, it would be difficult for Barbados to source foreign funding for the multi-purpose factory, which is expected to produce special sugars, as well as molasses for the lucrative rum industry, and generate “green” electricity from bagasse and biomass for sale to Barbados Light & Power Company Limited.

    Marston said negotiations with Japanese investors fell through three years ago because the Japanese Bank for International Cooperation felt that the country risk for Barbados was too great, adding that the situation had not improved.

    “Since that time I believe it has become progressively more difficult because the commercial rating for Barbados as a nation has not improved since that time . . . . In fact, it has got progressively worse. It is now rated as B with a negative outlook, which is pretty much junk and junk status. It would be extremely difficult to find external finance on the capital markets for a country which is rated as low as Barbados.”

    Just yesterday, Sinckler said careful studies would have to be done to determine the future of the sugar industry. However, Marston argued that the Minister failed to state “a well known fact” that such studies had been undertaken for more than 20 years with large amounts of tax payers money invested in consultants’ fees.

    Marston added that the studies culminated in the formation of the Barbados Cane Industry Corporation (BCIC), as well as the Cane Industry Restructuring Project (BCIRP), which was first approved by Cabinet in 2012 and further endorsed in May 2013, when Government approval was given for the provision of advance funding.

    Meanwhile, Sinckler’s announcement yesterday that cane sugar farmers would get their 2015 incentive payments of $15 million in two weeks, was welcomed by Chairman of the Barbados Sugar Industry Limited (BSIL) Patrick Bethel.

    However, Bethel, whose organization represents the independent farmers, told Barbados TODAYhe hoped the money would “materialize in time” because late payments in the past had prevented planters from carrying out a number of operational practices.

    Source/Barbados Today

    http://www.caribflame.com/2016/01/barbados-multi-million-dollar-sugar-cane-restructuring-project-in-jeopardy/

    Barbados: Multi-million dollar sugar cane restructuring project in jeopardy

    A day after the Minister of Finance of Barbados, Chris Sinckler, delivered some sweet news to sugar farmers who have been awaiting pay, a major partner has threatened to pull out of Government’s proposed $250 million Cane Industry Restructuring Project (CIRP) which is now in danger of collapsing.

    Inter-Sugar Partnership (ISP), the company appointed by Government in February 2015 to facilitate external financing for the project, made it clear today that it would stop further funding of the multi-purpose sugar factory at Andrews, St Joseph – a key component of the CIRP – if the Freundel Stuart administration did not meet certain obligations by the end of June.

    Director of ISP Edward Marston claimed that Government was to infuse millions of dollars as partial equity and to grant a number of concessions but had done little because the project was not a priority.

    Marston warned that unless things changed within the next “three to six months” his company would stop investing its money in consultancies and preparation of the old Andrews Sugar Factory site, where construction of the new state-of-the-art plant was expected to begin next year.

    “The obligations are in financial terms, to inject 27-and-a-half million Barbados dollars as quasi equity to the project and to provide various release from import duties and other concessions which are necessary tax concessions for the project to enable that to go ahead. And on the practical side, to facilitate the granting of planning permission and the granting of a licence for the production of electricity by the new multi-purpose factory.

    “The Government has paid a small amount on account of its financial commitment and that amount is now fully expended by ISP on the work it has been undertaking over the past year. The Government has applied money which it has acquired from other sources to various other projects which it has put as a higher priority than this project. As a result of that, I think basically, it has decided to put this project on the backburner,” contended Marston, who will fly in from his British base on Tuesday to attempt to resolve the outstanding issues.

    He said ISP’s funds had gone into various areas of the project, including negotiations with the main engineering, procurement and construction contractor for the production of all the plans and negotiation of a commercial contract for the agreement.

    The ISP director complained that “substantial payments” had been made to South African consultants BOSH Project who have been working on the plant “directly and indirectly” for up to six years.

    “But to be honest with you, that cannot continue . . . and from a business standpoint, I can certainly not sanction continued expenditure on the project unless and until the Government is willing to honour its obligations.”

    The top sugar advisor also cautioned that if his company were to pull its financing, it would be difficult for Barbados to source foreign funding for the multi-purpose factory, which is expected to produce special sugars, as well as molasses for the lucrative rum industry, and generate “green” electricity from bagasse and biomass for sale to Barbados Light & Power Company Limited.

    Marston said negotiations with Japanese investors fell through three years ago because the Japanese Bank for International Cooperation felt that the country risk for Barbados was too great, adding that the situation had not improved.

    “Since that time I believe it has become progressively more difficult because the commercial rating for Barbados as a nation has not improved since that time . . . . In fact, it has got progressively worse. It is now rated as B with a negative outlook, which is pretty much junk and junk status. It would be extremely difficult to find external finance on the capital markets for a country which is rated as low as Barbados.”

    Just yesterday, Sinckler said careful studies would have to be done to determine the future of the sugar industry. However, Marston argued that the Minister failed to state “a well known fact” that such studies had been undertaken for more than 20 years with large amounts of tax payers money invested in consultants’ fees.

    Marston added that the studies culminated in the formation of the Barbados Cane Industry Corporation (BCIC), as well as the Cane Industry Restructuring Project (BCIRP), which was first approved by Cabinet in 2012 and further endorsed in May 2013, when Government approval was given for the provision of advance funding.

    Meanwhile, Sinckler’s announcement yesterday that cane sugar farmers would get their 2015 incentive payments of $15 million in two weeks, was welcomed by Chairman of the Barbados Sugar Industry Limited (BSIL) Patrick Bethel.

    However, Bethel, whose organization represents the independent farmers, told Barbados TODAYhe hoped the money would “materialize in time” because late payments in the past had prevented planters from carrying out a number of operational practices.

    I am curious about this paragraph

    Director of ISP Edward Marston claimed that Government was to infuse millions of dollars as partial equity and to grant a number of concessions but had done little because the project was not a priority.

    Infuse millions of dollars of equity? EQUITY? What a novel concept.

  27. NorthernObserver Avatar
    NorthernObserver

    however a few sentences later it says “to inject 27-and-a-half million Barbados dollars as quasi equity”….and I believe quasi equity is usually a form of debt??

    Anyways Marston seems to have developed quite a relationship with government
    https://uk.linkedin.com/in/edward-marston-75887411

    http://www.afc-pfi.com/case-studies/cane-industry-restructuring-project-barbados

  28. David Avatar
    David

    @DD

    The CHIRP project is another the MOA and MOF need to address the public after the public mouthings.

  29. Due Diligence Avatar
    Due Diligence

    Hope that Minister Estwick is watching

  30. Due Diligence Avatar
    Due Diligence

    Another point of view – from 1982

  31. Due Diligence Avatar
    Due Diligence

    Last video for today

  32. Due Diligence Avatar
    Due Diligence

    @NorthernObserver April 8, 2016 at 11:39 AM

    “Anyways Marston seems to have developed quite a relationship with government”

    Quite a relationship with government indeed.

    Imagine the consulting fees government paid him for the new BWA building

    http://www.afc-pfi.com/case-studies/barbados-water-authority-bwa-new-headquarters-project-project

    Now if he can advise BWA how to solve the REAL water problems.

    And FINALLY – Given that Barbados might be considered by some to have an economically-challenged economy, the MOF may want to consider reading this link.

    http://www.afc-pfi.com/uncategorized/financing-ppp-contracts-in-economically-challenged-economies

    ac – please pass the link on to your friend Chris

  33. Hal Austin Avatar
    Hal Austin

    What about the share allocation?

  34. Hal Austin Avatar
    Hal Austin

    Why is the PR for this enterprise coming out of London?

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