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BLP column: That Sam Lord’s conundrum

7/27/2009

Why is the David Thompson Administration rushing to compulsorily acquire Sam Lord’s Castle from Clico? This is the question Barbadians want answered today. After all the promises of open Government, how is it that Barbadians first learnt of the acquisition through a Section 3 notice published only in the Barbados Advocate?

Why, despite his promises of transparency, has the Prime Minister not kept the country up to date on the
state of Clico’s affairs in Barbados? Why has he neglected for months the concerns of Barbadian investors and policyholders, who are unable to get their money and who do not know what is going on?

How is it that the OECS regulators are moving to place the CL Financial subsidiary – British American – under judicial management in the Eastern Caribbean, but here in Barbados, despite repeated calls from the Leader of the Opposition, Mia Mottley, that is not an appropriate remedy for our own people?

Why is it that the Memorandum of Understanding with Clico still has not been made public as it was in Trinidad & Tobago? What are the terms of reference of the Oversight Committee? Why has the Oversight Committee not invited offers for the Sam Lord’s property from the private sector, when interest has been expressed in that quarter? And why, after criticising the Owen Arthur Administration for investing in Gems, is the David Thompson Administration now seeking to compulsorily acquire a dilapidated castle without any plan for its development? The cart before the horse syndrome has risen to new heights on this deal, even by Democratic Labour Party standards.

Why when direct foreign investment has fallen by $1 billion in the last year, would the Government want to use your money to bail out Clico Holdings instead of advertising the property locally and abroad? Why when our
foreign reserves are a problem and the Central Bank has instructed four other insurance entities to repatriate 50 per cent of their second tier foreign reserves by March 2010, is the Government spending your money on a derelict castle and 54 acres of land?

How is this move of benefit to anyone except Clico? No wonder Clico’s Terrence Thornhill does not anticipate any difficulties with the acquisition. Like us, you will be forgiven if you think that a deal has already been struck. Like the ad says: “The price is right darling, the price is right.”

Why would the Government choose to use prime tourism development land for housing? How do you value prime, cliff-front land for housing? What does the Minister of Housing mean by protecting beach access? The good people of St. Philip, Bajans from all over the island and visitors have been swimming and fishing at Long Bay, Harrismith and Bottom Bay for centuries without any problems. Furthermore, access to the cliffs is already assured as part of the conservation area designated in the 1980s. So who is he fooling with this emotional touchstone?

What is the urgency at a time when Government is cash-strapped and having difficulty paying its bills to acquire Sam Lord’s Castle? How can this be a priority when Government has cut its budget across all Ministries by ten per cent? How is it that they could not find money to ease you by supporting the Barbados Water Authority for 18 months, but they can find the money to bailout Clico?

Something is very wrong with this picture. The question we must all ask now is how much is the Government going to pay Clico for the property? This is surely going to be the most expensive Government housing project in the 328 years since our settlement? The people are watching and waiting for answers. Over to you, PM Thompson.

Indices

as of close 9/15/2009


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