WEDNESDAY, JUNE 15, 2016
business@tribunemedia.net
Local creditors run into a ‘Hard Rock’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
THE Bahamian staff and landlord of the former Hard Rock Cafe (Nassau) franchise have yet to receive a single cent two years after it was placed into liquidation, amid allegations that its owners are engaged “on a fool’s errand of litigation”. Ex-MP Marvin Pinder, the father of current Elizabeth MP, Ryan Pinder, and the employees of former franchisee, HRCC (Bahamas), are claiming that the latter’s principals still owe them “hundreds of thousands of dollars”. And they are questioning what has happened to HRCC
Bahamian staff yet to get a single cent of $174k claim Ex-MP waiting on ‘many thousands’ two years later Questions on wind-up by Bahamas China ambassador (Bahamas) liquidation, which in 2014 was placed into the care of Paul ‘Andy Gomez, the then-
Economic confidence levels at ‘35-year low’ Bahamians ‘on our ass’ if reform left too late
Says IMF’s Bahamas assessment ‘spot on’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net AN ex-Chamber chairman believes consumer and business confidence are at their “lowest levels” since he returned to the Bahamas 35 years ago, and expressed concern this nation may leave it too late to change course. Robert Myers, now a principal with the Organisation for Responsible Governance (ORG), a newly-formed civil society organisation, said the International Monetary Fund’s (IMF) concerns about the Bahamas’ near-term economic future were “spot on”. He warned that unless Bahamians shook off their “apathy”, and came together to push through reforms that will alter the country’s present trajectory, it will soon have “fallen on our ass”. The IMF painted an extremely bleak See PG B4
AN ex-Cabinet minister yesterday urged the Bahamas to move rapidly in rescuing its financial services industry, which he warned was “under tremendous strain”. Ryan Pinder, former minister of financial services, told Parliament that if the Bahamas failed to develop a viable model for the sector’s growth, it would result in a “failed country” and middle class. The Graham, Thompson & Co attorney and partner used his 2016-2017 Budget debate contribution to point out that the Bahamas’ former “value proposition” of secrecy and tax avoidance had been eroded by international regulatory changes. With tax transparency, and the upcoming automatic exchange of information, set to further transform the way that the Bahamas and other international financial centres (IFCs) do business, Mr Pinder reiterated
Company waiting eight weeks for Business Licence A FORMER Cabinet minister has warned that entrepreneurs and small businesses are being “crippled” by bureaucratic inefficiencies, with one firm “now waiting eight weeks” to get a Business Licence. Ryan Pinder, the ex-financial services minister, became the latest to warn how problems with the ‘ease of doing business’ in the Bahamas were continuing to hold companies - and the wider economy - back. “One area that is crippling new and small businesses is the challenges with the ease of doing business,” he said in his contribution to the 2016-2017 Budget debate. “Much of this is as a result of bureaucratic inefficiencies. “For example, a new business might have to get inspections from numerous agencies on the agency schedule. This should be better coordinated and integrated. I know a new business who has been waiting eight weeks now to get their Business License because of unco-ordinated inspections and bureaucratic bottlenecks. “This has a direct effect on our ease of doing business, on the growth of our economy, on the success of small businesses, and the confidence of our people. See PG B5
They are justifying this demand on the grounds that there is ‘no cause of action’ to support the Doyles’ claim, and that the franchise termination was justified by their failure to make due royalty payments. Marvin Pinder and his company, Thirty 3 Ltd, ultimately took over the Hard Rock Cafe (Nassau) franchise in April 2014, after it had been pulled from the Doyles. The former MP, in a May 20, 2016, affidavit to support the franchisor’s summary judgment bid, alleged that the Doyles and HCC (Bahamas) still owe him significant sums in unpaid rent for the Charlotte Street premises, and that not a single cent See PG B5
Ex-Cabinet minister urges: ‘Rescue financial services’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
ORG chief urges citizens: ‘Shake off your apathy’
By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
Grant Thornton (Bahamas) accountant and partner, who is now the Bahamas’ ambassador to China. The concerns are disclosed in multiple legal filings in the US federal court for middle Florida, where the legal battle between Keith and Kevin Doyle, HRCC (Bahamas) principals, and Hard Rock Cafe International and several of its current and former executives, is again heating up. Hard Rock Cafe International, as franchisor, and the three executives are urging the US federal court to render a summary judgment dismissing the Doyles’ claim that they were deliberately squeezed out of their $4 million Nassau investment.
Gov’t inefficiency ‘crippling’ small businesses Ex-minister: Financial services ‘at tipping point’ ‘Business ease’ impacting sector’s reorientation
$4.00 $4.20 $4.21
$4.34
Pinder: Failure to do so will create ‘failed country’ Admits sector ‘under tremendous strain’ Calls for new residency-based ‘value proposition’
RYAN PINDER
his previous call for this nation to build a new competitive advantage based on residency. By attracting high net worth individuals to use the Bahamas as their primary domicile, the Elizabeth MP said they would escape the ‘tax net’ in their home countries via legitimate, compliant means. The Bahamas, Mr Pinder suggested, should prove its clients’ compliance by issuing them with a Tax Residency Certificate in return for a modest annual contribution to the Public Treasury. Apart from boosting the Government’s revenues, Mr Pinder said such a compliant business model would attract wealthy individuals and their families to domicile their assets in the Bahamas. Not only would these be managed by the Bahamian financial services industry, he added, but they might ultimately one day be invested in the local economy, creating jobs and investments. See PG B4
BPL ‘clamping down’ on light bill duckers Crack down on ‘friends, family, lovers’ avoiders New CEO creates ‘new sheriff in town’ impression Brings ‘first world managerial’ style to bear By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net BAHAMAS Power & Light (BPL) is “really clamping” down on bill duckers who use their ‘connections’ to avoid paying, its chief executive yesterday giving the private sector the impression “there’s a new sheriff in town”. Dionisio D’Aguilar told Tribune Business that Pam Hill had made a favourable impression on himself and other Chamber members at yesterday’s breakfast meeting, indicating that the ‘new BEC’ will be more transparDIONISIO D’AGUILAR ent and accessible than the Governmentrun model. While few specifics were divulged about BPL’s business plan, and how its manager, PowerSecure, plans to turn around the ailing energy monopoly, Mr D’Aguilar said Ms Hill’s arrival appears to herald a “first world” management style. “The breakfast was very lacking in specifics; it was more tone setting,” Mr D’Aguilar told Tribune Business. “There’s a new sheriff in town, she’s accessible, she gave her e-mail address out and asked people to call her if they have any issues. “It was a substantial modification in style from Leslie Miller. They’re [PowerSecure] very much first world in the way they do things, not this carry on and ranting and raving.” Mr D’Aguilar’s comments are likely to be interpreted as veiled criticism of BEC’s former executive chairman, and he indicated that its newly-formed operating subsidiary and management team were already See PG B5