08272024 BUSINESS by tribune242

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

THE National Health Insurance (NHI) scheme is set to impose “caps and limits” on a portion of the care beneﬁts received by 160,000 Bahamians as part of further “cost containment measures”.

The Government healthcare plan’s governing authority, in a notice sent to the scheme’s providers and which has been obtained by Tribune Business, said the restrictions to laboratory beneﬁts will be introduced in October 2024 and help to “better manage.... escalating costs”.

The notice also revealed that limitations will be maintained on the size of NHI’s care network, and the number of doctors, laboratories and other medical facilities offering services to patients enrolled in the scheme, with no new providers set to be added on New Providence before the 2024-2025 ﬁscal year ends next June 30.

Payments for laboratory services will now be made at month’s end on the 30th, instead of the 15th, from

‘Something went terribly wrong’ in Sunshine Finance loan battle

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

A JUDGE has found “something went terribly wrong” with the Supreme Court’s handling of a near$400,000 loan dispute involving Sir Franklyn Wilson’s ﬁnance company and his wife’s law ﬁrm.

Justice Simone Fitzcharles, in a July 15, 2024, verdict voiced displeasure with how the claim brought against Sunshine Finance and Sharon Wilson & Company by a Royal Bahamas Defence Force ofﬁcer had been allowed to drag on for nine years with the latter changing attorneys no less than six times.

She dismissed the bid by Wilton Livingston Saunders and his company, Nivron Ltd, to obtain summary judgment against Sunshine Finance and Lady Sharon Wilson’s law firm by finding that both have presented a “sufficiently vigorous” defence to the accusations made against them.

And, in setting a pre-trial review for September 19, 2024, Justice Fitzcharles ruled that the document demands at the centre of Mr Saunders’ separate attempt to strike-out the two companies’ respective defences “may be perceived as the claimants’ ﬁshing expedition”.

She then shredded the “11th hour” effort by the Defence Force ofﬁcer and his attorneys, Craig Butler and Alton McKenzie, to introduce new claims of “fraud, conversion and/ or conspiracy to defraud” by branding this “a fanciful claim founded on speculative accusations which cannot be supported by one scintilla of evidence”.

Justice Fitzcharles’ verdict, which dismissed Mr Saunders’ effort to secure an early victory, disclosed that the dispute also involves Frank Smith, the ex-MP and former Public Hospitals Authority (PHA) chairman, in his capacity as Sunshine Finance’s president when the loan was extended to Mr Saunders.

His wife, Sharlyn Smith, who is Sir Franklyn’s daughter and works as an attorney at her mother’s law ﬁrm, was described as “a witness to the proceedings” while her husband has been subpoenaed to give evidence in the upcoming trial.

September onwards while the 90-day wait that all new patients - apart from expectant and new mothers, as well as infants - must endure before they can join NHI remains in place.

Dr Michael Darville, minister of health and wellness, in a messaged reply to Tribune Business inquiries conﬁrmed that the notice from the NHI Authority was genuine and defended the measures as “prudent” to “ensure the continued sustainability and effectiveness” of the scheme.

By NEIL HARTNELL

THE Grand Lucayan’s potential buyer plans to demolish all its existing properties to make way for three new hotel towers and two casinos as part of an investment that could hit $2bn.

Multiple sources, speaking on condition of anonymity, have told Tribune Business the prospective purchaser is a US-based investor/developer with strong and already-existing casino industry links. While none have been willing to identify the group, it is understood that the deal may be announced imminently and possibly as early as this week.

“It’s a little vague, but it’s a US-based company with casino connections,” one contact said.

“They’re apparently going to knock all the hotels down and put up three towers and two casinos. If it’s true, it’s encouraging.

“It’s this big company, and they have big plans with the three towers. I don’t know why they

But Dr Duane Sands, the Free National Movement (FNM) chairman and one of his predecessors as health minister, told this newspaper he is “not in the slightest bit surprised” that the Government and NHI have had to seek further ways to contain healthcare costs and added: “I cannot see how they could not have put the brakes on this runaway train.” (see other article on Page 1B)

The NHI Authority Board’s notice, dated August 12, 2024, was said to have only reached some of

Fears ‘abuse’ caused NHI lab beneﬁts cap

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

AN EX-HEALTH minister and the Bahamas Medical Association’s (BMA) president yesterday both suggested that “abuse” may have caused National Health Insurance (NHI) laboratory beneﬁts to be capped. Dr Duane Sands, now the Free National Movement’s (FNM) chairman, and Dr Gemma Rolle each told Tribune Business that oversight and controls over medical testing carried out on behalf

would knock down the big hotel in the middle, which is the only one that has value.” Another source said of the buyer: “These aren’t people looking to try and ﬁnd a demand. They have that demand. They are building a supply for that demand. These are real investors, real developers and people who have real money.”

Only one of the Grand Lucayan’s three resort properties,

By FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net

THE Opposition’s leader yesterday urged the Grand Bahama Port Authority’s (GBPA) owners to “divest” at least part of their interest as he blamed them and the Government for Freeport’s economic state.

Appearing on the ‘Make it Make Sense’ radio show, Michael Pintard accused both Freeport’s quasi-governmental authority and its owners, the Hayward and St George families, and the Davis administration of using each other as “scapegoats” and creating a “deﬂection” from their shared responsibilities for Grand Bahama’s development and governance,

While maintaining that he does not support the current owners being the sole GBPA shareholders, he again called for greater transparency surrounding Freeport’s future governance and suggested the formation of a new municipal government.

Lighthouse Point, is presently open to guests. Both Breaker’s Cay and the former Memories property have been closed for numerous years - the latter ever since Hurricane Matthew struck the island in October 2016.

Subsequent checks by this newspaper conﬁrmed that its contacts have not been misinformed, with other well-placed sources also conﬁrming the purchaser’s plans. It is also

“The families ought to divest,” he said. “In other words, they can sell entirely or in part, but it is unacceptable that licensees of the Port and others who wish to be shareholders do not have a say in the governance of the Port.

“We cannot leave this resolution up to central government and the Port. This is now bigger than them, so whatever their private discussion is now we need to know in terms of what those negotiations are, what will be on the other side of a newlyconﬁgured municipal government.”

As for the Grand Bahama Power Company’s request for a 6.3 percent base rate increase over the period 2025-2027, Mr Pintard said the Free National Movement (FNM) does not support the proposal and called for

of NHI beneﬁciaries may have been lacking and prompted the intervention by the Authority administering the scheme.

Speaking after it was revealed that “caps and limits” are to be imposed on NHI’s laboratory tests beneﬁts package from October 2024 onwards in a bid to control “escalating costs”, Dr Sands said: “I’m not in the slightest bit surprised... “I couldn’t see how they could not have put the brakes on this runaway train. I am surprised they

understood that Australian golfer, Greg Norman’s, companies will be hired to design and manage the new resort complex’s golf courses which are likely to number more than one as part of ambitions to again make Freeport a tourism destination.

Prime Minister Philip Davis recently said the Government is “on the cusp” of securing a sale that has been long-promised by

MICHAEL PINTARD

GRAND LUCAYAN

BAHAMIAN STUDENTS IN CIBC INTERN INITIATIVE

TWO Bahamians were among 73 interns who worked at CIBC Caribbean’s regional ofﬁces and branches as part of the bank’s annual summer internship programme.

The students, drawn primarily from regional colleges and universities as well as those attending or accepted to colleges in the US and Canada, are spending three months involved in all aspects of the bank’s operations in Antigua, Barbados, The Bahamas, the Cayman Islands, Jamaica, St Kitts and Nevis, Turks and Caicos Islands and Trinidad and Tobago.

The internship initiative, which began on June 3 and ends on August 31, 2024, has seen the students working in units such as ﬁnance, audit, human resources, property services, personal and business banking, technology, infrastructure and innovation and corporate banking.

“CIBC is thrilled to offer our Summer Internship

Programme to over 70 students this year. This initiative is a cornerstone in our suite of early career programmes that support the development of talented young professionals. It truly is a testament to the quality of talent that exists across the region,” said Jewel Clarke, the bank’s director for talent management and employee experience.

She added that the bank’s “investment in our young professionals helps to support their development, provide meaningful experiences, and build skill-sets that they can use in the future. The programme is intentionally designed to enrich their experience with exposure to senior leaders and networking opportunities”.

Ms Clarke said that every year the bank also “welcomes returning interns whose trajectory to join the organisation is very promising. Whether they join CIBC or contribute to another employer in the region, we are honoured to provide this experience to our young people. We see the value of this important programme, and have seen it grow from ten interns

PINTARD URGES GBPA OWNERSHIP TO ‘DIVEST’

residents to be given more freedom to generate their own power through renew-

“We ought to bring the cost down, and then we ought to give residents a wider latitude to self-generate,” he added. “If you wish to create more of your power from solar, let us do

what is permitted under the regulations and the law so that more residents can generate their own power.”

Mr Pintard argued that GB Power should not consider a rate increase while

residents face “inconsistent” electricity supply and damage to appliances from power surges, and urged the utility to be more responsive to these issues.

“We also want you to discontinue stalling us when the inconsistent supply of electricity has damaged my computer, my appliances, etc,” said Mr Pintard. “We want you to be responsive to us, and don’t treat us as if we are fabricating the issue. At a time when the supply of power is inconsistent, at a time when people are seeking to retrieve resources, you are considering raising the power.”

The Opposition leader called on GB Power to disclose how much was collected from the surcharge implemented after Hurricane Dorian, and how much was recovered from insurance for storm damages.

“We want to know: Did you have insurance on those insurable assets, and to what extent did you draw down on your insurance, and what portion of your losses and your expansion does that insurance really take care of,” said Mr Pintard.

“You have the responsibility as a private company to engage in a maintenance programme to slow the deterioration of any of

in 2016 to the viable programme that it is now in 2024”.

Mornae Dorsett, a Bahamian second-year college student studying business, described her experience at the bank so far as “insightful and engaging”. She worked in the human resources and legal departments at the bank’s Shirley Street branch.

the items that you have, whether that’s transformers or generators or poles. To what extent has your programme been working, and that we are not being billed for any defaults or defects in your system of maintenance.”

Mr Pintard further criticised the Utilities Regulation and Competition Authority (URCA) for not being a “robust and strong” regulator even though its ability to oversee GB Power is being contested by the latter in the Supreme Court.

Mr Pintard emphasised the need for a stronger, independent regulator who cannot be swayed by the Government. “URCA has not been as robust and strong as an independent regulator as it has needed to be with the Government,” he said.

“We put questions to URCA on a number of issues…we never received a response in writing from URCA to address the issues.” Mr Pintard also voiced concerns about the progress of the Grand Bahama International Airport rebuilding efforts.

He claimed that the project, which was initially a public-private partnership, has now become a government-funded operation with inconsistent progress despite private companies being ready to begin work.

“I met a lot of lovely people while working with a team on different projects. It was good understanding what each department does as I decide my career path. One highlight for me was being a part of special initiatives geared toward showing appreciation to CIBC Caribbean’s clients and staff members,” she said.

Shakinah Finlayson added of her internship at the JFK Branch: “This is a great opportunity for me because I want to work in a bank. If this goes well, and I know it most deﬁnitely will, CIBC will be the bank of my choice if I decide to come home to The Bahamas to work.

“While being here I want to also gain a good understanding of the different positions within the bank. I am very excited for what’s to unfold over the next couple weeks.” She is a student at Central State University, Ohio, where she is studying accounts and ﬁnance.

“What started out as a public-private partnership with the private group bringing its money to the table and management has now become a governmentfunded operation, and even when the Government is claiming to fund it they can’t get started,” he said.

“Private companies are ready to roll who they have sourced to do the work. Still can’t get going. The Manchester group that will provide management, which is one of the largest airport operations, certainly in the UK.. they’re very ready to go. But the Government can’t get it’s act together.”

Mr Pintard urged the Government to clarify the strategy for the airport’s redevelopment and the incentives being offered to increase airlift to Grand Bahama.

“The public deserves to know what the strategy is that this government is unwilling to say what that strategy is,” said Mr Pintard.

“We need to ﬁgure out what level of incentives we will provide, whether it is for a new hotel owner or operator of the airport. What are the incentives that we are prepared to provide, and how do we intend to increase airlift, because right now airlift is contracting in Grand Bahama rather than increasing.”

The Tribune wants to hear from people who are making news in their neighbourhoods. Perhaps you are raising funds for a good cause, campaigning for improvements in the area or have won an award. If so, call us on 322-1986 and share your story.

SEVENTY-three students, including Shakinah Finlayson (centre), were welcomed as CIBC Caribbean interns this summer.

MORNAE DORSETT, a second-year college student, ﬁnishes her last week as a 2024 CIBC Caribbean summer intern.

able sources.

650 POSTS AVAILABLE AT EXUMA JOBS FAIR

By ANNELIA NIXON anixon@tribunemedia.net

SOME 650 potential jobs were made available at a recent event designed to give Sandals employees and Exuma residents access to new opportunities following the resort’s temporary closure.

Chester Cooper, minister of tourism, investments and aviation, said: “At the

recent job fair, there were more than 150 unfilled jobs from existing businesses and an inflow of more than 500 construction-related jobs with the redevelopment of Sandals and other properties that are currently being rolled out.” Companies such as Grand Isles Resort and Residences had also promised to be in attendance, noting they had “a handful of positions to fill”. Its general manager,

Joe Eustice, said applications from other interested persons will be kept on ﬁle for future consideration.

Mr. Cooper said he and his team are working to maintain airlift to the island, and he is meeting with hotel owners, local hotels and home owners engaged in vacation rentals “to ensure they are listed and can be integrated into promotions and packages”.

He added that Exuma is a vacation rental market despite the “direct jolt” from Sandals Emerald Bay’s closure that some might feel. “Whilst we will miss the Sandals infrastructure and its marketing contributions, we are conﬁdent that Exuma will hold its own in the meantime and, when Beaches Exuma arrives, we will be stronger than ever,” Mr Cooper said.

Mr Cooper previously said Sandals will double its full-time Exuma workforce to 850 staff when the $100m transformation of its Emerald Bay property into the Beaches brand is complete.

Also Exuma’s MP, he said the existing resort will temporarily close on August 15 for between six to eight months to enable the necessary construction work and remodelling to take place. Asserting that some 400

Lucayan buyer’s $2bn plan eyes knock down

both his administration and its Minnis predecessor, and he is understood to have taken personal charge of the negotiations to ensure both the right buyer is found and a deal is secured after several misses.

Many Grand Bahama residents and other observers, sceptical after both the Royal Caribbean/ITM Group and Electra America purchase offers foundered, will likely only believe a Grand Lucayan deal has been achieved when they see it. However, Tribune Business understands a sales agreement has been signed and, most important in any real estate-based transaction, a deposit has been paid.

The buyer and the Government, as the seller, are now involved in the due diligence process and more detailed negotiations necessary to close a sale and Heads of Agreement. The purchaser is represented by Thomas Dean, of the Dupuch & Turnquest law ﬁrm, who declined to comment when approached by Tribune Business yesterday.

Attorney Donna Harding-Lee is acting for Lucayan Renewal Holdings, the Governmentowned special purpose vehicle (SPV) that was used to acquire the resort

in September 2018 from Cheung Kong Property Holdings, the real estate arm of Hong Kong conglomerate, Hutchison Whampoa.

Resolving the Grand Lucayan’s fate, and securing a buyer who could do for Freeport what the late Sir Sol Kerzner achieved for Nassau and the wider Bahamian tourism product, is viewed as vital to reviving both the second city and wider Grand Bahama economy through providing the necessary room inventory to attract greater airlift to the island.

Magnus Alnebeck, Pelican Bay’s general manager, told Tribune Business yesterday that the Grand Lucayan’s sale remains “the key thing” to achieving the quickest possible tourism rebound in Grand Bahama although it is possible these hopes could be disappointed if the prospective purchaser goes through with the demolition proposal.

“It’s the only chance we have to put a substantial amount of rooms in inventory in the immediate future,” he said. “Any new construction is going to take a long time. We need the rooms to generate a demand that can get us more airlift.

“In my view, the only thing that can get us a

substantial amount of rooms in inventory is the Grand Lucayan getting sold and taken over by someone who quickly creates an attractive product that drives demand. Let us hope it happens. There are all sorts of rumours ﬂying around. We’ll see what happens.”

Another contact said the Grand Lucayan’s sale would act as a catalyst to spur Grand Bahama International Airport’s long-awaited redevelopment as one will not be able to succeed without the other. “Freeport deﬁnitely needs this,” they added of the resort’s sale. “Conﬁdence is at an all-time low right now.

“The airport has to be done with the hotel. The hotel needs the airport, and the airport deﬁnitely needs the hotel. One cannot happen without the other. That’s an important thing. The airport needs to be done.”

The Grand Lucayan was acquired from Cheung Kong (CK) Property Holdings by the Minnis administration for $65m to head-off the resort’s threatened closure by its former owner.

Efforts to ﬁnd a private buyer for the resort, including the Royal Caribbean/ITM Group deal submitted to the former

administration and the bid by Electra America Hospitality Group, have thus far failed to secure a purchaser. And, in the meantime, the Bahamian taxpayer has been forced to subsidise the Grand Lucayan’s annual losses to sustain its operations.

The 2024-2025 Budget provides a $17m subsidy for the resort and its immediate

holding company, Lucayan Renewal Holdings, which matches the current ﬁscal year’s allocation. However, the $17m provided for the 2023-2024 Budget year was virtually exhausted at end-March 2024, with some $16.632m having been spent, meaning that Bahamian taxpayers will almost certainly incur cost overruns.

workers will be employed during the construction phase, he added that the project will develop a much larger resort at the same location under the familyoriented Beaches brand. However, Jeremy Mutton, Sandals Emerald Bay’s general manager, said the transformation into a Beaches resort would take 12-15 months once it started - longer than the timescale given by Mr Cooper.

And, given that the Government provided Lucayan Renewal Holdings with $17.882m in the 2022-2023 ﬁscal year, the resort is set to cost taxpayers close to $54m by the time the upcoming ﬁscal year closes at end-June 2025. Given this subsidy run rate, taxpayer exposure to the Grand Lucayan now likely exceeds $200m with much of this sum unlikely to be recovered via a sale.

WHAT IS TELEGRAM AND WHY WAS ITS CEO ARRESTED IN PARIS?

By BARBARA ORTUTAY AP Technology Writer

PAVEL Durov, the founder and CEO of the popular messaging app Telegram, was arrested in Paris over the weekend over allegations that his platform is being used for illicit activity such as drug trafﬁcking and the distribution of child sexual abuse images.

Durov, who was born in Russia, spent much of his childhood in Italy and is a citizen of France, Russia, the Caribbean island nation of St. Kitts and Nevis and the United Arab Emirates. He was taken into custody at Paris-Le Bourget Airport

in France on Saturday after landing from Azerbaijan.

In a statement posted to its platform, Telegram said it abides by EU laws and its content moderation is "within industry standards and constantly improving." Durov, the company added, "has nothing to hide and travels frequently in Europe."

Here are some details on Telegram, the app at the center of Durov's arrest. Telegram is an app that allows for one-on-one conversations, group chats and large "channels" that let people broadcast messages to subscribers. Unlike

rivals such as Meta's WhatsApp, Telegram's group chats allow as many as 200,000 people, compared to a maximum of 1,024 for WhatsApp. Experts have raised concerns that misinformation spreads easily in group chats of this size. Telegram offers encryption for their communications, but — contrary to a popular misconception — this feature is not on by default. Users have to switch on the option to encrypt their chats. It also doesn't work with group chats. That contrasts with rival Signal and Facebook Messenger,

where chats are encrypted end-to-end by default.

Telegram says it has more than 950 million active users. It is widely used in France as a messaging tool, including by some ofﬁcials in the presidential palace and in the ministry behind the investigation into Durov. But French investigators have also found the app has been used by Islamic extremists and drug trafﬁckers.

Telegram was launched in 2013 by Durov and his brother Nikolai. According to Telegram, Pavel Durov supports the app "ﬁnancially and ideologically

while Nikolai's input is technological."

Before Telegram, Durov founded VKontakte, Russia's largest social network. The company came under pressure amid the Russian government's crackdown after mass pro-democracy protests rocked Moscow at the end of 2011 and 2012. Durov said government authorities demanded that the VKontakte take down the online communities of Russian opposition activists. It later asked the platform to hand over the personal data of users who took part in the 2013 uprising in Ukraine, which eventually ousted a proKremlin president.

NOTICE

NOTICE is hereby given that YAROSLAY BAIN SALAS of #2 Highpoint Estate, New Providence, Bahamas applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/ naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 20th day of August, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that WADLET GUSTAVE of 7th Street, The Grove, New Providence, The Bahamas is applying to the Minister responsible for Nationality and Citizenship, for registration/ naturalization as a citizen of The Bahamas and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 27th day of August, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE

NOTICE is hereby given that STANDLEY JOSEPH of Peardale Avenue, New Providence, Bahamas applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 20th day of August, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that CENODE JOSEPH of Pinewood Garends, New Providence, Bahamas applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 20th day of August, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that DIEUMEME THIMA of Exuma, Bahamas applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 27th day of August, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that DOROTHY PIERRE of East Street, New Providence, Bahamas applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 20th day of August, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

‘SOMETHING WENT TERRIBLY WRONG’ IN SUNSHINE FINANCE LOAN BATTLE

Justice Fitzcharles, in her 36-page ruling, asserted that “something went terribly wrong” with the Supreme Court’s management of a legal claim initiated almost exactly nine years ago on August 28, 2015. She added that the case - involving a disputed mortgage loan for an eastern New Providence condo project - should have been brought to trial some years ago but it “was not managed with due expedition”.

Mr Saunders and Nivron Ltd had approached Sunshine Finance in 2010 to obtain ﬁnancing for the two-storey development in Strachan’s subdivision and purchase the necessary land from Kevin Brown. They were ultimately approved for mortgage loan facilities valued collectively at

$397,252 that were secured on the property. However, Mr Saunders alleged that he never received the loan proceeds even though Sunshine Finance had taken a lien over his salary and was deducting monies to repay the facility. He also claimed that Sharon Wilson & Company “insisted” on acting as his attorney in the loan transaction even though it was also representing Sunshine Finance. The law ﬁrm, according to Mr Saunders, pronounced that he had good, clear and marketable title to the land only for it to be later discovered that the property was “encumbered”. He alleged that Sharon Wilson & Company said this could be solved via the Quieting Titles Act process, which it purportedly promised to complete at no cost, but

this was never done and the condo never built. This resulted in Mr Saunders and Nivron Ltd launching legal action over alleged “negligence and/or breach of fiduciary duty”, with demands that the mortgage be “nullified” and that they receive damages and lost profits. They also claimed that the mortgage documents contained a clause allowing Sunshine Finance “to levy charges against the mortgage” without Mr Saunders’ prior approval.

All these claims were vehemently denied and refuted by Sunshine Finance and Sharon Wilson & Company. They rejected the assertion that the latter ever acted as Mr Saunders’ legal representative, adding instead that the Defence Force ofﬁcer and

his company were represented by V. Alfred Gray & Company.

The duo also denied that Sharon Wilson & Company ever pledged to cure the title defects at no cost, and instead asserted that the loan was a standard mortgage transaction. However, Mr Saunders and his attorneys sought to argue they had no realistic or sustainable defence on the grounds that they knew of the title defects associated with the property when they extended the loan.

They also claimed that V. Alfred Gray & Co were “barred” from representing Mr Saunders by Sunshine Finance, and that both the latter and Sharon Wilson & Company knew they had to conduct their own title search as the conveyance to Nivron Ltd was unstamped and unrecorded.

They added that Sharon Wilson & Company, in a December 15, 2011, letter acknowledged that one apartment unit had extended beyond the property’s boundaries yet continued to pronounce that title was good and marketable, which led to the mortgage loan being increased.

Mr Saunders and his attorneys alleged that, due to the title defects, summary judgment in his favour was appropriate because there was no valid collateral for the loan facilities. However, Gail Lockhart-Charles KC, acting for Sunshine Finance and Sharon Wilson & Company, argued that the defences ﬁled by her clients are “not merely arguable” but “compelling”.

She added that Mr Saunders and his guarantor agreed to, and signed-off on, paying the costs incurred by Sunshine Finance in using Sharon Wilson & Company

while also accepting the mortgage terms. The loan proceeds were also properly disbursed. And Mrs LockhartCharles also asserted that Mr Saunders’ case was “unarguable and doomed for failure”. Her assessment was backed by Justice Fitzcharles, who found: “In my view, the defence filed by the defendants presents more than an arguable or fanciful defence. In fact, it is sufficiently vigorous to rise above any engulfing tide of summary judgment.”

However, Mr Saunders and his attorneys countered with the argument that the defences should be struck out because Sunshine Finance and Sharon Wilson & Company were non-compliant with a case management order requiring the disclosure of multiple documents including the identities of persons who cashed speciﬁc cheques.

Mrs Lockhart-Charles, though, branded this move as “confused and ill-conceived” while asserting that her clients had complied with all disclosure obligations. Justice Fitzcharles again agreed, describing the strike-out demand as “misguided” because the case management order was for general and not speciﬁc document disclosure.

Satisﬁed that there had been adequate disclosure by the defendants to-date, the judge added: “The requested documents are speculative and the exercise may be perceived as the claimants’ ﬁshing expedition.”

She reserved her harshest words, though, for the attempt by Mr Saunders and his attorneys to re-cast their claim around fraud allegations. It was noted that Mr Smith’s testimony was being sought to clarify “why his signature is on certain cheques made out in” Mr Saunders’ name as well as whether the loan proceeds were fully disbursed.

However, Sunshine Finance and Sharon Wilson & Company argued that the claims of “fraud, conversion, breach of ﬁduciary duty, gross negligence and conspiracy” were all being introduced “on the eve of trial” in a case they “have had hanging over their heads for nine years”. And they pointed out that bringing these claims was legally barred because the relevant limitation period had already expired. Mrs Lockhart-Charles argued that her clients “have been harassed by vexatious litigation” and “have suffered long enough” from Mr Saunders and Nivron Ltd “dragging their heels” and failing to advance their claim.

Justice Fitzcharles agreed, ﬁnding that the claimants “are the authors of their own misfortune” by failing to properly plead their case earlier. She added: “The claimants’ proposed re-amendment, if allowed, would present a fanciful claim founded on speculative accusations which cannot be supported by one scintilla of evidence presented in these proceedings thus far....

“Litigation must have an end. Parties should not be dragged into fathomless litigation, being made to suffer the unduly onerous ﬁnancial burden of defending themselves in such proceedings. In the present claim, some nine years have elapsed. Enough of the court’s valuable judicial time and resources have been expended as a result of the mismanagement of this claim.” Hanna, Kellman & Associates; V. Alfred Gray & Company and Temple Law Chamber; Martin, Martin & Company; Outten IP; Bowleg McKenzie Associates; and Mr Butler are the attorneys employed by Mr Saunders to ﬁght his legal battle.

NHI’s 160,000 face lab beneﬁts ‘caps’

FROM PAGE B1

the scheme’s medical providers yesterday. One, speaking on condition of anonymity, said: “This is breaking news. This is hot off the press. The phones are lighting up. Everyone is talking about it.”

The notice was billed as seeking “to convey the critical decisions ﬁnalised by the NHI Authority Board of Directors regarding the ﬁscal 2024-2025 Budget allocation and its impact on service delivery in the future.

“Due to the Government of The Bahamas’ broader ﬁscal management priorities, and to ensure the programme’s sustainability, the NHI Authority Board of Directors has directed the following cost containment measures in its ﬁscal 2024-2025 Budget allocation,” the NHI Authority Board warned.

“Starting in October 2024, the NHI Authority will introduce caps and limits to the laboratory beneﬁts package to better manage escalating laboratory costs. Awareness campaigns will be launched to inform beneﬁciaries, providers and the public about these new measures.

“Expansion of the provider network throughout the archipelago will be guided by resource and capacity management considerations. No new providers will be onboarded in New Providence during the ﬁscal year 2024-2025.”

Conﬁrming other more minor adjustments, as well as the continuing 90-day wait before most new patient applicants are admitted to NHI, the NHI Authority Board added:

“As of September 2024, the payment schedule for laboratory reimbursements will be adjusted to the 30th of each month. Capitation and bundled payments will continue to be reimbursed on the 15th of each month....

“The 90-day enrollment timeline for new beneficiaries will remain in place, except for maternity and infant beneficiaries, who will receive the previous standard processing timelines.” The changes, especially the laboratory benefits “caps and limits”, could affect up to 40 percent or four out of every ten Bahamians based on a 400,000-strong population.

Defending the measures, and seeking to explain the rationale for

their implementation, the NHI Authority Board also warned that further cutbacks and restrictions may become necessary. It added:

“Since its launch in 2017, the NHI programme has become a Bahamian success story, exceeding expectations and pioneering a transformative approach to healthcare delivery.

“The programme has successfully enrolled over 160,000 Bahamians and residents, and provided them access to essential healthcare services. It has also signiﬁcantly improved health outcomes nationwide, ultimately contributing to increased life expectancy and reduced healthcare disparities.....

“These changes have been carefully and thoughtfully considered to serve the best interests of all stakeholders. The NHI Authority Board of Directors and executives are committed to responsible governance, which necessitates the implementation of these operational and programme reforms,” it continued.

“Our provider network and the Bahamian public deserve a programme that operates efﬁciently while

maximising resources. As we continuously assess the performance of the NHI Authority programme during the ﬁscal year, if additional measures become necessary we will communicate them directly to you, our valued stakeholders.”

The NHI Board concluded by pledging that it “will work diligently to recommend diverse and sustainable funding mechanisms to the Government, ensuring the longevity and success of the NHI Authority for future generations of Bahamians”.

Translated, the notice appears to warning Bahamians - and especially NHI beneficiaries - that there is little choice but to cap and restrict some of the care benefits they enjoy because the healthcare scheme’s costs are exceeding the multi-million Budget financing received from the Government.

The NHI Authority was allocated $46.2m for the 2024-2025 ﬁscal year in the Government’s nowapproved May Budget, which is a sum equal to what was granted in the prior year. Almost 70 percent, or $32.273m, of the

funding granted for the 2023-2024 fiscal year was used during the first nine months to end-March with the NHI allocation for the next two fiscal years presently unchanged at the same $46.2m.

However, questions were yesterday being asked as to whether the $46.2m allocation is still sufﬁcient and if NHI is under-funded. One source, speaking on condition of anonymity, challenged why patients and providers were only being alerted to the possibility of cut backs and restrictions now when this would likely have been known from when the Budget was unveiled and passed.

Arguing that the NHI Authority Board’s letter was effectively saying the scheme is “not properly funded”, hence the need for “caps and limits”, they added: “Why has it not sufﬁcient;y been funded to cover expenditure? NHI should be in a position where it’s expanding beneﬁts, not cutting back.

“They’re trying to manage money they don’t have. The Budget is baked. Why wasn’t that revealed when NHI was discussed

Fears ‘abuse’ caused NHI lab beneﬁts cap

haven’t done it sooner. It was one of those gaps in oversight that I am sure they have a massive hole now. They opened it up to ‘discretion’, and discretion translated into revenue; unrecognised revenue.”

Explaining what he meant by this, Dr Sands indicated that oversight weaknesses in the NHI scheme had created opportunities for some doctors to establish their own so-called “pop up” laboratories to conduct medical tests for patient beneﬁciaries.

“It is a problem that, on the one hand, the oversight, the management of the programme left something to be desired,” he added. “Second, sadly it gave an opportunity for a number of so-called ‘pop-up’ laboratories, and those laboratories started doing testing. These were labs in doctors’ offices. “It became a revenue set-up for a lot of people. I don’t know if it translated into a drastic improvement in quality. Suffice it to say that NHI was already challenged to keep up with its funding and now I doubt they’ll tell us how big this hole is but I suspect it’s a big one so they’ve put the brakes on. I am not surprised that NHI finds itself in the state that it’s in.”

Dr Rolle, meanwhile, took a more measured view of the NHI Authority’s move. “There’s going to be some growing pains with NHI,” she said. “Anything that’s new to a country or a system there’s going to be some things you try to foresee; obstacles prior to the implementation, but it isn’t until it starts going that you realise that there are some things you don’t necessarily see coming and now it’s happening.”

Pointing out that private health insurance companies impose caps/limits on the amount of blood work and other lab tests for which patients are covered, the MAB president added:

“What NHI is working on is seeing how there can be some control and regulation of how these tests are conducted and utilised. “Let’s say you do a particular test every month. Who’s paying for that? There’s a cost associated with that. Let’s see how we can maximise on utilisation of NHI without abusing certain functions of it. While they get more control of that, let’s onboard more physicians, patients and keep it moving.....

“We do understand there are going to be some obstructions, we do understand this is something quasi-governmental, we do understand that funding

during the Budget? They cannot be talking about money in the second week of August.

“Was the allocation insufﬁcient? You cannot say that in the second month of the Budget. Why wasn’t that mentioned in the context of the Budget by the minister responsible for health? When was this known, and why not communicate this position with the Budget exercise?”

Dr Darville, in reply, told Tribune Business: “As noted in the August 14th memo, the NHI programme funded by the Government of The Bahamas has achieved remarkable success and signiﬁcant growth over the last seven years, enrolling over 160,000-plus Bahamians while ensuring access to quality, affordable healthcare across the archipelago.

“As a government agency, NHI is committed to ensuring ﬁscal responsibility and good governance. In light of our ongoing review of programme utilisation and resource management, we have introduced prudent measures to ensure the continued sustainability and effectiveness of the programme.”

may play a role, but we remember we are doing this to serve our people and help those that are disadvantaged and help those that otherwise would not be able to afford healthcare on their own.”

The NHI Authority Board’s notice, dated August 12, 2024, was billed as seeking “to convey the critical decisions ﬁnalised by the NHI Authority Board of Directors regarding the ﬁscal 2024-2025 Budget allocation and its impact on service delivery in the future.

Defending the measures, and seeking to explain the rationale for their implementation, the NHI Authority Board also warned that further cutbacks and restrictions may become necessary. It added:

“Since its launch in 2017, the NHI programme has become a Bahamian success story, exceeding expectations and pioneering a transformative approach to healthcare delivery.

“Our provider network and the Bahamian public deserve a programme that operates efﬁciently while maximising resources. As we continuously assess the performance of the NHI Authority programme during the ﬁscal year, if additional measures become necessary we will communicate them directly to you, our valued stakeholders.”

NOTICE is hereby given that DODI LINVAL HILL of P.O. Box SS1956, Barclays Lane

Bahamas applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 27th day of August, 2024 to