Tag: Dr.Rufus Ewing

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Response from Former Deputy Minister Hall for West Caicos Development

20130117-114906.jpg20130117-114944.jpgResponse to Duty Concession for West Caicos

Date: 18 February 2013
By: Floyd Hall
Subject: Duty Concessions
It was a fascinating read for me going through the Development Order entered into by the Government of the Turks & Caicos Islands and West Caicos Development Company. This was particularly so given that at the Commission of Inquiry of 2009 and the past Interim Administration no effort was speared by the Commissioner and the British big wigs in branding these types of concessions offered by the then PNP Administration as being corrupt and damaging to the people of the Turks & Caicos Islands. In fact, I can still hear the constant refrains from the British folks that included: “because of the concessions offered by the former PNP Administration the country is broke; because of the former PNP Administration the country has lost millions of dollars in revenue; or because of the concessions offered by the previous administration we have to cut cost.”
Those refrains became so monotonous that I think some people begun to tune them out. However, those statements served their purpose well for they cultivated a diabolical and malicious narrative that fed into the notion that the PNP Administration was corrupt and that those investors who were associated with that administration or benefitted in any way from duty concessions offered by that government were likewise corrupt and ought to be held to account. Others harped on the chorus to draw erroneous conclusions that as ministers in government, we stole from the Government’s Treasury or sold the country out.
Needless to say that to jump to such a conclusion was a huge leap especially given that all Development Orders had to be processed through the Attorney General’s Office and ultimately approved by the Cabinet where the British Attorney General set as legal counsel and the Governor set as President. It would appear to me now that for the British, the only thing that mattered was for the elected government of the day to be destroyed and if it were necessary to brand the activities of that government as being corrupt in spite of the vast level of prosperity that it brought to our shores then so be it.
As far as the British representatives were concerned, they had the “support” of the people of the Turks & Caicos Islands to go after us and that they did. They obliterated our Constitution and cast us all as a group of misfits, saved for the few that they picked out to sit on their appointed bodies. Consequently by their actions or, in some cases inaction, they brought our economy to a screeching halt.
A different tale of sorts is now evolving in the Turks & Caicos Islands today. The sinister plot of the British representatives is gradually being exposed. Even those who were in the minority calling out for the British suspension of our Constitution and to take control over our country are beginning to see that this was a monumental mistake. The gross incompetence of some of these British representatives is wreaking havoc on our country daily. We now have a Governor who thinks he is the law; an Attorney General who is absent more often than he is present (both physically and mentally) and law suits that appear to have no end. One has to ask the question these days, was it worth it? Or, are we any better off for what we have had to endure?
Getting back to the issue of duty concessions, I must say that I support the West Caicos Development Group getting its concession. Likewise, I support the concessions that we gave during our time in office to the Seven Stars, Grace Bay Club, The Regent Group of Companies, Third Turtle Club, the Salt Cay Group, Dellis Cay, Beaches, The Veranda and many other foreign investment entities that came to our shores during that period. These concessions are a necessity in small island economies such as ours.
As a small developing country, we have to remain cognizant that we operate in a competitive environment both regionally and internationally. Within the fifty states of the U.S. there is fiscal competitiveness constantly. Texas competes with California for corporate business, New York with New Jersey and there are countless other areas of competiveness. China competes with the U.S with Trade and technology, Hong Kong competes with New York and the City of London. We operate in a competitive universe and elected governments need control of their fiscal policy to make their countries’ economies competitive.
We offer tourism as our main product. Unless we are attractive to foreign investment, it will go elsewhere for certain. Investors everywhere look at the rate of return on their dollars invested and to help them in selecting the TCI for their investment the cost of doing business on our shores is a huge factor in the calculation. That is why we need to remain nimble to adjust to variations in the market place to maintain our competitive edge.
But in meeting the foreign investor’s need for concessions, we cannot forget our indigenous Turks & Caicos Islanders. That is why I am particularly proud of the concessions that our government gave to our local Turks & Caicos Islanders. These included generous concessions to the taxi drivers, the tour boat operators, the owners of apartments, on the fixed assets for commercial businesses, the local car rental agencies, the cargo brokers dealing with bulk material and the list goes on and on. The only criterion that was necessary by my office was that you had to be a Turks & Caicos Islander who was engaged in a business endeavor in our country. The benefits that were given went equally to persons of all walks of life, regardless of political persuasion or color of one’s skin.
Some will quickly say that as a small country we cannot afford these concessions. In fact that is exactly what some of the British pundits said. However, they failed to take into account that had it not been for those concessions many of the properties that we now call development and are contributing heavily to our revenues in the form of accommodation tax, departure tax and import duties would not be here today. Likewise, had we not given concessions to our local businessmen, they would not be the owners of businesses in our country either. Therefore, it would be a huge mistake to look at the concessions in isolation. While concessions must be tempered with reason and balance, they do serve an important function to stimulate or maintain both local and foreign investment.
Our party is indeed very proud of our initiative with duty concessions as well as the others we made in tertiary education, health and Crown land. Before our administration, these areas were beyond the reach of our people on this scale. Many Turks & Caicos Islanders were able to get their businesses started and have remained successfully engaged in their companies to this very day. Some, however, are holding on by a “wing and a prayer” hoping for the construction industry to rebound. Nevertheless they are grateful for the opportunity from our government and expressions of gratitude are given by some to us regularly.
Unfortunately for some of the foreign developers who benefitted from duty concessions during this period, the British Interim Administration rewarded them by assessing heavy penalties simply because they supported our political party with campaign contributions. They have been criminalized or at the very least had their once impeccable reputations besmirched. This is patently unfair to these developers as they were properly entitled to support the political party of their choosing with whatever amount they wished under the prevailing laws of our country at the time. These developers were responsible in part for the exponential growth that our country enjoyed during this period. Many of these developments today are beacons of success for the Turks & Caicos Islands like the Seven Stars. Companies like these are a source of pride for Turks & Caicos Islanders who enjoy employment there. Regrettably, developments like the Salt Cay Group that could have been the gem for Salt Cay residents or Dellis Cay which could have provided invaluable opportunities for the people of North and Middle Caicos had to perish in this ill-conceived exercise by the British.
It is my understanding that some of these developers decided to settle their issues with the SIPT even though they felt that they could win legally but rather than being dragged through an arduous and litigious fight in the courts, they chose to exit this way. For some they settled even if it meant falsely admitting to being culpable to some form of impropriety with the government. For others I understand that no admission was necessary with their settlement.
Regardless of the situation, it seems to me that good governance is only dispensed when duty concessions or other governmental activities are undertaken by the British representatives to our shores. The question now for all indigenous Turks & Caicos Islanders is, are we back to those days when only those who come to our shores could receive a benefit from the government?
You be the judge!

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West Caicos Development Order in Turks and Caicos Islands

Richard Todd

West Caicos Development Order/Agreement

DEVELOPMENT ORDER
Legal Notice 2 of 2013
Made: 8th February 2013
Commencement: 15th February 2013
JASPER DEVELOPMENT COMPANY LTD DEVELOPMENT ORDER 2013
______________________________________________________________
MADE by the Governor under Section 4 of the Encouragement of Development Ordinance 1972
(Cap 20.01).
Citation
1. (1) This Order may be cited as the Jasper Development Company Ltd Development
Order 2013.
(2) The Logwood Development Co. Ltd. Development Order and The Logwood Hotel
Development Co. Ltd. Second Amended Development Order are hereby replaced.
Interpretation
2. In this Order:
(a) “Development” shall have the same meaning as in the Development Agreement.
(b) “The Development Agreement” means the Agreement dated the 6th day of
December 2012 and made between the Crown (1) the Government of the Turks
and Caicos Islands (2), the Developer (3), and Deer Valley Holdings Limited (4)
as amended, modified and supplemented (if applicable) in the interim.
(c) “excluded items” means the items deemed by the Collector of Customs to be
subject to full duty and shall include (but shall not be limited to) vehicles (other
than light weight environmentally friendly 4 or 2 stroke carts and/or electric
carts), amusement equipment, games of any kind, sailing boats, water sport
equipment, diving equipment, guest amenities, paper or cleaning supplies,
paintings, audio and audio visual equipment, linens, chinaware, flatware, kitchen
utensils, costumes, decorations, chemical products, gifts, area rugs and general
maintenance parts.
(d) “Developer” shall mean Jasper Development Company Ltd., a company
incorporated under the laws of the Turks and Caicos Islands, and having its
registered office at P.O. Box 127, Richmond House, Leeward Highway,
Providenciales, Turks and Caicos Islands, and shall include its Affiliates.
(e) “Affiliate” means with respect to a person (i) any other person that is directly or
indirectly controlled by, under common control with or controls such a person;
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(ii) any other person owning beneficially or controlling fifty percent (50%) or
more of the voting stock of such person; or (iii) any officer, director or partner of
such person. As used herein, the term “control” means possession, directly or
indirectly, of the power to direct or cause the direction of the management or
policies of a person, whether by the ownership of partnership interest or voting
securities, by contract or otherwise.
Development Enterprise
3. The Development is declared to be a development enterprise in accordance with the
Encouragement of Development Ordinance 1972.
Developer
4. The Developer is declared to be the developer in accordance with the Encouragement of
Development Ordinance 1972.
Premises of Development Enterprise
5. The Development shall be constructed, managed and otherwise operated at the land on
West Caicos specified in the Development Agreement.
Commencement of Development Enterprise
6. The construction by the Developer of the Development has commenced pursuant to the
Logwood Development Co. Ltd. Development Order.
Completion of Development Enterprises
7. The date on or before which it is anticipated that the Development shall be completed is
31st December 2027.
Other Conditions
8. The construction and operation of the Development shall be carried out in accordance
with the terms and conditions of the Development Agreement. The benefits and
covenants expressed therein shall form part of this Order.
Declared Benefits – Phases 1 and 2
9A. Subject to the provisions of the Encouragement of Development Ordinance 1972 and
provided that at least seven (7) days prior to the importation of any article into the Turks
and Caicos Islands pursuant to this Order, the Developer shall furnish the Collector of
Customs with a list which shall be agreed with the Collector of Customs describing the
articles that are to be imported including their categories and their quantities, the
Developer shall be entitled with respect to Phase 1 and Phase 2 of the Development (as
those phases are defined in the Development Agreement):
(a) for a period of fifteen years from the date of this Order to exemption from:
(i) any taxes on profits, gains or turn-over attributable to the Development;
(ii) any real property tax, capital levy or other tax on capital invested in the
Development;
(b) in relation to the Hotel Development (as defined in the Development Agreement)15349797\1 -3-
for a maximum period of five (5) years from the date of this Order, or until the
Hotel Development is completed, which ever is the earlier, to a reduction to 7 %
in customs import duties under paragraph 4 of The Customs Tariff (General)
Order 1991 on-
Materials:
(i) all building materials (except excluded items) which the Collector of
Customs is satisfied are imported for and to be used solely in the initial
construction and fitting out of the Hotel Development;
Equipment:
(ii) all plant, machinery, equipment, tools (except excluded items) which the
Collector of Customs is satisfied are imported for and are to be used solely in
the initial construction of the Hotel Development;
Furniture, Fixtures and fittings:
(iii) all furniture, fixtures and fittings (except excluded items) which are normally
capitalised in accordance with the generally accepted accounting principles
and which the Collector of Customs is satisfied are imported for and to be
used solely in the initial construction of the Hotel Development;
(c) in relation to the remainder of the Development, for a maximum period of fifteen
years from the date of this Order, or until the Development is completed, which
ever is the earlier, a waiver of all customs import duties on all materials,
equipment, furniture, fixtures, fittings and items (other than excluded items) to be
used in the Infrastructure Works (as defined in the Development Agreement) of
the Development, including:
Materials:
(i) all building materials (except excluded items) which the Collector of
Customs is satisfied are imported for and to be used solely in the initial
construction and fitting out of the Infrastructure Works comprised in the
Development;
Equipment:
(ii) all plant, machinery, vehicles equipment, tools (except excluded items)
which the Collector of Customs is satisfied are imported for and are to be
used solely in the initial construction of the Infrastructure Works
comprised in the Development;
Furniture, Fixtures and fittings:
(iii) all furniture, fixtures and fittings (except excluded items) which are
normally capitalized in accordance with the generally accepted accounting
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principles and which the Collector of Customs is satisfied are imported for
and to be used solely in the initial construction of the Infrastructure Works
comprised in the Development;
(d) from the date hereof until the expiry of a period of 15 years from date hereof, a
reduction to 10% in Customs import duties on all materials, equipment, furniture,
fixtures, fittings and items (other than excluded items) used in the Development;
(e) for a period of 15 years from the date of this Order, a reduction by 50% of the rate
of cargo dues on Materials payable from time to time under the Docks Ordinance
1984; or any statutory modification on re-enactment thereof and any regulations
made thereunder or, any other supplementary or additional enactment imposing
cargo dues, or the equivalent by whatever name called.
PROVIDED THAT if the Developer fails to give at least 7 days notice prior to the importation
of any article the Collector of Customs shall be entitled to charge customs duties at the full rate
in respect of such article AND PROVIDED FURTHER that duties on articles imported may
become payable as provided by Section 9 (1) of the Encouragement of Development Ordinance
in the event of their being disposed of in any manner within five years from the date of
importation.
Declared benefits – Phase 3
9B.1 Subject to the provisions of the Encouragement of Development Ordinance 1972 and
provided that at least seven (7) days prior to the importation of any article into the Turks
and Caicos Islands pursuant to this Order, the Developer shall furnish the Collector of
Customs with a list which shall be agreed with the Collector of Customs describing the
articles that are to be imported including their categories and their quantities, the
Developer shall be entitled with respect to Phase 3 of the Development (as that phase is
defined in the Development Agreement) for a maximum period of ten years from the
date of commencement of Phase 3, or until Phase 3 is completed, whichever is the earlier,
to—
(i) a reduction by 50% of the then-prevailing rate of customs import duty on-
Materials:
(i) all building materials (except excluded items) which the Collector of
Customs is satisfied are imported for and to be used solely in the initial
construction and fitting out of Phase 3;
Equipment:
(ii) all plant, machinery, equipment, tools (except excluded items) which the
Collector of Customs is satisfied are imported for and are to be used solely in
the initial construction of Phase 3;
Furniture, Fixtures and fittings:
(iii) all furniture, fixtures and fittings (except excluded items) which are normally
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capitalised in accordance with the generally accepted accounting principles
and which the Collector of Customs is satisfied are imported for and to be
used solely in the initial construction of Phase 3; and
Infrastructure
(ii) a complete exemption from customs import duty on all building materials (except
excluded items) which the Collector of Customs is satisfied are imported for and to be used
solely in the initial construction and fitting out of infrastructure for Phase 3, and
“infrastructure” for these purposes shall be deemed to refer to all or any (as applicable) of
the types of items set out in Schedule 1, paragraph 2 of the Development Agreement
(“Infrastructure Works – General Scope”) and generally to physical services and facilities
reasonably required to build and operate the Development or any part thereof in the
manner and to the standard contemplated by the Development Agreement.
PROVIDED THAT if the Developer fails to give at least 7 days notice prior to the
importation of any article the Collector of Customs shall be entitled to charge customs
duties at the full rate in respect of such article AND PROVIDED FURTHER that duties
on articles imported may become payable as provided by Section 9 (1) of the
Encouragement of Development Ordinance in the event of their being disposed of in any
manner within five years from the date of importation.
9B.2 In relation to Phase 3, the Developer (or its applicable Affiliate, as the case may be) shall
be entitled to a reduction in stamp duty of 50% of the then-prevailing rate on land
transfers and leases (i) to the Developer or any of its Affiliates, and (ii) to buyers of
residential parcels (including strata and built lots) from the Developer or any of its
Affiliates, which are presented for registration in the Land Registry during the
period of five years from the date of this Order.
Cessation of benefits and recovery of duty
10.
(1) If at any time after the date of making of this Order the units within the
Development which are designated or intended for use as accommodation from
which the Government derives revenue under the Hotel and Restaurant (Taxation)
Ordinance are not used or cease to be used for the purposes of such
accommodation other than by reason of force majeure or by reason of seasonal
closure (such not to exceed three months in any given year), the Developer shall
pay to the Government the amount of taxes, capital levy, or customs import duties
which the Developer would have paid if it had not been for articles 9A or 9B.
(2) The rate of interest referred to in paragraph (3) shall be 4% above Barclays Bank
plc’s base rate from time to time; and
(3) interest on that amount at the rate specified in paragraph (2) for the period
beginning with the date on which the taxes, capital levy or customs import duties
would have been paid if it had not been for article 9 or the date when a unit which
has been used as accommodation from which the Government derives revenue
under the Hotel & Restaurant (Taxation) Ordinance ceases to be so used
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whichever is the later and ending not later than the date on which the taxes,
capital levy or customs import duties are paid.
(4) Nothing herein shall be construed so as to entitle the recovery by the Government
from the Developer of taxes, capital levy or customs import duty benefits or
concessions afforded to Logwood Hotel Development Company Ltd or Logwood
Development Company Ltd.
Made this 8th day of February 2013.
DAMIAN RODERIC TODD
GOVERNOR

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Letter To William Hague-Premier of the Turks and Caicos Calls for the recall of the Governor

Letter to Rt Hon William Hague-Premier of the Turks and Caicos Calls for the recall of the Governor, the AG and the CFO

February 10, 2013
Rt. Hon. William Hague
First Secretary of State for Foreign and Commonwealth Affairs
Foreign and Commonwealth Office
London

Dear Hon. Hague,
I take this opportunity to write to you in your capacity as first Secretary of State for Foreign and Commonwealth Affairs with overall responsibility for the Governance of the Turks and Caicos Islands. Hon. Hague as stated in my address to Minister Simmonds and Members present at the recently held Joint Ministerial Council, I thank the UK Government for the restoration of democracy in the Turks and Caicos Islands through the holding of elections that have enabled the establishment of a democratically elected Government of the people, by the people and for the people. Hon Hague, I however expressed our concerns as it relates to the good governance of the territory during this current post election period. As a newly elected government we are committed to good governance and the rule of law, but adherence to such principles should apply to all persons, at all levels of government, including the Governor and Attorney General.
Hon. Hague, I recalled attending a town hall meeting in early 2012 hosted by the Governor. Amongst the matters tabled at this meeting was the issue relating to VAT. At that meeting, there were several members of the community who expressed their displeasure at the arrogant and dictatorial manner in which the Governor handled the affairs of the country. At the end of the meeting I posed a simple question to the Governor, “Would an elected Government be able to repeal and reverse any of the laws and decisions of the Interim Administration?” His answer was simply, “Yes as long as it is in conformation with the Constitution and the law”. The answer was perfect, and he said it with a chuckle. Hon. Hague, this brings me to this point, our current Constitution.
Hon. Hague, many of the current atrocities and wrongful acts that are being committed by the Governor and the Attorney General are being done contrary to the stated principals and ideals of our Constitution and international laws of human rights, and some of these acts are being perpetrated under the cover of the Constitution. These actions seriously bring into question, both the character of these individuals, as well as questioning elements of the Constitution, its legality and its fairness.
Hon. Hague, the Turks and Caicos Constitution Order 2011, is not a Constitution of the people, by the people or for the people, and hence it should be amended and advanced, and we should start this process immediately through the proper procedures and dialogue. In the interim, we would expect that the territory of Turks and Caicos be governed by the 2011 Constitution, but with fairness, and the real best interest of the people, as expressed by themselves or through their elected government. This position has been articulated on many occasions in the past. It was stated on many occasions on behalf of the people of the Turks and Caicos Islands, that the very suspension of the 2006 Constitution was unnecessary. It was well established that there were many other options available to address alleged corruption and maladministration of a government of which the former Governor Tauwhare, was at the centre and head. During the Interim Administration, the Governor had absolute power, and exercised this power, regardless of the expressed wishes of the people of our country! During this period, there was a total disregard for the Constitution with respect to the appointment of a Belonger Deputy Governor. In the absence of the Governor, other members of the Interim Administration were appointed as Acting Governor, in direct contravention of the constitutional order laid down. There was the passage of an Appropriations Bill by the Governor himself. We also witnessed the passage of other laws, such as trial without jury, the hearsay and equality law, components of which go against our principles as a Christian Nation. During the period of the Intermin Administration, the Governor became comfortable to a dictatorial style of rule. Now, however, in the presence the newly elected repreventative government, the Governor and other remaning officials from the former administration, the Attorney General and the Chief Financial Officer, have demonstrated a reluctance to facilitate the transition of governance back to the the people of this country.
Hon. Hague, the alleged wrongdoings of members of the former PNP Administration and associates is quickly being exposed as being a farce, impregnated with cloak and dagger acts on the part of the Governor, AG Chambers and SIPT, to incarcerate Turks and Caicos Islanders at all costs, even at the cost of the violation of the principles of justice and the human rights of individuals. There is now a growing focus by the regional and international community on this matter, as blatant acts of “justice for sale” have been conducted here in the TCI under the disguise of plea bargaining. Such cases include many well-known expatriate developers who have secured their freedom from prosecution, both by monetary exchange under the guise of “Civil Recovery” and by providing evidence against accused local politician “co-conspirators”. Hon Hague, the sale of justice is not an example of good governance! Furthermore, it is quite evident that the Governor is deeply involved with the day to day operations of the SIPT, hence, is subject to impaired judgment, or has questionable motives in overseeing the affairs of this country.
Hon Hague during the period of the Interim Administration, the Governor asented to numerous pieces of legislation and undertook many reforms which were meant to create an environment of good governance and effective and efficient administration during a period of economic downturn. However, these legislations, reforms, austerity measures and tax policies that were implemented in preference to robust revenue strategies resulted in high unemployment, social neglect, large emigration of members of the workforce, abundant business closures and much civil unrest. These effects were coupled with a Governor, who ruled without a social conscience, and had no respect for the business community or indigenous local community, many of whom have publically expressed reciprocal sentiments of the Governor. The Governor and his administration, in their haste to expedite their mandate or agenda ended up violating many principles of good governance that had recently been approved and committed many acts that were similar, or identical to those that members of the previous administration were alleged to have committed. These acts were of such magnitude that even those persons who called for the intervention of the UK Government were calling for the recall of the Governor and regretted the method of intervention by the British.
Hon. Hague, the financial trough that the Turks and Caicos is currently in, due in part to the preferential austerity measures by the Governor is not insurmountable, as the potential of the Turks and Caicos is great and the future is bright. We acknowledge our properly verifiable debt, and are committed to the repayment of this debt. However, the financial strategy for economic growth and loan repayment via VAT that is mandated by the various financial mandates of the CFO and the Governor, are not the way to prosperity. The arguments against VAT in the TCI, and the need for the current method of taxation and economic diversification and growth as avenues to prosperity have all been well articulated by many. The people of this country from all sectors and the representatives of the people, in the House of Assembly, have all said “NO TO VAT” and are all in agreement with the economic strategies put forward by the government. Denial of the expressed wishes of the people, would be a clear indication of democracy not being restored to the people of the TCI!
Hon. Hague as stated already, our beautiful by nature Turks and Caicos has a bright future. But the current Governor, Attorney General and CFO, as remnants of the previous administration are obstacles in the way of prosperity. They never have, and even more so now, enjoyed the trust, confidence and support of the people of the Turks and Caicos Islands. I am hereby requesting that Governor His Excellency Damian Todd, Attorney General Huw Shepard and the Chief Finanical Officer Hugh McGarrel Groves be recalled and replaced by unbiased individuals, better suited to adapt to and to work synergistically with a democratically elected government, the business community and the local community. This will ensure that all stakeholders will have a fresh start at governing the Turks and Caicos Island in the best interest of our people.
Respectfully

Dr. The Hon. Rufus W. Ewing
Premier
Turks and Caicos Islands

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HOUSE OF ASSEMBLY VOTES TO REPEAL VAT IN TURKS AND CAICOS

House of Assembly votes to repeal VAT, final decision rest with Governor Todd the Dictator
Published in TCI POST on 01st February
The House of Assembly has voted overwhelmingly to repeal the VAT law…………
The Governor put himself in a very awkward position regarding the VAT Bill. It was unprofessional, undiplomatic and dictatorial for him to publicly announced before the elections that an elected government cannot repeal VAT.
Now the governor has his his ego to protect and no doubt would use his considerable offensive colonial powers under the TCI British imposed constitution to veto the bill repealing VAT.
Nevertheless the government and the opposition did the right thing in voting for the repeal of VAT. The only voice in the House of Assembly that argued against repealing the bill was the governor’s appointed member Lillian Misick.
Should the Governor veto this bill whether with the advice of the Secretary of state or or his own accord, it is likely to trigger a series of events which could see civil disobedience on one hand or a spirited diplomatic effort to ensure that the bill is repealed.
The Minister of Finance stated that if the bill is not repealed that he would refused to enforce the law as it relates to VAT. I have no confidence in this approach although I wholeheartedly admire the tenacity of the Minister of Finance.
The trio of the Governor, the AG and the CFO will just do what they do best. They will intimidate and threaten civil servants to enforce VAT. The Governor made it clear in a recent press release that the TCI is jointly governed by him and the PNP. This is a clear admission by the governor that there are two governments performing at the same time in the TCI.
So folks the fight is far from over, in fact it has just began. John Glasgow

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Press Statement from Michael Misick in Prison Brazil

Press Statement from Michael Misick in Response to the AG Statement
Published in TCI POST on 01st February

I have read with amazement the comments of the Attorney General Huw Sheppard as to why I cannot return home voluntarily.
Firstly, I nor my legal representatives have ever given any previous assurance of my return nor was I ever ask to show up at any police station at any given time to answer any questions.
Sometime during 2011 my legal representatives received a letter from Helen Garlick saying that she would be inviting me to return for questions. My lawyer responded by asking for full disclosure and subjects of the questions so that I could be prepared to answer them. My lawyer never received full disclosure or the subject matter of the questions.
The next time I heard anything from SIPT or Helen Garlick was in February 2012 when they issued an Interpol Red Alert for my arrest. By that time, because of my belief that I could not get a fair trial and that me and my colleagues are being prosecuted for our political beliefs I had already applied for political asylum in Brazil. Once the Red Alert was issued, I was stuck in Brazil and could not travel home freely. There was no window of opportunity given to me to voluntarily show up.
I am a political prisoner having been arrested illegally at the request of the Attorney General Huw Shepheard and the British Government and documents they filed in the Brazilian Supreme Court requesting my detention and extradition to the Turks and Caicos Islands. For that reason, the only way that I can be released from prison is if the AG and the British Government withdraw the prison order and agree to my voluntary return. My stay in jail is not up to the Brazilian authorities as the AG asserted but it is up to the TCI Attorney General Huw Shepheard, Special Prosecutor Helen Garlick and the British Government.
In spite of still holding the belief that I cannot get a fair trial, I and my lawyers have offered for me to voluntarily return home in exchange for the AG and the British Government withdrawing my prison order. I was arrested on December 7th 2012. Today is Janurary 27th 2013. If the AG and others were truly interested in me coming home to face justice why for almost 60 days they had not made the official request for my extradition or accepted my offer to voluntarily return home?
It is obvious that the delay is about revenge and my continued political prosecution, they want to punish me by keeping me locked down in a maximum security prison in Brazil for as long as they can. Reality is that I have applied for political asylum in Brazil and there is a Red Alert out for me so how am I a flight risk? Why would I abandon my asylum application and leave Brazil? In fact I cannot do anything without the AG and Helen Garlick agreement to lift the Red Alert.
By these facts I again call on the AG and Helen Garlick, if they are truly interested in fairness and justice, to allow me to come home voluntarily so that I can answer questions and begin to prepare my defense since they have already decided that I will be charged even before asking me the first question.
It makes no sense to waste more of the TCI tax payers time and money on a long and drawn-out extradition process. The AG knows that extradition is a process and that the process must be followed wether I consent to be extradited or not. I have publicly declared my willingness to come home voluntarily, I am interested in justice. I am interested in coming home to clear my name.
The Ag and others can facilitate my speedy return so I can face their justice or they can continue to make excuses and continue their prosecution of me and punishing me without a trial by leaving me in jail in Brazil because they are upset that I did not return home a year ago. This is revenge, not justice. The choice is theirs not the Brazilian authorities.
I could be home to face whatever charges they choose to place on me in 24 to 48 hours of the AG and the British Government agreeing to my voluntary return.
There is recent president for this in England where at least one high profile prisoner did agree to voluntarily return there to face charges after being away for many years. My situation is no different from theirs.
It is highly unusual for a person that is a country’s most wanted to want to voluntarily return and the authorities of that country refusing to accept him or to expedite his return.
Something is wrong with this picture. It is up to you Mr. Attorney General.
Michael Misick
Former Premiere of the Turks and Caicos Islands
From Prison
Rio de Janeiro, Brazil
27-01-2013

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Open Letter From Former Premier of Turks and Caicos Michael Misick

Open Letter From Michael Misick Former Premier Of the TCI To Helen Garlick

Michael Misick
Rio de Janero

Helen Garlick
SIPT
Providenciales
Turks and Caicos Islands
RE: Open Letter Regarding my voluntary return to my country Turks and Caicos Islands
Dear Ms Garlick
I am disappointed by your response to my verbal request and written request to voluntarily return home to answer question or any future charges that you may levy against me. I am determined to clear my name in relation to the allegations made by you towards me.
In response to my request to voluntarily return home directly on a charter flight, paid for by my family, your excuse is that I may change my mind between the prison and the airport and refuse to board the plane or (during) my stop-over in the British Virgin Islands I may decide to stay there.
This is the lamest excuse I have ever heard a law enforcement professional use to someone who is on the Interpol Red Alert and wanted in a jurisdiction for question and want to voluntarily surrender.
I must remind you that I am a 47 year old man (who) has spent 20 distinguished years in politics and dedicated service to my country Turks and Caicos Islands. In addition to having the honor of being the country’s first premiere, I have served in many different capacities as Minister (of Government) over the past 20 years. It is known that I did not at any time abscond or run away from the Turks and Caicos Islands or any charges. The fact is that I was away from home almost two (2) years when the arrest warrant was issued for me. It is also a known fact that because of the changes in the constitution, like removing the right to persons accused to a trial by jury, changes to various laws of evidence including the hearsay view, I am of the firm view it was and is not possible to get a fair trial for me and my colleagues.
It is a known fact that I while in office along with my colleagues advocate independence from Britain for our country Turks and Caicos Islands and it is my belief that this entire investigation, charges and pending charges is politically motivated and that we are being prosecuted because of our political views. As a result of the above position, it was also a known fact that I had applied for political asylum in a third country because of the political prosecution stated above and the violation of my human rights.
I have decided that in spite of my firm belief that I cannot get a fair trial, nor can my colleagues, and in spite of my political prosecution because of our belief that the Turks and Caicos should be independent and Turks and Caicos Islanders should be running every aspect of government, to voluntarily return home.
As a former Premiere and a leader in my country, I have not made that decision lightly. Therefore I could (not) and never will change my mind enroot to Turks and Caicos Islands. I therefore pledge to you and most importantly to the people of the Turks and Caicos Islands (that) if you withdraw the prison order and lift the Red Alert so that I can travel, my family will provide a plane for my return home, Officers from the Royal Turks and Caicos Islands Police force and/or Interpol can also accompany me on that direct flight to the Turks and Caicos Islands.
My word is my honor and at this stage all I have left is my word.
I (have) already spent six (6) weeks in prison in Brazil with no effort on your part, (no effort) on Turks and Caicos Government part, and (no effort) on the British part to have my safe return. If you are serious about even the appearance of Justice and not revenge and prosecution I ask that you in good faith re-consider your decision to reject my voluntary return. I again state that there is no need for a long and expensive process of extradition as I am willing to return voluntarily within 24 to 48 hrs of your agreement to have me return voluntarily.
The power is in your hands to do what is right and decent.
My trust as always is in my God.
Michael Misick
Former Premiere
of Turks and Caicos Islands
from Prison in Rio de Janero
BRAZIL

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British insists on imposition of VAT in Turks and Caicos Islands

Britain insists on imposition of VAT in Turks and Caicos
Published on January 17, 2013

By Caribbean News Now contributor

PROVIDENCIALES, Turks and Caicos Islands — In a letter on Monday to Dr Rufus Ewing, premier of the Turks and Caicos Islands (TCI), Mark Simmonds, Britain’s minister for the Overseas Territories rejected a request for a delay in the imposition of value added tax (VAT) in the TCI and confirmed that the new tax will take effect as planned on April 1, absent a credible alternative.

Following the election of the Progressive National Party (PNP) as the new government last November, Ewing and his finance minister Washington Misick have been seeking a delay of six months in the implementation of the tax.

However, according to Simmonds, a delay in the implementation of VAT would present significant risks.

Britain’s minister for the Overseas Territories, Mark Simmonds
“A delay at this stage would risk undermining the credibility of the government’s commitment to VAT particularly with those businesses that have invested in preparation. And I am not convinced that delay would make it easier for you to find and commit to the introduction of a credible alternative. I fear that a property or income tax would be likely to attract opposition at least as strong as VAT,” he said.

Simmonds went on to say that any such delay would be unlikely to diminish the opposition of those businesses who will have to pay tax for the first time or open their books or lose some of the benefits of what he described as “excessive concessions” granted by previous administrations.

He also pointed out that delaying the implementation of VAT would require the government to cut public spending further than would otherwise be necessary.

“I think you have a choice between pressing ahead with the introduction of VAT from 1 April or making a clear commitment to introducing a credible alternative to VAT such as property or income tax. I should be clear that I believe that, at this stage, the best option for Turks and Caicos is to press ahead with implementation of VAT,” Simmonds said.

Tinkering with the current disparate and unsatisfactory mix of taxes would not address the underlying weakness and unfairness of these and would not offer a credible alternative to VAT, he added.

According to SImmonds, the previous elected PNP government had already decided that VAT had significant advantages over property and income taxes but, nevertheless, invited Ewing to submit a new fiscal and strategic policy statement by the end of January.

“While you are finalising this I expect preparations for VAT implementation to continue at full speed, including investment in planned new IT, so that it can take effect on 1 April,” Simmonds added.

However, Simmonds’ claim that the previous PNP government had endorsed VAT was disputed in a subsequent statement by then finance minister, Floyd Hall.

“That statement is completely false. While it is the case that the former PNP had agreed to explore the option of selecting one of four taxation models being imposed on us by advocates for the Organization for Economic Corporation and Development (OECD), the European Union, IMF and the FCO to obtain compliance with international tax standards in our financial services industry and to achieve revenue sustainability, it was never the case where VAT was selected as a done deal for implementation in the Turks and Caicos Islands by our PNP administration,” Hall said.

The new tax was signed into law during the term of the previous interim administration run by Britain following the suspension of elected ministerial government in the TCI in 2009 as a result of widespread and systemic government corruption during the PNP’s previous term in office from 2003 to 2009.

Unrestrained government spending during those years brought the TCI to the verge of bankruptcy, necessitating a $260 million loan guaranteed by Britain and other measures to enable the territory to balance its budget.

According to the former chief financial officer Hugh McGarel Groves, VAT will be necessary for as long as Britain’s loan guarantee remains in force.

At a press conference on Tuesday, finance minister Washington Misick spoke out again against VAT.

“This is being forced down our throats,” he said. “They are committed to VAT having bought a half-million dollar software program to deal with VAT… this shows that the VAT tax is a issue of their egos making them act.”

While saying initially that he could not reveal the alternative methods of taxation to VAT that his government is considering, Misick then proceeded to reveal them on Tuesday, namely, taxes to be assessed on condominium owners who rent their properties to non owners; a 1 percent increase in the hospitality tax from 11 to 12 percent; a restoration of the higher rate of stamp duty; and a tax on water sports activity by tourists in the TCI, both in Provo and Grand Turk.

Misick estimates this will raise between $15 and $16 million per year and grow the economy of the country.

However, according to some local observers, such measures may increase government revenue but is more likely to be counterproductive to the economy.

Opposition leader Sharlene Cartwright Robinson said in a Tuesday afternoon television appearance that the opposition Peoples Democratic Movement (PDM) continues its position that it also does not favour VAT.

Robinson was not in favour of alternate taxes, however.

“We simply need to police the collection of existing taxes,” she said.

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VAT Discussions in Turks and Caicos.PNP Government against VAT

FORMER PNP GOVERNMENT WAS NEVER IN SUPPORT OF VAT

By Floyd Hall – Former Minister of Finance
Published in SUN TCI

It is most gratifying to see that the two political parties and the business community have finally gotten together to unify around a common cause in the best interest of the people of the Turks & Caicos Islands.

Sadly though, it seems as if it has taken the British Governor and the FCO stepping on the toes of some people or some groups directly before they could appreciate the gross injustice that has been meted out on this beautiful country before unified action is taken. Having said that, it is a good thing that we have achieved some modicum of cohesion, even if this may only be for the benefit of some business owners’ personal self-interest.

However, I wish to address a point that is dear to me and my former colleagues in that the former PNP administration is being misrepresented by Neil Smith in the Governor’s Office as it relates to his comments on VAT.

In Mr. Smith’s statement to the press on 15 January 2013 addressing the implementation of VAT, he stated that the former PNP Government was in support of VAT. That statement is completely false.

While it is the case that the former PNP had agreed to explore the option of selecting one of four taxation models being imposed on us by advocates for the Organization for Economic Corporation and Development (OECD), the European Union, IMF and the FCO to obtain compliance with international tax standards in our Financial Services Industry and to achieve revenue sustainability, it was never the case where VAT was selected as a done deal for implementation in the Turks & Caicos Islands by our PNP administration.

For Neil Smith to suggest that the noble intentions by our government to search for sustainable revenue streams for our country as an endorsement of VAT is grossly misleading and is typical of how the Governor’s Office has been conducting the affairs of this country for the last three years.

It was in my budget address of 2007 when I first informed the people of the Turks & Caicos Islands about comprehensive revenue reform for our country. A direct quote from that address follows:

“While recent revenue growth has been positive, it is concentrated in a few areas. We need to lessen our dependence on import duties as global tariffs reduction become more commonplace. If we do not do likewise, our competitiveness in attracting foreign investment could be eroded. The current tax regime also needs to be widened if we are to raise the necessary revenue on a sustainable basis to implement our plans. We also need to have a tax regime, which incentivizes positive behaviours and penalizes negative ones. Mr. Speaker, these objectives can be achieved through the introduction of alternative broad based taxes that are elastic, and the introduction of user charges where they can serve to defray costs. The time to act is now – we plan to consider all options.

In this regard, Mr. Speaker, I led a delegation to the Bahamas last week to discuss their revenue regime and strategies, and develop technical cooperation and exchanges in this area. We have already held discussions with the Caribbean Area Regional Technical Assistance Centre (CARTAC) concerning technical assistance to prepare a Tax Policy Study for consideration by government. This study would look at our economic structures, tax regime and recommend reforms to increase revenue yield on a sustainable basis. We are committed to this worthy task. I look forward to keeping this Honourable House and the nation informed of activities in this area.”

I later made a follow up reference to broadening our revenue base in the 2008 budget but never did I offer support for VAT or any other comprehensive tax mechanism. Unfortunately the study referenced to in the 2007 address never materialized as the country was hit by two successive hurricanes in 2008 causing extensive damage throughout the country and the global financial collapse that immediately followed in 2009 made the exercise untenable.

Our administration back in 2007 was asked to consider four different models: income tax, property tax, sales tax and VAT.

Preliminary indications from the business sector at the time suggested that the real estate and hotel industries had no appetite at all for income tax or property tax. It was believed that the real estate market was just getting its legs firmly established and that any form of taxes on income or property would be a serious deterrent to investment and would derail the real estate sector. The sales tax and VAT likewise had vociferous opposition to them albeit less so than the others but never was there any decision nor was there any canvassing of support for one tax over the other by the former PNP administration.

To the best of my knowledge, the deliberate promotion of VAT was only done when the hand-picked members of the Advisory Council and Consultative Forum ill-advisedly passed legislation implementing VAT, Trials With-out Jury, and Hearsay Evidence legislation. My recollection at the time was that there was a public outcry against all three pieces of legislation. The radio talk shows vented the opposition of the people to these Bills and so did the print and televised media.

Ironically some of the very same people who were a part of these hand-picked bodies gave credibility to the same pieces of legislation that they are now vehemently against. Similarly, the very same Governor’s office who seeks to castigate and vilify the former PNP administration at every opportunity it gets now seeks to use this same administration to fortify its promotion of VAT.

There is a popular saying that I believe resonates universally which states “you cannot have your cake and eat it too”. I think this saying applies aptly to the Governor’s Office promotion of VAT as well as those who now oppose it and gave validity to its imminent implementation. I know some will be quick to say that they opposed those pieces of legislation when they sat on those bodies. To that I will use the other popular maxim which states “the devil is in the details”.

However, I believe that the entire country is relieved that the voices that seem to matter are speaking out in unison regardless of the channels that may have brought them to this central point. To that I say thank you to all and sundry as I do wish you success in this worthy undertaking to begin the New Year.

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Time for the Governor ,Deputy Governor to start respecting Premier in TCI

Published in TCI Post

Readers may remember that late last year at the 2nd sitting of the House of Assembly, the Premier made a Ministerial Statement in Parliament. The following is an excerpt from that statement:
Mr. Speaker, as Premier, I am responsible for the conduct of business in all ministries, along with the holders of the ministerial portfolios, so I will not go deep into the business of those ministries. Mr. Speaker, I assumed responsibility for Investment and Trade as I saw the need to boost inward invest in this country. Mr. Speaker, I must state clearly that the Inward Investment Unit cannot function maximally under the Deputy Governor’s Office and with the current structure. Therefore Mr. Speaker, it is my Government’s intention to transfer the Investment Unit to the Ministry of Finance and the development of a new statutory body with similar functions to TCInvest to replace the Investment Unit in short order. I will allow the Hon. Minister of Finance to expound on this further.
Mr. Speaker, during the period of the Interim Administration, the Spokesperson for the Governor’s Office was also in charge of the TCIG’s Press Office. Mr. Speaker, after we were elected as the Government, there is a clear reluctance to relinquish control of the Press Office, which is still under the Deputy Governor’s Office. Mr. Speaker, come January morning the TCIG’s Press Office will be transferred to the office of the Premier with increased staffing and no interference. End
In response to that section of the Ministerial statement, it was brought to my attention that the Deputy Governor said that the Premier is a Minister without portfolio and cannot make such decisions and as a result the press office and the Investment Unit will be staying where they are. The Investment unit is operated from the Deputy Governor’s Office and the governor is refusing to relinquish control of the government’s press office.
The letter from the Deputy Attorney General Rhondalee Braithwaite informing investors that the Premier has no authority to deal with any investment in the TCI confirms that the Governor , the Deputy Governor and British Officials have no respect for the Premier or his office or for the will of the voters of the TCI. Rhondalee had to get permission from someone high up in the former interim regime in order to write such a letter.
The Press Secretary Zadie Neufville who is a Jamaican refused to take any instructions from the Premier and does not speak to him. Imagine an expat paid by our tax dollars disrespecting our elected Premier.
The governor and the Deputy Governor has created an atmosphere where expat civil servants will soon show the Honourable Premier their Middle Finger.
The Governor’s Parrot oops press Secretary Neil Smith still follows the elected government around even though he is not wanted and the government press secretary Zadie Neufville only take instructions from Neil Smith.
To add insult to injury the Governor and the Deputy Governor are demanding that the Premier must get approval from them first before he can hold a press conference and they want to know before hand what he is going to say. This is disrespect to the highest. When is it going to stop????

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ELECTIONS CANDIDATES NAMED

 

 

Published on August 18, 20  

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Progressive National Party (PNP) leader Dr Rufus Ewing (L) and deputy leader Carlos Simons have both been named as “at large” candidates in the November 9 election


The public relations arm of the Progressive National Party (PNP) appears to be purposely leaking the names of the individuals chosen by the party to run as candidates in the forthcoming elections, pre-empting an official announcement.

Party leader Dr Rufus Ewing, former director of medical services and architect of the National Health Insurance Plan heads the PNP team of “at large” hopefuls.

Deputy leader Carlos Simons QC, partner in the Miller Simons law firm, is the obvious second choice. 

Royal Robinson, the former land surveyor turned politician, who unseated his brother Clarence Selver in the last election, is no surprise as the third team member. Robinson, who was the project coordinator for the hospital construction when Chinese workers were on the job, has been writing lengthy weekly articles critical of the British takeover. 

However, Washington Misick is surprise number one. Returning from retirement, the former chief minister and CEO of real estate firm Prestigious Properties, was the chairman of the board during the infamous TCI Bank failure, which took down the savings of 4,000 TCI families and $23.5 million of the workers’ pension fund. Washington, brother of disgraced former premier Michael Misick, lost an election to Derek Taylor and the Peoples Democratic Movement (PDM) in 1995, after serving as chief minister for 3-1/2 years. He had defeated current leader of the PDM Oswald Skippings in the previous election.

Wayne Garland, a former elected parliamentarian, who headed tourist promotion for the PNP, working hand in hand with Michael Misick, is another surprise and the fifth member of the team. Salt Cay-born Garland may be the youngest member of the team and is the brother of the former PDM South Caicos Branch chairman.

Surprising omissions from the PNP’s slate of candidates are two local talk show hosts, Robert Hall and Rev. Conrad Howell.

With both parties naming their “at large” teams the line up appears to be as follows:

Leaders: Rufus Ewing (PNP) vs Oswald Skippings (PDM)
Deputies: Carlos Simons (PNP) vs Sharlene Cartwright Robinson (PDM)
Former Chief Ministers: Washington Misick (PNP) vs Derek Taylor (PDM)
Former Ministers: Royal Robinson (PNP) vs Samuel Harvey (PDM)
Wayne Garland (PNP) vs Josephine Connolly (PDM)

In the meantime, the PNP has also selected its ten choices for district candidates.

In Grand Turk, the party has picked George Lightbourne for the North district and Rex Swan for the southern seat. Each district has about 700 registered voters.

In South Caicos, former chief minister Norman Saunders Sr. will once again attempt to capture a majority of the fishing capital’s 315 voters. Saunders, who historically has gotten the nod from most of the approximately 110 voters of his district in South Caicos, had made it known he wanted an “at large” seat win to seal his legacy. 

In North-Middle Caicos, former parliamentarian Don-Hue Gardiner will contest the combination of three districts, all of which supported his party in the last election. There are 500 voters to convince that the PNP did a good job in the past for the three districts.

In Providenciales, where there are over 700 voters per district, the PNP has named the following people to represent the party:

Bight: Porsha Stubbs Smith
Five Cays: Thomas Clay
Blue Hills: Adrian Williams
Downtown: Greg Lightbourne (a former member of the Michael Misick government)
Cheshire Hall: Amanda Misick (a former member of parliament)
Leeward: Akierra Missick (attorney and law partner of PNP deputy leader Carlos Simons, and former Bar Council head)

In the “at large” and district candidates, the PNP is fielding only five members of the previous elected government, all of whom, along with the new candidates, must submit themselves for approval of the Integrity Commission. It is now a criminal offence to omit or misstate assets on the required financial disclosure statements. This applies to all candidates, whether party-sponsored or independent.

PNP member rumoured as possible candidates but now omitted are the two sons of Norman Saunders Sr. — Norman Jr. and EJ Saunders, who is the well known head of the local Digicel operation. It also appears that, despite some earlier reports, former appointed minister of education, Dr Carlton Mills, was not in the running. Also, party executives Rev. Conrad Howell and Trevor Cooke did not appear to play into the process. 

Jamal Robinson, the former head of the disaster management agency and former vice president of the Civil Service Association, who is also the son of at large candidate Royal Robinson, is also now on the outside.

Robinson had earlier been rumoured to be the Overback candidate for the capital island Grand Turk, which is heavily populated with civil servants.

Meanwhile, the PDM has not confirmed any district nominees but it appears former candidate Sean Astwood, son of party stalwart Louis, has a strong claim on the Five Cays candidacy, where he lost to Lillian Boyce in 2007. Boyce, a former minister, is now before the court facing allegations of corruption while in office.

The PDM will be looking to replace Arthur Robinson and Floyd Seymour, who won two of the four Grand Turk seats in 2007, but have now returned to their respective private business interests. 

The other two Grand Turk seats were won by Floyd Hall and Samuel Bean of the PNP, both of who are also facing corruption charges.

In the meantime, the four Grand Turk districts have now been reduced to two as part of the recent redistricting exercise by the Electoral Boundaries Commission.

Whoever PDM selects in Grand Turk are expected to be backed by party leader Oswald Skippings and former leader Derek Taylor, both of whom reside on the capital island.